The Ministry of Agriculture & Farmers Welfare (MoA&FW) on July 30, 2024, notified regarding the implementation of the PM-KISAN Scheme. The PM-KISAN scheme, launched in February 2019 by the Hon’ble Prime Minister, stands as a testament to the Indian government’s commitment to supporting the financial needs of land-holding farmers.
Key Features of the PM-KISAN Scheme
Financial Support to Farmers: Under the PM-KISAN scheme, a financial benefit of Rs 6,000 per year is provided to farmers. This amount is distributed in three equal installments and directly transferred to the bank accounts of farmers’ families through the DBT mode.
Digital Infrastructure and Transparency: The scheme’s robust digital infrastructure ensures that benefits reach all eligible farmers without intermediaries. Maintaining absolute transparency, the Government of India has disbursed over Rs. 3.24 lakh crore to more than 11 crore farmers in 17 installments.
Minimum Support Prices (MSP) for Agricultural Crops
The government also fixes Minimum Support Prices (MSPs) for 22 mandated agricultural crops. These prices are determined based on recommendations from the Commission for Agricultural Costs & Prices (CACP) after considering inputs from state governments and relevant central ministries.
Price Support and Procurement
To realize the objectives of the MSP policy, the government extends price support for paddy and wheat through the Food Corporation of India (FCI) and state agencies. Key points include:
MOU with Procuring States: The government has entered into Memoranda of Understanding (MOU) with procuring states for paddy and wheat procurement. Payment of MSP and any bonuses is made directly to farmers’ bank accounts through an online procurement system, preferably within 48 hours of purchase.
Digital Procurement and Payments: The entire procurement process is carried out through online portals. Payments are made directly to farmers’ bank accounts, enhancing transparency and real-time monitoring.
Support for Other Crops: Oilseeds, Pulses, and Copra: These are procured under the Price Support Scheme within the Umbrella Scheme of PM-AASHA. Payments are made to farmers’ bank accounts via RTGS or NEFT within three days from the receipt of produce when market prices fall below the MSP.
Cotton and Jute: Cotton is procured by the Cotton Corporation of India (CCI) and jute by the Jute Corporation of India (JCI) at MSP.CCI has implemented measures such as on-the-spot Aadhaar-based farmer registration and the “Cott-Ally” mobile app.
Payments to cotton farmers are made through the National Automated Clearing House (NACH) directly into their Aadhaar-linked bank accounts, typically within seven days.
