A guide to the PMFBY Pradhan Mantri Fasal Bima Yojana eligibility, benefits

Introduction

Almost 60% of the total population in India works in the agriculture sector and contributes to almost 18% of the country’s GDP. To help them, the Ministry of Agriculture and Farmers Welfare launched the Pradhan Mantri Fasal Bima Yojana on 13th January 20216. 

It is a Government-backed crop insurance scheme that offers financial support and reduces the risk to farmers related to failure of crops because of diseases or natural causes. In this article, we’ll talk about the PMFBY Pradhan Mantri Fasal Bima Yojana Eligibility, Benefits, and more.  

What is the Pradhan Mantri Fasal Bima Yojana Scheme?

The Pradhan Mantri Fasal Bima Yojana is a pivotal scheme by the Government of India to protect the interest of farmers and help them financially from losses due to crop failure. It falls under the Ministry of Agriculture and Farmers Welfare so the risk factor is minimum.

It works on a subsidy model where farmers have to pay an affordable crop insurance premium and both the state and central governments take care of the rest of the premium amount left. 

It is important to have a proper understanding of the Pradhan Mantri Fasal Bima Yojana details if you want to benefit from it. 

The scheme offers protection for oilseeds, cereals, sugarcane, cotton, and many other horticulture items. Based on where the program is taken part, the exact yield amount on crops depends on the state you are in. 

Premiums under the Pradhan Mantri Fasal Bima Yojana

Farmers get insurance under the scheme for crop failure and the losses brought by it. This covers cyclones, flooding, diseases, pests, etc. The insurance amount varies depending on the average yield of the crops established under the Government’s crop-cutting experiment. The sum comes with the multiplication of the crop’s average yield and the MSP.

The following table will help you know the Pradhan Mantri Fasal Bima Yojana list and the premiums that need to be paid by a farmer. 

The Government supports by paying the difference between premium and insurance amount for small-scale and marginal farmers. Also, the Government pays the entire premium for Jammu and Kashmir, Himachal Pradesh, and northeastern states.

Eligibility for PMFBY

There are several PMFBY Pradhan Mantri Fasal Bima Yojana eligibility, benefits and other information farmers should know. The following eligibility criteria have to be taken care of by farmers when they go to open a Pradhan Mantri Fasal Bima Yojana PMFBY account – 

• All farmers, small, large, and marginal ones can avail of the scheme. Both groups of farmers as well as individual ones can go for it.
• Many crops come under the scheme like oilseeds, food crops, and more. Depending on the State you are in, the list of eligible crops varies. Farmers must consult with the local authority for agriculture first.
• The scheme is available all over India and farmers in urban as well as rural areas can register for it.
• The farmer has to notify the authorities regarding the crops he is cultivating in his respective UT or state. The Pradhan Mantri Fasal Bima Yojana covers all crops that are notified about.
• It is compulsory that the crops must not yield any return or compensation for the farmer before. 
• There is a 2-week enrolment period in which the farmer has to submit his application for crop insurance. Mostly, the period is in the planting or sowing season of crops. 
• The farmer should have a valid bank account in which they will receive the premium money through direct transfer.

Benefits of PMFBY

Here are the benefits of Pradhan Mantri Fasal Bima Yojana. 

Secures financial future

The scheme helps farmers enjoy a secure environment by offering them compensation in case of crop failure due to diseases, pests, and other natural disasters. This makes sure that their income is not vulnerable to uncertainties and that they can safely plan for the future. 

Reduces the risk factor

The PMFBY scheme reduces the amount of risk related to natural disasters and bad weather conditions. It ensures that farmers are not completely ruined because of failing crops.

Affordable amount of premiums

The state and central Governments subsidize the premium amounts so that the crop insurance is not very expensive for farmers. Every farmer, whether a small or a marginal one, can also access the insurance.

Encourages modern practices by farmers

When farmers adopt new and innovative farming techniques, they receive incentives for it. They can use this money to further invest in better seeds, technology, and more productivity.

Encourages sustainable farming

The scheme pushes people to learn new sustainable agriculture techniques as it offers a safety net. There is a very low risk of adopting new techniques that can withstand climate change and other common problems faced. 

Reduces the debt among farmers

PMFBY offers security and saves farmers from accumulating losses due to crop failures. The chances of farmers taking huge debts go down and they are less likely to get into debt traps. 

Food quality and security

As the Pradhan Mantri Fasal Bima Yojana PMFBY scheme safeguards the yield of crops, it helps with national-level food security and ensures the quality is great. 

Pradhan Mantri Fasal Bima Yojana online registration

Next up, you have to be familiar with Pradhan Mantri Fasal Bima Yojana online registration and how to go about this process – 

• Visit the PMFBY portal at this link.
• Click on the Register button to start the process
• Enter the personal and contact details as needed
• Verify your Aadhar number and your current mobile number
• After the registration is complete, you will receive an Email or SMS

Conclusion 

Farmers are the backbone of India, without any doubt. They contribute a large chunk to the country’s GDP and offer employment to countless people in every single state. The Government of India launched the Pradhan Mantri Fasal Bima Yojana program as a flagship scheme to protect farmers and their economic interests.

We learned all about the PMFBY Pradhan Mantri Fasal Bima Yojana eligibility, benefits and other information in the above article. To learn more, head over to the StockGro website!!

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