Lucknow, Dec 4: Ahead of the upcoming 2022 Assembly elections in the state, the UP Cabinet has approved a scheme aimed at boosting the agriculture sector, which will be implemented from the current financial year.
In a meeting chaired by Chief Minister Yogi Adityanath, the Cabinet on Friday gave its nod to implement Atma Nirbhar Krishak Integrated Development Scheme in Uttar Pradesh from 2021-22.
Under this scheme, 1,475 Farmer Producer Organisations (FPOs) will be formed in the next three years in each development block of the state, the UP government said in a statement.
The state government is likely to bear an expenditure of Rs 1,220.92 crore for implementation of the scheme from financial year 2021-22 to 2031-32.
The scheme will also help in achieving the target of utilising a budget of Rs 12,000 crore allotted to the state by the Centre under Agriculture Infrastructure Fund(AIF).
On July 8, 2020, the Union Cabinet had approved the AIF scheme. The scheme shall provide a medium to long-term debt financing facility for investment in viable projects for post-harvest management infrastructure and community farming assets through interest subvention and financial support.
Under the scheme, Rs 1 lakh crore will be provided by banks and financial institutions as loans to Primary Agricultural Credit Societies, Marketing Cooperative Societies, FPOs, Self Help Groups, farmers, joint liability groups, multipurpose cooperative societies, agri-entrepreneurs, startups, aggregation infrastructure providers and central/state agency or local body sponsored Public Private Partnership Project.
All loans under this financing facility will have interest subvention of 3 per cent per annum up to a limit of Rs 2 crore. This subvention will be available for a maximum period of seven years. (PTI)
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