Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers

Market Development Assistance (MDA) is a subsidy programme of the Department of Fertilizers, working under the Ministry of Chemicals & Fertilizers. Its purpose is to lift both the output and the offtake of organic fertilizers in India, and it operates inside the wider GOBARDhan (Galvanizing Organic Bio-Agro Resources Dhan) framework — the government's effort to turn farm and city waste into bio-gas, compressed bio-gas and organic manure.

The money is tied to sales rather than to a one-time sanction. A qualifying entity earns ₹1,500 for every Metric Tonne of eligible organic fertilizer it sells, so support scales with the volumes actually dispatched and reported. Three products fall within its scope: Fermented Organic Manure (FOM), Liquid Fermented Organic Manure (LFOM) and enriched Phosphate Rich Organic Manure (PROM).

A research arm sits alongside the sales incentive. A corpus of ₹3,60,00,00,000 has been reserved for gap funding in research, but it is ring-fenced for Central and State Research Institutes and for non-private fertilizer cooperatives — private firms cannot draw on this portion.

The scheme's overall outlay is ₹14,51,82,00,000, spread across three financial years, 2023-24 to 2025-26. To participate, a unit must register on the GOBARDhan portal and its fertilizer must satisfy the specifications set out in the Fertilizer Control Order (FCO). The stated aims are a stronger organic farming sector, healthier soil and farming that is more sustainable.

• ₹1,500 paid for every Metric Tonne of eligible organic fertilizer sold
• Covers Fermented Organic Manure, Liquid FOM and enriched PROM
• Open to GOBARDhan-linked manufacturers-cum-marketers, CBG and bio-gas operators, marketers and distributors
• Rolling deadline — claims filed monthly, within two months of the month of sale
• Total outlay of ₹14,51,82,00,000 for 2023-24 to 2025-26
• Assistance released through Direct Benefit Transfer

This subsidy is built for businesses on the production and marketing side of the organic fertilizer chain. Individual farmers and general startups outside that chain are not the target applicants.

• You must be a manufacturing-cum-marketing entity, a Compressed Bio-Gas (CBG) operator, a Bio-gas operator, a marketer or a distributor operating under the GOBARDhan initiative.
• You should be a Fertilizer Marketing Company that actively markets organic fertilizers.
• Production must happen at a Bio-Gas or Compressed Bio-Gas plant established and supported under GOBARDhan — for example under SAAT, Waste to Energy, or the Swachh Bharat Mission.
• The Bio-Gas or CBG unit has to be registered on the Unified GOBARDhan portal of the Department of Drinking Water & Sanitation.
• The products you market must be Fermented Organic Manure, Liquid Fermented Organic Manure or enriched Phosphate Rich Organic Manure.
• Organic fertilizers must be marketed in packed form. Bulk or loose sales are permitted only on an experimental basis, as a relaxation.
• The fertilizer has to conform to the specifications laid down in the Fertilizer Control Order, 1985.
• Quality testing must be conducted at a Government-notified laboratory or a NABL accredited laboratory.

Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers is open to startups at any stage. It is open to startups registered anywhere in India.

Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

₹1,500 per Metric Tonne is paid for the sale of eligible organic fertilizers — Fermented Organic Manure, Liquid Fermented Organic Manure and enriched Phosphate Rich Organic Manure.

• The assistance is credited directly to the eligible manufacturing-cum-marketing entity through Direct Benefit Transfer.
• Because the payout is linked to tonnage sold, the total a business receives depends on its actual sales rather than on a fixed sanctioned sum.
• A corpus of ₹3,60,00,00,000 is earmarked for research gap funding, available only to Central and State Research Institutes and to non-private fertilizer cooperatives.
• The total budget outlay of the scheme is ₹14,51,82,00,000, covering the three financial years from 2023-24 to 2025-26.
• There is no closing date. The scheme runs on a rolling basis and claims are filed month after month against reported sales.

Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers is offered by Ministry of Chemicals and Fertilizers, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India.

There is no competitive shortlisting, pitching or ranking here. Getting the subsidy is a compliance-and-verification journey: register the unit, keep clean quality records, and claim against sales the system can validate.

• Register on the GOBARDhan portal. Create your Bio-Gas or Compressed Bio-Gas manufacturing unit on the Unified GOBARDhan portal of the Department of Drinking Water & Sanitation.
• Submit plant details. Provide the plant and operational information the portal asks for and obtain the mandatory registration number.
• Send a letter of willingness. Write physically to the Department of Fertilizers, stating your intent to market the organic fertilizers.
• Attach the annexures. Fertilizer Marketing Companies submit the operational details in Annexure-I; manufacturers use Annexure-II. These accompany the intimation letter for formal approval.
• Register on the IFMS portal. Sign up on the newly introduced module of the Integrated Fertilizer Management System. The Department of Fertilizers allots a unique identification number to your manufacturing unit.
• Upload operational data. Using that identification number, report production quantity, sales, Maximum Retail Price, remaining stock and quality certificates on the IFMS portal.
• Get quality tested. Batch-wise or dispatch-wise testing takes place at accredited laboratories, and the test report is validated by the State Agriculture Department or the State Energy Development Agency to generate the 'B2-MDA' certificate.
• Generate the benefit claim. Raise the Direct Benefit Transfer claim on the IFMS portal through the prescribed Annexure, within two months of the month in which the sale occurred.
• Submit the documentation. Send a copy of the Quality Certificate with the claim for that month to the Department of Fertilizers so the assistance can be released.

What gets scrutinised is the establishment and operation of the plant under GOBARDhan, conformity with Fertilizer Control Order specifications, and validated quality testing. Once compliance and the reported sales check out, the money moves by Direct Benefit Transfer.

Before you apply to Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers, keep the following documents ready:

• A pitch deck or short business plan describing the problem, product and traction
• Company registration documents and PAN
• Founder identification (PAN / Aadhaar) and brief profiles
• Recent financial statements or projections
• Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.