GOVERNMENT OF INDIA

MINISTRY OF CHEMICALS AND FERTILIZERS

DEPARTMENT OF FERTILIZERS

LOK SABHA

UNSTARRED QUESTION NO. 362+

TO BE ANSWERED ON: 18.07.2017

Fertilizer Subsidy

Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

(a) whether the Government had decided to credit the subsidy on fertilizers directly to the bank accounts of the farmers;

(b) if so, the date on which the said decision was taken;

(c) whether the Government had completed the preparatory work in this regard and if so, the details thereof;

(d) whether the said scheme has been deffered due to shortage of Point of Sale (PoS) machines; and

(e) if so, the time period of the delay along with the further delay likely to take place in the implementation of the said scheme?

ANSWER

MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & ERTILIZERS,

SHIPPING, ROAD TRANSPORT & HIGHWAYS

(SHRI MANSUKH L. MANDAVIYA)

(a) & (b): No, Madam. The Direct Benefit Transfer (DBT) scheme being implemented in fertilizer subsidy is different from the traditional DBT schemes being implemented in schemes such as LPG. Under the proposed fertilizer DBT system, the fertilizers will continue to be available to farmers/beneficiaries at subsidized prices and 100% subsidy on the fertilizer grades shall be released to the fertilizer companies instead of the beneficiaries, on the basis of actual sales made by the retailers to the beneficiaries. Sale of all subsidised fertilizers to farmers/buyers will be made through Point of Sale (PoS) devices installed at each retailer shop and the beneficiaries will be identified through Aadhaar Card, KCC, Voter Identity Card etc.

(c) Implementation of the DBT Scheme requires deployment of PoS devices at every retailer shop, training of retailers for using PoS device, making entry of opening stock of subsidised fertilizers in the PoS device after tallying the physical opening stock with the opening stock in iFMS before making sales transactions. The present status of the pilot project and action plan for nation-wide rollout of the scheme is as under

A Project Monitoring Cell has been created in the Department to oversee implementation of DBT exclusively.

Trainings to master trainers were completed and a national workshop was conducted by the Department.

• For Pan-India rollout 24 State Coordinators have been selected and posted in different states. These appointments are in addition to the existing 14 District Consultants posted in the pilot districts.

• The State Government of various States have appointed Nodal Officers at State and District levels for Pan-India Rollout of DBT.

• All preparatory activities such as deployment of PoS devices, training and sensitization of retailers is ongoing in all States.

(d) & (e): There is a delay in supply of PoS devices by the vendors. In order to expedite the implementation, the Lead Fertilizer Suppliers have been instructed to deploy the PoS machines by 31st July 2017. The scheme would be implemented after the completion of deployment of PoS devices at all retail points and sensitization of retailers.