The Karnataka government will provide at least ₹5,000 in drought compensation to every eligible farmer affected by crop loss, Deputy Chief Minister G. Parameshwara said on November 10, clarifying that farmers who have already received ₹2,000 or ₹2,500 will be paid the balance in a subsequent instalment.
The announcement follows concern among farmers after some beneficiaries received ₹2,000 instead of the ₹2,500 approved as the first instalment. Parameshwara said the amount already credited to these farmers would not be treated as their final compensation. Farmers who received ₹2,000 will get an additional ₹3,000, while those who received ₹2,500 will receive another ₹2,500, subject to eligibility.
According to the statement, the state government had approved the release of ₹2,500 per eligible farmer as the first instalment through an order issued on October 23, 2026. The distribution was launched in Yadgir district on November 5, with ₹17.43 crore released to 1,06,462 farmers.
Parameshwara said he had reviewed concerns raised by farmers, particularly those cultivating smaller holdings, along with the rules and guidelines governing compensation payments. He said the government had decided to ensure a minimum payment of ₹5,000 irrespective of the size of the agricultural holding.
The existing compensation framework under the State Disaster Response Fund and National Disaster Response Fund guidelines calculates crop-loss assistance according to the area of agricultural land and the category of crop. The statement cited minimum compensation standards of ₹1,500 for rain-fed crops, ₹2,600 for irrigated crops and ₹3,200 for perennial crops.
The Karnataka government’s decision goes beyond those minimum standards by setting a common floor of ₹5,000 for eligible drought-affected farmers, the deputy chief minister said. The payment will apply to farmers cultivating both half an acre and larger holdings, provided they meet the eligibility conditions for drought compensation.
The announcement places the focus on how relief is calculated and delivered, rather than only on the headline amount. Farmers with smaller plots can receive lower payments under area-based compensation rules, even though the financial consequences of crop failure can affect their household income and ability to continue cultivation. The state has said the additional instalments will address the gap for those who have already received an initial payment.
Parameshwara said the government’s responsibility extended beyond announcing relief to ensuring that compensation reached all eligible farmers in a fair, transparent and dignified manner. The next instalment is expected to include the balance amounts required to bring eligible beneficiaries to the ₹5,000 minimum, according to the statement.


