Chennai: Head of Nadu Tamil M K Stalin on Thursday urged Prime Minister Narendra Modi to remove the capping of the central share of the premium subsidy under the Pradhan Scheme of the Mantri Fasal Bima Yojana (PMFBY), a government-sponsored plant insurance scheme.
In a letter to Modi, a copy released to the media, the minister’s head said the state witnessed large growth in terms of insured regions and farmers registration because of the best practices adopted by the scheme.
“However, the part of the country from premium subsidies has increased at an annual growth rate of 28.7% in the past five years.
This has trusted the purpose of the scheme because the country felt it was difficult to maintain the continuation of the scheme due to the increasing financial liability which was also during this pandemic period,” Stalin said.
Initially, the sharing pattern in 2016-17 was 49: 49: 2 (center, state and farmers respectively).
Central shares have now been limited to 25% for irrigation areas and 30% for the rain area, resulting in an increase in the premium subsidy country share of 12%.
Overall, the country part becomes 61%.
In terms of money, part of the country of premium subsidies, namely RS 566 Crore in 2016-17, increased 239% to Rs 1,918 Crore for 2020-21, after limiting the central share of premium subsidies.
This has increased further to Rs 2,500 Crore for 2021-22 because of the exorbitant actuarial premium (APR) quoted by insurance companies returned by the Government Government.
“Thus, the financial implications of the country cause a lot of concerns,” said the Head of the Minister.
Stalin also shows a state proposal to present a separate budget for agriculture during this fiscal for the first time in the state, with a vision to increase areas in cultivation, doubling areas that are cultivated by more than once and achieving high productivity in grains.
, The government also carries a strong climate-filling planting system to prevent farmers from suffering losses due to weather irregularities.
“Because the country has staggered under a severe financial crisis because of the Covid pandemic, the responsibility of the bearing of the large state of the premium subsidy under PMFby is not affordable.
There is no doubt that the clamping of the central share of premium subsidies has become the main detrimental factor for PMFBY implementation, which has been Introduced to ensure social security for farmers, “Stalin said.