Mumbai, October 27, 2026: The Maharashtra Cabinet on Tuesday approved a Rs 7,500-crore allocation to provide advance financial assistance of Rs 5,000 each to around 1.5 crore farmers in 304 drought-affected talukas across the state before Diwali. The assistance will be transferred directly to eligible farmers' bank accounts through the Direct Benefit Transfer (DBT) system.
The decision was taken at a Cabinet meeting chaired by Chief Minister Devendra Fadnavis. Farmers whose crops have suffered damage of more than 33% in the notified drought-affected talukas will be eligible for the uniform advance assistance.
Advance Relief Ahead Of Diwali
The state government has initiated the process of finalising crop-wise and area-wise details of agricultural losses through surveys to determine compensation for drought-hit farmers.
However, considering the immediate financial needs of farmers ahead of Diwali, the government has decided to release the advance amount without waiting for the entire compensation process to be completed.
Relief and Rehabilitation Minister Makarand Patil clarified that the Rs 5,000 assistance is an advance payment and will not prevent eligible farmers from receiving the remaining compensation for crop losses. The additional compensation will be determined through the prescribed assessment process.
Simplified E-KYC And Eligibility Rules
To ensure that assistance reaches beneficiaries without unnecessary delays, farmers who completed their e-KYC under various government schemes between November 1, 2025, and the present will not be required to undergo the process again.
Forest land-holding farmers who have not yet received their AgriStack Farmer ID will also be eligible for the advance assistance on the basis of e-KYC, according to the government announcement.
Another key feature of the decision is the adoption of the registered farmer, rather than the family, as the basis for providing assistance. The minimum assistance has also been increased from Rs 1,000 to Rs 5,000, offering a higher assured amount even to farmers cultivating smaller landholdings.
Funds To Support Farming And Household Needs
The government said the advance assistance is intended to help farmers meet urgent expenses following crop losses. These include preparing fields for the next cropping season, purchasing seeds and fertilisers, meeting cultivation costs and managing household requirements.
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Drought-related crop damage often leaves farmers struggling to recover investments made in seeds, fertilisers, pesticides and field preparation, apart from meeting their families' daily expenses. The advance payment is expected to provide immediate financial support while the assessment for the remaining compensation continues.
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