PMFBY ( pm fasal bima yojana) PPT psl.pptx

A govt schemes

1. PRADHAN MANTRI FASAL BIMA YOJANA

2. PRESENTED BY SHWETA JAISWAL BANOTH SUMAN GOPAL KUMAR PARAS

3. Content Introduction Objective Highlight of scheme Budget under PMFBY Crop cover under the scheme Calendar activity How to apply and claim Comparison with previous scheme State wise statistics Advantage And Disadvantage

4. INTRODUCTION Agriculture in India is wholly depends on nature. Crop insurance scheme has been implemented to protect the farmer from perils of nature. It was launched by Prime minister. Mr. Narendra Modi on 18 February 2016 in a Kisan M aha Sammelan at Sehore Madhya Pradesh , to help the farmer and which can help to boost agriculture production. This scheme will replace National Agriculture Insurance Scheme (NAIS) which is started in 1999. The scheme was launched in 2016 by the Ministry of Agriculture and Farmers' Welfare. It is the largest agricultural insurance scheme in the world, covering over 50 crore farmers and providing insurance coverage for over 50 different crops. (pmfby.gov.in) .

5. Objective To provide  insurance coverage and financial support to the farmers in the event of failure  of any of the notified crops as a result of natural calamities, pests & diseases. To  stabilize the income of farmers  to ensure their continuance in farming. To encourage farmers to adopt innovative and modern agricultural practices. To ensure the flow of credit to the agriculture sector.

6. Highlights of scheme There were be a uniform premium of only 2% to be paid by farmers for all Kharif crop and 1.5% for all Rabi crops. In case of annual commercial and horticulture crops, the premium to be paid by farmers will be only 5%.. There is no upper limit on government subsidy. Even if balance premium is 90%, it will be borne by the government. PMFBY is replacement scheme of NAIS/MNAIS there will be exemption from Service tax liability of all the services involved in the implementation of the scheme. It is estimated that the new scheme will ensure about 75-80% of subsidy for the farmers in insurance premium . MNAIS - Modified National Agriculture Insurance Scheme (2010) NAIS- National Agriculture Insurance Scheme (1999)

7. Budget under PMFBY The Pradhan Mantri Fasal Bima Yojana (PMFBY) has received an additional impetus with the government allocation Rs.13625 crore 2023-24. ( Ministry of Agriculture and Farmers Welfare )

8. Crops covered under this scheme Under this new crop insurance plan, the premium rate will be 2%,1.5% and 5% for all types crop like kharif crop, Rabi crops .Horticulture crops and commercial crops important crops below- Foods crops :- cereals ( including Wheat, paddy, Barley, millets, Paddy) Annual Commercial crops :- Cotton, Jute, Sugarcane Pulses: - red gram, Gram, Pea, lentils, Soyabean, Moong, Urad Cowpea Oilseed :- sesame, Mustard, castor Cottonseed, Groundnut, Soyabean Rapeseed, San flower, linseed. Horticulture crops:- Banana, Grapes, Papaya, Onion, Apple, Mango, orange, Guava, litchi, Papaya, pineapple, Sapota, Tomato, cauliflower

9. Activity Kharif (2%) Rabi(1.5%) Loaning period ( loan sanctioned) loanee farmers covers covered on compulsory April to July October to December Cut-off date for receipt of proposals of farmers (Loanee& non loanee) 31 July 31 December date for receipt of yield data Within a month from final harvest Within a month from final harvest Calendar activity

10. How to apply and claim Farmers can enroll for PMFBY through bank, broker, CSC, e- Government Services India Limited ,OR Directly through the website( PMFBY) Note- The application for PMFBY must be submitted within 10 days of sowing. Document:- Bank account number , Adhar card, Khasra number of land. Agreement Photocopy( incase land of another farmer.), How to apply claim:- If crop get ruined to a natural calamity like flood, storm, drought, natural fire etc. Then inform the insurance company within 72 hours toll free number 1800-209-5959

11. Premium Calculate Kharif crops (PMFBY) Rabi Crops ( PMFBY)

12. Risk covered under the scheme Yield losses ( standing crops , on notified area basis). 1 .natural fire and Lightning, 2 .storm, hailstorm, cyclone ,typhoon. 3 .Flood inundation, landslide. 4. Drought dry spells. 5. Pests/ diseases etc. Prevented sowing- farmer shall be eligible for claim up to maximum 25% of the sum-insured. Post- harvest losses- C overage is available up-to maximum period of 14 days from the harvesting. Localized calamities ( individual farm basis)- Hailstorm, landslide, inundation affecting isolated farms. Risks and losses not will covered in PMFBY: - War, nuclear risks, Riods , Theft, act of enmity grazed other preventable risks.

