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Fertiliser Use, Nutrient Imbalances and Subsidies

Author

Listed:
  • Ramesh Chand
  • L.M. Pandey

    (ICAR National Professor and Research Associate, respectively, at the National Centre for Agricultural Economics and Policy Research, New Delhi; e-mail: rc@ncap.res.in)

Abstract

Fertiliser use in India has seen higher growth rates than any other major agricultural input in the last four decades. There has recently been a serious slowdown in the growth of fertiliser use, primarily caused by supply-side constraints. The composition of fertiliser use has also resulted in serious imbalances in the use of major plant nutrients, which could cumulatively have a detrimental effect on soil health and crop productivity. The main cause of the imbalance is found in the price distortions resulting from the structure of fertiliser subsidies. The trend in the prices of agricultural products offers scope for reducing and rationalising fertiliser subsidies to boost fertiliser production and reduce nutritional imbalances.

Suggested Citation

  • Ramesh Chand & L.M. Pandey, 2009. "Fertiliser Use, Nutrient Imbalances and Subsidies," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 3(4), pages 409-432, October.
    • Handle: RePEc:sae:mareco:v:3:y:2009:i:4:p:409-432
    DOI: 10.1177/097380100900300404
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    References listed on IDEAS

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    1. Gulati, Ashok & Narayanan, Sudha, 2003. "The Subsidy Syndrome in Indian Agriculture," OUP Catalogue, Oxford University Press, number 9780195662061.
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    More about this item

    Keywords

    Fertiliser Growth; Slowdown; Supply Constraint; Imbalances; Subsidies; Food Security; Imports; JEL Classification: Q11;
    All these keywords.

    JEL classification:

    • Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices

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