Why India’s Farmer Policy Needs Changes?
03 November 2025, Chandigarh: Why are the farmers of Bhiwani and Charkhi Dadri districts in Haryana staging an indefinite protest at the Loharu Sub-Divisional Magistrate Office in Haryana since July 16, 2025? Why has this sit-in continued for more than 100 days? What are the farmers demanding, and why has the government not responded so far?
According to Dr. Balbir Singh, a farmer leader and active member of the protest committee, the agitation is centered around the farmers’ claim to ₹350 crore in cotton crop insurance under the Pradhan Mantri Fasal Bima Yojana (PMFBY) for 2023. He alleges that the insurance company, in collusion with the government, committed a significant fraud by reducing the payout.
“In Bhiwani district (Haryana) alone, the insurance claim for Kharif 2023 cotton was assessed at ₹312 crore based on Crop Cutting Experiments (CCEs). However, this was reduced to ₹95 crore citing satellite-based ‘technical yield’ calculations. Out of the ₹217 crore deduction, ₹190 crore was deducted from the villages located in the Loharu Assembly Constituency in Haryana. That is why the protest was staged at the Loharu SDM Office,” says Dr. Singh.
He further states that JP Dalal, former Agriculture and Finance Minister of Haryana, had taken credit in the past for insurance payouts and crop damage compensation. Many protestors believe he is responsible for the present deductions, which is why his constituency has become the focal point of the agitation.
The Samyukta Kisan Morcha (SKM), the largest collective of farmers’ unions in India, has termed the PMFBY a flawed policy that benefits only private insurance companies. They are demanding the establishment of a government-backed insurance company, similar to LIC, to ensure protection for both crops and livestock.
According to SKM’s press release on October 31, 2025, “Since 2017, ₹2.83 lakh crore has been collected under PMFBY as subsidies and premiums, but only ₹1.80 lakh crore has been disbursed to farmers. This has resulted in profits of over ₹1 lakh crore for private insurers, while farmers continue to suffer losses due to floods, landslides, and crop failures in states like Punjab, Haryana, Uttarakhand, and others.”
Other Concerns Raised by SKM
SKM has highlighted several other issues, including inadequate compensation for damaged houses during natural calamities, denial of loan waivers, and harassment of farmers over stubble burning.
In states such as Punjab, Haryana, and Uttarakhand, SKM alleges administrative failures in uploading flood-related loss data, which is delaying compensation. The organization is urging immediate physical verification of losses and appropriate compensation, including for agricultural workers and tenant farmers.
On housing compensation, SKM criticized Punjab’s payout of ₹1.2 lakh and Uttarakhand’s ₹0.95 lakh for fully damaged pucca homes, compared to Himachal Pradesh’s ₹7 lakh compensation. They demand village-level public hearings supervised by officials to accurately document losses.
SKM also condemned the Centre’s refusal to declare recent calamities as a “national disaster,” despite massive crop and life losses, especially due to Cyclone Mantha. It also opposes amendments made in April 2025 to the Disaster Management Act that deny loan waivers to victims, calling it “anti-people.” These amendments were allegedly made to bypass the Kerala High Court’s directive for loan waivers following the 2024 landslides in Wayanad, Kerala, which resulted in 298 deaths.
Protest Action Plan
The SKM plans to submit memorandums to district collectors on November 4, 2025 (or by November 10) and will demand an increase in the permissible moisture content in paddy from 17% to 22% across India during procurement.
Another major concern is harassment over stubble burning. SKM asserts that it is the duty of state governments to provide solutions such as baling machines or incentives before penalizing farmers.
Wider Mobilizations
The Bharatiya Kisan Union Ekta Dakounda in Punjab has also condemned the lack of adequate DAP fertilizer and the pressure on farmers over stubble burning. The union has decided to oppose the Electricity (Amendment) Bill, 2025, which it alleges promotes privatization in power distribution. The union plans to join a march to Chandigarh (Punjab)on November 26, called by the SKM.
The ongoing farmers’ movement in Nagpur, Maharashtra has also been acknowledged as a response to the Modi government’s “pro-corporate” policies.
Also Read: EPA Issues Proposed Registration Decision for Biotalys’ EVOCA™ Biofungicide
📢 If You’re in Agriculture, Make Sure the Right People Hear Your Story.
From product launches to strategic announcements, Global Agriculture offers unmatched visibility across international agri-business markets. Connect with us at pr@global-agriculture.com to explore editorial and advertising opportunities that reach the right audience, worldwide.
