Centre Approves 2,000 Crore fund for Agriculture Rural Markets Upgradation

The Centre has taken an initiative for the development and upgradation of agricultural marketing infrastructure. The government has now approved the creation of a corpus of Rs. 2,000 crore for Agr-Market Infrastructure Fund (AMIF) for development and upgradation of agricultural marketing infrastructure in Gramin Agricultural Markets and Regulated Wholesale Markets. 

The AMIF will be created with National Bank for Agriculture and Rural Development (NABARD). It will provide state government subsidized loans which will help in developing marketing infrastructure in 585 Agriculture Produce Market Committees (APMCs) and 10,000 Gramin Agricultural Markets (GrAMs). 

However, states may also access the AMIF for innovative integrated market infrastructure projects like 'Hub and Spoke' mode and in Public Private Partnership (PPP) mode.  

These GrAMs will strengthen physical and basic infrastructure using Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and other government schemes. 

After the approval of AMIF Scheme, the interest subsidy will be provided by the Agriculture Ministry to the NABARD in alignment with annual budget releases during 2018-19, 2019-20 and up to 2024-25. 

The scheme is demand driven and its progress is subject to the demands from the states and proposals received from them.