Comparative Study of Different Agricultural Schemes and their Impact

International Refereed, Blind Peer-Reviewed Multidisciplinary & Open Access Research Journal Issue: 03 | Vol.: 12 | Jul.-Aug.-Sep. - 2025 | Pages: 35–41 | RRSSH | ISSN: 2348 – 3318 | Periodicity : Quarterly, Language : English & Hindi https://ijorr.in [ 35 ] Comparative Study of Different Agricultural Schemes and their Impact Champa Negi & Meera Rawat DOI : …………, Plagiarism/Similarity: 07% Comparative Study of Different Agricultural Schemes and their Impact Champa Negi 1 & Meera Rawat 2 1 Research Scholar, Department of Economics , S.S.J . University, Campus Almora, Uttarakhand, India Email: [email protected] 2 Research Scholar, Department of Zoology, R.H.P.G College Kashipur, Kumaun University Nainital, Uttarakhand, India Email: meerarwt65[email protected]m Received : 05/08/2025 1st BPR : 13/08/2025 2nd BPR : 23/08/2025 Accepted : 03/09/2025 Abstract Agriculture, the bedrock of many economies, is profoundly shaped by government interventions. Nations across the globe implement diverse agricultural schemes aimed at boosting productivity, ensuring food security, uplifting farmer livelihoods, and promoting sustainable practices. A comparative study of these schemes reveals varied approaches and impacts, highlighting the complexities and challenges inherent in agricultural policy. This article will delve into a comparative analysis of different agricultural schemes, examining their objectives, mechanisms, and the tangible impacts they have had on the agricultural sector and farming communities. One of the most common categories of agricultural schemes revolves around direct income support and financial assistance. The Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) in India is a prime example. Launched in 2019, it provides direct financial aid to small and marginal land holding farmer families, aiming to supplement their financial needs and cover agricultural-related expenses. Similarly, various countries offer subsidies on inputs like fertilizers, seeds, and irrigation, or provide concessional credit through schemes like the Kisan Credit Card (KCC) in India. The impact of such schemes is often immediately felt by farmers, providing a much-needed safety net, especially during lean seasons or crop failures. Studies on PM-KISAN, for instance, have indicated a positive impact on farmers' income and reduced financial vulnerability. However, challenges in targeting beneficiaries, data errors, and administrative hurdles can limit their full effectiveness. Key words: Agriculture, Crop, Government, Schemes, Farmer. Introduction The Pradhan Mantri Fasal Bima Yojana (PMFBY) in India is a comprehensive scheme that provides insurance cover against non-preventable natural risks from pre-sowing to post-harvest. The objective is to safeguard farmers from financial losses due to crop damage, thereby stabilizing their income and encouraging investment in farming. Many developed and developing nations have similar crop insurance programs, recognizing the inherent volatility of agriculture due to climatic events. The impact of effective crop insurance is significant, offering psychological relief and financial security, enabling farmers to recover from losses and continue their agricultural activities. However, issues like timely claim settlements, accurate yield assessments, and awareness among farmers remain critical for their success. (Dwivedi, 2020) Infrastructure development and market linkages form another vital component of agricultural schemes. Initiatives like India's Agriculture Infrastructure Fund (AIF) provide long-term loans for building postharvest management infrastructure such as storage units, warehouses, and cold chains. The National Agriculture Market (e-NAM), an online trading platform, aims to integrate local agricultural markets, ensuring fair deals and better price discovery for farmers. Countries with robust agricultural sectors International Refereed, Blind Peer-Reviewed Multidisciplinary & Open Access Research Journal Issue: 03 | Vol.: 12 | Jul.-Aug.-Sep. - 2025 | Pages: 35–41 | RRSSH | ISSN: 2348 – 3318 | Periodicity : Quarterly, Language : English & Hindi https://ijorr.in [ 36 ] Comparative Study of Different Agricultural Schemes and their Impact Champa Negi & Meera Rawat often invest heavily in rural roads, irrigation systems, and market facilities. The impact of such schemes is profound, as improved infrastructure reduces post-harvest losses, enhances market access, and empowers farmers with better bargaining power, moving them from subsistence farming towards more market-oriented agriculture. Furthermore, schemes promoting sustainable farming practices and resource management are gaining increasing prominence. The Soil Health Card Scheme in India, for example, provides farmers with detailed