
Summary of Contents
Scheme Snapshot
Full Scheme Breakdown
The Paramparagat Krishi Vikas Yojana (PKVY) is a component of the National Mission on Sustainable Agriculture (NMSA) that aims to promote indigenous and chemical-free farming practices. Unlike the Mission Organic Value Chain Development for North Eastern Region (MOVCDNER), which focuses on developing commodity-specific value chains, PKVY uses a cluster-based approach to encourage farmers to shift to organic farming, primarily utilizing the Participatory Guarantee System (PGS) for certification.
Why Is This Scheme Crucial for Indian Farmers?
The importance of PKVY lies in its triple objective: environmental sustainability, farmer profitability, and consumer health. It serves as a comprehensive institutional mechanism to replace expensive chemical inputs with low-cost, eco-friendly traditional practices.
- Environmental Impact: PKVY directly addresses soil health degradation caused by continuous chemical use. By promoting natural farming techniques (like Jeevamruth and Panchagavya), it helps in long-term soil fertility and resource conservation.
- Economic Impact: The scheme minimizes a farmer’s reliance on external, costly inputs (fertilizers, pesticides), thereby reducing the cost of cultivation and significantly enhancing the farmer’s net income per unit of land.
- Certification & Market Access: It facilitates organic certification via the PGS-India system, which is based on mutual trust and peer review within the farmer cluster, making the process simpler, locally relevant, and less expensive than third-party certification. This certification is crucial for accessing premium domestic markets for organic produce.
Who is Eligible? Understanding the Full Criteria
PKVY operates on a cluster-based approach where groups of farmers are mobilized to participate collectively. The primary beneficiaries are the farmers within these formed clusters.
- Farmer Eligibility: Any farmer, including rural youth, is eligible. While the entire landholding of the participating farmer will be brought under certification, the maximum financial benefit is typically restricted to 2 hectares (5 acres) per farmer.
- Cluster Formation: For a cluster to be established, it must consist of a minimum of 20 hectares (50 acres) of land that is contiguous (or as close as possible) and include at least 20 willing farmers.
- Exclusion Policy: Farmers already receiving benefits under other government organic farming schemes for the same area of land may be excluded from receiving input subsidies under PKVY to prevent duplication of assistance.
- Demographic Focus: States must ensure that at least 30% of the total budget allocation is earmarked specifically for women beneficiaries or farmers.
How Will We Get The Financial Aid?
PKVY offers financial assistance covering the full cycle of organic conversion, certification, capacity building, and marketing over a period of three years. The standard financial assistance package is valued at approximately $50,000/$31,000 per hectare for three years, provided to the cluster or Farmer Producer Organisation (FPO).
The assistance is broken down into the following key activity components over the three-year duration:
- Organic Inputs (Direct Farmer Incentive): Up to $15,000 per hectare for three years is provided directly to the farmer via Direct Benefit Transfer (DBT). This fund is intended for procuring essential organic inputs such as bio-fertilizers, bio-pesticides, organic manure, and planting material.
- Cluster Mobilization, Training, and Capacity Building: Approximately $9,000 per hectare for three years is allocated. This fund is provided to the Regional Councils, Implementing Agencies, and Cluster Groups to conduct training programs, organize exposure visits, and provide necessary technical handholding.
- PGS Certification and Quality Assurance: Around $3,000 per hectare for three years is set aside. This covers the costs associated with the Participatory Guarantee System (PGS) certification process, including residue analysis, inspection, and documentation.
- Value Addition and Marketing: Roughly $4,500 per hectare for three years is provided for post-harvest management activities, including packaging, branding, and developing effective market linkages and sales outlets for the organic produce.
What is the Step-by-Step Process to Apply?
PKVY implementation follows a top-down, cluster-based approach managed by State Level Agencies (SLAs) or Regional Councils (RCs). It is important to note that individual farmers cannot apply directly for this scheme; they must be members of an approved cluster.
- Step 1: Mobilization: Farmers in a contiguous area of at least 20 hectares form a “Local Group” consisting of 20 or more members. This group then formally elects a Leader to manage coordination.
- Step 2: Registration and Pledge: The newly formed Local Group registers with the designated Regional Council (RC). Crucially, every participating farmer must sign an Organic Pledge, committing to adhere to prescribed organic practices for a minimum duration of 3 years.
- Step 3: Annual Action Plan (AAP): The State-level Implementing Agency (SLA) is responsible for preparing the comprehensive Annual Action Plan, which compiles the details of all approved clusters. This plan is then submitted to the Central Government for approval.
- Step 4: Cluster Development and Fund Release: Once the plan is approved, farmers begin the mandatory 36-month transition period. Funds are subsequently released based on the AAP. The input incentives are disbursed directly to the farmer’s bank account via DBT in three yearly installments.
Why Was My Application Rejected?
Rejection of a cluster’s proposal or an individual farmer’s inclusion generally occurs at the initial vetting and monitoring stages managed at the state and cluster levels. Common reasons for rejection or exclusion include:
- Non-Contiguous Area: The proposed 20-hectare area for the cluster may be too fragmented or geographically spread out. This fragmentation hinders effective management and makes required peer inspection under the PGS system difficult to implement.
- Duplicate Funding: If the land area proposed by the farmer is already receiving financial support under another central or state-sponsored organic farming scheme (such as MOVCDNER or certain components of RKVY), the application will be rejected to prevent an overlap of government subsidies.
- Incomplete Documentation: The group may fail to provide required documents, which include land records, Aadhaar cards, bank details, or, most critically, the mandatory signed Organic Pledge from all participating members.
- Non-Compliance: If, during the mandatory peer or official inspection phase, a farmer is found to be using prohibited chemical fertilizers or pesticides on the land dedicated to the scheme, it leads to immediate expulsion from the group and certification denial.
