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Guidelines Fertilizer Supply and Distribution in Telangana for 2024-25

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The Government of Telangana has laid out comprehensive operational guidelines for the year 2024-25 to ensure the efficient supply, distribution, and monitoring of fertilizers across the state. These measures aim to support agricultural productivity by ensuring that farmers have timely access to essential fertilizers. Overview of Fertilizer Supply Plans The primary goal of the operational guidelines is to maintain a seamless supply of fertilizers such as Urea, DAP, Complex fertilizers, and MoP to meet the agricultural demands of the state. The Department of Fertilizers (DoF) coordinates with various stakeholders, including the District Agriculture Officers (DAOs), companies, and organizations like MARKFED, to ensure smooth execution. Supply Plan and Allocation Communication of Supply Plans: The Department of Fertilizers (DoF) disseminates monthly supply plans by product and company to the states. These plans detail the allocation for Urea, DAP, Complex fertilizers, and MoP, which are then communicated to district officers and other stakeholders for execution. District Action Plans: DAOs are tasked with developing action plans based on anticipated fertilizer demand. These plans prioritize areas based on cropping patterns and soil health recommendations rather than institutional demands. Retail Distribution: Cooperatives such as MACS, PACS, DCMS, and ARSKs are designated as retailers, ensuring fertilizers are sold directly to farmers and not other dealers. Allocation and Distribution from Rake Points The distribution of Urea from rake points involves meticulous planning and coordination between various agencies to ensure timely availability to farmers: Rake Point Allocations: DAOs receive district-wise allocations for each Urea rake, with at least 60% designated for MARKFED and up to 40% for private traders. Distribution Monitoring: Rake Point Officers oversee the allocation and ensure that Urea is distributed according to approved plans, with accurate record-keeping and reporting. Storage and Movement: If a wholesaler lacks storage facilities, stocks can be temporarily stored in company godowns, with strict instructions for movement to designated areas. Real-time Tracking: The Online Rake Point Fertilizer Dispatches software is used to enter arrival and dispatch details, ensuring transparency and accountability in the supply chain. Distribution and Movement of Fertilizers Efficient movement and storage of fertilizers are crucial to meet farmers' needs, especially during peak seasons: Space Identification and Stock Movement: MARKFED is responsible for procuring and maintaining buffer stocks, ensuring that fertilizers are available throughout the state. A minimum buffer stock of 5000 MTs of Urea must be maintained in each district. First-In-First-Out Principle: Stocks are managed on a first-in-first-out basis to prevent the accumulation of old stocks, with MARKFED ensuring the timely movement of fertilizers from buffer stocks to dealers. Monitoring Sensitive Areas: DAOs identify regions with higher demand and ensure stocks are positioned in advance to avoid shortages. Regular communication and monitoring prevent unauthorized movement and ensure compliance with regulations. Monitoring and Regulation A robust monitoring and regulatory framework is in place to oversee the distribution and usage of fertilizers: District-Level Monitoring: A committee led by the District Collector regularly reviews fertilizer supply and distribution, addressing any challenges that arise. Dealer Compliance: Dealers are required to use electronic point-of-sale (e-PoS) devices for transactions, ensuring transparency and reducing manual handling errors. Interstate Movement Control: Border DAOs work with law enforcement to prevent unauthorized interstate movement of fertilizers, protecting the local supply. Nutrient-Based Subsidy and Pricing The government follows a nutrient-based subsidy policy for fertilizers to maintain affordability for farmers: Subsidy Determination: The Department of Fertilizers sets per metric ton subsidy rates for P&K fertilizers, while manufacturers determine retail prices. Price Transparency: Fertilizer bags must clearly display the maximum retail price (MRP) and applicable subsidies, with penalties for sales above the MRP. Regulation and Compliance The operational guidelines include stringent measures for regulation and compliance to maintain the integrity of the fertilizer supply chain: License Management: Dealers found engaging in manual sales face license cancellation. Inactive retailers receive notices to activate or risk losing their licenses. Inspections and Enforcement: Fertilizer Inspectors conduct regular inspections to ensure compliance with the Fertilizer Control Order (FCO), preventing the diversion of subsidized fertilizers for non-agricultural purposes. Dealer Education: Workshops and meetings educate dealers on compliance, stock management, and transaction processes, promoting best practices in fertilizer distribution. Reporting and Direct Benefit Transfer Transparent reporting and direct benefit transfers (DBT) are key components of the fertilizer supply chain: Stock Reporting: DAOs are responsible for daily reporting of stock availability, ensuring stakeholders have accurate and up-to-date information. Direct Benefit Transfer (DBT): The DBT system allows for real-time tracking of fertilizers from manufacturers to farmers, ensuring subsidies reach the intended beneficiaries. Stakeholder Communication: Regular communication through electronic media keeps farmers informed about fertilizer availability, reducing inconvenience and ensuring timely access. Conclusion The Government of Telangana's operational guidelines for 2024-25 demonstrate a comprehensive approach to managing the supply and distribution of fertilizers. By focusing on efficient planning, monitoring, and regulation, the state aims to support its agricultural sector and ensure that farmers receive the necessary inputs for successful crop production. Through these measures, Telangana seeks to enhance productivity and sustainability in agriculture, contributing to the overall prosperity of the state.

The Government of Telangana has laid out comprehensive operational guidelines for the year 2024-25 to ensure the efficient supply, distribution, and monitoring of fertilizers across the state. These measures aim to support agricultural productivity by ensuring that farmers have timely access to essential fertilizers.

