Agriculture

Current
Affairs

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 NATIONAL AGRICULTURE MARKET (e-NAM)

 Launched on: 14 April 2016

 e-NAM "Platform of Platforms" launched on: 14th July 2022
 National Agriculture Market (e NAM), a pan-India electronic trading portal with the
objective of integrating the existing Mandis to “One Nation One Market” for
agricultural commodities in India.
 Total mandis integrated: 1,389
 Ministry: Ministry of Agriculture and Farmers’ Welfare.
 Implementing Agency: Small Farmers Agribusiness Consortium (SFAC)
 E-Nam Mandis
 Total e-Nam Mandis: 1000
 E –NAM Platform: Tamil Nadu(157) > Rajasthan(145)> Gujrat (144)>Madhya
Pradesh(139)> Maharashtra (133)
 Call centre Number for Beneficiaries of E-Nam for Logistics Support: 1800-270-
0224 (Farmers, FPO Business person, Service Provider)

Commodity Number
Food Grains/Cereals 35
Oilseed 14
Spices 16
Fruits 45
Vegetables 59
Miscellaneous 50
Total 219

Note: Now a total of 219 commodities are available for the trade.
 How E-NAM works:
A competent person will be appointed for one year in each sharing mandi in order to
enable the seamless and smooth operation of the portal. Read about National Agriculture
Market (NAM) in the linked article.
 Some key points related to e-NAM are given below:
The GOI is offering a grant of Rs.30 lakhs to the participating agriculture mandis.

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 Farmers under this scheme will be given ‘farmer helpline services’ 24×7 to help them
obtain information about the portal.
Small Farmers’ Agribusiness Consortium (SFAC) is the lead promoter of National
Agricultural Market (eNAM). SFAC is formulated under the Department of Agriculture,
Cooperation & Farmers’ Welfare (DAC&FW). SFAC through open tender selects a
Partner to develop, operate, and maintain the NAM e-platform.
 What is APMC:
 The Government of India designed a model Agricultural Produce Market Committee
(APMC) Act in 2003 as a first attempt to bring reformations in the agricultural markets.
 Agricultural Produce Market Committee (APMC) is a system operating under the State
Government since agricultural marketing is a state subject.
 The APMC has Yards/Mandis in the market area that regulates the notified agricultural
produce and livestock.
 About Agriculture & Our Constitution
 1966 - Agriculture is a state subject under the Constitution under (Seventh Schedule,
Article 246)
 Article 301 - Freedom of trade and commerce throughout the territory of India.

MGNREGA:
Act was passed in: 2005, came into effect on February 2, 2006
Renamed in: 2009 (MGNREGA), formerly known as NREGA
Ministry: Ministry of Rural Development
Type: Central sector scheme (100 percent funding for wages)
Minimum age: 18 years
At least one-third beneficiaries shall be women who have registered and requested work under
the scheme
AIM: It provides a legal guarantee of employment every financial year to adult members of
any rural household and enhances livelihood security in rural areas.
Features:
• Guaranteed 100 days of wage employment a year to do unskilled manual work.
• Additional 50 days of employment in drought/natural calamity notified rural areas.
• Wage rates for workers are notified and revised annually based on Consumer Price
Index-Agriculture Labourers (CPI-AL) by the Central Government.

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 • Work should be provided within 5 km radius of the village, beyond which 10%
additional transportation and living expense will be paid.
• Every adult in a rural area with a job card is eligible for a job.
• Under MGNREGA, workers are entitled to receive wages within 15 days after the work
is completed. If there is a delay, the government has to compensate the workers.

ACABC (Agri Clinic and Agribusiness Centres Scheme):

Launched on: 9th April 2002.
Implementing Agency: Ministry of Agriculture through NABARD acting as subsidy
channelising agency and MANAGE as training partner.
Loan Limit: 20 lakhs are available to individuals and 100 lakhs are provided to a group of five
trained persons.

Loan Term: Maximum up to 10 Years (inclusive of the moratorium)

Processing charges: Up to Rs.2.00 Lakh -NIL Above Rs.2.00 Lakh 1.40% of Loan amount
+GST

Required age: 18-60 years

Subsidy: 44% of project cost for women, SC/ST & all categories of candidates from Northeast
and Hill states and 36% of project cost for others

The objectives of the scheme are –

• To supplement efforts of public extension by providing extension and other services to

farmers either on payment basis or free of cost as per business model of agri-preneur,
local needs and affordability of target group of farmers.
• To support agricultural development.
• To create gainful self-employment opportunities to unemployed agricultural graduates.

cropping system where a second crop is sown before the first crop has been harvested.

PM-AASHA (Pradhan Mantri Annadata Aay SanraksHan Abhiyan)

Launched in: 2018

AIM: Ensuring remunerative prices to farmers for their produce.
An umbrella scheme to ensure Minimum Support Price (MSP) to farmers comprising:

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 • Price Support Scheme (PSS): Physical procurement of pulses, oilseeds and copra will
be done by central nodal agencies (NAFED – National Agricultural Cooperative
Marketing Federation of India Ltd) and FCI.

• Price Deficiency Payment Scheme (PDPS): Covers all oilseeds. Direct payment of
the difference between the MSP and the selling price will be made to pre-registered
farmers selling their produce in the notified market yard.

• Pilot of Private Procurement & Stockist Scheme (PPPS): For oilseeds, states have
the option to roll out this scheme. The selected private agency shall procure the
commodity at MSP in the notified markets whenever the prices in the market fall below
the notified MSP.

Mega Food Park Scheme of MoFPI:

 Launched In: 2008
 Objectives: To create modern infrastructure for the food processing industry and reduce
post-harvest losses.
 Ministry: Ministry of food processing industry under Pradhan Mantri Kisan Sampada
Yojana (PMKSY)
 Total no. of food park: 24
 Cluster-Based Approach: Promotes cluster-based development by establishing food
processing units.
 Components:
 Central Processing Centre (CPC): Core, Basic Enabling, Non-core infrastructure,
SDF sheds, Processing units
 Primary Processing Centres (PPC): Pre-cooling, Grading & Sorting, waxing,
packing, Temporary storage. Supply to CPC or direct market.
 Collection Centres (CC): Aggregation Points
 Public-Private Partnership (PPP): Implemented on a PPP basis, involving the
government, private players and farmers.
 Grants-in-aid:

 50% of the eligible project cost for General Area & 75% for North East, Hill &
Difficult areas subject to maximum of ` 50.00 Crore
 maximum amount of Rs. 5.00 crore in case of CEFPPC scheme, Rs. 10.00 crore in
case of APC and Cold Chain schemes and Rs.15.00 crore in case of OG scheme.

 Minimum eligible project cost of Rs.1.00 (one) crore against Rs. 3.00 crore in general areas.
 Land Requirement: 50 acres for setting up a Mega Food Park.
 Farmer Benefits: Enhances income by providing better market access for their produce.

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 Boost to Exports: Aims to promote export-oriented units and increase value-added exports
in food processing.
 Reduction of Waste: Targets reduction of food wastage and spoilage through efficient
storage and processing.
 Forward and Backward Linkages: Connects agricultural production hubs with
processing and distribution facilities.
 Ease of Doing Business: Simplifies processes for food processing industries by providing
ready infrastructure.
Pradhan Mantari Kisan SAMPADA Yojana
 Launch Year: 2017
 Full Form: Scheme for Agro-Marine Processing and Development of Agro-Processing
Clusters.
 Ministry: Ministry of Food Processing Industries (MoFPI).
 Financial Outlay: ₹6,000 crore for the period 2016-2020.
 Objective: To create modern infrastructure for food processing, reduce post-harvest losses
and enhance farmers' income.
 schemes under PM Kisan SAMPADA Yojana:
• Mega Food Parks
• Integrated Cold Chain and Value Addition Infrastructure
• Creation/Expansion of Food Processing Units
• Infrastructure for Agro-processing Clusters
• Creation of Backward and Forward Linkages
• Food Safety and Quality Assurance Infrastructure
• Human Resources and Institutions.
 Grant-in-Aid:
• For Food Processing Infrastructure- 50% of project cost in General Area & 75% for
North East, Hill & Difficult areas.
• Maximum Grant- 10.00 Crore.
 Farmer Benefits: Ensures better market access, enhances value of agricultural produce
and increases income.
 Reduction in Wastage: Aims to reduce wastage of perishables like fruits, vegetables,
dairy, meat and marine products.
 Public-Private Partnership (PPP): Encourages participation from private sector, farmer
cooperatives and small-scale enterprises.
 Focus on Exports: Aims to promote processed food exports and increase India's share in
global food trade.
 Inclusive Development: Benefits all stakeholders in the food processing value chain, from
farmers to processors and retailers.
 Backward and Forward Linkages: Strengthens agricultural supply chain by connecting
farmers with food processors and retail markets.
 Cold Chain Infrastructure: Develops integrated cold chains for the storage and
transportation of perishable products, improving shelf life.

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Production Linked Incentive Scheme for Food Processing Industry (PLISFPI)
 Launch Year: 2021, under the Ministry of Food Processing Industries (MoFPI).
 Objective: To enhance India's manufacturing capabilities and exports in the food
processing sector by providing financial incentives for value addition.
 Financial Outlay: ₹10,900 crore for the period 2021-2026.
 Focus Areas:
• Value-added products in segments like ready-to-eat (RTE) and ready-to-cook (RTC)
foods.
• Processed fruits and vegetables, marine products, dairy products, and bakery items.
• Health and wellness foods, organic products, and ethnic Indian foods.
 PLISFPI has been formulated based on the Production Linked incentive scheme of NITI
Aayog under “Aatma Nirbhar Bharat Abhiyaan for Enhancing India's Manufacturing
Capabilities and Enhancing Exports”
 Incentives: Companies are eligible for a 4% to 10% incentive on sales based on the
incremental sales and investments made in the food processing sector.
 Target Beneficiaries:
• Large manufacturers of food products.
• Small and medium-sized enterprises (SMEs).
• Micro food processing units, farmer producer organizations (FPOs), cooperatives, and
startups.
 Investment Requirements:
• Large companies: Minimum investment of ₹100 crore in plant and machinery.
• SMEs and startups: Minimum investment of ₹10 crore in plant and machinery.
 Employment Generation: Expected to create over 2.5 lakh jobs directly and indirectly.
 Focus on Exports: Aims to boost processed food exports and enhance India’s
competitiveness in global markets.
 Farmers' Benefits: Strengthens value chains, increasing demand for agricultural produce
and enhancing farmers' incomes.
 Eligible Products: Includes ready-to-eat and ready-to-cook products, processed fruits and
vegetables, dairy products, marine products, meat products and Indian ethnic foods.
 Support to Brands: Incentives for creating global food brands, improving quality and
increasing market penetration of Indian food products.

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 Food Safety: Promotes modern food processing technology to enhance food safety, quality
and hygiene standards.
 Implementation Period: From FY 2021-22 to FY 2026-27, with focus on increasing
capacity and exports during this time.
 Overall Goal: To make India a global hub for food processing and increase the share of
value-added food products in the international market.
Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme
 Launch Year: 2020
 Ministry: Ministry of Food Processing Industries (MoFPI)
 Objective: To formalize and enhance the competitiveness of unorganized micro food
processing enterprises in India.
 Financial Outlay: ₹10,000 crore for the period 2020-2025.
 Focus: Provides technical, financial and business support for the upgradation and
formalization of micro food processing units.
 Target Group: Unorganized micro food processing units, farmer producer organizations
(FPOs), self-help groups (SHGs) and cooperatives.
 Cluster-Based Approach: Promotes One District One Product (ODOP) approach to focus
on specialized products from each district, promoting local foods.
 Support for Individuals: 35% subsidy on eligible project costs, with a maximum cap of
₹10 lakh.
 Beneficiaries must contribute at least 10% of the project cost.
 Support for Groups (FPOs, SHGs, Cooperatives): Financial assistance for common
infrastructure such as sorting, grading, processing and packaging units.
 Skill Development and Training: Offers capacity building, skill training and technical
knowledge for micro food entrepreneurs.
 Credit Linked Support: Facilitates access to credit through financial institutions and helps
micro food enterprises with formal credit.
 Marketing and Branding: Assistance in marketing and branding of local products, both
domestically and internationally.
 Technology Upgradation: Focuses on improving processing technology, food safety
standards and quality control measures for micro-enterprises.
 Employment Generation: Aims to generate 9 lakh jobs by formalizing and upgrading
around 2 lakh micro food processing units.

