In order to bridge the Agriculture-notes-for-state-psc-exams”>Agriculture gap by empowering agriculture and villages and boosting private Investment, the Government of India launched a Central Sector Scheme of financing facility under Agriculture Infrastructure Fund. The AgricultureInfrastructure Fund (AIF) is a medium-long term debt financing facility through interest subvention and credit guarantee support on loans for investment in viable projects for post-harvest management infrastructure and community farming assets.
Under the scheme, Rs. 1 Lakh Crore will be provided by banks and financial institutions as loans with interest subvention of 3% per annum and credit guarantee coverage under CGTMSE for loans up to Rs. 2 Crores to the eligible beneficiaries include farmers, FPOs, PACS, Marketing Cooperative Societies, SHGs, Joint Liability Groups (JLG), Multipurpose Cooperative Societies, Agri-entrepreneurs, Start-ups, and Central/State agency or Local Body sponsored Public-Private PARTNERSHIP Projects for creation of post-harvest management infrastructures like Supply chain Services including e-marketing platforms, Warehouses, Silos, Pack houses, Assaying units, Sorting & grading units, Cold chains, Logistics facilities, Primary processing centres, Ripening Chambers etc.
Community farming assets eligible under Agri Infra Fund includes: Organic inputs production, Bio stimulant production units, Infrastructure for smart and precision agriculture, Projects identified for providing supply chain infrastructure for clusters of crops including export clusters, Projects promoted by Central/State/Local Governments or their agencies under PPP for building community farming assets or post-harvest management projects.