Report
PM PRANAM Promotes Balanced Fertilizer Use Organic Farming and Better Soil Health
The Central Government is promoting PM-PRANAM, a scheme meant to reduce the overuse of chemical fertilizers and improve soil health. The scheme encourages States and Union Territories to use fertilizers like urea, DAP, NPK and MOP in a balanced way, while also promoting organic farming, natural farming, alternative fertilizers and resource-saving technologies.
PM-PRANAM was approved on 28th June 2023 for the period 2023-24 to 2025-26. Under the scheme, if a State or Union Territory reduces chemical fertilizer consumption compared to the average of the previous three financial years, it can receive an incentive equal to 50% of the fertilizer subsidy saved. Out of this, 95% goes to the State or Union Territory and 5% stays with the Central Government. From the State share, 65% is for capital projects and 30% is for other activities such as awareness and education campaigns.
In 2025-26, five States and Union Territories reduced chemical fertilizer use under the scheme. These were Dadra and Nagar Haveli, Delhi, Goa, Manipur and Mizoram. Together, they reduced consumption by 0.18 lakh metric tonnes compared to the previous three-year average. However, the government said the incentive amount has not yet been disbursed.
The government is also supporting organic farming through PKVY and MOVCDNER. Under PKVY, farmers receive ₹31,500 per hectare over three years, including ₹15,000 directly to farmers for organic inputs. Since the scheme began, 18.93 lakh hectares have been covered, 33.63 lakh farmers benefited and ₹2,811.36 crore has been released as Central share.
Under MOVCDNER, which focuses on the North East, assistance of ₹46,500 per hectare over three years is provided. Since its launch, 2.36 lakh hectares have been brought under organic farming, 2.74 lakh farmers benefited and ₹1,548.62 crore has been released as Central share.
The government is also implementing the National Mission on Natural Farming, launched on 25 November 2024, with a total outlay of ₹2,481 crore. Farmers adopting natural farming can get ₹4,000 per acre per year for two years, limited to one acre per farmer. In 2025-26, the mission formed 18,893 clusters, covered 10.32 lakh hectares, involved 20.93 lakh farmers, trained 33,257 Krishi Sakhis and Community Resource Persons, and set up 7,601 Bio-Input Resource Centres.
The mission also created awareness among 33.89 lakh farmers, collected 18.13 lakh soil samples, used ₹599.68 crore out of a ₹725 crore budget, registered more than 22.47 lakh farmers under the Natural Farming Certification System and certified more than 14.43 lakh farmers.
To improve fertilizer efficiency, ICAR has developed drip fertigation and nutrient management programmes for 50 crops in 14 agro-ecological zones. The government is also promoting farm yard manure, vermicompost, phosphocompost, bio-enriched compost, municipal waste compost and fermented organic manure through training, demonstrations and awareness programmes.