The government has told Parliament it is creating a sovereign wealth fund to buy fertiliser and energy assets abroad.
Union Minister of State for Chemicals and Fertilisers said the govt is formulating a concept paper on the subject. The paper is being worked out in close consultation with various ministries including the planning commission, he added.
According to the minister, his ministry and the department of economic affairs have already been considering the matter.
The working group on fertilisers set up by the planning commission had earlier suggested that the country should seriously consider buying fertiliser mineral assets abroad to be able to supply the deficiency in the domestic supply, the minister added.
Sources say the country is still badly dependent on imports of fertilisers including potash and DAP.
The govt has assured parliament that it would not hike the administered prices of fertilisers. Ferlilizer giant IFFCO has already cracked a deal in Canada for producing fertilizer.