Union Cabinet Approves Rs 41,534 Crore Nutrient Based Subsidy For Kharif Season 2026

New Delhi: The Union Cabinet, chaired by Prime Minister Narendra Modi Wednesday approved the proposal of the Department of Fertilisers for fixing the Nutrient Based Subsidy (NBS) rates worth Rs 41,534 crore for KHARIF Season, 2026 on Phosphatic and Potassic (P&K) fertilisers. The Kharif season stretches from April 1, 2026 to September 30, 2026.

Speaking at the cabinet briefing, Union Minister Ashwini Vaishnaw said that under the Nutrient Based Subsidy (NBS) scheme for our 'Annadatas' and farmer brothers, a complete subsidy programme worth Rs 41,534 crore has been approved today for farmers for the Kharif season.

The tentative budgetary requirement for the Kharif season 2026 is approximately Rs 4,317 crore more than the budgetary requirement for the Kharif 2025 season, which was Rs 37,216.15 crore.

The Nutrient Based Subsidy for the Kharif season will ensure availability of fertilisers to farmers at subsidised, affordable and reasonable prices. It will also help in the rationalisation of subsidy on P&K fertilisers in view of recent trends in the international prices of fertilisers.

"The subsidy on P&K fertilizers including DAP and NPKS grades will be provided based on approved rates for Kharif 2026 to ensure smooth availability of these fertilizers to the farmers at affordable prices," the Union Minister informed.

Notably, the government is making available 28 grades of P&K fertilizers including DAP to farmers at subsidized prices through fertilizer manufacturers/importers. The subsidy on P&K fertilizers is governed by NBS Scheme April 1, 2010. In accordance with its farmer friendly approach, the Government is committed to ensure the availability of P&K fertilizers to the farmers at affordable prices.

In view of the recent trends in the international prices of fertilizers & inputs like Urea, DAP, MOP and Sulphur, Government has decided to approve the NBS rates for Kharif 2026 effective from April 1 to September 30, 2026 on Phosphatic and Potassic (P&K) fertilisers including DAP and NPKS grades.

The subsidy would be provided to the fertilizer companies as per approved and notified rates so that fertilizers are made available to farmers at affordable prices.

In another project, cabinet approved Investment Proposal for construction of 1200 MW Kalai-II Hydro Electric Project in Anjaw district of Arunachal Pradesh with an outlay of Rs 14105.83 crore. The estimated completion period for the project is 78 months.

"The project with an installed capacity of 1200 MW (6 x 190 MW & 1 x 60 MW) is expected to generate 4852.95 MU of energy annually. As the first hydro project in the Lohit Basin, it will strengthen power supply in the State, support peak demand management, and contribute to balancing the national grid," he stated.

The Project will be implemented through a Joint Venture Company between THDC India Limited and the Govt. of Arunachal Pradesh. Government of India shall extend Rs 599.88 crore as budgetary support for construction of roads, bridges and associated transmission line under enabling infrastructure besides Central Financial Assistance of Rs 750 crore towards equity share of the State.

The State will receive 12 per cent free power and an additional 1 percent earmarked for the Local Area Development Fund (LADF), along with significant infrastructure development and socio-economic benefits for the region.

There will be significant improvement in infrastructure in Namsai and Anjaw District of Arunachal Pradesh, including the development of around 29 kilometres of roads and bridges, for the project which shall be mostly available for local use. Local populace shall also be benefitted from many sorts of compensations, employment and CSR activities.

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