Union Cabinet approves changes in Prime Minister Crop Insurance Scheme to make it optional for farmers

Prime Minister Crop Insurance Scheme
Narendra Singh Tomar (L) Prakash Javadekar (C), Smriti Irani (R) address a press conference

Union Cabinet Approves Changes In Pradhan Mantri Fasal Bima Yojana To Make It Optional For Farmers

Modi cabinet has given a big gift to the farmers. The Union Cabinet on Wednesday approved major changes in the crop insurance scheme, Pradhan Mantri Fasal Bima Yojana (PMFBY) making it optional for farmers.

The government will pay 90 percent of the crop insurance premium for farmers in the North East. Pradhan Mantri Fasal Bima Yojana (PMFBY) was launched in February 2016 by Prime Minister Narendra Modi. Currently, 58 percent of the total farmers are loanees.

The government on Wednesday approved a Rs 4,558 crore scheme to encourage the dairy sector. This decision of the government will benefit 95 lakh, dairy farmers. This decision made by the cabinet headed by Prime Minister Narendra Modi was communicated to reporters by Information and Broadcasting Minister Prakash Javadekar and Union Agriculture and Farmers Welfare Minister Narendra Singh Tomar.

The Union Cabinet has also approved the Assisted Reproductive Technology (Regulation), Bill. Smriti Irani, Women and Child Development Minister said that this is an important step in terms of the reproductive rights of women.

Highlighting the achievements of Pradhan Mantri Fasal Bima Yojana (PMFBY), Union Agriculture and Farmers Welfare Minister Narendra Singh Tomar said Rs 13,000 crore premiums have been collected and insurance claims worth Rs 60,000 crore have been cleared. The crop insurance program has covered 30 percent of the cultivable area Narendra Singh Tomar added.

Narendra Singh Tomar, Agriculture Minister said that 5.5 crore farmers have taken advantage of the Prime Minister Crop Insurance Scheme. The Agriculture Minister said that the government has now made the Prime Minister Crop Insurance Scheme optional.

As per this change, the business allocation of insurance companies in both PMFBY / RWBCIS will be done for three years. The government stated that the central subsidy under PMFBY / RWBCIS would be limited to premium rates up to 30 percent for irrigated areas.