Agriculture Infrastructure Fund (AIF) programme running under the Government of India has received proposals envisaging an investment of INR 23000 crore, as stated by Union Minister for Agriculture and Farmers Welfare Narendra Singh Tomar.
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The Agriculture Infrastructure Fund set up in 2020 aims at providing a medium-long term debt financial facility till 2025-26 for investment in viable projects for post-harvest management infrastructure and community farming assets through interest subvention and financial support.
The Agriculture Infrastructure Fund with a corpus of INR 1 lakh crore will be disbursed through loan by 2025-26, ministry officials had said earlier.
“So far, we have received proposals worth Rs 23,000 crore, of which the proposals worth Rs 13,000 crore is under consideration,” Tomar said while briefing about the outcome of the two-day National Conference of State Agriculture and Horticulture Ministers.
Banks have disbursed over INR 9,000 crore under the AIF, for which work are going on,” Tomar said. He was speaking on the outcome of the two day National Conference of State Agriculture and Horticulture Ministers in Bengaluru
He said this fund will be given as a loan to the interested people with “impressive proposals”.
Union Minister for State for Agriculture and Farmers Welfare Shobha Karandlaje said the loan will be given at a minimal interest rate of three per cent.
Tomar also said that there were plans to give a mission mode approach to natural farming, which will not only improve soil health but also reduce the usage of chemicals. A total of 4 lakh hectares is under natural farming in the country.
Based on the deliberations at the conference, States have agreed to adopt technological interventions in areas of natural farming, digital agriculture, crop insurance, promotion of FPOs, sharing of good agriculture practices among others. The deliberations will help facilitate the Centre to develop a road map and prepare a strategy for sustainable agriculture development and income enhancement of farmers, he said.