Cabinet Approves PM Dhan-Dhanya Krishi Yojana to Boost Agriculture, Benefit 1.7 Crore Farmers

In a significant step for Indian agriculture, the Union Cabinet has approved the PM Dhan-Dhanya Krishi Yojana, a comprehensive scheme aimed at transforming farming infrastructure and productivity. This new initiative will integrate 36 existing agricultural schemes under one umbrella, with a budget allocation of Rs 24,000 crore annually. Announced earlier by Finance Minister Nirmala Sitharaman in the Union Budget, the scheme is set to run for six years starting in 2025. According to Union Minister Ashwini Vaishnaw, it will directly benefit 1.7 crore farmers by providing improved access to tools, technology, and infrastructure needed for modern farming.

The scheme aims to address challenges faced in post-harvest storage and irrigation by upgrading rural agricultural infrastructure. It will enhance sowing and harvesting systems, promote better water management, and ensure high-quality seed and fertilizer distribution. The government plans to implement this scheme with the cooperation of state governments. The first phase will include 100 low-productivity districts across India, specifically chosen for targeted agricultural development. Farmers will be encouraged to adopt climate-resilient and sustainable farming methods, increasing productivity while reducing dependency on traditional and less efficient techniques.

The Scheme aims to enhance agricultural productivity, increase adoption of crop diversification and sustainable agricultural practices, augment post-harvest storage at the panchayat and block levels, improve irrigation facilities and facilitate availability of long-term and… pic.twitter.com/TueNQCgVDM

— PIB India (@PIB_India) July 16, 2025

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PM Dhan-Dhanya Krishi Yojana will offer both short-term and long-term financial assistance, enabling farmers to purchase modern equipment, irrigation pumps, tractors, and high-yield seeds. The focus is also on increasing access to credit and subsidies, making it easier for small and marginal farmers to invest in their land and tools. One of the major goals of the scheme is to generate employment in rural areas through agri-based jobs, including warehousing, logistics, and farm services. Special attention will be given to empowering women farmers, encouraging their participation in farming and allied sectors.

Another critical feature of the scheme is the development of post-harvest infrastructure, particularly at the panchayat and block levels. It will fund the creation of modern storage facilities, cold chains, and logistics networks to reduce post-harvest losses. This is expected to increase farmers’ incomes by preventing wastage and allowing them to sell produce at better prices. The scheme also aims to expand irrigation coverage using efficient water technologies, thereby stabilizing yields and improving resilience against climate variability. With its multifaceted approach, the PM Dhan-Dhanya Krishi Yojana is being seen as a game-changer in India’s agricultural policy.