Agriculture Programs and Policies

Strengthening APMCS through Agriculture Infrastructure Fund (AIF) Scheme

Government of India has launched the Central Sector Scheme of financing facility under Agriculture Infrastructure Fund (AIF) to boost Agriculture Infrastructure relating to Post-Harvest Management (PHM) and Community Farming Assets in the country. Under this scheme financing facility of ₹1 lakh crore is to be disbursed by banks/lending institutions as loans to eligible beneficiaries.

This financing facility will help APMCs to upgrade their infrastructure, which will ultimately benefit the farmers.

• Under Tentative Fund Allocation Uttar Pradesh (12831 Crore), Rajasthan (9015 Crore) and Maharashtra (8460 Crore) are the Top Three States.

• Madhya Pradesh has been sanctioned Maximum No of Projects (1311) as well as Sanctioned Amount (1021.8 Crore).

Aim and Objectives of Agriculture Infrastructure Fund (AIF)

The objective of the Agriculture Infrastructure Fund (AIF) scheme is to mobilize a medium - long term debt financing facility for investment in viable projects for post-harvest management Infrastructure and community farming assets through incentives and financial support in order to improve agriculture infrastructure in the country.

The scheme provide financial assistance in the form of interest subvention and credit guarantee for setting Post Harvest Management (PHM) projects which will help better post harvest management and reduction in wastage.

The following community farming assets projects are eligible under the scheme:-

• Organic inputs production
• Bio stimulant production units
• Infrastructure for smart and precision agriculture.
• Projects identified for providing supply chain infrastructure for clusters of crops including export clusters.
• Projects promoted by Central/State/Local Governments or their agencies under PPP for building community farming assets or post-harvest management projects.

Eligible Beneficiary Under AIF

• Primary Agricultural Credit Society
• Agri-Entrepreneur
• Farmer
• Farmer Producers Organization
• Joint Liability Groups
• Self Help Group
• Startup
• Marketing Cooperative Societies
• Multipurpose Cooperative Societies
• Aggregation Infrastructure Providers and 
• Central/State agency or 
• Local Body sponsored Public Private Partnership Project

Load Disbursal Timeline : Loans will be disbursed in four years starting with sanction of Rs. 10,000 crore in the current year (FY20-21) and Rs. 30,000 crore each in next three financial years (FY21-22, FY22-23 and FY23-24).

Budgetary Provision : The total outflow as budgetary support from Government of India (GoI) will be Rs.10,736 crore:

Moratorium : Moratorium for repayment under this financing facility may vary subject to minimum of 6 months and maximum of 2 years.

Interest Subvention : All loans under this financing facility will have interest subvention of 3% per annum up to a limit of Rs. 2 crore. 

• This subvention will be available for a maximum period of seven years. 

Credit Guarantee : Further, credit guarantee coverage will be available for eligible borrowers from this financing facility under Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme for a loan up to Rs. 2 crore. The fee for this coverage will be paid by the Government.

• In case of FPOs the credit guarantee may be availed from the facility created under FPO promotion scheme of Department of Agriculture, Cooperation & Farmers Welfare (DACFW).

Fund Management : Agri Infra fund will be managed and monitored through an online Management Information System (MIS) platform. 

• The National, State and District level Monitoring Committees will be set up to ensure real-time monitoring and effective feed-back.

Har Khet Ko Paani Under PMKSY

Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) was launched in 2015-16 with an aim to enhance physical access of water on farm, expand cultivable area under assured irrigation, improve on farm water use efficiency, introduce sustainable water conservation practices, etc. 

Har Khet Ko Pani (HKKP) is one of the components of Pradhan Mantri Krishi Sinchayee Yojana (PMKSY). Under HKKP, financial assistance is being provided by this Ministry under 

• Command Area Development and Water Management (CADWM); 
• Surface Minor Irrigation (SMI); 
• Repair, Renovation and Restoration (RRR) of Water Bodies; 
• and Ground Water components.

CADWM Programme aims for improving water use efficiency in irrigation, providing assured supply of water to every farm field, and transfer of control and management of irrigation system to the Water Users’ Associations (WUAs). 

Presently the CADWM component of 99 prioritized projects of Accelerated Irrigation Benefit Programme (AIBP) only has been included for funding under PMKSY. 

• The Scheme for PMKSY-HKKP was valid till March, 2021. The extension of the scheme for the period 2021-26 is under consideration of the Government. The targets for this period shall be firmed up based on approval of the scheme for the period 2021-26.

