PM- AASHA

Subject : Government Schemes

Context : According to the Department of Administrative Reforms and Public Grievances (DARPG), better bet is the Price Deficiency Payment Scheme, as it is easy to execute and can cover all crops and farmers.

Concept :

• To correct the policy bias in MSP operations, the Centre introduced PM-AASHA (Pradhan Mantri-AnnadataAaySanrakshanAbhiyan) in 2018, as an effort to ensure MSP for all 23 crops.
• The new Umbrella Scheme includes the mechanism of ensuring remunerative prices to the farmers and is comprised of-

Price Support Scheme (PSS),

Price Deficiency Payment Scheme (PDPS)

Pilot of Private Procurement & Stockist Scheme (PPPS).

• The other existing schemes of Department of Food and Public Distribution (DFPD) for procurement of paddy, wheat and nutri-cereals/coarse grains and of Ministry of Textile for cotton and jute will be continued for providing MSP to farmers for these crops.

Price Deficiency Payment Scheme (PDPS)

• Under PDPS it is proposed to cover all oilseeds for which MSP is notified.
• In this direct payment of the difference between the MSP and the selling/modal price will be made to pre-registered farmers selling his produce in the notified market yard through a transparent auction process.
• All payment will be done directly into registered bank account of the farmer.
• This scheme does not involve any physical procurement of crops as farmers are paid the difference between the MSP price and Sale/modal price on disposal in notified market.