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 Formalization: Focuses on transitioning informal micro-enterprises to formal entities,
thereby improving their sustainability and competitiveness.
 Convergence with Other Schemes: Works in synergy with other government initiatives
such as ODOP, Skill India and Atma nirbhar Bharat.
 Women Empowerment: Special focus on promoting micro food processing enterprises
led by women and vulnerable sections of society.
 Capacity Building: Strengthens local institutions to assist in technology, food safety,
hygiene and marketing.

Pradhan Mantri Fasal Bima Yojana:

Launched on: 18 February 2016 (Kharif 2016)
Theme: One Nation, One Crop, One Premium (NAIS, MNAIS)
Ministry: Ministry of Agriculture and Farmers Welfare
Coverage of crops: Food grains, oilseeds and annual commercial/ horticultural crops.
AIM: Supporting sustainable production in the agriculture sector by providing crop insurance.
Objectives:
 Providing financial support to farmers suffering crop loss/damage arising out of
unforeseen events thereby ensuring the flow of credit to the agriculture sector.
 Encouraging farmers to adopt innovative and modern agricultural practices.
Beneficiaries: All farmers including sharecroppers and tenants. It has been made voluntary for
all farmers, including loanee farmers.
Funding: It is a centrally sponsored scheme, and it replaced the national Agricultural Insurance
Scheme (NAIS) and Modified NAIS.
Note: Central sector schemes are 100% funded and implemented by central govt. example:
PM-KISAN, In Centrally Sponsored Scheme (CSS) a certain percentage of the funding is borne
by the States and the implementation is by the State Governments.
 Premium:
 Kharif Crops: 2%
 Rabi Crops: 1.5%
 Annual commercial and horticulture crops: 5%
Features:
 Insurance Coverage:
 Full coverage of insurance with no upper cap on government subsidy.
 50:50 ratio- by the Centre and States/UTs in all States/UTs except North Eastern
Region (NER), 90: 10 ratio- in North Eastern Region (NER)
 The scheme was once mandatory for loanee farmers, but after 2020 Centre changed it
to make it optional for all farmers.
 Area approach basis:

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  This principal assumes that all the farmers in a notified area i.e., ‘Insurance Unit (IU)’
face similar risks for a notified crop.
 Coverage:
 Prevented Sowing/ Planting/ Germination Risk (25% of sum insured)
 Post harvest losses: Coverage is available only up to a maximum period of two
weeks from harvesting
 Localized calamities: hailstorm, landslide, inundation, cloud burst and natural fire
due to lightening
 Add-on coverage for crop loss due to attack by wild animals.
 Losses arising out of war and nuclear risks, malicious damage and other
preventable risks shall be excluded.
 Not covered under PMFBY:
 War and nuclear risks
 Theft
 Grazing
 Intentional damage
 Post-harvest losses after 14 days
 Losses due to lack of management
 Financial and Market Risks
 Any Mala fide Actions
Maharashtra has become the first state in the country to integrate its land records with the web
portal of the Pradhan Mantri Fasal Bima Yojana (PMFBY).
Kisan Credit Card

 Introduced in: 1998, by the GOI through NABARD (National Bank for Agriculture and
Rural Development).

 Assessment for KCC: based on the land holding of farmer.

 Use: To purchase agriculture inputs such as seeds, fertilizers, pesticides, maintenance of

machines etc. and draw cash for their production needs.

 In the Budget-2018-19, KCC was extended to fisheries and animal husbandry farmers.

 Objectives:

 To meet the short-term credit requirements for cultivation of crops

 Post-harvest expenses
 Produce marketing loan
 Consumption requirements of farmer household
 Working capital for maintenance of farm assets and activities allied to agriculture
 Investment credit requirement for agriculture and allied activities. (Long term
credit)

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  Features of KCC

 ATM-enabled RuPay debit card with any number of drawls.

 No processing fee of loan under KCC
 Collateral free agriculture loan is Rs.1.6 lakh now.
 Card is given for a period of 5 years and reviewed every year.
 Each drawl to be repaid within a maximum period of 12 months.
 Term loan for Investment under KCC: The term loan for investment is to be made
towards land development, minor irrigation, purchase of farm equipment and allied
agricultural activities.
Long-term loan limit should be based on the proposed investment(s) during the five-year
period.
 Eligibility:
i. Farmers - individual/joint borrowers who are owner cultivators;
ii. Tenant farmers, oral lessees & sharecroppers;
iii. Self Help Groups (SHGs) or Joint Liability Groups (JLGs) of farmers including
tenant farmers, sharecroppers etc.
 GOI has reduced the interest subvention from 2% to 1.5%, availed on short term loans for
FY 2022-23 and 2023-24.
 Simplified Application Process (2020): The government simplified the KCC loan
application process with a one-page form to make it more farmer-friendly and accessible.
 Department of Fisheries successfully inaugurates the integration of the Kisan Credit Card
Fisheries scheme onto the Jan Samarth Portal to digitizing the fisheries sector.
 Lakhpati Didi is not a scheme but an output of the Deendayal Antyodaya Yojana –
National Rural Livelihoods Mission (DAY-NRLM) scheme of the Ministry of Rural
Development (MoRD). Under DAY-NRLM, as on 30th June 2024, 10.05 crore women
have been mobilized into 90.86 Lakhs Self Help Groups (SHGs).

Modified Interest Subvention Scheme (MISS)

 AIM: To provide short term credit to farmers at low interest rates.

 Launched in: 2006-07 (Effective from Kharif 2006-07)
 Renamed in: 2022 (modified interest subvention scheme/MISS) formerly known as
Interest Subvention Scheme.

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 Implementation: The scheme is being implemented by the NABARD and RBI through
Public sector Banks (PSBs), Private sector Banks (from 2013-14), Cooperative Banks and
Regional Rural Banks (RRBs)
 Eligibility: Farmers, Tenant farmers, oral lessees & sharecroppers, Self Help Groups
(SHGs) or Joint Liability Group (JLG).
 Features:

• Concession of 1.5% per annum for short term crop loans to farmers, upto Rs. 3 Lakh at
7% rate of interest

• An additional interest subvention of 3% annum is available to the “Prompt payee

farmers”.

• For dairy sector interest subvention of 2% per annum, with an additional incentive of
2% per annum interest subvention is available for the farmers.

• The benefit of interest subvention is extended for period of up to six months (post-
harvest) to S&MF having KCC on loan against negotiable warehouses receipts (NWR)
with the purpose of preventing distress sale of produce.

 The scheme is provided for four Segments:

• Interest subvention for short term crop loans.
• Interest subvention for post-harvest loans
• Interest subvention under Day-NRLM
• Interest Subvention for Relief to farmers affected by natural calamities.
 As per RBI vide Circular dated February 7, 2019, the collateral-free loan limit under the
Kisan Credit Card (KCC) linked with MISS was increased from ₹1 lakh to ₹1.6 lakh.
 Pandemic-Related Relief (2020-2021): During COVID-19, the government facilitated
moratoriums and loan restructuring for KCC holders to ease the financial burden on
farmers.

Interest Subvention Scheme for MSMEs

 Ministry: Ministry of MSME

 Introduced in 2018
 2% interest subvention for all GST registered MSMEs.
 Interest subvention would be made available for maximum financial assistance of ₹100
lakh/ ₹1 crore

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 Eligibility:
a. Valid Udyog Aadhar Number [UAN]
b. Valid GSTN Number
 The Emergency Credit Line Guarantee Scheme (ECLGS) was launched as a parallel
scheme to support MSMEs during the pandemic, complementing the Interest Subvention
Scheme.
 For the financial year 2023-24, the government allocated ₹1,500 crore for the broader
MSME sector, including interest subvention initiatives.

MUDRA Loans

 Launched in: April 2015 under the Pradhan Mantri MUDRA Yojana (PMMY) by the
Government of India.
 Micro Units Development and Refinance Agency Bank (Mudra Bank) is created as a public
sector financial institution. It’s a wholly owned subsidiary of SIDBI. It does not lend
directly to MSME.
 It provides loans at low rates to micro-finance institutions and non-banking financial
institutions, which then provide credit to MSMEs.
 Loans can be given by: commercial Banks, RRBs, small Finance Banks, Cooperative
Banks, MFIs and NBFCs. No subsidy is provided for the loans given.
Types of loan:
• Shishu: Loans up to ₹50,000 for startups or early-stage micro-enterprises.
• Kishor: Loans from ₹50,001 to ₹5 lakh for growing businesses.
• Tarun: Loans from ₹5 lakh to ₹20 lakh for well-established enterprises aiming for
further expansion.
• Tarun Plus: Rs. 10 lakh and up to Rs. 20 lakhs.
 Borrowers under the MUDRA scheme is issued a MUDRA Card, which operates like
a credit card and can be used for working capital requirements.

DAY-NRLM (Deen Dayal Antyodaya Yojana- National Rural Livelihoods Mission)

 Aim: To reduce poverty by providing self-employment and skilled wage employment

opportunities.

 Ministry: Ministry of Rural Development.

 Launched in: 2011

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 National Rural Livelihood Mission (NRLM) is a restructured version of restructuring
Swarnajayanti Gram Swarojgar Yojana (SGSY) (IBPS-AFO 2019).

 NRLM was renamed as DAY-NRLM (Deendayal Antyodaya Yojana - National Rural

Livelihoods Mission) w.e.f. March 29, 2016. (IBPS-AFO 2020)

 Funding: It is a Centrally sponsored scheme and the share is centre and the States 60:40
and 90:10 in NE States.

 Key Features:

• The Mission consists of four components, viz.,

(i) Social mobilization, community institution and capacity building;
(ii) Financial inclusion
(iii) Livelihood promotion
(iv) Convergence
• Universal Social Mobilisation: One woman member from each rural poor household
to be brought under SHG network.
• Participatory identification of Poor (PIP): Target groups are identified transparently
at the level of the community.
• Community Resource Persons (CRPs): Trained individuals who provide guidance
and support to SHGs.
• Sub-Missions and Special Projects
i. Start-up Village Entrepreneurship Program (SVEP): Encourages
entrepreneurship in rural areas.
ii. Aajeevika Grameen Express Yojana (AGEY): Aims to provide safe and
affordable rural transport services.
iii. Mahila Kisan Sashaktikaran Pariyojana (MKSP): Focuses on empowering
women farmers by improving their access to resources and services.

Financial inclusion:

• promotes financial literacy among the poor and provides catalytic capital to the SHGs
and their federations.
• Coordinates with the financial sector and encourages use of (ICT) based financial
technologies, business correspondents and community facilitators like ‘Bank Mitras’.

Financial Assistance to the SHGs:

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 • DAY-NRLM, MoRD, will provide Revolving Fund (RF) support as corpus ranging
between ₹20,000 - ₹30,000 per SHG.
• For loans up to ₹3 lakh under the scheme, banks will extend credit at a concessional
interest rate of 7% per annum.
An additional Interest Subvention of 3% per annum is provided to women SHGs
maintaining prompt repayment, reducing the effective rate of interest to 4%.
For loans above ₹3 lakh and up to ₹5 lakh under the scheme, banks will extend credit
at interest rate of 10%.
• One woman in every SHG under DAY-NRLM may be provided a loan up to ₹1 lakh
under the MUDRA Scheme.
• An overdraft facility of Rs 5,000 will be available to verified SHG members under DAY
– NRLM having accounts under the Prime Minister Jan Dhan Yojana with Banks.
• For loans to SHGs up to ₹10.00-20.00 lakh, no collateral and no margin will be
obtained.

Eligibility of SHG to avail loan:

 SHGs should be in active existence at least for the last 6 months.