Where Can I Check My Status or File a Complaint?
Grievances related to the PKVY scheme are resolved through an escalating institutional framework, starting with the most immediate implementing authority.
- Level 1 (Local): Disputes related to internal inspections, a farmer’s adherence to organic practices, or timely completion of required documentation are handled by the Cluster Leader and the Local Group itself.
- Level 2 (District): The Regional Council (RC) or District Nodal Officer addresses complaints regarding the overall functioning of the Local Group, specific certification issues (like denial of the PGS certificate), or delays in physical verification.
- Level 3 (State): The State Level Agency (SLA) or State Organic Farming Cell serves as the final authority at the state level. It manages more complex grievances regarding fund disbursement delays, policy interpretation, or appeals against decisions made by the Regional Council.
- Level 4 (National): For policy-level complaints, major financial irregularities, or matters that could not be resolved by the state authority, the Ministry of Agriculture & Farmers Welfare (INM Division) is the final point of contact. Farmers can also utilize the Central Public Grievance Redress and Monitoring System (CPGRAMS) for formal submission of grievances.
Future Outlook: Scheme Updates
The PKVY scheme is continuously evolving to reflect the government’s shifting focus toward Natural Farming (NF) practices and to increase efficiency in fund utilization.
What Major Updates or Changes Can Farmers Expect Soon?
The most significant update is the approval of the National Mission on Natural Farming (NMNF) as a new, standalone Centrally Sponsored Scheme, effective until the end of the 15th Finance Commission period (2025-26). The NMNF is essentially a restructured and expanded version of the earlier Bharatiya Prakritik Krishi Paddhati (BPKP) sub-scheme, which was previously implemented under PKVY. This shift signals the government’s intention to strengthen scientifically backed approaches toward sustainability and climate resilience, targeting 7.5 lakh hectares and 1 crore farmers.
The latest guidelines have streamlined the financial assistance, adjusting the Direct Benefit Transfer (DBT) to approximately $15,000 per hectare over three years for organic inputs, ensuring efficient and direct fund transfer. Furthermore, while the Participatory Guarantee System (PGS) remains the primary mode, the scheme now also supports farmers who prefer or require Third-Party Certification under NPOP (National Programme for Organic Production), offering greater flexibility for export-oriented farmers.
How Does This Scheme Align with India’s Broader Agricultural Goals?
PKVY, and its successor components like NMNF, are fundamentally aligned with several of India’s broader agricultural policy goals:
- Doubling Farmer Income: By substantially reducing the reliance on costly external inputs (fertilizers, pesticides), PKVY directly lowers the cost of cultivation. Furthermore, the PGS certification and market linkage support allow farmers to access premium prices for organic produce, thereby significantly enhancing net income.
- Climate Resilience: The promotion of natural farming techniques, which improve soil structure and water retention, enhances the resilience of farms against climate variations, such as droughts or heavy rainfall, supporting the goal of sustainable agriculture.
- Food Security and Safety: By eliminating chemical residues, the scheme supports the policy goal of providing safe, nutritious, and chemical-free food for human consumption.
Does This Scheme Converge with Other Schemes?
To maximize the impact and ensure a comprehensive support system for farmers, PKVY is designed to converge and dovetail with several other Central Government schemes:
- FPO Scheme (Formation and Promotion of 10,000 FPOs): PKVY encourages its clusters to transition into Farmer Producer Organizations (FPOs). This convergence allows the FPOs to benefit from credit guarantee funds, matching equity grants, and management support available under the FPO scheme, specifically for post-harvest activities like processing, branding, and large-scale marketing.
- Agriculture Infrastructure Fund (AIF): Cluster groups and FPOs established under PKVY can leverage the AIF for subsidized loans to create essential post-harvest infrastructure, such as cold storage, common facilitation centers, and warehousing facilities, which are critical for maintaining the quality and value of organic produce.
- NRLM (National Rural Livelihoods Mission): Convergence is ensured with NRLM’s various components, particularly the Mahila Kisan Sashaktikaran Pariyojana (MKSP), to utilize strong, socially mobilized groups, especially Women Self-Help Groups (SHGs), for effective implementation and social auditing of the PKVY clusters.
FAQs
Q: What is the primary difference between PKVY and MOVCDNER?
A: PKVY promotes organic farming through a cluster approach across the country using the PGS-India certification system. MOVCDNER is specifically focused on developing commodity-specific, end-to-end value chains for organic produce, exclusively in the North Eastern Region (NER)
Q: Can an individual farmer apply for PKVY benefits?
A: No. PKVY strictly follows a cluster-based approach. An individual farmer must join a Local Group or cluster of at least 20 farmers covering a minimum of 20 hectares (50 acres) to be eligible for assistance.
Q: Is the entire landholding of a participating farmer covered by the scheme?
A: Yes, the farmer’s entire landholding is typically brought under the PGS certification process. However, the maximum financial incentive provided via DBT is restricted to 2 hectares (5 acres) per farmer.
Q: How does a farmer receive the financial incentive?
A: The incentive for organic inputs is provided directly to the farmer’s bank account via Direct Benefit Transfer (DBT) in three yearly installments over the 36-month conversion period.
Q: What is the Organic Pledge and why is it mandatory?
A: The Organic Pledge is a mandatory agreement signed by every participating farmer within a cluster. It is a formal commitment to adhere strictly to the prescribed organic and PGS standards and avoid the use of prohibited chemical inputs for a minimum period of three years. It is mandatory for the integrity of the certification process.
Q: Does PKVY support the use of chemical fertilizers during the transition period?
A: Absolutely not. The core objective of PKVY is to promote chemical-free agriculture. Any use of prohibited chemical fertilizers or pesticides on the land dedicated to the cluster will lead to immediate expulsion and certification denial.