PM Modi launched the fund via videoconference on the auspicious occasion of Balram Jayanthi.
New Delhi:
Claiming that the government’s agri-reforms are focused on empowering smallholder farmers, Prime Minister Narendra Modi on Sunday launched a funding mechanism of Rs 1 lakh crore under the Agri-Infra Fund that will help create post infrastructure. -harvesting in villages and creating jobs.
He also said that the country was not facing problems with agricultural production but with post-harvest losses and therefore efforts were being made to strengthen post-harvest infrastructure and ensure better income for farmers.
PM Modi started the fund via video conference on Balram Jayanthi, a day when farmers love the plow. Agriculture Minister Narendra Singh Tomar and farmers from some states also participated in the video conference.
“On this auspicious occasion, a special fund of Rs 1 lakh crore was launched to create infrastructure related to agriculture in the country.
“This will help create better storage facilities and modern cold storage chains in the villages. Many job opportunities will be created in the villages,” Prime Minister Modi said after the launch.
The Prime Minister reaffirmed that India has a huge opportunity to invest in postharvest management solutions like warehousing, cold chain and food processing, and to strengthen its global presence in areas such as organic and fortified foods.
He also mentioned that this program provides a good opportunity for start-ups in the agricultural sector to reap the benefits and expand their operations, thus creating an ecosystem that reaches farmers from all corners of the country.
PM Modi also interacted with farmers in Karnataka, Gujarat and Madhya Pradesh who are among the first beneficiaries of the credit facility under this new fund through primary agricultural credit companies for the establishment of post facilities. -harvest.
Under the Agri-Infra Fund, approximately Rs 1 lakh crore will be sanctioned under the financing facility in partnership with several lending institutions in the form of loans to primary agricultural credit companies (PACS), to groups of farmers , agricultural producer organizations (OPF), agro-entrepreneurs, start-ups and agro-technological players.
Already, 11 of the 12 public sector banks have signed initial agreements with the Ministry of Agriculture.
Under this fund, an interest subsidy of approximately 3 percent and a credit guarantee of up to Rs 2 crore will be provided to beneficiaries to increase the viability of projects.
The loans will be disbursed over four years starting with a penalty of Rs 10,000 crore in the current year and Rs 30,000 crore each over the next three fiscal years.
