Cabinet Approves Rs 1 Lakh Crore Plan to Restructure Agricultural Schemes Under PM-RKVY and Krishonnati Yojana

Union Cabinet, led by Prime Minister Narendra Modi, has greenlit the Department of Agriculture & Farmers Welfare’s (DA&FW) proposal to streamline various Centrally Sponsored Schemes (CSS) under the Ministry of Agriculture and Farmers Welfare into two main umbrella programs: the Pradhan Mantri Rashtriya Krishi Vikas Yojana (PM-RKVY) and the Krishonnati Yojana (KY).

The PM-RKVY, a flexible "cafeteria" scheme, aims to promote sustainable agricultural practices, while the Krishonnati Yojana focuses on ensuring food security and agricultural self-sufficiency. Both schemes emphasize the integration of technology for efficient and effective execution.

These schemes will be implemented by state governments with a proposed total expenditure of Rs 1,01,321.61 crore. The central share from DA&FW accounts for Rs 69,088.98 crore, while state governments will contribute Rs 32,232.63 crore. Of the total allocation, Rs 57,074.72 crore is earmarked for PM-RKVY, and Rs 44,246.89 crore is for the Krishonnati Yojana.

The cabinet's decision ensures the continuation of all existing schemes under these two umbrellas, while also prioritizing specific areas for farmers’ welfare. Programs such as the National Mission for Edible Oil-Oil Palm (NMEO-OP), Digital Agriculture, Clean Plant Program, and the National Mission for Edible Oil-Oil Seeds (NMEO-OS) are now being handled on a mission mode to accelerate development.

Moreover, the Mission Organic Value Chain Development for the North Eastern Region (MOVCDNER) under KY has been modified to include a new component, MOVCDNER-Detailed Project Report (MOVCDNER-DPR), which gives the northeastern states flexibility to tackle region-specific agricultural challenges.

The rationalization allows states to create a comprehensive Strategic Document on the agriculture sector, focusing not only on crop production and productivity but also on emerging issues such as climate resilience and value chain development for agricultural commodities. This framework will also help states align their strategies with national agricultural objectives, ensuring greater efficiency and impact.

The key goals behind the rationalization include eliminating duplication and enhancing convergence across various programs, providing flexibility for state governments to customize their agricultural strategies based on local needs, addressing emerging challenges such as nutrition security, sustainability, climate resilience, and encouraging private sector participation. Additionally, the process aims to streamline approval procedures by allowing the approval of a state's Annual Action Plan (AAP) in its entirety, rather than evaluating individual schemes separately.

A significant update under PM-RKVY is the flexibility provided to state governments, allowing them to reallocate funds between components based on their specific needs. This will enable more targeted interventions in areas where states see the greatest need.

This restructuring is expected to make India’s agricultural sector more resilient, efficient, and responsive to both local and national challenges. The cabinet’s decision signals a significant step towards improving farmer welfare and ensuring the country’s long-term agricultural sustainability.