Fertiliser crisis.
The sharp rise in urea and di-ammonium phosphate (DAP) consumption across multiple states, particularly Haryana, has raised red flags in the Agriculture Ministry. Haryana’s urea usage surged by 18 per cent this rabi season, while some districts saw a 184 per cent increase in DAP consumption. This trend signals both excessive application by farmers and large-scale diversion of subsidised fertilisers. Authorities suspect that subsidised neem-coated urea is being diverted to industries such as plywood, resin and mining explosives, where technical-grade urea is much costlier. Reports indicate that with unscrupulous elements exploiting this price differential, nearly 10 lakh tonnes of urea are misappropriated annually, causing a Rs 6,000-crore subsidy leakage. In response, the government has launched joint operations with state authorities and imposed stricter legal action. Additionally, the Department of Fertilisers is coordinating with various ministries to monitor supply chains and curb leakages.
At the farm level, excessive fertiliser use remains a growing problem. Farmers, often unaware of recommended dosages, apply more urea to boost yields, especially for newer high-nitrogen wheat varieties. The rise of NPK (sodium, phosphorous, potassium) fertiliser consumption has further increased urea dependency, leading to soil degradation, pest vulnerability and groundwater contamination. Indiscriminate fertiliser use not only affects soil health but also reduces the long-term productivity of farmlands.
Meanwhile, India’s heavy reliance on fertiliser imports adds to the financial strain. The country imports around 75 lakh tonnes of urea annually, and rising global prices have pushed fertiliser subsidies beyond Rs 1.75 trillion. If unchecked, the growing fertiliser demand will place immense pressure on the economy. The government must strengthen fertiliser tracking, enforce stricter penalties for diversion and educate farmers on balanced nutrient application. Left unchecked, this crisis will not only burden taxpayers but also strain the economy, damage the environment and jeopardise agricultural sustainability.