AP’s incentive for reduced urea usage catches attention
AP CM Chandrababu Naidu’s announcement comes in the wake of a severe shortage of this vital fertiliser that farmers use
An incentive of ₹800 for not buying a ₹260 urea bag (50 kg)? This announcement by Andhra Pradesh Chief Minister N Chandrababu caught the attention of experts in the agriculture ecosystem. A first-of-its-kind move by a State could be an interesting tool to wean farmers away from excessive urea usage.
Naidu’s announcement comes in the wake of a severe shortage of this vital fertiliser that farmers use at the growth stage of the paddy crop. But its acute shortage across the country caused distress across the paddy-growing States, including Andhra Pradesh.
Although it received some assurance towards the latter part of the season, Andhra Pradesh also faced political criticism for not making enough urea available to farmers.
In a bid to overcome this, the Chief Minister announced an incentive of ₹800 to those farmers who reduced the consumption of bags. He asked the officials to take measures to share a portion of the ₹1,400 that they receive from the Union Government under the PM PRANAM scheme.
The PM-PRANAM (PM Programme for Restoration, Awareness, Nourishment and Amelioration of Mother-Earth) Scheme is a government initiative that offers incentives to States and Union Territories to reduce their chemical fertiliser usage by providing 50 per cent of the saved fertiliser subsidy as a grant.
The scheme aims to encourage sustainable agricultural practices and the balanced use of fertilisers to promote environmental health.
Welcoming the move, Agricultural scientist G V Ramanjaneyulu and CEO of Centre for Sustainable Agriculture (CSA) termed it a brilliant move. As they reduce urea consumption, it could result in significant reductions in emissions and the earning of carbon credits.
“One bag of urea, if applied, would release 400 kg CO2 equivalent emissions. If you factor in the emissions from production to distribution, it would be half a tonne or half a credit. One credit is currently sold in the range of $10-15,” he said.
He said that since measuring urea purchases was easier, it is very easy to manage,” he said.
Agricultural economist Aribandi Prasada Rao felt that the government should have announced the scheme at the beginning of the season. “Had they announced this earlier, the farmers would have planned their acreage and application of fertilisers. Announcing at this juncture because there is a crisis
Published on September 16, 2025