information about their soil's nutrient status and recommendations for optimal fertilizer use. The Paramparagat Krishi Vikas Yojana (PKVY) promotes organic farming through a cluster-based approach. Globally, policies encouraging water conservation, efficient irrigation techniques (like microirrigation promoted by PMKSY in India), and environmentally friendly farming methods are becoming central to agricultural strategies. The long-term impact of these schemes is crucial for ecological balance, sustained productivity, and addressing challenges like climate change and soil degradation. While their immediate financial benefits might be less direct than income support, they lay the groundwork for a more resilient and sustainable agricultural future. (Dweba, 2021) The Pradhan Mantri Kisan Samman Nidhi scheme represents a significant step towards providing a safety net for Indian farmers and promoting their financial well-being. By offering direct income support, it has eased financial burdens, encouraged investment in agriculture, and fostered greater financial inclusion. The scheme's reliance on technology for direct benefit transfers has also set a benchmark for transparency and efficiency in government welfare programs. However, for PM-KISAN to realize its full potential, it is crucial to address the existing challenges, particularly by ensuring the inclusion of all deserving farmers, continually refining beneficiary identification, and exploring ways to complement this income support with broader structural reforms in the agricultural sector. As India continues its journey towards agricultural prosperity, PM-KISAN will undoubtedly remain a vital component of its strategy to empower its farmers and secure the future of its food production The Pradhan Mantri Fasal Bima Yojana represents a significant step towards providing a much-needed safety net for Indian farmers. It has undoubtedly contributed to stabilizing their incomes, reducing financial distress, and promoting modern agricultural practices. While challenges remain in its implementation and reach, the scheme's potential to empower farmers and strengthen India's agricultural resilience is undeniable. With sustained efforts to refine its operations, enhance farmer awareness, and adapt to emerging needs, PMFBY can continue to play a pivotal role in securing the livelihoods of millions of farmers and ensuring food security for the nation. (Verma, 2021) Literature Review Abhilash et al. (2022): The Agriculture Infrastructure Fund stands as a pivotal initiative in India's journey towards a more sustainable and prosperous agricultural economy. By systematically addressing the long-standing issues of post-harvest losses and inadequate infrastructure, AIF has empowered farmers, improved market linkages, fostered rural employment, and stimulated private investment. Abia et al. (2021): As the The Agriculture Infrastructure Fund scheme continues to evolve and overcome its challenges, its impact is poised to reshape Indian agriculture, contributing significantly to food security, farmer welfare, and overall rural development. Rossman et al. (2021): The Soil Health Card Scheme represents a landmark initiative in India's agricultural sector. By providing farmers with personalized, scientific insights into their soil's health, it has laid the groundwork for more efficient resource utilization, increased productivity, and enhanced farmer incomes. Hooper et al. (2022): While challenges persist in Soil Health Card Scheme implementation, continuous efforts to improve infrastructure, enhance farmer education, and refine the advisory services will undoubtedly strengthen the scheme's impact, paving the way for a more resilient, productive, and sustainable agricultural future for India. Pradhan Mantri Kisan Samman Nidhi and Its impact The agricultural sector forms the backbone of the Indian economy, employing a significant portion of its population. However, farmers frequently grapple with financial instability due to unpredictable International Refereed, Blind Peer-Reviewed Multidisciplinary & Open Access Research Journal Issue: 03 | Vol.: 12 | Jul.-Aug.