Pradhan Mantri Matsya Kisan Samridhi Sah-Yojana (PMMKSSY)

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1. INTRODUCTION 

The Union Cabinet approved the "Pradhan Mantri Matsya Kisan Samridhi Sah-Yojana (PM- MKSSY)", a Central Sector Sub-scheme under the Pradhan Mantri Matsya Sampada Yojana (PMMSY) on 8th February 2024. 

PM-MKSSY aims at formalizing the fisheries sector and supporting fisheries' micro and small enterprises with an investment of over Rs. 6,000 crores over a period of next 4 years from FY 2023-24 to FY 2026-27 in all States/Union Territories. Hence, in parallel to the ongoing schemes of Department of Fisheries, Government of India, the PM-MKSSY shall address many of the existing challenges and issues for the development of the Indian fisheries sector. 

 

2. AIMS AND OBJECTIVES OF PM-MKSSY 

PM-MKSSY aims to fulfill the following objectives: 

1. Gradual Formalization of the unorganized fisheries sector by creating work based identities for fishers, fish farmers, vendors, processors and other stakeholders engaged in the fisheries' sector under a National Fisheries Digital Platform (NFDP) for improved service delivery.
2.  Facilitating access to institutional financing for fisheries' sectors' micro and small enterprises.
3.  Providing 'one-time incentive' for one crop cycle to aqua farmers for purchasing aquaculture insurance.
4. Incentivizing fisheries and aquaculture microenterprises through performance grants for improving fisheries sector value-chain efficiencies including creation and maintenance of jobs.
5. Incentivizing micro and small enterprises through performance grants for adoption and expansion of fish and fishery product safety and quality assurance systems including creation and maintenance of jobs. 

 

3. TARGETED BENEFICIARIES: 

1. 1. Fishers, Fish (Aquaculture) Farmers, Fish workers, Fish Vendors or such other person directly engaged in fisheries value chain.. 
   2. Fisheries Micro and Small enterprises in the form of Proprietary Firms, Partnership Firms and Companies registered in India, Societies, Limited Liability Partnerships (LLPS), Cooperatives, Federations, Village Level Organizations like Self Help Groups (SHGs), Fish Farmers Producer Organizations (FFPOS) and Startups engaged in fisheries and aquaculture value chains.
   3. FFPOs also include Farmers Producer Organizations (FPOs). 
   4. Any other beneficiaries that may be included by the Department of Fisheries, Government of India as targeted beneficiaries.

 

4. KEY COMPONENTS 

PMMKSSY has the following key components: 

4.1      Component 1-A: Formalization of fisheries sector and facilitating access of fisheries micro enterprises to Government of India's programs for working capital financing. 

4.1.1 Fisheries, being an unorganised sector needs to be gradually formalized by creating

registry or work-based identities of the fisheries' value chain actors such as fishers, fish farmers, fish workers, vendors, processors including micro and small enterprises workers etc. For this purpose, a National Fisheries Digital Platform (NFDP) will be created, and all the stakeholders will be mobilized to register on it. In addition to registration, NFDP will serve multiple other functions such as facilitating loan and insurance applications, disbursement of financial incentives etc. To ensure that maximum enrolments are received hence outreach, capacity building and extension activities will be undertaken at grass root levels.

4.1.2   In addition, activities such as trainings for improving knowledge about fisheries sector, financial literacy, support in preparation of documentations for institutional credit, reimbursement of areas under this component. Besides 5500 existing fisheries cooperative societies will be provided financial assistance of Rs.2 lakh per cooperative to make business plan, for need based requirements and mentoring etc. 

4.2      Component 1-B: Facilitating adoption of aquaculture insurance 

In order to mitigate risks of crop loss, DOF (Gol) will facilitate creation of appropriate aquaculture insurance products through insurance companies and target to cover at least 1 lakh hectare of aquaculture farms during the project period. To encourage uptake of the aquaculture insurance products, 'onetime incentive' for one crop cycle will be given to the willing farmers against the purchase of the insurance for a farm size of 4 hectares of water spread area and less. 

