GS 3: Agriculture | Issues related to direct and indirect farm subsidies and minimum support price

Why in News?

To provide an assured income support to the small and marginal farmers, the Government is launching the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN).

Pradhan Mantri Kisan Samman Nidhi:

• Under this programme, vulnerable landholding farmer families, having cultivable land upto 2 hectares, will be provided direct income support at the rate of Rs. 6,000 per year.
• This income support will be transferred directly into the bank accounts of beneficiary farmers, in three equal installments of Rs. 2,000 each.
• This programme will be funded by Government of India.
• Around 12 crore small and marginal farmer families are expected to benefit from this.
• The programme would be made effective from 1st December 2018 and the first installment for the period upto 31st March 2019 would be paid during this year itself.
• It will entail an annual expenditure of Rs.75, 000 crore.

Expected Outcome:

• It would not only provide assured supplemental income to the most vulnerable farmer families, but would also meet their emergent needs especially before the harvest season.
• It would pave the way for the farmers to earn and live a respectable living.