New Delhi, May 26 -- India's fertiliser subsidy burden could exceed Rs 3 lakh crore in FY27, substantially higher than the Budget Estimate of Rs 1.71 lakh crore, as the ongoing West Asia crisis continues to push up global prices of urea, LNG and other key fertiliser inputs. The subsidy requirement, which was earlier projected to remain below Rs 2 lakh crore before the geopolitical tensions escalated, has surged sharply due to rising import costs and concerns over supply disruptions through the strategically important Strait of Hormuz. If current market conditions persist throughout the Kharif season, the subsidy bill may cross Rs 3 lakh crore, a government official said.

The official indicated that in the event of continued elevated pric...