 SHGs should be practicing ‘Panchasutras’ i.e., Regular meetings; Regular savings;

Regular inter-loaning; Timely repayment and Up-to-date books of accounts.

 Qualified as per grading norms fixed by NABARD.

Loan Amount: SHGs may avail either Term Loan (TL) or a Cash Credit Limit (CCL) or both
based on their requirement. Limit of minimum loan of ₹6 lakh to each eligible SHG for a period
of 3 years with a yearly drawing power (DP).

a) DP for the first year: 6 times of the existing corpus or minimum of ₹1.5 lakh.

b) DP for the second year: 8 times of the corpus at the time of review/enhancement or minimum
of ₹3 lakh.

c) DP for the third year: Minimum of ₹6 lakh based on the Micro Credit Plan (MCP).

d) DP for the fourth year onwards: Above ₹6 lakh, based on the MCP.

 Deendayal Antyodaya Yojna- National Rural Livelihoods Mission (DAY-NRLM)

launched eSARAS mobile App which will add to eCommerce initiatives for products
made by the SHGs.

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  The App was launched by Shri Shailesh Kumar Singh, Secretary, Ministry of Rural
Development, Government of India at New Delhi in year 2023.
 The eSARAS fulfilment centre will be managed by the Foundation for Development of
Rural Value Chains (FDRVC - a Not-for-Profit Company constituted jointly by Ministry
of Rural Development and Tata Trust) and will be used for processing, packaging and
shipping of products that customers purchase through the eSARAS Portal and eSARAS
mobile App.
 A sub-scheme named “Aajeevika Grameen Express Yojana (AGEY)” as part of the
Deendayal Antyodaya Yojana – National Rural Livelihoods Mission (DAY-NRLM) in
2017.

Mission for Integrated Development of Horticulture (MIDH)

Launched in: 2014-15
Ministry: The Ministry of Agriculture and Farmer's Welfare
Coverage of crops: Horticultural crops such as fruits, vegetables, roots, tuber crops,
mushrooms, spices, flowers, aromatic plants, coconut, cashew, cocoa, etc.
Approach: Subsumed various horticulture-related schemes under a single umbrella, ensuring
comprehensive and unified development.
Objectives: Promoting holistic growth in horticulture sector through regional strategies,
encouraging farmer group aggregation, enhancing production and improving productivity
through Micro Irrigation, thereby strengthening nutritional security and income.
Features:

• MIDH is implemented under Green Revolution - Krishonnati Yojana.

• 60:40 ratio- by the Centre and States/UTs in all States/UTs except North Eastern
Region (NER), 90:10 ratio in North Eastern Region (NER)
• Under MIDH, financial & technical assistance is provided to States/UTs for following
major interventions/activities:
i. Setting up of nurseries, tissue culture units for production of quality seed and
planting material.
ii. Area expansion i.e. Establishment of new orchards and gardens for fruits,
vegetables, and flowers.
iii. Rejuvenation of unproductive, old and senile orchards.
iv. Protected cultivation, i.e. poly-house, green-house, etc, to improve the
productivity & grow off season high value vegetables and flowers.
v. Organic farming and certification.

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 vi. Creation of water resources structures and watershed management.
vii. Bee-keeping for pollination.
viii. Horticulture Mechanization.
ix. Creation of Post Harvest Management and Marketing infrastructure.
x. Training of farmers.
Sub-schemes:

S.No. Sub Scheme Target group / area of operation

1 National Implemented by State Horticulture Missions (SHM) in
Horticulture 384 districts from 23 States & UTs. For availing benefits
Mission (NHM) and assistance under the scheme, farmers / beneficiaries
should contact the Horticulture Officer of concerned
district.
2 Horticulture All states in NE and Himalayan Region - Arunachal
Mission for North Pradesh, Assam, Manipur, Mizoram, Nagaland,
East & Himalayan Meghalaya, Sikkim, Tripura, Himachal Pradesh,
States (HMNEH)
Uttarakhand and Jammu & Kashmir
3 National All states & UTs focusing on commercial horticulture.
Horticulture For availing benefits and assistance under NHB scheme,
Board (NHB) farmers / beneficiaries should contact the Regional Office
of NHB or NHB Headquarters
4 Coconut All States and UTs where coconut is grown
Development
Board (CDB)
5 Central Institute NE states, focusing on HRD and capacity building.
for Horticulture
(CIH)

Eligibility: All farmers / registered societies / state governments are eligible for the scheme
Sub-mission On Agriculture Mechanization
Launched in: 2014-15
Ministry: The Ministry of Agriculture and Farmer's Welfare
Objective: To promote agricultural mechanization, enhance farmers' productivity, and reduce
labor shortages.
Components:
1. Tractorization: Promoting tractor usage and distribution.
2. Crop Processing: Supporting equipment for post-harvest handling.

17
3. Seed Processing: Enhancing supply of equipment for seed processing (e.g., seed cleaners,
graders) and improving seed quality through mechanization.
4. Farm Machinery Banks: Establishment of FMBs for renting farm machinery and custom
Hiring Centres (CHCs) for machinery rental.
5: High-Value Agriculture: Promotion of precision agriculture and support for equipment for
high-value crops (e.g., greenhouse, drip irrigation)
6. Rural Entrepreneurship: Training and capacity building for rural youth and Support for
entrepreneurship development in agricultural mechanization.
7. Extension and Training: Training for farmers, artisans and mechanics and demonstration
and promotion of agricultural machinery.
8. Research and Development: Development of new agricultural machinery and Testing and
evaluation of equipment.
Financial Assistance:

• Up to 50% subsidy on machinery/equipment for SC/ST, small/marginal farmers, and

women.
• 40% subsidy for other farmers.
Eligible Beneficiaries:

• Farmers (individuals/joint owners)

• Cooperative societies
• Self-help groups
• Farmers' producer organizations
Implementing Agencies:

• State Agriculture Departments

• Agricultural Universities
• Krishi Vigyan Kendras (KVKs)
National Food Security Mission
Launched in: 2007-08
Ministry: The Ministry of Agriculture and Farmer's Welfare
Recommended by: agriculture sub- committee of National Development Council (NDC)
Objective: To increase the production of rice, wheat and pulses through
(i) Area expansion and productivity enhancement
(ii) Restoring soil fertility and productivity
(iii) Creating employment opportunities
(iv) Enhancing farm level economy.

18
Coarse cereals were also included in the Mission from 2014-15 under NFSM.
Components of NFSM:
1. National Food Security Mission – Rice (NFSM-Rice)
2. National Food Security Mission – Wheat (NFSM-Wheat)
3. National Food Security Mission – Pulses (NFSM-Pulses)
4. National food Security Mission - Coarse cereals (NFSM-Coarse cereals)
5. National Food Security Mission – Nutri cereals (NFSM- Nutri cereals)
6. National Food Security Mission – Commercial crops (NFSM-Commercial crops)
7. National Food Security Mission – Oilseeds and Oilpalm (NFSM-Oilseeds)
8. National Food Security Mission – Seed village programme
Features:

• Demonstration of improved technologies: Conducting demonstrations on

improved agricultural practices and technologies, focusing on resource conservation
and climate resilience.
• Input Management: Distribution of high-yielding variety (HYV) seeds, soil
nutrients, and plant protection chemicals.
• Capacity Building: Training farmers on modern agronomic practices, post-harvest
technology, and farm management.
• Cluster Demonstration: Promoting cluster-based demonstrations for cereals and
pulses to achieve a larger impact.
• Mechanization: Encouraging the use of farm machinery and implements to improve
labour efficiency and productivity.
• The mission promotes climate-smart agriculture practices to tackle the challenges
posed by changing weather patterns.
Implementation:

• National-Level Monitoring: The implementation of NFSM is monitored at the

central level by a general council, and at the state level by the state food security
mission.
• District-Level Implementation: It is primarily implemented at the district level,
with District Agricultural Officers taking the lead in ensuring on-ground execution.

Financial Assistance:

• The funding pattern for NFSM is shared between the Centre and States.
i. 60:40 ratio for general states.
ii. 90:10 ratio for northeastern states and hilly regions.
iii. 100% Central Assistance for Union Territories.

19
 National Mission for Sustainable Agriculture (NMSA)
Launched in: 2014-15
Ministry: Ministry of Agriculture & Farmers' Welfare, Government of India
Objective: To promote sustainable agriculture by developing climate-resilient farming
practices and ensuring better soil health and water-use efficiency.
Components of NMSA:

COMPONENTS FEATURES
Rainfed Area • Focuses on improving productivity in rainfed areas through integrated
Development farming systems.
(RAD) • Emphasizes combining crops, horticulture, livestock and agroforestry
to make the best use of available resources.

Soil Health • Promotes practices like soil testing, the distribution of Soil Health Cards
Management and balanced nutrient management.
(SHM) • Encourages the adoption of organic farming and the use of biofertilizers.

On-Farm Water • Enhances water-use efficiency by promoting micro-irrigation systems

Management (drip and sprinkler irrigation).
(OFWM): • Supports the construction of rainwater harvesting structures and the
development of farm ponds for rainfed agriculture.

Climate Change • Promotes the adoption of climate-smart agricultural practices, such as

Adaptation: drought-tolerant seed varieties, weather-based crop insurance and early
warning systems for extreme weather.
• Supports sustainable agriculture technologies that reduce greenhouse gas
(GHG) emissions.

National • to utilize the untapped potential of the bamboo sector.

Bamboo Mission
(NBM)

Features of NMSA:
1. Integrated Farming Systems (IFS): Encourages the integration of various
components of farming—such as crops, horticulture, animal husbandry, and
agroforestry—to ensure economic stability and resource conservation.
2. Agroforestry: Promotes the use of trees and shrubs alongside crops for increasing farm
productivity, conserving soil, and protecting against climate change.

20
 3. Conservation Practices: Supports conservation agriculture through minimum soil
disturbance, permanent organic cover, and crop rotation for better soil health and
carbon sequestration.
4. Organic Farming Promotion: Focuses on reducing dependency on chemical
fertilizers and pesticides, and promotes the use of organic inputs, composting, and
vermicomposting.
Soil Health Card Scheme

• Launched by the Government of India in February 2015 under Ministry of Agriculture

• and Farmers’ Welfare.
• Contains information on 12 soil parameters: N, P, K (Macro-nutrients), S (Secondary-
nutrient), Zn, Fe, Cu, Mn, Bo (Micro-nutrients), and pH, EC, OC (Physical
parameters).
• Each farm receives a Soil Health Card once every 3 years.
Pradhan Mantri Krishi Sinchayee Yojana (PMKSY):
Launched In: July, 2015
Motto: “Har Khet Ko Paani” (Water for Every Farm).
Components:
1. Accelerated Irrigation Benefit Programme (AIBP): One of the components of
PMKSY to accelerate the pace of irrigation coverage in the country.
2. PMKSY (Har Khet ko Pani): Focuses on providing water to each farm. And,
Comprehensive approach covering various aspects of irrigation development.
3. PMKSY (Per Drop More Crop): Aims to improve water use efficiency which
emphasizes “more crop per drop” principle.

PM Kisan Urja Suraksha Evam Utthaan Mahabhiyan Yojana

Launch Year: 2019
Ministry: Ministry of New and Renewable Energy (MNRE), Government of India
Objective: To promote solar energy use in agriculture, enhance farmers’ income, and reduce
their dependence on diesel and grid power for irrigation.
Key Components of PM-KUSUM Yojana:
PM-KUSUM is divided into three components to cover different aspects of renewable energy
adoption in agriculture:

Objective Financial Assistance

21
Component-A: Installation of • Farmers or cooperatives can
Decentralized Solar Power small-scale install these solar plants on
Plants. solar power their unused land.
plants (up to 2 • The power generated is sold to
MW capacity) DISCOMs (Distribution
on barren or Companies), and farmers earn
fallow land. additional income.
• The government provides
financial support of up to
30% of the project cost.