-Sep. - 2025 | Pages: 35–41 | RRSSH | ISSN: 2348 – 3318 | Periodicity : Quarterly, Language : English & Hindi https://ijorr.in [ 37 ] Comparative Study of Different Agricultural Schemes and their Impact Champa Negi & Meera Rawat weather patterns, market fluctuations, and high input costs. To address these systemic challenges and bolster the income of farming families, the Government of India launched the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) scheme in February 2019, with retrospective effect from December 1, 2018. This ambitious initiative, a central sector scheme, aims to provide direct income support to eligible landholding farmer families across the country. The core objective of PM-KISAN is to supplement the financial needs of all landholding farmer families, enabling them to procure essential agricultural inputs, ensure proper crop health, and meet their domestic requirements. Under the scheme, eligible farmer families receive an annual financial benefit of ₹6,000, disbursed in three equal installments of ₹2,000 every four months. This direct benefit transfer (DBT) mechanism, leveraging the JAM Trinity (Jan Dhan, Aadhaar, and Mobile), is a crucial feature, ensuring transparency and eliminating intermediaries. The scheme initially targeted small and marginal farmers but was later expanded to include all landholding farmer families, subject to certain exclusion criteria (e.g., institutional landholders, income taxpayers, government employees, and professionals). The PM-KISAN scheme has had a discernible impact on the lives of millions of Indian farmers, acting as a catalyst for rural economic growth and contributing to agricultural sustainability. The most direct impact of PM-KISAN is the provision of a stable and predictable income stream. This financial assistance helps farmers manage their expenses related to seeds, fertilizers, pesticides, and other agricultural inputs. Crucially, it has reduced their reliance on informal moneylenders who often charge exorbitant interest rates, thereby alleviating debt burdens and fostering financial resilience. Studies have shown that a significant portion of the disbursed funds is indeed utilized for cultivation purposes. With assured income support, farmers are better equipped to invest in necessary agricultural inputs and adopt improved farming practices. This can lead to increased productivity, better yields, and ultimately, higher farm incomes. By mandating Aadhaar-seeded bank accounts for beneficiaries, PMKISAN has significantly promoted financial inclusion among farmers. This integration into the formal financial system opens avenues for them to access other financial services like credit, insurance, and savings schemes, further enhancing their economic security. The regular infusion of funds into rural households stimulates local economies. Farmers utilize the money not only for agricultural needs but also for household expenses, education, healthcare, and even small-scale investments, contributing to overall rural development. The scheme disproportionately benefits small and marginal farmers, who often face the greatest financial vulnerabilities. By providing them with direct income support, PM-KISAN plays a vital role in narrowing income disparities and promoting inclusive growth in the agricultural sector. The scheme also has an inclusive nature, with a significant percentage of beneficiaries being women farmers. The use of Direct Benefit Transfer (DBT) and a farmer-centric digital infrastructure ensures that the financial assistance reaches the intended beneficiaries directly, minimizing leakages and reducing the scope for corruption and delays. A major criticism is that the scheme excludes landless agricultural workers, tenants, and sharecroppers, who are often among the most vulnerable sections of the farming community and are not considered "landholding farmer families." While helpful, the annual ₹6,000 assistance is sometimes deemed insufficient to address the comprehensive financial needs of farmers, especially in the face of rising input costs and unforeseen events. Some argue for an enhancement of financial aid. Inaccurate land records, Aadhaar linkage issues, and other data discrepancies can lead to the exclusion of eligible farmers or delays in benefit disbursement. Ensuring accurate and updated beneficiary data remains a continuous challenge. Despite efforts to promote digital literacy, some farmers, particularly in remote areas, may lack awareness about the scheme or face difficulties in navigating the online application and verification processes due to the digital divide. Critics argue that while PM-KISAN provides income support, it does not address deeper structural issues plaguing the agricultural sector, such as land fragmentation, dependence on monsoons, and poor marketing infrastructure. It is seen by some as more populist than reformist. The scheme has witnessed fluctuations in the number of beneficiaries, with some states experiencing a decline due to the weeding out of ineligible individuals, highlighting the ongoing process of refining the beneficiary list. International Refereed, Blind Peer-Reviewed Multidisciplinary & Open Access Research Journal Issue: 03 | Vol.: 12 | Jul.-Aug.