Image for representation. , photo credit: N. Bashkaran
The Center on Thursday said it is ready to make “farmer-friendly changes” in the Pradhan Mantri Fasal Bima Yojana (PMFBY) to meet the challenges of the recent climate crisis and rapid technological advances. Agriculture and Farmers Welfare Secretary Manoj Ahuja said the Center has taken major reform measures in the scheme after 2016 to meet new challenges.
His statement comes in the wake of reports of farmers protesting against the scheme and the opposition demanding to make it farmer-friendly. Recently, CPI MP Binoy Viswam wrote to Prime Minister Narendra Modi demanding an audit by the Comptroller and Auditor General on alleged irregularities. Union Education Minister Dharmendra Pradhan had demanded an inquiry into the working of the scheme in Odisha.
Shri Ahuja said that the demand for crop insurance is likely to increase due to climate change and hence the country needs to lay emphasis on other forms of crop and rural/agriculture insurance products. He said that the PMFBY brought in comprehensive coverage of all crops and hazards and in 2018 new innovative features were added to it, such as increasing the crop loss notification period for farmers from 48 hours to 72 hours. “Similarly, after its reform in 2020, the scheme included voluntary enrollment and add on cover for wildlife attack, to make the scheme more farmer friendly,” he said.
He said that one of the major changes made in the revised PMFBY is to give more flexibility to states for coverage of risk and make it voluntary for all farmers to meet their long-standing demand. Shri Ahuja said that some states have opted out of PMFBY mainly due to financial constraints and inability to pay their state’s share of premium subsidy. He said that after resolving their issues, Andhra Pradesh has joined the scheme back from July 2022 and it is expected that other states will also consider joining the scheme. “It is pertinent to note that most states have opted for compensation model in place of PMFBY, which do not provide farmers with the same comprehensive risk coverage as PMFBY,” he says.
“The union of agri-technology and rural insurance can be the magic formula for financial inclusion, enabling confidence in the scheme. Recently launched Weather Information and Network Data System (WINDS), Technology based Yield Estimation System (YES-Tech), Collection of Real Time Observations and Photographs of Crops (CROPIC), some of the major steps taken under the scheme Huh. More efficiency and transparency,” he said. Shri Ahuja informed that in the last six years, Rs 25,186 crore has been paid by the farmers, including Rs 1,25,662 crore paid to the farmers against their claims, with the central and state governments bearing the majority of the premium under the scheme. Does