The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the extension of the Pradhan Mantri Fasal Bima Yojana (PMFBY) till 2026. Union Minister Shivraj Singh Chouhan confirmed the decision on Wednesday, highlighting the government’s commitment to protecting farmers’ livelihoods against unforeseen risks.
The scheme, which covers crops from sowing to storage, will continue with a substantial outlay of Rs. 69,515.71 crore.
Minister Chouhan emphasized that over four crore farmers benefitted from the scheme in 2024 alone, receiving a total of Rs. 1.7 lakh crore in claims. This extension reflects the government’s ongoing efforts to ensure comprehensive risk coverage for farmers across the nation.
Union Cabinet Focuses On Crop Insurance
Under this extension, the government aims to provide increased security to farmers’ crops, minimizing the financial risks posed by natural calamities. The scheme’s coverage will continue to protect crops from non-preventable natural disasters.
Additionally, the government plans to infuse technology into the implementation of the scheme, which will improve transparency and streamline the claims process.
As part of this initiative, the Union Cabinet has approved the creation of the Fund for Innovation and Technology (FIAT) with a corpus of Rs. 824.77 crore. This fund will support technological innovations such as YES-TECH (Yield Estimation System using Technology) and WINDS, which focus on enhancing yield estimates and improving crop insurance processes.
YES-TECH, currently being implemented in nine major states, will phase out traditional crop-cutting experiments, providing a more accurate and technology-driven approach to yield estimation.
Increased Focus On North-eastern States By Cabinet
Recognizing the unique challenges faced by farmers in the northeastern states, the government is prioritizing efforts to saturate these areas with crop insurance coverage. While the scheme remains voluntary, steps are being taken to encourage greater participation among farmers, with special flexibility given for reallocating funds for other developmental projects in these regions.
Export And DAP Storage Decisions
Along with the extension of the PMFBY, the Union Cabinet also approved the advance storage of DAP (Di-Ammonium Phosphate) fertilizers, with an allocation of Rs. 3,850 crore for this purpose. This step aims to ensure a smooth and timely supply of fertilizers to farmers during peak agricultural seasons.
Furthermore, a Memorandum of Understanding (MoU) was signed between India and Indonesia, further strengthening the global trade ties and ensuring market access for Indian rice producers.
The Union Cabinet’s decisions reflect the government’s commitment to supporting the agricultural sector and enhancing the security of farmers. By extending the PM Fasal Bima Yojana, incorporating technological innovations, and ensuring timely supplies of fertilizers.
Also Read: Cabinet Approves Extension Of Special Package For DAP Fertilisers To Farmers
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