West Asia crisis opens space for fertiliser policy reform
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500+ questions on Economy with explanations
๐ Summary:
- Context: PM Modi's call to farmers to cut chemical fertiliser use by half and shift to natural farming; West Asia conflict + Strait of Hormuz closure threaten fertiliser imports
- Core argument: blanket appeals for "half fertiliser, more natural" are impractical, but the West Asia crisis is the right window to fix India's chronically distorted fertiliser policy
- Causal chain โ why India is so exposed: (1) India has very little natural gas (urea feedstock), almost no rock phosphate, no potash, no elemental sulphur reserves โ heavy import dependence (2) Up to 30% of global fertiliser trade passes through the Strait of Hormuz โ closure disrupts physical availability (3) Subsidy policy historically encouraged high-analysis urea (46% N) and DAP (46% P) over balanced products like Ammonium Sulphate (20.5% N, 23% S) and Single Super Phosphate (16% P, 11% S) (4) High-analysis dominance has caused severe soil nutrient imbalance โ secondary nutrients (S) and micronutrients neglected (5) Nutrient Use Efficiency is poor: only ~1/3 of urea N is absorbed by plants; rest lost via ammonia volatilisation or leaching as nitrate (groundwater pollution)
- Key data: ~30% of global fertiliser trade routed via Strait of Hormuz; urea N use efficiency ~33%; urea N content 46%, DAP P content 46%
- Solutions proposed by editorial: (1) Free or raise retail fertiliser prices to import parity levels (2) Replace product-wise subsidy with a per-acre direct payment (e.g. โน5,000/acre) for all cultivating farmers (3) Combine fertiliser subsidy savings + PM-KISAN into one direct income support scheme
- Rationale: present subsidy + price-control system is both fiscally and physically unsustainable; reform "cannot wait any longer"
๐ฏ UPSC Relevance: GS3 โ Agriculture (Subsidies & Issues, fertiliser policy reform); GS2 โ Government welfare schemes (PM-KISAN, DBT); GS3 โ Energy security & external sector vulnerability via West Asia/Strait of Hormuz
๐ Prelims Facts:
- N content: Urea 46%, Ammonium Sulphate 20.5%, DAP โ N is 18%, P is 46% (PโOโ )
- Sulphur in SSP โ 11%; in Ammonium Sulphate โ 23%
- Urea N use efficiency: ~33%
- Strait of Hormuz: ~30% of global fertiliser trade
- PM-KISAN: โน6,000/year/farmer cash transfer (since 2019)
- NBS (Nutrient Based Subsidy) covers P&K fertilisers; urea remains under controlled MRP
๐ Key Term: Nutrient Use Efficiency (NUE) โ fraction of nutrient applied that is actually absorbed and utilised by the crop; for urea-N in India it is only about one-third, with the rest lost to ammonia volatilisation and nitrate leaching, creating both economic waste and environmental damage.
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