Govt Rules Out Direct Cash Transfer of Fertilizer Subsidy to Farmers
UPSC / SSC current affairs note · Governance
AgricultureGovernance
Why in news
The government has ruled out direct cash transfer of fertilizer subsidy to farmers' bank accounts for now, citing an incomplete database of farmers. The existing DBT system to fertilizer companies will continue.
Background
Fertilizer subsidy is provided to ensure affordable fertilizers for farmers. Currently, subsidy is transferred directly to fertilizer companies under DBT, not to farmers' accounts.
Key facts
in5points
Government ruled out direct cash transfer of fertilizer subsidy to farmers' bank accounts.
Reason cited: incomplete database of farmers.
Existing DBT system to fertilizer companies will continue.
The decision was announced by the Centre.
Prelims pointers
- Direct Benefit Transfer (DBT) in fertilizer subsidy
- Fertilizer subsidy scheme
- Department of Fertilizers
Mains angles
- GS3 Agriculture: Subsidies and their impact on farmers and economy
- GS2 Governance: Direct Benefit Transfer and its implementation challenges
- GS3 Agriculture: Fertilizer subsidy reform and alternative mechanisms