PMFBY Crop Insurance Scheme Witness Record 25 Million Farmer Enrollment in 6 Years

After a period of relative inactivity, the Pradhan Mantri Fasal Bima Yojana (PMFBY), the Indian government's flagship crop insurance scheme, has seen a significant resurgence in farmer participation. The just-concluded kharif season witnessed a historic milestone with over 25 million farmers enrolling in the program.

Data released indicates that an impressive 44.5 percent of these enrollees, equivalent to 11.1 million farmers, are those who have not taken agricultural loans. This marks the highest enrollment figure since 2018, signifying a growing voluntary acceptance of the scheme among non-loanee farmers.

The statistics were unveiled during an event held to announce the launch of three crucial digital initiatives by the Ministry of Agriculture, including the saturation of Kisan Credit Cards (KCC). Ritesh Chauhan, CEO of PMFBY, shared his estimates for the fiscal year 2023-24, suggesting that approximately 37.5-40 million farmers will enroll in the scheme. Of this, an estimated 42-45 percent are expected to be non-loanee farmers.

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Chauhan also revealed ambitious plans for expanding the scheme's coverage in the coming year. He announced that around 57.5-60 million hectares of agricultural land would come under the PMFBY umbrella, marking an increase of nearly 7.8 million hectares compared to the previous fiscal year.

One of the significant achievements highlighted by Chauhan was the reduction in actuarial premium rates for the 2023-25 insurance cycle. These rates are approximately 32 percent lower than those for the 2022-21 cycle, resulting in substantial savings of around 10,580 crores for the government exchequer.

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Finance Minister Nirmala Sitharaman and Agriculture Minister Narendra Singh Tomar also graced the event with their presence, underlining the government's commitment to supporting farmers and bolstering agricultural resilience.

The resurgence of the PMFBY, with record farmer enrollments and reduced premium rates, indicates a positive trajectory for India's crop insurance landscape. As the scheme continues to evolve and attract more non-loanee farmers, it is poised to provide increased financial security to India's agricultural community, especially in the face of unpredictable weather patterns and other challenges.

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