Component-B: Solarizing • The government provides 60%

existing grid- subsidy.
Solarization of Existing
connected Central Government subsidy:
Grid-Connected
irrigation 30%
Agriculture Pumps
pumps to make State Government subsidy:
them self- 30%
sufficient and • The remaining 40% of the cost
reduce reliance is to be paid by the farmers (via
on grid power. loans if needed).
• In North Eastern States,
Sikkim, J&K, Himachal,
Uttarakhand, Lakshadweep
and A&N Islands, CFA of 50%,
State Government subsidy
30%, Remaining 20% by the
farmer
Component-C: Installation Installation of Individual Pump Solarization
of Standalone Solar Pumps standalone solar- The cost-sharing model is as
powered pumps (off- follows:
grid) in areas where • Central Government
electricity access is subsidy: 30%
limited or absent. • State Government
subsidy: 30%
• Farmer’s contribution:
40% (can be financed
through loans or self-
funded).

Feeder-level solarization

22
 • The Central Government
subsidy covers 30% of the
feeder-level solar plant's
cost.
• The remaining costs are
covered by the state
government and/or
DISCOMs, which results in
no direct investment from
farmers.

Features
• The capacity of these pumps’ ranges from 0.5 HP to 7.5 HP, depending on the water
requirements of the farms.
• PM-KUSUM Scheme has been extended till 31.03.2026.
• Central Financial Assistance (CFA) is available for pump capacity up to 15 HP
(increased from 7.5 HP) to the individual farmers in the North-eastern States, Hilly
States/UTs and Islands UTs, and for each farmer in the cluster/ community irrigation
projects in high water table areas in all the States/ UTs.
• Time period extended for implementation to 24 months from the date of initial sanction.
• Requirement of performance bank guarantees under Component-A and Component-C
(Feeder Level Solarization) relaxed.
• Solarization of pumps under the Component B & C of the Scheme included under
Agriculture Infrastructure Fund (AIF) to provide subsidized loans to farmers.
• Scheme included under Priority Sector Lending (PSL) Guidelines of the Reserve Bank
of India (RBI) to enable ease of accessing finance.
• Toll free number (1800 180 3333) provided for ease of getting information on the
Scheme.
• The Guidelines of the scheme have been revised on 12.07.2023 to simplify the land
aggregation process in Component ‘C’.

Agriculture Infrastructure Fund

Launched in: July, 2020
Ministry: Ministry of Agriculture and Farmers Welfare
Objective: It is a medium – long term debt financing facility for investment in viable for post-
harvest management infrastructure and community farming assets.
Funding: It is a central sector scheme.
Implementation: NABARD
Tenure & Funding:
• Operational from 2020-21 to 2032-33
• Total corpus: ₹1 lakh crore.

23
 • Loan limits: Up to ₹2 crore with 3% interest subvention, loans available for a 7-year
tenure.
• Credit guarantee via CGTMSE for loans up to ₹2 crore.
Eligible Entities:
• Farmer Producer Organizations (FPOs), Primary Agricultural Credit Societies (PACS),
Self Help Groups (SHGs), Joint Liability Groups (JLGs), Agri-entrepreneurs, Startups
and State agencies.
Key Activities Supported:
• Post-harvest infrastructure: Cold storage, warehouses, processing units, ripening
chambers.
• Value chain development: Grading, sorting, packaging, logistics, e-marketing
platforms.
• Community farming assets: Solar pumps, mini tractors and other modern agricultural
equipment.
Interest Subvention:
• 3% subvention on loans with a maximum amount of ₹2 crore.
• Subvention applicable for 7 years.
Credit Guarantee:
• CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises)
coverage for loans up to ₹2 crore.
• Facilitates easy access to loans with less collateral requirements.

Integrated Scheme for Agriculture Marketing

Launched in: April,2014
Ministry: Ministry of Agriculture and Farmers Welfare
Aim: To promote creation of agricultural marketing infrastructure by providing backend
subsidy support to state, cooperative and private sector investments.
Objective:
• Infrastructure Development: Establish and improve market yards, rural godowns,
cold storages, and value-addition infrastructure.
• Farmer Income Enhancement: Reduce marketing costs and ensure fair prices for
farmers.
• Market Reforms: Encourage transparent pricing and easy access to markets for small
and marginal farmers.
• Grading & Standardization: Strengthen the quality grading of agricultural products
to ensure better marketability.
Funding: It is a central sector scheme
Components: The ISAM consist of following 5 sub schemes:

24
 Sub-Scheme Function Implementation
Agricultural Marketing Infrastructure Develops Directorate of
(AMI) [the existing schemes of storage Marketing & Inspection
Grameen Bhandaran Yojana (GBY) infrastructure, (DMI)
and Development/Strengthening of grading and
agricultural marketing infrastructure, standardization
grading and standardization (AMIS) facilities
will be merged as AMI]
Marketing Research and Information Collects and Directorate of
Network (MRIN) disseminates Marketing & Inspection
market data and (DMI)
prices
Strengthening of Agmark grading Enhances quality Directorate of
Facilities (SAGF) certification of Marketing & inspection
agricultural (DMI)
commodities
Agri-Business Development (ABD) Supports agri- Small farmers
through Venture Capital Assistance business projects Agribusiness
(VCA) and Project Development through venture consortium (SFAC)
Facility (PDF) capital
assistance
Choudhary Charan Singh National Provides Small Farmers
Institute of Agriculture Marketing training, Agribusiness
(NIAM) research and Consortium (SFAC)
consultancy in
agricultural
marketing

Training of rural youth for self-employment:

Launched in: 1979
Ministry: Ministry of Rural Development
Parent Scheme: Integrated Rural Development Program (IRDP).
Implementation: District Rural Development Agencies
Objective: To provide technical and vocational training to rural youth to promote self-
employment.
Target Group:
•Rural youth aged 18-35 years.
• Special focus on youth from SC/ST communities, women, and the physically disabled.
• Each block was expected to train around 40-50 youth annually.
Training Areas:

25
 • Traditional skills: Agriculture, animal husbandry, handicrafts, etc.
• Non-traditional skills: Mechanical repairs, electronics, small-scale industries, etc.
• Training was provided at government institutions, industrial training institutes (ITIs),
and other accredited centers.

Funding Mechanism:

• Funded by both the Central and State Governments on a 50:50 basis.

• Free training was offered to participants along with stipends during training.

Merging and Transformation:

• In 1999, TRYSEM was merged with the Swarnjayanti Gram Swarozgar Yojana
(SGSY) to provide a more comprehensive approach towards rural self-employment and
livelihood promotion.
• SGSY later evolved into the Deendayal Antyodaya Yojana - National Rural
Livelihoods Mission (DAY-NRLM), which continues to focus on promoting
sustainable livelihoods for rural poor through Self Help Groups (SHGs) and micro-
enterprises.

Features of TRYSEM:
• An identified youth will be put through a period of training either in a training
institution or under a master crafts man.
• Duration of training is flexible depending upon types of courses.
• Trainers are given stipend and a tool kit.
• Successful trainee is eligible to receive a subsidiary/credit/income generating asset
under IRDP.
• At least 50 percent of the youth to be trained for self-employment either for secondary
or tertiary sector activity.
• Wage employment training was to be in the secondary and tertiary sectors.
• BDO selects the eligible youth belonging to the target group with the help of VLW’s.
• The identification of locations is done by the DRDA in consultation with district level
officers of different departments.

Agri-Market Infrastructure Fund (AMIF)

Launched in: Union Budget 2018-19
Ministry: Ministry of Agriculture and Farmers Welfare
Objective: Improve agricultural marketing infrastructure, enhance farmers' income, and
increase agricultural productivity.
Implementing Agencies: National Bank for Agriculture and Rural Development (NABARD)

Eligibility:
1. Farmers, FPOs, cooperatives

26
2. Agricultural businesses, startups
3. State and central government agencies

Implementing Agencies: National Bank for Agriculture and Rural Development (NABARD)

Funding ratio for AMIF:

• Central Government: 50% (₹50 crores max per project)
• State Government: 30% (₹30 crores max per project)
• Beneficiaries: 20% (₹10 lakhs min per project)
Interest Subvention:
• 3% per annum interest subvention (for 5-7 years)
• 50% credit guarantee coverage (provided by National Credit Guarantee Trustee
Company)
Loan Tenure and Repayment:
• Up to 7 years loan tenure
• Moratorium period up to 2 years
• Equated annual installments repayment schedule

Key Features:
• The fund was launched with an initial corpus of ₹2000 crore.
• Managed by NABARD (National Bank for Agriculture and Rural Development).
• It supports state governments, APMCs and marketing boards in upgrading market
infrastructure, particularly in rural areas.
• The fund helps in developing rural markets closer to production centers, reducing the
dependency on distant markets.

FPO and CHC:

Farmer Producer Organizations (FPOs)
Implementing Agencies: Small Farmers Agribusiness Consortium (SFAC), NABARD and
state governments play a significant role in promoting and supporting FPOs.
Definition: FPO refers to a Farmer Producer Organization, which is a voluntary organization
of farmers to improve their production and market access by aggregating their agricultural
products.
Objectives:

• Enhance farmers' income by providing them access to better inputs, technology and
markets.
• Facilitate collective bargaining for inputs like seeds, fertilizers and pesticides.
• Strengthen the supply chain by creating linkages between farmers and the market.

Formation:

27
 • FPOs can be registered as cooperatives, societies, or companies under the
Companies Act (as Producer Companies).
• Supported by government schemes like the Central Sector Scheme of Formation
and Promotion of 10,000 FPOs, launched by the Ministry of Agriculture and
Farmers’ Welfare.

Benefits:
• Economies of scale: Farmers can pool resources to reduce costs.
• Market Linkages: Better access to markets and e-NAM integration.
• Financial Support: Access to credit, subsidies and schemes like NABARD’s FPO
financing.
Government Initiatives:
1. National Programme for Farmer Producer Organizations (NPFPO)
2. Central Sector Scheme of “Formation and Promotion of 10,000 Farmer Producer
Organizations (FPOs)” to form and promote 10,000 new FPOs till 2027-28.

Custom Hiring Center (CHC)

Definition:
Custom Hiring Centre (CHC) is a facility where farmers can rent agricultural
machinery and equipment at affordable rates, eliminating the need for individual
ownership of expensive machines.
Objectives:
• Promote the use of modern agricultural machinery to increase productivity.
• Make agricultural equipment available to small and marginal farmers who cannot afford
to purchase them.
• Reduce the drudgery of farm work and save time and labour costs.
Features:
• CHCs offer machinery such as tractors, seed drills, threshers, harvesters and irrigation
equipment on a rental basis.
• Operated by private entrepreneurs, FPOs, cooperatives or state governments under
various schemes.
Benefits:
• Affordable Mechanization: Provides access to machinery for small and marginal
farmers.
• Increased Efficiency: Reduces manual labour and enhances agricultural productivity.
• Employment: CHCs generate employment opportunities for rural youth as operators
and service providers.
Government Support:
• Under the Sub-Mission on Agricultural Mechanization (SMAM) started in 2014-
15, CHCs are promoted with financial assistance to set up centres.

28
 • Central government funds 60%, and states contribute 40% (90:10 for northeastern &
Himalayan states, 100% for UTs).

Pradhan Mantri Kisan Maan-Dhan Yojana (PM-KMY)

• Started in: September 2019 by Ministry of Agriculture & Farmers’ Welfare

• Objective: To provide social security to small and marginal farmers in their old age.
• Assured monthly pension of Rs. 3000/- for small and marginal farmers
• Farmers in entry age group of 18 to 40 years can participate.
• Monthly contribution ranges from Rs. 55 to Rs. 200 based on entry age.
• Contributions continue till retirement at age 60.

Minimum support Price:

• The Minimum Support Price (MSP) represents the rate at which the government
procures agricultural produce from farmers.
• The announcement of MSPs is made by the Cabinet Committee on Economic Affairs,
chaired by the Prime Minister.
• These announcements are based on recommendations from the Commission for
Agricultural Costs and Prices (CACP), which operates as an attached office of the
Ministry of Agriculture and Farmers Welfare.
• The MSPs are applicable to a range of crops, including 14 Kharif crops, 6 rabi crops,
and 2 commercial crops.