One-time incentive' through NFDP will be provided in following manner::

1. 1. At the rate of 40% of the cost of premium subject to a limit of 25,000 per hectare of water spread area of the aquaculture farm. Maximum incentive payable to single farmer will bellakh and maximum farm size eligible for incentive is 4 hectares of water spread area.
   2. For more intensive form of aquaculture such as cage culture, Re-circulatory Aquaculture System (RAS), bio-floc, raceways, etc. the incentive payable is 40% of premium. The maximum incentive payable is 1 lakh and the maximum unit size eligible for incentive will be of 1800 m3. 
   3. The aforesaid benefit of 'onetime incentive' will be provided for aquaculture insurance purchased for one crop only i.e. one crop cycle. 
   4. SC, ST and Women beneficiaries will be provided an additional incentive @10% of the incentive payable for General Categories. 

 

 

 

4.2.1   The aforesaid benefits are expected to create a robust market for aquaculture insurance products and further enable the insurance companies to come up with more insurance products in the future for other fisheries' activities. 

4.3       Component 2: Supporting fisheries microenterprises to improve fisheries sector value chain efficiencies 

4.3.1    This component seeks to improve value chain efficiencies in the fisheries sector through a system of performance grants with associated analytics and awareness campaigns. Microenterprises will be incentivized for reengaging in production, creating and maintaining jobs with priority to women and enhancing value chain efficiencies through performance grants, within selected value chains and using a set of measurable parameters. 

4.3.2    The scale of performance grant and the criteria for providing performance grants are indicated below: 

1. Performance Grant for a Micro enterprise shall not exceed 25% of the total investment or 35 lakhs, whichever is lower, for General Category and 35% of total investment or 45 lakhs, whichever is lower, for SC, ST and Women owned microenterprises. 
2. Performance Grant for Village Level Organizations and Federations of SHGS, FFPOS and Cooperatives shall not exceed 35% of total investment or 200 lakhs, whichever is ower.
3. Expenditure for improving value chain efficiencies shall consist of capital investments made on new plant and machinery, equipment including technical civil/electrical works and associated infrastructure, transport and distribution infrastructure, energy efficient devices including Renewal Energy devices, technology interventions, such other interventions along with salary bills for additional jobs created in the year of application made under the scheme.

 

Component 3: Adoption and expansion of fish and fishery product safety and quality assurance systems 

 

4.4.1                Component 3 entails adoption of safety and quality assurance systems in marketing of fish and fisheries products by incentivizing fisheries micro and small enterprises through performance grants against a set of measurable parameters. 

4.4.2                This intervention is expected to expand domestic market for fish through increased supply of safe fish and fishery products which will attract new consumers while also create and maintain jobs especially for women. The scale of performance grant and the criteria for providing performance grants are indicated below: 

1. Performance Grant for a Micro enterprise shall not exceed 25% of the total Investment or 35 lakhs, whichever is lower, for General Category and 35% of total investment or 45 lakhs, whichever is lower, for SC, ST and Women owned micro enterprises. 
2. Maximum size of Performance Grant for a Small enterprise shall not exceed 25% of total investment or 75 lakhs, whichever is lower, for General Category and 35% of total investment or € 100 lakhs, whichever is lower, for SC, ST and Women owned small enterprises. 
3. The maximum size of Performance Grant for Village Level Organizations and Federations of SHGS, FFPOS and Cooperatives shall not exceed 35% of total investment or & 200 lakhs, whichever is lower. 
4. Expenditure for adoption of safety and quality assurance systems shall consist of capital investments made on new plant and machinery, equipments including technical civil/electrical works and associated infrastructure, transport and distribution infrastructure, collection and treatment facility for wastes, disease management, best management practices, standards, certification and traceability, technology interventions, and such other investments leading to production and supply of safe fish and salary bills for additional jobs created in the year of application made under the scheme.. 
   5.      Performance Grant disbursement criteria for Components 2 and 3 

1. Number of jobs created and maintained: For each job created and maintained for a woman an amount of * 15,000 per year will be paid, similarly, for each job created and maintained for a man an amount of 10,000 per year will be paid, subject to the limit of 50% of total eligible grant. 
2. Investments made: For increasing value chain efficiency under Component 2 and for adoption and expansion of fish and fishery product safety and quality assurance systems under Component 3, performance grants will be given for the investments made and will be disbursed after completion of the investment subject to the limit of 50% of the eligible grant. 
   6.     Component 4: Project management, monitoring and reporting: 

Under this component, Project Management Units (PMUs) will be set up to manage, implement, monitor and evaluate project activities under PM-MKSSY. 

