Union Minister for Coal and Mines G. Kishan Reddy on Wednesday said Telangana farmers have benefited by about ₹89,729 crore through urea subsidies over the past 12 years, with a farmer owning two acres of land receiving an average annual benefit of ₹25,368 under the Centre’s subsidy scheme.Welcoming the Union Cabinet’s decision to continue the urea subsidy scheme for the 2025-26 financial year with an outlay of ₹1,51,709 crore, Mr. Reddy thanked Prime Minister Narendra Modi for extending support to farmers. The decision would benefit crores of farmers across the country, including those in Telangana.Despite a sharp increase in global fertilizer and natural gas prices caused by the Russia-Ukraine conflict and the ongoing West Asia crisis, the Centre has not increased the price of urea. Farmers continue to receive a 45-kg bag of urea for ₹267, although its actual cost is around ₹1,967 per bag. The Centre bears a subsidy burden of ₹1,680 per bag, he said.Mr. Reddy said that while the estimated expenditure on urea subsidies during 2022-23 to 2024-25 was ₹3,68,676 crore, the actual spending rose to ₹4,23,217 crore. Despite the expenditure exceeding the initial estimate by ₹54,540 crore, the Centre continued the scheme without any compromise.The domestic urea production increased from about 225 lakh metric tonnes in 2014-15 to 306.67 lakh metric tonnes in 2024-25. The increase was attributed to the commissioning of new plants and the revival of closed units, helping move the country towards greater self-sufficiency in the fertilizer sector. Published - July 16, 2026 08:23 pm IST