DMPQ- Evaluate the need of Agriculture Infrastructure Fund in contemporary India.

The scheme will support farmers, PACS, FPOs, Agri-entrepreneurs, etc. in building community farming assets and post-harvest agriculture infrastructure.
These assets will enable farmers to get greater value for their produce as they will be able to store and sell at higher prices, reduce wastage, and increase processing and value addition.
The Centre will bear this expenditure by providing interest subvention of 3 per cent on term loans for post-harvest management. The Centre will also provide a guarantee to banks for loans up to ?2 crore for possible defaults by borrowers. This will be done through Credit Guarantee Fund Trust for Micro and Small Enterprises for loans up to ?2 crore. The Government will pay the fee for this guarantee.
The main objective of the AIF is to attract investment in post-harvest infrastructure which has been a weak link in the agricultural supply chain. Thus, warehouses, silos, pack houses, sorting and grading units, cold chain projects, ripening chambers, e-marketing platforms, etc will be eligible for interest subvention of 3 per cent.

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