Sensing the groundswell of resentment among farmers receiving meagre crop insurance compensation ranging from ₹1 to ₹5, the Maharashtra government has decided to pay ₹1,000 to farmers who receive compensation of less than ₹1,000. The State has issued a government resolution (GR) announcing that it would shoulder the burden of the amount paid to farmers. The government’s decision comes against the backdrop of agitations by farmers against the Pradhan Mantri Fasal Bima Yojana.

The insurance scheme is supposed to provide insurance coverage and financial support to farmers in the event of failure of any of notified crop as a result of natural calamities, pests and diseases. In the last few months while the State has been reeling under a severe drought, farmers have been complaining that the insurance companies are making a mockery of them by paying insurance compensation of ₹1 and ₹5. Farmers across the State have been agitating against the insurance companies.

The State government, in a GR, states that the insurance companies must approach the State Agriculture Commissioner with information of farmers whose compensation is less than ₹1,000. The State shall pay the gap to the insurance company and ensure that the farmers get at least ₹1,000.

Government sources said that the Chief Minister was worried about frequent farmers’ agitations against insurance companies and had asked the Agriculture Department to work on the draft to mitigate farmers’ anger. The scheme is applicable for Kharif and Rabi crops last year and the government has started the process to draft terms and conditions for the scheme.

Farmers, especially in the drought-hit Marathwada region, have been complaining that insurance companies are not paying compensation to farmers and those who have got insurance are not happy with the amount paid to them.

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