25% hike in Crop compensation for farmers in Punjab

Last Updated: 01 May 2024

Crop compensation refers to the process of providing financial reimbursement to farmers for losses incurred due to adverse climate

25% hike in the compensation for the crop loss to the farmers annoucement by CM Bhagwant Mann on 26 March 2023[1]
-- i.e. Now Rs 15,000 per acre will be paid, instead of Rs 12,000 for 75-100% damage

1st Time, Farm Labourers also to get 10% additional share as compensation

CM Bhagwant Mann emphasized that the government stands with farmers during this crisis and will leave no stone unturned for their welfare[2]

Details[3]

The increased compensation is wholly funded by Punjab Govt's main budget

  • SDRF (State Disaster Relief Fund) rules are governed by Center Govt
  • Hence Punjab Govt can not change amount without permission
Crop Loss Earlier Compensation
(per acre)		 Now
(per Acre)
75% - 100% Rs 12,000 (6,600 State + 5400 SDRF) Rs 15,000 (Rs 9,600 State + 5400 SDRF)
33% - 75% Rs 5,400 (1400 State + 4000 SDRF) Rs 6750 (Rs 2750 State + 4000 SDRF)
26% - 33% This bracket has been changed to 20%-33%

New Insurance Policy in works

  • The state government is working on introducing a crop insurance scheme to further safeguard farmers’ interests

@NAkilandeswari

REFERENCES:

  1. https://www.tribuneindia.com/news/punjab/if-crop-loss-more-than-75-farmers-to-get-15-000-acre-491561 ↩︎

  2. https://timesofindia.indiatimes.com/city/chandigarh/15k-per-acre-relief-if-crop-damage-is-75-and-more-says-cm-mann/articleshow/99022082.cms ↩︎

  3. https://indianexpress.com/article/cities/chandigarh/punjab-cabinet-decision-farmers-enhanced-compensation-crop-loss-baisakhi-8531529/ ↩︎