Which of the following statements regarding the Direct Benefit Transfer DBT in Fertiliser subsidy sc...........

Economic Affairs Agricultural Finance

Which of the following statements regarding the Direct Benefit Transfer (DBT) in Fertiliser subsidy scheme is correct?

100% subsidy on various fertiliser grades shall be released to the farmers.

The claims will be processed every month, and the amount of subsidy will be remitted to the farmer’s bank account through electronic mode.

Implementation of the scheme requires placing of Point of Sale (PoS) machines at the retail shops.

All of the statements given above is/are correct in this context.

statement wise explanation;

Under the proposed system, 100% subsidy on various fertiliser grades shall be released to the fertiliser companies based on actual sales made by the retailers to the beneficiaries. So, statement a is incorrect.
The claims will be processed on a weekly basis and the amount of subsidy will be remitted to the company’s bank account through electronic mode. Thus, statement b is incorrect.
The sale of subsidised fertilisers to the farmers/ buyers will be made through Point of Sale (PoS) devices installed at each retailer shop, and the beneficiaries will be identified through Aadhar Card, Kisan Credit Card, Voter Identity Card, etc. Thus, statement c is correct.

The benefits of the DBT Scheme are-

The proposed DBT framework is a beneficiary driven subsidy payment mechanism being initiated at the National Level.
It creates an Aadhar seeded database of beneficiaries and provides transaction visibility at the level of buyers.
By linking the actual sales to subsidy payments, it facilitates a more transparent and faster tracking of funds along the value chain i.e. from manufacturers to beneficiaries.
Diversion of fertilisers is expected to be minimised.