The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the continuation of the Pradhan Mantri Fasal Bima Yojana (PMFBY) and Restructured Weather-Based Crop Insurance Scheme until 2025-26, with an increased allocation of Rs 69,515.71 crore.
Key Highlights of the Scheme Continuation
1. Massive Financial Outlay:
- The Cabinet approved a significant Rs 69,515.71 crore outlay for PMFBY and the Restructured Weather-Based Crop Insurance Scheme for the period 2021-22 to 2025-26.
- An additional Rs 3,850 crore subsidy has been allocated for DAP fertilizers to support farmers further.
2. Risk Coverage and Technology-Driven Initiatives:
- The decision aims to cover crop risks from non-preventable natural calamities for farmers across India until 2025-26.
- The Union Cabinet also sanctioned the creation of the Fund for Innovation and Technology (FIAT) with a corpus of Rs 824.77 crore to infuse large-scale technology into the scheme.
Technological Innovations in Crop Insurance
1. YES-TECH (Yield Estimation System Using Technology):
- Uses Remote Sensing Technology for yield estimation, ensuring accuracy and transparency in claim settlement.
- States such as Andhra Pradesh, Assam, Haryana, Uttar Pradesh, Madhya Pradesh, Maharashtra, Odisha, Tamil Nadu, and Karnataka have implemented YES-TECH.
- Madhya Pradesh has adopted 100% technology-based yield estimation.
2. WINDS (Weather Information and Network Data Systems):
- Aims to establish Automatic Weather Stations (AWS) at the block level and Automatic Rain Gauges (ARGs) at the Panchayat level.
- Plans to increase the network density by five times to develop hyper-local weather data.
- States including Kerala, Uttar Pradesh, Himachal Pradesh, and Karnataka are implementing WINDS, with others preparing to join.
3. Flexible Support for Northeastern States
- The government shares 90% of the premium subsidy for Northeastern States to prioritize their farmers.
- Due to challenges like low gross cropped area and voluntary scheme participation, flexibility has been granted to reallocate unused funds to other developmental projects.
Implementation Updates
- For WINDS, 2024-25 has been designated as the first year of implementation, giving states more time for preparatory work.
- YES-TECH has already facilitated claim calculation and settlement for 2023-24, with Crop Cutting Experiments being gradually phased out.
Significance of the Enhanced Allocation
1. Empowering Farmers:
- The scheme provides a robust safety net against natural calamities, reducing financial uncertainties for farmers.
2. Encouraging Transparency and Efficiency:
- Technology integration like YES-TECH and WINDS ensures efficient claim settlement and accurate weather data collection, enhancing farmer trust.
3. Balanced Regional Development:
- The scheme ensures high central funding for Northeastern states, promoting agricultural growth and inclusivity.
Conclusion
The continued emphasis on PMFBY and related schemes demonstrates the government’s commitment to the agricultural sector. By integrating advanced technologies and prioritizing risk coverage, these measures aim to bolster farmer welfare, ensure crop security, and promote sustainable agricultural practices.
