Pradhan Mantri Fasal Bima Yojana : Pradhan Mantri Fasal Bima Yojana (PMFBY) is launched by the Union government launched. The major reason behind this is changes such as rainfall deficits on a frequent basis, late beging of rainfall as well as dry spells have underlined the significance of crop insurance for farmers. The Pradhan Mantri Fasal Bima Yojana aims to increase the production in agriculture. This is by giving the support to farmers crops against all natural risks that are not preventable that take place from pre-sowing to the post-harvest phase. It was established on 18 February,2016 by Prime Minister Narendra modi. It central government Scheme. Many farmers takes advantage of this Scheme.
Need for revamping the Pradhan Mantri Fasal Bima Yojana
1. The Pradhan Mantri Fasal Bima Yojana has only been a voluntary scheme for the non-loanee farmers till now.The scheme insure that the insurance is provided to the banks more than the farmer’s crops.
2. No upper Limit subsidy is set till now.
3. In previous three to Four seasons there has been a large pendency of settlement of state subsidy to the insurance companies.
Pradhan Mantri Fasal Bima Yojana 2.0
1. The Pradhan Mantri Fasal Bima Yojana 2.0 makes sure that insurance companies need to put efforts to establish awareness among the farmers to the advantages of crop risk coverage.
2. It was decided by the cabinet to cap the subsidy of central for the premium rate under this PMFBY scheme. The premium rate is 30% for unirrigated regions and 25% for the irrigated regions.
3. The major reason behind of Pradhan Mantri Fasal Bima Yojana 2.0 is that the government also gives the states or Union Territories the choice of selecting any number of extra risks such as mid-season difficulties, localized calamity as well as post-harvest losses.
Challenges faced by the scheme
1. Soomth execution of the scheme after its lauch .
2. The cost of insurance being a vital output and not an investment that is money-back.
What is covered under PMFBY
1. Natural calamities like landside and hailstorms.
2. PMFBY covers pest infestation , floods , dry spells , drough which leads loss of yields.
3. After harvesting losses of crops also covered under this scheme . These losses may be made by cyclones, unseasonal rains etc.
Objective of PMFBY
Fiancial support provided to the farmers in the distress loss of crops caused by the calamities. Promoting farmers to use modern Equipments and agriculture materials for high crops farming. Supporting farmers and telling them that the government is with them for helping on their bad times.
