Welfare Schemes for Farmers in India

Programs or initiatives designed to better the situation and quality of life for farmers are known as Farmer Welfare Schemes. To assist farmers in managing their land sustainably, growing their crops, and overcoming challenges like fluctuations in markets or natural disasters, these programs include financial support, training, and other forms of helps. Their objectives are to guarantee the nation’s food security, raise farmer incomes, and boost agricultural output.

Welfare Schemes for Farmers

Farmer welfare schemes are important for maintaining agricultural livelihoods, reducing poverty, and ensuring food security. These schemes help farmers’ well-being by providing financial help, insurance, and other forms of support, mainly to small landholders who are facing financial problems. Also by encouraging investments in agriculture and related fields, these programs support rural development by promoting social stability and economic growth. The following list contains information about the various schemes the Department of Agriculture and Farmers’ Welfare is doing to improve the welfare and incomes of farmers, as well as the scheme-by-scheme achievements:

PM-KISAN (Pradhan Mantri Kisan Samman Nidhi)

The Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme gives direct income support to small and marginal farmers. Under this scheme, eligible farmers receive a fixed amount of money directly into their bank accounts in three equal installments every year.

Scheme Name	PM-KISAN (Pradhan Mantri Kisan Samman Nidhi)
Launch Date	February 24, 2019
Objective	To supplement the financial needs of landholding farmers, subject to exclusions
Financial Benefit	Rs. 6000 per year
Installments	Transferred in three equal four-monthly installments
Transfer Mode	Direct Benefit Transfer (DBT) mode
Total Amount Transferred	Rs. 2.81 lakh crores
Beneficiaries	Over 11 crores farmers across the country

Pradhan Mantri Kisan Maandhan Yojana (PMKMY)

The Pradhan Mantri Kisan Maandhan Yojana (PM-KMY) is a scheme launched to provide financial security to vulnerable farmer families. It is a contributory pension scheme where small and marginal farmers can enroll by paying a monthly subscription. Upon reaching the age of 60, enrolled farmers receive a monthly pension, helping them secure their future after retirement.

Scheme Name	Pradhan Mantri Kisan Maandhan Yojana (PMKMY)
Launch Date	12th September 2019
Objective	Provide financial security to vulnerable farmer families
Nature	Contributory pension scheme
Target Beneficiaries	Small and marginal farmers (SMFs)
Age Group for Enrollment	18 to 40 years
Monthly Contribution Range	Rs. 55 to Rs. 200
Pension Amount	Rs. 3,000 per month at the age of 60
Pension Fund Manager	Life Insurance Corporation (LIC)
Enrollment Process	Common Service Centers (CSC), State Governments
Current Enrollment	23.38 lakh farmers (as of [insert latest date])

Pradhan Mantri Fasal Bima Yojana (PMFBY)

The Pradhan Mantri Fasal Bima Yojana (PMFBY) is an insurance scheme introduced to provide financial protection to farmers against crop losses due to natural disasters, pests, and diseases. It offers crop insurance products to ensure major risk cover for crops from pre-sowing to post-harvest stages.

Scheme Name	Pradhan Mantri Fasal Bima Yojana (PMFBY)
Launch Year	2016
Objective	Provide simple and affordable crop insurance product to ensure comprehensive risk cover for crops against all non-preventable natural risks from pre-sowing to post-harvest and provide adequate claim amount
Nature	Demand-driven crop insurance scheme
Coverage	All farmers
Total Farmer Applications Insured	5549.40 lakh (55.494 crore)
Total Claim Amount Paid	Rs. 150589.10 crore

Interest Subvention Scheme (ISS)

The Interest Subvention Scheme (ISS) is designed to provide short-term agricultural loans to farmers, covering various activities like crop husbandry, animal husbandry, dairying, and fisheries. Under this scheme, farmers can avail loans at a reduced interest rate of 7% per annum.

Scheme Name	Interest Subvention Scheme (ISS)
Objective	Provide concessional short-term agricultural loans to farmers engaged in crop husbandry and allied activities such as animal husbandry, dairying, and fisheries
Eligibility	Farmers availing short-term crop loans up to Rs. 3.00 lakh
Interest Rate	7% per annum
Subvention for Prompt Repayment	Additional 3% subvention for prompt and timely repayment, effectively reducing the interest rate to 4% per annum
Coverage	Available for post-harvest loans against Negotiable Warehouse Receipts (NWRs) on crop loans for a further period of six months post-harvest to small and marginal farmers having Kisan Credit Cards (KCCs), on occurrence of natural calamities and severe natural calamities
Current Status (as of 05-01-2024)	465.42 lakh new KCC applications sanctioned with a sanctioned credit limit of Rs. 5,69,974 crore

Agriculture Infrastructure Fund (AIF)

The Agriculture Infrastructure Fund (AIF) is a financial support initiative launched for infrastructure gaps and to provide investment in agricultural infrastructure in India. With a budgetary outlay of Rs. 1 lakh crore, the AIF provides medium to long-term debt financing for projects related to post-harvest management infrastructure and community farming assets.

Scheme Name	Agriculture Infrastructure Fund (AIF)
Launch Year	Aatmanirbhar Bharat Package (FY 2020-21)
Objective	Address infrastructure gaps and mobilize investment in agriculture infrastructure, with a vision to transform the agriculture infrastructure landscape
Funding	Rs. 1 lakh crore disbursed from FY 2020-21 to FY 2025-26, with support provided until FY 2032-33
Financing Facility	Medium to long-term debt financing for viable projects in post-harvest management infrastructure and community farming assets
Interest Subvention	3% per annum
Credit Guarantee Coverage	CGTMSE for loans up to Rs. 2 crores
Maximum Projects per Entity	Up to 25 projects located in different LGD codes
Eligible Beneficiaries	Farmers, Agri-entrepreneurs, Start-ups, Primary Agricultural Credit Societies (PACS), Marketing Cooperative Societies, Farmer Producers Organizations (FPOs), Self Help Group (SHG), Joint Liability Groups (JLG), Multipurpose Cooperative Societies, Central/State agency or Local Body sponsored Public Private Partnership Projects, State Agencies, Agricultural Produce Market Committees (Mandis), National & State Federations of Cooperatives, Federations of FPOs, and Federations of SHGs
Current Status (as of 31-12-2023)	Rs. 33.209 crore sanctioned for 44,912 projects, out of which Rs. 25,504 crore is covered under scheme benefits, mobilizing an investment of Rs. 56.471 crore in the agriculture sector

Formation and Promotion of 10,000 Farmer Producer Organizations (FPOs)

The Central Sector Scheme (CSS) for Formation and Promotion of 10,000 Farmer Producer Organizations (FPOs) is an initiative by the Government of India aimed at cultivating the development of Farmer Producer Organizations across the country. With a total budgetary outlay of Rs. 6865 crores, the scheme focuses on forming and promoting 10,000 FPOs through Implementing Agencies (IAs).

Scheme Name	Central Sector Scheme (CSS) for Formation and Promotion of 10,000 Farmer Producer Organizations (FPOs)
Launch Year	2020
Objective	Formation and promotion of 10,000 Farmer Producer Organizations (FPOs)
Total Budgetary Outlay	Rs. 6865 crores
Implementation Method	Formation and promotion of FPOs through Implementing Agencies (IAs)
Role of Implementing Agencies (IAs)	Engage Cluster Based Business Organizations (CBBOs) to form and provide professional handholding support to FPOs for 5 years
Duration of Support	5 years