Finance Minister Nirmala Sitharaman presented the Union Budget 2025 on Saturday, February 1. The Centre has allocated Rs 85,00 crore to the Rashtriya Krishi Vikas Yojana (RKVY).It is the central government’s flagship scheme to ensure the holistic development of agriculture and allied sectors. RKVY was launched in 2007 under the Department of Agriculture and Cooperation (DAC) of the Ministry of Agriculture.The programme allows states to select their own agriculture and allied sector development activities based on the district or state agriculture strategy. RKVY provides flexibility and autonomy to states to plan and execute agriculture and allied sector schemes. The scheme encourages states to increase public investment and aims to achieve sustainable growth in agriculture and allied sectors.
It was implemented as an additional central assistance (ACA) to the state plan scheme with 100% central assistance till 2013-14. Later, in 2014-15, it was converted into a centrally-sponsored scheme with 100% central assistance.Since 2015-16, the scheme’s funding has changed to a 60:40 ratio between the Centre and the states, with 90:10 for the Northeastern and Himalayan states. On the other hand, the funding pattern for union territories is 100% central grant.Further, the RKVY guidelines have been updated as RKVY – RAFTAAR – Remunerative Approaches for Agriculture and Allied Sector Rejuvenation, which aims to improve programme efficiency, efficacy and inclusiveness.The scheme aims to make farming a profitable economic activity by strengthening farmers’ efforts, mitigating risks and fostering agri-business entrepreneurship. The RKVY supports farmers by providing pre- and post-harvest infrastructure that improves access to quality inputs, storage and market facilities, allowing them to make informed decisions.During the Union Budget 2024, the finance minister allocated ₹7,553 crore for the RKVY. In 2023-24, the government allotted ₹7,150 crore for RKVY, while ₹10,433 crore was set aside for the scheme in FY22-23.(Edited by : Shoma Bhattacharjee/ Sudarsanan Mani)
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