Agriculture

Why does India not import corn from the US?

Context: The US Commerce Secretary has questioned India for not opening up its market to American Corn. Differences over agricultural trade is at the heart of the trade dispute between India and the US.

Relevance of the Topic: Prelims: India-US Trade dispute: Agriculture Sector 

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Why does India not import corn from the US? 

There are three reasons why India does not buy American Corn:

  • Self-sufficiency in Corn production: India produces around 34-36 million tonnes of corn annually, making it the world’s fifth-largest producer of corn. 
  • Concerns over GM Corn: The US grows more than 90% of its corn from GM seeds. However, India does not permit the cultivation or import of genetically modified food or feed (with the exception of GM cotton). 
  • Protect farmers’ interest:
    • India needs to protect its fragile agricultural sector that employs 500 million people against imports from countries that heavily subsidise their agriculture. Allowing cheaper GM imports would undercut Indian farmers. 
    • Smallholders (backbone of India’s agricultural economy) fear that allowing GM corn would open the gates to multinational corporations controlling seed markets. Dependence on patented seed technology could erode centuries-old practices like seed saving, while also raising questions of consumer safety and environmental impact. 

Reasons the US is exploring alternate markets:

  • China has been a major buyer of US corn, taking nearly a third of America’s exports. After the recent US-China trade war, China has begun to buy corn and soyabeans from Brazil, throwing the US agriculture sector into a crisis.
  • With India’s rising corn consumption (particularly for ethanol-blended petrol programme), the US sees an enormous opportunity to export corn to India. 

Increased demand for corn in India:

  • Traditionally, corn is consumed into poultry feed, starch, and processed foods. 
  • In recent years, a growing share has been diverted toward ethanol production. In the latest cycle, India used 3.5 million tonnes of corn to produce around 1.35 billion litres of ethanol. 
  • With the government pushing for 20% ethanol blending in petrol by 2025-26, annual corn demand for biofuel alone could rise to 6-7 million tonnes.
  • In 2024-25, India imported 0.97 million tonnes of corn (most of which came from Myanmar and Ukraine which export non-GM corn that meets Indian standards). The imports from the US were miniscule (just 1100 tonnes). Thus, there is some scope for corn imports from the US for use in producing ethanol. 

However, importing GM corn even for ethanol production has been firmly rejected, with sugar mills and farmer unions warning it could marginalise sugarcane and disrupt the ethanol-blended petrol programme. 

Also Read: US’s Tariffs: Nature, Impacts, and Lessons for India 

The dispute reflects not just trade imbalances but a deeper clash over farming practices, food security, and agricultural sovereignty.   

Integrated Agriculture: Lavender Honey and Apiculture 

Context: In Kashmir’s Pulwama, the Council of Scientific and Industrial Research’s Indian Institute of Integrative Medicine (CSIR-IIIM) is producing India’s first monofloral lavender honey, a kilogram of which sells for up to ₹6,000. 

Lavender Honey

  • The product is developed under the flagship CSIR Floriculture Mission, and is poised to feed the market for functional foods and grow sustainable agriculture and rural bio-enterprise.
  • A kilogram of it sells between ₹5,000 and ₹6,000 in the global market, six times higher than the price of regular organic honey.
  • The CSIR-IIIM is in the process of filing for geographical indication (GI) for Kashmir lavender honey and upscale its production in the coming years.

About Lavender

  • Lavender is a perennial aromatic plant native to countries bordering the Mediterranean. It is a non-native species of aromatic plant in India. 
  • It is used as an ornamental plant and commercially cultivated as a culinary herb and to extract essential oils.

Benefits of cultivating Lavender: 

  • Purple Revolution: Expansion of lavender cultivation for commercial purposes (E.g., production of lavender honey, essential oils etc.) 
  • Lavender isnot susceptible to pest infestation and acts as a pest barrier due to its antifungal, antimicrobial, and anti-bacterial properties.
    • The highly fragrant crop produces volatile organic compounds diffusing a strong scent that deters insects and pests by overpowering the insect’s olfactory receptors. This makes the pest unable to detect other scents (E.g., apple blossoms). 
    • Rodents attack the roots and stems of fruit-bearing trees like apples and plums. Lavender has been proven to keep away rodents. 
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CSIR-Aroma Mission: 

  • Launched in 2016, the mission focuses on cultivation of aromatic crops (lavender, rose, lemongrass, rosemary, vetiver, mint, etc.) and generating new avenues of self-livelihood and entrepreneurship.
  • Under the CSIR-Aroma Mission, lavender farmers are offered end-to-end support, including cultivation, processing, value addition, and marketing.

CSIR Floriculture Mission: 

  • Launched in 2021, the mission focuses on promoting the floriculture sector in India. It includes commercial floral crops, seasonal/annual crops, wild ornaments and cultivation of flower crops for honey bee rearing. 
  • Floriculture can give 5 times more return than the traditional crops to farmers besides having potential to provide employment to a large number of people.

Beekeeping/ Sweet Revolution

  • The scientific practice of Beekeeping (Apiculture) has the potential to promote eco-friendly and sustainable agriculture along with higher yields leading to increase in income levels of farmers. The Sweet Revolution can act as a major tool to promote socio-economic development.

