Year end review-Department of
Fertilizers
|
Following
are the achievements of Department of Fertilizers, Ministry of Chemicals and
Fertilizers during the year:
Availability of Fertilizers
·
Highest ever urea production of 245 LMT occurred in the country during 2015-16
(period April, 2015 to March, 2016) - an increase of 20 LMT (approximately) in
comparison to the previous year.
·
Even in the current year, during Kharif 2016 (April to September) the
availability of urea was 159.10 LMT against the sales of 144.14 LMT.
·
Timely and adequate availability of fertilizers in every part of the country
has been ensured through close monitoring and meticulous planning of imports.
Neem Urea Coated
Based
on the CCEA decision, vide notification dated 25th May, 2015
Department of Fertilizers has made it mandatory for all the domestic producers
of urea to produce 100% as Neem Coated Urea with an extra MRP of 5% (of Rs.
5360/- per MT) to be charged by the fertilizer manufacturing entities from
farmers. Entire quantity of indigenously produced urea and imported urea is
being neem coated w.e.f 1st September, 2015 respectively. In
order to determine the impact, Department of Agriculture, Cooperation &
Farmers Welfare (DAC & FW) was entrusted to conduct a study. DACFW
has submitted an interim report prepared by Agricultural Department and Rural
Transformation Centre (ADRTC). The findings of said study are as under:
·
Improvement in soil health.
·
Reduction in costs with respect to plant protection chemicals
·
Reduction in pest and disease attack
·
An increase in yield of paddy to an extent of 5.79 per cent.
·
An increase in yield of sugancane to extent of 17.5 per cent.
·
An increase in yield of maize to the extent of 7.14 per cent.
·
An increase in yield of Soyabeen to the extent of 7.4 per cent.
·
An increase in yield Tur/Red Gram to the extent of 16.88 per cent.
·
Diversion of highly subsidized urea towards non-agricultural purposes
negligible among farmers after the introduction of the mandatory policy of
production and distribution of only neem coated urea.
New Urea Policy
Based
on the CCEA decision, vide notification dated 25th May, 2015, the
New Urea Policy-2015 (NUP-2015) has been notified by Department of Fertilizers,
with the objectives of maximizing indigenous urea production; promoting energy
efficiency in urea production; and rationalizing subsidy burden on the
government. It is expected to prepare the domestic urea sector to become
globally competitive in terms of energy efficiency over a period of three
years. On the basis of actual energy consumption and pre-set norms, the
units have been divided into three groups and revised energy consumption norms
have been fixed for next three financial years and target energy norm have been
fixed for 2018-19. It will drive urea units to select better technology
and different measure to reduce energy consumption. NUP-2015 is effective
from 1st June, 2015 to 31st March, 2019. NUP-2015
has led to additional production of approximately 20 LMT from the existing
plants and the total production of urea during the year 2015-16 was 244.5 LMT,
i.e. the highest ever urea production in the country.
City
Compost
·
The Government of India approved a policy on promotion of City Compost. A
notification conveying the approval of the Government has been issued by this
Department on 10.2.2016 in which marketing development assistance of Rs.
1500/-MT has been provided for scaling up production and consumption of city
compost.
·
For co-marketing of City Compost, the tagging of Cities with fertilizer
marketing companies for the purpose of proper utilisation of city Compost
produced in the cities has been completed as per the list provided by M/o Urban
Development.
·
Compost producers vide O.M. dated 28.9.2016 issued by the Department of
Fertilizers, have been allowed direct sale of city compost to farmers.
·
The required software for routing of MDA through FMS and mFMS (now iFMS) is
operational.
·
A joint Committee of Joint Secretaries of Department of Fertilizers, Ministry
of Urban Development, and Department of Agriculture have been set up for
coordination.
·
The fertilizer Companies have adopted 190 villages for promoting the use of
City Compost.
·
State level steering Committee has been constituted for promotion of City
Compost.
·
During April, 2016 to November 2016, 63994 M.T of city Compost has been
co-marketed.
NBS
Scheme for P & K fertilizers
·
Under NBS 2015-16, the condition regarding submission of quality certificate
from State Government for the claim of balance payment to the companies has
been liberalised. If quality certificate from State Governments is not received
within 180 days, it would be considered as deemed receipt of certificate and
balance payment if subsidy would be released to the fertilizer companies.
·
Applicability of NBS rates on the closing of P&K fertilizers at the end of
FY has been streamlined.
·
In order to push major policy reforms in the fertilizer sector, Department of
Fertilizers, w.e.f 18.3.2016 has removed minimum capacity utilization criteria
for the Single Super Phosphate (SSP) units to be eligible for the subsidy under
the Nutrient Based Subsidy (NBS) Scheme.
Reduction in price of P & K
Fertilizers
The NBS rates are fixed based on
international prices of P & K fertilizers under the NBS Scheme.
