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

FAQ

Answers to the questions founders most often ask about Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers — who qualifies, the funding amount, required documents and how the application works.

Frequently asked questions

How much does the MDA scheme pay?

Eligible sellers receive ₹1,500 for every Metric Tonne of qualifying organic fertilizer sold. The payment is made through Direct Benefit Transfer, so the amount you actually receive depends on the tonnage you report and get validated.

Which organic fertilizers qualify for the subsidy?

Three products are covered: Fermented Organic Manure (FOM), Liquid Fermented Organic Manure (LFOM) and enriched Phosphate Rich Organic Manure (PROM). Each must meet the specifications laid down in the Fertilizer Control Order, 1985.

Who is eligible to apply?

Applicants must be manufacturing-cum-marketing entities, Compressed Bio-Gas operators, Bio-gas operators, marketers or distributors working under the GOBARDhan initiative, and they should be a Fertilizer Marketing Company actively selling organic fertilizers. The fertilizer also has to be produced at a Bio-Gas or CBG plant established and supported under GOBARDhan, such as those under SAAT, Waste to Energy or the Swachh Bharat Mission.

Is there a last date to apply?

No. The scheme runs on a rolling, always-open basis. The only time limit to watch is on the claim side: a Direct Benefit Transfer claim must be generated on the Integrated Fertilizer Management System portal within two months from the month of sale.

What registrations are needed before I can claim?

Two are essential. First, your Bio-Gas or Compressed Bio-Gas unit must be registered on the Unified GOBARDhan portal maintained by the Department of Drinking Water & Sanitation. Second, you must register on the Integrated Fertilizer Management System (IFMS) portal, where the Department of Fertilizers allots your manufacturing unit a unique identification number.

Does the scheme take equity in my business?

No. Market Development Assistance is a subsidy, not an investment. It is disbursed as cash through Direct Benefit Transfer against verified sales, so no stake or ownership in your entity is given up.

Can a private company access the research gap funding?

No. The ₹3,60,00,00,000 corpus set aside for research gap funding is reserved for Central and State Research Institutes and for non-private fertilizer cooperatives. Private businesses can only access the per-tonne sales assistance.

Can I sell the fertilizer loose or in bulk?

The scheme expects organic fertilizers to be marketed in packed form. Bulk or loose sales are allowed, but only as a relaxation on an experimental basis rather than as the norm.

What are the conditions on how the fertilizer is marketed?

Marketing entities have to print the Maximum Retail Price and the applicable MDA clearly on the bags, pass on any state subsidy to farmers, and display the constituents and manufacturer details. Selling above the printed MRP is not allowed.

What paperwork goes with a claim?

You need your GOBARDhan registration, the operational details filed through Annexure-I (Fertilizer Marketing Companies) or Annexure-II (manufacturers), quality test reports from a Government-notified or NABL accredited laboratory validated by the State Agriculture Department or State Energy Development Agency to obtain the 'B2-MDA' certificate, and the prescribed Annexure used to raise the claim on the IFMS portal along with a copy of the Quality Certificate for that month.

Where do I apply for the scheme?

Registration and claims are handled through government portals — the Unified GOBARDhan portal for the unit, and the Integrated Fertilizer Management System portal for data uploads and benefit claims — with a letter of willingness and annexures submitted to the Department of Fertilizers. The scheme guidelines are published on the Department of Fertilizers website at fert.gov.in.

Is DPIIT recognition required for Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers?

No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers, though having it can strengthen your application and unlock other benefits.

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

Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers is offered by Ministry of Chemicals and Fertilizers, a government body. It is provided as non-dilutive funding.

How do I apply for Market Development Assistance (MDA): ₹1,500/Tonne for Organic Fertilizers?

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.

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