Beekeeping has great potential for the small and marginal farmers, landless labourers etc. on account of following reasons:

  • Increases crop yields by 20-30% through cross pollination.
  • Additional source of income for paid pollination service.
  • Less capital Intensive and hence can be practiced by poor farmers.
  • Requires no land and can be practiced by landless labourers.
  • Other products such as bee pollen, bee-venom costlier than honey. 
  • Nutritional Security: More than a third of the global food basket is comprised of bee pollinated crops. 
  • Growing demand for honey in the overseas market and hence scope for more export earnings. 

The Government has launched the National Beekeeping and Honey Mission in 2020 to harness the potential of the Sweet Revolution. Beekeeping should be considered as an input of agriculture, which could enhance the efficacy of other inputs and accordingly training should be provided to farmers. 

Need for a Separate Budget for Agriculture

Context: The imposition of 50% penal tariffs by the United States on Indian farm products in 2025 underlines the structural fragility of Indian agriculture and the asymmetry in global trade. 

Asymmetry in Global Trade

  • The US and EU’s so-called “Green Box” subsidies, which they claim are non-trade-distorting, effectively grant their farmers an unfair advantage in global markets.
                        United States                            India 
As per WTO, the US spends over $48 billion annually on domestic farm support. This includes crop insurance subsidies covering up to 60% of premium. A large number of our farmers are waiting for compensation for their produce losses under PMFBY (Pradhan Mantri Fasal Bima Yojna). 
Price guarantees and marketing loans ensure farmers earn above-market rates.India farmers are waiting for a legal guarantee of MSP. 
Export-linked supports disguised as food aid and development programmes allow the US’s wheat, corn or dairy farmers to sell abroad at or below cost without losing income.India’s WTO-notified support (Aggregate Measurement of Support) is less than 5% of production value. It is far below the 10% limit allowed for developing countries.

State of Indian Agriculture: 

Agriculture sustains 42% of our population and employs 46% of our workforce. It contributes less than 20% of the GDP. The recent NABARD (National Bank for Agriculture and Rural Development) Rural Financial Inclusion Survey reveals that:

  • Low household income: An average farming household earns Rs 13,661 per month, with a mere Rs 4,476 from actual farming, the rest comes from supplementary work, such as working as labourers or engaging in petty trade. 
  • Fragmentation of Land: Average farm size has shrunk from 2.28 hectares in 1971 to 0.74 hectares in 2021 which is too small for efficient mechanisation.
  • High Input Cost: Input costs (diesel, fertilisers, seeds) have risen faster than crop prices, and are squeezing margins.
  • Lack of employment alternatives: A large percentage of India’s population is engaged in agriculture is a symptom not of farming’s attractiveness, but of manufacturing and services failing to create the 7.9 million jobs a year.

The US tariff shock highlights a stark truth- protection alone cannot secure agriculture’s future. The agriculture sector in India needs structural reforms as the long-term strategy. It requires equipping farmers with the essential tools, providing market access, and creating alternative employment opportunities. 

Way Forward

India must implement three urgent and decisive shifts.

  • Labour Transition (From Agriculture to Manufacturing & Services): India must shift surplus workers from low-yield farming into manufacturing and services by promoting labour-intensive sectors like textiles, food processing, and light engineering, supported by rural skill training and urban job creation.
  • Prioritise farm consolidation and mechanisation: Land pooling through cooperative farming, FPOs, and land leasing reforms can enable mechanisation, modern irrigation, and precision farming, thereby raising productivity and reducing costs.
  • Need to boost value addition and enhance export competitiveness:
    • India’s farm exports, which stand at $48.15 billion for 2023-24, could experience substantial growth through improved logistics, branding, and quality certification.
    • Reducing post-harvest losses from the current 15-25% to the global standard of 5% can release vast quantities for export.

Protection serves a purpose, but it is reform that will ultimately secure our agricultural future, and for this the Rashtriya Kisan Kalyan Kosh (a separate budget like defence) is the need of the hour.

Also Read: Needs of Indian Agriculture Sector

India’s Fisheries Sector on the Rise

Context: As per the latest government data, India’s fisheries sector has experienced a significant growth and contributes approximately 8% to global fish production.

Relevance of the Topic:Mains: Fisheries Sector in India: Present status; Challenges; Govt. schemes. 

Fisheries Sector in India

With a vast coastline and an Exclusive Economic Zone (EEZ) of 2.02 million square kilometres, India boasts of rich marine resources. India is the second largest fish producing country with around 8% share in global fish production.

  • Present status: In the five year period between 2019-20 to 2023-24:
    • India’s fisheries sector has achieved record production of over 184 lakh tonnes (lt) in FY24 from 141 lt in FY20 (nearly a 30% growth).
    • Fisheries exports from India increased to ₹60,500 crore in FY24.
    • Increase in per capita fish consumption from 5-6 kg to 12-13 kg in FY24.
    • Aquaculture productivity increased from 3 tonnes per hectare to 4.7 tonnes per hectare.
  • Increased investment: In the last 10 years, the government has made a cumulative investment in the fisheries and aquaculture sector of over ₹38,500 crores through various programmes and initiatives. 

