India Unveils Major Agricultural Initiative: PM Dhan-Dhaanya Krishi Yojana
In a significant move to bolster its agricultural sector, the Union Cabinet of India on Wednesday, July 16, 2025, approved the Prime Minister Dhan-Dhaanya Krishi Yojana (PMDDKY). This ambitious scheme, with an annual outlay of ₹24,000 crore, is set to run for six years, commencing from the 2025-26 fiscal year, and is expected to benefit approximately 1.7 crore farmers across the nation.
PMDDKY, announced in the Union Budget 2025-26, draws inspiration from the successful Aspirational Districts Programme and is the first of its kind to focus exclusively on agriculture and allied sectors. The program will be implemented in 100 carefully selected districts, identified based on three critical indicators: low agricultural productivity, low cropping intensity, and limited credit flow. The number of districts chosen per state will be proportionate to their share of net cropped area and operational holdings, with a minimum of one district from each state or Union Territory.
The scheme's overarching goal is to significantly enhance agricultural productivity and resilience through a multi-pronged approach:
Improving Farm Productivity: Implementing modern technologies and improved agronomic practices to boost yields.
Promoting Crop Diversification and Sustainable Farming: Encouraging environmentally friendly methods, including natural and organic farming, and a wider range of crops.
Expanding Post-Harvest Storage: Augmenting storage facilities at the panchayat (village council) and block levels to minimize post-harvest losses.
Enhancing Irrigation Infrastructure: Improving and expanding irrigation systems to ensure consistent water availability for crops.
Improving Access to Credit: Facilitating the availability of both short-term and long-term agricultural credit to farmers, easing financial burdens and enabling investment.
A key aspect of PMDDKY is its focus on convergence, bringing together 36 existing central schemes across 11 departments, along with various state schemes and local partnerships with the private sector. This integrated approach aims to maximize impact and streamline delivery of benefits to farmers.
Each of the selected "Dhan-Dhaanya" districts will develop a customized "District Agriculture and Allied Activities Plan." These plans will be formulated by a District Dhan-Dhaanya Samiti, which will include progressive farmers, and will be aligned with national goals such as water conservation, soil health improvement, and achieving self-reliance (Atmanirbhar Bharat) in agriculture.
The progress of the scheme in each district will be rigorously monitored on a monthly basis using 117 key performance indicators (KPIs) through a dedicated dashboard. This competitive governance model, similar to the Aspirational Districts Programme, aims to foster accountability and efficiency in implementation. Union Minister Ashwini Vaishnaw highlighted that as indicators in these 100 districts improve, the national agricultural indicators are expected to show a significant upward trajectory, leading to higher productivity, value addition, and local livelihood creation.
The implementation of PMDDKY is set to commence in October, coinciding with the Rabi (winter) cropping season.
