Rashtriya Krishi Vikas Yojana
India’s agricultural and related sector growth has been hindered by a lack of investment, particularly public investment in the agricultural sector. To address this problem, the National Development Council (NDC) has devised a strategy to revitalise agriculture through the Rashtriya Krishi Vikas Yojana, an Additional Central Assistance Scheme.
Rashtriya Krishi Vikas Yojana Scheme
The Rashtriya Vikas Yojana (RKVY), which was launched in 2007, is an umbrella scheme that ensures total agricultural and allied services development. This programme encourages states to invest more in agriculture and related services. RKVY was launched as an Additional Central Assistance to State Plan scheme with 100 per cent central assistance.
Since 2015-16, there have been several changes in the funding. It now operates on a 60:40 basis.
The Rashtriya Vikas Yojana was renamed Rashtriya Krishi Vikas Yojana – Remunerative Approaches for Agriculture and Allied Sector Rejuvenation (RKVY – RAFTAAR scheme) on November 1, 2017.
This approach decentralises agricultural planning by establishing the State Agricultural Plan (SAP) and District Agricultural Planning (DAP) (DAP). The Rashtriya Vikas Yojana was designed by the Central Government based on agro-climatic conditions that ensure the availability of advanced technology and natural resources, as well as housing for local needs.
The National Development Council (NDC) decided on the idea of creating a Central Assistance Scheme (RKVY) on May 29, 2007, in response to the poor growth in agriculture and related industries. The NDC also sought to realign agricultural development policies to better satisfy the demands of farmers. States had a lot of flexibility and autonomy in creating and implementing programmes to encourage investment in agriculture and related industries under the scheme.
Through the establishment of the State Agriculture Plan (SAP) and District Agriculture Plans, the programme promoted decentralised planning in the agricultural sector (DAPs). The plan was based on agro-climatic conditions, which ensured the availability of appropriate technologies and natural resources, thereby meeting local demands.
Features and Objectives of Rashtriya Krishi Vikas Yojana
The Rashtriya Krishi Vikas Yojana has the following distinguishing features:
- The Rashtriya Krishi Vikas Yojana is a scheme under the State Plan.
- The baseline expenses are derived using the state government’s average expenditure during the three years preceding the previous year.
- This programme receives complete support from the federal government.
- This method allows states to have maximum freedom.
- The Rashtriya Krishi Vikas Yojana brings together the agricultural and related sectors.
- The assignments are automatic because it is an incentive scheme.
- Merging with other programmes, such as NREGS, is encouraged under this plan.
- The creation of District and State Agricultural Plans is required under this system.
- The Rashtriya Krishi Vikas Yojana promotes initiatives with a clear deadline.
- States that have pledged to invest in agriculture by adhering to the RKVY-RAFTAAR yojana’s rules must continue to do so even if they are no longer in the RKVY basket.
The following are the key goals of the RKVY Yojana:
- States should be given more flexibility and autonomy to plan and implement agricultural programmes.
- By providing incentives, the state government can encourage public investment in the agricultural and allied sectors.
- Ascertain that agricultural plans are strategized in light of agro-climatic conditions, natural resources, and technological advancements.
- Keep an eye on whether the agricultural plans in the United States are centred on local needs, crops, and priorities.
- Farmers’ returns should be increased.
- Reduce yield gaps in the state’s most significant crops.
- Bring about changes in the agricultural and allied industries’ productivity.
- Assure that Agricultural Plans for the States and Districts are prepared.
What Allied Sectors Does the Rashtriya Krishi Vikas Yojana Address?
The sectors covered by the Rashtriya Krishi Vikas Yojana are listed below.
- Crop Husbandry.
- Animal Husbandry.
- Dairy Development.
- Agricultural Research and Education.
- Soil and Water Conservation.
- Agricultural Financial Institutions.
- Agricultural Marketing.
- Food storage and Warehousing.
- Other Agriculture Programmes and Cooperation.
Significance of RKVY Scheme
The Rashtriya Krishi Vikas Yojana initiative is in charge of creating and implementing programmes to encourage agricultural investment by giving states a lot of freedom and flexibility. This programme was a success in terms of growing agricultural state domestic product and encouraging agribusiness.
The following are some of the RKVY Scheme’s useful implications:
- Incentivizing all Indian states to increase their allocation to agriculture and related areas.
- RKVY assists in the development of post-harvest infrastructure necessary for agricultural growth, as well as bolstering farmers’ efforts by providing market facilities.
- It will aid in the promotion of private investment in the agricultural sector throughout the United States.
Accelerated Fodder Development Program (AFDP), Saffron Mission, Crop Diversification Program (CDP), and others are some of the important sub-schemes undertaken under RKVY-Raftaar.
The RKVY – Raftaar is responsible for all of the country’s important sectors, including:
- Crop Cultivation and Horticulture.
- Animal Husbandry and Fisheries.
- Dairy Development, Agricultural Research and Education.
- Forestry and Wildlife.
- Plantation and Agricultural Marketing.
- Food Storage and Warehousing.
- Soil and Water Conservation.
- Agricultural Financial Institutions, other Agricultural Programmes and Cooperation.
Eligibility Criteria for Rashtriya Krishi Vikas Yojana
States will be eligible for the Rashtriya Krishi Yojana if the following conditions are met:
- All states and territories in the union are eligible.
- There have been State Agricultural Plans (SAPs) and District Agricultural Plans (DAPs) prepared.
- Agriculture and associated sectors receive at least a fraction of state spending. They must also pay special attention to farmers who are on the margins.
States can immediately send funding to farmers or communities involved in agricultural operations once they receive funds from the federal government.
Rashtriya Krishi Vikas Yojana Documents Required
The following is a list of crucial documentation that States must provide to be eligible for RKVY financing.
- Quarterly performance report (physical and financial achievements) and outcomes in a prescribed format within the stated time frame.
- 100% Utilization Certificates (UCs) for money allocated through the preceding fiscal year.
Who Can Apply for Rashtriya Krishi Vikas Yojana?
Individuals working in the agricultural and associated sectors in India are eligible to apply for the PM Krishi Vikas Yojana.
Farmers will receive a 20-50 per cent subsidy for planting fruits and traditional farming under the Rashtriya Krishi Vikas Yojana in 2021-22. Farmers can apply for this grant online. The selection will be carried out by the appropriate department. Grants will be distributed to chosen farmers through the DBT (Direct Benefit Transfer) scheme.
Benefits of Rashtriya Krishi Vikas Yojana
- Agricultural Entrepreneurship Orientation- The programme offers a two-month orientation with a stipend of $10,000. In addition, this programme provides coaching on a variety of financial, technical, and other concerns.
- Agripreneurs can get finance from the Rashtriya Kisan Vikas Yojana, which offers up to 5 lakh rupees (which is a 90 per cent grant and 10 per cent contribution to the incubatee). As previously indicated, states would receive 60:40 money under RKVY-RAFTAAR, whereas hilly areas will receive 90:10 support. Union Territories, on the other hand, will receive 100% funding.
- Seed-stage R-ABI Incubatees’ Funding- A total of Rs. 25 lakh is available in funding (in form of an 85 per cent grant and 15 per cent contribution from the incubatee). This money will go to all R-ABI incubatees. After two months of residency at R-ABI, incubatees, or startups, must register as a legal entity in India.
- States will receive financing in two instalments (50 per cent each) under the Rashtriya Krishi Vikas Yojana, with the final payment accessible once they show a 100 per cent Utilization Certificate.
India’s agriculture and allied sectors might achieve noteworthy growth with consistent funding from the central government.