The government has allocated Tk 18,299 crore for agricultural subsidy including fertilizer and other agricultural activities in the proposed national budget of FY 2023-24.

To meet the price hike of the fertilizer, the proposed budget has raised the subsidy more than Tk 2000 crore than elapsing budget of 2022-23 fiscal year. 

As the price hike of all types of fertilizer in the global markets, the government has compelled to increase the amount of subsidy in the current fiscal as the price of  TSP, DAP, and MOP fertilisers have gone up by 57 per cent, 47 per cent and 177 per cent respectively.

In the previous 2022-23 fiscal, the government had allocated Tk 16,000 crore as the farm subsidy while it was Tk12,000 crore in 2021-22 fiscal.

Regarding the subsidy, Finance Minister AHM Mustafa Kamal said “We are providing fertilizer, seed and other inputs and irrigation facilities at affordable price to increase crop production and productivity. The government is providing subsidies to the farmers for the supply of required fertilizers at affordable price.”

“Twenty per cent rebate on the electricity bills is provided for the electricity use for irrigation pumps”, he told the parliament.

Even agriculture inputs and credit facility are being provided to farmers through “Krishi Upakaran Sahayata” card, the finance minister said, adding that the number of cardholding farmers has now increased to around 2 crore.