PMFBY: Rajasthan Government Introduces Premium Subsidy Worth Rs 61.45 Crore

Under Pradhan Mantri Fasal Bima Yojana (PMFBY), Rajasthan government introduced a premium subsidy worth Rupees 61.45 crore.  In order to help farmers who have been affected by crop damage, Rajasthan government has introduced a premium subsidy of Rs 61.45 crore under Pradhan Mantri Fasal Bima Yojna (PMFBY). 

Rajasthan’s agriculture minister has also instructed insurance companies to grant such farmers an immediate insurance claim.  

Making Compensation Reach the Farmers 

PMFBY is a government sponsored crop insurance scheme which has multiple stakeholders on a single platform. They include the farmer, the states, and the Centre. A recent report highlighted how 19 states had not released their part of the premium subsidy. Because of this, compensation did not reach the farmer despite crop loss. Now, this move by Rajasthan government would ensure that the claim reaches the farmer.  

How Effective Is PMFBY?  

PMFBY is said to be the largest crop insurance scheme in terms of farmer participation. According to the central government, it is also the third-largest scheme in terms of the premium provided. 

However, it has been questioned time and again whether the scheme is really reaching small farmers.

Although the central government plans to expand it further, even farmers who are currently a part of it are dissatisfied.  

Farmers have not been receiving insurance claims for years altogether and this has added to loss caused to them by crop failure and damage. They have to take the help of moneylenders and this inevitably leads to more harm than good.  

The primary reason behind the delays and lack of reach include a poor infrastructure, exclusion, and the very nature of the scheme, which has been often criticized by farmers and leaders. In such a situation, the move by Rajasthan government would bring some relief to the affected farmers.