Lok Sabha Question No. 1037 (UNSTARRED), answered on 2016-11-22
Subject: Allocation of Fund for Drought
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: BHOLA SINGH, ANTO  ANTONY, KALIKESH NARAYAN SINGH DEO, SADASHIV KISAN LOKHANDE, P. C. MOHAN, YERRAM VENKATA SUBBAREDDY, B. S. YEDDYURAPPA, AJAY (TENI) MISRA, PRATHAP SIMHA

O.I.H

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK  SABHA UNSTARRED QUESTION NO.1037

TO BE ANSWERED ON THE 22 ND  NOVEMBER, 2016

## ALLOCATION OF FUND FOR DROUGHT

1037.       DR. BHOLA SINGH:

SHRI ANTO ANTONY:

SHRI KALIKESH N. SINGH DEO:

SHRI SADASHIV LOKHANDE:

SHRI P.C. MOHAN:

SHRI Y.V. SUBBA REDDY:

SHRI B.S. YEDIYURAPPA:

SHRI AJAY MISRA TENI:

SHRI PRATHAP SIMHA:

## Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी be pleased to state:

- (a) whether  there has been a huge loss to the farmers of various States owing to drought conditions in several States of the country during the current year if so, the details and impacts thereof;
- (b) whether the Union Government has received several requests for financial assistance from  the  drought  affected  States  including  Odisha,  Kerala,  Maharashtra,  Karnataka,  Uttar Pradesh and Andhra Pradesh, if so, the details thereof alongwith the time by which the amount is likely to be allocated and released to these States;
- (c) whether the Government is considering to provide special assistance to Karnataka and other  drought  affected  States  under  the  Pradhan  Mantri  Krishi  Sinchayee  Yojana,  if  so,  the details thereof;
- (d) whether  the  money  allocated  by  the  Government  as  drought  insurance  fund  to compensate drought hit farmers in some States like Odisha in 2015 has been sanctioned, if so, the details thereof, if not the reasons therefor;
- (e) whether the said money has been released by the Government, if so, the details thereof, if not, the reasons therefor alongwith the timeline for sanctioning/ releasing the money and the manner in which it will be assured that the money has reached the affected farmers; and
- (f) the  details  of  drought  relief  funds  sanctioned,  allocated  and  released  by  the  Union Government to  the  drought  affected  States  during  the  last  three  years  and  the  current  year, State-wise along with the status of their utilisation?

## ANSWER

MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंालय म राय मंी (SHRI  S.S. AHLUWALIA)

- ( a) & (b): The  State Government  is  primarily  responsible  for taking necessary  relief measures in the wake of natural calamities including drought. For undertaking relief measures,

funds are available with the State Government in the form of State Disaster Response Fund (SDRF).  Additional  financial  assistance,  over  and  above  SDRF,  is  considered  from  National Disaster Response Fund (NDRF) for natural calamities of severe nature and is approved on the basis  of  Memorandum  received  from  State  Government,  in  accordance  with  established procedure.

During  the  current  Financial  Year  2016-17,  Govt.  of  Karnataka,  Andhra  Pradesh  and Kerala have reported impact of drought during Kharif-2016 and Government of   Karnataka has submitted  Memorandum on drought during Kharif seeking financial assistance of  Rs.4702.54 crores  from  NDRF.    An  Inter  Ministerial  Central  Team  (IMCT)  visited  the  affected  areas  of Karnataka  to  carry  out  an  assessment  of  the  drought  situation  and  the  quantum  of  financial assistance to be made available to the state by way of relief. IMCTs have been also constituted to visit Kerala and Andhra Pradesh for assessment of the drought situation.

(c): During current Financial Year 2016-17, funds amounting to Rs.1147.2 crores (Rs.787.8 crores for micro irrigation and Rs.359.4 crores for other intervention) have been released so far to drought affected states including Rs.114 crores (Rs.78 crores for micro irrigation and Rs. 36 crores  for  other  intervention)  to  Government  of  Karnataka  under  Pradhan  Mantri  Krishi Sinchayee Yojana (PMKSY) per drop more crop.

(d) & (e): In order to protect farmers against crop failure due to natural calamities, pests & diseases, weather conditions, Government of India was implementing National Crop Insurance Programme  (NCIP)  with  component  schemes  of  Modified  National  Agricultural  Insurance Scheme  (MNAIS),  Weather  Based  Crop  Insurance  Scheme  (WBCIS)  and  Coconut  Palm Insurance Scheme (CPIS).  In addition, National Agricultural Insurance Scheme (NAIS) which was to be withdrawn after implementation of NCIP from Rabi 2013-14, was extended further. These  schemes  have  been  recently  reviewed  and  a  scheme  namely,  Pradhan  Mantri  Fasal Bima Yojana (PMFBY) has been approved for implementation from Kharif 2016 season.

