Mukhyamantri Bhavantar Bhugtan Yojana

The government of Madhya Pradesh has launched Mukhyamantri Bhavantar Bhugtan Yojana in the year 2018. Mukhyamantri Bhavantar Bhugtan Yojana is a price deficit finance scheme for farmers. A significant objective of this scheme is to protect small and vulnerable farmers in the state. Madhya Pradesh Government provides the compensation for agriculture products whenever produce price fall below the minimum support prices (MSP) under the scheme.

Objective of MBBY

The main objective of Mukhyamantri Bhavantar Bhugtan Yojana is listed here.

To regulate and make efficient process of Minimum Support Price procurement at the procurement centres.
To eliminate long waiting queues of farmers for selling their crop.
To avoid malpractice.
To enable better planning, monitoring and management. of purchase, transportation, storage of crops and payment.

Benefits of Mukhyamantri Bhavantar Bhugtan Yojana

Benefits of Mukhyamantri Bhavantar Bhugtan Yojana are explained in detail here.

Government will provide remuneration to the farmers if the price of the crops goes below MSP.
Farmers will get benefits under this scheme in both Rabi and Kharif crops.

Model Price

The price at which the farmer sold his product in the mandis is called as model price. The model price can be calculated by taking the average price of a commodity in MP and other two states where the crop is grown.

Minimum Support Price (MSP)

Minimum Support Price is the price at which state Government purchases the crops from the farmers, it is the price for the crops.

Compensation for Kharif crops

As stated above under this MBBY scheme, the farmers will be compensated with an amount that is the difference between the MSP and model price. To avail, the benefits of the scheme farmers were required to register for MBBY scheme and sell their crops at registered agricultural markets. Government will procure the produce from farmers.

Compensation for Rabi crops

Under MBBY, the Government does not procure the Rabi crops from farmers. Instead of that, when prices fall below the minimum support price (MSP) for these crops, Government pays the remuneration as the difference between the minimum support price and a modal rate. It can be computed by taking the average of selling price in mandis in three states over a fixed period.

Crops under MBBY

Sl.No	Kharif Crops	Rabi Crops
1	Moong dal	Wheat
2	Urad dal	Chana
3	Toor dal	Masur
4	Soybean	Mustard
5	Peanut / Groundnut	Garlic
6	Maize	Onion
7	Ramimal	-
8	Til seed / Sesame Seed	-