PIB Summaries 19 March 2025

Content:

1. FARM DISTRESS INDEX
2. PROMOTION OF PM-DAKSH SCHEME

FARM DISTRESS INDEX

Overview

• Farmers’ Distress Index (FDI): A multidimensional tool designed to forewarn and mitigate agrarian distress

• Pilot Study Conducted:
  • Regions: Telangana and Andhra Pradesh
  • Period: 2020-21 & 2021-22
  • Objective: Assess distress factors affecting farmers and integrate findings with PM Fasal Bima Yojana.

Relevance : GS 2(Social Issues ,Governance ), GS 3(Agriculture)

• Key Focus Areas:
  • Climate variability: Droughts, floods, pest infestations.
  • Price volatility: Market fluctuations impacting income stability.
  • Low risk-bearing capacity: Financial and structural constraints.

Objectives of FDI

• Early Warning System: Provides alerts three months in advance to assist policymakers.
• Structured Assessment:
  • Identifies distress at sub-district levels.
  • Seven key parameters used for analysis.

• Policy Framework:
  • Scalable model for nationwide implementation.
  • Helps in prioritizing government interventions.
  • Ensures timely response to regions at higher distress levels.

Seven Key Indicators of FDI

1. Exposure to Risk:
   1. Loss due to pests, diseases, floods, droughts.

• Adaptive Capacity:
  • Education level of household head.
  • Total land owned & leased-in land.

• Sensitivity:
  • Percentage of irrigated land.
  • Level of indebtedness.
  • Social vulnerability (SC/ST population, family size).

• Mitigation & Adaptation Strategies:
  • Non-farm income dependency.
  • Access to government schemes.
  • Household savings.

• Triggers:
  • Reliance on informal credit.
  • Loan repayment pressure.
  • Immediate cash constraints.

• Psychological Factors:
  • Social isolation.
  • Inability to meet family obligations.
  • Substance addiction (e.g., alcohol).

• Impact Assessment:
  • Rising indebtedness.
  • Increased reliance on MGNREGA & public works.
  • Reduction in food consumption.

Benefits of FDI Implementation

• Predictive Tool: Enables authorities to proactively address farmer distress rather than reactive measures.

• Region-Specific Solutions:
  • Helps in designing customized distress management plans.
  • Encourages localized solutions instead of generic nationwide policies.

• Government Policy Support:
  • Assists in effective allocation of resources to high-distress areas.
  • Strengthens integration of existing schemes like PM Fasal Bima Yojana.

Challenges & Recommendations

• Lack of National-Level Implementation:
  • Urgent need to scale the pilot study to a national framework.

• Data Collection & Validation:
  • Require better real-time data monitoring systems.

• Integration with Other Schemes:
  • Link FDI indicators with welfare programs such as PM-KISAN, crop insurance, and rural credit policies.

• Farmer Awareness & Participation:
  • Conduct awareness campaigns to educate farmers on distress mitigation strategies.

Conclusion

• Farmers’ Distress Index (FDI) is a transformative tool that can help predict and alleviate agrarian distress.
• Early warning mechanisms provide an opportunity for policymakers to intervene before crises escalate.
• A nationwide rollout, backed by real-time data integration, can improve resilience in the agriculture sector.
• Institutional support and community engagement are key to ensuring the long-term success of FDI.

PROMOTION OF PM-DAKSH SCHEME

Overview

• PM-DAKSH Scheme: A Central Sector Scheme initiated in 2020-21.
• Objective: Provides skill development training to marginalized communities including Scheduled Castes (SCs), Other Backward Classes (OBCs), Economically Weaker Sections (EWS), De-Notified, Nomadic and Semi-Nomadic Tribes (DNTs), Safai Karamcharis, and Waste Pickers.
• Implementation: Conducted through empanelled training institutes.
• Employment Outcome: 56.40% of trained individuals secured employment or started enterprises (till 2022-23).

• Training Categories:
  • Up-skilling/Re-skilling: Enhancing existing skills for better job opportunities.
  • Short-Term Training: Industry-aligned courses for fresh job seekers.
  • Entrepreneurship Development Programs (EDP): Encouraging self-employment through business skills training.
  • Long-Term Training: Advanced skilling for specialized professions.

Relevance : GS 1(Society) , GS 2(Social Justice)

Implementing Agencies

• Department of Social Justice and Empowerment oversees the implementation.
• Three Corporations under the department:
  • National Scheduled Castes Finance and Development Corporation (NSFDC)
  • National Backward Classes Finance and Development Corporation (NBCFDC)
  • National Safai Karamcharis Finance and Development Corporation (NSKFDC)
• Responsible for grievance redressal and taking remedial measures.

Promotion & Awareness

• Publicity through:
  • Print & Social Media campaigns on a Pan-India basis.
  • Awareness camps organized by training institutes targeting specific communities.
  • Community outreach programs to educate potential beneficiaries.

Training Institute Empanelment Process

• Project Appraisal Committee (PAC) evaluates training institutes based on predefined parameters.
• Empanelment of Institutes:
  • Institutes must be affiliated with the Skill India Digital Hub (SIDH) of the Ministry of Skill Development and Entrepreneurship (MSDE).
  • Ensures compliance with skilling standards and infrastructure requirements.
  • Currently, no training institutes are empanelled under the scheme.
  • Regular monitoring and evaluation of training quality and placement outcomes.

Skilling, Assessment & Certification

• Trainees undergo assessment and certification by respective Sector Skill Councils (SSC) or Assessment Bodies.
• Certification ensures industry recognition and enhances employability.
• Placement opportunities provided post-certification in wage-employment or self-employment.

Industry Linkages & Placement

• Training institutes are responsible for industrial tie-ups to facilitate proper placement.
• Final installment of funds is released to institutes only after submitting placement details of trained candidates.
• Direct Benefit Transfer (DBT) ensures stipend disbursal to trainees meeting attendance criteria.
• Entrepreneurship support: Trained individuals are encouraged to start small businesses with financial assistance from the Corporations.

Key Challenges & Recommendations

• Lack of empanelled training institutes: Need for greater participation of quality institutes.
• Placement constraints: Strengthening industry collaborations to improve job opportunities.
• Awareness gaps: Expanding community outreach and leveraging digital platforms for better scheme visibility.
• Monitoring & Evaluation: Regular impact assessment to ensure quality outcomes.

Conclusion

• PM-DAKSH aims to bridge skill gaps among marginalized communities through structured training programs.
• Effective promotion and expansion of empanelled training institutes can enhance the scheme’s impact.
• Ensuring quality skilling and industry tie-ups is critical for increasing employment outcomes.
• Greater industry collaboration, financial support for entrepreneurs, and streamlined execution can further improve scheme efficiency.