Maharashtra first state to get PM-RKVY 2nd instalment of ₹335 crore
Synopsis
Maharashtra has become the first state in India to unlock the second instalment of PM-RKVY funds — a ₹335 crore central release that, combined with state matching funds, puts ₹558 crore into play for farm modernisation. The milestone is driven by the state's 75%-plus fund utilisation rate and an 81.73% MIDH expenditure record, setting a benchmark other states are yet to match.
Key Takeaways
Maharashtra is the first state to qualify for the PM-RKVY second instalment of ₹335 crore , released by the Centre on 27 July .
Combined with the state's 40% matching contribution of ₹223 crore , a total of ₹558 crore is now available for agricultural development.
The state utilised over 75% of PM-RKVY funds and achieved an 81.73% expenditure rate under MIDH , earning top-performer status nationally.
Funds will be deployed in micro-irrigation, farm mechanisation, organic farming, soil health management , and digital agriculture.
Maharashtra has requested an additional ₹377 crore over three years for horticulture ahead of the 2027 Nashik Kumbh Mela and ₹500 crore extra for farm mechanisation.
Maharashtra has become the first state in the country to qualify for the second instalment of funds under the Pradhan Mantri Rashtriya Krishi Vikas Yojana (PM-RKVY), with the Centre releasing ₹335 crore to support the state's agricultural sector. Chief Minister Devendra Fadnavis announced this on Monday, 27 July, crediting the state's strong fund utilisation and performance across key agricultural schemes for securing the early release.
Why Maharashtra Qualified First
The Centre's approval followed Maharashtra's demonstrated efficiency in deploying PM-RKVY allocations. The state successfully utilised over 75 per cent of its allocated funds under PM-RKVY, a threshold that triggered eligibility for the second instalment ahead of other states.
Maharashtra also ranked among the top-performing states nationally under the Mission for Integrated Development of Horticulture (MIDH), achieving an expenditure rate of 81.73 per cent. The state's progress in generating farmer IDs — a key digital agriculture metric — was also noted favourably by the Union government.
Total Fund Pool Now ₹558 Crore
The ₹335 crore central release, paired with Maharashtra's mandatory 40 per cent matching state contribution of ₹223 crore, brings the total fund available for agricultural development across the state to ₹558 crore, according to Agriculture Minister Dattatray Bharane, who represented the state at a virtual review meeting chaired by Union Agriculture and Farmers Welfare Minister Shivraj Singh Chouhan.
Where the Funds Will Be Deployed
Minister Bharane outlined that the combined corpus will be channelled across several priority areas: micro-irrigation and water-efficiency projects, farm mechanisation and modern equipment distribution, organic farming initiatives, soil health management, and the execution of key projects under RKVY. The meeting also reviewed progress in the digital agriculture sector, with Minister Chouhan directing officials to accelerate spending on digital initiatives to bring modern technology to farmers more rapidly.
Chouhan emphasised, according to Minister Bharane, that the Union Government's goal extends beyond fund allocation — it is to ensure every rupee delivers maximum benefit to farmers.
Maharashtra's Additional Funding Requests
The state has also placed fresh demands before the Centre. Minister Bharane said Maharashtra has requested an allocation of ₹377 crore over three years under RKVY and the Integrated Horticulture Development Mission to boost fruit and vegetable production ahead of the 2027 Nashik Kumbh Mela, citing the model of Madhya Pradesh. Additionally, the state has sought an extra ₹500 crore for farm mechanisation schemes to accelerate modern and horticultural farming.
Chief Minister Fadnavis, in a post on X, expressed gratitude to Minister Chouhan for approving the instalment, stating that Maharashtra continues to work actively towards enhancing farmer welfare under the guidance of Prime Minister Narendra Modi. With the funds now cleared and additional requests pending, the next phase of agricultural modernisation in Maharashtra is set to take shape in the months ahead.
Point of View
If applied consistently, reorder incentives for state agriculture departments nationwide. The more pointed question is whether the ₹558 crore corpus, spread across micro-irrigation, mechanisation, organic farming, and digital agriculture simultaneously, risks being spread too thin to produce measurable impact in any single area. Maharashtra's additional requests — ₹377 crore for Nashik Kumbh horticulture and ₹500 crore for mechanisation — suggest the state is already looking beyond this tranche, which is either confidence or overreach, depending on how the current funds are absorbed.
NationPress
27 Jul 2026
Frequently Asked Questions
Why is Maharashtra the first state to receive the PM-RKVY second instalment?
Maharashtra qualified first because it utilised over 75 per cent of its PM-RKVY allocation and achieved an 81.73 per cent expenditure rate under the Mission for Integrated Development of Horticulture (MIDH). The Centre recognised this performance — along with progress in generating farmer IDs — as grounds to release the second instalment ahead of other states.
What is PM-RKVY and how does the fund-matching work?
The Pradhan Mantri Rashtriya Krishi Vikas Yojana (PM-RKVY) is a centrally sponsored scheme aimed at boosting agricultural development across India. The Centre releases a portion of the funds, and the recipient state must contribute a mandatory 40 per cent match — in Maharashtra's case, ₹223 crore — bringing the total available corpus to ₹558 crore.
How will the ₹558 crore be spent in Maharashtra?
The funds will be deployed across micro-irrigation and water-efficiency projects, farm mechanisation, organic farming initiatives, soil health management, and digital agriculture. Union Agriculture Minister Shivraj Singh Chouhan has directed officials to accelerate spending on digital initiatives in particular.
What additional funds has Maharashtra requested from the Centre?
Maharashtra has requested ₹377 crore over three years under RKVY and the Integrated Horticulture Development Mission to boost fruit and vegetable production for the 2027 Nashik Kumbh Mela. The state has also sought an additional ₹500 crore for farm mechanisation schemes to advance modern and horticultural farming.
Who attended the review meeting where the funds were approved?
Agriculture Minister Dattatray Bharane represented Maharashtra at a virtual review meeting chaired by Union Agriculture and Farmers Welfare Minister Shivraj Singh Chouhan. Chief Minister Devendra Fadnavis separately acknowledged the approval in a post on X, thanking Minister Chouhan for the release.
