Source: The Sangai Express
Imphal, June 29 2009:
Price of Urea in Manipur is to be hiked following reduction in the freight subsidy earlier given by the Government of India.
According to an official source, till June 24, freight subsidy of Rs 2094 was given on transportation of one metric tone of Urea from Namrup factory to Imphal.
However, the revised rate of the freight subsidy to be given by the Government of India has been cut down to Rs 1500 per metric tonne with effect from June 25.When the dealers lifted one truck load of Urea (MT 17.5) from Namrup, the Government of India used to provide fright subsidy of Rs 36645, at the rate of Rs 2094 per MT while the transporters received anywhere between Rs 40 to 42 thousand.
Even if the Government has fixed the price of one bag of Urea at Rs 257.85 as wholesaler rate and Rs 260.45 as retail rate, the dealers have been supplying Urea at the rate of Rs 285 per bag to their agents who in turn sell the same to the farmers at Rs 300 to 310 per bag in view of more expenses are incurred on payment of transport charges and unauthorised taxes over and above the fright subsidy provided.
In such a situation, reduction in fright subsidy by the Government of India to Rs 26250 per truck load (MT 17.5) would create difficulty for the dealers in ensuring supply of fertiliser to their agents at the earlier rate.
Talking to The Sangai Express, some dealers disclosed that henceforth the price of Urea would be hiked and made available to the agents at the rate of Rs 320 per bag and the agents in turn may sell it at Rs 350 per bag.
Sources from the State Agriculture Department said talks are already under-way between the Principal Secretary (Agriculture) and the Director (Movement ) of the Department of Fertiliser, Government of India to highlight the predicament of the fertilisers in the wake of reduction in fright subsidy by the Government of India.
Informing that the total agricultural land in Manipur is around 2.34 lakh hectare, sources further informed that till April this year, 11426.5 MT of Urea has been lifted from the allocated fertiliser of the State and this quantity would be sufficient enough to meet the requirement.