INSIGHTS INTO AGRICULTURAL RISK MANAGEMENT: ANALYZING FARMERS' AWARENESS AND CHALLENGES IN IMPLEMENTING THE PMFBY SCHEME

Abstract

The plight of farmers in India is exacerbated by systemic neglect, pushing them to the margins of society. Crop failures resulting from natural disasters and adverse weather conditions add to their hardships, often leading to extreme despondency and tragically, suicides. This article delves into the awareness levels of farmers regarding the Pradhan Mantri Fasal Bima Yojana (PMFBY). There exists a noticeable disparity in awareness across states, with farmers generally having a rudimentary understanding of the scheme. However, a significant lack of clarity prevails, particularly concerning crucial aspects of crop insurance. Farmers struggle to grasp details related to features, loss evaluation intricacies, indemnity coverage, committee assessments, localized calamities, yield data submission deadlines, and the various timelines involved in claims processing, approval, and payments.

The PMFBY grapples with challenges such as insufficient state support, an unsustainable subsidy model, delayed claim settlements, and an uneven distribution of benefits. A recommended strategy for enhancing its effectiveness involves adopting a technology-enabled, demand-driven approach. Additionally, advocating for the depoliticization of crop insurance is proposed to mitigate undue influences. By infusing elements of velocity, variety, and verifiability into the PMFBY, the crop insurance scheme can be optimized to genuinely serve the interests of farmers, prioritizing their well-being over the interests of insurers, administrators, and politicians.

Keywords: PMFBY, Agriculture Insurance, Farmers