In his address to the nation on 75th I-Day today, PM Narendra Modi spoke about how the crop insurance scheme is driving home the policy vision of "Chhote Kisan Bane Desh Ki Shaan" - (Making marginal/small farmers the pride of the nation).
Crop Insurance - Odisha's Cover Point
Consider the Odisha scorecard. Only in 2018, a mere 1 in every 10 landless farmers in the State could register themselves under the Central government's crop insurance scheme. Two years down the line, a whopping 9 in every 10 landless farmers in the State had registered under the scheme to cover their crop losses due to uneven disasters (natural + pest).
As per the data available with the Union Ministry of Agriculture, in the year 2018-19, the total landless farmers registered under the crop insurance scheme in the State stood at around 1.729 lakh when as per Odisha government records the State had over 7 lakh landless farmers (share-cropper and tenant farmers).
However, the count had posted a sharp jump in the year 2019-20. Now, a massive of over 6.48 lakh landless farmers in the State had registered under the crop insurance scheme in the State - which is nearly 93 per cent of the total landless farmers in the State.
PMFBY's Growing Success
After the launch of the scheme in February 2016, the total cultivable area insured in Odisha during the Kharif 2016 was a mere 17.7 lakh hectares. Cut to Kharif 2020, the insured area in hectares stood at a massive 86.8 lakh hectare.
Moreover, data on claim rates puts the glare on the benefits reaped by State's landless farmers. As per the data, during Kharif 2017, the claim ratio in Odisha was 221.6 per cent against the national average of 89.1 per cent.
Blips In Odisha farm Sector
Notwithstanding the second-highest area insured in the country in Kharif 2020, the premium paid by farmers and the average share of farmers per hectare in Odisha figured among the lowest in the country.
In contrast, Haryana, which figured among the lowest area insured in the country, is listed among the highest premium amount paid and the average share of farmers per hectare nationally.
As per experts, since this crop insurance scheme is a 'yield protection model, farmers in the states where the yield of crops are high have to pay higher premium vis-a-vis states with low crop yield rate.
(Note: In PMFBY, the farmers have to pay a uniform premium of two per cent of the value for all Kharif and Oilseeds crops.)
In Odisha, the crops covered under the crop insurance scheme are Cotton (kapas), Ginger, Groundnut (peanut/mungphalli), Maize (makka), Paddy (dhan), Pigeon Pea (red Gram/arhar/tur) and Turmeric.
In Haryana, the crops covered are Cotton (kapas), Maize (makka), Paddy (1), Paddy
(dhan), Pearl Millet (bajra/bulrush Millet/spiked Millet).
Sample the premium amount paid by farmers in both states in Kharif 2020.
This difference in premium paid shows a lower yield rate in Odisha. This is a blip because lower yield rate leads to lower per capita income of farmers in the State. Time for speedier implementation of 'Bringing Green Revolution to Eastern India'.
The Centre has already provided Kisan Credit Card to around 6.5 crore farmers and has plans to bring the rest under the cover.
This is a "priority scheme" of this government to bring the farmers under the institutional loans.
"There would be same drive for Kisan Credit card, which was for Jan Dhan Yojna," said Rupala, who is the minister of state for agriculture, while replying to a private member bill on farmers' issues.
He said under Jan Dhan Yojna, the government has added 30 crore banks accounts and wants to replicate the same success in adding farmers under Kisan Credit card.
"Presently only 6.5 crore farmers out of 14 crore are being able to get benefits of this institutional loans and rest are out from it," he said adding" The government had done work on mission mode to provide it."
According to him, presently the amount credited by this scheme is around Rs 14 lakh crore.
"When we formed the government, the total credit flow was around Rs 8 lakh crore and today it is around Rs 13.5 to 14 lakh crore," he said adding the government has almost doubled it.
Accepting the suggestion of some members to make villages itself a hub for basic food processing and storage purpose, Rupala said he would ask the officials to work in this direction.
Over the issues of shrinking of land size of individual farmers, Rupala said the government has now started to convince them to encourage combined farming to improve farm yields.
The agriculture production is on record level and the country is self dependent in pulses, he said.
The Minister said it would soon become self-sufficient in oil seeds in the next two years.
"We have to do a lot of things and we are going in the right direction," said Rupala.
He further added that urea is available for the farmers and there is no shortage in any state after the government started coating it with neem.
Rupala also added the government is now training the farmers to deal with the issue of excess usage of water.
The minister was replying to a resolution moved by BJP member Vijay Pal Singh Tomar.
Tomar sought hike in funds provided to the farmers as Kisan Samman Nidhi from Rs 6,000 to Rs 10,000 per year and Bharat Ratna for farmers for their contribution to the society.
"India is primarily an agrarian based economy with more than 55 per cent population engaged in farming. Besides there are 15 per cent people who are engaged in allied sectors. Thus there are 70 per cent population dependent on farm sector."
He said the country will only be prosperous when farmers progress and get remunerative price for crops grown by them.
Tomar asked the government to educate farmers about the latest technologies and techniques to make the agriculture process simple and fast, besides ensuring proper implementation of Fasal Bima Yojna (Crop Insurance Scheme) so that farmers benefit from the scheme.
The member also urged the government to provide internet and wi-fi facility for all Government services at village/Gram Panchayat level to help the farmers to gain latest information of the world.
He asked the government to ensure that crops are not purchased or sold at prices lower than the Minimum Support Price announced by the Government and penal action is taken against the violations.
Tomar said government should fix a limit for the crop loan disbursed at 4 per cent interest on Kisan Credit Cards as per the paying capacity of the farmers, as is in vogue in the case of industries.
This is to enable farmers carry on his transactions for 5 years and is safeguarded against exploitation by banks, he said.
He suggested the government keep agriculture equipments outside good and service tax (GST).
The resolution also seeks to provide small and marginalised farmers, who constitute more than 85 per cent of the farmers in the country, with all those facilities that are being provided for setting up big food parks and cold chains.
It also calls for setting up storage and processing units by forming 'Krishak Samiti' in clusters so that there is participation of farmers in these activities and facilitates an increase in their income.
Supporting the resolution, S S Roy (TMC)said that violent attempts by capitalists to grab farmers land should be dealt with strictly and government should issue advisory to such states.
Congress leader Chhaya Verma,Harnath Singh (BJP) and Ravi Prakash Verma (SP) also supported the bill.
Manoj Kumar Jha (RJD) said there is an urgent need to look into the matters concerning farmers as they were the providers of food to the people of the country.
"If farmers strike then even Parliament would have to shut down," he said.
He said, while the government has been writing off loans worth crores of industrialists, the condition of farmers remained unchanged in the country.
Vijaysai Reddy (YSRCP) said India is an agrarian state and the country would collapse if support is not provided to farmers.
Pointing out to fragmented land holdings by farmers in the country, he urged the government to frame a policy to counter the trend.
Sanjay Singh (AAP), Ajay Pratap Singh (BJP) Harshvardhan Singh Dungarpur (BJP) and B Lingaiah Yadav (TRS) also participated in the debate.