To provide remunerative prices to farmers and control price volatility of essential commodities for the consumers, the Union Cabinet on Wednesday approved the extension of Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PM-AASHA) schemes.
The total financial outgo will be Rs 35,000 crore up to FY 2025-26.
To serve the farmers and consumers more efficiently, the government has converged the price support scheme and price stabilisation fund schemes in PM-AASHA.
According to the government, PM-AASHA will now have the components of the price support scheme, the price stabilisation fund, the price deficit payment scheme and the market intervention scheme.
The procurement of notified pulses, oilseeds, and copra at MSP under the price support scheme will be on 25 per cent of the national production of these notified crops from the 2024-25 season onwards which would enable states to procure more of these crops at MSP from farmers for ensuring remunerative prices and preventing distress sale.
"However, this ceiling will not be applicable in the case of tur, urad and masur for the 2024-25 season as there will be a 100 per cent procurement of tur, urad, and masur during the 2024-25 season as decided earlier," said the Ministry of Agriculture and Farmers Welfare.
The government has renewed and enhanced the existing guarantee to Rs 45,000 crore for procurement of notified pulses, oilseeds and copra at MSP from farmers. This will help in the procurement of pulses, oilseeds and copra by the Department of Agriculture and Farmers Welfare from farmers at MSP. As per the ministry, this will also motivate the farmers to cultivate more of these crops in the country and contribute to achieving self-sufficiency in these crops leading to a reduction in dependence on imports to meet domestic requirements.
Meanwhile, the extension of the price stabilisation fund scheme will help in protecting consumers from extreme volatility in the prices of agri-horticultural commodities. Also, to encourage the states to come forward for implementation of the price deficit payment scheme as an option for notified oilseeds, the coverage has been enhanced from existing 25 per cent of state production of oilseeds to 40 per cent, apart from increasing the implementation period from 3 months to 4 months, the ministry said.
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