Government subsidies on food and fertilisers have been pegged at Rs 3.71 lakh crore for 2025-26, marginally higher by 0.70 per cent than the estimated outgo in the current fiscal year. According to Union Budget 2025-26, Rs 2,03,420 crore has been earmarked for food subsidy in the next fiscal. This is higher than the revised estimate of Rs 1,97,420 crore for 2024-25. The food subsidy bill was Rs 2.11 lakh crore in 2023-24.

Allocation for fertiliser subsidy is Rs 1.67 lakh crore for 2025-26, lower than the revised estimate of Rs 1.71 lakh crore for the ongoing financial year. The government had earmarked Rs 1.88 lakh crore towards fertiliser subsidy in the previous year.