For decades, Indian farmers have relied on various subsidies, including fertilisers, seeds, and crop insurance, to support their agricultural activities. However, these subsidies often faced issues of inefficiency, corruption, and misallocation. The traditional subsidy system involved multiple layers of intermediaries, from government agencies to local distributors. It led to leakages and delays in providing support to the intended beneficiaries.
In recent years, the Indian government has taken several measures to stop the leakages in subsidy transfer to the intended beneficiaries. This includes Direct Benefit Transfer (DBT) Scheme, which is one of the top government schemes of India.
To address these challenges, the Indian government initiated the Direct Benefit Transfer program on 1 January 2013. Under DBT, subsidies are transferred directly to the bank accounts of farmers, eliminating the need for intermediaries. The benefits covered under 34 central schemes are directly transferred to the under-privileged population.
Some of the key schemes related to agriculture under DBT include:
DBT refers to a system of providing subsidies and government assistance to beneficiaries directly in their bank accounts. This scheme was aimed at reducing corruption by ensuring that the intended beneficiaries receive the relevant benefits. It has reached more than 90 crore beneficiaries since its inception.
The DBT scheme has been implemented in various sectors, including agriculture. Under the DBT scheme for agriculture, the government transfers subsidies, and benefits directly to the bank accounts of farmers. This includes subsidies on seeds, fertilisers, pesticides, and agricultural machinery.
The key components of DBT in Indian agriculture include:
Registering for the DBT scheme involves a few straightforward steps. Here is how to complete DBT scheme registration:
If you encounter any issues or have concerns about the DBT process, the portal often provides a means to register feedback or file grievances. Use these channels to address your concerns.
Direct Benefit Transfer involves the following key checkpoints:
Here are some of the specific benefits of DBT in Indian agriculture:
Crop subsidy and tractor subsidy are important subsidies given to the farmers. The introduction of DBT in Indian agriculture has had an impact on many farmers. With direct subsidy transfers, they have more control over their financial resources and can make informed decisions about crop selection, investment in technology and adopting best practices. Furthermore, it has the potential to empower small and marginal farmers by providing them with equitable access to support.
Direct Benefit Transfer in Indian agriculture is a significant step toward modernising the subsidy and support system. While challenges exist, the benefits of transparency, reduced leakages and increased financial inclusion make DBT a promising approach for transforming Indian agriculture. With continued efforts to address digital literacy and infrastructure issues, DBT has the potential to revolutionise the sector and improve the livelihoods of millions of farmers across the country.