New Delhi: The government has approved a 10% increase in urea prices and partially eased controls on other fertilizers.
The hike was announced by Ambika Soni, Union information and broadcasting minister, after a Cabinet meeting.
The urea prices would rise by Rs483 per tonne from 1 April, the minister said.
The annual fertilizer subsidy is estimated at around Rs70,000 crore in the current financial year.
After the news, the stocks of major fertilizer company moved up.
Union finance minister Pranab Mukherjee, who will present the annual budget on 26 February, is expected to lay down a roadmap for rationalising oil and fertilizer subsidies.