No final call has been made on direct cash transfer of fertilizer subsidies to farmers: government

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The government has not yet taken a final decision on the implementation of the direct cash transfer of fertilizer subsidies to farmers, Fertilizer Minister DV Sadananda Gowda informed Tuesday.

However, the government has implemented a direct benefit transfer (DBT) system in the fertilizer sector whereby subsidies are paid to fertilizer companies on a weekly basis, based on actual sales made by retailers. to beneficiaries via point of sale (PoS) devices. installed in every retail store, he said.

About 2.26 lakh PoS devices / desktop software have been installed at retail outlets across the country. Beneficiaries are identified by the Aadhaar card, voter ID card, etc., he added.

Stating that the direct cash transfer (DCT) of fertilizer subsidies to farmers has been discussed in various forums, the minister said a committee of secretaries headed by the cabinet secretary, set up to develop the broad outlines of the DCT framework, recommended the establishment of a nodal committee.

Thus, a nodal committee was set up in June 2020 and subsequently held two meetings in this regard.

“However, no decision has yet been taken to implement the direct cash transfer of fertilizer subsidies to farmers,” the minister said.

In May 2020, Gowda said the Fertilizer Ministry had formed a Chintan Shivir Working Group on DBT for Farmers to examine the feasibility of introducing a direct transfer of fertilizer subsidies to farmers, the selection criteria for farmers and their rights, the criteria for determining the amount of the subsidy. to be transferred to farmers’ accounts, frequency of transfer of subsidies, etc.

The Working Group has held several meetings with all stakeholders. However, no decision has yet been taken for the implementation of the DCT subsidy to farmers, he added.

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