The Pradhan Mantri Dhan-Dhaanya Krishi Yojana (PMDDKY) is a major new government scheme to improve farming in 100 underperforming districts. Announced in the Union Budget 2025 and approved by the Union Cabinet in July 2025, PMDDKY aims to make farming more productive, sustainable, and profitable for small and marginal farmers. In this blog, we have provided all the details about the PMDDKY scheme, what it is, why it was launched, who can apply, the benefits, how to apply, and the future goals.
What is PMDDKY?
PMDDKY stands for Pradhan Mantri Dhan-Dhaanya Krishi Yojana. It is a national scheme that brings together 36 existing agricultural schemes from 11 ministries into one program. The goal is to give farmers better access to seeds, irrigation, storage, loans, training and markets so they can grow more, lose less after harvest, and earn more.
Why PMDDKY was launched?
Indian farming faces many problems that limit incomes and food security:
- Low crop productivity in many districts (for example, rice yields in Seemanchal average 1.8 tonnes/hectare vs national 2.7 tonnes/hectare).
- Heavy dependence on uncertain monsoon rains (over 52% of farmland depends on monsoon).
- Very small landholdings: about 86% of farmers own less than 2 hectares.
- Lack of modern inputs, tools and storage causing high post-harvest losses (up to 20% for perishables).
- Low farmer incomes and market inefficiencies that leave farmers dependent on middlemen.
When was PMDDKY launched?
The Pradhan Mantri Dhan-Dhaanya Krishi Yojana (PMDDKY) was approved by the Union Cabinet on 16 July 2025. It is scheduled to start implementation from October 2025 (Rabi season), with farmer applications expected to open in September 2025.
- Cabinet Approval (Launch Announcement): 16th July 2025
- Implementation Begins: October 2025
What is the approved budget for PMDDKY?
The PMDDKY has an approved annual budget of ₹24,000 crore, which will run from 2025–26 to 2030–31, adding up to a total of ₹1.44 lakh crore over six years. This budget combines funds from 36 existing agricultural schemes across 11 ministries to provide better support to farmers.
The approved amount is carefully planned to cover subsidies for seeds and equipment, building irrigation and storage infrastructure, providing loans, and offering training programs, ensuring that farmers get the help they need to improve crop yields and income.
What are the main objectives of Pradhan Mantri Dhan-Dhaanya Krishi Yojana?
The main objectives of the PMDDKY scheme are as follows:
- Increase crop yields by 20–30% using better inputs and technology.
- Reduce dependence on monsoon with improved irrigation (drip and sprinkler).
- Provide tools and mechanisation so farming becomes more efficient.
- Reduce post-harvest losses to under 5% via storage and cold chains.
- Offer loans and direct market access to double farmer incomes by 2030.
- Promote sustainable practices (organic, water-saving).
- Support women, youth and allied sectors (dairy, fisheries, poultry).
- Move toward self-sufficiency in foodgrains, pulses and oilseeds.
What will be the key benefits of PMDDKY?
PMDDKY will provide a wide package of support such as:
- Higher Crop Yields: High-yield seeds, bio-fertilisers and machines to increase output by 20–30%.
- Higher Income: Support to grow high-value crops and sell directly, boosting profits by 20–40%.
- Sustainability: Organic inputs and water-saving irrigation protect soil and water.
- Irrigation: Drip and sprinkler systems to save water and enable more cropping cycles.
- Storage: Village and block warehouses plus cold storage to cut spoilage.
- Financial Support: Subsidies and loans to buy inputs and equipment.
- Market Access: Digital platforms (e-NAM and new PMDDKY apps) to sell directly.
- Training: Free workshops and global training for selected farmers.
- Women & Youth Support: Special programs for women producer groups and youth skill-building.
Who can apply for PMDDKY?
PMDDKY focuses on people in the 100 selected districts, such as:
- Small and marginal farmers (less than 2 hectares).
- Women farmers and women in producer groups.
- Young farmers adopting modern methods or starting agri-businesses.
- Farmers in low-productivity and low-credit areas.
- Farmer Producer Organisations (FPOs).
