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Domestic urea cos must ‘neem coat’ 75% of output

Government has made it mandatory for domestic fertiliser firms to “neem coat” at least 75 per cent of their urea production, a move that is likely to save Rs 6,500 crore subsidy outgo. The move is aimed at checking the excessive use of urea which is deteriorating the soil health and adversely impacting overall crop yield.

“...it has now been decided to make it mandatory for all the indigenous producers of urea to produce 75 per cent of their total production of subsidised urea as Neem Coated urea,” Fertiliser Ministry said in a notice to the domestic urea manufacturers.

Removing the cap on neem coating of urea in January this year, and allowing fertiliser firms to coat the 100 per cent of urea produced by them with neem, Fertiliser Minister Ananth Kumar had said that with the use of neem coated urea, there will be more yield to the extent of 15-20 per cent and with less use of urea to the extent of 15-20 per cent.
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