Marginal increase in subsidy invoice in Rs 2.8 lakh crore
NEW DELHI: Food, fuel and fertilizer for 2020-21 have been retained almost at the level of the previous year at Rs 2.8 lakh crore, simply 0.23% more than Rs 2.27 lakh crore in the revised estimate for 2019-20.
Food and fuel account for most of the allocation. Rs 1,15,569.68 million rupees have been allocated for the supply of subsidized food grains through the public distribution system and welfare plans in 2020-21, an increase of 6.33% of the revised estimate of the current financial year of Rs 108,688.35 million of rupees
The fuel subsidy for LPG and kerosene has also increased by 6% to Rs 40,915.21 rupees for 2020-21 compared to Rs 38,568.86 rupees in the revised estimate in the current year. The allowance for the LPG subsidy has increased to Rs 37,256.21 rupees from the revised estimate of Rs 34,085.86 rupees. But the allocation for the kerosene subsidy has been reduced to Rs 3,659 million from the revised estimate of Rs 4,483 million.
However, the allocation to provide subsidized fertilizers has been reduced by 11% to Rs 71,309 million rupees for 2020-21 from Rs 79,997.85 rupees allocated in the revised estimate for the current fiscal year.