Headway to PMFBY 2.0: Prospects of crop insurance in Tamil Nadu
1J. Roselyn, 2S. Ravichandran, 3R. Venkataraman, and 4J. Sam Ruban
Faculty of Agriculture, Annamalai University, Annamalai Nagar-608002 (India) Corresponding authors’ e-mail: 95roselynmaxwell@gmail.com
ABSTRACT
Risks in any sector including agriculture, manufacturing, etc. are inevitable and they are covered by crop insurance, which aims at supporting sustainable production in the agricultural sector. The objective of the present study is to elicit the present status and prospects of Pradhan Mantri Fasal Bima Yojana (PMFBY) in Tamil Nadu. Since, the claim disbursed procedures will take some delay in time and disbursed in the subsequent years, a three-year average was taken for the study. The claim per farmer, average area insured, claim per hectare, threshold yield, etc, are calculated and interpreted and the results showed that settlement of claims is high in coastal and delta districts that is due to the frequent climatic aberrations. In conclusion, when a complete crop loss occurs, crop insurance covers only the financial losses encountered by the farmers. Hence, the focus may also be concentrated on other objectives to stabilize farm income and encourage technology adoption.