Fertiliser subsidy to cost Tk28,000cr this year, four times more than last year: Minister
The government has already subsidised Tk19,000 crore for fertiliser, Agriculture Minister Dr Mohammad Abdur Razzaque said
This year, the country will need Tk28,000 crore for fertiliser subsidy, which is almost four times more than last year, said Agriculture Minister Dr Mohammad Abdur Razzaque.
"Due to the coronavirus, the price of fertilisers worldwide has increased dramatically, which is almost three times compared to last year. Moreover, due to the increase in the price of fuel, the ship fares has more than doubled," he said while speaking with journalists at the Secretariat on Monday (14 February).
The government has already subsidised Tk19,000 crore for fertiliser, the minister added
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"Import cost of fertiliser per kg in FY 2020-21 was Tk32, TSP Tk33, MOP Tk23, DAP Tk37, which increased to Tk96, Tk70, Tk54 and Tk93 in FY 2021-22 respectively," Md Abdur Razzak said.
However, urea is being given to the farmers at Tk16 per kg, TSP at Tk22, MOP at Tk15 and DAP at Tk16, he further said, adding that as a result, the subsidy currently stands at Tk82 per kg of urea, Tk50 per kg of TSP, Tk41 per kg of MOP and Tk79 per kg of DAP.
"It will cost Tk28,000 crore in the current 2021-22 financial year to provide this huge amount of subsidy. In fiscal year 2020-21, the subsidy was Tk7,717 crore. This year's budget for the subsidy sector is only Tk9,500 crore. An additional Tk19,000 crore is needed," the agriculture minister remarked.
Dr Mohammad Abdur Razzaque added that nowhere in the world is there such an example of subsidy.
"It is possible to build another Padma bridge with a subsidy of Tk28,000 crore a year. There is also pressure from various international organisations, including the World Bank, to reduce subsidies. But Prime Minister Sheikh Hasina is ignoring the objections of the international community and giving subsidies," he said.
He also added that even although the price of fertiliser has tripled in the current financial year, the government has not increased the price of fertiliser in the domestic market and has maintained the trend of agricultural production by providing subsidised fertilisers at affordable prices.