Weather  Based  Crop  Insurance  Scheme  (WBCIS),  single  peril/named  peril  scheme,  has also been restructured by making the premium of the farmers, selection of insurance company and administrative & operational structure at par with PMFBY.

Crop  insurance  is  a  financial  tool  to  insure  the  crop  losses  on  payment  of  admissible premium to the  insurance  company.  Further,  under  the  crop  insurance  schemes,  claims  are paid  to  those  farmers  who  insure  their  crops  and  pay  premium  under  any  of  the  notified crop/area, notified by the concerned State Govt.   Admissible claims are worked out and paid as per the provisions of the respective schemes.

Due  to  drought  situation  during  Kharif  2015,    claims  from  the  States  of  Maharashtra, Gujarat, Chhattisgarh, Rajasthan, Uttar Pradesh have already been settled. Central Government's  50%  share  in  respect  of  Madhya  Pradesh  (Rs.2027.97  crores)  and  Odisha (Rs.795.32  crores)  has  also  been  released  and  implementing  agency  is  in  the  process  of settlement of claims of these States subject to availability of State Governments' 50% share in the matter.

As per provisions of the schemes, funds are released to the implementing agency i.e. Agriculture    Insurance    Company    of   India   Ltd.   (AIC) who in turn release the funds to the

implementing insurance companies.  Insurance companies settle the claims of insured farmers in their accounts through concerned financial institutions/banks.

(f): Details regarding assistance approved for drought from NDRF in the last three years is at Annexure-I. No assistance from NDRF has been approved so far for drought during Kharif 2016. As per the guidelines dated 08.04.2015 on items and norms of assistance from SDRF / NDRF of Ministry of Home Affairs,       the State Governments are to take utmost care and ensure that all individual beneficiary-oriented assistance from SDRF/NDRF is necessarily/mandatorily disbursed through the bank account (viz; Jan Dhan Yojana etc.) of the beneficiary.

********

## Annexure-I

## Assistance approved from National Disaster Response Fund (NDRF) for Drought

| Sl. No.            | Name of State      | Calamity                                      | (Rs. in crores) Assistance approved by Govt. of India   |
|--------------------|--------------------|-----------------------------------------------|---------------------------------------------------------|
| During - 2013-2014 | During - 2013-2014 | During - 2013-2014                            | During - 2013-2014                                      |
| 1.                 | Bihar              | Drought                                       | 931.87                                                  |
| 2.                 | Karnataka          | Drought                                       | 226.57                                                  |
| 3.                 | Andhra Pradesh     | Drought                                       | 254.54                                                  |
| Total:             | Total:             | Total:                                        | 1412.98                                                 |
| During - 2014-2015 | During - 2014-2015 | During - 2014-2015                            | During - 2014-2015                                      |
| 1.                 | Haryana            | Drought                                       | 168.87                                                  |
| 2.                 | Karnataka          | Drought                                       | 200.85                                                  |
| 3.                 | Uttar Pradesh      | Drought                                       | 777.34                                                  |
| 4.                 | Maharashtra        | Drought                                       | 1962.99                                                 |
| 5.                 | Andhra Pradesh     | Drought                                       | 237.51                                                  |
| Total:             | Total:             | Total:                                        | 3347.56                                                 |
| During - 2015-2016 | During - 2015-2016 | During - 2015-2016                            | During - 2015-2016                                      |
| 1.                 | Karnataka          | Drought Drought-R                             | 1540.20 723.23                                          |
| 2.                 | Chhattisgarh       | Drought                                       | 1276.25                                                 |
| 3.                 | Madhya Pradesh     | Drought                                       | 2032.68                                                 |
| 4.                 | Maharashtra        | Drought-K Drought-K (Supplementary) Drought-R | 3049.36 589.47                                          |
| 5.                 | Odisha             | Drought                                       | 679.54 815.00                                           |
| 6.                 | Telangana          | Drought                                       | 791.21                                                  |
| 7.                 | Uttar              | Drought                                       | 1304.52                                                 |
| 8.                 | Andhra Pradesh     | Drought                                       | 433.77                                                  |
| 9.                 | Jharkhand          | Drought                                       | 336.94                                                  |
| 10.                | Rajasthan          | Drought                                       | 1193.41                                                 |
| 11.                | Uttarakhand        | Drought-R                                     | #                                                       |
| Total:             | Total:             | Total:                                        | 15388.34                                                |

R: Rabi # Under process/finalization