-Sep. - 2025 | Pages: 35–41 | RRSSH | ISSN: 2348 – 3318 | Periodicity : Quarterly, Language : English & Hindi https://ijorr.in [ 38 ] Comparative Study of Different Agricultural Schemes and their Impact Champa Negi & Meera Rawat The Pradhan Mantri Fasal Bima Yojana (PMFBY) and its impact The agricultural sector in India, the backbone of its economy, is inherently vulnerable to the vagaries of nature. From droughts and floods to hailstorms and pest attacks, farmers constantly face the threat of crop loss, which can push them into crippling debt and even lead to tragic circumstances. To address this critical challenge, the Indian government launched the Pradhan Mantri Fasal Bima Yojana (PMFBY) in 2016. This ambitious crop insurance scheme aimed to provide a comprehensive safety net for farmers, stabilize their incomes, and foster a more resilient agricultural landscape. The PMFBY was conceived as a replacement for previous crop insurance schemes, incorporating lessons learned and aiming for greater efficiency and transparency. Its core objectives include providing financial support to farmers suffering crop loss due to unforeseen events, stabilizing farmer income, encouraging the adoption of innovative agricultural practices, and ensuring a consistent flow of credit to the agriculture sector. The scheme offers comprehensive risk coverage, extending from pre-sowing to post-harvest losses, and includes various natural calamities, pests, and diseases. A key feature is the low premium rates for farmers (2% for Kharif crops, 1.5% for Rabi crops, and 5% for commercial/horticultural crops), with the substantial balance premium being subsidized by the government. This makes crop insurance accessible even to small and marginal farmers, who are often the most vulnerable. One of the significant impacts of PMFBY has been the increased financial security it offers to farmers. By providing compensation for crop losses, the scheme helps prevent farmers from falling into debt traps and enables them to continue their farming activities. This financial stability, in turn, reduces risk aversion, encouraging farmers to adopt modern and innovative agricultural practices without the overwhelming fear of losing their investments. Furthermore, the scheme has contributed to enhancing loan eligibility for farmers, as banks and financial institutions are more willing to lend to those with crop insurance, mitigating their own risk of loan defaults. Technological advancements have played a crucial role in the implementation and impact of PMFBY. The scheme leverages satellite imagery, remote sensing, drones, and smartphone applications for accurate crop area estimation, yield assessment, and loss assessment. This technology-driven approach aims to bring greater transparency, accountability, and accuracy to claim settlements, reducing delays and ensuring timely payouts directly into farmers' bank accounts through Direct Benefit Transfer (DBT). This has been a significant improvement over previous schemes, where delays in claim settlement were a major pain point. PMFBY has faced its share of challenges. One persistent issue is the varying level of awareness among farmers about the scheme's features and benefits. While concerted efforts have been made through awareness campaigns, a substantial proportion of farmers still lack complete information, hindering optimal enrollment. Operational inefficiencies, including delays in claim settlements in some instances, and a perceived lack of transparency regarding data availability on crop yields and reasons for claim rejections, have also led to dissatisfaction among some farmers. Additionally, concerns about the financial sustainability of the scheme due to high operational costs and potential misuse have been raised. Some states have even opted out of the scheme due to financial constraints or low claim ratios, highlighting the need for greater flexibility and responsiveness to regional agricultural dynamics. The success of PMFBY hinges on addressing these challenges. Increasing farmer awareness through targeted campaigns and simplified enrollment processes is paramount. Strengthening the technological infrastructure, improving data collection and analysis, and streamlining grievance redressal mechanisms can further enhance efficiency and transparency. Moreover, a continuous review and update of the scheme, incorporating feedback from stakeholders and adapting to evolving agricultural practices and climate change impacts, will be crucial for its long-term effectiveness. Agriculture Infrastructure Fund (AIF) and its impact Significant crop wastage, inefficient supply chains, and limited market access have historically constrained farmers' income and hindered the sector's overall growth. To address these critical gaps, the Government of India launched the Agriculture Infrastructure Fund (AIF) in 2020. This ₹1 lakh crore central sector scheme aims to provide medium to long-term debt financing for viable projects focused International Refereed, Blind Peer-Reviewed Multidisciplinary & Open Access Research Journal Issue: 03 | Vol.: 12 | Jul.-Aug.