Well mate... The Hajj subsidy was existent since British era but it was a meagre amount when compared to the increase in subsidy after 1992. The below excerpt proves my point
"According to a newspaper report which the CC has not been able to independently confirm, in 1992, the government paid Rs.2,000 to the airline as subsidy. This year, while the hajis still paid only Rs.12,000, the government’s subsidy per haji shot up to Rs.20,000.
In other words, the subsidy for haj has spiralled from 16.7 per cent in 1992 to a whopping 62.5 per cent now. The Narasimha Rao government apparently saw this as one way of assuaging Muslim sentiments inflamed with the Congress government’s inaction during the demolition of the Babri Masjid and the countrywide riots that followed. Ironically, the two successive BJP-led governments, too, hiked the subsidy amount since 1998."
Source:
CC current issue