Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA)

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Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA):

Nodal Ministry: Ministry of Agriculture and Farmers Welfare

What is it?

• It is a new umbrella scheme that has been approved by the Union Cabinet in September, 2018. It comprises of the following:

✓ Price Support Scheme (PSS)

✓ Price Deficiency Payment Scheme (PDPS)

✓ Pilot of Private Procurement & Stockist Scheme (PPPS)

Aim: Ensuring remunerative prices to the farmers for their produce

Background:

The Government in Budget 2018 had increased MSP by following the principle of 1.5 times the cost of production. It is expected that the increase in MSP will be translated to farmer’s income by way of robust procurement mechanism in coordination with the State Governments.

Sub-schemes under PM-AASHA:

• Price Support Scheme: It will become operational when prices of pulses, oilseeds and copra fall below MSP, with the centre bearing procurement expenditure and losses up to 25% of the production. Physical procurement of pulses, oilseeds and Copra will be done by Central Nodal Agencies with proactive role of State governments.

• Price Deficiency Payment Scheme: It will be available only for oilseeds with registered farmers directly receiving payments in their bank accounts when they sell at prices lower than MSP. The government will not undertake physical procurement of crops under this scheme.

• Pilot of Private Procurement & Stockist Scheme: Participation of private sector in procurement operation would be piloted so that on the basis of learnings the ambit of private participation in procurement operations may be increased.

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