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Misleading Incentives – South Asian Farmers’ Use of Fertilizer

Since the Green Revolution in the 1960s to 1980s, which introduced high-yielding varieties of crops, improved fertilizer, irrigation, and pesticides to agriculture in developing countries, South Asia’s appetite for inorganic fertilizer has not stopped. In 2012-3, fertilizer consumption in this area accounts for 18 percent of the world’s total usage. India alone consumed 28.1 million tons of fertilizer in 2010, making it number two in the world, after China. However, farmers in South Asia do not use the appropriate ratio of nitrogen (N), phosphate (P), and potash (K) fertilizer that would increase their yields.