PM launches Rs 1 Trillion Agriculture Infra Scheme, Banks to offer loans to Co-Ops

PM Narendra Modi

To support the post-harvest management and marketing of agricultural produce, Prime Minister Narendra Modi on Sunday launched Rs 1 Trillion Agriculture Infrastructure fund. This initiative will help in the improvement of farm gate gates prices and ensure better warehousing and cold storage facilities for farmers.

PM Narendra Modi

While announcing the fund, Prime Minister said that it will help in creating new employment opportunities in the food processing and post-harvest facilities are set up in rural areas. The scheme will assist start-ups in leveling-up their operations and overall help the country in building a global presence in organic and fortified food, state Modi.

The fund was unveiled with Rs1, 128 crore of new loans disbursed to over 2,200 cooperative societies. Further, the Prime Minister transferred Rs 17,100 crore to farmers under the PM-Kisan direct income assistance scheme.

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As a part of this infrastructure scheme, central government’s flagship Atmanirbhar Bharat package announced in May, banks and financial institutions will be offering Rs 1 trillion in loans to cooperative societies, farmer producer companies, self-help groups, entrepreneurs, start-ups and infrastructure providers.

The objective of the scheme is to ensure medium to long-term debt financing for creating post-harvest infrastructure and community assets for marketing of farm produce. As per the guidelines, all loans up to Rs 2 crore will be disbursed with a 3 percent interest subsidy.

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