It can provide a more detailed picture of risk at a farm level without the costs of collecting data manually
In its budget 2017-18, the government has taken up several measures to revive the country’s agriculture economy. The emphasis on agricultural insurance through higher allocation for the Pradhan Mantri Fasal Bima Yojana (PMFBY), and other major allocations for the sector, are expected to boost credit flow to farmers apart from expanding crop insurance and irrigation coverage. The commitment shown towards agricultural insurance is an important step by the government, as it will help to provide financial stability for farmers. Agriculture is risky business and is susceptible to volatility in production and commodity prices. Hence, it’s important to encourage farmers to use innovative agriculture services and technology, which in turn will improve farm productivity and income, and help them deal with post-harvest challenges.