 

5. MAJOR OUTPUTS AND OUTCOMES 

• Gradual formalization of fisheries sector; creation of a National Fisheries Digital Platform to provide work-based identities. 
• Gradual shift from conventional subsidies to performance-based incentives in fisheries. 
• Enhanced access and availability of institutional credit. 
• Improved value chain efficiency and adoption of safety and quality assurance systems for production of safe fish by supporting micro and small enterprises. 
• Promotion and adoption of Environmentally Sustainable Initiatives. 
• Increased Ease of Doing Business and Transparency. 
• Risk mitigation for aquaculture crop losses due to disease through aquaculture insurance coverage to strengthen production, productivity. 
• Enhanced export competitiveness through increased value addition, value creation and value realization. 
• Creation & maintenance of jobs, Growth of businesses and creation of business opportunities. 
• Women Empowerment through creation of jobs and safe working place. 

 

 

                                                                                 

 

 THE PRADHAN MANTRI MATSYA KISAN SAMRIDHI SAH-YOJANA: A NEW CENTRAL SECTOR SUB-SCHEME OF GOVERNMENT OF INDIA. 

The Union Cabinet approved the "Pradhan Mantri Matsya Kisan Samridhi Sah-Yojana (PM- MKSSY)”, a Central Sector Sub-scheme under the Pradhan Mantri Matsya Sampada Yojana (PMMSY) for formalization of the fisheries sector and supporting fisheries micro and small enterprises with an investment of over Rs.6,000 crores over a period of next 4 years from FY 2023-24 to FY 2026-27 in all States/Union Territories. 

1. Aims and objectives of PM-MKSSY 

1. Gradual Formalization of the unorganized fisheries sector through self-registration of fishers, fish farmers and supportive workers under a National Fisheries Sector Digital Platform including creation of work based digital identifies of fish workers for improved service delivery. 
2.  Facilitating fisheries sector micro and small enterprises access to institutional financing.
3. Providing one-time incentive to beneficiaries for purchasing aquaculture insurance.
4.  Incentivizing fisheries and aquaculture microenterprises through performance grants for improving fisheries sector value-chain efficiencies including creation and maintenance of jobs. 
5. Incentivising micro and small enterprises through performance grants for adoption and expansion of fish and fishery product safety and quality assurance systems including creation and maintenance of jobs. 

 

2. Background: 

1. 1. Over the period from 2013-14 to 2023-24, significant improvements have been made in fisheries sector in terms of fish production, which increased by 79.66 lakh tonnes; equivalent to increase in 43 years (1971 to 2014), robust growth of Coastal Aquaculture from 2013-14 to 2022-23, shrimp production increased from 3.22 lakh tonnes to -11.84 lakh tonnes (270%), shrimp exports more than doubled from Rs.19,368 crore to Rs.43,135 crore (123%), Employment and Livelihood opportunities to about 63 lakh fishers and fish farmers. The coverage per fisherman under the Group Accident Insurance Scheme (GAIS) has been increased from Rs. 1.00 Lakh to Rs. 5.00 Lakh, benefiting a cumulative total of 267.76 lakh fishers. There has been a notable rise in Livelihood and Nutritional Support for traditional fisher families, increasing from 3,40,397 to 5,97,709. Priority Sector Lending has seen a dedicated allocation of Rs. 34,332 crore, compared to no separate allocation in 2013-14. The extension of Kisan Credit Card (KCC) to fisheries in 2019 has resulted in the issuance of 4.2 lakh cards. 
2. Despite significant achievements, there are a number of sectoral challenges felt in the sector. The sector is informal in nature, lack of crop risk mitigation, lack of work based identities, poor access to institutional credit, sub-optimal safety & quality of fish sold by micro & small enterprises. 
3. The new Sub-scheme under the existing PMMSY aims to address these issues. 

3. Intended Beneficiaries: 

• Fishers, Fish (Aquaculture) Farmers, Fish workers, Fish Vendors or such other person directly engaged in fisheries value chain. 
• Micro and Small enterprises in the form of Proprietary Firms, Partnership Firms and Companies registered in India, Societies, Limited Liability Partnerships (LLPs), Cooperatives, Federations, Village Level Organizations like Self Help Groups (SHGs), Fish Farmers Producer Organizations (FFPOS) and Startups engaged in fisheries and aquaculture value chains. 
• FFPOS also include Farmers Producer Organizations (FPOs). 
• Any other beneficiaries that may be included by the Department of Fisheries, Gol as targeted beneficiaries. 

