RKVY scheme was initiated in 2007 as an umbrella scheme for ensuring holistic development of agriculture and allied sectors by allowing states to choose their own agriculture and allied sector development activities as per the district/state agriculture plan. The scheme has come a long way since its inception and has been implemented across two plan periods (11th and 12th). Till 2013-14, the scheme was implemented as an Additional Central Assistance (ACA) to State Plan Scheme with 100% central assistance. It was converted into a Centrally Sponsored Scheme in 2014-15 also with 100% central assistance. Since 2015-16, the funding pattern of the scheme has been altered in the ratio of 60:40 between Centre and States (90:10 for North Eastern States and Himalayan States). For Union Territories the funding pattern is 100 % central grant.
2. RKVY scheme incentivizes States to increase public investment in Agriculture & allied sectors. Under RKVY, States have been provided flexibility and autonomy for selection, planning approval and execution of projects/programs under the scheme as per their need, priorities and agro-climate requirements. The funds are released to the State Governments/UTs on the basis of projects approved in the State Level Sanctioning Committee Meeting (SLSC) headed by the Chief Secretary of the concerned State, which is the empowered body to approve projects under the scheme. It is for the State Govt. to further implement the scheme in the State as per its requirement in areas which requires focused attention for increasing production and productivity in the State.
3. The Cabinet has approved ( as on 1st November 2017) for continuation of the ongoing Centrally Sponsored Scheme (State Plans) - Rashtriya Krishi Vikas Yojana (RKVY) as Rashtriya Krishi Vikas Yojana- Remunerative Approaches for Agriculture and Allied Sector Rejuvenation (RKVY-RAFTAAR) for three years i.e. 2017-18 to 2019-20 with a financial allocation of Rs. 15,722 crores with broad objectives of making farming a remunerative economic activity through strengthening the farmer’s effort, risk mitigation and promoting agri-business entrepreneurship. Under RKVY-RAFTAAR, major focus is on pre & post-harvest infrastructure, besides promoting agri-entrepreneurship and innovations.
4. Funds under RKVY-RAFTAAR would be provided to the States as grant by the Central Government in the following streams.
A. Regular RKVY-RAFTAAR -70% of annual outlay will be allocated among States as per criteria under following heads.
B. RKVY-RAFTAAR special sub-schemes – 20% of total annual outlay - based on national priorities as notified by Govt. of India from time to time for development of region and problem specific areas.
C. Innovation and agri-entrepreneur development - 10% of annual outlay-for encouraging innovation and agri-entrepreneurs through skill development and financial support. It will support incubatees, incubation centers, KVKs, awards etc. These funds will be with Central Govt. (DAC&FW) including 2% of administrative costs at the Centre. In case the funds not utilized, it will be diverted to regular RKVY & sub-schemes.