Why the Hormuz Crisis Should Redefine Fertilizer Reform
India’s agriculture debate has moved beyond foodgrain output toward nutrition, crop diversification, millets, and climate resilience. But that ambition will remain incomplete unless India reforms the most politically sensitive part of its farm economy: fertilizers. The Department of Fertilizers continues to define timely and affordable fertilizer availability as central to agricultural production, and the sector matters because agriculture and allied activities contribute nearly 16% of GDP and support over 46% of India’s population . [1] , [11] The fiscal scale is immense. In Budget 2025–26 , food subsidy was pegged at ₹2,03,420 crore and fertilizer subsidy at about ₹1.67 lakh crore , taking the combined total to roughly ₹3.71 lakh crore . Departmental budget documents also show that subsidy support remains heavily concentrated in urea subsidy and nutrient-based subsidy (NBS) , reinforcing how dependent the system still is on direct state financing. [3] , [2] India has improved dome...