Lok Sabha Question No. 256 (UNSTARRED), answered on 2025-02-04
Subject: Projects under Agriculture Infrastructure Fund
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Shri Balashowry Vallabhaneni

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE

## LOK SABHA UNSTARRED QUESTION NO. 256

TO BE ANSWERED ON THE 04 TH  FEBRUARY, 2025

## PROJECTS UNDER AGRICULTURE INFRASTRUCTURE FUND

256.     SHRI BALASHOWRY VALLABHANENI:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ͪष एवं ͩकसान कãयाण मंğी be pleased to state:

- (a) the details of projects identified and approved for providing support under Agriculture Infrastructure Fund (AIF) in the State of Andhra Pradesh;
- (b) whether interest is charged at 3% or 7% on the projects under AIF;
- (c) whether it is true that AIF aims to disburse Rs. 1 lakh crores between 2020-21 and 202526 but only Rs. 51,783 crores have been sanctioned as of November, 2024 and there is only one financial year left;
- (d)  whether  the  sanctioned  amount  of  Rs.  51,783  crores  have  been  released  to  the applicants;
- (e) if not, the details of fund so far released by the financial institutions;
- (f)  the manner in which the Government is planning to release the remaining Rs. 48,000 plus crores to achieve the goal at the end of next financial year; and
- (g) the status of implementation of AIF in Andhra Pradesh, district-wise?

## ANSWER

THE MINISTER OF STATE FOR AGRICULTURE AND FARMERS WELFARE कृ ͪष एवं ͩकसान कãयाण राÏय मंğी (SHRI RAMNATH THAKUR)

- (a) & (g): With an objective to address the existing gaps in post-harvest management infrastructure in the country, the flagship scheme of Agriculture Infrastructure Fund (AIF) was launched in 2020-21 to strengthen the infrastructure in the country through creation of farm gate storage and logistics infrastructure to enable farmers to store and preserve their

farm produce properly and sell them in the market at better price with reduced post-harvest losses and lesser number of intermediaries. Improved post-harvest management infrastructure like warehouses, Cold stores, sorting and grading units, ripening chambers etc will allow farmers to sell directly to a larger base of consumers and hence, increase value realization  for  the  farmers.  This  will  improve  the  overall  income  of  farmers. As  on 26.01.2025 , Rs. 56334 Crores have been sanctioned for 92393 projects under AIF, out of this  total  sanctioned  amount, ₹41996 crores are covered under scheme  benefits. These sanctioned projects have mobilized an investment of Rs.91856 crores in agriculture sector.

In state of Andhra Pradesh , ₹2819 cr (Including Rs. 924 in principle sanctions for PACS by NABARD) have been sanctioned for 2686 projects under AIF. The total project cost  for  these  sanctioned  projects  is  ₹4124  crore.  The  district-  wise  details  of  projects identified and approved for providing support under Agriculture Infrastructure Fund (AIF) in the State of Andhra Pradesh is given in Annexure.

- (b): As  per  the  MoU  signed  by  The  Department  with  the  Banks  and  other  lending institutions, Interest rate on AIF loans should not exceed the cap fixed at 9% per annum. Again, all loans under this financing facility will have interest subvention of 3% per annum up to a limit of ₹ 2 crore. This subvention will be available for a maximum period of 7 years. In case of loans beyond ₹ 2 crore, then interest subvention will be limited up to ₹ 2 crore.
- (c) to (e): Yes,  Sir.  As  on  26.01.2025,  Rs.  56334  Crores  have  been  sanctioned  to applicants for 92393 projects under AIF which leaves an amount of Rs 43,666 crore remain to be sanctioned by the lending institutions by 2025-26.
- (f): To  achieve  the  ambitious  target  of  ₹1  lakh  crore  within  the  deadline,  a  series  of strategic initiatives have been undertaken. The Union Cabinet has approved the progressive expansion of the Agriculture Infrastructure Fund (AIF). Key measures include allowing viable community  farming  assets  for  all  eligible  beneficiaries,  including  secondary  processing projects integrated with primary processing in eligible activities, and converging AIF with PM-KUSUM Component-A. Additionally,  NABSanrakshan  is  also  included  in  scheme  to extend credit guarantee support to FPOs. The recently concluded annual Bankers' Conclave on  23.01.2025  at  NABARD,  Mumbai  brought  together  top  executives  from  banks  and financial  institutions  to  strengthen  commitment  and  accelerate  approvals.  Additionally, multiple state-level conclaves are being planned over the coming months to engage regional stakeholders,  address  challenges,  and  enhance  outreach.  Regular  interaction  with  AIF Nodal Officers of banks and state governments is being conducted to boost awareness, streamline processes, and promote the AIF initiative effectively. These efforts aim to create momentum, ensure timely sanctions, and drive funding toward the ₹1 lakh crore target.

## Annexure

The district- wise details of projects identified and approved for providing support under Agriculture Infrastructure Fund (AIF) in the State of Andhra Pradesh

(Amount in Rs Crore)

| SN   | District                    |   Sanctioned No. | Sanctioned Amt.   |
|------|-----------------------------|------------------|-------------------|
| 1    | East Godavari               |              258 | 228               |
| 2    | Guntur                      |              116 | 195               |
| 3    | Krishna                     |              199 | 143               |
| 4    | Palnadu                     |              101 | 127               |
| 5    | West Godavari               |              284 | 109               |
| 6    | Sri Potti Sriramulu Nellore |              111 | 95                |
| 7    | Eluru                       |              116 | 94                |
| 8    | Ananthapuramu               |              114 | 85                |
| 9    | Nandyal                     |              160 | 83                |
| 10   | Kakinada                    |              101 | 75                |
| 11   | Vizianagaram                |              186 | 72                |
| 12   | Srikakulam                  |              187 | 72                |
| 13   | Bapatla                     |               89 | 71                |
| 14   | Kurnool                     |               90 | 66                |
| 15   | Tirupati                    |               42 | 58                |
| 16   | Dr. B.R. Ambedkar Konaseema |              127 | 55                |
| 17   | Ntr                         |               48 | 50                |
| 18   | Prakasam                    |               69 | 48                |
| 19   | Chittoor                    |               31 | 44                |
| 20   | Y.S.R.                      |               58 | 35                |
| 21   | Parvathipuram Manyam        |               64 | 29                |
| 22   | Sri Sathya Sai              |               54 | 23                |
| 23   | Anakapalli                  |               42 | 17                |
| 24   | Visakhapatnam               |               24 | 15                |
| 25   | Alluri Sitharama Raju       |                9 | 6                 |
| 26   | Annamayya                   |                6 | 2                 |
|      | Grand Total                 |             2686 | 1895#             |

# Excluding the Rs. 924 Crore in principle sanctions for PACS by NABARD

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