In an interview to discuss the cumulative impact of the Gulf War on Indian agriculture, Ashok Gulati, Professor of Agriculture at ICRIER and arguably India’s foremost authority on the subject, says: "The economy seems to be on the brink of a major crisis”.
Gulati is particularly concerned about how the fertiliser subsidy is likely to surge this year. He believes that it could balloon from Rs 1.71 lakh crore to Rs 3 lakh crore. He also points out that the cost at which urea is imported is $935 per tonne but it’s sold at $70 per tonne.
Gulati points out that the time has come to end such freebies and he proposes three reforms which would help reduce the fertiliser subsidy.