Fertiliser dealer commission rises, farmer prices unchanged

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The government has increased incentives for dealers in the fertiliser distribution system. From now on, dealer-level commission has been set at 3 taka per kilogram for urea, DAP, TSP and MOP fertiliser.

However, farmer-level selling prices have been kept unchanged. The new rate will take effect from July 1, 2027.

The information comes from a notification recently issued by the finance division of the finance ministry. It states that the government made this decision to keep fertiliser supply and market management stable for agricultural production while boosting incentives for dealer-level distribution activities.

Under the new decision, the dealer-level price of urea fertiliser has been reduced from 25 taka to 24 taka per kilogram. However, the farmer-level selling price will remain unchanged at 27 taka. The dealer-level price of DAP fertiliser has been reduced from 19 taka to 18 taka, while the farmer-level price of 21 taka remains unchanged. Similarly, the dealer-level price of TSP fertiliser has been reduced from 25 taka to 24 taka per kilogram.

The farmer-level selling price of this fertiliser remains unchanged at 27 taka. The dealer-level price of MOP fertiliser has been reduced from 18 taka to 17 taka, with its farmer-level selling price kept unchanged at 20 taka as before.

For all four types of fertiliser, the government-set dealer-level price has been reduced by 1 taka per kilogram. But since farmer-level selling prices remain unchanged, the dealer-level commission per kilogram of fertiliser has been set at 3 taka.

The notification further states that this order was issued with the approval of the relevant authority.

Under the government’s new decision, farmers will not have to spend any extra money on fertiliser. They will be able to buy urea, DAP, TSP and MOP fertiliser at existing prices.