Commodity Variety MSP for MSP for Increase over

2023-2024 2024-2025 previous year
(Rs per (Rs per (Rs per
quintal) quintal) quintal)
KHARIF CROPS

Paddy Common 2183 2300 117

Grade 'A' 2203 2320 117

Jowar Hybrid 3180 3371 191

Maldandi 3225 3421 196

Bajra 2500 2625 125

Maize 2090 2225 135

Ragi 3846 4290 444

Arhar (Tur) 7000 7550 550

Moong 8558 8682 124

29
Urad 6950 7400 450

Cotton Medium 6620 7121 501

Staple*
Long 7020 7521 501
Staple **
Groundnut in shell 6377 6783 406

Sunflower seed 6760 7280 520

Soyabeen Yellow 4600 4892 292

Sesamum - 8635 9267 632

Nigerseed - 7734 8717 983

RABI CROPS (Rabi Marketing Season (RMS) 2025-26)

Wheat 2275 2425 150

Barley 1850 1980 130

Gram 5440 5650 210

Masur (Lentil) 6425 6700 275

Rapeseed & Mustard 5650 5950 300

Safflower 5800 5940 150

Toria (2024-25 5450 5650 200

season)
OTHER CROPS

Copra (2024 crop Milling 10,860 11,160 300

season)
Ball 11,750 12,000 250

De-husked coconut 2930 3013 83

(2024 crop season)

Raw Jute - TDN-3 5050 5335 285

equivalent to earlier
TD-5 grade (for 2024 -
25 season)
Sugarcane FRP (for 340 -
the sugar season 2024-
25)

30
Clean Plant Programme (CPP):
Started in: August 2024

RBI Guidelines

 CATEGORIES AND TARGETS UNDER PRIORITY SECTOR

 Targets /Sub-targets for Priority sector
 The targets and sub-targets set under priority sector lending, to be computed on the
basis of the ANBC/ CEOBE as applicable as on the corresponding date of the
preceding year, are as under:
Categories Domestic Foreign banks Regional Rural Small
commercial with less than Banks Finance
banks (excl. 20 branches Banks
RRBs & SFBs)
& foreign banks
with 20 branches
and above
Total 40 per cent of 40 per cent of 75 per cent of 75 per cent
Priority ANBC as ANBC as ANBC as of ANBC as
Sector computed in para computed in computed in para computed in
6 below or para 6 below or 6 below or para 6
CEOBE CEOBE CEOBE below or
whichever is whichever is whichever is CEOBE
higher higher; out of higher; However, whichever is
which up to 32% lending to higher.

31
 can be in the Medium
form of lending Enterprises,
to Exports and Social
not less than 8% Infrastructure and
can be to any Renewable
other priority Energy shall be
sector reckoned for
priority sector
achievement only
up to 15 per cent
of ANBC.
Agriculture 18 per cent of Not applicable 18 per cent 18 per cent
ANBC or ANBC or of ANBC or
CEOBE, CEOBE, CEOBE,
whichever is whichever is whichever is
higher; out of higher; out of higher; out
which a target of which a target of of which a
10 percent is 10 percent# is target of 10
prescribed for prescribed for percent# is
Small and SMFs prescribed
Marginal Farmers for SMFs
(SMFs)
Micro 7.5 per cent of Not applicable 7.5 per cent of 7.5 per cent
Enterprises ANBC or ANBC or of ANBC or
CEOBE, CEOBE, CEOBE,
whichever is whichever is whichever is
higher higher higher
Advances 12 percent# of Not applicable 15 per cent of 12
to Weaker ANBC or ANBC or percent# of
Sections CEOBE, CEOBE, ANBC or
whichever is whichever is CEOBE,
higher higher whichever is
higher

Categories Primary Urban Co-operative Bank

32
 Total Priority 40 per cent of ANBC or CEOBE, whichever is higher, which shall stand
Sector increased to 75 per cent of ANBC or CEOBE, whichever is higher, with
effect from March 31, 2024. UCBs shall comply with the stipulated target as
per the following milestones:
March 31, March 31, March 31, March 31, March 31,
2020 2021 2022 2023 2024
40% 45% 50% 60% 75%

Micro Enterprises 7.5 per cent of ANBC or Credit Equivalent Amount of Off-Balance Sheet
Exposure, whichever is higher
Advances to 12 per cent# of ANBC or credit equivalent amount of Off-Balance Sheet
Weaker Sections Exposure, whichever is higher.

# Revised targets for weaker sections will be implemented in a phased manner as indicated
below

 The targets for lending to SMFs and for Weaker Sections shall be revised upwards
from FY 2021-22 onwards as follows:

Financial Small and Marginal Farmers Weaker Sections target

Year target * ^
2020-21 8% 10%
2021-22 9% 11%
2022-23 9.5% 11.5%
2023-24 10% 12%
* Not applicable to UCBs
^ Weaker Sections target for RRBs will continue to be 15% of ANBC or
CEOBE, whichever is higher.

 All domestic banks (other than UCBs) and foreign banks with more than 20 branches
are directed to ensure that the overall lending to Non-Corporate Farmers (NCFs) does
not fall below the system-wide average of the last three years’ achievement which will
be separately notified every year. The applicable target for lending to the non-
corporate farmers for FY 2021-22 will be 12.73% of ANBC or CEOBE whichever is
higher. All efforts should be made by banks to reach the level of 13.5 percent of ANBC
(erstwhile target for direct lending to agriculture sector).

 DESCRIPTION OF ELIGIBLE CATEGORIES UNDER PRIORITY SECTOR

 Agriculture
 The lending to agriculture sector will include Farm Credit (Agriculture and Allied
Activities), lending for Agriculture Infrastructure and Ancillary Activities.
 Farm Credit - Individual farmers
 Loans to individual farmers [including Self Help Groups (SHGs) or Joint Liability
Groups (JLGs) i.e., groups of individual farmers, provided banks maintain
33
 disaggregated data of such loans] and Proprietorship firms of farmers, directly
engaged in Agriculture and Allied Activities, viz. dairy, fishery, animal husbandry,
poultry, bee-keeping and sericulture. This will include:
(i) Crop loans including loans for traditional/non-traditional plantations, horticulture
and allied activities.
(ii) Medium and long-term loans for agriculture and allied activities (e.g. purchase of
agricultural implements and machinery and developmental loans for allied
activities).
(iii) Loans for pre- and post-harvest activities viz. spraying, harvesting, grading and
transporting of their own farm produce.
(iv) Loans to distressed farmers indebted to non-institutional lenders.
(v) Loans under the Kisan Credit Card Scheme.
(vi) Loans to small and marginal farmers for purchase of land for agricultural purposes.
(vii) Loans against pledge/hypothecation of agricultural produce (including warehouse
receipts) for a period not exceeding 12 months subject to a limit up to ₹75 lakh
against NWRs/eNWRs and up to ₹50 lakh against warehouse receipts other than
NWRs/eNWRs.
(viii) Loans to farmers for installation of stand-alone Solar Agriculture Pumps and for
solarisation of grid connected Agriculture Pumps.
(ix) Loans to farmers for installation of solar power plants on barren/fallow land or in
stilt fashion on agriculture land owned by farmer.
 Farm Credit - Corporate farmers, Farmer Producer Organisations (FPOs)/(FPC)
Companies of Individual Farmers, Partnership firms and Co-operatives of farmers
engaged in Agriculture and Allied Activities
(a) Loans for the following activities will be subject to an aggregate limit of ₹2 crore per
borrowing entity:
(i) Crop loans to farmers which will include traditional/non-traditional plantations and
horticulture and loans for allied activities.
(ii) Medium and long-term loans for agriculture and allied activities (e.g., purchase of
agricultural implements and machinery and developmental loans for allied
activities).
(iii) Loans for pre- and post-harvest activities viz. spraying, harvesting, grading and
transporting of their own farm produce.
(b) Loans up to ₹75 lakh against pledge/hypothecation of agricultural produce (including
warehouse receipts) for a period not exceeding 12 months against NWRs/eNWRs and
up to ₹50 lakh against warehouse receipts other than NWRs/eNWRs.
(c) Loans up to ₹5 crore per borrowing entity to FPOs/FPCs undertaking farming with
assured marketing of their produce at a pre-determined price.
(d) UCBs are not permitted to lend to co-operatives of farmers.
 Agriculture Infrastructure
 Loans for agriculture infrastructure will be subject to an aggregate sanctioned limit of
₹100 crore per borrower from the banking system.
 Ancillary Services
 Following loans under ancillary services will be subject to limits prescribed as under:
34
 (i) Loans up to ₹5 crore to co-operative societies of farmers for purchase of the produce
of members (Not applicable to UCBs)
(ii) Loans up to ₹50 crore to Start-ups, as per definition of Ministry of Commerce and
Industry, Govt. of India that are engaged in agriculture and allied services.
(iii) Loans for Food and Agro processing up to an aggregate sanctioned limit of ₹100
crore per borrower from the banking system.
 Small and Marginal Farmers (SMFs)
 For the purpose of computation of achievement of the sub-target, Small and Marginal
Farmers will include the following:
(i) Farmers with landholding of up to 1 hectare (Marginal Farmers).
(ii) Farmers with a landholding of more than 1 hectare and up to 2 hectares (Small
Farmers).
(iii) Landless agricultural labourers, tenant farmers, oral lessees and sharecroppers
whose share of landholding is within the limits prescribed for SMFs.
(iv) Loans to Self Help Groups (SHGs) or Joint Liability Groups (JLGs), i.e., groups of
individual SMFs directly engaged in Agriculture and Allied Activities, provided
banks maintain disaggregated data of such loans.
(v) Loans up to ₹2 lakh to individuals solely engaged in Allied activities without any
accompanying land holding criteria.
(vi) Loans to FPOs/FPC of individual farmers and co-operatives of farmers directly
engaged in Agriculture and Allied Activities where the landholding share of SMFs
is not less than 75 per cent, subject to loan limits prescribed in para 8.2. UCBs are
not permitted to lend to co-operatives of farmers.
 All loans to units in the KVI sector will be eligible for classification under the sub-
target of 7.5 percent prescribed for Micro Enterprises under priority sector.
 Loans to individuals for educational purposes, including vocational courses, not
exceeding ₹ 20 lakh will be considered as eligible for priority sector classification.
Loans currently classified as priority sector will continue till maturity.
(i) Loans to individuals up to ₹35 lakh in metropolitan centres (with population of ten
lakh and above) and up to ₹25 lakh in other centres for purchase/construction of a
dwelling unit per family provided the overall cost of the dwelling unit in the
metropolitan centre and at other centres does not exceed ₹45 lakh and ₹30 lakh
respectively. Existing individual housing loans of UCBs presently classified under
PSL will continue as PSL till maturity or repayment.
(ii) Housing loans to banks’ own employees will not be eligible for classification under
the priority sector.
 Loans up to ₹10 lakh in metropolitan centres and up to ₹6 lakh in other centres for
repairs to damaged dwelling units conforming to the overall cost of the dwelling unit.
 Bank loans up to a limit of ₹5 crore per borrower for setting up schools, drinking water
facilities and sanitation facilities including construction/ refurbishment of household
toilets and water improvements at household level, etc. and loans up to a limit of ₹10
crore per borrower for building health care facilities including under ‘Ayushman
Bharat’ in Tier II to Tier VI centres. In case of UCBs, the above limits are applicable
only in centres having a population of less than one lakh.
35
  Bank loans up to a limit of ₹30 crore to borrowers for purposes like solar based power
generators, biomass-based power generators, windmills, micro-hydel plants and for
non-conventional energy based public utilities, viz., street lighting systems and remote
village electrification etc., will be eligible for Priority Sector classification. For
individual households, the loan limit will be ₹10 lakh per borrower.
 Loans not exceeding ₹1.00 lakh per borrower provided directly by banks to individuals
and individual members of SHG/JLG, provided the individual borrower’s household
annual income in rural areas does not exceed ₹1.00 lakh and for non-rural areas it does
not exceed ₹1.60 lakh, and loans not exceeding ₹2.00 lakh provided directly by banks
to SHG/JLG for activities other than agriculture or MSME, viz., loans for meeting
social needs, construction or repair of house, construction of toilets or any viable
common activity started by the SHGs.
 Loans up to ₹50 crore to Start-ups, as per definition of Ministry of Commerce and
Industry, Govt. of India that are engaged in activities other than Agriculture or MSME.
 Priority sector loans to the following borrowers will be considered as lending under
Weaker Sections category:
(i) Small and Marginal Farmers
(ii) Artisans, village and cottage industries where individual credit limits do not
exceed ₹1 lakh
(iii) Beneficiaries under Government Sponsored Schemes such as National Rural
Livelihood Mission (NRLM), National Urban Livelihood Mission (NULM) and
Self Employment Scheme for Rehabilitation of Manual Scavengers (SRMS)

(iv) Scheduled Castes and Scheduled Tribes

(v) Beneficiaries of Differential Rate of Interest (DRI) scheme
(vi) Self Help Groups
(vii) Distressed farmers indebted to non-institutional lenders
(viii) Distressed persons other than farmers, with loan amount not exceeding ₹1 lakh
per borrower to prepay their debt to non-institutional lenders

(ix) Individual women beneficiaries up to ₹1 lakh per borrower (For UCBs, existing
loans to women will continue to be classified under weaker sections till their
maturity/repayment.)
(x) Persons with disabilities
(xi) Minority communities as may be notified by Government of India from time to
time.

