Government boosts organic fertilizer adoption through MDA scheme and CBG plants
K N Mishra
11/Mar/2026
What's covered under the Article:
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Government is promoting organic fertilizers through the Market Development Assistance scheme, offering Rs.1,500 per metric tonne for products like FOM, LFOM and PROM.
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Around 120 compressed biogas and biogas plants registered on the iFMS portal, enabling organised marketing and nationwide distribution of organic fertilizers.
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Organic manure sales surged from 56,058 tonnes in 2023–24 to over 16.72 lakh tonnes in 2025–26, supported by farmer awareness campaigns and government incentives.
The Government of India has intensified efforts to promote sustainable agriculture by encouraging the use of organic fertilizers across the country. Through targeted policies and financial incentives, the government aims to reduce dependence on chemical fertilizers while improving soil health and agricultural sustainability.
One of the key initiatives driving this effort is the Market Development Assistance (MDA) scheme fertilizers, which supports the production and distribution of organic fertilizers derived from biogas and compressed biogas facilities.
Union Minister for Chemicals and Fertilizers Mr. Jagat Prakash Nadda recently informed the Rajya Sabha that the government is actively promoting organic manure produced under the GOBARdhan initiative organic manure program and through CBG plants organic fertilizer India.
These initiatives aim to strengthen sustainable farming practices while expanding the availability of organic fertilizers to farmers across India.
Market Development Assistance Scheme Supporting Organic Fertilizers
The Market Development Assistance MDA scheme fertilizers is designed to encourage the production, marketing and usage of organic fertilizers in agriculture.
Under the scheme, the government provides financial assistance of Rs. 1,500 per metric tonne for various types of organic fertilizers.
The supported fertilizers include:
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Fermented Organic Manure (FOM)
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Liquid Fermented Organic Manure (LFOM)
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Phosphate Rich Organic Manure (PROM)
These fertilizers are produced using organic waste and biogas plant by-products, making them environmentally friendly alternatives to chemical fertilizers.
The organic fertilizers promotion India news initiative aims to encourage farmers to adopt natural soil nutrients that improve soil fertility while reducing environmental damage.
Integration with GOBARdhan and CBG Initiatives
The promotion of organic fertilizers is closely linked with the government’s GOBARdhan initiative organic manure program.
GOBARdhan, which stands for Galvanising Organic Bio-Agro Resources Dhan, focuses on converting organic waste into useful products such as biogas and organic fertilizers.
Under this programme, waste materials including:
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Cattle dung
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Agricultural residues
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Organic municipal waste
are processed to produce compressed biogas (CBG) and organic manure.
The by-products from these biogas plants are then converted into fertilizers such as FOM, LFOM and PROM.
This integrated approach supports circular economy practices in agriculture by transforming waste into valuable agricultural inputs.
120 CBG and Biogas Plants Registered on iFMS Portal
As part of the initiative to strengthen the supply chain of organic fertilizers, the government has registered 120 compressed biogas and biogas plants on the Integrated Fertilizer Management System (iFMS) portal fertilizer marketing platform.
The iFMS portal acts as a digital platform that allows producers of organic fertilizers to register their products and connect with fertilizer marketing companies.
Through this system, the government aims to create an organised marketing channel for organic fertilizers.
This platform helps ensure transparency, better distribution and efficient supply of organic manure products to farmers.
The registration of CBG plants organic fertilizer India on the iFMS portal marks a significant step toward strengthening the country’s organic fertilizer ecosystem.
Partnerships with Fertilizer Marketing Companies
To expand the distribution of organic fertilizers across India, fertilizer marketing companies have entered into partnerships with biogas plant operators.
According to official data, 44 Memorandums of Understanding (MoUs) have been signed between fertilizer marketing companies and operators of compressed biogas plants.
These partnerships will enable the nationwide marketing and distribution of organic fertilizers produced from biogas facilities.
By leveraging established fertilizer distribution networks, the government aims to ensure that organic fertilizers reach farmers in both rural and remote regions.
This strategy is expected to significantly boost the organic fertilizer distribution scheme India farmers.
Farmer Awareness and Outreach Programmes
The government has also implemented extensive awareness programmes to educate farmers about the benefits and proper usage of organic fertilizers.
Between February 2025 and January 2026, around 24 fertilizer marketing companies organised 15,690 Kisan Sangoshthis and field camps across the country.
These programmes were designed to inform farmers about the advantages of organic fertilizers and demonstrate their practical application in farming.
