Back
ECONOMY

Centre sanctions ₹576 crore to Punjab for crop residue management in 2026

The Centre approved ₹576 crore for crop residue management (CRM) to Punjab for the current financial year, marking the ninth consecutive year of central support for stubble management during the kharif paddy season. The state will implement in-situ and ex-situ CRM interventions with subsidised machinery and awareness programs, aiming to distribute 23,000 machines this year. The CRM funding accounts for 58% of Punjab's agriculture sector funds, with a 40% state contribution implied by the revised funding pattern.

Why It Matters

The allocation aims to curb crop residue burning, which has been linked to air pollution spikes in the National Capital Region, by promoting subsidised CRM machinery and awareness programs in Punjab.

Timeline

12 Events

Paddy straw burning linked to NCR air pollution

April 23, 2026

Paddy straw burning in Punjab and Haryana is cited as contributing to spikes in air pollution in the National Capital Region during October and November.

Subsidy levels under CRM scheme

April 23, 2026

Under the CRM scheme, individual farmers receive a 50% subsidy on machinery, while custom hiring centres, farmer groups, village panchayats and cooperative societies are eligible for an 80% subsidy.

CRM funds account for 58% of Punjab's total agriculture funds

April 23, 2026

The CRM allocation accounts for 58% of the total funds sanctioned for Punjab's agriculture sector.

Punjab target to distribute 23,000 CRM machines this year

April 23, 2026

The state has set a target to distribute 23,000 machines this year for stubble management.

CAQM approves Punjab CRM action plan before funding

April 23, 2026

A joint director-level officer said the action plan for CRM was approved by the Commission for Air Quality Management (CAQM), after which the funds were allocated.

Centre sanctions ₹576 crore for CRM to Punjab

April 23, 2026

The Union ministry of agriculture sanctioned ₹576 crore for crop residue management (CRM) to Punjab in the current financial year, marking the ninth consecutive year of central assistance for stubble management during the kharif (paddy) harvest season.

Farm fires reduced by 94% from 2022 to 2025

2025

Official data show farm fires have dropped by 94% over four years—from 83,000 cases in 2022 to 5,114 in 2025 in Punjab.

1.6 lakh CRM machines supplied; ~40,000 redundant

2025

So far, around 1.6 lakh CRM machines have been supplied to farmers, of which approximately 40,000 have become redundant due to wear and tear.

Centre spending on CRM reaches nearly ₹2,000 crore by 2025

2025

Since 2018, the Centre has funded CRM initiatives, spending nearly ₹2,000 crore over eight years until 2025.

Funding pattern changed in 2023

2023

A revised funding pattern introduced in 2023 requires states to contribute 40% of the total CRM allocation.

100% CRM grants period ends in 2022

2022

Centre provided 100% grants for CRM during 2018–2022.

CRM funding began in 2018

2018

Centre started CRM funding in 2018, initially providing 100% grants for the scheme.