4. Implementation strategy 

The Sub-scheme has the following major components: 

1. Component 1-A: Formalization of fisheries sector and facilitating access of fisheries microenterprises to Government of India programs for working capital financing: 

Fisheries, being an unorganised sector needs to be gradually formalized by creation of registry of the fish producers and other supporting actors such as fish workers, vendors and processors including micro and small enterprises working in the sector at the national level. For this purpose, a National Fisheries Digital Platform (NFDP) will be created and all the stakeholders will be mobilized to register on it. They will be encouraged to do so through providing financial incentives. The NFDP will serve multiple functions including disbursement of financial incentives. It is also proposed to undertake activities such as training and extension support, improving financial literacy, facilitating project preparation and documentation through financial support, reimbursing the processing fee and such other charges, if any and strengthening of existing fisheries cooperative societies. 

b) Component 1-B: Facilitating adoption of aquaculture insurance: 

It is proposed to facilitate creation of appropriate insurance product and to cover at least 1 lakh hectare of aquaculture farms during project period to provide the scale of operation. Further, it is proposed to provide onetime incentive to the willing farmers against purchase of insurance with farm size of 4 hectares of water spread area and less. The 'onetime incentive' will be at the rate of 40% of the cost of premium subject to a limit of 25000 per hectare of water spread area of the aquaculture farm. The maximum incentive payable to single farmer will be 100,000 and maximum farm size eligible for incentive is 4 hectares of water spread area. For more intensive form of aquaculture other than farms such as cage culture, Re- circulatory Aquaculture System (RAS), bio-floc, raceways, etc. the incentive payable is 40% of premium. The maximum incentive payable is 1 lakh and the maximum unit size eligible will be of 1800 m3. The aforesaid benefit of 'onetime incentive' will be provided for aquaculture insurance purchased for one crop only ie. one crop cycle. SC, ST and Women beneficiaries would be provided an additional incentive @ 10% of the incentive payable for General Categories. This is expected to create a robust market for aquaculture insurance products and enable the insurance companies to come up with attractive insurance products in future.

3. Component                       2: Supporting microenterprises to improve fisheries sector value chain efficiencies: 

This component seeks to improve value chain efficiencies in fishery sector through a system of performance grants with associated analytics and awareness campaigns. It is proposed to incentivise microenterprises to reengage in production, creation and maintenance of jobs with priority for women and to enhance value chain efficiencies through provisions of performance grants within selected value chains under a set of measurable parameters. 

The scale of performance grant and the criteria for providing performance grants are indicated below: 

1. The performance Grant for a Microenterprise shall not exceed 25% of the total investment or *35 lakhs, whichever is lower, for General Category and 35% of total investment or *45 lakhs, whichever is lower, for SC, ST and Women owned microenterprises.
2.  Performance Grant for Village Level Organizations and Federations of SHGS, FFPOs and Cooperatives shall not exceed 35% of total investment or *200 lakhs, whichever is lower.
3. The total investment for the purpose above shall consist of expenditure incurred on capital investments made on new plant and machinery, equipment including technical civil/electrical works and associated infrastructure, transport and distribution infrastructure, energy efficient devices including Renewal Energy devices, technology interventions, such other interventions leading to improvement in value chain efficiency; and salary bills for additional jobs created in the year of application made under the scheme. 

d) Component 3: Adoption and expansion of fish and fishery product safety and quality assurance systems: 

It is proposed to incentivize fisheries micro and small enterprises to adopt safety and quality assurance systems in marketing of fish and fishery products through provision of performance grants against a set of measurable parameters. This is expected to expand the market for fish and to create and maintain jobs especially for women. This intervention is expected to expand domestic market for fish through increased supply of safe fish and fishery products which will attract new consumers. The scale of performance grants the criteria for providing performance grants are indicated below:  

