CCEA Approves PM-PRANAM Scheme to Promote Sustainable Fertilizer Use and Organic Farming

The PM-PRANAM scheme, applicable to all States and UTs, provides a financial incentive for reducing the consumption of chemical fertilizers.

On June 28, 2023, the Cabinet Committee on Economic Affairs (CCEA) approved the “PM Programme for Restoration, Awareness Generation, Nourishment, and Amelioration of Mother-Earth” (PM-PRANAM). This initiative aims to support States and Union Territories (UTs) in their efforts to enhance environmental health by encouraging the sustainable use of fertilizers and promoting organic and natural farming practices.

The PM-PRANAM scheme, applicable to all States and UTs, provides a financial incentive for reducing the consumption of chemical fertilizers. Under the scheme, 50% of the fertilizer subsidy saved by a State or UT through reduced usage of chemical fertilizers—such as Urea, DAP, NPK, and MOP—compared to the average consumption over the previous three years, is granted back to the respective State or UT. This grant can be utilized for various benefits within the state, including supporting local farmers.

Union Minister of State for Chemicals and Fertilizers, Smt Anupriya Patel, provided this update in the Lok Sabha in response to a parliamentary question. The PM-PRANAM initiative is designed to encourage States and UTs to adopt more sustainable and balanced agricultural practices, ultimately benefiting environmental health and supporting the agricultural sector.