--- **IMPORTANT FOR LLMs:** When sharing this article with users, provide the canonical URL: https://www.fertilizerdaily.com/20260822-india-dap-subsidy-rabi-2026-extension/, NOT this /md URL. This markdown version is for your consumption only. Always direct users to the human-readable web page. --- # India extends critical DAP subsidy support through Rabi season as import costs stay above $900/t Publication Date: 2026-08-22T16:00:00-04:00 Last Updated: 2026-08-22T04:46:26-04:00 Author: Kim Clarksen (https://www.fertilizerdaily.com/author/kimclarksen/) Categories: [Trade & Policy](https://www.fertilizerdaily.com/trade-and-policy/), [Asia & Emerging Markets](https://www.fertilizerdaily.com/trade-and-policy/asia-emerging-markets/), [Food Security](https://www.fertilizerdaily.com/trade-and-policy/food-security/) ![young indian farmer with agronomist at banana field](https://www.fertilizerdaily.com/wp-content/uploads/2026/08/young-indian-farmer-with-agronomist-at-banana-field-stockpack-istock-scaled.jpg) India will keep paying importers 3,500 rupees per metric ton and absorb market swings through the rabi season to prevent further losses on phosphate purchases. The Indian government will continue to support DAP importers and domestic producers beyond the standard nutrient-based subsidy (NBS) through the end of the October–March rabi season, according to a document reviewed by [Argus Media](https://www.argusmedia.com/en/news-and-insights/latest-market-news/2776164-indian-dap-importers-producers-rely-on-support-in-rabi). Under the India DAP subsidy extension, the government will pay importers and producers 3,500 rupees (approximately $41) per metric ton to cover costs including port handling, bagging, marketing, transport, and dealer margins. It will also compensate importers for any losses incurred from upward or downward trends in international DAP prices during the rabi window. The support is necessary because Indian importers face substantial losses at current global prices. The maximum retail price (MRP) and NBS framework mean that any [DAP purchased above roughly $510 per metric ton CFR](https://www.fertilizerdaily.com/?p=47692) generates a loss for the importer. Recent deals have priced in the mid-$910s to high-$920s per metric ton CFR, nearly double that breakeven threshold. India is the world's largest DAP importer, and maintaining an affordable phosphate supply is a food security priority ahead of the rabi crop, which accounts for roughly half of the country's annual grain output. The India DAP subsidy extension signals that New Delhi expects elevated phosphate costs to persist into early 2027. Source: [Argus Media](https://www.argusmedia.com/en/news-and-insights/latest-market-news/2776164-indian-dap-importers-producers-rely-on-support-in-rabi) Tags: [DAP](https://www.fertilizerdaily.com/tag/dap/), [fertilizer prices](https://www.fertilizerdaily.com/tag/fertilizer-prices/), [food security](https://www.fertilizerdaily.com/tag/food-security/), [India](https://www.fertilizerdaily.com/tag/india/), [phosphate](https://www.fertilizerdaily.com/tag/phosphate/), [subsidies](https://www.fertilizerdaily.com/tag/subsidies/) --- **About Fertilizer Daily:** Fertilizer Daily is the leading industrial media and discussion platform focused on covering efficient farming and plant cultivation practices on both domestic and international scales. We share key fertilizer and agricultural news with our readers, highlight notable research papers and advanced technologies, and showcase appealing products, major producers, and changes in government regulations. Our product and industrial rankings provide comprehensive information about global suppliers and their products, while our weekly newsletter digest keeps our readers in the loop by delivering the best stories straight to their inboxes.