Fertiliser industry pitches for subsidy reforms, GST relief as cost pressures mount
NEW DELHI: (Dec 10) The fertiliser industry on Wednesday sought a slew of policy reforms, including extension of nutrient-based subsidy (NBS) to urea, transparent subsidy mechanisms and resolution of GST-related input tax credit (ITC) accumulation to improve sector viability and attract fresh investments.
Speaking at the Fertilizer Association of India's (FAI) annual seminar, FAI Chairman S Shankarsubramanian flagged mounting cost pressures from higher energy prices, escalating logistics expenses and mandatory compliance requirements that have particularly hit older urea units operating on vintage technology.
"Ensuring a fair and timely revision of fixed costs is essential for sustaining operations and encouraging future investments. This reform has been pending for a long time and your immediate support can provide much-needed relief," he said, addressing Fertilisers Secretary Rajat Kumar Mishra at the event, which was attended by more than 1,500 participants.
