In India, agriculture is not just a source of livelihood, but an integral part of lifestyle and culture. The growing presence of startups in the agricultural sector, coupled with the government’s support, signals a new agricultural revolution. The Indian government is not only providing financial assistance to agricultural startups but also offering technical training and consultancy to help them succeed. Let’s explore in detail how the government is promoting agricultural startups through various schemes.
The Indian government is committed to encouraging innovation and startups in agriculture and related fields. Under this commitment, the Department of Agriculture and Farmers Welfare (DA&FW) launched the "Innovation and Agri-Entrepreneurship Development Program" under the National Agriculture Development Scheme (RKVY) in 2018-19. The primary objective of this program is to provide financial and technical support to foster agricultural innovation and entrepreneurship, thereby promoting the startup ecosystem in the country.
Under this program, five Knowledge Partners (KPs) and 24 RKVY Agri-Business Incubators (R-ABIs) have been appointed so far. These Knowledge Partners and Incubators provide training, mentorship, and financial support to agricultural startups. Located in various states, these incubation centers help startups develop their products and services.
So far, 1,554 agricultural startups have received technical and financial assistance, of which 387 startups are run by women entrepreneurs. Between 2019-20 to 2023-24, financial aid of ₹111.57 crore has been provided through Knowledge Partners and R-ABIs. This financial support includes:
National Programs to Promote Startups: The Indian government has organized several national programs such as Agricultural Startup Conclaves, Agricultural Fairs, Exhibitions, Webinars, and Workshops to connect agricultural startups with various stakeholders. These events provide startups with an opportunity to expand their products and services.
Agriculture Infrastructure Fund Scheme: Launched in 2020-21, the Agriculture Infrastructure Fund Scheme aims to provide medium- and long-term loans for post-harvest management and community agricultural infrastructure. Eligible beneficiaries receive interest subsidies and credit guarantees. Through this scheme, 1,284 startups have been provided ₹1,248 crore in loan support.
Key Knowledge Partners and Agri-Business Incubators:
Conclusion: The Indian government’s efforts to promote innovation and entrepreneurship in agriculture are a significant step forward. Such initiatives not only encourage new ideas in agriculture but also provide farmers and entrepreneurs with a robust platform to expand their businesses. Through its various schemes and financial assistance, the government is effectively helping agricultural startups reach new heights in the sector.
