New Delhi: In its unwavering commitment to foster innovation and entrepreneurship in the agricultural sector, the Government of India is actively promoting agri-startups by providing crucial financial and technical support. The Department of Agriculture & Farmers’ Welfare (DA&FW) has been implementing the “Innovation and Agri-Entrepreneurship Development” program under the Rashtriya Krishi Vikas Yojana (RKVY) since the fiscal year 2018-19.
The primary objective of this program is to boost innovation and agri-entrepreneurship by offering financial and technical assistance to nurture a thriving startup ecosystem in the country. To facilitate this initiative, five Knowledge Partners (KPs) and 24 RKVY Agribusiness Incubators (R-ABIs) have been appointed, focusing on training and incubating agri-startups.
Financial support is extended to entrepreneurs and startups at different stages, with up to Rs. 5.00 lakh provided at the idea/pre-seed stage and up to Rs. 25 lakh at the seed stage. This financial assistance empowers startups in the agriculture and allied sectors to launch products, services, and business platforms, facilitating their market entry and subsequent scalability. Each Knowledge Partner and R-ABI can select a maximum of 20 startups in each category of pre-seed and seed stages annually for financial assistance under the Innovation and Agri-Entrepreneurship program. Funds are released in installments based on recommendations from the committee overseeing the process.
The training and incubation process is conducted by the appointed Knowledge Partners and RKVY Agribusiness Incubators. These entities provide technical support and mentorship on financial, technical, and intellectual property issues. To further support and connect agri-startups with various stakeholders, the Government of India organizes national-level programs, including agri-startup conclaves, agricultural fairs and exhibitions, webinars, and workshops.
From the fiscal year 2019-20 to 2023-24, a total of Rs. 111.57 crores has been released in installments to support 1554 agri-startups through various Knowledge Partners and RKVY Agribusiness Incubators. This substantial financial aid underscores the government’s commitment to nurturing a dynamic and innovative agri-startup ecosystem, contributing to the growth and transformation of the agricultural sector in India. This information was shared by the Union Minister of Agriculture and Farmers’ Welfare, Shri Arjun Munda, in a written reply in Lok Sabha today.