Government tracks fertiliser diversion through e-way bills as supply fears rise
The government has implemented a strategy to use e-way bill data to monitor subsidised fertiliser movement. Concerns over fertiliser supply due to the Iran war have prompted the Finance Ministry's analysis of trucking routes. Reports of route devi...

The Finance Ministry carried out the analysis after the Iran war raised concerns over fertiliser availability, hoarding and diversion, and subsequently alerted the fertiliser department, according to the report.
The findings have added to the government's efforts to plug leakages in the movement of heavily subsidised fertiliser even as supplies have since eased and stocks have been built up.
The e-way bill system, which tracks the movement of goods consignments above Rs 50,000, provides a digital trail that can help authorities identify unusual movements.
The Fertiliser Ministry also uses the Integrated Fertiliser Management System (iFMS) to monitor the movement and distribution of subsidised fertiliser.
Diversion has emerged as a persistent problem in the fertiliser supply chain. A parliamentary standing committee flagged instances of partial unloading and re-routing while fertiliser was being transported from rake points to remote districts, particularly in hilly areas such as Jammu and Kashmir and Uttarakhand.
It also noted movement without valid documents in Madhya Pradesh and delays in reporting receipt of consignments at their intended destinations.
The panel also flagged the diversion of neem-coated urea to industrial users, including plywood and resin manufacturers, diesel exhaust fluid (DEF) units and cattle-feed makers. Rajasthan, Uttar Pradesh, Gujarat, Karnataka and Punjab were among the states identified in connection with such diversion, the TOI report said.
Enforcement agencies have stepped up action against such practices.
Agriculture Ministry data showed that 4.8 lakh raids were conducted across the country in 2025, resulting in more than 17,000 notices, nearly 7,000 licence cancellations and around 850 FIRs against alleged violators.
The government has also faced concerns over fertiliser being smuggled across India's borders by road.
The combination of e-way bill data, fertiliser tracking systems and field-level enforcement is therefore giving authorities more tools to identify leakages and ensure subsidised fertiliser reaches its intended users.
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