The fertiliser subsidy bill is expected to be down by at least Rs 700 crore consequent to the increase in the issue price of urea by Rs 12 per 50 kg bag.
The government has also increased price of di-ammonium phopshate (DAP) and muriate of potash by Rs 10 per 50 kg bag. As per the budgetary estimates for 2002-03, the subsidy on urea alone stood at over Rs 7,000 crore.
Finance minister Jaswant Singh, in the Union budget 2003-04, has raised
