Rashtriya Krishi Vikas Yojana - (RKVY-RAFTAAR)

In order to ensure holistic development of agriculture and allied sectors, Rashtriya Krishi Vikas Yojana was initiated in 2007 as an umbrella scheme. The main idea behind is to allow states to choose their own agriculture and allied sector development activities as per the district/state agriculture plan.

The main objectives of the scheme are:

(i) To strengthen the farmer's efforts through the creation of required pre and postharvest agri-infrastructure that increases access to quality inputs, storage, market facilities etc. and enable farmers to make informed choices.  

(ii) To provide autonomy, flexibility to States to plan and execute schemes as per local/ farmers‟ needs. 

(iii) To promote value chain addition linked production models that will help farmers increase their income as well as encourage production/productivity  

(iv) To mitigate the risk of farmers with a focus on additional income generation activities - like integrated farming, mushroom cultivation, beekeeping, aromatic plant cultivation, floriculture etc.  

(v) To attend national priorities through several sub-schemes. 

(vi) To empower youth through skill development, innovation and agri entrepreneurship based agribusiness models that attract them to agriculture. 

The scheme has come a long way since its inception and has been implemented across two plan periods (11th and 12th). During the XI Plan, an amount of Rs. 22,408.76 crore was released to States and 5768 projects were implemented. In the 12th plan Rs.31,488.44 crore was released and over 7600 projects were implemented in the sectors of crop development, horticulture, agricultural mechanization, natural resource management, marketing & post-harvest management, animal husbandry, dairy development, fisheries, extension etc. Till 2013-14, the scheme was implemented as an Additional Central Assistance (ACA) to State Plan Scheme with 100% central assistance. It was converted into a Centrally Sponsored Scheme in 2014-15 also with 100% central assistance. Since 2015-16, the funding pattern of the scheme has been altered in the ratio of 60:40 between Centre and States (90:10 for North Eastern States and Himalayan States). For Union Territories the funding pattern is 100 % central grant. 1.3 Based on feedback received from States, experiences garnered during implementation in the 12th Plan and inputs provided by stakeholders, RKVY guidelines have been revamped as RKVY – RAFTAAR - Remunerative Approaches for Agriculture and Allied sector Rejuvenation to enhance efficiency, efficacy and inclusiveness of the programme for the remaining period of the Fourteenth Finance Commission.  

Eligibility Criteria and Inter-State Allocation of Funds 

RKVY-RAFTAAR will continue to be implemented as a Centrally Sponsored Scheme in the ratio of 60: 40 (Government of India and State Share respectively) except in case of north eastern and hilly states where the sharing pattern is 90:10. For UTs the grant is 100% as Central share. The list of allied sectors as indicated by the erstwhile Planning Commission will be the basis for determining the sectoral expenditure, i.e., Crop Husbandry (including Horticulture), Animal Husbandry and Fisheries, Dairy Development, Agricultural Research and Education, Forestry.

Regular RKVY-RAFTAAR 

Value addition linked production projects (agribusiness models) that provide assured/ additional income to farmers: Under this component i.e. 30% (of 70%) states can take up value-added agribusiness projects that take care from production to marketing of any agriculture /allied sector activities that specifies end to end processes i.e. farm to markets with assured and additional income to the farmers. For example in rain-fed areas where millets are the main crop, States can devise a model where farmers groups (Farmer Producer Organizations-FPOs) can be encouraged to grow millets under crop development scheme, Millets Development Directorate of Indian Council of Agriculture Research (ICAR) can provide technology for value addition (breakfast cereal, biscuits, noodles, pasta, raw making machines etc) to the millet growers and companies like Britannia and ITC/ private individual entrepreneurs can be roped in for marketing of the value-added products. The guidelines of Private Public Partnership for Integrated Agriculture Development (PPP-IAD) provided (Appendix-C) under RKVY-RAFTAAR can be followed by states for developing this kind of projects that ensure definite additional income to farmers. States can consider the value chain models developed by the Indian Council of Agriculture Research (ICAR) under National Innovation Agriculture Projects (NIAP) for developing projects under this component. States can also dovetail schemes in value chain development. For example, production of cereals/ coarse cereals & millets/ horticulture crops could be encouraged under production oriented schemes like National Food Security Mission, Mission for Integrated Development of Horticulture etc. and the value addition, marketing component can be proposed under RKVY-RAFTAAR. Similar kind of dovetailing is suggested for other sector such as animal husbandry, fisheries, dairy, sericulture etc. 

Main objectives of scheme are: 

Augmenting the current government efforts in agricultural development by leveraging the capabilities of the private sector by: 

• Promote, developing and disseminating technologies for enhancing production and productivity.

• Enhancing production and productivity, improve nutritional security and income support to farmers. 

• Assisting states in addressing the entire value chain, right from the stage of pre-production to the consumer's table through appropriate interventions. 

• Creating employment generation opportunities for skilled and unskilled persons, especially unemployed youth.

• Addressing all concerns related to production and post-harvest management in agriculture/horticulture and agriculture allied sectors. 

• Improving value addition and ensuring farmer’sprofitability increases.  

• Making farming a viable business proposition. 

• Improving the delivery and monitoring mechanism under RKVY-RAFTAAR funded projects.