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New Delhi, Dec 11 (NationPress) The Central government has allocated Rs 122.50 crore to over 1,700 agricultural startups over the past five years through the Innovation and Agri-Entrepreneurship Development programme, as reported by Minister of State for Agriculture Bhagirath Choudhary in the Lok Sabha.
This initiative, commenced in the fiscal year 2018-19 under the Rashtriya Krishi Vikas Yojana (RKVY), is designed to foster innovation and agri-entrepreneurship by offering both financial and technical assistance to support startup development.
A cumulative financial aid of Rs 122.50 crore has been provided to 1,708 agri startups from 2019-20 to 2023-24, facilitated through five Knowledge Partners (KPs) and 24 RKVY Agribusiness Incubators (R-ABIs) that deliver training and incubation to startups participating in this programme, according to the Minister's written response.
For the fiscal year 2023-24, roughly Rs 147.25 crore was allocated to 532 startups.
The programme offers financial backing of up to Rs 5 lakh at the idea phase and up to Rs 25 lakh at the seed phase to startups in agriculture and allied fields, aiming to assist in launching their products, services, and business platforms, as well as to aid in scaling operations, the Minister noted.
This July, the Ministry of Agriculture and Farmers’ Welfare, in partnership with the National Bank for Agriculture and Rural Development (NABARD), initiated a Rs 750 crore ‘Agri Sure’ fund to drive investments in innovative, technology-based, and high-impact initiatives in agriculture and rural enterprises.
The fund, announced by NABVentures, a subsidiary of NABARD, comes with an initial corpus of Rs 750 crore, comprising Rs 250 crore each from NABARD and the Ministry of Agriculture, along with Rs 250 crore from other institutions.
This fund is set to support around 85 agri startups, with individual investment sizes reaching up to Rs 25 crore by the term's conclusion. It will back these startups through investments in sector-specific, sector-agnostic and debt Alternative Investment Funds (AIFs), as well as direct equity investments.
The focus of Agri-Sure includes bolstering innovative, technology-led initiatives in agriculture, enhancing the value chain of farm produce, establishing new rural ecosystem connections and infrastructure, generating employment opportunities, and supporting Farmers Producer Organizations (FPOs). Furthermore, the fund seeks to promote entrepreneurship through IT-based solutions and machinery rental services for farmers, facilitating sustainable growth and development within the agricultural sector.
