Union Minister of Chemicals and Fertilisers Ananth Kumar on Monday said that to reduce the burden of fertiliser subsidy backlogs, a special banking arrangement of Rs 10,000 crore has been approved in the Budget 2017-18.
"To reduce the burden of fertiliser subsidy backlogs, a special banking arrangement of Rs 10,000 crore has been approved in this Budget," the minister told media persons while presenting his views on Budget 2017-18.
The minister said that the overall budget allocation for the fertiliser sector is Rs 74,235 crore.
Fertilisers, along with power, has been the torchbearer of achievement, he added.
"It has been one of the fastest growing sectors in the last quarter," he said.
Ananth Kumar said that the government has taken key measures to make the country self-sufficient in urea and other fertilisers.
The steps include promoting energy efficiency in urea production, maximising indigenous urea production, timely import of urea and other fertilisers, pre-positioning of fertilisers with the states during lean season to ensure adequate supply in the season and rationalising the subsidy.
Such steps have resulted in highest ever production of 245 LMT of urea previous year, without adding additional capacity.
"Indigenous urea as well as imported urea have been neem coated. This has resulted in an increase in farm yield with less urea required and helped check black marketing and hoarding of urea," he added.