The Central government allocated Rs 12,242 crore towards Pradhan Mantri Fasal Bima Yojana (PMFBY) in the Union Budget 2025, 22.8 percent lower than last year’s allocation of Rs 15,864 crore (revised estimates), while 16.15 percent lower than budget estimates of Rs 14,600 crore.
Fasal Bima Yojana is a flagship scheme launched by the Government of India in 2016 to provide financial support to farmers suffering crop loss or damage due to natural calamities such as hailstorm, draughts, floods, cyclones etc.
The Union Cabinet in January approved the continuation of Pradhan Mantri Fasal Bima Yojana and Restructured Weather Based Crop Insurance Scheme till 2025-26 with a total budget of Rs 69,515.71 crore. The aim of decision was to provide risk coverage to farmers against natural calamities, the government said.
Field crops like cereals, pulses, oilseeds and some annual commercial crops are covered under PMFBY, while horticulture crops mainly fruit and vegetable crops are covered under Restructured Weather Based Crop Insurance Scheme (RWBCIS).
Presenting the Union Budget 2025, Finance Minister said agriculture is the first engine for India’s development journey.
Announcing a slew of measures to spur agricultural growth and productivity, FM announced establishment of a Makhana Board in Bihar to improve production, processing, value addition, and marketing of makhana. The minister added that a National Mission on High Yielding Seeds will be launched with an aim to strengthen the research ecosystem, targeted development and propagation of seeds with high yield, pest resistance and climate resilience, and commercial availability of more than 100 seed varieties released since July 2024.
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