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PM-AASHA Scheme: PSS, PDPS and PPSS Explained for MSP

10 March 20251 min read
AGRICULTURE & RURALPM-AASHAScheme: PSS, PDPSand PPSSExplained for MSP10 March 2025safalsetu.com

Why in the news

PM-AASHA, the government’s price-assurance umbrella for farmers, came under review as an explainer, covering its three schemes, benefits and problems.

Key facts

  • Full name: Pradhan Mantri Annadata Aay SanraksHan Abhiyan, launched September 2018.
  • Central sector scheme of the Ministry of Agriculture & Farmers Welfare.
  • Aims to give remunerative prices, avoid distress sales and support the goal of doubling farmers’ income by 2022.
  • Covers mainly pulses, oilseeds and copra.

Three components

ComponentHow it works
Price Support Scheme (PSS)Agencies physically buy pulses, oilseeds and copra at MSP; NAFED and FCI are nodal agencies
Price Deficiency Payment Scheme (PDPS)For oilseeds; the gap between MSP and selling price is paid to registered farmers’ bank accounts, with no physical procurement
Private Procurement & Stockist Scheme (PPSS)Approved private agencies buy oilseeds at MSP and receive a service charge and financial help

Benefits

  • Income security and fewer distress sales.
  • Encourages oilseed and pulse growing, cutting import dependence.
  • Direct bank payments improve transparency and sideline middlemen; private players help develop markets.

Concerns

  • Low farmer awareness and uneven procurement efficiency across regions.
  • Storage and warehousing gaps, budget and payment timing, and PDPS registration difficulties.

Way forward

  • Mobile apps and online portals for registration and tracking.
  • More procurement centres in remote areas, plus awareness workshops.

Exam angle

  • Launch year: 2018; ministry: Agriculture & Farmers Welfare.
  • Scheme needing no physical procurement: PDPS.
  • Crops: pulses, oilseeds, copra.

Test yourself

1. Under PM-AASHA, which component pays farmers the gap between MSP and market price without physical procurement?

PDPS pays the difference directly and removes the need for procurement.

2. Which two agencies are the nodal agencies for procurement under the PM-AASHA Price Support Scheme?

NAFED and FCI handle procurement and storage under PSS.

3. In which month and year was PM-AASHA launched?

PM-AASHA was launched in September 2018.