- Allied sector workers (dairy, fisheries, poultry, beekeeping).
- Large farmers and private companies may participate through PPPs for infrastructure projects.
What documents will be required to apply for PMDDKY?
Documents that will be required by the application to take the benefits of the PMDDKY scheme are follows:
- Aadhaar card.
- Land ownership papers or lease.
- Bank account details (passbook or statement).
- Farmer ID (Kisan Credit Card or PM-KISAN ID, if available).
- Address proof (ration card, voter ID, utility bill).
- Passport-size photos.
- Women Producer Group certificate (if applying as a group).
- FPO registration certificate (for groups).
- Caste certificate (if applying under reserved categories).
- Soil Health Card (optional).
What financial and material support will be provided to the farmers?
The details of the financial and material support provided under this scheme are as follows:
- Subsidies: 50–80% off on seeds, bio-fertilisers and equipment (e.g., subsidised drip systems).
- Short-term loans: ₹50,000–₹1 lakh at 4–7% interest via Kisan Credit Cards.
- Long-term loans: ₹1–10 lakh for capital investments (tractors, storage), via NABARD or banks.
- Storage access: Free or low-cost village and block-level warehouses, cold storage.
- Irrigation support: Subsidised drip/sprinkler systems.
- Training and market support: Free workshops and digital market access.
- Global training: Fully funded international training for 500 farmers.
Budget split (as provided): Annual ₹24,000 crore: ~40% for subsidies, 30% for infrastructure, 20% for loans, 10% for training and market support.
Which districts will get the benefits of this scheme?
NITI Aayog will choose 100 districts by 31st July, 2025. The selection will consider low crop productivity, low cropping intensity and low credit access. The plan ensures at least one district per state and Union Territory. Priority areas likely include:
- Uttar Pradesh (Purvanchal and Bundelkhand districts).
- Bihar (Seemanchal districts like Purnea, Katihar).
- Madhya Pradesh tribal districts (Jhabua, Barwani).
- Rajasthan arid districts (Barmer, Jaisalmer).
- Northeast districts (Dhubri, Mon, West Khasi Hills).
- Other backward districts in Odisha, Jharkhand, Chhattisgarh and Andhra Pradesh.
Support for small, marginal and women farmers
For small and marginal farmers (86% of farmers), PMDDKY scheme will provide affordable inputs, easy loans, subsidised small-plot irrigation, storage access, training, market linkages and help to diversify into higher-value crops.
- 10,000 women producer groups will be supported (5,000 registered already as of July 2025; 5,000 more planned by December 2025).
- Microfinance loans (₹10,000–₹1 lakh) and training for dairy, poultry, beekeeping and organic farming.
- Women will have leadership roles in local Samitis and get direct market access for better prices.
Benefits for Large Farmers and Private Companies
Large farmers and companies can join via PPPs to build storage, processing units, and bring technology (drones, IoT). They can access long-term loans and use infrastructure that also helps small farmers.
| Component | Details |
| Irrigation Improvements | – Major push for drip and sprinkler systems to save 30–50% water. – Subsidies will cover large portions of equipment costs. – Introduction of smart IoT sensors for soil moisture monitoring. |
| Storage and Warehousing Solutions | – Development of village and block-level warehouses. – Cold storage for perishables. – Subsidised storage rates for farmers (₹100–₹500/month). – District-level processing units for value-added products. |
| Crop Insurance Coverage | – Integration of PMFBY (Pradhan Mantri Fasal Bima Yojana). – Low premiums: 1.5% (Kharif), 2% (Rabi), 5% (Horticulture). – Faster claim settlement with use of satellite data for verification. |
| Easy Access to Loans | – Both short-term and long-term loans available. – Introduction of Grameen Credit Score for collateral-free access. – District Samitis and banks to process applications within 7–14 days. |
| Market Access and Crop Sales | – Digital platforms like e-NAM and PMDDKY apps to connect farmers with buyers. – Private partnerships for better price discovery. – Elimination of middlemen, helping raise farmer incomes by 20–40%. – Support for FPOs (Farmer Producer Organisations) to enable bulk sales. |
| Support for Organic and Smart Farming | – Subsidised bio-fertilisers and assistance with organic certification. – Use of drones for spraying and monitoring. – IoT sensors for soil & water tracking. – Mobile apps for real-time weather and market alerts. |
| Training and Mechanisation | – Free workshops conducted by KVKs and agricultural universities. – Subsidised farm machinery: tractors, harvesters, precision tools. – Fully funded overseas training opportunities for farmers in Israel, Japan, and the Netherlands. |
What are the opportunities for young farmers under this scheme?
