Income from agriculture depends not only on a good harvest. Sometimes the costs for seeds and fertilizers increase, sometimes the weather nullifies all the efforts of farmers, and sometimes the most difficult task is attracting funds for running the farm. In such situations, if farmers can take advantage of certain government programs, their financial burden can be significantly reduced. It is important to note that these programs provide not only support in agriculture but also protection against debt and financial security in old age.
Let's look at four government initiatives that are useful for farmers:
During the agricultural season, farmers need funds to purchase seeds, fertilizers, pesticides, and other necessary materials. The PM-KISAN program helps during this period. According to this program, the central government provides financial assistance of 6000 rupees annually to eligible farmers. This amount is transferred in three equal installments of 2000 rupees directly to the farmer's bank account, which can use this money to cover urgent agricultural expenses. Some regional governments also provide additional financial support on top of the PM-KISAN amount.
The main concern for a farmer is the harvest. After great effort and expense, if the crop is destroyed due to flooding, drought, heavy rain, or pest infestation, it will be difficult for the farmer to cover even their initial costs, let alone make a profit. The Pradhan Mantri Fasal Bima Yojana (PMFBY) program is designed to protect farmers from such risks. Farmers can insure their crops at a reduced premium. Depending on established rules and the circumstances of the damage, the insurance provides financial assistance, which can reduce the financial burden on the farmer in case of total crop loss.
Another serious problem for farmers is ensuring financial stability in old age. The PM-Kisan Mandhan Yojana (PM-KMY) program can be useful for solving this problem. Small and marginal farmers aged between 18 and 40 can join this program. The farmer makes monthly contributions according to their age. Upon reaching 60 years of age, a pension payment of 3000 rupees per month is provided, guaranteeing a certain income in old age, even if agricultural earnings decrease.
Sometimes a farmer needs money before sowing, but the funds do not arrive on time. In such a situation, the Farmer Credit Card (KCC) is very useful. With it, a farmer can take out a loan directly from the bank for agricultural needs and related activities. Financial support is provided not only for crop needs but also for animal husbandry. Depending on compliance with requirements and rules, relief on the loan interest rate is provided. The advantage of this tool is that it helps the farmer reduce dependence on expensive loans from moneylenders to cover farming expenses.
Analyzing these four programs, it is clear that each one addresses the specific needs of the farmer. 'PM-KISAN' helps with initial farming expenses, the crop insurance program reduces the risk of losses from natural disasters and bad weather, 'Kisan Mandhan' provides a pension in old age, and 'Kisan Credit Card' helps meet the need for credit to run agriculture.