The monitoring of SMI, RRR of Water Bodies and CADWM projects is done through monitoring visits undertaken by officials of regional offices of Central Water Commission (CWC).  

Under PMKSY, so far 8562 WUAs have been created, out of which 4061 WUAs have taken over the control of CAD assets.

Pradhan Mantri Krishi Sinchayee Yojana (PMKSY)

The Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) was launched during the year 2015-16 with the motto of ‘Har Khet Ko Paani’ for providing end-to end solutions in irrigation supply chain, viz. water sources, distribution network and farm level applications. 

The PMKSY not only focuses on creating sources for assured irrigation, but also creating protective irrigation by harnessing rain water at micro level through ‘Jal Sanchay’ and ‘Jal Sinchan’.

PMKSY is a Centrally Sponsored Scheme launched in 2015.

PMKSY has been approved for implementation across the country with an outlay of Rs.50,000 crore during 2015-2016 to 2019-2020

Fund Sharing – Fund sharing between Centre- States will be 75:25 and in the case of the north-eastern region and hilly states, it will be 90:10 and for UT it will 100%.

PMKSY : Components and responsible Ministries/ Departments

Accelerated Irrigation Benefit Programme(AIBP) – It is being implemented by Ministry of Jal Shakti.

• To focus on faster completion of ongoing Major and Medium Irrigation including National Projects.

PMKSY - Har Khet ko Pani: being implemented by Ministry of Jal Shakti

• Creation of new water sources through Minor Irrigation (both surface and ground water)
• Repair, restoration and renovation of water bodies; strengthening carrying capacity of traditional water sources, construction rain water harvesting structures (Jal Sanchay);
• Command area development, strengthening and creation of distribution network from source to the farm;
• Improvement in water management and distribution system for water bodies to take advantage of the available source which is not tapped to its fullest capacity (deriving benefits from low hanging fruits). At least 10% of the command area to be covered under micro/precision irrigation.
• Diversion of water from source of different location where it is plenty to nearby water scarce areas, lift irrigation from water bodies/rivers at lower elevation to supplement requirements beyond IWMP and MGNREGS irrespective of irrigation command.
• Creation and rejuvenation of traditional water storage systems like Jal Mandir (Gujarat); Khatri, Kuhl (H.P.); Zabo (Nagaland); Eri, Ooranis (T.N.); Dongs (Assam); Katas, Bandhas (Odisha and M.P.) etc. at feasible locations.

PMKSY -Watershed: being implemented by Department of Land Resources, MoRD

• Water harvesting structures such as check dams, nala bund, farm ponds, tanks etc.
• Capacity building, entry point activities, ridge area treatment, drainage line treatment, soil and moisture conservation, nursery raising, afforestation, horticulture, pasture development, livelihood activities for the asset-less persons and production system & micro enterprises for small and marginal farmers etc.
• Effective rainfall management like field bunding, contour bunding/trenching, staggered trenching, land levelling, mulching etc.

PMKSY- Per Drop More Crop (PMKSY- PDMC): Department of Agriculture, Cooperation & Farmers Welfare is implementing PMKSY- PDMC which is operational in the country from 2015-16. 

• The PMKSY- PDMC focuses on enhancing water use efficiency at farm level through Micro Irrigation viz Drip and Sprinkler Irrigation System. 
• Programme management, preparation of State/District Irrigation Plan, approval of annual action plan, Monitoring etc.
• Promoting efficient water conveyance and precision water application devices like drips, sprinklers, pivots, rain-guns in the farm (Jal Sinchan);
• Topping up of input cost particularly under civil construction beyond permissible limit (40%), under MGNREGS for activities like lining inlet, outlet, silt traps, distribution system etc.
• Construction of micro irrigation structures to supplement source creation activities including tube wells and dug wells (in areas where ground water is available and not under semi critical /critical /over exploited category of development) which are not supported under PMKSY (WR), PMKSY (Watershed) and MGNREGS.
• Secondary storage structures at tail end of canal system to store water when available in abundance (rainy season) or from perennial sources like streams for use during dry periods through effective on-farm water management;
• Water lifting devices like diesel/ electric/ solar pumpsets including water carriage pipes.
• Extension activities for promotion of scientific moisture conservation and agronomic measures including cropping alignment to maximize use of available water including rainfall and minimize irrigation requirement (Jal sarankchan);
• Capacity building, training for encouraging potential use water source through technological, agronomic and management practices including community irrigation.
• Awareness campaign on water saving technologies, practices, programmes etc., organization of workshops, conferences, publication of booklets, pamphlets, success stories, documentary, advertisements etc.
• Improved/innovative distribution system like pipe and box outlet system with controlled outlet and other activities of enhancing water use efficiency.

