Agriculture Infrastructure Fund (AIF)


It is a demand-driven, credit-linked

scheme offering subsidies of 25 per cent (for the plains) and 33.33 per cent (for North-East and hilly regions) to individuals, farmers, FPOs, cooperatives, and state agencies. As of 30th April

2024, 48357 projects were sanctioned for storage infrastructure with ₹4570 Crore released

as subsidy, and 20878 other projects21 are also under progress with ₹2084 Crore released as

subsidy. To give further fillip to farm gate infrastructure and also involve the private sector

more actively, the Agriculture Infrastructure Fund (AIF) was launched with a financing facility

of ₹1 lakh Crore to be disbursed between FY 2020-21 to FY 2025-26 with support extending till

FY 2032-33. The AIF provides medium-term debt financing for post-harvest management and

community farming projects, offering interest subvention and credit guarantee support. As of

5th July 2024, AIF mobilised an investment of ₹73194 Crore, supporting 17196 custom hiring

centres, 14868 primary processing units, 13165 warehouses, 2942 sorting and grading units,

1792 cold storage projects, and 18981 other projects. In addition, the Pradhan Mantri Kisan

SAMPADA Yojana (PMKSY) introduced credit-linked financial assistance through grants-inaid

to build efficient supply chain management from farm to retail to reduce the wastage of

perishable produce and extend food shelf life. Under PMKSY 1044 projects were completed

till end March 2024. A total of 1685 projects with project cost ₹ 32.78 Thousand Crore and

approved subsidy of ₹ 9.3 Thousand Crore have been approved till end March 2024. 

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