The Odisha government approved a Rs 42-crore Interest Subvention Scheme to boost fertiliser distribution through cooperatives and ensure timely availability for farmers.
The scheme eliminates interest burdens on Cash Credit loans, enabling Primary Agricultural Cooperative Societies (PACS) and Large-sized Adivasi Multipurpose Cooperative Societies (LAMPCS) to preposition fertilisers without financial strain.
The scheme, titled “Interest Subvention on Cash Credit Loan for Prepositioning of Fertiliser”, received clearance from the Finance Department and recommendation from the Standing Finance Committee. Officials said the Odisha fertiliser scheme aims to raise the cooperative sector’s share in fertiliser distribution from 25–30 per cent to 60 per cent beginning with the Kharif 2026 season.
The government approved a financial outlay of ₹42 crore for five years from 2026–27 to 2030–31, with ₹5 crore allocated for the current year. Around 2,700 grassroots cooperative societies will benefit, each receiving customised Cash Credit limits up to ₹10 lakh.
To ensure transparency, QR code-based digital payments will be introduced at cooperative outlets. The initiative guarantees fertilisers at government-notified prices while reducing the financial burden on cooperatives responsible for last-mile delivery.
Officials believe the Odisha fertiliser scheme will strengthen the cooperative network, improve rural accessibility, and ensure timely supply during both Kharif and Rabi seasons.