Constraints in the growth of Fisheries Sector

  • Overexploitation of fish stocks due to increased demand for seafood. Additionally, seasonal nature of fishing operations, depleted stocks in natural waters, use of obsolete technology for harvesting coupled with low capital infusion threatens the livelihoods of fishing communities and overall health of marine ecosystems.
  • Illegal, Unreported, and Unregulated (IUU) Fishing: IUU fishing practices contribute to overfishing and undermine efforts to manage fisheries sustainably. Lack of effective monitoring and enforcement mechanisms exacerbates this issue.
  • Inadequate infrastructure including lack of proper storage, transportation, and processing facilities, hinders the efficiency of the supply chain. This can lead to post-harvest losses and affect the quality of seafood products.
  • Pollution including industrial runoff, untreated sewage, and plastic waste, poses a threat to aquatic ecosystems.
  • Changing climate patterns impact fish habitats, migration routes, and breeding grounds. This affects fish populations and can result in shifts in the distribution of species, impacting the traditional fishing patterns of communities.
  • Limited access to modern fishing technologies and practices hampers the efficiency and productivity of the fishing industry. The adoption of sustainable and technologically advanced methods is crucial for long-term viability.
  • Ineffective fisheries management, including poorly enforced regulations and a lack of participatory approaches involving local communities, contributes to overfishing and resource degradation.
  • Social and Economic challenges faced by fishing communities such as poverty, lack of education, and limited access to healthcare.

Government Schemes for supporting the growth of Fisheries Sector:

  • Blue Revolution Scheme: Launched in FY16 with a central outlay of Rs 3000 crores for 5 years. It focused mainly on increasing fisheries production and productivity from aquaculture and fisheries resources, both inland and marine.
  • National Policy on Marine Fisheries 2017: The policy guides the conservation and management of India’s marine fishery resources. It places strong emphasis on sustainability as the core principle for all marine fisheries actions.
  • Pradhan Mantri Matsya Sampada Yojana (PMMSY): Approved with a total estimated investment of Rs. 20,050 crores for 5 years from FY 2020-25. Extended till FY26. It aims to address critical gaps in the fisheries value chain from fish production, productivity and quality to technology, post-harvest infrastructure and marketing. 
  • Pradhan Mantri Matsya Kisan Samridhi Sah-Yojana: Central Sector Sub-scheme under PMMSY for 4 years from FY 2024-27. It intends to address inherent weaknesses and bring in institutional reforms to the sector through identified financial and technological interventions. 
  • Technological Interventions:
    • GIS-Based Resource Mapping: Implementation of Geographic Information System (GIS) technology for mapping marine fish landing centers and fishing grounds, aiding in effective resource management.
    • Satellite Technology Integration: National Rollout Plan for Vessel Communication and Support System, application of Oceansat, Potential Fishing Zones (PFZ) etc., undertaken by the Department of Fisheries.
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Also Read: PMMSY: bridging gaps in the fisheries sector 

Strategies to be adopted to boost Blue Revolution: 

  • Horizontal Expansion in untapped areas like Brackish aquaculture, cold water fisheries, Pond aquaculture, Reservoirs, canals, ornamental fisheries, Recreational fisheries.
  • Vertical Expansion through diversification of culture species; Integrated farming system; rice-cum-fish culture system; wastewater aquaculture system, Organic aquaculture.
  • Restoration of natural productivity and conservation of indigenous fisheries resources through ecosystem restoration to boost riverine fisheries. 
  • Address stagnation in Marine fisheries through deep sea fishing, Mariculture, open-sea cage farming etc.
  • Upgradation of fishing fleet. Organise fishermen into FPOs and fishing village communities into VPOs to reap economies of scale and promote value-addition
  • Address problems of seed, feed and health.
  • Enhancing extension through Sagar Mitras.
  • Address technical and managerial gaps in shrimp farming through Foreign Direct Investment. 
  • Development of fisheries post-harvest infrastructure especially modern markets, cold storages, processing plants etc. through Public Private Partnership. 
  • E-markets and e-trading of fish and fish products will be encouraged and promoted.
  • Ecological certification of fisheries to boost exports. 

The Rise of Herbicides 

Context: India’s crop protection chemical industry is undergoing a significant transformation, marked by the rapid growth of the herbicide segment.

Relevance of the Topic: Prelims: Crop protection chemicals (insecticides, fungicides, herbicides), Agricultural labour trends. 

Crop Protection Chemicals

  • Crop protection chemicals, commonly known as pesticides are substances used to protect crops from:
    • Insects (insecticides) E.g., White-backed plant hopper in paddy.
    • Fungal diseases (fungicides) E.g., Blast and sheath blight in rice.
    • Weeds (herbicides) Unwanted plants that compete with crops for resources.
  • These chemicals ensure improved crop health, higher productivity, and reduced input losses.

Current Market Snapshot

  • Total Organised Market Size : ₹24,500 crore (approx.)
  • Segment-wise Breakdown : 
    • Insecticides ₹10,700 crore
    • Herbicides ₹8,200 crore
    • Fungicides ₹5,600 crore
  • Herbicides are the fastest-growing segment, with over 10% annual growth, driven by labour shortages and evolving agricultural practices.
  • The market is heavily dominated by multinational corporations, with limited domestic presence: Bayer (15%, Germany), Syngenta and ADAMA, both owned by China’s Sinochem, Corteva (USA) etc. 
  • However, the herbicide segment has Indian players too, such as Dhanuka Agritech (estimated 6% share) and Crystal Crop Protection Ltd. 
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 Why is the usage of Herbicides booming?

