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Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA)

Posted 24 Mar 2025

Updated 27 Mar 2025

3 min read

Why in the News?

Government approves continuation of the integrated Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) Scheme till 2025-26 during the 15th Finance Commission cycle.

Objectives

Features

To provide price assurance for pulses, oilseeds and copra, ensuring financial stability for farmers, reduce post-harvest distress selling & promote crop diversification towards pulses and oilseeds.

 

  • An umbrella scheme launched in 2018.
  • Ministry: Ministry of Agriculture & Farmers Welfare.
  • Type: Central Sector Scheme
  • Fund allocated: Rs. 35,000 crores during 15th Finance Commission Cycle up to 2025-26.
  • Components of PM-AASHA:
    • Price Support Scheme (PSS): Notified Pulses, Oilseeds and Copra are procured at the Minimum Support Price (MSP) directly from the pre-registered farmers by the Central Nodal Agencies (CNAs) (through the State level agencies) given they conform to the prescribed Fair Average Quality (FAQ). Its key features are:
      • Provision Government Guarantee to lender banks by the Central Government: To extend cash credit facilities to CNAs for undertaking procurement operations. 
        • The existing government guarantee has been renewed and enhanced to Rs. 45,000 crores.
      • Implemented on the request of the States/ UTs: that agree to exempt from levy of Mandi tax in the interest of farmers.
      • Procurement ceiling: 25% of national Production of notified crops from 2024-25 season onwards.
        • Ceiling will not be applicable in case of Tur, Urad & Masur for 2024-25 season (100 % procurement during in 2024-25 season).
    • Price Stabilization Fund (PSF): It aims to provide working capital and other incidental expenses for procurement and distribution of agri-horticultural commodities. E.g. Tomato, subsidized retail sale of Bharat Dals, Bharat Atta and Bharat Rice.
      • Department of Consumer Affairs (DoCA) will procure pulses at market price when prices exceed MSP on-
        • eSamridhi portal of National Agricultural Cooperative Marketing Federation of India (NAFED) and
        • eSamyukti portal of National Cooperative Consumers' Federation of India (NCCF).
    • Price Deficiency Payment Scheme (PDPS): Envisages direct payment of the difference between the MSP and the selling/ modal price to pre-registered farmers selling oilseeds upto 15% of MSP value by the Central Government. Its key features are:
      • Beneficiaries: Pre-registered farmers selling the oilseeds up to 40% of its production through a transparent auction process. 
      • Option with States/UTs: To implement either PSS or PDPS for the particular oilseeds for the particular year/season.
    • Market intervention Scheme (MIS): Aimed at bridging the price gap and countering the effect of price volatility in case of perishable agriculture/horticulture commodities such as Tomato, Onion and Potato (TOP) etc. not covered under MSP. Its key features are:
      • No need of physical procurement: States have an option to make differential payment between Market Intervention price (MIP) and selling price.
        • This is subject to coverage of 25% of production of crops and maximum price difference up to 25% of MIP.
      • Implemented on the request of the States/UTs: When there is a reduction of prices in the market by at least 10% over the rates of previous normal season in the States/UTs.
  • Tags :
  • Price Stabilization Fund (PSF)
  • PM-AASHA
  • Price Support Scheme (PSS)
  • Price Deficiency Payment Scheme (PDPS)
  • Market intervention Scheme (MIS)
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