Financial Assistance for 4.6 Lakh Fishers and Fish Farmers in India: Key Government Schemes

In recent years, the Government of India has made significant strides in providing financial assistance to fishers and fish farmers to support the development of the fisheries sector. The introduction of the Kisan Credit Card (KCC) scheme for fishers, along with other schemes like the Fisheries and Aquaculture Infrastructure Development Fund (FIDF) and the Pradhan Mantri Matsya Sampada Yojana (PMMSY), has aimed to strengthen the sector by enhancing credit access and providing social security measures. This article will explore these schemes in detail.

Kisan Credit Card (KCC) for Fishers and Fish Farmers

In 2018-19, the Government of India extended the Kisan Credit Card (KCC) facility to fishers and fish farmers, enabling them to meet their working capital requirements. Under this scheme, fishers can avail KCC loans of up to ₹2 lakh at a subsidised interest rate of 7%.

To further support fishers, the government provides an upfront Interest Subvention (IS) of 1.5%, making the loan more affordable. For farmers who repay their loans on time, a Prompt Repayment Incentive (PRI) of 3% is provided, reducing the effective interest rate to just 4% per annum.

Additionally, as of 1st January 2025, the loan limit for KCC under the fisheries sector will be enhanced from ₹1.60 lakh to ₹2 lakh. Furthermore, the Union Budget 2025-26 has announced an increase in the KCC lending limit to ₹5 lakh for fishers, farmers, processors, and other stakeholders in the fisheries industry.

As of now, over 4.6 lakh KCC cards have been issued to fishers and fish farmers, amounting to a total loan disbursal of ₹2982.58 crore across various states and union territories in India.

Fisheries and Aquaculture Infrastructure Development Fund (FIDF)

The Government of India has also introduced the Fisheries and Aquaculture Infrastructure Development Fund (FIDF), a financial mechanism to develop fisheries infrastructure. This scheme, launched in the 2018-19 financial year, has a total fund size of ₹7522.48 crore.

FIDF aims to provide concessional finance for developing various fisheries infrastructure facilities across the country. The eligible entities, such as state governments, union territories, and other stakeholders, can avail financial support to develop fisheries infrastructure.

Under the FIDF, the government provides an interest subvention of up to 3% per annum, reducing the cost of financing for eligible entities. To date, a total of 141 projects, with an outlay of ₹3947.54 crore, have been approved under this scheme.

Pradhan Mantri Matsya Sampada Yojana (PMMSY): Social Security for Fishers

In addition to financial support, the Government of India has also introduced social security measures for fishers under the Pradhan Mantri Matsya Sampada Yojana (PMMSY). One of the key components of this scheme is the provision of Group Accidental Insurance Coverage for fishers.

The entire insurance premium is borne by the central and state governments, with no contribution from the beneficiaries themselves. The coverage includes:

• ₹5,00,000 for death or permanent total disability.
  
• ₹2,50,000 for permanent partial disability.
  
• ₹25,000 for hospitalization expenses due to an accident.
  

This initiative has helped secure the welfare of fishers across India. From 2021 to 2024, more than 131.30 lakh fishers have been enrolled in the scheme, with an average of 32.82 lakh fishers enrolled annually.

Conclusion

The Government of India’s initiatives for fishers and fish farmers, including the Kisan Credit Card scheme, the Fisheries Infrastructure Fund, and the Pradhan Mantri Matsya Sampada Yojana, have played a vital role in boosting the sector. These efforts not only provide financial support but also ensure social security for fishers, helping them sustain and grow their businesses. With increased lending limits and enhanced financial infrastructure, the future of the fisheries sector looks promising.

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