  • Labour Shortage and Rising Wages:
    • Manual weeding is time-intensive (8-10 hours/acre).
    • Labour costs have risen from ₹326.2 (2019) to ₹447.6 (2024).
    • Availability of rural labour for strenuous manual work is declining.
  • Limitations of Mechanical Weeders: Power weeders are not effective in densely planted or deep-rooted weed areas.
  • Herbicides as Labour-saving Technology: Like tractors and harvesters, herbicides are seen as substitutes for manual labour.
  • Cost Comparison: Manual weeding (₹2,000+ per acre) is comparatively more expensive than using chemical herbicide (E.g., Sikosa): ₹850-900 per acre. 
  • Changing Patterns in Herbicide Usage
    • Traditional Practice: Post-emergent application – applied after weeds appear.
    • New Trend: Pre-emergent herbicides - Prevent weeds from sprouting.
    • Early post-emergent: Target weeds at early crop growth stage.
    • Pre-emergent herbicides account for ₹550 crore in ₹1,500 crore paddy herbicide market and 20% of ₹1,000 crore wheat herbicide market

This preventive approach marks a shift from reactive farming to strategic input use.

Challenges & Concerns: 

  • Multinational Monopoly: Unlike seeds and fertilisers (where Indian public/private players exist), the pesticide industry remains largely foreign-dominated. Sinochem Holdings Corporation (China) owns Syngenta & ADAMA; India lacks a comparable domestic giant.
  • Dependence on Imports: Heavy reliance on imported active ingredients and technologies. Need to strengthen indigenous R&D in crop chemistry.
  • Ecological Risks: Misuse of herbicides can harm non-target species, contaminate soil and water.Growing concerns about Paraquat toxicity and herbicide-resistant weeds.

Way Forward

  • Encourage indigenous innovation in agri-chemicals.
  • Incentivise public-private partnerships for research in biopesticides and sustainable crop protection.
  • Promote judicious use of herbicides with farmer education and regulation.

India’s pesticide market is shifting towards herbicides due to labour shortages and cost efficiency. While MNCs dominate, Indian firms are gaining ground through innovation. Strengthening local R&D and ensuring environmental safety are key to sustainable growth.

Bio-fortified Potatoes to hit Indian Market soon

Context: The Director-General of the International Potato Center (CIP), based in Peru, has announced that bio-fortified iron-rich potatoes will soon be available in Indian markets. 

Relevance of the Topic: Prelims: About Bio-fortification; Bio-fortified Potatoes; International Potato Center.

What is Bio-fortification?

  • Bio-fortification is a technique of increasing the nutritional value of crops using conventional breeding or biotechnology. E.g., adding iron or vitamins to potatoes.
  • It helps tackle hidden hunger especially in poor and rural communities.

Why Bio-fortified Potatoes?

  • Potato is the third most consumed food crop in the world after rice and wheat. Potatoes are rich in carbohydrates, but naturally low in micronutrients. Iron deficiency is a major concern in India, especially among women and children.
  • Bio-fortified iron-rich potatoes are aimed at addressing iron deficiency and hidden hunger. E.g., Sweet potatoes fortified with Vitamin A are already being used in Karnataka, West Bengal, Assam, and Odisha. 
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About the International Potato Center (CIP)

  • CIP is a leading international research organisation focused on tubular crops, especially potatoes and sweet potatoes.
  • Headquarters: Peru
  • Collaborates with national governments, research bodies, and private stakeholders.
  • CIP South Asia Regional Centre to be established in Agra, Uttar Pradesh.
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Inter-State trade on electronic National Agriculture Market (e-NAM) declined in FY25

Context: As per the latest government data, the inter-State trade volume on the electronic-National Agriculture Market (e-NAM) saw a sharp decline of 78% during FY25. 

About electronic National Agriculture Market (e-NAM)

  • The Government of India launched the electronic National Agriculture Market (e-NAM) in 2016. 
  • It is a pan-India electronic trading portal that integrates existing physical wholesale mandis and markets across the country to create a unified national market for agricultural commodities. 
  • Implemented by: Small Farmers Agribusiness Consortium (SFAC), under the aegis of Ministry of Agriculture and Farmers’ Welfare.
  • Objectives: 
    • Integration of APMCs through a common online market platform to facilitate pan-India trade in agriculture commodities.
    • Providing farmers better price for their produce through a transparent auction process based on quality of produce along with timely online payment. 
    • Removing information asymmetry between buyers and sellers and promoting real time price discovery based on actual demand and supply.

Difference between e-NAM and the existing Mandi System

  • e-NAM is not a parallel marketing structure but rather a device to create a national network of physical mandis which can be accessed online.
  • It seeks to leverage the physical infrastructure of the mandis through an online trading portal, enabling buyers situated even outside the Mandi/ State to participate in trading at the local level.    
  • e-NAM offers a “plug-in” to any market yard existing in a State (whether regulated or private).  

