Dual Role of Fertiliser in Indian Agriculture: A Cost-Benefit Analysis

Abstract

The current study attempts to expound on the relationship between fertiliser use and the emission of nitrous oxides and methane in agriculture. To achieve the objective, the vector error correction model (VECM) tool is applied on time series data, spanning the period 1980-2023 in India, and results indicate longrun relationship. As a robustness check for co-integration results, the ARDL Bound test identifies strong links between the variables under consideration. The study then goes on to a cost-benefit analysis of fertiliser use, to determine whether to use fertiliser or deploy any technology to decrease the negative consequences of fertiliser use in agriculture.