Overview of Fertilizer Supply Plans

The primary goal of the operational guidelines is to maintain a seamless supply of fertilizers such as Urea, DAP, Complex fertilizers, and MoP to meet the agricultural demands of the state. The Department of Fertilizers (DoF) coordinates with various stakeholders, including the District Agriculture Officers (DAOs), companies, and organizations like MARKFED, to ensure smooth execution.

Supply Plan and Allocation

  1. Communication of Supply Plans: The Department of Fertilizers (DoF) disseminates monthly supply plans by product and company to the states. These plans detail the allocation for Urea, DAP, Complex fertilizers, and MoP, which are then communicated to district officers and other stakeholders for execution.
  2. District Action Plans: DAOs are tasked with developing action plans based on anticipated fertilizer demand. These plans prioritize areas based on cropping patterns and soil health recommendations rather than institutional demands.
  3. Retail Distribution: Cooperatives such as MACS, PACS, DCMS, and ARSKs are designated as retailers, ensuring fertilizers are sold directly to farmers and not other dealers.

Allocation and Distribution from Rake Points

The distribution of Urea from rake points involves meticulous planning and coordination between various agencies to ensure timely availability to farmers:

  1. Rake Point Allocations: DAOs receive district-wise allocations for each Urea rake, with at least 60% designated for MARKFED and up to 40% for private traders.
  2. Distribution Monitoring: Rake Point Officers oversee the allocation and ensure that Urea is distributed according to approved plans, with accurate record-keeping and reporting.
  3. Storage and Movement: If a wholesaler lacks storage facilities, stocks can be temporarily stored in company godowns, with strict instructions for movement to designated areas.
  4. Real-time Tracking: The Online Rake Point Fertilizer Dispatches software is used to enter arrival and dispatch details, ensuring transparency and accountability in the supply chain.

Distribution and Movement of Fertilizers

Efficient movement and storage of fertilizers are crucial to meet farmers’ needs, especially during peak seasons:

  1. Space Identification and Stock Movement: MARKFED is responsible for procuring and maintaining buffer stocks, ensuring that fertilizers are available throughout the state. A minimum buffer stock of 5000 MTs of Urea must be maintained in each district.
  2. First-In-First-Out Principle: Stocks are managed on a first-in-first-out basis to prevent the accumulation of old stocks, with MARKFED ensuring the timely movement of fertilizers from buffer stocks to dealers.
  3. Monitoring Sensitive Areas: DAOs identify regions with higher demand and ensure stocks are positioned in advance to avoid shortages. Regular communication and monitoring prevent unauthorized movement and ensure compliance with regulations.

Monitoring and Regulation

A robust monitoring and regulatory framework is in place to oversee the distribution and usage of fertilizers:

  1. District-Level Monitoring: A committee led by the District Collector regularly reviews fertilizer supply and distribution, addressing any challenges that arise.
  2. Dealer Compliance: Dealers are required to use electronic point-of-sale (e-PoS) devices for transactions, ensuring transparency and reducing manual handling errors.
  3. Interstate Movement Control: Border DAOs work with law enforcement to prevent unauthorized interstate movement of fertilizers, protecting the local supply.

Nutrient-Based Subsidy and Pricing

The government follows a nutrient-based subsidy policy for fertilizers to maintain affordability for farmers:

  1. Subsidy Determination: The Department of Fertilizers sets per metric ton subsidy rates for P&K fertilizers, while manufacturers determine retail prices.
  2. Price Transparency: Fertilizer bags must clearly display the maximum retail price (MRP) and applicable subsidies, with penalties for sales above the MRP.

Regulation and Compliance

The operational guidelines include stringent measures for regulation and compliance to maintain the integrity of the fertilizer supply chain:

  1. License Management: Dealers found engaging in manual sales face license cancellation. Inactive retailers receive notices to activate or risk losing their licenses.
  2. Inspections and Enforcement: Fertilizer Inspectors conduct regular inspections to ensure compliance with the Fertilizer Control Order (FCO), preventing the diversion of subsidized fertilizers for non-agricultural purposes.
  3. Dealer Education: Workshops and meetings educate dealers on compliance, stock management, and transaction processes, promoting best practices in fertilizer distribution.

Reporting and Direct Benefit Transfer

Transparent reporting and direct benefit transfers (DBT) are key components of the fertilizer supply chain:

  1. Stock Reporting: DAOs are responsible for daily reporting of stock availability, ensuring stakeholders have accurate and up-to-date information.
  2. Direct Benefit Transfer (DBT): The DBT system allows for real-time tracking of fertilizers from manufacturers to farmers, ensuring subsidies reach the intended beneficiaries.
  3. Stakeholder Communication: Regular communication through electronic media keeps farmers informed about fertilizer availability, reducing inconvenience and ensuring timely access.
GO 590 Guidelines Fertilizer Supply and Distribution in Telangana for 2024-25Download

Conclusion

The Government of Telangana’s operational guidelines for 2024-25 demonstrate a comprehensive approach to managing the supply and distribution of fertilizers. By focusing on efficient planning, monitoring, and regulation, the state aims to support its agricultural sector and ensure that farmers receive the necessary inputs for successful crop production. Through these measures, Telangana seeks to enhance productivity and sustainability in agriculture, contributing to the overall prosperity of the state.

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