13. Comparison with previous scheme Sr. n. Feature NAIS (1999) MNAIS (2010) PM Crop Insurance Scheme 1 Premium rate Low High Lower than even NAIS (Govt to contribute 5 times that of farmers 2 One Season – one premium Yes No Yes 3 Insurance Amount cover Full Capped Full 4 On Account Payment No Yes Yes 5 Localized risk covered No Hail ,storm ,Land slide Hail, strom , landslide, inundation 6 Post harvest losses covered No Coastal , areas for cyclone rain All India for cyclonic + Unseasonal 7 Prevented sowing coverage no Yes Yes 8 Use Technology No Intended Mandatory 9 Awareness No No Yes (Target to double coverage to 50%

14. FY 2019-20 - PMFBY & RWBCIS Combined - State Wise Business Statistics as on 31.08.2021 State/UT Name Farmers Application s Insured (Lakh) Area Insured (Lakh ha) Sum Insured Farmers Share in Premium(In crore) Gross Premium (In crore) Reported Claims Paid Claims(In crore) Paid Claims (In crore) Farmer Application s Benefitted (Lakh) Uttar Pradesh 46.947 35.572 16,743.95 321.955 1 ,304.82 1 ,116.75 1 ,092.74 9.343 Haryana 17.111 22.505 15,132.97 268.803 1 ,221.72 932.26 927.45 5.552 Madhya Pradesh 78.929 112.682 32030.72 629.279 3758.65 5905.48 5811.75 30.546 Other 469.913 330.241 155132.36 3281.963 25736.81 18938.51 17990.06 178.159 Grand total 612.9 501.0 219040 4502 32022 26893 25822 223.6

15. Impact on Agriculture sector 1. Improved Agricultural Practices:- PMFBY encourage farmers to adopt innovation and modern agricultural practices. 2 . Financial Support to Farmers 3 . Coverage and growth: - The scheme covers more than 60 million farmers and 30% of the gross cropped area. 4. Risk mitigation:- 5. Technological Adoption : - the scheme has also promoted the adoption of technology which has improved efficiency and transparency.

16. Advantage Wide coverage Affordable premiums Quick claim settlement Use of technology Risk management Reduced Premium Contributions: PMFBY significantly reduces the financial burden on farmers by offering lower premium rates. Farmers contribute only 2% for Kharif crops, 1.5% for Rabi crops, and 5% for Annual and Commercial crops, making insurance more affordable. Prompt On-Account Claim Payments: Farmers receive on-account claim payments in case of prevented sowing or localized losses. This ensures timely financial support to cope with adverse conditions.

17. Disadvantage Dlayed Claim Settlements:- Farmers often experience delays in receiving payment, which can be critical during crop failures Benefiting Insurance Companies :- There are concerns that the scheme is more beneficial to private insurance companie e s than to the farmers themselves. Inadequate Awareness :- Farmer may not be fully aware of the schemes benefits or how to avail them, leading to underutilization. Complexity in Assessment:- Conducting crop-cutting experiments, which are necessary for the claim assessments, can be complex and challenging, especially for horticulture crops. These issues highlight the need for improvements in the schemes implementation to ensure that it effectively serves the farmers it is intended to support.

18. Conclusion Agriculture in India is wholly Depend on nature. Given the uncertainties of natural disasters, farmers should insure their crops in time. Due to which economic losses caused by natural disasters can be reduced. Crop insurance scheme is increasing year by year. All natural calamities are covered in PMFBY. P remium is Affordable The claim amount is transferred directly to the farmers accounts.