Government highlights agricultural growth, PMFBY reforms and income support measures in Lok Sabha

IN NEWS

Government highlights agricultural growth, PMFBY reforms and income support measures in Lok Sabha

Introduction

During Question Hour in Lok Sabha, Union Agriculture Minister Shri Shivraj Singh Chouhan presented a comprehensive overview of India’s agricultural progress, highlighting improvements in production, farmer income, MSP, subsidies, and crop insurance reforms. The discussion reflects the government’s continued focus on doubling farmers’ income and strengthening agricultural resilience.

ANALYSIS

Overall Agricultural Growth Trends

India has witnessed a significant rise in agricultural output over the past decade, indicating improvements in productivity and diversification:

• Total crop production increased from 246.42 million tonnes to 353.96 million tonnes
• Pulses production rose from 16.38 million tonnes to 25.24 million tonnes
• Oilseeds production increased from 27.51 million tonnes to 42.61 million tonnes
• Horticulture production expanded from 280.70 million tonnes to 367.72 million tonnes
• Milk production also recorded substantial growth

This reflects a shift towards diversified agriculture and allied sectors, contributing to income enhancement.

Policy Measures for Agricultural Development

The government has adopted a multi-dimensional strategy focusing on six key areas:

• Boosting agricultural production
• Reducing input costs to enhance farmer income
• Ensuring fair and remunerative prices (MSP)
• Providing compensation for crop losses
• Promoting diversification (horticulture, fisheries, agroforestry, animal husbandry)
• Encouraging natural farming and balanced fertiliser use

These measures indicate a transition from production-centric to income-centric agriculture policy.

Rising Public Investment and Support

• Agriculture budget increased from ₹27,000 crore (UPA era) to ₹1.27 lakh crore
• Fertiliser subsidy: Around ₹2 lakh crore annually
• Institutional credit increased from ₹7 lakh crore to ₹25 lakh crore
• PM-KISAN now benefits 10 crore farmers

This expansion highlights enhanced fiscal support and financial inclusion in agriculture.

Minimum Support Price (MSP) Reforms

• MSP ensured at minimum 50% profit margin over cost
• Significant increase across crops:

• Procurement levels increased sharply:
  • Pulses procurement rose from 6 lakh MT (earlier) to 1.82 crore MT

This indicates stronger price assurance and market intervention.

Strengthening Crop Insurance (PMFBY)

• Total claims disbursed: ₹1.83 lakh crore
• Against premium collected: ₹35,000 crore
• Direct transfer to farmers ensures transparency and efficiency

New Reform: Interest on Delayed Claims

• 12% interestpayable if:
  • Insurance company delays claim beyond 21 days
  • State government delays premium share

This provision enhances accountability and timely compensation.

Inclusion and Coverage Expansion

• Special focus on small and tenant farmers
• Authorisation provision allows tenant farmers to access PMFBY benefits
• Coverage:
  • 6.55 lakh tenant/sharecroppers covered
  • Total beneficiaries: 41.62 lakh farmers

This improves inclusiveness in agricultural insurance.

Technological Advancements (YESTECH)

• Introduction of YESTECH (Yield Estimation System Based on Technology)
• Uses satellite-based remote sensingfor:
  • Crop yield estimation
  • Loss assessment

This reduces reliance on manual Crop Cutting Experiments (CCEs) and enhances:

• Transparency
• Accuracy
• Timely settlement of claims

Diversification and Infrastructure Support

• Promotion of:
  • Drip and sprinkler irrigation (Per Drop More Crop)
  • Polyhouses and greenhouses
• Boost to:
  • Fruits and vegetables production
  • Allied sectors (dairy, fisheries)

This supports sustainable and high-value agriculture.

Implications

• Indicates strong state support for agriculture through subsidies and MSP
• Crop insurance reforms improve farmer protection and trust
• Rising production reflects policy effectiveness, but sustainability concerns remain
• Focus on diversification aligns with income stability and climate resilience
• Technology integration signals shift towards digital agriculture governance

STATIC PART (AS PER INPUT)

• Scheme: Pradhan Mantri Fasal Bima Yojana (PMFBY)
• Reform Feature: 12% interest on delayed claim payments
• Technology Initiative: YESTECH (satellite-based yield estimation system)
• Income Support Scheme: PM-Kisan Samman Nidhi
• Procurement Scheme: PM-AASHA
• Irrigation Initiative: Per Drop More Crop

Updated – 29 July 2025 ; 08:15 PM | PIB