In the Budget 2025 announcement, Finance Minister Nirmala Sitharaman introduced key agricultural reforms, focusing on increasing financial support for farmers, boosting urea production, and ensuring self-sufficiency in pulses. The government has expanded the scope of the Kisan Credit Card (KCC) scheme and launched the PM Dhan Dhyan Krishi Yojana, benefiting 1.7 crore farmers across 100 districts with low yields and below-average credit access.
Enhanced Loan Limit Under Kisan Credit Card
The Kisan Credit Card (KCC), which provides short-term credit to 7.7 crore farmers, including those in fisheries and dairy sectors, has undergone a major revision. The loan limit under the modified interest subvention scheme has been raised from ₹3 lakh to ₹5 lakh, making it easier for farmers to access credit for agricultural activities.
Strengthening Urea Production for Self-Sufficiency
To enhance urea production and reduce import dependence, Sitharaman announced that the government has reopened three dormant urea plants in the eastern region. Additionally, a new urea plant with an annual capacity of 12.7 lakh metric tonnes will be set up in Namrup, Assam, further augmenting supply and ensuring farmers have access to essential fertilizers.
PM Dhan Dhyan Krishi Yojana to Improve Agricultural Productivity
The newly launched PM Dhan Dhyan Krishi Yojana aims to modernize farming practices and increase crop intensity in 100 low-yield districts. The initiative will provide financial assistance and technical support to 1.7 crore farmers, improving agricultural productivity and rural livelihoods.
Rural Prosperity and Self-Reliance Initiatives
The government is also introducing a Rural Prosperity and Resilience Programme, focusing on youth, women, and farmers to promote sustainable agricultural practices and economic growth in rural areas.
Self-Sufficiency in Pulses and Vegetable Production
To ensure Atmanirbharta (self-reliance) in pulses, the government will roll out a six-year programme with a special focus on tur, urad, and masoor production. Additionally, Nafed (National Agricultural Cooperative Marketing Federation of India) and NCCF will procure pulses over the next four years to maintain stable market prices.
A comprehensive plan to boost vegetable and fruit production will also be launched to provide farmers with remunerative prices and better market access.
With these initiatives, the government aims to strengthen India’s agricultural sector, ensure financial stability for farmers, and promote self-reliance in essential food production.