NITI Aayog and Gujarat Narmada Valley Fertilizers & Chemicals Limited (GNFC) today signed a Statement of Intent (SOI) to work together for implementing a Proof-of-Concept (PoC) application using the blockchain technology for fertiliser subsidy management.
Dr Rajiv Gupta, Managing Director, GNFC, told PTI that under the SOI, GNFC and Niti Aayog would undertake a joint research.
Insights and outcomes of the POC will enable NITI Aayog to suggest policy recommendations to strengthen the subsidy mechanism, making it more transparent and immune to leakages, he said.
“With the adoption of blockchain technology, it is expected that distribution will become efficient and subsidy transfer would be automated and in real time,” he said.
The turnaround time for subsidy distribution will be reduced to three to four weeks, there won’t be any need for multiple authorisation and movement of documents, and fertilizer sales and distribution will become efficient, benefiting farmers, Gupta said.
The system will also be integrated with soil card in the next phase, which will be useful in advising farmers to use a particular type of fertilizer based on soil heath, he said.