1. 1. Performance Grant for a Microenterprise shall not exceed 25% of the total investment or, 235 lakhs, whichever is lower, for General Category and 35% of total investment or, 245 lakhs, whichever is lower, for SC, ST and Women owned microenterprises.
   2.  The maximum size of Performance Grant for a Small enterprise shall not exceed 25% of total investment or *75 lakhs, whichever is lower, for General Category and 35% of total investment or ₹100 lakhs, whichever is lower, for SC, ST and Women owned small enterprises.
   3. The maximum size of Performance Grant for Village Level Organizations and Federations of SHGS, FFPOS and Cooperatives shall not exceed 35% of total investment or *200 lakhs, whichever is lower. 
   4. Total investment for the above purpose shall consist of the expenditure incurred on a) capital investments made on new plant and machinery, b) equipments including technical civil/electrical works and associated infrastructure, c) transport and distribution infrastructure, d) collection and treatment facility for wastes, e) disease management, best management practices, standards, certification and traceability, technology interventions, and such other investments leading to production and supply of safe fish and f) salary bills for additional jobs created in the year of application made under the scheme. 

e) Performance Grant disbursement criteria for components 2 and 3 

1. 1. 1. Number of jobs created and maintained; including jobs created and maintained for women. For each job created and maintained for a woman an amount of 15,000 per year will be paid, similarly, for each job created and maintained for a man an amount of 10,000 per year will be paid, subject to the limit of 50% of total eligible grant. 
      2. Investments made in the value chain for increasing the value chain efficiency for component 2 and investment made for adoption and expansion of fish and fishery product safety and quality assurance systems under component 3, performance grant for investments made will be disbursed after completion of the investment subject to the limit of 50% of the eligible grant. 

1) Component 4: Project management, monitoring and reporting: 

Under this component, it is proposed to set up Project Management Units (PMUs) to manage, implement, monitor and evaluate project activities. 

5. Major Impact, including employment generation potential 

• To create a National Fisheries Digital Platform to provide work based identities.
• Gradual formalization of fisheries sector and enhanced access to institutional credit. Gradual shift from conventional subsidies to performance based incentives in fisheries.
•  The program focuses on improving value chain efficiency and ensuring safe, quality fish by supporting micro and small enterprises.
• Promotion of Environment and Sustainability Initiatives 
• Facilitating Ease of Doing Business and Transparency 
• Address issues of aquaculture crop losses due to disease through insurance coverage for aquaculture to strengthen production, productivity.
• Enhance export competitiveness through value addition, value realization and value Creation.
• Facilitating growth of businesses, creation of jobs and creation of business opportunities.
• . Women Empowerment through creation of jobs and safe working place. 

6. Expectation from States and UTS 

• States/UTs are requested to designate Nodal Officer for the Sub-scheme by 15th August, 2024.
• Assist mobilization of fishers, fish farmers and supportive workers to register on the National Fisheries Sector Digital Platform for creation of work based digital identifies.. 
• Identification of beneficiaries for availing benefits under the components of the Sub- scheme.
•  Assist Government of India in outreach programs, imparting trainings etc.
• Any other need-based assistance during implementation of the Sub-scheme. 

 

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For any other queries please contact following Officers: 

1. Shri Sagar Mehra, 

Joint Secretary (Inland Fisheries),

Department of Fisheries, Gol 

Tele: 011 23388688 

Email: sagar.mehra@nic.in 

 

2.  Shri V. Srinivasa Rao, 

Director of Fisheries 

Department of Fisheries, Gol 

Tele: 011 23310350/ Mob:9444289242 

srveeragandham@ord.gov.in 
 

3.  Dr. Tarun Kumar Singh, 

Assistant Commissioner (Fisheries), 

Department of Fisheries, Gol 

Tele: 011 23710017/ Mob:9971104959 

tarunkr.singh@gov.in 

 

4. Dr. L.N. Murthy 

Sr. Executive Director 

National Fisheries Development Board (NFDB), Hyderabad     

             Tel: +91-040-24000201/177 Mob: 9967648633 

Email: ce.nfdb-dadf@gov.in; drinmurthy@gmail.com 

 

5. Shri Vijay Kumar Yaragal

Executive Director (Tech.),

National Fisheries Development Board (NFDB),  Hyderabad 

Tel: +91-040-24000201/177 Mob: 9445151368

            Email: ed-projects@nfdb.gov.in

 

 

 

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