The Cabinet Committee on Economic Affairs (CCEA) has approved a unique package of innovative schemes for farmers with a total outlay of Rs.3,70,128.7 crore.
- The CCEA approved continuation of Urea Subsidy Scheme to ensure constant availability of urea to the farmers at the same price of Rs 242/ 45 kg bag excluding taxes and neam coating charges. The Scheme is wholly financed by the Government of India through budgetary support.
PM-PRANAM
- The Cabinet Committee on Economic Affairs (CCEA) also approved the PM-PRANAM (PM Programme for Restoration, Awareness, Generation, Nourishment and Amelioration of Mother Earth) scheme, which was a promise made in the last Budget.
- The new scheme would promote use of nutrient-based, biofertilizers for sustainable agriculture and it would have a total outlay of Rs. 3,70,128.7 crore.
- The PM-PRANAM scheme was aimed at saving the soil and promote sustainable, balanced use of fertilizers and it involved the participation of State governments.
- The Centre would incentivise those States which would adopt alternative fertilizers with the subsidy that was saved by reducing the use of chemical fertilizers.
- If a State was using 10 lakh tonnes of conventional fertilizers and reduces its consumption by three lakh tonnes, then the subsidy saving would be Rs 3,000 crore. Out of that subsidy savings, the Centre will give 50% of it —Rs 1,500 crore to the State for promoting the use of alternative fertilizer and other development works.
