New Delhi, Nov. 13 -- Higher government subsidies on fertilisers for the ongoing Rabi season are expected to make nutrient-based fertilisers more affordable for farmers, revive demand for complex fertilisers and improve the financial position of domestic manufacturers, according to a report by Dolat Capital.

The report said the revised subsidy rates could help correct the price difference between Di-ammonium Phosphate (DAP) and complex fertilisers, which had led farmers to increasingly prefer DAP over other fertiliser varieties.

The Union Cabinet on Wednesday has approved a total subsidy outlay of Rs 62,400 crore for the six-month Rabi season, from October 1, 2026, to March 31, 2027. This represents a 64 per cent increase from Rs 38,000...