Provincial Governments Weigh Fertilizer Subsidies of Up to Rs. 5,000 per Bag Ahead of Rabi Season
Punjab is considering a Rs. 3,000 per bag subsidy while Khyber Pakhtunkhwa has approved Rs. 5,000 in-kind support, as a parliamentary committee pushes for uniform fertilizer prices and a standardized subsidy system nationwide.
Provincial governments are evaluating direct financial relief for farmers ahead of the Rabi season, with fertilizer subsidies ranging up to Rs. 5,000 per bag under discussion, Federal Minister Rana Tanveer Hussain told a parliamentary committee on Tuesday. Punjab is reportedly considering a Rs. 3,000 per bag subsidy, while Khyber Pakhtunkhwa has already approved a Rs. 5,000 in-kind support program, according to details shared with the National Assembly Standing Committee on National Food Security and Research.
The minister said the federal government is working on measures to ease pressure on fertilizer supply and pricing. The committee reviewed the availability of DAP fertilizer and welcomed the recent import of 50,000 tons for the 2026-27 Rabi season. Lawmakers also called for a review of regulatory duties and General Sales Tax on fertilizer imports, arguing that lower levies could help bring retail prices down.
Committee chairman Syed Hussain Tariq urged the ministry to ensure farmers receive the support they need and pressed for a standardized subsidy system across all provinces, along with uniform fertilizer prices nationwide. The push reflects concerns that differing provincial programs could create uneven costs for growers in different regions.
On the agriculture front, the committee welcomed record wheat sowing for the 2026-27 Rabi season and noted the announcement of a support price of Rs. 4,500 per 40 kilograms. Officials from the Ministry of National Food Security and Research also informed lawmakers that rice production has risen by eight percent.
Separately, the committee examined a proposed regulatory duty exemption for imported grandparent and parent stock of chicks, which fall outside PCT codes 0105.1100 and 0105.9400. The ambiguity stemmed from duplicate entries in S.R.O. 1064(I)/2026, and the Tariff Policy Board has unanimously recommended referring the matter to the Federal Cabinet at its October 2026 meeting. The committee plans to invite the Ministry of Finance and the Federal Board of Revenue to its next session for further discussion.
The committee also approved the Seed (Amendment) Bill, 2026, with amendments, and recommended its passage by the National Assembly. The session was attended by MNAs including Nadeem Abbass, Abdul Qadir Khan, Shumaila Rana, Nazir Ahmed Bhugio, Syed Abrar Ali Shah, Syed Ayaz Sherazi, Syed Javed Ali Shah Jillani and Usman Ali, alongside the federal minister and senior ministry officials.
