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Continuation of Nutrient Based Subsidy and City Compost Scheme Approved

Published on April 02, 2018
Prime Minister Narendra Modi led Cabinet Committe on Economic Affairs has given its nod for the  continuation of Nutrient Based Subsidy (NBS)and City Compost Scheme beyond 12th  Five Year plan till 2019-20.

 The approval is givent to the Department of Fertilizers. The continuation of the Nutrient Based Subsidy Scheme and City Compost Scheme will ensure that adequate quantity of P&K is made available to the farmers at statutory controlled price.

Expenditure and Benefits 

The total expenditure for continuation of both the schemes till 2019-20 will be Rs. 61,972 crore.
The subsidy on the P&K fertilizers and Market Development Assistant (MDA) on City Compost will be provided on the subsidy rates approved by the CCEA on annual basis.


  • Government is making available fertilizers, namely Urea and 21 grades of P&K fertilizers to farmers at subsidized prices through fertilizer manufacturers/importers. The subsidy on P&K fertilizers is being governed by Nutrient Based Subsidy Scheme  w.e.f 01.04.2010. 
  • The Market Development Assistant  is being governed by City Compost Scheme w.e.f. 10.02.2016. Accordingly, these schemes have been extended beyond the 12th Five Year Plan till 2019-20.

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