A direct transfer scheme like PM-KISAN is a game-changer and can have significant effects if it is provided with complementary inputs. Explain (200 Words)
Refer - The Business Line
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IAS Parliament 4 years
KEY POINTS
Pradhan Mantri Kisan Samman Nidhi, popularly known as PM-KISAN, scheme was aimed at addressing the liquidity constraints of farmers for meeting their expenses for acquisition of agricultural inputs and services.
Empirical study
· The International Food Policy Research Institute (IFPRI) in association with the Indian Council of Agriculture Research (ICAR) embarked on a study to empirically assess technology choices and adoption of practices following the rollout of PM-KISAN.
· Taking the primary objective of fostering timely usage of inputs, that is, technology, the study, based on primary survey, evaluated the implementation of PM-KISAN and the role of Krishi Vigyan Kendras with strategic complementarity for magnifying its impact.
· Banking infrastructure created through Pradhan Mantri Jan Dhan Yojana (PMJDY) played a key role in the fund disbursal.
· What is not so commonly known but is critical for the fast uptake is that the State government had digitised the complete database of farmers who were now registered in the system with their credentials.
· Further, 93 per cent non-beneficiary farmers had already applied for the scheme, depicting awareness and potential uptake. When augmented with extension through KVKs, the adoption of modern inputs is significantly higher (to the tune of 36 per cent).
· Moreover, the study establishes that KVKs have stimulated the impact of PM-KISAN for the adoption of modern agricultural technologies.
· Thus, by investing more in agricultural advisory services, the government can encourage farmers to invest some or all part of the income support in productive assets for achieving the multiplier effect of PM-KISAN.
· Therefore, PM-KISAN along with agricultural advisory services has the potential to break the cycle of intergenerational poverty and low income of farmers through investment in modern technology.
