New Delhi, Jun 12 (UNI) The Cabinet Committee on Economic Affairs (CCEA) today approved a nutrient-based subsidy policy for fertilisers as a result of which the prices of complex fertiliser are set to decline by Rs 1,416 per tonne.
However, there would be no change in DAP, MOP-SSP fertilisers.
Briefing newspersons here on the outcome of the CCEA decisions, Finance Minister P Chidambaram said there would be no shortage of the nutrients in the country.
The CCEA also approved a uniform freight subsidy regime for fertilisers.
"The new pricing scheme for fertilisers will help lower prices of some varieties by an average Rs 1,416 per tonne," Mr Chidambaram said.
Companies sell fertilisers at government-set prices, and are subsidised by it for the shortfall arising due to the cap on prices.
Mr Chidambaram said the new nutrient-based pricing policy is aimed at lowering prices and providing adequate supplies to farmers.
He said over-dependency of farmers on a particular variety of fertiliser will come down.
Prices of other fertilisers like urea would not change, Mr Chidambaram said.
The uniform subsidy regime will facilitate uniform availability of fertilisers, Mr Chidambaram added.
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