Madhya Pradesh Fasal Vividhikaran Encouragement Scheme 2026 - Benefits, Eligibility and Application Process

Madhya Pradesh government is running Fasal Vividhikaran Encouragement Scheme to move farmers away from wheat and paddy towards other crops that give better returns. Farmer Welfare and Agriculture Development Department started this scheme on 6 May 2022, and it is still open for proposals with no last date fixed. Support is given to a company, firm or institution that works on the ground with farmers, mainly for staff cost and marketing cost.

Crop diversification has become a bigger focus in 2026. Madhya Pradesh has declared 2026 as Krishak Kalyan Varsh and a package of ₹27,746 crore was approved in the agriculture cabinet held at Barwani, with 16 departments working together. A separate crop diversification programme is part of this package, pushing pulses, oilseeds and coarse grains in place of water-heavy crops.

Madhya Pradesh Fasal Vividhikaran Encouragement Scheme Details

Eligible crop under this scheme means any crop sown in place of wheat and paddy that is not covered under Minimum Support Price. Horticulture crops are also counted as eligible crops. So a firm that gets farmers to sow vegetables, spices, fruit or any non-MSP crop can ask for support. Applicant has to advise farmers on farming practice and arrange a buyer for the produce.

Applications are given in the fixed format to the Director, Farmer Welfare and Agriculture Development, Bhopal. There is no application fee and no time limit for submitting a proposal. Payment of the approved amount is made through DBT payment as per the department record on CM Helpline scheme dashboard.

Scheme Highlights

2026 Update on Crop Diversification in Madhya Pradesh

Under Krishak Kalyan Varsh 2026, the agriculture department alone will run 20 projects worth ₹3,502.48 crore up to 31 March 2031. Farmers growing urad in place of moong will get a bonus of ₹600 per quintal, and mustard has been added to the price deficiency payment system. Rotavator is being given at half price. Revenue department has been given the job of running the crop diversification programme at district level through the agriculture technology management agency.

National Natural Farming Mission work of ₹1,010 crore will cover 15,000 gram panchayat clusters and reach about 1 crore farmers, with 10,000 bio-input resource centres. Kodo, kutki and other coarse grains will get bonus and support. All this makes it easier for a firm applying under Fasal Vividhikaran Encouragement Scheme to tie its project with other running schemes. If your work touches price deficiency payment, the MP Soybean Price Deficiency Scheme (Bhavantar) page explains how that payment works.

Benefits Under the Scheme

Support here is mostly for running cost, not for buying land or building. Idea is simple, the department pays for the people and the marketing effort needed to convince farmers to change their crop, plus the inputs handed to those farmers. Main benefits are given below.

• Cost of staff put on the ground for area coverage and cost of marketing work is approved.
• Cost of inputs given to farmers to push them towards other crops is also covered.
• Capital expenditure is normally not approved, only in special cases for critical equipment.
• State support runs for at least 3 years and can be extended if the project needs it.
• If the applicant firm is eligible for any other central or state scheme for capital investment, the department helps in getting that too.

Who Can Apply

This is not a scheme where an individual farmer applies directly. A registered company, firm or institution applies, and farmers get the benefit through that body. Conditions are strict on the buying side, because the whole point is that the farmer should have a sure market before changing his crop.

• Applicant should be a company, firm or institution with proper records and qualification.
• Applicant should advise farmers on sowing the eligible crop and on farming practice.
• Purchase of the eligible crop should be confirmed through a compulsory tie-up with another company, firm or institution.
• Applicant cannot buy the crop itself.
• Crop promoted should be other than wheat and paddy, and should not be covered under MSP.
• Area and the exact rakba where diversification work will be done must be written in the application.

Documents Required

Papers needed are mostly project papers, not personal papers. Keep the project report ready first, because the whole review depends on it. Required documents are the Detailed Project Report, record of qualification proving the firm is registered, project viability report, a clear breakup and reason for every proposed expense, and the tie-up agreement with the party that will buy the harvested crop.

Application Process

Full process is offline and goes through the directorate in Bhopal. Steps are given below.

STEP 1 - Prepare a Detailed Project Report showing the district, the exact area, the eligible crop, the number of farmers to be covered and the full budget with reason for each head of expense.

STEP 2 - Submit the application with the DPR in the fixed format to the Director, Farmer Welfare and Agriculture Development Department, Bhopal.

STEP 3 - Director makes the administrative arrangement after the proposal is received and does a first review of the papers.

STEP 4 - Proposal is placed before the State Level Project Screening Committee. This committee checks whether the project can actually run and whether the proposed expense is justified. It can call the applicant and ask for a changed proposal.

STEP 5 - After the committee recommends the project, the file goes to the Cabinet Committee for Investment Promotion for final sanction. Payment after sanction is released through DBT.

Conditions to Keep in Mind

Work has to be done as per the directions and rules set by the State Level Project Screening Committee. Proposal must show viability and give reason for the proposed expense. If the firm breaks the sanction conditions, mainly the terms written in the DPR, the department can take action under rules or recover the money already paid. Capital expense on fixed assets stays out of this scheme except for critical equipment in special cases.

Contact and Help

For any question on the proposal or its status, contact the Directorate of Farmer Welfare and Agriculture Development, Vindhyachal Bhawan, Bhopal. Farmers and applicants can also use CM Helpline number 181 for complaint help related to state schemes. Kisan Call Centre number 1800-180-1551 works for farming related questions. Other state schemes are listed on the Madhya Pradesh government schemes list page, and farmers selling at support price can check the support price procurement details.

References

Official scheme guidelines order (PDF)

Farmer Welfare and Agriculture Development Department website

CM Helpline scheme dashboard entry

FAQ's

Is Fasal Vividhikaran Encouragement Scheme still running in 2026?

Yes. The scheme started on 6 May 2022 and no closing order has come. Crop diversification has in fact got more push in 2026 under Krishak Kalyan Varsh.

Can a farmer apply directly for this scheme?

No. Only a company, firm or institution can apply. Farmers get inputs and advice through that body and get a buyer for their crop.

Which crops count as eligible crops?

Any crop sown in place of wheat and paddy that is not covered under MSP. Horticulture crops like fruits, vegetables and spices are also included.

Is there any last date to apply?

No last date is fixed. Proposals can be given any time to the Director, Farmer Welfare and Agriculture Development, Bhopal.

Can the applicant firm buy the crop itself?

No. The firm has to make a tie-up with another company, firm or institution which will buy the crop from farmers.

How long does the state support last?

At least 3 years. It can be extended further if the project needs more time.

Is capital expense like machinery covered?

Normally no. Only in special cases, where critical equipment is needed for the project to work, the committee may approve it.

What happens if the firm does not follow the DPR?

The department can start action under the rules and can also recover the amount already released.

Is there any application fee?

No. Applying under this scheme is free.