The funds will be provided under the innovation and Agri-entrepreneurship Development Programme launched under the revamped Rashtriya Krishi Vikas Yojana (RKVY).
To promote Agri firms, Agriculture Minister Narendra Singh Tomar on Friday said that the government will find 112 start-ups in the first phase with a sum of Rs 11.85 crores in the current financial year.
The funds will be provided to the start-ups chosen by different knowledge partners and agribusiness incubators in the area of agro-processing, food technology, and value addition, he added.
Tomar in his statement mentioned, 112 start-ups in the area of agro-processing technology and value addition will be funded for a sum of Rs 11.85 crore, in the first phase. The funds will be released in installments and the selected start-ups have been trained for two months at 29 agribusiness incubation centers spread across the country, he said.
This initiative by the Government will give a boost to agribusiness, will create employment opportunities for the youth and most important directly or indirectly it will contribute to enhance farmer’s income by providing opportunities to them, he added
After a nationwide advertisement and a rigorous selection process, the government has identified five knowledge partners as centers of excellence and 24 RKVY-RAFTAAR agribusiness incubators (R-ABIs) from across the country.
Tomar pointed up the need to make agriculture competitive, provide handholding to agriculture-based activities, and adopt new technology as soon as possible. He also said his vision is to attract the youth to agriculture and rejuvenate the sector, Emphasizing on increasing private investment in agriculture.
Tomar also recalled that Prime Minister Narendra Modi — earlier in the month while reviewing the progress of agriculture research, extension, and education in India — had emphasized on promoting startups and agri-entrepreneurs to ensure innovation and use of technology in agriculture and allied sectors.
Modi had also directed that hackathons may be organized twice a year to solve identified problems and meet design needs for tools and equipment that can reduce drudgery in farming activity, the minister added.
Agribusiness in India: Industry overview
A business generates most or all of its remunerations from agriculture. An agribusiness most likely to be a large-scale business undertaking and may mend in farming, processing, manufacturing, packaging, and distribution of products. The business comprising farming and farming-related commercial activities. Agribusiness includes all the steps required to send an agricultural good to market: production, processing, and distribution. It is a significant factor in nations with arable land since agricultural products can be exported.
Scope for Agribusiness in India
India is enriched with various ago-climate, which stimulates the production of temperate, subtropical, and tropical agricultural products.
There is a rising demand for agricultural inputs like feed and fodder, inorganic fertilizers, bio-fertilizers.
Currently, the processing is done at the primary level only and the increasing standard of living increases the chances for secondary and tertiary processing of agricultural products.
India is expected to achieve the ambitious goal of doubling farm income by 2022, and this initiative by the Government will make it easier to achieve the goal. The agriculture sector in India is expected to generate better momentum in the next few years due to increased investment in agricultural infrastructures such as irrigation facilities, warehousing, and cold storage. Furthermore, the growing use of genetically modified crops will likely improve the yield for Indian farmers.