As of June 2025, over 1520 Mandis are onboarded on e-NAM portal. The total value of agricultural produce traded on the e-NAM portal till the date stands at ₹4.3 lakh crore.                       

Implementation Challenges faced by e-NAM

  • Low penetration: Only ~23% of the APMCs across the country are connected using e-NAM, making this facility available to only 25% of farmers in India. 
  • State-level Licensing & APMC Laws: Agricultural marketing is a state subject; many states do not allow reciprocal licence recognition which restricts outside traders. Only a few states have amended their APMC Acts to allow inter-State trade via e‑NAM. As a result, the inter-State trade volume on e-NAM is low, and even declining.
  • Poor participation of farmers: Most of the small farmers are reluctant to participate in e-NAM, because:
    • Small farmers still prefer to sell their produce to local intermediaries as an obligation towards the input credit provided by them.
    • Digital payments made under e-NAM are a barrier to the repayment of informal loans that farmers have taken from commission agents.
    • Limited awareness of the e-NAM scheme and its benefits among the farmers. 
  • Infrastructural gaps: Inadequate infrastructure such as e-gate passes (entry and exit), quality assaying labs, and underdeveloped IT Infrastructure inhibited the efficient functioning of e-NAMs.
  • Resistance by Traders and Middlemen as the online system is more accountable and would bring them under the ambit of tax.

Way Forward

  • Creating an enabling infrastructure: The mandi should take the responsibility to arrange for logistics and transportation that would facilitate inter-mandi trading on e-NAM. This could be done by outsourcing the tasks related to logistics to a third party.
  • Part-cash and part-online payments to farmers: Farmers at the initial stage should get an option to receive payment partly in cash and the remaining in their bank account. E.g., Madhya Pradesh model. 
  • Liberal licensing:
    • States should take proactive steps to liberalise trading licences within their jurisdiction to boost inter-State trade, and enable provisions in APMC Acts for reciprocal recognition of mandi licenses, unified licences etc.  
    • The existing license of the traders should be upgraded to a unified license that lets them trade across any mandi in the country. The fees to upgrade the license should be nominal. 
  • Ban on conventional trade and mandating the traders to shift to e-NAM.
  • Providing Incentives to farmers and traders like Agri-input supply coupons etc. to encourage them to participate in e-NAM.

The government plans to rollout e-NAM 2.0 to integrate logistics providers and provide last‑mile logistics. The main features of e-NAM 2.0 would be bank account validation, eKYC features using Aadhaar and onboarding of assaying, grading, logistics and other value added service providers. 

Biostimulants in Indian Agriculture 

Context: Government has tightened the regulation of Biostimulants following the complaints from farmers about forced tagging of Nano-fertilisers or Biostimulants with conventional subsidised fertilisers.

Relevance of the Topic: Prelims: Biostimulants, Fertiliser Control Order (FCO) 1985, Insecticide Act 1968.

What are Biostimulants?

The Fertiliser (Inorganic, Organic or Mixed) (Control) Order 1985, which regulates the manufacturing and sale of biostimulants, defines biostimulants as substances or microorganisms that: 

  • Stimulate plant physiological processes
  • Improve nutrient uptake
  • Enhance growth, yield, stress tolerance, and crop quality.
  • Do not include pesticides or plant growth regulators which are regulated under the Insecticide Act 1968.

They can be derived from seaweed extracts, plant waste, or microorganisms and are not traditional fertilisers or pesticides.

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India’s Biostimulant Market

  • India biostimulants market size is valued at USD 355.53 million in 2024.
  • The market is projected to grow from USD 410.78 million in 2025 to USD 1,135.96 million by 2032, exhibiting a CAGR of 15.64% during the forecast period.

Issues with Biostimulants:  

  • Questionable Efficacy: Many farmers complained about the ineffectiveness of biostimulants.
  • Unregulated Sale in the Past: Biostimulants were sold without government approval for years since they were neither classified as fertilisers nor pesticides. Over 30,000 products were sold unchecked for years. After government regulation, the number has now come down to approximately 650.
  • Provisional Certification Loophole: Manufacturers were allowed to sell products with only provisional registration, which was extended repeatedly. This delayed the enforcement of full regulatory standards.

1985 Fertiliser Control Order (FCO) and the Insecticide Act, 1968

  • In India, fertilisers and pesticides are governed by the 1985 Fertiliser Control Order and the Insecticides Act of 1968, respectively.
  • The Union Ministry of Agriculture and Farmers’ Welfare issues the Fertiliser Control Order (FCO) under the Essential Commodities Act, 1955, and makes changes to it from time to time.

