A market development assistance of Rs.1500 per tonne to scale up production and use of the end product will be given under the policy, an official release said.
A joint mechanism would be set up by the departments of fertilisers and agriculture and the urban development ministry to monitor and facilitate availability of adequate quantity of compost at mutually agreeable terms between manufacturers and fertiliser marketing companies, the statement said.
Campaigns would be carried out to educate farmers on the benefits of compost and steps taken to increase the number of compost plants across all states, the statement added.
Government departments and public sector undertakings will also use city compost for their horticultural and related uses, it said.
Initially, marketing and promotion of compost is proposed to be done through the existing fertiliser companies, according to the release.
In due course, however, compost manufacturers and other marketing entities recognised by the state government concerned may also be co-opted for the purpose with the approval of the department of fertilisers.
Compost made from city garbage will not only provide carbon and primary/secondary nutrients to soil but also help keep the national capital clean.
Composting can also reduce the volume of waste dumped in landfills by converting the waste into useful by-products. It also prevents production of harmful greenhouse gases (especially methane) and toxic material that pollutes groundwater and environment.