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Message: Indian govt cuts potash subsidies

Interesting to see the Indian govt. Still refuses to remove subsidies that distorts nutrient use in India. Nitrogen leaching losses in India is resulting in major economical and environmental issues...

http://mobile.reuters.com/article/idUSL4N0MP28020140328?irpc=93

Reuters exclusively reported last month that India will cut the potash subsidy by nearly a fifth.

Retail potash prices in India have doubled since 2011 to 17,000 rupees a tonne as India cut subsidies in the last two years - including a 21.5 percent reduction in 2013/14 - and due to a weak currency.

"Since the government can't reduce subsidy for urea, it chose potash. Now fertiliser companies are not in position to pass on the drop in global prices to farmers," said an official with a private fertiliser company based in Mumbai.

Nitrogenous fertiliser urea is the most used and politically sensitive fertiliser in the country.

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