UPSC Prelims Practice Questions — India Secures Record 163 LMT Fertilizer Stock; 26% Higher Than Previous Year
Q1. Under the Direct Benefit Transfer (DBT) system for fertilizer subsidy, approximately how many Point of Sale (PoS) devices have been deployed across the States/UTs to capture retail sales to farmers?
- A. About 0.63 lakh
- B. About 1.77 lakh
- C. About 2.63 lakh
- D. About 4.63 lakh
Q2. With reference to the Direct Benefit Transfer (DBT) system for fertilizer subsidy in India, consider the following statements:
1. Subsidy is released to fertilizer companies on the basis of actual sales made to beneficiaries recorded through Point of Sale (PoS) devices.
2. The entire subsidy amount is credited directly into the bank account of the purchasing farmer.
3. The DBT system was rolled out across all States and Union Territories by March 2018.
4. Each retail sale is authenticated and captured at the PoS device installed at the retail shop.
Which of the statements given above is/are correct?
- Subsidy is released to fertilizer companies on the basis of actual sales made to beneficiaries recorded through Point of Sale (PoS) devices.
- The entire subsidy amount is credited directly into the bank account of the purchasing farmer.
- The DBT system was rolled out across all States and Union Territories by March 2018.
- Each retail sale is authenticated and captured at the PoS device installed at the retail shop.
- A. 1, 3 and 4
- B. 1 and 2 only
- C. 2, 3 and 4
- D. 1 and 4 only
Q3. Which one of the following was a primary stated objective of the New Urea Policy, 2015?
- A. Maximizing indigenous urea production and promoting energy efficiency
- B. Free distribution of urea to small and marginal farmers
- C. Complete prohibition of all urea imports within one year
- D. Replacing granular urea entirely with nano fertilizers
Q4. The mandatory 100% neem-coating of indigenously produced subsidized urea was principally intended to achieve which one of the following?
- A. Prevent diversion of subsidized urea to non-agricultural/industrial uses
- B. Convert chemical urea into a certified organic fertilizer
- C. Eliminate the need for Point of Sale based subsidy disbursal
- D. Increase the nitrogen content of urea above 46%
Q5. Which one of the following is the lead joint-venture company mandated to revive the Gorakhpur, Sindri and Barauni urea units?
- A. Hindustan Urvarak & Rasayan Limited (HURL)
- B. Ramagundam Fertilizers and Chemicals Limited (RFCL)
- C. Talcher Fertilizers Limited (TFL)
- D. Brahmaputra Valley Fertilizer Corporation Limited (BVFCL)
Q6. Under PM-PRANAM, of the total incentive grant earned by a State/UT, what is the major share that is allocated directly to that State/UT (the remainder being kept for monitoring and IEC)?
- A. 50%
- B. 75%
- C. 95%
- D. 100%
Q7. With reference to the PM-PRANAM scheme, consider the following statements:
1. The incentive equals 50% of the fertilizer subsidy saved by a State/UT relative to its previous three years' average consumption of chemical fertilizers.
2. The reduction in consumption is reckoned across Urea, DAP, NPK and MOP.
3. The scheme provides a direct cash subsidy to individual farmers who shift to organic farming.
Which of the statements given above is/are correct?
- The incentive equals 50% of the fertilizer subsidy saved by a State/UT relative to its previous three years' average consumption of chemical fertilizers.
- The reduction in consumption is reckoned across Urea, DAP, NPK and MOP.
- The scheme provides a direct cash subsidy to individual farmers who shift to organic farming.
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q8. One 500 ml bottle of IFFCO Nano Urea (Liquid) is officially regarded as equivalent in effect to which one of the following?
- A. One 45 kg bag of conventional granular urea
- B. One 50 kg bag of di-ammonium phosphate (DAP)
- C. Two 45 kg bags of muriate of potash (MOP)
- D. One 500 g sachet of nano DAP
Q9. India's record opening fertilizer stock of 163 LMT for April 2026 was reported to be higher than the corresponding previous-year stock by approximately what percentage?
Q10. India's domestic urea production touched its highest recorded level in 2024-25 at which one of the following figures?
- A. 225 LMT
- B. 283.74 LMT
- C. 306.67 LMT
- D. 128.54 LMT