Phasing out Subsidies on Inorganic Fertiliser

Subsidies on inorganic fertiliser are being increasingly phased out across developing countries as part of general policies of reducing recurrent government expenditure and encouraging free markets. There are some exceptions to this trend: one-time or time-limited recapitalisation of soil, particularly with phosphorus, is still regarded as a development option, and "starter packs" including inorganic fertiliser have been used, for example in Malawi, as a large-scale drought rehabilitation measure.

Both the general environmental impacts of reduced fertiliser subsidies and the specific impacts mediated through crop-livestock interactions will be highly specific to soil conditions, farming systems and national economies. In general, reduced subsidies will favour the more efficient handling, storage and application of animal manure to make optimum use of nutrients.

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