With India securing 30 per cent Di-Ammonium Phosphate (DAP) required for kharif season a lot upfront and firms advised to not purchase at greater charges from international market, the minister claimed there was correction within the worldwide DAP costs which declined to USD 920 per tonne from USD 1,030 per tonne throughout final week.
“There’s a international fertiliser disaster. India is the world’s largest fertiliser importer and may get provides at lesser charges… In lots of international locations, fertilisers are rationed. We’ve not completed (that). We made advance buy of key fertilisers to make sure availability through the kharif season,” Mandaviya advised reporters right here.
Throughout final kharif season, there was solely 18 lakh tonnes of DAP inventory. However this 12 months, the nation is in a greater place and has a DAP inventory of 30 lakh tonnes in opposition to the requirement of 60 lakh tonnes for the kharif season.
Kharif season is from June to September.
A month-to-month provide of 6 lakh tonnes of DAP would come from home manufacturing and association has additionally been made for provide of uncooked materials ‘rock phosphate’ for manufacturing of DAP right here, he mentioned.
Throughout a go to to Jordan final week, the minister mentioned a long run settlement was signed between Jordan Phosphate Mining Firm (JPMC) and Indian public cooperatives and personal companies for provide of 30 lakh tonnes of rock phosphate, 2.5 lakh tonnes of DAP, 1 lakht tonnes of phosphoric acid for the following 5 years.
A long run pact was additionally signed between Indian Potash Ltd (IPL) and Arab Potash for annual provide of two.75 lakh tonnes of Muriate of Potash (MoP) which is able to uniformly improve yearly as much as 3.25 lakh tonnes, he added.
“There will not be any scarcity of DAP as we now have ensured provides upfront,” he mentioned.
Within the case of urea and Muriate of Potash (MoP) too, the minister mentioned the federal government has secured provides upfront.
In opposition to the requirement of 180 lakh tonnes of urea for this kharif season, about 140-150 lakh tonnes would come from the home manufacturing whereas the remaining 30 lakh tonnes from imports.
“Already 15 lakh tonnes of urea has been imported. A long run settlement has been signed for provide of 5 lakh tonnes whereas relaxation 10 lakh tonnes will probably be simply organized,” he added.
Stating that there isn’t any concern about MoP provides, the minister mentioned the nation is absolutely depending on imports for this fertiliser. In opposition to the requirement of about 20 lakh tonnes of MoP for the kharif season, about 10 lakh tonnes is already with state governments.
The stability 10 lakh tonnes of MoP provides has been organized from Jordan, Israel and Canada by signing long run agreements with these international locations, he mentioned.
India has entered right into a separate long run settlement for provide of three lakh tonnes of MoP from Jordan, 6 lakh tonnes from Israel and 12 lakh tonnes from Canada for the following 5 years.
Mandaviya mentioned the federal government can also be exploring a month-to-month home manufacturing of 1 lakh tonne of MoP from molasses.
He additionally mentioned the federal government’s fertiliser subsidy is more likely to contact Rs 2-2.5 lakh crore within the present fiscal in view of excessive international costs.