India steps up fertiliser black-market crackdown after 466,415 raids
India has detailed a large enforcement drive against fertiliser hoarding, diversion and black marketing. Since April 2025, authorities say they have carried out 466,415 raids alongside thousands of administrative and criminal actions.
India has intensified its campaign against fertiliser hoarding, diversion and black marketing, putting enforcement at the centre of farm-input policy ahead of key cropping periods. Odisha TV reported that since April 2025 authorities have conducted 466,415 raids, issued 16,246 show-cause notices, suspended or cancelled 6,802 licences and registered 821 FIRs against offenders.
The government also disclosed a separate snapshot for February 2026. In that month alone, officials issued 28 show-cause notices, suspended or cancelled two licences and filed two FIRs specifically in hoarding-related cases. That monthly breakdown suggests the campaign is being run as a continuous monitoring and enforcement exercise rather than a one-off clean-up drive.
The legal framework behind the crackdown is long established. Fertilisers are treated as essential commodities under the Essential Commodities Act of 1955 and are regulated through the Fertilizer Control Order of 1985. Those provisions give state governments the authority to act against supply-chain actors accused of manipulation, diversion or other violations affecting access to agricultural inputs.
The Department of Agriculture and Farmers Welfare is also coordinating weekly monitoring of enforcement measures with the states. The policy objective is twofold: to curb speculation and supply manipulation while preserving farmers’ access to critical products during active field seasons. The government says supplies of urea, DAP, MOP and NPKS have remained adequate during the ongoing Rabi 2025-26 season.
Subsidy policy remains the second pillar of that strategy. Under the Urea Subsidy Scheme, farmers receive urea at a controlled maximum retail price of Rs. 242 per 45 kg bag, excluding neem coating and applicable taxes. The government covers the difference between delivered farm-gate cost and market realisation for manufacturers and importers, helping contain the price farmers actually pay.
India is also continuing its Nutrient-Based Subsidy system for phosphatic and potassic fertilisers, adjusting support in line with international fertiliser and raw-material prices. For the Kharif 2025 and Rabi 2025-26 seasons, the government has added Rs. 3,500 per metric tonne to cover transport, global price variation, GST components and a 4% reasonable return on net MRP for domestic and imported DAP as well as imported TSP. Taken together, the measures show New Delhi trying to suppress a speculative fertiliser market while keeping farm inputs affordable and physically available.