PM-AASHA Scheme – Price Deficiency Payment (PDP) Mechanism Issues

  • In February 2025, the Government of India approved the continuation of the integrated Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) Scheme during the 15th Finance Commission Cycle up to 2025-26.
  • PM-AASHA was launched to ensure remunerative prices to farmers for pulses, oilseeds, and copra.
  • The Price Deficiency Payment System involves direct payment of the gap between MSP and market price.
  • Unlike physical procurement, this mechanism reduces the government’s logistical burden and costs associated with storage.
  • Effective implementation requires the mandatory registration of farmers on state-specific portals like the Bhavantar Bhugtan Yojana.

Challenges and Procurement Reforms

  • Issues like price manipulation by traders in mandis often ....
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