Regulation of Biostimulants

  • In 2021, the Ministry of Agriculture amended the 1985 FCO and included biostimulants, paving the way for their regulated manufacturing, sale and import. The inclusion of biostimulants empowered the Central government to fix specifications.
  • The FCO classified biostimulants specified in Schedule VI of the FCO in eight categories, including botanical extracts (as well as seaweed extracts), bio-chemicals, vitamins, and antioxidants.
  • Every manufacturer or importer of a biostimulant shall make an application to the Controller of Fertilisers along with the requisite product information.
  • The product’s chemistry, source (natural extracts of plant/microbe/animal/synthetic), shelf-life, reports of bio-efficacy trials, and toxicity must be submitted, along with other data. The five basic acute toxicity tests are: 
    • Acute oral 
    • Acute dermal 
    • Acute Inhalation 
    • Primary skin Irritation
    • Eye irritation 
  • The four eco-toxicity tests are: (i) Toxicity to birds; (ii) Toxicity to Fish (Freshwater); (iii) Toxicity to honeybees; (iv) Toxicity to earthworm
  • The FCO clearly states that no biostimulant shall contain any pesticide beyond the permissible limit of 0.01ppm. 
  • Agronomic bio-efficiency trials shall be conducted under the National Agricultural Research System, including the Indian Council of Agricultural Research and state agricultural universities. 
  • Bio-efficacy trials shall be conducted at minimum three different doses for one season at three agro-ecological locations.

Central Biostimulant Committee: 

  • In 2021, the Agriculture Ministry constituted the Central Biostimulant Committee for 5 years, with the Agriculture Commissioner as its Chairperson and seven other members.
  • Under the FCO, it shall advise the Centre on:
    • inclusion of a new biostimulant;
    • specifications of various biostimulants
    • methods of drawing of samples and its analysis
    • minimum requirements of laboratory
    • method of testing of biostimulants
    • any other matter referred to it by the central government.

Recent Government Actions on Biostimulants

  • The Union Agriculture Minister wrote to all Chief Ministers urging them to stop the forced tagging of biostimulants with subsidised fertilisers like urea and DAP.
  • The latest extension of provisional certificates expired on June 16, 2025, after which companies cannot sell unapproved biostimulants.
  • In addition to this, the Agriculture Ministry notified “Specifications of Biostimulants” for several crops, including tomato, chilli, cucumber, paddy, brinjal, cotton, potato, green gram, grape, hot pepper, soybean, maize, and onion.

India’s Silent Crisis: Poor Soil Health and Hidden Hunger

Context: Despite achieving food self-sufficiency, India continues to face widespread malnutrition largely due to declining soil health and imbalanced fertiliser use.

India’s Progress in Food Security

Once dependent on food imports under the US PL-480 programme in the 1960s, India has today become self-sufficient in food production: 

  • In FY25, India exported 20.2 million tonnes (MT) of rice in a global market of 61 MT. 
  • India runs the world’s largest food distribution programme, the PM-Garib Kalyan Yojana (PMGKY), providing  5 kg of free rice or wheat per person per month to more than 800 million people. 
  • The Food Corporation of India holds about 57 MT of rice- the highest stock in 20 years and nearly four times the buffer norm of 13.54 MT as of July 1, 2025.

Poverty has receded significantly: 

  • The extreme poverty head count (those earning less than $3/day at 2021 PPP) dropped from 27.1% in 2011 to just 5.3% in 2022.

Persistent Challenge of Malnutrition: 

  • Despite food self-sufficiency, malnutrition remains a major concern. The National Family Health Survey (NFHS 5) (2019-21) reports that : 
    • 35.5% of children under five years of age are stunted, 
    • 32.1% are underweight, and 
    • 19.3% are wasted. 
  • One critical and often overlooked factor behind malnutrition is the health of soils. 

Status of Indian Soils

  • Less than 5% of Indian soils have high or sufficient nitrogen (N). 
  • Only 40% have sufficient phosphate (P).
  • Only 32 % have sufficient potash (K).
  • Just 20% are sufficient in soil organic carbon (SOC) - a critical component of soil fertility and nutrient absorption
  • Our soils also suffer from a deficiency of sulphur, as well as micronutrients like iron, zinc and boron.

Imbalanced Fertiliser Use:  

  • For example, In Punjab, nitrogen use exceeds recommendations by 61%, while potassium use is short by 89%, and phosphorus use is short by 8%.
  • Only 35-40% of Nitrogen from granular urea is absorbed by crops, the rest is either released into the atmosphere as nitrous oxides or leaches into groundwater, contaminating it with nitrates and making it unsafe for consumption.
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Impacts of Agriculture in Nutrient-deficient Soils

  • Crops grown on nutrient-deficient soils often mirror those deficiencies, leading to a silent but pervasive form of malnutrition in humans. E.g., Deficiency of zinc in soils results in low zinc content in cereals like wheat and rice, which in turn is linked to childhood stunting.
  • Imbalanced use of fertilisers leads to soil degradation and suboptimal agricultural productivity. 
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The Indian Council for Research on International Economic Relations (ICRIER) and OCP Nutricrops (Moroccan state-owned fertiliser production company) have committed to collaborating to improve soil health in India. The collaboration aims to develop, implement, and scale region-specific, data-driven soil nutrition solutions that enhance crop productivity while improving their nutritional profile.

Way Forward

To restore soil health and improve both crop and human nutrition, India needs a paradigm shift-

  • Shift from indiscriminate fertiliser use to science-based soil nutrition management.
  • Promote rigorous soil testing to guide fertiliser application.
  • Implement customised fertilisation strategies aligned with specific soil and crop needs.
  • Link to Sustainable Development Goals (SDGs) - Improving soil nutrition advances SDG-2 (Zero Hunger) and SDG-13 (Climate Action). 

