Govt extends urea subsidy till 2020

New Delhi:  Urea subsidy will be kept unchanged at ~5,360 a tonne for the next two years, which will hit the exchequer by ~1,649.35 billion. The decision, taken by the Cabinet Committee on Economic Affairs on Wednesday, will facilitate the implementation of direct benefit transfer (DBT) for disbursement of fertiliser subsidy. The DBT would entail 100 per cent payment to fertiliser companies on sale of fertilisers to farmers at subsidised rates. The Centre had earlier run pilots of DBT in some states.        

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