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Prime Minister Dhan-Dhaanya Krishi Yojana

AN

Anjali Arora

Jul, 2025

5 min read

Why in News?

The Union Cabinet has approved the Prime Minister Dhan-Dhaanya Krishi Yojana (PMDDKY), a major step to boost Indian agriculture. The scheme will bring together 36 existing schemes from 11 different departments.

Why Cover This Topic for UPSC?

  • Relevant for Prelims under Government Schemes
  • Useful for policy analysis in Mains.
  • Covers agriculture – a key topic in GS Paper III.
  • Useful for Essay and Ethics examples. 

What is PM Dhan-Dhaanya Krishi Yojana (PMDDKY)?

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The PM Dhan-Dhaanya Krishi Yojana (PMDDKY) is a centrally sponsored scheme aimed at transforming Indian agriculture by improving productivity, sustainability, and farmers’ income. Inspired by NITI Aayog’s Aspirational Districts Programme, it focuses on 100 underperforming districts to bridge critical gaps in the agricultural value chain.

  • Convergence of Schemes: This yojana will be implemented by merging 36 existing central government schemes under 11 departments, ensuring integrated development.
  • Budget & Duration: Total outlay of ₹1.44 lakh crore (₹24,000 crore annually) for 6 years, starting from 2025–26.

Focus Areas:

  • Improving irrigation infrastructure and access
  • Strengthening post-harvest storage and logistics
  • Ensuring easy access to institutional credit
  • Promoting climate-resilient and sustainable farming practices
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How are Districts Selected Under PMDDKY?

To ensure targeted and effective implementation, the PM Dhan-Dhaanya Krishi Yojana selects 100 districts based on specific agricultural and regional indicators. The criteria cover: 

  • Low Productivity: Districts with poor agricultural output per hectare.
  • Low Cropping Intensity: Areas where fewer crops are grown annually or there is limited crop diversification.
  • Low Credit Disbursement: Regions where farmers have limited access to formal credit and financial services.
  • Representation Across States: Selection is based on each state/UT's share of Net Cropped Area and operational land holdings.
  • Minimum One District per State: Ensures balanced regional development by including at least one district from every state/UT.

Net Cropped Area (NCA): The total area sown with crops in a year. It does not count land sown more than once, even if used for multiple cropping cycles Example: If 2 hectares of land are cultivated once a year, the NCA is 2 hectares.

Operational Land Holdings: Refers to the land used by a farmer for agricultural production, whether owned, leased, or otherwise possessed, and actively managed by the farmer. It reflects the actual area under a farmer’s control, not necessarily ownership.

UPSC Prelims PYQs

QUESTION 1

Hard

Assertion (A): The percentage of net sown area in the total area of Andhra Pradesh is less as compared to that of West Bengal. (2006) Reason (R): The soil of most of Andhra Pradesh is laterite. Which among the following is correct?

Implementation and Monitoring Strategy of PMDDKY

With a clear focus on convergence and accountability, the scheme has a multi-level structure for planning, execution, and real-time tracking of progress.

District Agriculture and Allied Activities Plans

Each district will prepare a comprehensive plan through the District Dhan Dhaanya Samiti, involving local stakeholders and progressive farmers. These plans will align with national goals like crop diversificationwater conservation, and agricultural self-sufficiency.

Monitoring and Evaluation

A set of 117 Key Performance Indicators (KPIs) will track progress using a dedicated digital dashboard, with monthly reviews to ensure timely intervention.

Appointment of Central Nodal Officers

Each selected district will have a Central Nodal Officer to oversee and facilitate smooth implementation.

Role of NITI Aayog

NITI Aayog will guide the districts in planning and will review implementation progress at regular intervals.

Multi-level Committees

Committees at the district, state, and national levels will be responsible for oversight, coordination, and monitoring to ensure transparency, effectiveness, and accountability in implementation.

Also see: Kisan Diwas: Significance, Chaudhary Charan Singh’s Legacy & UPSC Relevance

Expected Outcomes of PMDDKY

“Jai Jawan, Jai Kisan” — this slogan by Lal Bahadur Shastri reflects the timeless importance of India’s farmers in nation-building. Staying true to this vision, the PM Dhan-Dhaanya Krishi Yojana sets out to build on the agricultural sector of the country. Here are the key expected outcomes of this scheme: 

  • Direct Benefit to Farmers: Around 1.7 crore farmers are expected to benefit directly from focused interventions and resource convergence.
  • Strengthened Allied Sectors: Inclusion of livestock, dairy, and fisheries will diversify income sources and boost local employment opportunities.
  • Enhanced Infrastructure & Support: Investments in post-harvest storage, irrigation, and credit access will reduce farm losses and improve efficiency.
  • Push for Sustainable Farming: Promotion of natural and organic practices will foster climate-smart agriculture and long-term soil health.
  • Improved Incomes and Market Linkages: Better crop productivity and market access will help increase farmers’ income and reduce post-harvest wastage.
  • Greater Financial Inclusion: More access to formal credit will cut farmers’ reliance on informal moneylenders, improving financial security.

Also read: UNGA Declares 2026 International Year of the Woman Farmer

A Vision for Indian Agriculture

NITI Aayog’s Strategy for New India @ 75 highlights that “we will have to focus on the necessary modernisation of our agriculture” to achieve balanced regional growth and rural equity. Building on this vision, the PM Dhan-Dhaanya Krishi Yojana and ongoing reforms can rebuild India’s farming into a sustainable sector by 2047.

The scheme also complements several other major initiatives already in motion, such as:

  • Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) – enhancing irrigation coverage
  • e-NAM (National Agriculture Market) – enabling farmers to access pan-India markets
  • Soil Health Card Scheme – promoting balanced fertiliser use
  • Rashtriya Krishi Vikas Yojana (RKVY) – supporting holistic agricultural growth
  • Sub-Mission on Agricultural Mechanization (SMAM) – encouraging farm mechanisation
  • Paramparagat Krishi Vikas Yojana (PKVY) – supporting organic farming
  • National Mission on Sustainable Agriculture (NMSA) – fostering climate-resilient farming

Also read: Namo Drone Didi Scheme: Empowering Women SHGs Through Agricultural Drone Technology

By aligning PMDDKY with these initiatives and focusing on modernization, digital inclusion, and climate resilience, India can aim to:

  • Elevate annual agricultural productivity by 4–5%, keeping pace with global standards.
  • Achieve inclusive rural prosperity, reducing dependency on informal credit and enhancing farmer incomes.
  • Build a resilient agri-ecosystem that thrives on innovation, sustainability, and data-led governance.

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UPSC Prelims PYQs

QUESTION 1

Medium

In the context of India’s preparation for Climate-Smart Agriculture, consider the following statements: (2021)

  1. The ‘Climate-Smart Village’ approach in India is a part of a project led by the Climate Change, Agriculture and Food Security (CCAFS), an international research programme.
  2. The project of CCAFS is carried out under Consultative Group on International Agricultural Research (CGIAR), headquartered in France.
  3. The International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) in India is one of the CGIAR’s research centres.

Which of the statements given above are correct?

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