Concern / Observation

Recommendation

Domestic Production and Capacity Augmentation

Present Status:  India’s fertilizer consumption reached an all time high of 708 LMT in 2024–25, while domestic production remained insufficient at 307 LMT for Urea and 211.21 LMT for P and K increasing vulnerability to geopolitical shocks.

Constitute a high-level Task Force to prepare a time-bound strategy to boost Urea production (via NIP-2012, NUP-2015) and expand P&K capacity through fiscal and tax incentives.

Aging infrastructure: 27/33 Urea plants are 25+ years old, 7 plants 50+ years old leading to high Operation and Maintenance costs

Establish a special task force for modernization/upgradation using state-of-the-art energy-efficient technology

 Reducing Import Dependency and Securing Raw Materials

India has 95% Phosphate and 100% Potash import dependency. 

Secure long-term agreements and global joint ventures with resource-rich countries 

Dependence on foreign licensors (Netherlands, US, Italy, Japan) for technology and plant licensing.

Develop indigenous fertilizer process technology through a high-power task force backed by strong R&D funding.

Low-grade phosphate ores and deep-seated potash deposits

Take concrete steps for domestic exploration and mining of raw materials, leveraging “Critical & Strategic Minerals” status under MMDR Act, 2023.

 Promoting Alternatives and Curbing Malpractices

Insufficient drones for Nano fertilizer application

Introduce a PLI Scheme for drones to support large-scale Nano fertilizer usage.

Black marketing/diversion persists despite Aadhaar authentication being mandatory

Introduce stringent enforcement protocols establish a nationwide lab network and grievance redressal system.

Imbalanced use of chemical fertilizers leading to soil degradation and nutrient deficiency.

Promote balanced fertilization, crop rotation, biotic inputs, and organic/natural farming