FARMERS in the country may have to contend with fertiliser price increase this year in spite of a 25 per cent subsidy by the Federal Government.

The Minister of Agriculture and Water Resources, Dr. Sayyadi Ruma, dropped the hint at the weekend in Abuja while briefing State House correspondents after the Federal Executive Council meeting.

The minister said, "only the grace of God'' would prevent the increase. Ruma said the price increase was dictated by the global market and that the Federal Government subsidy was to make it affordable to farmers.

He said the council also approved the three firms selected by him to import the fertiliser, out of more than 30 firms that were initially shortlisted.

The Minister of Information and Communication, Mr. John Odey, had earlier explained that the council approved the importation of 650,000 tonnes of fertiliser for the 2008 farming season.

Odey said the quantity was half of the total of 1.3 million tonnes imported in the past eight years.

He explained that the idea was to ensure that the commodity reached farmers in every part of the country.

The minister said the 650,000 tonnes would cost the Federal Government N64.6 billion.

Nigeria currently consumes 13 kilogrammes of fertiliser per hectare of arable land, as against the UN benchmark of 93 kg per hectare.