UPSC Prelims Practice Questions — Supporting Balanced Fertilization: Nutrient-Based Subsidy Rates for Rabi 2025-26
Q1. For the Rabi 2025-26 season, the revised Nutrient Based Subsidy (NBS) rates approved by the Cabinet cover how many grades of Phosphatic & Potassic (P&K) fertilizers?
- A. 12 grades
- B. 21 grades
- C. 28 grades
- D. 35 grades
Q2. Consider the following bodies in relation to the fixing and approval of NBS rates for P&K fertilizers:
1. Department of Fertilizers
2. Ministry of Chemicals and Fertilizers
3. Cabinet Committee on Economic Affairs (CCEA)
4. Ministry of Agriculture and Farmers Welfare
Which of the above is/are NOT correctly associated with the fixing/approval of NBS rates?
- Department of Fertilizers
- Ministry of Chemicals and Fertilizers
- Cabinet Committee on Economic Affairs (CCEA)
- Ministry of Agriculture and Farmers Welfare
- A. 1 and 2
- B. 3 only
- C. 4 only
- D. 2 and 4
Q3. Which one of the following operationalises the Nutrient Based Subsidy (NBS) scheme and moves the proposal for fixing NBS rates on P&K fertilizers?
- A. Department of Fertilizers
- B. Department of Agriculture and Farmers Welfare
- C. Department of Food and Public Distribution
- D. Department of Rural Development
Q4. The Nutrient Based Subsidy (NBS) scheme for Phosphatic & Potassic fertilizers was introduced with effect from which one of the following?
- A. 1 April 2008
- B. 1 April 2010
- C. 1 April 2012
- D. 1 April 2015
Q5. In the context of the NBS scheme, the 'decontrol' of the Phosphatic & Potassic (P&K) fertilizer sector is best described as which one of the following?
- A. Fertilizer companies fix the Maximum Retail Price while the Government pays a fixed nutrient-content-based subsidy
- B. The Government fixes both the Maximum Retail Price and the subsidy, and companies merely distribute the fertilizer
- C. Both the price and the subsidy are left entirely to market forces with no Government payment
- D. Companies receive an ad-valorem subsidy on the import value with the retail price fixed statutorily by the Government
Q6. With reference to the NBS rates approved for the Rabi 2025-26 season, consider the following statements:
1. The tentative budgetary requirement is about ₹37,952.29 crore.
2. This requirement is about ₹736 crore higher than that for Kharif 2025.
3. The subsidy on DAP is fixed at ₹29,805 per metric tonne.
4. The rates are effective for the period April to September 2025.
Which of the above is/are correctly identified?
- The tentative budgetary requirement is about ₹37,952.29 crore.
- This requirement is about ₹736 crore higher than that for Kharif 2025.
- The subsidy on DAP is fixed at ₹29,805 per metric tonne.
- The rates are effective for the period April to September 2025.
- A. 1, 2 and 3
- B. 1 and 4 only
- C. 2 and 3 only
- D. 1, 2, 3 and 4
Q7. Among the P&K fertilizers, which one carries the highest per-metric-tonne subsidy fixed for the Rabi 2025-26 season?
- A. Di-Ammonium Phosphate (DAP)
- B. Muriate of Potash (MOP)
- C. Single Super Phosphate (SSP)
- D. Mono-Ammonium Phosphate (MAP)
Q8. In the context of the enhanced fertilizer subsidy, Di-Ammonium Phosphate (DAP) is best described as which one of the following?
- A. A phosphatic fertilizer that also supplies nitrogen, covered under NBS
- B. A purely potassic fertilizer supplying only potash, kept outside NBS
- C. A nitrogenous fertilizer identical to urea and under statutory price control
- D. A micronutrient fortifier supplying only sulphur and zinc
Q9. The special packages on DAP, provided over and above the NBS subsidy rates to keep DAP affordable to farmers, are extended by a department functioning under which Union Ministry?
- A. Ministry of Chemicals and Fertilizers
- B. Ministry of Agriculture and Farmers Welfare
- C. Ministry of Consumer Affairs, Food and Public Distribution
- D. Ministry of Commerce and Industry
Q10. Comparing the Rabi 2025-26 NBS revision with the preceding periods, consider the following statements:
1. The DAP subsidy for Rabi 2025-26 (₹29,805/MT) is higher than the ₹21,911/MT fixed for Rabi 2024-25.
2. The budgetary requirement for Rabi 2025-26 is higher than that for Kharif 2025.
3. Urea was brought under the NBS scheme for the first time in Rabi 2025-26.
Which of the statements given above is/are correct?
- The DAP subsidy for Rabi 2025-26 (₹29,805/MT) is higher than the ₹21,911/MT fixed for Rabi 2024-25.
- The budgetary requirement for Rabi 2025-26 is higher than that for Kharif 2025.
- Urea was brought under the NBS scheme for the first time in Rabi 2025-26.
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q11. The NBS rates, revised bi-annually in view of international prices of raw materials such as rock phosphate, ammonia and sulphur, receive their final approval from which one of the following?
- A. Cabinet Committee on Economic Affairs (CCEA)
- B. NITI Aayog
- C. Commission for Agricultural Costs and Prices (CACP)
- D. Fertilizer Association of India (FAI)