Rashtriya Krishi Vikas Yojna (RKVY)

Origin

• The Rashtriya Krishi Vikas Yojna (RKVY), launched in 2007, is a central government initiative aimed at the holistic development of agriculture and allied sectors in India.
• The RKVY has been implemented across the 11th and 12th Five Year Plans. In 2017-2018, the scheme was renamed as Rashtriya Krishi Vikas Yojana- Remunerative Approaches for Agriculture and Allied Sector Rejuvenation (RKVY-RAFTAAR). The RKVY-RAFTAAR focused on making farming a more profitable economic activity by: 
  • Strengthening farmers efforts,
  • Mitigating risk
  • Promoting agri-business entrepreneurship.

About

Rashtriya Krishi Vikas Yojana (RKVY) was launched with the aim of achieving 4% annual growth in the agricultural sector. Under this scheme, states encourage and also incentivize to increase public investment in agriculture and allied sectors.

• Ministry
  • Department of Agriculture and Cooperation (DAC), Ministry of Agriculture, and Government of India
• Launch Date
  • 2007-2008

Objectives of RKVY

• Promote agricultural growth:
  • RKVY aims to increase agricultural productivity by providing financial support for various agricultural schemes and projects.
• Enhance farm income:
  • The scheme seeks to improve the income of farmers by investing in high-yielding crops, modern farming techniques, and rural infrastructure.
• Support innovative practices:
  • The Yojna supports the use of new and innovative technologies and methodologies that can bring about sustainable agricultural growth.
• Strengthen infrastructure:
  • It aims to build rural infrastructure, including irrigation systems, cold storage facilities, and rural roads, to support agricultural activities.
• Promote balanced regional growth:
  • It ensures that benefits of agricultural development are distributed equitably across all regions, with a special focus on backward areas and regions with potential for agricultural growth.

Key Features of RKVY

• State-specific interventions:
  • The scheme is flexible, allowing each state to design and implement projects based on local needs and priorities.
• Decentralized planning:
  • The planning and execution of RKVY projects are decentralized, with a focus on state-level and district-level governance.
• Financial support:
  • It provides substantial financial assistance for the development of various agriculture-related projects, including soil health management, farm mechanization, water management, horticulture, livestock, and more.
• Focus on both crop and non-crop sectors:
  • While traditionally focused on crop-related activities, RKVY also supports non-crop sectors like horticulture, animal husbandry, fisheries, and agro-processing.
• Public-private partnership (PPP):
  • RKVY promotes collaboration between the public and private sectors to introduce advanced farming technologies and efficient supply chains.

Funding and Implementation

The funding for RKVY is shared between the central government and state governments. The central government contributes 60% of the total cost, while the respective state governments contribute the remaining 40%. This ensures that the scheme is cost-effective and that local governments have a vested interest in implementing it successfully.

The funding can be used for various projects, such as:

• Infrastructure development:
  • Investment in irrigation facilities, rural roads, and storage facilities.
• Technology adoption:
  • Encouraging the use of advanced farming technologies, like precision farming, drones, and GPS-based systems.
• Capacity building:
  • Training farmers and stakeholders in modern agricultural practices.
• Marketing and processing:
  • Creating agro-processing units and improving market access for farmers.

Areas of Focus

• Water Use Efficiency:
  • Projects aimed at improving water conservation and irrigation systems, such as rainwater harvesting, watershed management, and efficient irrigation techniques.
• Soil Health Management:
  • Soil testing, management practices, and the promotion of organic farming techniques to restore soil fertility.
• Farm Mechanization:
  • Introducing modern machinery for sowing, irrigation, harvesting, and processing to reduce labor costs and improve efficiency.
• Integrated Farming Systems (IFS):
  • Encouraging the integration of different agricultural practices such as crop farming, livestock, fisheries, and agroforestry to enhance farm profitability.
• Horticulture and Livestock Development:
  • Promoting the cultivation of fruits, vegetables, and flowers, along with livestock breeding and dairy farming.
• Market Linkages:
  • Strengthening agricultural supply chains and providing better market access to ensure fair prices for farmers.

Successful Projects Completed Under RKVY

• Maharashtra’s Irrigation Projects:
  • In Maharashtra, RKVY funding supported micro-irrigation systems, which improved the productivity of water-intensive crops like sugarcane and cotton.
• Integrated Farming Systems (IFS) in Andhra Pradesh:
  • The state implemented IFS models under RKVY, combining crop farming with dairy and fish farming, significantly boosting income for farmers in rural areas.
• Punjab’s Soil Health Management:
  • Punjab utilized RKVY funding to enhance soil health management practices, leading to improved crop yields and a reduction in chemical fertilizer usage.

Challenges and Areas for Improvement

• Delayed fund release:
  • In some instances, delays in the release of funds from the central government to states have hindered timely project implementation.
• Lack of awareness:
  • Farmers and local communities need more awareness and training to fully utilize RKVY’s benefits.
• Inadequate monitoring and evaluation:
  • Regular monitoring of the outcomes of funded projects is essential to ensure their effectiveness. Improved evaluation mechanisms can help fine-tune the scheme over time.
• Coordination with state governments:
  • While RKVY encourages decentralized planning, better coordination between state and central governments can further streamline project implementation.

Recent Developments and Reforms

In recent years, RKVY has been revamped to make it more responsive to changing agricultural needs. The scheme has been aligned with broader government initiatives, such as:

• Pradhan Mantri Krishi Sinchayee Yojana (PMKSY):
  • This program aims to improve irrigation systems and ensure the timely availability of water for farming.
• National Mission on Sustainable Agriculture (NMSA):
  • RKVY supports sustainable agricultural practices in line with NMSA’s goals.
• Doubling Farmers’ Income by 2022:
  • RKVY contributes to the government’s vision of doubling farmers’ income by focusing on productivity enhancement, market access, and diversification into non-crop sectors.

Conclusion

The Rashtriya Krishi Vikas Yojna (RKVY) is a crucial initiative in India’s agricultural development strategy, aimed at promoting sustainable farming, enhancing farmers’ incomes, and boosting rural economies. With its emphasis on regional flexibility, innovation, and infrastructure development, RKVY has the potential to significantly transform the agricultural landscape of India. However, for its success to be maximized, challenges related to implementation, awareness, and monitoring must be addressed.