With reference to Fertilizer subsidy, consider the following statements; 1.The MRPs of urea and non-urea fertilisers are decontrolled or fixed by the companies.2. All Non-Urea based fertilisers are regulated under Nutrient Based Subsidy Scheme.Which of the statements given above is/are correct? |ForumIAS

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: B

Notes:

Statement 1 is incorrect: The MRPs of non-urea fertilisers are decontrolled or fixed by the companies. But, for urea the manufacturers are required to sell the fertiliser at the government-set Maximum Retail Price (MRP).
Statement 2 is correct:All Non-Urea based fertilisers are regulated under Nutrient Based Subsidy Scheme.

Note: The Centre pays subsidy on urea to fertiliser manufacturers on the basis of cost of production at each plant.