Government Expands Agricultural Infrastructure Fund for Enhanced Farm Productivity

The government has expanded the Rs 1 lakh crore-Agricultural Infrastructure Fund (AIF) to make it more attractive and effective. This will include new eligible projects and supportive measures to bolster agricultural infrastructure and community farming. The initiative aims to enhance productivity, sustainability, and investment in the agriculture sector.

The government on Wednesday announced the expansion of the Rs 1 lakh crore-Agricultural Infrastructure Fund (AIF), aiming to make it more attractive and impactful for farm-related infrastructural development across the nation.

The Union Cabinet, chaired by Prime Minister Narendra Modi, approved these progressive changes to the central sector scheme, an official statement confirmed. The move is poised to enhance agricultural infrastructure and support the farming community extensively.

The expanded AIF scheme aims to include a broader scope of eligible projects and integrated supportive measures, fostering a robust agricultural infrastructure ecosystem. Eligible beneficiaries can now pursue viable projects to improve community farming assets, boosting productivity and sustainability. The government has also allowed projects integrating primary and secondary processing, although standalone secondary projects will fall under different ministries. Additionally, convergence with the PM-KUSUM scheme and extended credit guarantees for Farmer Producer Organizations (FPOs) further bolster this initiative. Since its inception in 2020, the AIF has facilitated multiple storage projects and created substantial rural employment opportunities while securing agricultural productivity.