-Sep. - 2025 | Pages: 35–41 | RRSSH | ISSN: 2348 – 3318 | Periodicity : Quarterly, Language : English & Hindi https://ijorr.in [ 39 ] Comparative Study of Different Agricultural Schemes and their Impact Champa Negi & Meera Rawat on post-harvest management infrastructure and community farming assets, thereby catalyzing a transformative impact on the agricultural landscape. The primary objective of the AIF is to bridge the infrastructure deficit at the farm-gate level. This includes supporting the establishment of a wide array of essential facilities such as warehouses, cold storage units, silos, pack houses, assaying units, sorting and grading units, and primary processing centers. Beyond traditional infrastructure, the scheme also promotes the creation of community farming assets like custom hiring centers for farm machinery, organic input production units, and even infrastructure for smart and precision agriculture, including the adoption of drones and AI in farming. The financial incentives offered under AIF, including a 3% interest subvention for loans up to ₹2 crore and credit guarantee coverage under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), are designed to make these investments more attractive and accessible to a diverse range of beneficiaries, including individual farmers, Farmer Producer Organizations (FPOs), Primary Agricultural Credit Societies (PACS), agri-entrepreneurs, and self-help groups. The impact of the AIF has been multi-faceted and largely positive, signaling a shift towards a more resilient and remunerative agricultural sector. One of the most significant impacts has been the reduction in post-harvest losses. By enabling the creation of modern storage facilities and cold chains, farmers can store their produce for longer durations, minimizing spoilage and allowing them to sell when market prices are more favorable. This direct access to better storage and market facilities translates into improved price realization for farmers, enhancing their overall income. Studies indicate that AIF-supported agro-processing centers have led to an increase in farmer's income by up to 20%. The AIF has been instrumental in boosting farm mechanization and efficiency. The establishment of custom hiring centers, facilitated by the fund, provides farmers with access to modern farm machinery and implements that they might otherwise be unable to afford individually. This not only improves agricultural productivity but also promotes better crop residue management practices. The scheme has also played a crucial role in generating significant rural employment opportunities, with reports indicating the creation of over 9 lakh employment opportunities through AIF investments. The decentralized nature of AIF projects, with nearly 97% of projects created in rural areas, further reinforces its impact on rural development and livelihoods. The AIF has also been successful in attracting private sector investment into the agriculture sector. By providing financial support and reducing risk, the scheme has incentivized Agri-entrepreneurs and startups to invest in critical agricultural infrastructure and value-added activities. This influx of private capital is vital for modernizing the sector and introducing innovative technologies. The scheme's convergence with other central and state government initiatives further amplifies its reach and impact, enabling beneficiaries to leverage multiple subsidies and grants for comprehensive projects. The AIF is not without its challenges. Limited awareness among farmers about the scheme's benefits, particularly in remote areas, and occasional delays in project approvals have been identified as hurdles. Simplification of application procedures and robust awareness campaigns at the grassroots level are crucial to ensure wider adoption and maximize the scheme's potential. Soil Health Card Scheme and its impact Recognizing the critical role of soil health in agricultural output, the Government of India launched the Soil Health Card (SHC) Scheme in February 2015. This ambitious initiative aimed to revolutionize farming practices by providing farmers with crucial information about their soil's nutrient status, thereby promoting judicious use of fertilizers and fostering sustainable agriculture. The primary objective of the Soil Health Card Scheme is to issue soil health cards to all farmers across the country every three years. These cards provide a comprehensive analysis of the soil's health, detailing 12 key parameters: Nitrogen (N), Phosphorus (P), Potassium (K), Sulphur (S), Zinc (Zn), Iron (Fe), Copper (Cu), Manganese (Mn), Boron (B), pH, Electrical Conductivity (EC), and Organic Carbon (OC). Based on these analyses, the card offers crop-wise recommendations on the appropriate dosage of nutrients and fertilizers, as well as suggestions for soil amendments and suitable cropping patterns. The scheme also focuses on strengthening the infrastructure of soil testing laboratories and building the capacity of agricultural extension workers and farmers. International Refereed, Blind Peer-Reviewed Multidisciplinary & Open Access Research Journal Issue: 03 | Vol.: 12 | Jul.