Soil Health Card Scheme 

The International year of soils was celebrated in 2015 the same year India’s unique programme of soil health card was launched on February 19 to assess the nutrient status of every farm holding in the country.

Soil Health Card Scheme was launched by PM Modi on 19.02.2015 at Suratgarh, Rajasthan. 

Soil Health Card (SHC) is a Government of India’s scheme promoted by the Department of Agriculture & Co-operation under the Ministry of Agriculture and Farmers' Welfare

It is being implemented through the Department of Agriculture of all the State and Union Territory Governments

SHC is a printed report that a farmer will be handed over for each of his holdings. It will contain the status of his soil with respect to 12 parameters, namely N,P,K (Macro-nutrients) ; S (Secondary- nutrient) ; Zn, Fe, Cu, Mn, Bo (Micro - nutrients) ; and pH, EC, OC (Physical parameters)

Soil samples will be drawn in a grid of 2.5 ha in irrigated area and 10 ha in rain- fed area with the help of GPS tools and revenue maps.

It will be made available once in a cycle of 2 years, which will indicate the status of soil health of a farmer’s holding for that particular period.

Since 2015, around 6.04 lakh demonstrations, 36928 farmer’s trainings and 7425 farmers melas are organized/conducted under the programme. Along with state/ district agriculture machinery and panchayats, village level rural development workers like Krishi Sakhis, Pasu Sakhis are involved in educating farmers on right use of fertilizers.

Apart from SHC, Government is also implementing Soil Health Management (SHM) scheme to augment soil samples testing capacity in the country through setting up / strengthening of soil testing laboratories.

So far, 11531 new labs (491 static, 107 mobile, 8811 minilabs and 2122 village level labs) and strengthening of 829 labs have been sanctioned to the states.

Soil Health Management (SHM) is one of the most important interventions under National Mission for Sustainable Agriculture(NMSA).

More than Rs. 14,000 crore of Community Investment Support Funds have been provided to SHGs and their federations

Deendayal Antyodaya Yojana-National Rural Livelihoods Mission (DAY-NRLM), one of the flagship programmes of the Union Government, has a provision for providing Community Investment Support Fund (CISF) to the Self Help Groups (SHGs) in the form of Revolving Fund (RF) at the rate of Rs.10,000-15,000 and Community Investment Fund (CIF) to the extent of Rs.2,50,000 per SHG. 

• Till 30th June 2021, 7.63 crore rural households have been mobilized into 69.92 lakh women Self Help Groups (SHGs) under the mission. As on 30th June, 2021, a total of Rs.14,071.02 crore of Community Investment Support Funds have been provided to SHGs and their federations.

87 Mobilization camps organized by Rural Self Employment Training Institutes (RSETI) across the country as part of Azadi ka Amrit Mahotsav

• As part of the ‘Amrit Mahotsav’ celebrations, Rural Self Employment Training Institutes organized around 87 ‘mobilization camps’ across the country between 30th July and 5th August, 2021. 

• Azadi Ka Amrut Mahotsav is a series of events to be organised by the Government of India to commemorate the 75th Anniversary of India’s Independence. 

A total of 37.81 lakh candidates have been trained under RSETIs in 64 courses (59 National Skill Qualification Framework (NSQF) aligned and 5 MoRD approved) and 26.65 lakh candidates have been settled into self-employment. 

The programme is currently being implemented in 28 States and 7 UTs with 585 functioning RSETIs sponsored by 23 leading Banks (both public and private sector as well as a few grameen Banks).

About RSETI: 

• RSETI (Rural Self Employment Training Institutes) programme is a three-way partnership between Ministry of Rural Development, State Governments and Sponsor Banks. 

• The Banks are mandated to open at least one RSETI in their lead district to provide training to rural youth to take up self-employment/ entrepreneurship ventures. 

• RSETI program runs with an approach of short-term training & long-term hand holding of entrepreneurs. 

• Rural poor youth between the age group of 18-45 years  are eligible to join trainings. 

• The RSETIs have become established as pioneers in capturing the aspirations of the rural poor youth and turning them into profitable entrepreneurs by training them in domain and entrepreneurial skills.

