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RKVY – Rashtriya Krishi Vikas Yojana | Company Vakil

Rashtriya Krishi Vikas Council (RKVY) scheme, a special Additional Central Assistance Scheme was launched by NDC (National Development Council) of India. This scheme comes under the National Agricultural Development Programme. This scheme aims at resolving the strategies for agricultural development and to meet the requirements of the farmers.

This scheme has been implemented since the 11th Five Year Plan of NDC. Enhancement of more allocation to Agriculture and Allied Sectors is induced to the State under this scheme. RKVY fund emphasizes the development of agriculture in the State. Agro-climatic conditions, natural resource issues, livestock development, poultry integration, technology in agricultural and fisheries department programs.

RKVY – Objective

  • Ensuring the Agricultural plans to be executed in the districts and states.
  • Assuring the agriculture plans to be constructed on technology, agro-climatic conditions and natural sources.
  • Providing supplementary incentives for boosting up the State Government public investment
  • Maximizing the returns to the farmers of the state in Agriculture and allied sectors.
  • Examining the focus of the agricultural plans on crops, local necessities and priorities.
  • Enacting assessable amendments in Agriculture and allied sectors production.
  • Providing autonomy and elasticity for strategizing and implementing agricultural programmes in the states.
  • Minimizing the gaps in yielding in the state of important crops.

RKVY – Allied Sectors

  • Crop husbandry
  • Soil and Water conversation
  • Forestry and Wildlife Plantation
  • Food storage
  • Irrigation
  • Dairy development
  • Agriculture Financial Institution
  • Warehousing
  • Horticulture
  • Soil and Water conservation
  • Fisheries
  • Irrigation activities
  • Agriculture Marketing

RKVY – Eligibility criteria for the allocation

The eligibility criteria for the state to be eligible for the allocation of this scheme:

  • Formulation of the State Agricultural Plans should be conceived.
  • The percentage of share of expenditure in agriculture and allied sector in the course of the last three years should be kept at baseline.

Allocation of RKVY fund to States

State Budget for Agricultural and allied industries is the basis for the annual outlay of this scheme.

The criteria for the interstate allocation of RKVY funds are given below:

Criteria Percentage
The percentage share of the net unirrigated area in a state to the net unirrigated area of all state that is eligible. 15%
Average area under oil seeds and pulses for last 3 years 5%
Last 5 years states highest GSDP 30%
The increase in Agricultural expenditure in the previous over the year prior to that year. 10%
Growth in expenditure in agricultural research, animal husbandry, fisheries and agricultural education in the previous year prior to that year. 10%
Extension of yield gap between Potential Yield and State average yield 10%

RKVY funds will be published to the State Government in double instalments i.e. 50% each. After the full (100%) utilization certificate is catered, the final instalments are generated.

11TH Five Year Plan (2007 – 2012) – RKVY

During the 11th plan, the achievement of annual growth by 4% in agricultural and allied sectors was the objective of NDC. This was fulfilled by 3.64% growth annually during the 11th plan as compared to 2.46% growth p.a. during the 10th plan.

  • Agricultural development

3,228 projects out of 5,678 projects have been accomplished by the states during the 11th plan. The growth of sectors during 11th plan was increased mainly in the sectors of crop development, agricultural mechanization, animal husbandry, dairy development, fisheries, extension and marketing and post-harvest management.

12TH Five Year Plan (2012-2013 to 2016-2017) – RKVY

During the 12th Plan, the annual outlay for Rashtriya Krishi Vikas Yojana was Rs.63, 246 crores.

Areas Percentage of annual outlay
Production Growth projects in the agriculture and allied sectors 35%
Minimized gaps in infrastructure and assets in agriculture 35%
Focused funds on national priorities 20%
Flexible RKVY funds for necessities in states 10%

13th Three Year Plan (2017-2018 to 2019-2020) – RAFTAAR – RKVY

Forging agriculture as a financially rewarding profession, the Government of India made several changes in the scheme. The re branding of the scheme during the 13th plan was forged as RAFTAAR (RKVY-Remunerative Approaches for Agriculture and Allied sector Rejuvenation).

  • Objective

The purpose of this change is to see farming as a remunerative/financially rewarding profession and to strengthen farmer’s efforts. Promotion of agribusiness entrepreneurship and diminution of risk is also focused under this.

  • Area of focus – RKVY-RAFTAAR

The focused areas under this scheme are:

  1. Post-harvest infrastructure
  2. Agri-entrepreneur development
  3. Value chain
  • Annual Allocation

The annual budget allocation for RAFTAAR is approx. Rs.15, 722 crores. States are provided with the funds in the form of 60:40 for the North Eastern States and 90:10 for the Himalayan States.

The following activities are covered under 70% of annual outlay.

Areas Annual outlay percentage
Infrastructure and Assets 50%
Value addition linked production projects 30%
Funds flexible for local needs in the state 20%

20% of annual outlay of RAFTAAR is for the special sub-schemes of National priorities and the remaining 10% for innovation and Agri-entrepreneur development.

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