Fertilizer Accounts Wing deals with cases pertaining to release of on a/c Payment/Differential Payments(85%/90% against bank guarantee) to various importers on the base rate/revised rates notified by the Department on sales of imported DAP/MOP under the Price Concession Scheme on receipt of claims/bills in proforma ‘C’ along with Proforma ‘A’. Remaining balance payment of 15%/10% is made on receipt of claims and proforma ‘B’ duly certified by concerned State Government after obtaining concurrence of IFD.
100% payment of the Urea imported from Oman under the Urea Off-take Agreement is being arranged presently on receipt of bills after obtaining financial concurrence of IFD. This Wing keeps watch on receipt of Pool Issue Price from the handling agents. Simultaneously 90% Ocean freight in respect of such cargo is also being made. Balanced 10% of Ocean Freight is also made on receipt of advice and relevant fact from Tans-chart, Ministry of Shipping after obtaining concurrence of IFD. Watch on progress of expenditure against funds provided under BE/RE for the year at the time of processing the case for payment is made.
The payment of subsidy to SSP is released on sales basis. Accordingly, the eligible units are allowed to claim 85% ‘On Account’ payment of subsidy based on the information in respect of sales of SSP duly certified by the authorized signatory as well as the statutory auditor of the company. The balance payment is released by DOF based on the certification of sales issued by the State Governments in prescribed Proforma ‘B’. At present, 38 manufacturers/importers of P & K fertilizers and 82 SSP manufacturers are covered under the Nutrient Based Subsidy Policy.
Fertilizer Subsidy Payment Information System is used to compute the subsidy amount based on the subsidy rates, equated freight rates and sales tax rates notified by the Government for the quantity moved by the Urea manufacturers to the consumption centers across the country. The processing of monthly claims through application system helps in timely release of subsidy to the urea manufacturers. The system helps in monitoring various activities pertaining to the payment of subsidy by generating various periodic reports as well as query retrieval.