Rashtriya Krishi Vikas Yojana

The Rashtriya Krishi Vikas Yojana (RKVY) was launched in 2007 with the goal of improving the farming sector in India. The Government of India introduced the scheme to enhance investment in farming.

In 2017, it was renamed RKVY-RAFTAAR and continued until 2019-20 with a budget of ₹15,722 crore. The scheme granted states the autonomy to design and implement farming programmes. It helped boost crop production, support farmers, and modernise agriculture.

RKVY played a vital role in strengthening rural livelihoods and providing better opportunities for those reliant on farming.

The scheme is a government initiative aimed at boosting agricultural growth through improved planning and investment. It introduced decentralised planning, enabling states to develop State Agriculture Plans (SAP) and District Agriculture Plans. 

The scheme focuses on agro-climatic conditions, ensuring that farmers receive the right technology and resources tailored to local needs.

The Rashtriya Krishi Vikas Yojana aims to develop farming as a central economic activity. Some of the objectives of the scheme are as follows:

• Higher Farmer Income

  Encouraging productivity and value chain-based production models that benefit farmers

• Risk Mitigation

  Strengthening farmers' efforts and promoting agri-business entrepreneurship through the development of agricultural infrastructure

• State Autonomy

  Granting states the freedom to create and implement agricultural plans based on local needs

• Income Diversification

  Reducing farmers' risks by promoting activities such as mushroom cultivation, floriculture, and integrated farming

• Youth Empowerment

  Supporting skill development, innovation, and agri-business opportunities for young individuals

This scheme consists of several sub-schemes designed to enhance agricultural productivity and support farmers. Below are some of the sub-schemes under the Rashtriya Krishi Yojana:

• Accelerated Fodder Development Programme

• Saffron Mission

• Crop Diversification Programme 

The scheme covers a wide range of sectors, including:

• Crop Cultivation and Horticulture

• Animal Husbandry and Fisheries

• Dairy Development, Agricultural Research, and Education

• Forestry and Wildlife

• Plantation and Agricultural Marketing

• Food Storage and Warehousing

• Soil and Water Conservation

The Rashtriya Krishi Vikas Yojana is a state-driven scheme designed to enhance agriculture and allied sectors. Its key features include:

• The baseline expenditure is calculated from the average spending of the last three years

• Eligibility is determined based on the average expenditure by the state on agriculture

• The central government provides 100% funding as a grant

• States need to have District Agricultural Plans and State Agricultural Plans

• The scheme is incentive-based, so allocations are not automatic

• It offers maximum flexibility to states in planning and execution

• Agriculture and allied services are addressed in an integrated manner

• States need to commit to ongoing projects, even if they fall outside the RKVY budget due to reduced investment

• Convergence with other schemes is encouraged for better resource utilisation

The scheme offers several benefits to foster agribusiness development and innovation. These benefits include:

• Agripreneurship Orientation

A two-month orientation programme with a stipend of ₹10,000 per month. It provides mentorship on financial, technical, and other aspects.

• Seed Stage Funding for R-ABI Incubatees

Provides up to ₹25 Lakhs in funding for Indian start-ups registered with R-ABI. This funding supports the growth and scaling of early-stage agribusiness ventures.

• Idea/Pre-Seed Stage Funding for Agripreneurs

Provides up to ₹5 Lakhs in funding for new agribusiness ideas. It enables entrepreneurs to develop and test their innovative concepts.

• Funding Sharing Pattern

The funding is shared in a 60:40 ratio between the central government and the state government. For northeastern and hilly states, the ratio is 90:10. Union territories receive 100% of the funding from the central government.

The eligibility criteria for Rashtriya Krishi Vikas Yojana is given below:

• Individual farmers and farmer groups can benefit from the scheme

• Applicants must be residents of India

• The scheme is for individuals actively engaged in agricultural activities

• A valid bank account is required to receive financial assistance

States need to submit the following documents to receive funding under the RKVY project:

• Quarterly Performance Report

This report has to detail physical and financial achievements, along with outcomes, within the specified time frame. It is essential to ensure that all data is accurate and up to date.

• 100% Utilisation Certificates (UCs)

These are required for the funds allocated up to the previous financial year. The certificates need to reflect the full utilisation of the funds in line with project guidelines.

To apply for the RKVY-RAFTAAR scheme, the eligible host institutions need to:

1. Complete the application form in the prescribed format for setting up new agribusiness incubators

2. Submit the filled application along with the required documents to the following address:
    

The Joint Secretary
Nodal Division of RKVY-RAFTAAR Scheme
Krishi Bhawan, New Delhi-110001
Telefax: (011) 23382444

The RKVY has made a notable contribution to agricultural development. However, it faces challenges related to awareness, fund utilisation, and weather dependency while holding promising prospects for the future.

Challenges

• Limited awareness among farmers regarding the benefits of the scheme

• Inefficient fund utilisation in certain states due to inadequate planning

• Dependency on weather conditions impacting the success of agricultural projects

Future Prospects

• An increased focus on technology to enhance agricultural practices

• Greater inclusion of agro-based industries to improve income generation for farmers