Modification of Price Stabilization Fund Scheme

The Price Stabilisation Fund (PSF) Scheme for the Plantation crops, namely, tea, coffee and rubber set up in 2003 has been reviewed by the Government from time to time to address the identified bottlenecks of the existing Scheme and to increase its effectiveness in dealing with the price risk faced by growers. Discussion on evolving a Comprehensive insurance based scheme in this regard with various stakeholders is underway.

Existing corpus of the Price Stabilisaiton Fund is ₹ 500 crores. Commodities covered by the approved scheme are tea, coffee and rubber.

The objective of modifying the Price Stabilisation Fund (PSF) Scheme is to make it more easily accessible to the growers and address both the price risks as well crop risks and also to help India remain a credible supplier in international arena, through sustained and enhanced exports.

The information was given by the Minister of State (Independent Charge) of the Ministry of Commerce & Industry Smt. Nirmala Sitharaman in a written reply in Rajya Sabha today.