Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA): Ensuring Fair Prices for Farmers

 Launched on September 12, 2018, the Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) is a transformative umbrella scheme aimed at ensuring remunerative prices for farmers’ produce, thereby reinforcing the government’s commitment to doubling farmers’ income. This initiative comes in response to the persistent challenge of farmers not receiving Minimum Support Prices (MSP) despite official announcements. PM-AASHA complements existing procurement schemes and introduces flexible market interventions to protect farmers from price fluctuations.

The scheme comprises three key components:

1. Price Support Scheme (PSS) – Under this scheme, the physical procurement of pulses, oilseeds, and copra is undertaken by designated Central Nodal Agencies, including NAFED and the Food Corporation of India (FCI). The central government bears all costs and losses incurred during procurement, providing a strong price safety net.

2. Price Deficiency Payment Scheme (PDPS) – This innovative mechanism addresses price drops without physical procurement. Under PDPS, farmers selling oilseeds in recognized mandis during the notified period receive direct payment from the government for the difference between the MSP and actual sale price. The amount is credited straight into the farmer’s bank account, ensuring quick and transparent compensation.

3. Private Procurement and Stockist Scheme (PPSS) – This pilot scheme empowers private players to procure oilseeds at MSP in select districts when market prices fall below MSP. The state or UT government authorizes the intervention, and private agencies are compensated with a service charge of up to 15% of the MSP to encourage participation and ensure market stability.

While existing MSP procurement schemes for crops like paddy, wheat, coarse grains, cotton, and jute under the Departments of Food and Public Distribution and Textiles continue, PM-AASHA expands support to a broader range of crops and introduces market-based solutions for price assurance.

PM-AASHA reflects a balanced approach—combining government procurement, direct payments, and private sector participation—to address the diverse challenges of the agricultural economy. It is a critical step in securing farmers’ incomes, reducing distress sales, and creating a more efficient, transparent, and farmer-friendly procurement system across India.