New Delhi, Jan 1 (IANS): The Union Cabinet on Wednesday approved the extension of a one-time special package on Di-Ammonium Phosphate (DAP) beyond the NBS subsidy, to ensure sustainable availability at affordable prices for farmers.

Under the special package, farmers will continue to get DAP at Rs 1,350/- per bag for 50 kg and the extra burden will be borne by the government.

The cabinet approved a one-time special package of Rs 3,850 crore for DAP procurement. The additional subsidy will offset a hike in international prices which will benefit eventually farmers.

The global market prices of DAP remain volatile due to geo-political reasons and hence this move will protect the farmers from additional expenses.

Many farmers from Haryana have welcomed the move, terming it farmer-friendly and also a win-win deal for both farming class and insurance firms.

Rajkumar, a farmer speaking to IANS said, "It is a very good move. Farmers will benefit a lot from this. DAP cost was high earlier, this decision will ease the burden on farmers."

Another farmer said that the government has taken a good decision, and it will work in favour of farmers.

Roshan Sharma, another Kurushetra-based farmer said, "It is like a New Year gift for the farmers."

"It's a good decision by the government. This is a win-win deal for both farmers as well as insurance companies," he added.

Another farmer said that the Modi government is taking decisions in the interest of farmers, though highlighted that some steps ought to be taken for its smooth disbursal.

Another one said that the farming community is happy with the subsidy in DAP procurement and thanked the Centre for addressing their concerns.

Notably, the fertilizer subsidy from the period 2014-2024 stands at Rs 11.9 lakh crore while the subsidy given from 2004-14 remained at Rs 5.5 lakh crore.