DAP Fertiliser Crisis Made in China

Context: China’s informal ban on DAP exports to India during the crucial sowing season has disrupted supply chains, and has exposed India’s strategic dependence on the geopolitical rival.

DAP Fertiliser in Indian Agriculture

  • India is the largest importer of Di-Ammonium Phosphate (DAP) in the world, the second-most used fertiliser in the country after Urea.
  • DAP contains - 46% Phosphorus (P) and 18% nitrogen (N), and is critical during sowing for root and shoot development.
  • China has historically been the top exporter of DAP to India. 80% of India’s speciality fertilisers- crucial for high-value horticultural crops like fruits and vegetables, come from China. 

China’s Informal Weaponisation of Trade: 

Informal Export Ban on DAP: 

  • China has stopped exporting DAP to India without an official notification. 
  • Until 2023-24, China was a prominent supplier of DAP to India. 
  • In 2024-25, imports from China fell from 22.9 lakh tonnes (LT) in FY24 to 8.4 LT in FY25. 
  • Since January 2025, not a single tonne from China has been imported. 
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Impacts on India

Shortage of Di-Ammonium Phosphate (DAP) the second most-used fertiliser in India during the peak kharif sowing season.

  • Rise in DAP Prices: 
    • DAP import prices rose from ~$515/tonne (mid-2024) to $810+/tonne (mid-2025).
    • DAP prices in local markets spiked from the official MRP of ₹1,350 to ₹1,700+ per 50-kg bag due to shortages and hoarding.
  • Distress among farmers due to erratic supply and growing black market.
  • Shortage-driven crop damage may raise prices of vegetables, pulses, and oilseeds, fuelling food inflation.
  • Fertiliser units may struggle to meet demand, leading to underproduction and reliance on second-tier alternatives like Single Superphosphate (SSP) and Ammonium Phosphate Sulphate (APS). China's indirect control over upstream phosphate resources affects India’s ability to domestically manufacture DAP. 
  • Indian importers have to source more phosphates from Saudi Arabia, Morocco, Russia and Jordan, however, none of these countries have been able to fill the void left by China.

Way Forward

  • Supply diversification: Establish new supply lines from Morocco, Saudi Arabia, Russia, etc.
  • Boost Domestic Production: Invest in reviving and upgrading public and cooperative sector fertiliser units.
  • Subsidise innovation in green and nano-fertilisers to reduce import dependence.
  • Like the proposed India Rare Earth Mission, create a National Fertiliser Mission with production-linked incentives, research, and domestic backward linkages.
  • Leverage multilateral forums (e.g., WTO) to raise the issue of informal trade blockades.
  • Explore bilateral pressure through BRICS or SCO diplomatic backchannels.
  • Improve real-time logistics and digital tracking of fertiliser distribution and direct benefit transfers for fertiliser subsidies to bypass black-market exploitation.

India's fertiliser crisis is a strategic wake-up call. It offers an opportunity for India to reset its fertiliser ecosystem toward efficiency, resilience, and autonomy.

Key Facts: 

  • DAP contains 46% Phosphorus (P) and 18% Nitrogen (N). Experts recommend that Indian farmers should be discouraged from applying fertilisers with very high individual nutrient content- be it DAP (46% P); Urea (46% N) and Muriate of Potash (60% potassium or K).
  • Ammonium phosphate sulphate (APS), a NPKS complex (20: 20: 0: 13), has emerged as India’s third most consumed fertiliser after urea and DAP. APS is more balanced i.e., has nutrients in the right quantities and proportions for effective absorption by the plant roots and leaves. 

Other Examples of China's Strategic Trade Weaponisation: 

  • In 2010, China halted rare earth exports to Japan amid the Senkaku Islands dispute.
  • In 2024-25, China restricted rare earth magnet exports to India, affecting defence and EV sectors.
  • In 2025, Chinese firms refused to supply parts for tunnel boring machines used in Indian infrastructure.

Also Read: Bio & Organic Fertilisers 

India-US Agricultural Tariff Tussle

Context: The US is pressuring India to reduce agricultural tariffs to boost its farm exports. India is resisting due to concerns over food security, MSP, and unfair US subsidies.

Relevance of the Topic: Mains: Challenges in India-US trade relations; WTO subsidy norms and their impact on Indian agriculture

Contentious issues in India-US Bilateral Trade Agreement

One of the most contentious issues in the India-US Bilateral Trade Agreement (BTA) is the US government’s and the US agri-lobbies’ pressure on India to open its agriculture market. They are pushing India: 

  • To lower high tariffs on key agri-products like Rice and Maize in order to enable US agri-business to significantly expand their presence in India.
  • To remove restrictions on genetically modified (GM) corn.
  • Allow imports of Distillers Dried Grains with Solubles (DDGS), a byproduct of ethanol production.
  • Ease limits on Ethanol imports.

What benefits will the US gain?

Through tariff reduction and access to India’s markets, estimated benefits annually: 

  • $235 million/year if India removes restrictions on GM corn.
  • $434 million/year if the US corn is used for sustainable aviation fuel in India.
  • $137.5 million in 5 years if India allows imports of DDGS. 
  • The US would benefit from increased soy oil exports.

Why Is India not Agreeing?

