Centre extends PM Fasal Bima Yojana, DAP fertiliser subsidy; WINDS to launch in 2025

The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved the continuation of the Pradhan Mantri Fasal Bima Yojana (PMFBY) and the extension of the special subsidy package for Di-Ammonium Phosphate (DAP) fertiliser.

The PMFBY and the Restructured Weather-Based Crop Insurance Scheme, which protect farmers from crop losses caused by natural calamities, will now continue until 2025-26 with an overall outlay of ₹69,515.71 crore.

"(Govt's) first decision of the New Near is dedicated to crores of farmer brothers and sisters of our country. We have approved increasing the allocation for crop insurance scheme. This will provide more security to farmers' crops and will also mitigate their concerns about any damage," Prime Minister Narendra Modi posted on X.

The Cabinet's decision on extending the one-time special package on Di-Ammonium Phosphate (DAP) will help farmers by ensuring the fertiliser at affordable prices, he added.

The Cabinet also announced a ₹824.77 crore Fund for Innovation and Technology (FIAT) for large scale technology infusion in implementation of the schemes such as YES-TECH and WINDS as well as research and development studies.

Yield Estimation System using Technology (YES-TECH) uses remote sensing tools to estimate crop yields, minimising reliance on manual methods like crop-cutting experiments. Nine states--Andhra Pradesh, Assam, Haryana, Uttar Pradesh, Madhya Pradesh, Maharashtra, Odisha, Tamil Nadu and Karnataka--are currently implementing YES-TECH.

"Other States are also being on-boarded expeditiously. With wider implementation of YES-TECH, Crop Cutting Experiments and related issues will be gradually phased out," a government release said.

Weather Information and Network Data Systems (WINDS) seeks to enhance weather data accuracy by installing automatic weather stations and rain gauges at local levels. The project, delayed in 2023-24 due to preparatory challenges, will now launch in 2024-25.

The Centre has offered to cover 90% of the premium subsidy for northeastern states, with added flexibility for unused funds to be redirected toward other developmental projects.

The Cabinet approved extending a special subsidy package for DAP fertiliser, keeping its price affordable for farmers. The subsidy of ₹3,500 per metric tonne, initially set to end in December 2024, will now continue from January 2025 till further orders. The tentative budgetary requirementwould be approximately upto ₹3,850 crore.