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Regular-article-logo Monday, 12 January 2026

Rs 300-cr insurance balm for farmers

The state government has earmarked Rs 300 crore towards its premium share of the Pradhan Mantri Fasal Bima Yojana.

Subhashish Mohanty Published 19.03.16, 12:00 AM
Finance minister Pradeep Amat announces the budget in Assembly on Friday. Picture by Sanjib Mukherjee

Bhubaneswar, March 18: The state government has earmarked Rs 300 crore towards its premium share of the Pradhan Mantri Fasal Bima Yojana.

The premium rates, to be paid by farmers, have substantially been brought down, so that more farmers can get insurance cover against crop loss on account of natural calamities.

Finance minister Pradeep Amat announced the government's decision while tabling the agriculture budget of Rs 13,181.89 crore in the Assembly. The amount is 20.89 per cent more than the outlay for the previous year.

Prime Minister Narendra Modi in his February visit to Bargarh, where from the largest number of farmer suicides has been reported, had urged the farmers to adopt the Prime Minister Crop Insurance Scheme. He also urged the state governments to support the programme.

The scheme will come into effect from the coming kharif season this April. Under the new scheme, farmers will have to pay a uniform premium of 2 per cent for all kharif crops and 1.5 per cent for all rabi crops. For annual commercial and horticultural crops, farmers will have to pay a premium of 5 per cent. The remaining share of the premium, as in the previous schemes, will continue to be borne equally by the Centre and the respective state governments.

Amat also announced that the state would provide Rs 800 crore towards its premium share of the existing National Agricultural Insurance Scheme, which is implemented in the state on a modified version. "There is a need for quick relief through adequate compensation and insurance cover to mitigate their financial hardships," said Amat.

The state government has been bringing a separate budget on agriculture since 2012-13 fiscal.

The agriculture budget includes budget for water resources, co-operation, fisheries and animal resource development and agriculture departments. The highest budgetary allocation was made for the water resources department, which stood at Rs 7,241.66 crore in 2016-17 - an increase of about 16.57 per cent.

To provide water to farmers, the state government has planned to revive the defunct lift irrigation projects. It aims to revive the irrigation potential and ayacut created over the years that has been lost due to siltation of reservoirs, deterioration of the distribution system and drying up of the water sources of lift irrigation projects.

To encourage the tribal to go for production of millets, the state government has decide to launch special programme for millet in the tribal areas to enhance production and productivity of millet.

Another scheme has been launched to support the integrated farming system in tribal districts to enhance the farmers' income in the watershed areas.

Amat also announced that a new programme, called development of agriculture in collaboration with international institutions, would be launched.

The government will take help of the Indian Council of Agricultural Research, International Rice Institute, International centre for Agriculture Research Dry Areas and the International Potato Centre for this on knowledge sharing basis.

The agriculture department also decided to launch special programme for "Promotion of Gender Friendly Tools for Farm Women in Odisha" to improve their efficiency.

The government also introduced a new scheme "Support to Farmer Producers Organisations" with the objective of mobilisation of farmers to enhance their production.

It has also earmarked Rs 100 crore to build godowns. The panchayati raj department will be the executing agency for this instead of the co-operation department. The state government also aims to produce one crore eggs per day and 1 lakh metric tonnes broiler meat per annum by 2020.

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