Lok Sabha Question No. 351 (UNSTARRED), answered on 2021-07-20
Subject: Share of States in Crop Insurance Scheme
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: K. Shanmuga Sundaram, P. Velusamy

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

## LOK SABHA UNSTARRED QUESTION NO. 351

TO BE ANSWERED ON THE 20 TH   JULY, 2021

## SHARE OF STATES IN CROP INSURANCE SCHEME

351.    SHRI SHANMUGA SUNDARAM K.: SHRI VELUSAMY P.:

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

- (a)  whether  the  Ministry  has  noticed  that  many  States  are  finding  extremely  difficult  to  pay  their share of crop insurance scheme and are thereby defaulting;
- (b) whether the Ministry is also aware that at times the share of States in crop insurance scheme is 50 per cent of their agriculture budget and some States have not paid the premium for 2018 and 2019;
- (c) if so, whether there are any plans before the Ministry to take over the entire amount of premium; and

(d) if not, the reasons therefor?

## ANSWER

MINISTER OF AGRICULTURE AND FARMERS WELFARE कृ िष एवं कसान कयाण मंी (SHRI NARENDRA SINGH TOMAR)

- (a) & (b) : Pradhan Mantri Fasal Bima Yojana (PMFBY) is being implemented on actuarial/bidded premium rates however, farmers have to pay maximum 2% for Kharif, 1.5% for Rabi food and oilseed  crops  and  5%  for  commercial/horticultural  crops  and  the  balance  of  actuarial/bidded premium is shared by the Central and State Government on 50 : 50 basis and 90 :10 in case of North Eastern States from Kharif 2020 season.  The premium rate of crops depends on the risk associated with them and total liability of the State depends on actuarial/bidded premium rate, sum insured  of  crops,  area  insured  and  number  of  crops  notified  by  the  States.        State-wise

details of premium subsidy pending for the years 2018-19 and 2019-20 is annexed. (c) & (d): No such proposal is under consideration of the Government.  State Government has a major role in implementation of scheme including selection of crops/areas, risks and insurance

- companies under the scheme.

Annexure

| State Wise Subsidy Pending under PMFBY for 2018-19 and 2019-20 as on 09.07.2021   | State Wise Subsidy Pending under PMFBY for 2018-19 and 2019-20 as on 09.07.2021   | State Wise Subsidy Pending under PMFBY for 2018-19 and 2019-20 as on 09.07.2021   |
|-----------------------------------------------------------------------------------|-----------------------------------------------------------------------------------|-----------------------------------------------------------------------------------|
| State/UT Name                                                                     | State Subsidy Pending (Rs. crore)                                                 | State Subsidy Pending (Rs. crore)                                                 |
|                                                                                   | 2018-19                                                                           | 2019-20                                                                           |
| Andhra Pradesh                                                                    | 0.39                                                                              | 0.05                                                                              |
| Assam                                                                             | 0.12                                                                              | 51.61                                                                             |
| Chhattisgarh                                                                      | 0                                                                                 | 0.47                                                                              |
| Gujarat                                                                           | 0.20                                                                              | 858.72                                                                            |
| Haryana                                                                           | 11.71                                                                             | 9.56                                                                              |
| Himachal Pradesh                                                                  | 0.44                                                                              | 9.42                                                                              |
| Jammu & Kashmir                                                                   | 0.02                                                                              | 0                                                                                 |
| Jharkhand                                                                         | 134.64                                                                            | 212.23                                                                            |
| Karnataka                                                                         | 0.70                                                                              | 8.80                                                                              |
| Madhya Pradesh                                                                    | 0                                                                                 | 32.67                                                                             |
| Maharashtra                                                                       | 2.43                                                                              | 0.48                                                                              |
| Odisha                                                                            | 0                                                                                 | 25.48                                                                             |
| Puducherry                                                                        | 0                                                                                 | 0.01                                                                              |
| Rajasthan                                                                         | 9.95                                                                              | 4.80                                                                              |
| Tamil Nadu                                                                        | 0                                                                                 | 20.75                                                                             |
| Telangana                                                                         | 152.20                                                                            | 320.64                                                                            |
| Tripura                                                                           | 0                                                                                 | 0.05                                                                              |
| Uttar Pradesh                                                                     | 0                                                                                 | 25.52                                                                             |
| Uttarakhand                                                                       | 0                                                                                 | 0.01                                                                              |

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