The Central government has released the Rs 3,200 crore instalment of Pradhan Mantri Fasal Bima Yojana today. Notably, this is the first instalment given to farmers, and Rs 8,000 crore to be released later, Union Agriculture and Farmers Welfare Minister Shivraj Singh Chauhan announced in a video posted today.
On the official X handle of Minister Shivraj Singh Chauhan, the posted video cited the description: “Today, approximately 30 lakh farmers affected by natural disasters will have ₹3200 crore deposited into their accounts under the Prime Minister’s Crop Insurance Scheme. This is the first instalment, so farmers whose accounts do not receive funds today should not worry. Approximately ₹8000 crore will be released later” (Translated to English) While explaining the significance of this yojana, the description further added: “This Yojana has become a boon for disaster-affected farmers. To ensure farmers receive funds on time, we have decided that if an insurance company fails to deposit the money within the stipulated time frame after a claim, it will have to pay 12% interest, which will go directly to the farmer’s account. Farmer brothers and sisters, serving you is my worship of God. If you have any complaints regarding the crop insurance scheme, please inform me. We always stand with you”. (Translated to English)
According to an official statement by the Ministry of Agriculture and Welfare, Pradhan Mantri Fasal Bima Yojana completed its ninth anniversary on February 18, 2025, celebrating close to a decade of empowering the farmers of India.
What is Pradhan Mantri Fasal Bima Yojana?
It is a scheme introduced by the Central government, launched in 2016, that offers a comprehensive shield against crop losses caused by unpredictable natural disasters. This protection not only stabilises farmers’ income but also promotes them to adopt innovative practices.
How Pradhan Mantri Fasal Bima Yojana Works?
The Yojana works by providing affordable insurance coverage. It aims to ensure income stability and promote sustainable farming practices across the country. All the Farmers growing notified Crops are eligible for the scheme. It covers specifically Kharif Crops, Rabi Crops and commercial and horticultural Crops. Under the scheme, the farmers need to pay a subsidised premium, making insurance affordable, and the remaining one is shared by the Central and State Governments. Notably, the scheme offers coverage for Natural disasters, Pests and plant diseases, Post-harvest losses, and prevented sowing due to adverse weather. Eventually, the claims are paid through Direct Benefit Transfer (DBT) to the Bank Accounts of Farmers.