Big Impact on Kharif Season? Concerns Rise Over Fertilizer Prices!

Prominent agricultural economist Dr. Ashok Gulati has warned that escalating tensions in West Asia could trigger a serious fertilizer crisis in the country. He noted that the situation should be viewed from two perspectives, as adequate fertilizer stocks are currently available to support the upcoming Kharif season, which brings short term relief to farmers.

However, he cautioned that long term risks are significant, especially due to India’s heavy dependence on imported urea. With rising global prices and supply disruptions, fertilizer subsidies could surge sharply, putting pressure on the fiscal deficit. He also suggested structural reforms, including shifting from price subsidies to direct income support for farmers to reduce inefficiencies and leakages in the system.