Rashtriya Krishi Vikas Yojana (RKVY) Fund Utilisation

Rashtriya Krishi Vikas Yojana (RKVY) is a Centrally Sponsored Scheme for agriculture and allied sectors in India. Maharashtra became the first State to qualify for the second instalment under RKVY after utilising about Rs 260 crore out of the Rs 335 crore released in the first instalment, which is above the 75% utilisation benchmark.

RKVY and PM-RKVY Framework

RKVY was launched to support agriculture and allied sector projects through State-level planning and flexible fund use. The scheme is implemented as Pradhan Mantri Rashtriya Krishi Vikas Yojana (PM-RKVY) in the current financial framework, and Rs. 7553.00 crore was allocated for 2024-25, with Rs. 3075.26 crore disbursed by 25 November 2024.

RKVY-RAFTAAR Guidelines

The RKVY-RAFTAAR guidelines were revamped from 2015-16 for strengthening farmers’ efforts, reducing risk, and promoting agri-business entrepreneurship. The funding pattern is 60:40 between the Centre and States, 90:10 for North Eastern and Himalayan States, and 100% for Union Territories.

Fund Allocation Criteria and Components

The operational guidelines issued on 20 November 2024 by the Department of Agriculture & Farmers Welfare prescribe allocation criteria for States and Union Territories. The criteria include unirrigated area, small and marginal farmers, and Gross State Value Added in agriculture. During the review of Maharashtra’s utilisation, expenditure was advised to be accelerated under Digital Agriculture, Agriculture Extension, the National Horticulture Mission, Seeds, Oilseeds, and Agroforestry components.

Innovation and Entrepreneurship Programme

The Innovation & Entrepreneurship Programme under RKVY for 2023-24 to 2025-26 is linked with agri-startup training and incubation. More than 3,500 agri-startups are expected to be trained and incubated, and 2,000 to 2,200 are to be selected and funded under the programme.

State-Level Release Example

On 15 February 2024, Rs. 235.14 crore was released to Karnataka as the third instalment under RKVY for 2023-24. Such instalments are linked with fund utilisation and compliance with scheme guidelines.

Important Facts for Exams

• RKVY is a Centrally Sponsored Scheme for agriculture and allied sectors.
• The standard funding pattern under RKVY-RAFTAAR is 60:40 between the Centre and States.
• North Eastern and Himalayan States receive funding in a 90:10 ratio under the scheme.
• Union Territories receive 100% central funding under RKVY-RAFTAAR.