Around 700 farmers across Geyzing, Mangan and Pakyong districts are proposed to be covered under a pilot weather-based crop insurance scheme for large cardamom launched by the Government of Sikkim.
The scheme brings the State’s principal cash crop under structured insurance coverage for the first time and aims to protect growers from losses caused by erratic rainfall, prolonged dry spells, excess precipitation and temperature stress.
At the launch programme here on Tuesday, Dharmendra Das, director (Development), Spices Board of India, said the model is based on the success of a similar weather-based insurance programme implemented for small cardamom between 2020 and 2025. He informed that during 2022–2025, the board spent Rs 1,56,19,923 towards farmers’ premium payments, while total claim settlements amounted to Rs 1,39,71,491, which were transferred directly to beneficiaries. He described it as a successful example that encouraged the extension of coverage to large cardamom.
Under the new scheme, the sum insured per farmer is Rs 1 lakh. The premium is fixed at 18 per cent of the insured amount, amounting to Rs 18,000. Of this, 75 per cent - approximately Rs 13,500 - will be borne by the Spices Board, while farmers will contribute the remaining 25 per cent, around Rs 4,500. The scheme is structured to ensure simplified enrolment and direct benefit transfer.
The insurance operates strictly on defined weather parameters and is divided into two phases. In the first phase, from April to May 2026, payout is triggered if rainfall remains below 5 mm for 10 consecutive days. Compensation increases progressively for 15, 20, 25 and up to 30 consecutive dry days, with a maximum payout of Rs 25,000 under this parameter.
In the second phase, from October 1 to February 28, payouts are triggered if rainfall remains below 0.5 mm for 20 consecutive days, increasing proportionately up to a maximum of Rs 25,000.
Additional parameters include heat stress and excess rainfall. If rainfall exceeds 10 mm and temperatures remain above 20°C for 10 consecutive days, payouts begin at Rs 1,665 and rise progressively depending on duration, up to a maximum of Rs 20,000. In cases of heavy rainfall, if precipitation reaches 40 mm or more for three consecutive days, compensation begins and increases for five, seven, nine and up to 12 consecutive days, with a maximum payout of Rs 29,165.
Across all parameters combined, the total maximum payout per farmer can reach Rs 1 lakh.
Das clarified that the scheme relies on data from the India Meteorological Department, as relative humidity data is not consistently available. He added that installation of automated weather stations at the local level would enable more precise localised assessment in future. Final beneficiary numbers will be confirmed after registration and awareness campaigns, and expansion to other districts will be considered after evaluation of the pilot phase.
State Horticulture minister Puran Kumar Gurung said that although large cardamom is Sikkim’s main cash crop, it had not previously been covered under a dedicated insurance scheme. He urged farmers in the three districts to enrol and take advantage of the coverage.
The minister informed that the State government has procured raw cardamom worth Rs 10.84 crore, with a significant portion sourced from Pakyong district. He added that farmers selling between 40 kilograms and one quintal are earning profits ranging from Rs 12,000 to Rs 14,000, particularly through exports to Gulf countries and Australia. A food processing unit has been established at Rangpo to strengthen value addition and marketing.
He said the first international consignment under the Sikkim organic brand was flagged off on November 19, 2025, targeting Australia, Europe and Gulf countries, with demand also emerging from the United States. He acknowledged that comprehensive production data, including for 2025, is currently lacking, and informed that a six-month data collection exercise will be undertaken to assess ground realities and strengthen policy support.
Speaking at the programme, Sudesh Kumar Subba, MLA from Maneybong-Dentam constituency where large cardamom is grown extensively, said fluctuations in production directly influence market prices. When output rises, prices tend to fall, affecting farmers’ income. He noted that areas such as Geyzing, Maneybong-Dentam, Yangthang, Geyzing-Bermoik and Yuksom-Tashiding in West Sikkim witness large-scale cultivation, with similar growth patterns observed in Pakyong district.
Subba emphasised that while scientific cultivation methods are being promoted, farmers continue to rely on traditional practices such as crop rotation and changing topsoil to maintain soil fertility. With declining rainfall patterns, he stressed the need to strengthen artificial irrigation through tanks and pipelines. He also called for enhancement of incentives for over 200 farmers currently receiving assistance and reiterated the demand for a research centre in Geyzing district. He added that Geyzing alone records annual cardamom sales worth Rs 5–10 crore and suggested that introduction of a new variety from next year could further boost production and stabilise farmers’ income.
Source - https://sikkimexpress.com