 Bank loans to NBFCs for on-lending (not applicable to RRBs, UCBs, SFBs and LABs)
i. Agriculture: On-lending by NBFCs for ‘Term lending’ component under Agriculture
will be allowed up to ₹ 10 lakh per borrower.
ii. Micro & Small enterprises: On-lending by NBFC will be allowed up to ₹ 20 lakh per
borrower.

36
  Eligible activities under Agriculture infrastructure and Ancillary activities are
given below:
Agriculture (i) Loans for construction of storage facilities (warehouse, market
infrastructure yards, godowns and silos) including cold storage units/cold
storage chains designed to store agriculture produce/products,
irrespective of their location.
(ii) Soil conservation and watershed development.
(iii) Plant tissue culture and agri-biotechnology, seed production,
production of bio-pesticides, bio-fertilizer, and vermi
composting.
(iv) Loans for construction of oil extraction/ processing units for
production of biofuels, their storage and distribution
infrastructure along with loans to entrepreneurs for setting up
Compressed Biogas (CBG) plants.

Ancillary activities (i) Loans for setting up of Agri-clinics and Agri-business centres.
(ii) Loans to Custom Service Units managed by individuals, institutions
or organizations who maintain a fleet of tractors, bulldozers, well-
boring equipment, threshers, combines, etc., and undertake farm
work for farmers on contract basis.
(iii) Bank loans to Primary Agricultural Credit Societies (PACS),
Farmers’ Service Societies (FSS) and Large-sized Adivasi Multi-
Purpose Societies (LAMPS) for on-lending to agriculture.
(iv) Loans sanctioned by banks to MFIs for on-lending to agriculture
sector as per the conditions specified in paragraph 21 of these Master
Directions.
(v) Loans sanctioned by banks to registered NBFCs (other than MFIs)

Important Subsidies:

Sr. Type of Assistance Criteria for Scheme/Component

No. Assistance/maximum limit
1. Distribution of Rs. 2500/ha Soil Health Card
Micronutries & scheme
soil ameliorants.
1. a Supply of gypsum 50 % cost of the material + National Food
/pyrite/ lime/dolomite transportation limited to Rs. Security Mission (Oil
750 per hectare. Seed & Oil Palm)
2. Supply of gypsum 50% of the cost limited to Rs. National Food
phosphogypsum / 750/ - per hectare Security Mission
(NFSM), BGREI

37
 bentonite sulphur.
Wheat & Pulses

3. Micronutrients (Rice, 50% of the cost limited to Rs. NFSM & BGREI
Wheat, Pulses & Nutri- 500/-per ha.
Cereals)
4. Lime/liming materials 50% of the cost of the material NFSM & BGREI
(Rice & Pulses) limited to Rs.1000/ha.

5. Bio-fertilizers (Pulses 50 % of the cost limited to Rs. BGREI/ NFSM

Nurti- Cereals) 300 per ha.

6. Adoption of Organic Rs. 10,000 per hectare for National Horticulture

Farming maximum area of 4 ha per Mission(NHM)/
beneficiary spread over a period Horticulture Mission
of 3 years involving assistance for North-East and
of Rs. 4000 in first year and Rs. Himalayan States
3000 each in second and third (HMNEH) - Sub
year. schemes under
Mission for Integrated
Development of
Horticulture (MIDH)
7 Promotion of Integrated Rs. 1,200 /- per hectare (upto an NHM/HMNEH Sub
Nutrient Management area of 4 hectares) schemes under MIDH

8 Reclamation of
Alkaline / Saline Soil RKVY sub-scheme on
Problem Soil Rs. 60,000/ha Acidic Soil Rs. Reclamation of
15,000/ha 90:10 between Centre Problem Soil (RPS).
and State for the NE and
Himalayan States
60:40 between Centre and State
for other than NE and Himalayan
States
9 Plant Protection Insecticides, fungicides, National Food Security
Chemicals weedicides, bio- pesticides, Mission (Oil Seed & Oil
bio-agents, micronutrients, bio- Palm)/ NFSM &
fertilizers etc., @ 50 % of the BGREI
cost limited to Rs. 500 per
hectare.
Water Management under National Mission for Sustainable Agriculture (NMSA)
Sr. Type of Assistance Quantum of Assistance Scheme
No

38
1 Drip Irrigation Financial assistance up to 55% for Per Drop More Crop
small & marginal farmers and component of Pradhan
45% for other farmers. Mantri Krishi Sinchayee
Yojana (PMKSY)
2 Sprinkler Irrigation Financial assistance up to 55% for -do-
(Portable, mini, micro, small & marginal farmers and
semi, permanent, large 45% for other farmers.
volume/Raingun etc.)
3 Water Harvesting System 50% of cost (Construction cost Water Harvesting
for individuals Rs. 125/- for plane and Rs. 150/- System for individuals
per cu m for hilly areas) limited to
Rs. 75,000/-, for plane areas and
Rs. 90,000/- for hilly areas
including lining.
4 Drip Irrigation System As per the specification of National Food
for Oil Palm PMKSY guidelines Security Mission (Oil
Seed & Oil Palm)

i) Adoption of organic 50% of cost limited to Rs. Rs. 20,000/ha

farming 10000/ha for a maximum area of 4
ha. per beneficiary, spread over a
period of 3 years involving an
assistance of Rs. 4000/- in first
year and Rs. 3000/- each in
second & third year. The
programme to be linked with
certification.
ii) Organic Certification Rs. 5 lakhs for a cluster of 50 ha Project based
which will include Rs. 1.50 lakh
in first year, Rs. 1.50 lakh in
second year and Rs. 2.00 lakh in
third year.

39
 Organic Farming

i) Adoption of organic 50% of cost limited to Rs. Rs. 20,000/ha Sub

farming 10000/ha for a maximum area of Scheme of
4 ha. per beneficiary, spread over NHM &
a period of 3 years involving HMNEH
an assistance of Rs. 4000/- in under
first year and Rs. 3000/- each in MIDH
second & third year. The
programme to be linked with
certification.
ii) Organic Certification Rs. 5 Lakh for a cluster of 50 ha Project based -do-
which will include Rs. 1.50 lakh
in first year, Rs. 1.50 lakh in
second year and Rs. 2.00 lakh in
third year.
iii) Vermi compost 50% of cost conforming to the Rs. 100,000/ unit -do-
Units / organic input size of the unit of 30’x8’x2.5’ for permanent
production) dimension of permanent structure and Rs.
structure to be administered on 16,000/- unit for
prorata basis. For HDPE HDPE vermibed.
Vermibed, 50% of cost
conforming to the size of 96 cft
(12’x4’x2’) and IS 15907:2010
to be administered on prorate
basis.

 Beekeeping

S. N. Components Rates of assistance approved

under MIDH (NHM/
HMNeH)
Development and Multiplication of Bee Stock
i. Production of nucleus (Pedigree) stock. Rs.20.00 lakhs/ project for
Research Institutes
/ Public Sector.
ii. Production of Bee colonies by Bee Breeders. 40% of cost or Rs.4.00
lakhs/project (whichever is
less).
2. Distribution of 8 frame bee colonies (50 bee colonies 40% of cost or Rs.800/ per set
per beneficiary). of bee colony (whichever is
less).

40
 3. Distribution of beehives, supers, etc. (50 beehives, 40% of cost or Rs.800/ per set
supers, etc. per beneficiary). of beehives, supers,
etc.(whichever is less).
4. Distribution of bee equipments [a set of one honey 40% of cost or Rs. 8000/- per
extractor of SS (4 frames) & 10 containers (30 kg set / per beneficiary
each) of FGP /SS, 1 net & a set of other tools] / (whichever is less).
unit of 50 bee colonies / beneficiary.

Mushroom
Type of Subsidy Maximum Scheme /
Assistance Subsidy per Component
unit Area
i) Production unit 100% of cost to public Rs. 20 lakh/unit -do-
sector and 40% of cost
for private sector, for
meeting the expenditure
on infrastructure, as credit
linked back ended
subsidy.
ii) Spawn making 100% of cost to public Rs. 15 lakh/unit -do-
unit sector and 40% of cost
for private sector, for
meeting the expenditure
on infrastructure, as credit
linked back ended
subsidy.
iii) Compost 100% of cost to public Rs. 20 lakh/unit -do-
making unit sector and 40% of cost
for private sector, for
meeting the expenditure
on infrastructure, as credit
linked back ended
subsidy.

Promotion of Integrated Nutrient Management (INM) Integrated Pest Management (IPM)

Type of Assistance Subsidy Maximum Scheme /
Subsidy per Component
unit Area
i) Promotion of 30% of cost Rs. 4000/ha MIDH
IPM/INM subject to a
maximum of

41
 Rs. 1200/ha
limited to 4.00
ha/beneficiary.
ii) Disease forecasting unit 100% of costs. Rs. 6.00 -do-
(PSUs) lakh/unit
iii) Bio control lab 100% to public Rs. 90.00 lakh / -do-
sector and 50% unit
to private
sector.
iv) Plant Health Clinics 100% to public Rs. 25.00 lakh / -do-
sector and 50% unit
to private
sector.
v) Leaf / Tissue analysis 100% to public Rs. 25.00 lakh/ -do-
labs sector and 50% unit
to private sector.

 Sub-Mission on Agroforestry under NMSA:

Sr. Type of Assistance Quantum of Assistance Scheme

No.
1. Nursery Small Nursery (0.5ha): Rs. 10.00 Lakh Sub-
Development for Big Nursery (1.0 ha): Rs. 16.00 Lakh Mission
Production of Hi-tech Nursery: Rs. 40.00 Lakh on
Quality Agrofore
Planting Material stry
(NDQPM)
2. Peripheral and Maximum of Rs. 70/- per plant -do-
Boundary Plantation The assistance will be given over four years in
(PBP) proportion of 40:20:20:20
3. Low Density Less than 100 plants/ha : As per actual no of -do-
Plantation on plants @ Rs.70/- per plant
Farmlands (LDPFL) >100 upto 500 plants/ha : Rs. 28000( or in
proportion to planting intensity)
The assistance will be given over four years in
proportion of 40:20:20:20
4. High Density Block Magnitude of block Indicative -do-
Plantation (HDBP) Plantations (no of total cost
plants/block of 1 ha) (Rs) for the
block
500 to 1000 (spacing 30000
3.5mX3.5m)

42
 >1000 to 1200 (spacing 35000
3mX3m)
>1200 to 1500(spacing 45000
2.5mX2.5m)
>1500(spacing less than 50000
2.5mX2.5m))
The assistance will be given over four years in
proportion of 40:20:20:20

Funding pattern 60:40 as GoI: State Govts basis for all States excepting for 8 States of NE
Region, the hilly states of Himachal Pradesh, Uttarakhand and Jammu & Kashmir where it
would be 90:10 fund sharing. For UTs, the assistance will be 100% from GoI.

