Scheme Overview
One of the core principles of Lean Farming is eliminating post-harvest waste (Muda) and capturing full market value through grading, sorting, storage, and primary processing. The Agriculture Infrastructure Fund (AIF) is a ₹1 Lakh Crore financing facility designed specifically to fund farm-gate and aggregation-point infrastructure across India.
Eligible Projects Under AIF
- Post-Harvest Management Projects:
- Supply chain services including e-marketing platforms
- Warehouses, Silos, and Cold Stores / Cold Chains
- Packhouses, Assaying, Grading, and Sorting Units
- Ripening Chambers and Waxing Plants
- Primary processing units (Dal mills, rice mills, oil extraction, millet processing, spice cleaning/grinding)
- Viable Community Farming Assets:
- Custom Hiring Centers (CHCs) and Drone Spraying Units
- Organic input production (Vermicompost, Bio-stimulant units)
- Smart and Precision Agriculture infrastructure (Hydroponics, Polyhouse/Greenhouse sensors)
Who is Eligible?
- Individual Farmers
- Farmer Producer Organizations (FPOs / FPCs)
- Agri-Entrepreneurs and Agri-Startups
- Primary Agricultural Credit Societies (PACS)
- Marketing Cooperative Societies & Self Help Groups (SHGs)
Key Benefits
- 3% Interest Subvention: All loans under AIF receive an interest subvention of 3% per annum up to a loan limit of ₹2 Crore for a maximum period of 7 years.
- Credit Guarantee Coverage: Collateral-free credit guarantee coverage for eligible borrowers through CGTMSE (or NABSanrakshan for FPOs) for loans up to ₹2 Crore—with the guarantee fee paid by the Government.
- Convergence with Capital Subsidies: Can be dovetailed with capital subsidy schemes like PMFME (35% subsidy), MIDH (Horticulture), or State Agri Policies.
How to Apply
- Prepare a concise Detailed Project Report (DPR) including cost estimates, land documents, and quotation of machinery/civil work.
- Register as a Beneficiary on the official portal: agriinfra.dac.gov.in.
- Select your preferred lending bank branch and submit the online application.
- The application is verified by the Ministry’s Central Project Monitoring Unit (CPMU) and forwarded directly to your selected bank for sanction.