Rashtriya Krishi Vikas Yojana (RKVY)

The Rashtriya Krishi Vikas Yojana (RKVY) was established to support the expansion of the agricultural sector. Renamed Remunerative Approaches for Agricultural and Allied Sector Renewal (RAFTAAR) and carried out for three years until 2019–20, the first RKVY plan was introduced in 2007. The funding allotted for RAFTAAR was Rs. 15,722 crores. The Central Assistance Scheme was suggested by the National Development Council (NDC) at a meeting on May 29, 2007, to address the problem of agriculture and its related sectors’ slow growth and to develop agricultural strategies that can meet farmers’ needs (RKVY). This plan gave states the authority to plan and carry out investment initiatives in agriculture and related industries.

Objectives of Rashtriya Krishi Vikas Yojana (RKVY)

• It ensures that the district and state develop agriculture strategies and that these strategies must be chosen based on agro-climatic variables, technological advancements, and the abundance of natural resources.
• The primary objective of the program is to persuade each state government to increase the amount of money it contributes to agriculture and related services.
• By taking deliberate action, the goal is to reduce yield gas in significant products.
• It is encouraged for the state government to develop and implement initiatives for agriculture and associated services.
• It guarantees that state agriculture plans take into account local priorities, goods, or requirements.
• The strategy ensures that agricultural and related industries’ farmer returns are maximized.

Basic Features of Rashtriya Krishi Vikas Yojana (RKVY)

1. In the National Plan, it is included.
2. The strategy encourages fusion with other programs like NREGS.
3. The entire financing plan is comprised of grants from the federal government.
4. The states will have broad latitude as a result.
5. The State Government’s average spending for the three years prior to the current year is used to determine the baseline expenditure.
6. The agricultural sector and other related industries will be completely integrated.
7. If the state doesn’t meet its commitment in the following years, it will be removed from the RKVY basket. The leftover funds for completing the projects that have already begun need to be committed by the states.
8. Allocations aren’t always made because the program is a reward one.

Funding Pattern Under Rashtriya Krishi Vikas Yojana (RKVY)

• North Eastern State: 90% from the federal government and 10% from the state government.
• Union Territory (UT): The federal government controls it entirely.
• For all other states: 40% from the State government and 60% from the Federal government.

Significance of the Rashtriya Krishi Vikas Scheme

To encourage investment in agriculture, the Rashtriya Krishi Vikas Yojana initiative provides the states with a great deal of freedom and authority to create and carry out its programs. With the help of this plan, the agricultural state’s GDP increased, and agribusiness was encouraged.

Some of the positive effects of the RKVY Scheme are as follows:

1. It supports private investment in the agricultural sector across the nation.
2. Urging each and every state in India to increase funding for agriculture and other related industries.
3. By providing market facilities, RKVY contributes to the development of the post-harvest infrastructure necessary for the expansion of agriculture and supports the efforts of farmers.

Components of Rashtriya Krishi Vikas Yojana (RKVY)

1. An Overview of Entrepreneurship: There is a two-month orientation program with a monthly Rs stipend. 10,000. Mentorship is provided on a variety of financial, technological, and other topics during the orientation.
2. Financing for the Seed Stage of R-ABI Incubatees: The funding in excess of Rs. 25 lakhs, of which 15 percent comes from the incubator and 85 percent is a loan. This will be delivered to all R-ABI incubators. These incubators must be Indian start-ups with at least two months of R-ABI experience and a local legal presence.
3. Pre-Seed Stage Financing for Entrepreneurial Ideas: A Fund of Rs. 5 lakhs with 90% coming from grants and 10% from the incubator’s contribution. Except in north-eastern and mountainous states, where the sharing pattern is 90:10, RKVY-RAFTAAR would continue to be run as a Centrally Sponsored Program in a ratio of 60:40, which means that the government of India and the state participate proportionally. The payment is unconditional as a central share for UTs.

Eligibility for Rashtriya Krishi Vikas Yojana (RKVY)

A state is qualified for RKVY if it maintains or increases its spending on agriculture and associated industries as a proportion of its total State Plan Expenditure. Whereas the Base Line for these expenditures is the average of a State Government’s percentage of expenditure on Agriculture and its Allied Sectors over the three years prior, less any funding for Agriculture and its Allied Sectors that it may have formerly received during that period under its State Plan.

