Govt expands PM-AASHA scheme to strengthen farmer support, price stability, ET Government

<p>Union Minister of State for Agriculture and Farmers Welfare, Ramnath Thakur</p>
Union Minister of State for Agriculture and Farmers Welfare, Ramnath Thakur

NEW DELHI: The Government of India has broadened the scope of the Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) to enhance procurement operations and stabilize prices for farmers and consumers. The scheme integrates four key components: Price Support Scheme (PSS), Price Deficiency Payment Scheme (PDPS), Market Intervention Scheme (MIS), and Price Stabilisation Funds (PSF).

Union Minister of State for Agriculture and Farmers Welfare, Ramnath Thakur, confirmed this in a written reply to the Rajya Sabha on Friday. The Department of Agriculture & Farmers’ Welfare (DA&FW) oversees PSS, PDPS, and MIS, while the Department of Consumer Affairs manages PSF.

Key Features of PM-AASHA Expansion:

Price Support Scheme (PSS):

Activated when market prices of notified pulses, oilseeds, and copra fall below the Minimum Support Price (MSP) during the peak harvest season.
Procurement is undertaken by Central Nodal Agencies (CNAs) such as NAFED and NCCF through state agencies, ensuring direct farmer benefits and eliminating middlemen.
The procurement ceiling of 25% on Tur, Urad, and Masur under PSS has been removed for 2023-24 and extended to 2024-25 to encourage domestic production.

Market Intervention Scheme (MIS):

  • Implemented when market prices of perishable crops such as Tomato, Onion, and Potato (TOP) fall at least 10% below normal season rates in states/UTs.
  • The State and Centre share losses at a 50:50 ratio, except in Northeastern states, where the Centre bears 75% of the losses.
  • The procurement ceiling is set at 25% of a state’s production at a fixed Market Intervention Price (MIP) plus 25% permitted overhead expenses.
  • The new PDPS component under MIS allows direct payment to farmers for the price difference between MIP and selling price of perishable crops.

Price Deficiency Payment Scheme (PDPS)
Coverage for oilseeds has been expanded from 25% to 40% of a state’s production.
Direct payments are made to farmers for up to 15% of MSP value when market prices fall below MSP.Procurement & Farmer Benefits
To maximize MSP benefits, state and central procurement agencies set up procurement centers based on production levels, marketable surplus, and logistical feasibility.

Additional purchase centers are established beyond mandis, depots, and godowns to facilitate farmer access.
With the September 2024 approval for PM-AASHA’s continuation and expansion, the government is reinforcing its commitment to ensuring fair prices for farmers while stabilizing essential commodity prices for consumers.

  • Published On Mar 22, 2025 at 08:52 AM IST

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