MERITS
* It encourages farmers to test the new technology.
* It helps in lowering price and thus controls inflation.
* It also helps in improving supply of certain goods and
services.
*This enabled India to be self-sufficient in food grains due to
greater agricultural productivity.
DEMERITS
* It largely benefited the farmers in the more prosperous
region .
* It is a huge burden on the government's finance.
* Subsidies are meant to benefit the farmers only but a
substantial amount of fertilizer subsidy also benefits the
fertilizer industries.