During the year 2016-17, the Government has already reduced the NBS rates
taking into consideration the falling international prices of P&K
fertilizers. It is observed that international prices of these fertilizers has
again fallen down but this time Government has decided not to reduce NBS rates
and pass on the benefit of international prices to the farmers. Accordingly,
the P&K fertilizer companies have reduced the MRP of MOP, DAP and NPK by
Rs. 5000/MT, Rs. 2500/MT and Rs. 1000/MT respectively in the month of June 2016
since the reasonableness of MRP is checked by the Department.
DBT in Fertilizers
Direct benefit transfer in modified from
is being implemented in fertilizer sector. Department of Fertilizers has
chalked out a programme to implement the DBT Pilot Project of the country in
the following 16 Districts in Fertilizers Sector:
i. Bihar
- Kishanganj
ii. West
Bengal
-
Maldah
iii. Madhya Pradesh -
Hoshangabad
iv. Haryana
-
Karnal
v. Haryana
-
Kurukshetra
vi. Andhra Pradesh
-
Krishna
vii. Andhra Pradesh
- West
Godavari
viii. Maharashtra
- Nasik
ix. Himachal Pradesh
-
Una
x. Kerala
-
Kunnur
xi. Telangana
- Rangareddy
xii. Karnataka
- Tumkur
xiii. Maharashtra
- Raigarh
xiv. West
Bengal
- South 24 Parganas
(in plac of Murshidabad)
xv. Rajasthan
- Pali
xvi. Gujarat
- Narmada (in place
of chotta Udepur)
To implement the DBT Pilot Project in above 16 Districts of the country, a
meeting was called with the District Collectors and CMDs of leading Fertilizers
companies on 07.09.2016 to chalk out a plan for installation of Standard
Operating System (SoP) at retailers point and also sort out the issues
pertaining to the implementation of the DBT project. A presentation was
also given to them on the sale on point of fertilizers at retailers shops. The
fertilizers companies were requested PoS devises as per NIC specification in
consultation with all stakeholders for implementation of the DBT in 16
Districts. The fertilizer companies were also asked to prepare a plan for
installation of PoS devices at all retailers of the country by 1st
January, 2017.
Department of
Fertilizers has authorized PDIL to recruit personnel for the posts of Project
Manager, Technology Consultant, IES & MIS consultant and 16 District
Consultant on contract basis for DBT Pilot Project in Fertilizer Sector.
Department has already issued orders to M/s. PDIL for appointment of 1 Project
Manager, 1 Technology Consultant and 1 IES & MIS consultant 13 District
Consultant. M/s. PDIL has appointed 13 District Consultant, 3 District
Consultant of Kunnur (Kerala), Tumkur (Karnataka), Raigarh (Maharastra),
Raigarh (Maharastra) have not been appointed.
Department
proposed to use KYC for authentication and collecting demographic data during
DBT pilot Project in the country. Department has already made agreement
with UIDAI to take services of authentication Service Agency (ASA) which are
registered with UIDAI. The agreement has also been made with CSC. All
documents as desired by UIDAI have seen sent to them to get on board with UIDAI
as KYC User Agency (KUA). UIDAI has provided license key & AUA
Pre-production/KUA Pre-Production access to Department of Fertilizers.
It
has also been decided that based on the success of pilot Project, DBT in entire
country will be rolled out by March 2018 in Phase-wise manner.
Formation
of Indian Council for Fertilizer and Nutrient Research (ICFNR)
Indian Council for Fertilizer and Nutrient Research (ICFNR), an Institution
exclusively devoted to promotion of research in fertilizer sector under the
Department of Fertilizers, has been set up on 16.09.2016. The ICFNR has a
Governing Council under the chairmanship of Hon’ble Minister of Chemical &
Fertilizers and an Executive Council under the chairmanship of Secretary
(Fertilizers). The terms of reference of ICFNR are as under:-
i. To undertake/promote research in
the area of fertilizer manufacturing technology, use of raw material and
innovation in fertilizer products through partnership ad collaboration with
various research institutions, fertilizer industry and other stakeholders.
ii. To examine and comprehensively
deliberate R&D project proposals submitted by various R&D
organizations/Academic institutions, for suitable recommendations for funding.
iii. To play a supportive role for
identifying and formulating long range technology plans and working out
suitable mechanism for adoption of indigenous processes.
iv. To identify and promote
eco-friendly micro nutrients and pesticide coated slow release fertilizers and
also to ensure reduction of Carbon Footprint of fertilizer sector and energy
efficient operation.
v. To undertake and promote research
in bio fertilizer and its derivatives with appropriate coating or blending so
as protect and increase soil fertility.
vi. To undertake and promote research
in organic fertilizer and its derivatives with suitable coating or blending so
as to protect and increase the soil fertility.
vii. To promote dissemination of information
on latest developments in Fertilizer sector and also to support new ideas and
changes for effecting improvements in fertilizer industry.
viii. The centre will work in close
collaboration with other research institutions/centres/institutes and will also
decide and disseminate the research work already undertaken by them.
ix.
To undertake all such activities which will promote the core idea of ICFNR.
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