Rs. 16000 Crore for Pradhan Mantri Fasal Bima Yojana (PMFBY) for 2021-22

• Be N By IAS, Delhi
• 08, Feb 2021

For : GS-3: Agriculture

CONTEXT:

• Government of India has allocated Rs 16000 crores for Pradhan Mantri Fasal Bima Yojana(PMFBY)for the fiscal year 2021-22.
• Today, PMFBY is globally the largest crop insurance scheme in terms of farmer participation and 3rd largest in terms of premium. Over 5.5 crore farmer applications are received on year-on-year basis.

PRADHAN MANTRI FASAL BIMA YOJANA

• Started from: 5 years ago, on 13th January 2016
• Covers: It extends coverage for the entire cropping cycle from pre-sowing to post-harvest including coverage for losses arising out of
  • Prevented sowing and
  • Mid-season adversities.
• Continuous Restructuring: Ministry of Agriculture has worked extensively towards revamping PMFBY scheme by relooking at the structural, logistical, and other challenges.
• Completely Voluntary: The scheme was made completely voluntary for farmers post its revamp in 2020.
• Premium:
  • 2% for Kharif crops.
  • 1.5% for Rabi crops.
  • 5% for commercial and horticultural crops.
• Key Features of the Scheme:
  • Integration of land records with the PMFBY portal,
  • Crop Insurance mobile-app for easy enrollment of farmers and
  • Usage of technology such as,
    • Satellite imagery
    • Remote-sensing technology,
    • Drones,
    • Artificial intelligence and
    • Machine learning to assess crop losses are some of the key features of the scheme.

SIGNIFICANCE:

1. Comprehensive risk solution: The scheme was conceived as a milestone initiative to provide a comprehensive risk solution at the lowest uniform premium across the country for farmers.
2. Largest crop insurance scheme in World: Today, PMFBY is globally the largest crop insurance scheme in terms of farmer participation and 3rd largest in terms of premium.
3. Easy for Farmers: The scheme has made it easier for the farmer to report crop loss within 72 hours of occurrence of any event through the Crop Insurance App, CSC Centre or the nearest agriculture officer.
4. Digitalised: Claim benefit is then provided electronically into the bank accounts of eligible farmer.
5. Cover most Small and Marginal Farmers: As of now. out of total farmers enrolled under PMFBY, 84% are small and marginal farmers. Thus, financial assistance is provided to most vulnerable farmers.
6. AatmaNirbharBharat: The government's aim is to resolve structural, logistical, and other challenges, and expand the benefit of PMFBY to all farmers for a #AatmaNirbharBharat.
7. To boost the safety of farmers' crops
8. To ensure maximum benefit of crop insurance reaches to farmers.
9. Shows Government's commitment towards growth of agriculture sector in the country.

Source: PIB

MCQs:

Q. Consider the following statements regarding Pradhan Mantri Fasal Bima Yojana.

1. It is globally the largest crop insurance scheme in terms of premium.
2. It extends coverage for the entire cropping cycle from pre-sowing to post-harvest.

Which of the above statements is/are correct?

• a) 1 Only
• b) 2 Only
• c) Both 1 and 3
• d) None of the above

ANS: B