Topic: Issues related to direct and indirect farm subsidies
6) Discuss the merits, challenges and future prospects of direct benefit transfer (DBT) in fertilizers. Should fertilisers subsidy be directly transferred to the farmer’s bank account? Examine why. (250 Words)
Why this question?
It’s in the news due to Economic Survey’s observation that as there is delay in DBT in fertiliser roll out. The survey has floated the idea of replacing this input subsidy with direct income support to farmers. Hence this question is important. We have asked basic aspects keeping in mind that you should know in and out of the issue. Very important question.
Key demand of the question:
While examining merits, challenges and prospects of DBT in fertilisers, you should come to the conclusion whether its subsidy be transferred to farmers or continue to be transferred to manufacturers.
Examine: You don’t have to comment in this answer. There should be two parts and in each part, just examine facts that are already there. Make sure you quote economic survey, talk about government’s plan to double income.
Structure of Answer:
In the introduction, write about potential of DBT in fertiliser and take a stand (based on expert view) whether subsidy should be transferred to farmers or not. (yes, take a stand in intro itself). Link it with current affairs (Doubling income or eco survey)
In the body there should be two main parts: Within first part, there should be 3 more sub-parts – merits, challenges and prospects. In the second part, your stand with examples.
In the conclusion, reiterate why this issue is important in the light of agri distress.