Sectors Covered Under the Rashtriya Krishi Vikas Yojana (RKVY)

• Organizations that Finance Agriculture
• Agriculture Programs in Gardening
• cultivating crops
• Forests, wildlife, livestock, and fishing
• Farming collaboration
• Growth of dairy products, agricultural research, and education
• Food Warehousing and Storage
• Conservation of Water and Dirt
• Agriculture and Plantation Marketing

Areas of Focus Under the Rashtriya Krishi Vikas Yojana (RKVY)

•  Soil Health and Productivity
•  Animal Husbandry, Dairying & Fisheries
•  Integrated Pest Management
•  Crops that are part of integrated development for food, such as coarse grains, small millets, and pulses
•  Organic and Bio-fertilizers
•  Agriculture Mechanization
•  Sericulture
•  Development of Rainfed Farming Systems
•  Innovative Schemes
•  Promoting extension services
•  Horticulture
•  Study tours for farmers

Benefits of the Rashtriya Krishi Vikas Yojana (RKVY)

1. It supports value chain-connected models that boost output and productivity and help farmers increase their income.
2. It provides states the latitude and adaptability they require to create and implement policies in reaction to the needs of regional farmers.
3. Using agribusiness models that are focused on agri-entrepreneurship, enhancing youth’s abilities, encouraging innovation, and engaging them in agriculture.
4. It lessens the danger that farmers must take by focusing on alternative sources of income, such as integrated farming, sericulture, mushroom farming, beekeeping, dairy farming, floriculture, etc.
5. It aids farmer efforts by constructing the essential pre- and post-harvest agri-infrastructure that enhances access to high-quality supplies, storage, market facilities, etc., and equips farmers to make informed decisions.

Exclusions

1. Transportation expenditures, travel costs, and daily allowances.
2. Extending the scope of any projects or programs of the Indian government to develop or improve resources in the private sector or NGOs.
3. Prices for gasoline, oil, and lubricants.
4. Buying a vehicle
5. Funding and/or increasing the number of state subsidies for other federal or state initiatives.
6. Funding for any catastrophe assistance, farmer educational trips abroad, insurance premiums, and any farmer compensation.

Sub-Schemes under Rashtriya Krishi Vikas Yojana (RKVY) 

1. Crop diversification: The original Green Revolution nations are struggling with low yields and excessive water resource usage. The solution is crop diversity. During the financial year 2013–2014, Rs. 500.00 crores has been set aside to launch a crop diversification initiative that would support technical advancement and encourage farmers to choose other crops.
2. National Mission for Protein Supplements: The National Mission for Protein Supplements, which has a budget of Rs. 300 crores, was established in 2011–12 to increase the production of animal-based proteins in selected blocks through livestock development, dairy farming, piggery, goat rearing, and fisheries. 
3. Saffron Mission: The program was introduced in 2010–11 with budget assistance from the Indian government of Rs. 288.06 crores over four years. The mission’s objective was to boost the economy of J&K Saffron
4. Vidharbha Intensive Irrigation Development Program: It was launched in 2012–2013 to bring additional farming regions under protected irrigation.
5.  Green Revolution in the Eastern Region: It was launched in 2010–2011, and aims to strengthen the rice-based farming systems of Assam, Eastern Uttar Pradesh, West Bengal, Bihar, Jharkhand, Orissa, and Chhattisgarh.
6. Initiative on Vegetable Clusters: It was suggested that a significant boost in production and market integration would be required to meet the growing demand for vegetables. To do this, an effective supply chain has to be set up to order to deliver high-quality veggies at reasonable costs.

Way Forward

The Rashtriya Krishi Vikas Yojana will introduce new programs and tactics that will help producers and inspire young people to pursue careers in agriculture.

FAQs

Q1. If a farmer is cultivating mushrooms, then he is eligible for Rashtriya Krishi Vikas Yojana.

Ans. Yes, he is eligible as Rashtriya Krishi Vikas Yojana covers the allied sectors too in agriculture.

Q2. Is there any maximum age limit for applying under Rashtriya Krishi Vikas Yojana?

Ans.  No, there isn’t a cap on age.

Q3. If the farmer’s yield is low due to any climate or weather calamities, then he is eligible for Rashtriya Krishi Vikas Yojana or not?’

Ans. No, the farmer is not eligible if the yield is low due to climate or weather calamity.

Q4. What are the Sub-schemes under Rashtriya Krishi Vikas Yojana?

Ans. Sub-schemes include Crop diversification, National Mission for Protein Supplements, Beekeeping, Saffron Mission, Livestock health diseases, and Vidarbha Intensive Irrigation Development Program.

Q5. Is this Rashtriya Krishi Vikas Yojana supports and encourages new entrepreneurs?

Ans. Yes, it encourages and supports new entrepreneurs but only those related to
agriculture and its allied sector.