Young farmers will get training, tech access (drones, sensors), subsidies and loans (₹50,000–₹5 lakh) to start agri-businesses. The scheme aims to create jobs and encourage youth to remain in rural areas.
How many farmers have registered under PMDDKY?
The target is 1.7 crore farmers over six years (about 28 lakh per year). The government expects to enroll a portion of eligible farmers in year one and scale up through 2030.
Questions that can be asked based on the PMDDKY scheme in Bank, SSC, and other competitive exams
Q1. When was PMDDKY approved by the Union Cabinet?
a) May 2025
b) June 2025
c) July 2025
d) August 2025
e) September 2025
Answer: c) July 2025
Q2. What is the full form of PMDDKY?
a) Pradhan Mantri Dhan Krishi Yojana
b) Pradhan Mantri Dhan-Dhaanya Krishi Yojana
c) Pradhan Mantri Krishi Dhan Yojana
d) Pradhan Mantri Dhan Krishi Kendra Yojana
e) Pradhan Mantri Dhaanya Krishi Yojana
Answer: b) Pradhan Mantri Dhan-Dhaanya Krishi Yojana
Q3. How many districts will PMDDKY cover?
a) 50 districts
b) 75 districts
c) 100 districts
d) 125 districts
e) 150 districts
Answer: c) 100 districts
Q4. Which body will finalise the list of PMDDKY districts?
a) Ministry of Agriculture
b) NITI Aayog
c) Union Cabinet
d) State Governments
e) Krishi Vigyan Kendra (KVK)
Answer: b) NITI Aayog
Q5. What is the total budget of PMDDKY for 2025–31?
a) ₹1 lakh crore
b) ₹1.2 lakh crore
c) ₹1.44 lakh crore
d) ₹1.5 lakh crore
e) ₹2 lakh crore
Answer: c) ₹1.44 lakh crore
Q6. What percentage of Indian farmers are small and marginal?
a) 65%
b) 70%
c) 80%
d) 86%
e) 90%
Answer: d) 86%
Q7. Which existing scheme is integrated with PMDDKY for crop insurance?
a) PM-KISAN
b) PMFBY
c) PMKSY
d) RKVY
e) NFSM
Answer: b) PMFBY – Pradhan Mantri Fasal Bima Yojana
Q8. When will applications for PMDDKY start?
a) July 2025
b) August 2025
c) September 2025
d) October 2025
e) November 2025
Answer: c) September 2025
Q9. What is the annual budget allocation for PMDDKY?
a) ₹15,000 crore
b) ₹20,000 crore
c) ₹22,000 crore
d) ₹24,000 crore
e) ₹25,000 crore
Answer: d) ₹24,000 crore
Q10. Which sector apart from farming is also supported under PMDDKY?
a) IT sector
b) Dairy, fisheries, poultry, beekeeping
c) Handicrafts
d) Textile industry
e) Education sector
Answer: b) Allied sectors – dairy, fisheries, poultry, beekeeping
FAQs
It was announced in the Union Budget 2025 and approved by the Union Cabinet on 16 July 2025.
The scheme will start from October 2025 (Rabi season). Applications are expected from September 2025.
NITI Aayog will finalise the list of 100 districts based on productivity, irrigation gaps, and farmer credit access.
Small and marginal farmers, women farmers, youth, FPOs, allied sector workers (dairy, fisheries, poultry), and even large farmers (through PPP projects).
Yes. PMDDKY integrates Pradhan Mantri Fasal Bima Yojana (PMFBY) with low premiums and fast claim settlement.
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