Government tracks fertiliser diversion through e-way bills as supply fears rise
The government has implemented a strategy to use e-way bill data to monitor subsidised fertiliser movement. Concerns over fertiliser supply due to the Iran war have prompted the Finance Ministry's analysis of trucking routes. Reports of route deviations and illegal unloading emphasize the significance of tracking fertiliser distribution. Increased enforcement has resulted in thousands of raids…
The government has employed e-way bill data to uncover potential diversion of subsidized fertiliser, as reported by The Times of India on Wednesday. This analysis came after heightened concerns over fertiliser availability due to the Iran war, prompting the Finance Ministry to alert the fertiliser department. The findings complement the government's ongoing efforts to address leakages in the distribution of heavily subsidized fertiliser, a concern that intensified as supplies stabilized and stocks were replenished.
The e-way bill system, which monitors the movement of goods worth over Rs 50,000, offers a digital trail that assists authorities in recognizing irregular patterns. The Fertiliser Ministry leverages the Integrated Fertiliser Management System (iFMS) to oversee the movement and distribution of subsidized fertiliser. Diversion has long been a persistent issue within the fertiliser supply chain, with a parliamentary standing committee identifying instances of partial unloading and rerouting, particularly in challenging terrains such as Jammu and Kashmir and Uttarakhand.
The committee also noted unauthorized movements without proper documentation in Madhya Pradesh and delays in confirming the delivery of consignments at their designated destinations. Notably, the panel flagged the diversion of neem-coated urea to non-agricultural industries, including plywood and resin manufacturers, diesel exhaust fluid (DEF) units, and cattle-feed producers.
Rajasthan, Uttar Pradesh, Gujarat, Karnataka, and Punjab were among the states implicated in such diversion activities.
Enforcement agencies have intensified efforts to curb these practices. Agriculture Ministry data revealed that 4.8 lakh raids were conducted nationwide in 2025, leading to over 17,000 notices, nearly 7,000 licence cancellations, and around 850 FIRs against alleged violators. The government has also grappled with concerns regarding fertiliser smuggling across India's borders by road.
The integration of e-way bill data, fertiliser tracking systems, and on-the-ground enforcement provides authorities with additional tools to detect leakages and ensure that subsidized fertiliser reaches its intended recipients.
Written by urgent.news from The Economic Times - Economy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
