Relevance: GS III (Indian Economy & Agriculture) | Source: The Indian Express

1. The Big Picture: The “Food vs. Inputs” Paradox

The escalating war in West Asia has created a strange situation for India:

• Immediate Safety: We are safe right now because of a bumper winter (Rabi) harvest and massive government reserves.
• Future Danger: The war has blocked shipping routes, cutting off the raw chemicals needed to make fertilisers and pesticides for the upcoming monsoon (Kharif) season. Without these, crop yields will crash, leading to future food inflation.

2. The Current Buffer: The Hard Data

India will not face a food shortage today because our godowns are full. You must quote this data in your Mains answer to prove India’s current food security:

• FCI Reserves: As of March 1, the Food Corporation of India (FCI) holds a massive 23.6 million tonnes of wheat and 36.5 million tonnes of rice.
• Good Weather: Late winter rains helped maximize the yield of Rabi crops like wheat, mustard, and chana. (Only spice seeds like Jeera suffered due to the cold).

3. The Real Crisis: The Agrochemical Supply Shock

Because the Strait of Hormuz (the main sea route) is blocked, India cannot easily import chemicals from Gulf countries. Here is the exact data showing how bad the price shock is:

• The Fertiliser Crisis: India imports raw materials to make Urea and DAP. Because of the war:
  • Ammonia prices have shot up from $450 to over $725 per tonne.
  • Sulphur prices have skyrocketed from below $200 to over $700 per tonne.
• The Pesticide Crisis: Bug sprays and weed killers are made from a crude oil product called Naphtha.
  • 55% of the world’s naphtha supply comes from West Asia.
  • Because naphtha is also used to make plastics, the cost of packaging (plastic bottles) for these pesticides has jumped by 30% to 40%.

4. How can the Government save the day?

Experts suggest using this crisis to change bad farming habits:

• Shift to Complex Fertilisers (The Math): The government must stop farmers from overusing DAP fertiliser. Instead, promote “complex fertilisers” (like SSP). The Data: Using the same amount of imported phosphoric acid, India can produce 4 to 5 tonnes of complex fertilizers compared to just 2 tonnes of DAP.
• Increase Subsidies: The government must urgently revise the Nutrient Based Subsidy (NBS) rates. The government needs to pay these extra international costs ($700/tonne) so the poor farmer can still buy a fertiliser bag at the old price.

UPSC Value Box

With reference to Indian agriculture and agrochemicals, consider the following statements:

1. Wheat, Mustard, and Chana (chickpeas) are primarily cultivated as Kharif crops during the monsoon season.
2. Naphtha, a product of crude oil refining, serves as a crucial raw material for manufacturing chemical pesticides and plastics.
3. Under the Nutrient Based Subsidy (NBS) regime, the government provides financial support to keep fertilizer prices affordable for farmers.

Which of the statements given above is/are correct?

(a) 1 and 2 only

(b) 2 and 3 only

(c) 3 only

(d) 1, 2 and 3

Correct Answer: (b)