ECONOMIC ASSESSMENT OF FERTILIZER USE EFFICIENCY IN INDIA

This study investigates the macro-nutrient dynamics in India with a comprehensive analysis of fertilizer production, consumption, sales, imports, subsidies and capacity utilization from 2010-11 to 2022-23. Given the country’s heavy dependence on agriculture, fertilizers—particularly NPK nutrients such as Urea, DAP and MOP play a pivotal role in ensuring food security. The research utilizes secondary data sourced from reputed organizations such as the Fertilizer Association of India, Indiastat, etc. Tools like Compound Growth Rate (CGR), Compound Annual Growth Rate (CAGR) were utilized. Findings reveal that while private agencies consistently dominate fertilizer sales, government subsidies, especially for Urea and nutrient-based fertilizers (NPK), have expanded substantially in recent years. Bio-fertilizer production and usage also witnessed a marked increase, with a significant shift towards liquid-based variants. Nutrient consumption trends indicate that Nitrogen dominates both Kharif and Rabi seasons, while Phosphorous and Potassium show variable patterns. Capacity utilization for Nitrogen has remained relatively high, whereas Phosphorous lags behind. The study highlights the growing demand, evolving subsidy structure, and a positive trajectory in nutrient management, providing policy insights for strengthening India’s agricultural sustainability. Keywords: Fertilizer Consumption, Fertilizer Production, Subsidy, Capacity Utilization, Import