GST reforms to benefit fertilizers sector: NFL

Noida: National Fertilizers Ltd (NFL) has applauded the GST reforms which will provide a big boost to the fertilizer sector. While the GST rates for essential inputs for manufacturing of nitrogenous and NPK fertilizers viz. Ammonia, Sulphuric Acid and Nitric Acid have been reduced from 18 per cent to 5 per cent, it has been reduced from 12 per cent to 5 per cent on micronutrients.

This will encourage the domestic production of fertilizers as the fertilizer companies will save significantly on raw materials costs ensuring their timely availability and making them affordable to farmers.

This reduction in GST for micronutrients from 12 per cent to 5 per cent will significantly encourage PM-PRANAM Scheme (PM Programme for Restoration, Awareness Generation, Nourishment and Amelioration of Mother-Earth) designed to encourage States and UTs to cut chemical fertilizer use by adopting sustainable farming practices and promoting organic alternatives. This will promote the ‘Balanced Use of Fertilizers’ ensuring the long term sustainability of soil and plant health. It will directly benefit farmers and FPOs, aligning with Govt.’s Natural Farming Mission. Mpost