Growth of Chemical Fertilizer Consumption in India: Some Issues

Abstract

This research paper have examine the trend of chemical fertilizers consumption in India, during the period of 1981-82 to 2011-2012. This paper have based on secondary data, this data have collected from handbook of Indian economy and state of Indian agriculture. Plants nutrients supply from the chemical fertilizer is the key to increasing agriculture production by improving the land productivity. However, the demand-supply gap of fertilizers in India has increased in recent times, thereby leading to increased dependency on imports. India imports which were about 2 million tonnes in early parts of 2000 increased to 10.2 million tonnes of fertilizers in 2008-09. However, the demand supply gap of fertilizers in India has increased in recent times due to dependency on imports. Consumption of chemical fertilizers have led to import of its. The increase in rate of subsidy of chemical fertilizers combined with increase in consumption of fertilizers has led to a substantial increase in requirement of subsidy.

Keywords: fertilizers consumption, India, subsidy and gap

JEL Classification: N50, N55, Q12