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Roll out of Haryana model fertiliser sales in other States to take time, says government


What Happened

  • The Central government acknowledged that the rollout of Haryana's farmer-registration-linked fertiliser sales model to other states will take considerable time, citing the complexity of creating equivalent digital registration infrastructure.
  • Unlike the rest of India, where subsidised fertilisers are sold on a "no-denial" basis (any buyer at a PoS machine can purchase), Haryana links fertiliser supply exclusively to farmers registered on its Meri Fasal Mera Byora (MFMB) portal.
  • This integration of MFMB with the Integrated Fertiliser Management System (iFMS) has delivered measurable outcomes in Haryana: urea consumption reduced by 1.26 lakh tonnes and DAP by 23,500 tonnes, saving an estimated ₹700 crore in subsidies.
  • The Centre has plans to develop a national framework for targeted fertiliser distribution, but the absence of comparable crop-registration portals in most states remains the key bottleneck.
  • Union Agriculture Minister Shivraj Singh Chouhan has publicly held Haryana's MFMB scheme as a replicable model for the country.

Static Topic Bridges

Direct Benefit Transfer (DBT) in Fertilisers

India introduced DBT in fertilisers in 2018, replacing the previous system of subsidies paid directly to fertiliser companies. Under DBT, the subsidy is paid to fertiliser companies only after Point of Sale (PoS) machines at retail outlets confirm actual sales to farmers. Each fertiliser bag carries a QR code linked to the iFMS; the PoS machine captures the transaction and triggers subsidy release to the manufacturer.

  • Subsidy mechanism: Government pays company after farmer-level sale is recorded via PoS
  • Every fertiliser bag is tagged with a QR code for traceability
  • PoS machines are mandatory at all retail fertiliser outlets
  • DBT in fertilisers does NOT yet transfer money to the farmer's bank account — the subsidy goes to the company; what changes is the accountability mechanism
  • India's annual fertiliser subsidy bill: approximately ₹1.5–2 lakh crore (varies with global prices)

Connection to this news: Haryana takes DBT further — by linking PoS transactions to MFMB farmer registration, it adds a demand-side filter that limits purchases to verified farmers, plugging black-marketing and diversion that the QR code alone cannot prevent.

Meri Fasal Mera Byora (MFMB) Portal

Meri Fasal Mera Byora (meaning "My Crop, My Details") is Haryana's official online crop registration portal where farmers register their crop and land details before each season. Originally launched to streamline MSP procurement access and scheme benefits, MFMB has been expanded to serve as the gateway for fertiliser entitlement, crop insurance, and compensation claims.

  • Portal: fasal.haryana.gov.in
  • Launched: 2019 by Haryana government
  • Farmers register: name, Aadhaar, land records, crop type, area sown
  • Integration with iFMS since 2021–22: fertiliser purchase linked to MFMB registration
  • Result: urea consumption down 1.26 lakh tonnes; DAP down 23,500 tonnes; ₹700 crore subsidy saved

Connection to this news: MFMB's success in Haryana demonstrates that demand-side verification (who is buying) is more effective than supply-side controls (QR codes on bags) for plugging fertiliser diversion, but replication requires comparable digital land/crop registration infrastructure in other states.

PM PRANAM Scheme

PM Programme for Restoration, Awareness, Nourishment and Amelioration of Mother Earth (PM PRANAM) was launched in 2023 to incentivise states to reduce chemical fertiliser use. States that reduce fertiliser consumption below a three-year baseline receive 50% of the resultant subsidy savings as a grant — 70% for Capital Expenditure and 30% for farmer/Panchayat incentives.

  • No separate budget outlay — savings from existing fertiliser subsidy budget are redistributed
  • Incentive structure: state saves subsidy → Centre shares 50% of savings as grant
  • Objective: push adoption of bio-fertilisers, nano-urea, organic farming
  • Complementary schemes: Soil Health Cards (under NMSA), Paramparagat Krishi Vikas Yojana (PKVY)
  • Linked to Nano Urea (liquid) promoted by IFFCO as a substitute for conventional urea

Connection to this news: Haryana's MFMB model achieves what PM PRANAM incentivises — reduction in chemical fertiliser consumption. If scaled nationally, it could systematically generate PM PRANAM-style subsidy savings while simultaneously curbing diversion and black-marketing.

Key Facts & Data

  • Haryana's fertiliser model: sales linked to Meri Fasal Mera Byora (MFMB) registration
  • All other states: "no-denial" basis — any buyer at PoS can purchase subsidised fertiliser
  • Urea reduction in Haryana post-MFMB integration: 1.26 lakh tonnes
  • DAP reduction: 23,500 tonnes
  • Estimated subsidy saving: ₹700 crore
  • India's annual fertiliser subsidy: approximately ₹1.5–2 lakh crore
  • DBT in fertilisers operational since 2018 (nationwide); subsidy released to company post-sale
  • PM PRANAM (2023): states receive 50% of subsidy savings for reducing fertiliser consumption
  • Nodal ministry for fertilisers: Ministry of Chemicals and Fertilizers