Steps taken by Government for the successful implementation of the Saansad Adarsh Gram Yojana (SAGY) in adopted Gram Panchayats

The Ministry has brought out a compilation of 127 Central Sector and Centrally Sponsored and 1806 State Schemes for convergence under SAGY

• SAGY is reviewed periodically by the National Level Committee (NLC) on Saansad Adarsh Gram Yojana (SAGY) headed by Secretary, Rural Development with representatives from 20 Ministries/Departments 

• At the national level, a separate web-based MIS is available at SAGY website (http://saanjhi.gov.in). The website has been revamped with more pertinent information related to the scheme for comprehensive view by the public. 

1,040 Kisan Rail services operated over 72 routes across the country

• Potential circuits for Kisan Rail services for movement of vegetables, fruits and other perishable are being identified in consultation with Ministry of Agriculture & Farmers Welfare, State Governments (including Departments of Agriculture/ Horticulture/Fisheries, etc)  and local bodies and agencies, Mandis, etc.

Implementation of SVAMITVA and e-panchayat programmes

SVAMITVA Scheme aims to provide the ‘Record of Rights’ to village household owners possessing houses in inhabited areas in villages with issuance of legal ownership rights (Property cards/Title deeds). 

• The pilot phase of the Scheme was launched on 24th April 2020 for implementation during 2020-21 in 6 states namely Haryana, Karnataka, Madhya Pradesh, Maharashtra, Uttar Pradesh and Uttarakhand

• Later on, villages of one border district of Punjab and Rajasthan and few villages of Andhra Pradesh were also added in the pilot phase of implementation.

• During 2021-2025, the Scheme is to be implemented across the country in phased manner and would eventually cover all the villages of the country.

• States/Union Territories need to sign Memorandum of Understanding (MoU) with Survey of India (SoI) for implementation of the scheme

The Scheme also envisages the establishment of a network of 567 Continuously Operating Referencing System (CORS) stations across the country for determining accurate locations. Out of this, 210 CORS stations are being established in the States of Haryana, Madhya Pradesh, Punjab and Rajasthan as part of the Pilot phase.

With the aim to transform functioning of Panchayati Raj Institutions (PRIs), Ministry is implementing e-Panchayat Mission Mode Project (MMP) under Digital India Programme.

• This is expected to make them more transparent, accountable and effective organs of local self-governing institutions

• Further, eGramSwaraj (egramswaraj.gov.in), a Simplified Work Based Accounting Application for Panchayati Raj has been developed amalgamating functionalities of planning, monitoring, accounting and online payment

Establishment of Mega Food Parks (MFPs)

Ministry of Food Processing Industries has been implementing Mega Food Park Scheme (MFPS) since year 2008, which is now a component scheme of Central Sector Umbrella Scheme – Pradhan Mantri Kisan Sampada Yojana (PMKSY). The primary objective of this scheme is to provide modern infrastructure facilities for the food processing along the value chain from farm to market.

• Ministry has accorded final approval to 38 Mega Food Parks and in-principle approval to three Mega Food Parks in the country. Out of these, 22 Mega Food Park projects have been made operational and 19 projects are under various stages of implementation.

• Each approved Mega Food Park involves an average total project cost of Rs.110.92 Crore in setting up the Park

GDP Expenditure on Fisheries, Animal Husbandry and Dairy Sector

As per Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation (MoSPI), the State-wise percentage of Gross Domestic Product (GDP) share of animal husbandry, dairying and fishery sector during the last four years is at Annexure I.

The details of the various schemes being implemented by the Government for development of animal husbandry, dairy and poultry in various States including Karnataka during the last three years and the current year are as under:

• Rashtriya Gokul Mission(RGM)

• National Programme for Dairy Development(NPDD)

• Supporting Dairy Cooperatives and Farmer Producer Organizations engaged in dairy activities (SDC&FPO)

• Dairy Processing and Infrastructure Development Fund(DIDF)

• National Livestock Mission(NLM)

• Animal Husbandry Infrastructure Development Fund(AHIDF)

• Livestock Health & Disease Control (LH&DC)

• National Animal Disease Control Programme(NADCP)

NITI Aayog evaluated the schemes of the Department. While evaluating all the Centrally Sponsored and Central Sector component, it was observed that some of the schemes have made the difference at ground level in terms of increase in productivity, conservation of indigenous breeds and also income generation in the small, medium and landless farmers.

Based on evaluation done by NITI Aayog, the Government has revised and realigned some of the components of the existing schemes in order to have focused development of animal husbandry and dairying across the country in the next 5 years starting 2021-22.

Government announced additional funds of Rs.14,775/- Crore for DAP and P&K Fertilizers

Recently there was an increase in the international prices of raw materials for manufacturing P&K fertilizers and finished P&K fertilizers. 