 Assistance under Rainfed Area Development component of National Mission for

Sustainable Agriculture (NMSA)

Sr. Type of Assistance Quantum of Assistance Scheme

No.
A) Integrated Farming System
1. Cropping System (CS) 50% of input cost limited to Rs. RAD
with rice, wheat, coarse 10,000/- per ha with permissible component of
cereal/oilseed/ fibre/pulse assistance of maximum 2 ha per National
based two crops. beneficiary. Mission for
Sustainable
Agriculture
(NMSA)
2. Horticulture Based 50% of input cost limited to Rs. -do-
Farming System 25,000/- per ha with permissible
(Plantation + Crops/ assistance of maximum 2 ha per
Cropping system) beneficiary.
3. Tree/Silvi-Pastural/in- 50% of input cost limited to Rs. -do-
situ/ex- situ conservation 15,000/- per ha with permissible
of Non-Timber Forest assistance of maximum 2 ha per
Produce (NTFP) beneficiary.
(Plantation
+ Grass/Crops/Cropping
System)
4. Livestock Based Farming System

43
4.1 Cross Breed Cows + 50% of input cost of Cropping National
Mixed farming + Fodder System (CS) including cost of Mission for
Buffalo animals with one-year Sustainable
+Mixed farming +Fodder concentrated food limited to Rs. Agriculture
Cow/ 40,000/- per ha (2 milch animals (NMSA)
buffalo+dairy+fodder + 1 ha CS)with permissible
co assistance of maximum 2
w/ buffalo + small ha/beneficiary.
ruminants
4.2 Small Ruminant + Mixed 50% of input cost of cropping -do-
farming+ Pasture system including cost of
Poultry/duckery + Mixed animals/birds with one-year
Farming Poultry/duckery concentrated food limited to Rs.
+ Fishery + Mixed 25,000/- per ha(10 animals/50
Farming birds + 1 ha Cropping System
(CS) with permissible assistance
of maximum 2 ha/beneficiary.
5. Fishery Based Farming 50% of input cost of cropping/ -do-
System vegetable system including cost
of fish farming limited to Rs.
25.,000/- per ha with permissible
assistance of maximum 2
ha/beneficiary
6. Vermi-compost 50% of cost subject to a limit of -do-
Units/Organic Inputs Rs. 125/- per cubic ft. Maximum
Production Unit, Green permissible assistance shall be
Manuring Rs. 50,000/- per unit for
permanent structure and Rs.
8,000 per unit for HDPE vermin
bed.
50% of cost limited to Rs. 2,000/-
per ha and restricted to 2 ha per
beneficiary for green manuring.
7. Silage making for Construction of silo Pit of 2100- National
increased availability of 2500 cubic feet with brick and Mission for
green fodder round the cement mortar (either below Sustainable
year. ground or above ground ) with Agriculture
provision of Chaff Cutter and (NMSA)
Weighing Balance
100 % assistance for silage
making unit consisting of Silo Pit
Chaff cutter and Weighing

44
 Balance limited to Rs. 1.25 lakh
per farm family.

8 Post-Harvest Storage / Small village level storage / -do-

Value addition of NTFP packaging
/ Processing unit for value
addition to the produce of
farming system to fetch better
economic returns
50 per cent of capital cost subject
to a limit of Rs. 4000 /- per
square meter of storage /
processing unit. Maximum
permissible assistance shall be
restricted to Rs. 2 lakh per unit.

Subsidy for Fisheries (By NFDB)

S.No Item Activities Unit Cost Subsidy

1. Intensive (i)Reclamation/ Rs 30 000/ ha i. Farmers - 20 % of
aquaculture in Renovation of the Unit Cost
existing ponds and ponds and tanks. (Rs.6,000/)
tanks ii. SC/ST & NE
States- 25% of the
Unit Cost
(Rs. 7,500/-)
2. Intensive (i) Construction Rs 2,00,000 I Farmers - 20% of
aquaculture in Of ponds and tanks. /ha the Unit Cost
new ponds and (Rs.40,000/-)
tanks ii. SC/ST & NE
States – 25% of the
Unit Cost
(Rs. 50,000/-)

45
3. First-year inputs i. Input costs for Rs 60 000/ ha i. Farmers - 20 % of
reclamation/renovation the Unit Cost (Rs.
of tanks/ponds and 12,000/-)
construction of new ii. SC/ST & NE
ponds States – 25% of the
Unit Cost
(Rs. 15,000/-)
4. Establishment of Setting up of a Rs 10 20 % of the Unit
hatchery for hatchery with 00000/unit10 Cost (Rs200000)
production of fish production capacity
seed of 8-10 million fry per
annum.
5. Fish seed rearing (i) Construction of fish Rs.3.00 lakhs i. Farmers - 20% of
units to produce seed rearing units the Unit Cost
quality fish (Rs.60,000/-)
fingerlings ii. SC/ST and NE
States – 25% of the
Unit Cost
(Rs.75,000)

MECHANIZATION AND TECHNOLOGY

A. Sub - Mission on Agricultural Mechanization (SMAM)
1. Financial Assistance for Procurement of Agricultural Machinery and Equipment’s

Type of Agricultural For SC, ST, For SC, ST, For another For another
Machinery * Small & Small & beneficiary beneficiary
Marginal Marginal
farmers, farmers,
Women and Women and
NE States NE States
beneficiary beneficiary
Maximum Pattern of Maximum Pattern of
Permissible Assistance Permissible Assistance
subsidy per subsidy per
Machine/ Machine/
Equipment Equipment per
per beneficiary
beneficiary
Tractors
1. Tractor 2WD (08-20 Rs. 2.00 lakh 50% Rs.1.60 lakh 40%
PTO HP)

46
 2. Tractor 4WD (08-20 Rs. 2.25 lakh 50% Rs. 1.80 lakh 40%
PTO HP)
3. Tractor 2WD (above 20- Rs. 2.50 lakh 50% Rs. 2.00 lakh 40%
40 PTO HP)
4. Tractor 4WD (above 20- Rs. 3.00 lakh 50% Rs. 2.40 lakh 40%
40 PTO HP)
5. Tractor 2WD (above40- Rs. 4.25 lakh 50% Rs. 3.40 lakh 40%
70 PTO HP)
6. Tractor 4WD (above 40- Rs. 5.00 lakh 50% Rs 4.00 lakh 40%
70 PTO HP).
Power Tillers
1. Power Tiller (below 8 Rs. 0.65 lakh 50% Rs. 0.50 lakh 40%
BHP)
2. Power Tiller (8 BHP & Rs. 0.85 lakh 50% 0.70 lakh 40%
above) Rs.
Rice trans planter
1. Self-Propelled Rice Rs.1.50 lakh 50% Rs. 1.20 lakh 40%
Trans planter( 4 rows)
Self-Propelled Rice Trans Rs. 5.00 Rs. 4.00 lakh
planter lakh. 50% Rs. 6.50 lakh 40%
(i) above 4-8 rows Rs. 8.00
(ii) above 8-16 rows lakh.
Tractor/Power Tiller (below Rs. 0.20 lakh 50% 0.16 lakh 40%
20 BHP) driven equipments.
A. Land Development,
tillage and
seed bed preparation
equipments:
(i) MB Plow
(ii) Disc Plow
(iii) Cultivator
(iv) Harrow
(v) leveler Blade
(vi) Cage wheel
(vii) Furrow opener
(viii) Ridger
(ix) Weed slasher
(x) Furrow opener Rs.0.40 lakh 50% 0.32 lakh 40%
(xi) Bund former
(xii) Crust breaker
(xiii) Rotopuddler
(xiv) Rotocultivator
(xv) Power Harrow

47
Chisel Plough Rs. 0.10 lakh 50% Rs. 0.08 lakh 40%
B. Sowing, Planting, Reaping Rs 0.30 lakh 50% 0.24 lakh 40%
and
Digging Equipments:
(i) Post Hole digger
(ii) Potato Planter
(iii) Potato Digger
(iv) Ground nut digger
(v) Strip till drill
(vi) Tractor drawn reaper
(vii) Onion harvester
(viii) Rice straw Chopper,
(ix) Raised Bed Planter
(x) Sugar cane cutter/Stripper
(xi) Planter,
(xii) Multi crop planter
(xiii) Zero –till multi crop
planter
(xiv) Ridge furrow planter
(i) Pneumatic Planter Rs. 0.50 lakh 50% 0.40 lakh 40%
(ii) Pneumatic vegetable
transplanter,
(iii) Pneumatic vegetable
seeder
(iv) Plastic Mulch Laying
Machine
(v) Raised Bed Planter with
inclined
Plate planter and shaper
attachment.
(i) Seed treating drum Rs. 0.15 lakh 50% 0.12 lakh 40%
(ii) Seed cum fertilizer drill
(5 tines)
(iii) Aqua ferti Seed drill (5-7
tines)
C. Inter Cultivation Rs. 0.25 lakh 50% 0.20 lakh 40%
Equipments:
(i) Grass Weed Slasher
(ii) Power Weeder (engine
operated
below 2 bhp)

48
D. Equipments for Residue Rs. 0.25 lakh 50% 0.20 lakh 40%
management/Hay and Forage
Equipments:
(i) Sugarcane thrash Cutter
(ii) Coconut Frond Chopper,
(iii) Straw reaper
(iv) Stubble shaver
E. Harvesting & Threshing Rs. 0.30 lakh 50% 0.25 lakh 40%
Equipment’s (Operated by
engine/
electric motor below 3 hp and
by
power tiller , and tractor of
below 20
BHP tractor ):
(i) Ground Nut Pod Stripper
(ii) Thresher
(iii) Multi crop Threshers
(iv) Paddy Thresher
(v) Brush Cutter
(vi) Winnowing fan
(vii) Maize sheller
(viii) Mower
(ix) Flail Harvester
(x) Mower Shredder (ALL
PURPOSE/All
crops)
Tractor (above20- 35 BHP) Rs. 0.30 lakh 50% 0.25 lakh 40%
driven equipments .
A. Land Development,
tillage and
seed bed preparation
equipments:
(i) MB Plow
(ii) Disc Plow
(iii) Cultivator
(iv) Harrow
(v) leveler Blade
(vi) Cage wheel
(vii) Furrow opener
(viii) Ridger
(ix) Weed slasher

49
 (x) Furrow opener Rs. 0.6lakh 50% 0.5 lakh 40%
(xi) Bund former
(xii) Crust breaker
(xiii) Rotopuddler
(xiv) Rotocultivator
(xv) Power Harrow
Rotavator 5 feet Rs. 0.42 lakh 50% Rs. 0.34 lakh 40%

Laser Land Leveller Rs. 2.00 lakh 50% Rs. 1.60 lakh 40%
zero –till multi crop Rs. 0.18 lakh 50% Rs. 0.16 lakh 40%
Happy/Turbo Seeder Rs. 0.728 50% Rs. 0.582 lakh 40%
lakh
D. Equipments for Residue Rs. 0.25 lakh 50% 0.20 lakh 40%
management/Hay and Forage
Equipments:
Straw reaper

Tractor (above 35 BHP) Rs. 0.50 lakh 50% Rs. 0.40 lakh 40%
driven
equipments.
(i) MB Plow
(ii) Disc Plow
(iii) Cultivator
(iv) Harrow
(v) Leveler Blade
(vi) Cage wheel
(vii) Furrow opener
(viii) Ridger

Horticulture
S.No Type of Criteria for Assistance / Scheme / Component
Assistance Maximum Limit
Maximum
Subsidy per
unit Area
1 Vegetable Seed Production (Maximum 5 ha / beneficiary)
a. Open (a) For public a) Rs. 35,000/- Sub Schemes of NHM &
Pollinated sector 100%, for per ha for HMNEH under MIDH
crops private sector open
35% in general

50
 area, 50% in NE pollinated
& Himalayan crops.
States, TSP
areas, A&N and
Lakshadweep
Islands limited
to 5 ha. Output
target of seed for
each crop will be
fixed by the
individual state
b) Hybrid b) For public b) Rs. 1.50 -do-
seeds sector 100%, for lakh /- per ha.
private sector
35% in general
area and 50% in
NE &
Himalayan
States, TSP
areas, A&N and
Lakshadweep
Islands limited
to 5 ha. Output
target of seed for
each crop will be
fixed by the
individual states
for each
beneficiary,
before releasing
funds.
2 Hi-tech 100% to public Rs.25.00 lakhs -do-
Nursery (4 sector limited to per ha
ha/unit) Rs. 100 lakh/
unit and in case
of private sector,
credit linked
back-ended
subsidy @40%
of cost, subject
to a maximum of
Rs. 40 lakh/unit,
for a maximum

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 of 4 ha. as
project-based
activity on
prorate basis.
Each nursery
will produce a
minimum of
50,000 numbers
per hectare of
mandated
perennial fruit
crops/ tree
spices/ aromatic
trees/plantation
crops per year,
duly certified for
its quality
3 Small Nursery 100% to public Rs.15.00 lakhs -do-
(1ha unit) sector and in per ha
case of private
sector, credit
linked back-
ended subsidy of
cost, subject to a
maximum of Rs.
7.50 lakh/unit,
as project-based
activity. Each
nursery will
produce a
minimum of
25,000 numbers
of mandated
perennial
vegetatively
propagated
fruits plants /
tree spices/
aromatic
trees/plantation
crops per year,
duly certified for
its quality.

