The Cabinet Committee on Economic Affairs on Wednesday approved extension of the Rashtriya Krishi Vikas Yojana (RKVY) as RKVY-RAFTAAR for fiscals 2017-18 to 2019-20.
The committee meeting was chaired by Prime Minister Narendra Modi.
The Rashtriya Krishi Vikas Yojana – Remunerative Approaches for Agriculture and Allied sector Rejuvenation (RKVY-RAFTAAR) will incentivise states in increasing allocations to agricultural and allied sectors to boost farm output, an official release said here.
“This will also strengthen farmers’ efforts through creation of agricultural infrastructure that help in the supply of quality inputs and market facilities. This will further promote agri-entrepreneurship and support business models that maximise returns to farmers,” it added.
The financial allocation of the scheme will be Rs 15,722 crore, with an objective to make farming a remunerative activity through strengthening farmers’ efforts, risk mitigation and promoting agribusiness entrepreneurship.
RKVY-RAFTAAR funds would be provided to the states in a 60:40 ratio as grants from the Centre, and a 90:10 ratio for the north-eastern and Himalayan states.