Poverty Eradication – Definition, Debates, etc.

Odisha’s KALIA to attack poverty


Mains Paper 3: Agriculture | Issues related to direct & indirect farm subsidies & minimum support prices

From UPSC perspective, the following things are important:

Prelims level: KALIA Scheme

Mains level: Various support schemes for farmers , labourers and their effectiveness


  • Instead of announcing farm loan waiver like other States, the Odisha govt has approved KALIA scheme amounting to ₹10,000 crore to accelerate agricultural prosperity in the State and to reduce poverty.

Krushak Assistance for Livelihood and Income Augmentation

  1. KALIA aims to make a direct attack on poverty by way of massive investment in the agriculture sector and making benefits reach the most needy through DBT.
  2. Under KALIA an amount of ₹10,180 crore will be spent over a period of three years till 2020-211.
  3. Crop loans up to ₹50,000 will henceforth be interest free, and the scheme will be reviewed in 2020-21 for further modifications.
  4. KALIA scheme covers the cultivators, loanee, as well as non-loanee farmers, share croppers and landless agricultural labourers.
  5. It also specifically takes care of vulnerable agricultural families identified through gram panchayats and crop loans are made available at 0% interest.

Other assistance

  1. All the small and marginal farmers of the State (92% cultivators) will be covered under the scheme.
  2. An amount of ₹10,000 per family at the rate of ₹5,000 for Kharif and Rabi shall be provided as financial assistance for taking up cultivation.
  3. This component is not linked to extent of land owned and will greatly benefit share croppers and actual cultivators most of whom own very small extent of land.
  4. Under this initiative, 10 lakh landless households will be supported to take up activities like small goat rearing units, mini layer units, duck units, fishery kits for fishermen and women, mushroom cultivation and bee keeping.
  5. As regards financial assistance to vulnerable agriculture households and landless labourers, an annual financial assistance of ₹10,000 per household will be provided.
  6. Deserving families will be identified and selected by gram panchayats.
  7. Further, life insurance cover of ₹2 lakh and additional personal accident cover of ₹2 lakh will be provided to both cultivators and agricultural labourers covering about 57 lakh households.
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