Q. Consider the following statements regarding Agriculture Infrastructure Fund.
1. The fund provides medium – long term debt financing facility for investment in viable projects.
2. It is a Central Sector Scheme launched by the Department of Agriculture Cooperation and Farmers Welfare (DAC&FW).
Which of the statements given above is/are correct? 

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: C
Notes:

The Union Cabinet has given its approval to the various modifications in Central Sector Scheme of Financing Facility under ‘Agriculture Infrastructure Fund’. 

Changes under the Fund: 

  • Eligibility has now been extended to State Agencies/APMCs, National & State Federations of Cooperatives, Federations of Farmers Producers Organizations (FPOs) and Federations of Self Help Groups (SHGs). 
  • The power has been delegated to Minister of Agriculture & Farmers Welfare to make necessary changes with regard to addition or deletion of beneficiary. 
  • The period of financial facility has been extended from 4 to 6 years upto 2025-26 and overall period of the scheme has been extended from 10 to 13 upto 2032-33. 

About Agriculture Infrastructure Fund(AIF): 

  • It is a Central Sector Scheme launched by the Department of Agriculture Cooperation and Farmers Welfare(DAC&FW). 
  • Aim: To provide medium – long term debt financing facility for investment in viable projects. This includes post-harvest management Infrastructure and community farming assets through incentives and financial support. 
  • Funding: Under the scheme, banks and financial institutions will provide Rs. 1 Lakh Crore as loans to eligible beneficiaries. 

Read more: Agriculture Infrastructure Fund(AIF) 

Source: PIB