NEW DELHI: Prime Minister Fasal Bima Yojana, which protects crops from natural calamities, has been extended till 2025-26 and the allocation has been increased to Rs 69,515 crore as the central government's New Year gift to farmers. These matters were approved by the first Union Cabinet meeting of the year presided over by Prime Minister Narendra Modi.

Four crore farmers will benefit from Fasal Bima Yojana. Claims will be expedited with the help of technology. Enrollment and coverage will be increased. Rules and regulations will be amended to simplify the Fasal Bima Yojana.

A separate Fund for Innovation and Technology (FIAT) will be set up with a corpus of Rs 824.77 crore. The funds will be used to finance research and development studies and technology initiatives such as Yield Estimation System using Technology (YES-TECH) and Weather Information and Network Data Systems (WINDS).

3850 crore subsidy for DAP fertilizer

The Union Cabinet also approved a special package for companies producing Diammonium Phosphate (DAP) fertilizer. DAP fertilizer which was Rs 3000 will be given at Rs 1350. A subsidy of Rs 3850 crore will be provided for this. Fertilizer prices increase when the price of raw material increases in the international market as it is imported from countries like China, Saudi Arabia and Morocco. This is why the subsidy is given.