The Department of Chemicals and Petrochemicals (DCPC) has said that the subsidy on transportation of Potash and Phosphorus Freight reimbursement on account of secondary movement of Phosphatic and Potassic fertilizers from rake point to districts was proposed to be discontinued from April 1.

However, there is no proposal to discontinue freight reimbursement on account of primary movement by rail from units or ports to various rake points and direct road movement from units or ports to districts, Minister of State for Chemicals and Fertilisers Srikant Kumar Jena said in a written reply in the Lok Sabha on Thursday.

He also said that Nutrient Based Subsidy policy is being implemented from April 1, 2010.

\"During the first year of its implementation, i.e. 2010-11, the prices of P&K fertilizers increased marginally. In spite of increase in subsidy rates during 2011-12 the prices of P&K fertilizers increased substantially during the year 2011-12 due to increase in prices of fertilizers and its raw material in the international market,\" the minister said.

\"Depreciation of rupee further added to increase in prices of fertilizers during the year 2011-12. The prices of fertilizers in the year 2012-13, are expected to be stable,\" he informed.