Government chalks out new action plan to stop ‘misuse’ of subsidized urea


New Delhi: The government has prepared a comprehensive action plan to stop the misuse of subsidized urea by plywood and other industries. Giving this information, official sources said that the misuse of subsidized urea can now lead to jail term. Informed sources said the Union Ministry of Chemicals and Fertilizers will coordinate with other central ministries as well as states to curb the misuse of urea.

It also plans to launch a joint campaign to stop the misuse of agriculture-grade urea. Earlier this week, Union Minister for Chemicals and Fertilizers Mansukh Mandaviya asked states and union territories to curb diversion or misuse of agriculture-grade urea by industries. Neem-coated urea is made available to farmers by the central government at a highly subsidized rate of Rs 266 per bag (45 kg).

Which is much cheaper than technical-grade urea for industrial use. There have been cases of misuse of agricultural-grade urea in industries producing resin/gum, plywood, crockery, molding powder, animal feed, and industrial mining explosives. Sources said the Department of Fertilizers has drawn up a ‘comprehensive action plan’ to stop the misuse of farmed urea to plug subsidy leakage and ensure that farmers’ interests are not affected.

Sources said, “Now no concession will be given in the case of industrial use of agriculture grade urea. Sources said there are instances where neem contiguous of agriculture-grade urea was removed through some chemical process and then used for industrial purposes. As per the action plan, the department will coordinate with various ministries, including finance and commerce, as well as state governments, to crack down on industries using agriculture-grade urea instead of technical-grade urea.

In this, help will be taken from the Directorate General of Goods and Services Tax Intelligence (DGGI). Sources said that a joint campaign by the central government and the states will also be launched soon. In addition, the department will monitor the total supply of technical-grade urea, both domestic production and import, as well as the total quantity produced by industries that require urea as a raw material.

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