Re 1 crop insurance scheme won't be discontinued: Maharashtra minister

Maharashtra Agriculture Minister Manikrao Kokate on Sunday reiterated that the government will not discontinue the Re 1 crop insurance scheme despite recommendations to shut it down.

Speaking to the media in Nandurbar, Kokate confirmed that while some adjustments will be made, the scheme will continue in its current form to support farmers.

The crop insurance scheme was introduced in the 2023 budget by the then-finance minister and deputy chief minister Devendra Fadnavis.

Under the scheme, farmers can get crop insurance for just Re 1. Before the scheme, farmers had to pay the company 2 per cent of the insurance premium.

The scheme, however, faced criticism after a review brought to light over four lakh bogus applicants.

"This scheme is for the benefit of farmers, and while some changes are necessary, it will not be closed," the minister said.

He further confirmed that compensation for crop losses was distributed to some farmers, and investigations into other cases were ongoing.

Kokate had earlier said that there were only two to three per cent irregularities in the Re 1 crop insurance scheme for farmers, but no corruption was involved in its implementation.

Asked about the 14.95 per cent fare hike by the Maharashtra State Road Transport Corporation, Kokate said, "The cabinet will discuss this matter, and once it is finalised, it will be officially approved."  The minister also indicated that a resolution would be reached soon regarding the ongoing dispute over district guardian ministers for Nashik and Raigad.

BJP's Girish Mahajan and NCP's Aditi Tatkare were appointed guardian ministers for Nashik and Raigad, respectively, but the appointments were put on hold.

He said discussions would be held on the matter once Chief Minister Devendra Fadnavis returns from Davos.