In News:

Context:
The Government of India has approved the continuation of the PM-AASHA Scheme till 2025–26, aligning with the 15th Finance Commission cycle, to strengthen farmer income security and achieve self-sufficiency in pulses production.

Overview of PM-AASHA Scheme

• Launched by: Ministry of Agriculture & Farmers’ Welfare
• Objective: To ensure remunerative prices to farmers and stabilize market prices of key crops.
• Type: Umbrella scheme combining various price support mechanisms.

Key Components

• Price Support Scheme (PSS)
  • Procurement of pulses, oilseeds, and copra at Minimum Support Prices (MSP) through NAFED and NCCF.
  • Covers 25% of national production, except for 100% procurement of Tur, Urad, and Masur during 2024–25 and extended for the next four years.
  • Procurement is done from pre-registered farmers through State-level agencies.
• Price Deficiency Payment Scheme (PDPS)
  • Farmers receive direct payments for the shortfall between the MSP and market price.
  • Covers 40% of oilseed production for a duration of four months.
• Price Stabilization Fund (PSF)
  • Maintains buffer stocks of pulses and onions.
  • Aims to stabilize prices, prevent hoarding, and ensure affordable supply for consumers.
• Market Intervention Scheme (MIS)
  • Provides price support for perishable horticultural crops.
  • Covers 25% of production with direct financial transfers to farmers, not physical procurement.

Recent Developments (2025)

• Procurement Commitment:The Union Government announced 100% procurement of Tur (Arhar), Urad, and Masur under PSS for 2024–25, extended for four years, to reduce import dependence and promote self-sufficiency.
• Tur Procurement Approval:Union Agriculture Minister Shivraj Singh Chouhan approved procurement of 13.22 Lakh Metric Tonnes (LMT) of Tur for Kharif 2024–25 in 9 states:
  Andhra Pradesh, Chhattisgarh, Gujarat, Haryana, Karnataka, Madhya Pradesh, Maharashtra, Telangana, and Uttar Pradesh.
• Procurement Progress(as of 15 Feb 2025):
  • 0.15 LMT of Tur procured from Andhra Pradesh, Karnataka, Maharashtra, and Telangana.
  • 12,006 farmers have benefited so far.
  • Procurement in remaining states will commence shortly.
  • Central procurement is conducted by NAFED and NCCF.

In News:

• The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the continuation of the PM-AASHA scheme to provide remunerative prices to farmers and control price volatility of essential commodities for consumers.
• Total Financial Outlay: ?35,000 crore during the 15th Finance Commission Cycle, up to 2025-26.

Scheme Integration

• The government has merged the Price Support Scheme (PSS) and Price Stabilization Fund (PSF) into PM-AASHA to enhance efficiency.
• Components of PM-AASHA:
  • Price Support Scheme (PSS)
  • Price Stabilization Fund (PSF)
  • Price Deficit Payment Scheme (PDPS)
  • Market Intervention Scheme (MIS)

Procurement Details

• MSP Procurement: Starting from the 2024-25 season, procurement of notified pulses, oilseeds, and copra at Minimum Support Price (MSP) will be on 25% of national production.
• Exceptions for 2024-25: 100% procurement of Tur, Urad, and Masur will be implemented.
• Government Guarantee: The existing government guarantee for procurement has been enhanced to ?45,000 crore.

Consumer Protection Measures

• The extension of the PSF scheme will help protect consumers from extreme price volatility by maintaining strategic buffer stocks of pulses and onions.
• Procurement of pulses at market prices will be handled by the Department of Consumer Affairs (DoCA) when prices exceed MSP.

Enhanced State Participation

• PDPS Coverage: The coverage for the Price Deficit Payment Scheme for notified oilseeds has been increased from 25% to 40% of state production.
• Implementation Period: Extended from 3 months to 4 months, with compensation limited to 15% of MSP.

Market Intervention Scheme (MIS) Adjustments

• The MIS has been extended to provide remunerative prices for perishable horticultural crops.
• Coverage for MIS has increased from 20% to 25% of production, with an option for direct differential payments to farmers.
• For TOP (Tomato, Onion, Potato) crops, the government will cover transportation and storage costs to ensure price stability.