New Delhi, Jan 01: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the continuation and enhancement of the Pradhan Mantri Fasal Bima Yojana (PMFBY) and the Restructured Weather Based Crop Insurance Scheme (RWBCIS) until 2025-26. The initiative comes with a total outlay of ₹69,515.71 crore for the period 2021-22 to 2025-26 and aims to provide robust risk coverage for crops against non-preventable natural calamities, benefitting farmers nationwide.
A notable feature of this approval is the establishment of the Fund for Innovation and Technology (FIAT) with a corpus of ₹824.77 crore to support technological advancements. This includes the introduction of the Yield Estimation System using Technology (YES-TECH) and Weather Information and Network Data Systems (WINDS), along with research and development efforts to improve transparency and streamline the settlement of claims.
YES-TECH, which employs remote sensing technology for yield estimation, is currently operational in nine states, including Andhra Pradesh, Assam, Madhya Pradesh, and Haryana. Madhya Pradesh has fully adopted technology-based yield estimation, phasing out traditional Crop Cutting Experiments. Claims for 2023-24 have already been successfully calculated and settled using this system. WINDS aims to install Automatic Weather Stations (AWS) at the block level and Automatic Rain Gauges (ARGs) at the panchayat level to develop hyper-local weather data networks. Its implementation, initially scheduled for 2023-24, has been rescheduled to 2024-25 to allow states adequate time for preparation.
The government is prioritizing farmers in the North Eastern states by offering a 90% premium subsidy. However, flexibility has been introduced to allow unutilized funds to be reallocated to other developmental projects due to the scheme’s voluntary nature and the limited gross cropped area in these states.
The Cabinet’s decision to enhance these crop insurance schemes reflects its commitment to supporting farmers, promoting technological innovation, and ensuring efficient risk management in the agricultural sector. These measures are expected to strengthen the resilience of the farming community and contribute to the long-term growth of the agriculture industry.