-Aug.-Sep. - 2025 | Pages: 35–41 | RRSSH | ISSN: 2348 – 3318 | Periodicity : Quarterly, Language : English & Hindi https://ijorr.in [ 40 ] Comparative Study of Different Agricultural Schemes and their Impact Champa Negi & Meera Rawat The impact of the Soil Health Card Scheme has been multi-faceted and largely positive, contributing significantly to improved agricultural practices and farmer livelihoods. Firstly, a major impact has been the promotion of balanced fertilization. Before the scheme, many farmers applied fertilizers indiscriminately, often leading to overuse of certain nutrients (especially nitrogen) and neglect of others. SHCs have empowered farmers with scientific data, enabling them to understand specific nutrient deficiencies in their fields. Studies have shown a significant reduction in the use of chemical fertilizers, particularly urea, and an increase in the adoption of bio-fertilizers and micronutrients. This balanced approach not only reduces input costs for farmers but also minimizes environmental pollution caused by excessive chemical runoff. Secondly, the scheme has demonstrably led to increased crop productivity and farmer income. By applying fertilizers and micronutrients as per the SHC recommendations, farmers have reported an overall increase in crop yields, ranging from 5-6% on average, with some crops showing even higher gains (e.g., wheat by 43% in Karnataka, Bengal gram by 44%). This boost in productivity, coupled with reduced expenditure on fertilizers, directly translates to higher net income for farmers, aligning with the government's objective of doubling farmers' income. Thirdly, the SHC scheme contributes to sustainable agriculture and environmental preservation. By advocating for balanced nutrient management and discouraging the overuse of chemicals, the scheme helps in maintaining long-term soil fertility, reducing soil degradation, and mitigating adverse environmental impacts. The emphasis on organic carbon content also encourages practices that improve soil structure and water retention capacity. Finally, the scheme has fostered greater awareness and informed decision-making among farmers. Through farmer training programs, demonstrations, and the involvement of agricultural universities and Krishi Vigyan Kendras (KVKs), farmers are gaining a better understanding of soil health principles. The revamped Soil Health Card portal and mobile application have further enhanced accessibility and transparency, making it easier for farmers to obtain and understand their cards. The "School Soil Health Program" has also been instrumental in educating younger generations about soil health and sustainability. The Soil Health Card Scheme faces certain challenges. These include issues with the quality and accuracy of soil sample collection, which can lead to inaccurate test results. Many farmers, particularly those with lower literacy levels, still struggle to fully comprehend the recommendations provided on the cards. There is also a need for more localized and crop-specific recommendations instead of broad, one-size-fits-all advice. Furthermore, the timely delivery of SHCs and the availability of recommended fertilizers and bio-fertilizers at the village level remain crucial for the scheme's full potential to be realized. Inadequate soil testing infrastructure in some regions also poses a bottleneck. Conclusion Agricultural schemes, while diverse in their objectives and mechanisms, collectively aim to transform the agricultural landscape. Direct income support, crop insurance, infrastructure development, and sustainable farming initiatives each play a distinct yet interconnected role in enhancing farmer welfare, boosting productivity, and ensuring food security. A comparative study reveals that while these schemes have yielded significant positive impacts, their effectiveness often hinges on efficient implementation, equitable access, and continuous adaptation to evolving agricultural challenges. The future of agriculture lies in a holistic approach, where a well-integrated portfolio of schemes empowers farmers, fosters innovation, and ensures the long-term sustainability of this critical sector. References 1. Abhilash PC (2022) Towards the designing of low carbon societies for sustainable landscapes. J Clean Prod 87:992–993. 2. Abia WA, Wanji S, Chaunte F (2021) Energy and nutrient contents of water. Afr J Food Sci 1(2):016– 019. 3. Adams MW, Ellingboe AH, Rossman EC (2021) Biological uniformity and disease epidemics. 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