• To avoid any distress arising out of this increase, the Govt. announced additional funds of Rs.14,775/- Crore for DAP and P&K fertilizers.

• MRP of Urea is statutorily fixed by the Government of India. MRP of 45 kg of bag of urea is Rs. 242 per bag (exclusive of charges towards neem coating and taxes as applicable).

Apart from the above, DA&FW has informed that the Govt. has adopted several developmental programmes, schemes, reform and policies that focus on higher income for the farmers. 

All these policies and programmes are being supported by higher budgetary allocation, non-budgetary financial resources by way of creating Corpus Funds like Micro Irrigation Fund and Agri-marketing schemes to strengthen eNAM and GrAMs, as also in the Ministry of Fisheries, Animal Husbandry and Dairying to promote dairy and fisheries sectors. 

There have been several reforms to unleash the potential and these include 

• Market Reforms like model APLMC (Promotions and Facilitations) Act, 2017; 
• Establishment of Gramin Agriculture markets (GrAMs); 
• Agri Export Policy, 2018; 
• The Farmers Produce Trade and Commerce (Promotion and Facilitation) Act, 2020; 
• The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020; 
• Amendments to Essential Commodity Act, 1955;
• Promotion of 10,000 FPOs 
• PM-KISAN; 
• Pradhan Mantri Fasal Bima Yojna (PMFBY); 
• Pradhan Mantri Krishi Sinchai Yojna (PMKSY); 
• Increase in Minimum Support Price (MSPs); 
• Har Med Par Ped; 
• Bee-Keeping; 
• Rashtriya Gokul Mission;
• Blue Revolution; 
• Interest Subvention Scheme; 
• Kisan Credit Card (KCC) 

Potential for Agroforestry

To tap the potential of agroforestry, Department of Agriculture & Farmers Welfare is implementing the Sub-Mission on Agroforestry (SMAF) Scheme since 2016-17.

There is a provision of financial assistance to farmers under the Scheme for plantation activities along with development of various types of nurseries for producing quality planting materials like seeds, seedlings, clones, improved varieties to meet the requirement of quality planting materials/seeds for the farmers.

Further, initiatives have been taken for formation of 15 Farmer Producers Organization (FPOs) in the Agroforestry Sector to link the farmers with market and industry in an organized manner.

Upto 5% of allocated funds is utilized for capacity building and training activities like training of farmers/field workers, skill development, awareness campaign, publications, seminars/workshops, conference etc. to raise awareness of the scheme among the farmers.

National Innovation on Climate Resilient Agriculture

Indian Council of Agricultural Research (ICAR), Ministry of Agriculture and Farmers Welfare, Government of India launched a flagship network project ‘National Innovations in Climate Resilient Agriculture’ (NICRA) in 2011.

In the strategic research, the main thrust areas covered are (i) identifying most vulnerable districts/regions, (ii) evolving crop varieties and management practices for adaptation and mitigation, (iii) assessing climate change impacts on livestock, fisheries and poultry and identifying adaptation strategies.

• So far, 7 climate resilient varieties and 650 district agricultural contingency plans have been developed besides assessing the risk and vulnerability of Indian agriculture to climate change.  

• State-of-the-art infrastructure facilities have been established by ICAR in the National Agricultural Research and Education System (NARES) across the country to facilitate the climate change research.

Development of Horticulture Cluster

Cluster Development Programme (CDP) has been designed to leverage geographical specialization of horticulture clusters to make them Globally Competitive

Address the concerns of the horticulture value chain from pre-production, production, post-harvest management and value addition to logistics, marketing and branding in an integrated manner for accelerating competitiveness in the domestic and export market.

• Reduce harvest and post-harvest losses by developing/ expanding/upgrading the infrastructure for post-harvest handling of produce, value addition and market linkages.

• Facilitate the introduction of innovative technologies and practices to help enhance the global competitiveness of focus cluster crops.

• Facilitate the dovetailing of resources, including convergence of various government schemes in order to entrench stakeholders in the global value chains.

• Build the capacity of stakeholders and enhance farmers’ income through cluster-specific interventions including brand promotion.

MoA&FW has selected 12 clusters for the pilot phase of the programme. So far, Government has appointed Cluster Development Agencies (CDAs) in 11 clusters of the pilot phase.

The formation of FPOs is an integral part of Horticulture Cluster Development Programme which will help farmers with small land holding and help them in achieving economies of scale in an integrated manner by addressing concerns of entire value chain in the selected clusters.