State Governments Increase Farmer Incentives Amid Fiscal Strain Concerns

New Delhi (The Uttam Hindu): Several state governments have recently unveiled incentives for farmers, often supplementing the Centre’s PM-KISAN scheme with additional benefits. These initiatives include direct financial disbursements, per-hectare cultivation benefits, and bonuses on the minimum support price (MSP) of crops.

While many of these announcements are linked to election manifestos, the additional financial burden they impose on state resources is significant. For instance, in Madhya Pradesh, the Cabinet has approved an additional incentive of ₹4,000 per hectare for paddy growers, which is expected to cost the state approximately ₹480 crore.

These measures, while aimed at benefiting the farming community, highlight the increasing strain on state budgets, especially as the political landscape pushes for more direct aid to farmers. As such, the growing financial commitments could have broader implications for state economies in the coming months.