MUMBAI, 2 July 2025: In a move aimed at protecting farmers and improving transparency, Maharashtra Agriculture Minister Advocate Manikrao Kokate announced that the state will blacklist any insurance company found guilty of wrongdoing under its crop insurance program.
Addressing the Legislative Council on Monday, Kokate said the state’s revamped crop insurance scheme would prioritize fairness and ensure that compensation is based on actual harvest results. He emphasized that local elected representatives would be actively involved during crop damage surveys to build trust and accountability.
The overhaul comes after several members, including Amol Mitkari, Ambadas Danve, Sadabhu Khot, and Satej Patil, raised concerns about insurance firms making excessive profits under the old model. Kokate explained that the new scheme will rely on crop-cutting experiments to calculate yields accurately, guaranteeing timely payouts when farmers face losses.
He also revealed that Maharashtra’s annual spending on crop insurance had dropped from around INR 5,000– INR 6,000 crore to just INR 760 crore thanks to the new structure, freeing up about INR 5,000 crore for investment in irrigation, mulching, storage, and other agricultural infrastructure. Over the next five years, the government plans to channel nearly INR 25,000 crore toward such capital expenditure to strengthen farming.
Additionally, Kokate assured legislators that if any issues arise, the government would consult party leaders and MLAs to refine the scheme further. Farmers have long demanded more robust protections against exploitative insurance practices, and this announcement signals a tougher stance on enforcing accountability.
Image credit: etvbharat.com
