Telangana: Urea overpriced as black market thrives in Asifabad, farmers accuse officials of collusion

Subsidised urea bags meant to be sold at Rs 270, are being charged Rs 400 at some distribution centres in Kumram Bheem Asifabad district

Kumram Bheem Asifabad: Farmers in Kumram Bheem Asifabad district have alleged large-scale black marketing of urea, with bags being sold at Rs 400, significantly above the government-fixed price of Rs 270.

A total of 71 distribution centres were set up across the district to supply subsidised urea. Of these, 25 are operated by the District Cooperative Marketing Society, 12 by Primary Agriculture Cooperative Societies, another 12 by Hyderabad Agriculture Cooperative Association (HACA), 18 by private agro dealers and four by authorised farmers’ societies.

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However, farmers claimed that some centres were fleecing them by overpricing urea bags and diverting supplies to the black market for illegal profit. They pointed to a recent incident in Penchikalpet mandal, where agriculture officials seized 160 tonnes of urea from one such centre. Farmers accused the operators of acting with impunity and alleged official collusion.

“While farmers are taking to the streets demanding sufficient supply of urea, the fertilizers are overpriced considering the huge demand for the input. A section of operators is cashing in on the situation by selling the urea in the black market. They are committing the wrongdoing with the help of some officials,” said Ch Kondaiah, a farmer from Penchikalpet.

Agriculture Department officials said that 25,000 metric tonnes of urea had been sanctioned against the seasonal requirement of 60,000 metric tonnes for the district. They added that current stocks would suffice for July and blamed the perceived shortage on panic buying, with farmers rushing to stock up ahead of the Kharif season.

They further stated that the remaining quota would be dispatched shortly and assured that action was being taken to curb diversion and pilferage of fertilizer by certain operators and distribution centre employees.