India's fertilizer subsidy bill is projected to reach approximately Rs 1.9 lakh crore in FY27, reflecting a significant fiscal commitment to ensure fertilizer availability and affordability for farmers. Fertilizer sales volumes are expected to grow by 1-3% annually. While higher subsidy rates for Rabi season FY26 will benefit domestic NPK manufacturers, import profitability for Di-ammonium Phosphate remains uncertain due to high international prices. The government may need supplementary allocations for P&K fertilizers and is considering revising energy norms for urea units.