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3 Protected Cultivation
1. Green House structure
(a) Fan & Pad 50% of cost for a Rs.1650/ Sq.m -do-
System maximum area (upto area 500
of 4000 sq. m. Sq. m) Rs.
per beneficiary 1465/Sq.
(>500 Sq. m
upto 1008
Sq.m) Rs.
1420/Sq.m
(>1008 Sq. m
up to 2080 Sq.
m) Rs.
1400/Sq. m
(>2080 Sq. m
upto 4000 Sq.
m). Above
rates will be
15% higher
for hilly areas.
(b) Naturally Ventilated System
(i) Tubular 50% of cost Rs. 1060/Sq. -do-
structure limited to 4000 m (up to area
sq. m. per
500 Sq.
beneficiary m) Rs.
935/Sq.m
(>500 Sq. m
upto 1008 Sq.
m) Rs.
890/Sq. m
(>1008 Sq. m
upto 2080 Sq.
m) Rs.
844/Sq. m
(>2080 Sq. m
up to 4000 Sq.
m). Above
rate will be
15% higher
for hilly areas.
ii) Water 50% of cost Rs. 1.50 -do-
harvesting including 300- lakh/unit in
system micron plastic /

53
 for individuals- RCC lining. plain areas
for Cost for non- and Rs.
storage of water lined ponds / 1.80 lakh / unit
in tanks (only in in hilly
20mx20mx3m black cotton areas.
ponds/tube soils) will be
wells/ 30% less.
dug wells @ For smaller size
Rs. of ponds / dug
125/- cum. wells, cost will
be admissible on
pro rata basis
depending upon
the command
area.
Maintenance
will be ensured
by the
beneficiary.
4. Promotion of Integrated Nutrient Management (INM) Integrated Pest Management
(IPM)
i) Promotion of 30% of cost Rs. 4000/ha -do-
IPM/INM subject to a
maximum of Rs.
1200/ha limited
to 4.00
ha/beneficiary
ii) Disease 100% of costs. Rs. 6.00 -do-
forecasting unit lakh/unit
(PSUs)
iii) Bio control 100% to public Rs. 90.00 lakh -do-
lab sector and 50% / unit
to private sector.
iv) Plant Health 100% to public Rs. 25.00 lakh -do-
Clinics sector and 50% / unit
to private sector.
v) Leaf / Tissue 100% to public Rs. 25.00 -do-
analysis labs sector and 50% lakh/ unit
to private sector.
5. National
Horticulture
Board (NHB)

54
1 A) Credit linked Rs. 75.0 lakh Sub scheme of National
Development back ended per project Horticulture Board (NHB)
of Commercial subsidy @40% (Rs. 125.00 under MIDH
Horticulture of project cost lakh for date -do-
i) Open field limited to Rs. palm, olive -do-
conditions 30.00 lakh per and saffron)
project in for projects
general areas covering area
ii) Protected and @ 50% of over 2 ha.
cover project cost
limited to Rs. Rs. 112.00
37.50 lakhs for lakh per
iii) Integrated NE and Hilly project cost
Post Harvest and scheduled covering area
Management areas. above 2500
Projects e. g. Credit linked Sq. mt.
Pack house, back ended
Ripening subsidy @ 50% Rs. 145.00
Chamber, of project cost lakh per
Reefer Van, limited to project. The
Retail Outlets, Rs.56.00 lakh add-on
Pre- Cooling per project. components of
Units, Primary Credit linked precooling,
processing, etc. back ended pack house,
subsidy @ 35% grading,
of project cost packing, cold
limited to Rs. room can be
50.75 lakh per taken up as
project in individual
general areas components.
and @ 50% of
project cost
limited to 72.50
lakh per project
in NE, Hilly and
Scheduled areas,
ensuring
backward and
forward linkage.
For standalone
projects, NHM
norms will be
adopted.

55
6. Kera Suraksha 75% of cost of Rs. 71.40 by Sub Schemes of CDB under
Insurance premium borne CDB MIDH
Scheme by CDB and
25% by coconut
tree climber
with a coverage
of Rs. 2 lakhs

Important One liner:

• SAMARTH (Sustainable Agrarian Mission on use of Agro Residue in Thermal
Power Plants) was launched by the Ministry of Power (2021) & mandates all thermal
power plants in India use 5-10% of biomass alongside coal to produce power.
• Namo Drone Didi (2023-24 to 2025-2026) scheme aims to provide drones to 15,000
selected Women SHGs for providing rental services to farmers for agriculture purpose
with Subsidy of 80% of drone cost or a maximum of Rs. 8 lakh will be provided
• The Pradhan Mantri Bhartiya Janurvarak Pariyojna (PMBJUP), also known as
One Nation One Fertilizer, is a scheme that requires all subsidised fertilisers to be
sold under the ‘Bharat’ brand name across India.
• PM PRANAM (Programme for Restoration, Awareness Generation, Nourishment,
and Amelioration of Mother-Earth) approved on June 28, 2023 has been designed to
reduce the use of chemical fertilizers by rewarding states.
• River Ranching Programme launched from UP to Boost Fish Production through
Innovative Aquaculture under Pradhan Mantri Matsya Sampada Yojana (PMMSY).
• Jal Jeevan Mission was started in 2019 under Jal shakti ministry
• Aims to provide 55 liters of water per person per day to each rural household
through Functional Household Tap Connections (FHTC) by the year 2024.
• The restructured National Bamboo Mission (NBM) was launched during 2018-19
as a Centrally Sponsored Scheme (CSS).
• The Agricultural Market Information System (AMIS) is an inter-agency platform
to enhance food market transparency and policy response for food security. Initiated
in 2011 by the G20 Agriculture Ministers.
• Nutrient Based Subsidy (NBS) Scheme Operationalized in 2010, the Nutrient
Based Subsidy (NBS) Scheme entails companies setting the prices for fertilizers
(decontrolled). However, the government allocates a predetermined annual subsidy
for each grade of subsidized Phosphatic and Potassic (P&K) fertilizers, excluding
Urea.
• SVAMITVA Yojana was launched in April 2020 to create digital maps for all of its
600,000 villages as part of the SVAMITVA scheme, comprehensive 3D maps will be
developed for 100 cities across India.
• In 2014, the ‘Rashtriya Gokul Mission’ was launched as part of the National
Programme for Bovine Breeding and Dairy Development (NPBBD), with the aim
of preserving and enhancing indigenous bovine breeds.

56
 • Krishi Kalyan Abhiyaan was launched in 2018 under Ministry of Agriculture and
Farmers’ Welfare to enhance farmers’ skills, advice, and assistance to increase
profits.
• Indian Council of Agricultural Research (ICAR) in 2015 launched Mera Gaon
Mera Gaurav to facilitate direct interaction between scientists and farmers to
accelerate the “lab to land” process.
• Crop Residue Management (CRM) Scheme was launched in 2018 by Ministry of
Agriculture & Farmers Welfare
• Integrated Scheme for Agricultural Marketing (ISAM) Implemented by
Directorate of Marketing & Inspection (DMI), Ministry of Agriculture & Farmers
Welfare
• Dairy Processing and Infrastructure Development Fund (DIDF) was launched in
2017-18 implemented by NABARD to provide financial assistance for dairy
cooperatives to establish or modernize dairy processing infrastructure.
• 2026 has been declared the International Year of the Woman Farmer by the
United Nations General Assembly.
• India is the largest producer of millets in the world, with a 41% share in 2020.
• The main millet-growing states are Rajasthan, Maharashtra, Uttar Pradesh and
Karnataka.
• The Union Budget of 2023-24 referred to millets as “Shree Anna” - the mother of all
grains.
• A disease caused by the Fiji virus, also known as the Southern Rice Black-Streaked
Dwarf Virus (SRBSDV) has stunted the growth of some rice plants in Haryana and
Punjab. Infected plants have a dwarfed appearance and weak roots that are brownish in
colour.
• In 2011, the negotiable warehouse receipt (NWR) system was introduced, allowing
the ownership of a stored commodity within a warehouse to be transferred without the
need for physical delivery.
• The One Nation One Ration Card (ONORC) scheme launched in August 2019
allows NFSA beneficiaries to claim foodgrains from any Fair Price Shop (FPS) in the
country through existing ration cards with biometric/Aadhaar authentication.

 Policy and act:

Policy/Act Year of Purpose

Formulation
Land Leasing Act 2016 To permit and facilitate leasing of agricultural land
to improve access to land by the landless and
marginal farmers.

57
 Agriculture Produce & 2017 To create a single agriculture market with a single
Livestock Marketing Act license in which agriculture produce and livestock
would be traded. There are no separate fees
allocated for individual markets
Contract Farming 2018 To provide adequate confidence to farmers and
Act/Model Contract incentives to sponsors to enter into contract
Farming bill farming.
Agri Export Policy 2018 To double Agri exports to 60 billion $ by 2022

Pesticide management Bill 2020 Regulate the business of pesticides and compensate
farmers in case of losses from the use of agro
chemicals.
The Farmers 17 Sep 2020 Government to form and Promote 10,000 new FPOs
(Empowerment and and to promote Contract Farming
Protection) Agreement on
Price Assurance & Farm
Services Ordinance
The Farmers Produce 17 Sep 2020 To remove barriers in inter-state trade and give
Trade and Commerce farmers the choice of sale.
(Promotion and
Facilitation) Ordinance
Amendment to Essential 17 Sep 2020 Deregulation of cereals, edible oils, oilseeds,
Commodities Act pulses, onions and potato from essential
commodities.
Stock limit imposed under exceptional

 Food Act:

Name of acts Launched on

Prevention of food adulteration act (PFA) 1954
Food product order (FPO) 1955
Meat product order (MPO) 1973
Food safety and standard act (FSSAI) 2006
Milk and milk products order 1992
Edible oil packaging order 1998
Vegetable oil products order 1947

 Publication of ICAR
 English:

58
 1. Indian Journal of Agricultural Sciences (Monthly)

2. Indian Journal of Animal Sciences (Monthly)

3. Indian Farming (Monthly)

4. Indian Horticulture (Bi Monthly)

5. ICAR News (Quarterly)

6. ICAR Reporter (Quarterly)

7. ARIS (Quarterly)

 Hindi:

1. Kheti(Monthly)

2. Phal Phool(Bi Monthly)

3. Krishi Chayanika

Apart from this please make sure to cover current affairs classes for extra data.

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