India has resisted tariff reduction due to several concerns, all centered around protecting its agricultural sovereignty and food security:

  • Livelihood uncertainties for Farmers: Opening India’s agriculture to imports would create livelihood uncertainties for farming communities and pose a serious threat to its food security.
  • Unfair competition from the US subsidies:
    • The US’ farm subsidies have consistently increased over the past two decades- from $61 billion in 1995 to $215 billion in 2022. The US provides over $200 billion annually in farm subsidies, enabling its agri-businesses to export (dump) at prices below production cost. 
    • If India removes tariff protections, Indian farmers without such subsidy levels would be unable to compete, leading to market distortions.
  • Flawed WTO Subsidy Assessment: The WTO Agreement on Agriculture (AoA) uses a flawed methodology that compares current MSP with international prices from 1986-88, thus, inflating India’s subsidy levels unfairly.

If India yields to pressure and removes or reduces MSP, distressed farmers may abandon the production of critical food crops.

image 27

Way Forward

India must: 

  • Refuse to reduce tariffs on key commodities unless the US agrees to significantly reduce its farm subsidies.
  • Continue to challenge the WTO’s flawed subsidy calculation methodology, pushing for inflation-adjusted or updated international reference prices.
  • Maintain its strong negotiating position in the WTO and BTA to prevent external pressure from undermining national interests.
  • Assert that India’s subsidies serve developmental goals, unlike the US, which uses subsidies to dominate export markets. 

Is Palm Oil Bad for Health? 

Context: Indian Food and Beverage Association (IFBA) issued a statement that Palm Oil has been consumed by Indians since the 19th century, and that the oil has a well-rounded fatty acid profile. As per IFBA, the use of labels such as palm oil free or no palm oil are misleading.

Relevance of the Topic: Prelims: Key facts about Palm Oil; Palm Production; NMEO-OP

About Palm Oil

  • Palm oil is among the most affordable and versatile edible oils valued for its long shelf-life and neutral taste. 
  • Utility:
    • Packaged foods including- potato chips, biscuits, ice cream, and chocolates.
    • Non-food industry- soaps, shampoos, detergents, lipsticks, perfumes.
    • Biodiesel production.  

Contents of Oil and Health Concerns: 

  • All oils mainly contain three types of fatty acids: 
    • Bad- saturated fatty acid (SFA)
    • Good- mono-unsaturated fatty acid (MUFA)
    • Good- Poly-unsaturated fatty acid (PUFA).
  • Fats that remain solid or semi-solid at room temperatures- including palm oil, coconut oil, ghee, butter, and lard - are high in saturated fatty acids (SFA).
    • Coconut oil (90 grams/ 100 grams of oil) and ghee (70 grams/ 100 grams of oil) have the highest SFA content. 
    • Palmolein (the liquid part of palm oil) contains around 40 grams of SFA and 40 grams of MUFA, with the rest PUFA. 
    • Mustard, Safflower, and Sunflower have the lowest SFA content less than 10 grams per 100 gram of oil.
  • Apart from fatty acids, Trans Fatty Acids (TFA) are produced during the hydrogenation of liquid vegetable oils. (Hydrogenation- Addition of Hydrogen atoms into such oils converts liquid oil to semi-solid, and increases their shelf-life.) 
  • Consumption of oils with high SFA increases the levels of bad cholesterol (low density lipoproteins). This in turn increases inflammation in the body, decreases insulin sensitivity, and enhances the tendency of clot formation. Consuming such oils can increase the risk of heart attacks and strokes, as well as the onset of type-2 diabetes.
  • Consumption of TFAs can increase the risk of diabetes, breast cancer, colon cancer, pre-eclampsia (high blood pressure during pregnancy), and disorders of the nervous system.
image 16

Is Palm Oil Bad for Health? 

  • Palmolein (the liquid part of palm oil) contains around 40 grams of SFA and 40 grams of MUFA, with the rest PUFA. 
  • Palm oil is semi-solid at room temperature so it does not need to be hydrogenated.
  • Palm oil contains tocotrienols (a type of antioxidant) which helps lower blood cholesterol levels. 

Hence, the oil consumption should be done in moderation. 

Indian Dietary Guidelines by ICMR:  

As per the Indian Dietary Guidelines by ICMR (Indian Council of Medical Research):

  • Consumption of oil should be limited to between 20 and 50 grams (four to 10 teaspoons) per person per day.
  • Oils should not be reheated. Because once heated, PUFAs in the oil start to oxygenate, and form harmful compounds that increase the risk of cardiovascular disease and cancers.

Key Facts about Palm Oil: 

  • India is the world's largest importer and second-largest consumer of palm oil.
  • Palm oil import dominates India's edible oils import. The top import countries are: Indonesia and Malaysia. 
  • Indonesia is the world's largest producer of palm oil. Indonesia and Malaysia together account for almost 90% of the global palm oil production.
  • Major oil palm-growing states in India: Andhra Pradesh, Telangana, and Kerala.
  • The central government has launched the National Mission on Edible Oils-Oil Palm (NMEO-OP) in 2021 to increase oil palm cultivation and crude palm oil production.

Also Read: National Mission on Edible Oils-Oil Palm (NMEO-OP)