The outreach initiatives included:
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Demonstrations of organic fertilizer usage
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Training on proper fertilizer dosage
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Crop-specific nutrient management guidance
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Field demonstrations for different crops
Farmers were also educated about multiple organic manure products such as:
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Fermented Organic Manure (FOM)
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Liquid Fermented Organic Manure (LFOM)
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Phosphate Rich Organic Manure (PROM)
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Press Mud-based Manure (PDM)
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City compost
These initiatives have played a crucial role in increasing awareness and adoption of organic fertilizers among farmers.
Rapid Growth in Organic Fertilizer Sales
Government data indicates that the adoption of organic fertilizers has grown significantly in recent years.
Sales of FOM, LFOM and PROM have witnessed a remarkable increase over the past three years.
According to official figures:
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2023–24: 56,058 metric tonnes
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2024–25: 3.36 lakh metric tonnes
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2025–26 (up to February 28): more than 16.72 lakh metric tonnes
This rapid increase highlights the growing acceptance of organic fertilizers among farmers.
Overall sales since the launch of the scheme have crossed 20.65 lakh metric tonnes, demonstrating the effectiveness of the organic fertilizer sales growth India agriculture programme.
Financial Support Under the MDA Scheme
To support the expansion of organic fertilizer production and distribution, the government has released significant financial assistance through the MDA scheme.
According to official data, Rs. 111.72 crore (US$ 12.15 million) has been released under the Market Development Assistance MDA scheme fertilizers.
This financial support helps producers cover marketing and distribution costs while encouraging higher production of organic fertilizers.
The funding also incentivizes fertilizer marketing companies to expand their organic fertilizer distribution networks.
Benefits of Organic Fertilizers for Sustainable Farming
The promotion of organic fertilizers is part of India’s broader strategy to encourage sustainable agriculture practices.
Organic fertilizers offer several advantages compared to conventional chemical fertilizers.
Key benefits include:
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Improving soil fertility and structure
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Enhancing microbial activity in soil
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Reducing environmental pollution
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Improving water retention in soil
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Supporting long-term agricultural productivity
These benefits make organic fertilizers an essential component of India sustainable farming fertilizer initiatives.
As soil degradation becomes a growing concern worldwide, the adoption of organic fertilizers is increasingly seen as an important step toward sustainable agriculture.
Role of Biogas Plants in Organic Fertilizer Production
Biogas and compressed biogas plants play a crucial role in the production of organic fertilizers.
These plants convert organic waste into biogas through anaerobic digestion. The process also produces digestate, a nutrient-rich by-product that can be processed into organic fertilizers.
The integration of compressed biogas plant fertilizer production India with organic fertilizer manufacturing creates a dual benefit.
It not only generates renewable energy but also produces valuable agricultural inputs that can improve soil health.
This integrated approach supports the development of a circular economy in agriculture, where waste materials are reused productively.
Strengthening India’s Sustainable Agriculture Strategy
The government’s initiatives to promote organic fertilizers reflect a broader effort to transform Indian agriculture into a more sustainable and environmentally friendly system.
By combining financial incentives, awareness programmes and digital platforms such as the Integrated Fertilizer Management System iFMS portal fertilizer marketing, policymakers aim to create a robust ecosystem for organic fertilizer production and distribution.
The increasing adoption of organic fertilizers also supports the country’s efforts to reduce chemical fertilizer usage while improving soil health and agricultural sustainability.
Future Outlook
The rapid increase in organic fertilizer sales and the growing number of registered CBG plants organic fertilizer India indicate strong potential for further expansion.
With continued government support through the Market Development Assistance MDA scheme fertilizers, the organic fertilizer sector is expected to grow significantly in the coming years.
Expanding biogas infrastructure, improving distribution networks and strengthening farmer awareness programmes will play a crucial role in sustaining this growth.
Conclusion
The government’s efforts to promote organic fertilizers through the Market Development Assistance scheme mark a major step toward sustainable agriculture in India.
With 120 CBG plants registered on the iFMS portal, increasing partnerships with fertilizer marketing companies and extensive farmer awareness programmes, the initiative is gaining strong momentum.
The surge in organic fertilizer sales growth India agriculture demonstrates that farmers are increasingly adopting environmentally friendly farming practices.
As initiatives such as the GOBARdhan initiative organic manure program and compressed biogas plant fertilizer production India continue to expand, organic fertilizers are expected to play a key role in strengthening India’s sustainable agriculture future while improving soil health and farm productivity across the country.
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