E-way Bill Helps Track Fertiliser Diversion, Officials Alarmed

The government's e-way bill initiative, introduced nine years ago to monitor truck movements, has helped authorities track the diversion of fertiliser. The electronic tool, which is mandatory for trucks carrying goods valued at over ₹50,000, has enabled authorities to identify trucks diverting from their designated routes or making unnecessary trips.

According to the finance ministry's preliminary analysis, concerns about fertiliser shortages and hoarding led to the alerting of the fertiliser department. The ministry then undertook a comprehensive analysis, which alerted authorities to the diversion of subsidised fertiliser.

The diversion of fertiliser, a highly subsidised commodity, has been a persistent issue. The government is cracking down on it. Particularly in light of renewed pressure on prices, although supply has eased and the government has stockpiled fertiliser.

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The fertiliser ministry maintains an Integrated Fertiliser Management System (iFMS) to track the movement of subsidised fertiliser.

A parliamentary standing committee recently highlighted concerns about leakage during transportation. The committee noted instances of partial unloading and re-routing during transit. Particularly in hilly terrain, as well as movement without valid documents in certain states.

The committee also observed delayed or non-reporting of receipt at destination, which was a significant concern. The committee's report, tabled in August, highlighted these issues and called for improved monitoring and enforcement.

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The parliamentary panel's report also noted the diversion of neem-coated urea to industrial units, such as plywood and resin factories. Additionally, diesel exhaust fluid (DEF) units and cattle feed manufacturing facilities, particularly in Rajasthan, Uttar Pradesh, Gujarat, Karnataka, and Punjab, were also identified as recipients of diverted fertiliser.

Agriculture ministry data shows that in 2025, 4.8 lakh raids were conducted across the country, resulting in 17,000 notices being issued. Furthermore, nearly 7,000 licences were cancelled, with 850 FIRs registered against defaulters.

These numbers demonstrate the government's efforts to crack down on fertiliser diversion and ensure that subsidised fertiliser reaches its intended destinations. The e-way bill initiative has been instrumental in identifying and addressing this issue.