The PM Dhan-Dhaanya Krishi Yojana (PMDDKY) which was launched in the Union Budget 2025 26 is a combination of 36 other schemes related to agriculture to boost sustainable, inclusive and productive farming. In terms of government support to farmers of 100 low-performing districts, it is assigned 24,000 crore per annum over a period of 6 years and will benefit 1.7 crore farmers. The initiative targets irrigation, storage, crop diversification as well as access to credit. Local action plan will be fashioned at the district-level committees in collaboration with states and the private players. Based on the Aspirational District Programme, it should turn Indian agriculture into self-sufficient and climate-proof.

Context & Background:

  • Introduced in the 2025 26 Union Budget as one of its agricultural flagship programs.
  • It was built to harmonize and overhaul 36 and overlapping plans under 11 ministries.
  • Sticks to the Convergence, Competition, Collaboration model adopted in Aspirational District Programme.

 Objectives of PMDDKY:

Objective

Focus Area

Productivity Enhancement

Use of better inputs, irrigation, and agri-tech

Sustainable Practices

Natural/organic farming, water and soil conservation

Value Addition

Strengthening post-harvest infra, food processing

Credit Access

Streamlined short- and long-term credit facilities

Crop Diversification

Shift from water-guzzling crops to regionally suitable crops

Livelihood Creation

Focus on dairy, fisheries, agro-processing, and allied sectors

Structural Features:

  • Integrated Scheme Approach:
    Combines 36 plans in 11 ministries to coordinate and make them more efficient.
     
  • Targeted District Selection:
     
    • Districts selected by virtue of having low productivity, low cropping intensity and poor access to credit facilities (100 districts).
    • One district in every state at least.
       
  • Implementation Framework:
     
    • Dhan Dhaanya Samitis in the districts in order to draft district plans.
    • Includes progressive farmers, Panchayats and agri-experts.
    • National, State, and District Planning & monitoring committees.
       
  • Monitoring Mechanism:
     
    • Reviews of monthly performance.
    • Cues associated with income expansion, sustainability and infrastructure development.

Budget & Duration:

Parameter

Details

Total Outlay

₹24,000 crore annually

Duration

6 years (2025–2031)

Target Beneficiaries

1.7 crore farmers

District Coverage

100+ identified districts

Modelled on Aspirational District Programme:

Similar Feature

Description

Focus Area

Bottom 100 agri-districts

Planning

District-specific, participatory plans

Monitoring

Regular review and feedback system

Collaboration

Central, state, local, and private sector synergy

 

Expert Insights (CEEW Observations):

  • Strengths:
     
    • Holistic convergence of schemes.
    • Promotes sustainable agriculture and income generating activities.
    • Ground realities based localized implementation.
       
  • Criticism:
     
    • Credit-based performance metrics can be bought
    • Educational material: Use net farm income per hectare as more realistic benchmark.

 

Significance for India’s Agri-Economy:

Area

Impact

Farmer Income

Enhanced via crop diversification, infra, and credit access

Sustainability

Supports organic, natural farming and water conservation

Agri-Infrastructure

Improved storage, irrigation, and supply chain facilities

Financial Inclusion

Structured credit, insurance, and input subsidies

Rural Economy

Boosts allied sectors and job creation in rural areas

Challenges Ahead:

  • Horizontal coordination.
  • Skilled district planning bodies are needed.
  • Elite capture or marginal farmers being shut out.
  • Actual convergence, and not scheme duplication.

Way Forward:

  • Apply agri-GIS data and real-time dashboards.
  • ENABLE the Farmer Producer Organizations (FPOs) and Gram Panchayats.
  • Communicate by giving attention to small and marginal farmers towards fair growth.
  • Blend with such initiatives as e-NAM, PMFBY, PM-KUSUM.
  • Monitoring and feedback involving NGOs, agri-universities, and civil societies.

Conclusion:

The PM Dhan-Dhaanya Krishi Yojana is a game changer in the farm policy of India, which facilitate convergence, decentralization, and inclusive growth. It should be successful with proper local implementation, involvement of farmer participation and monitoring. When well implemented, it would transform the low-performance agri-districts in India into stable and sustainable rural growth centres.

 

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