Extension Of New Agriculture Marketing Infrastructure Scheme

The Government of India has extended the Agricultural Marketing Infrastructure (AMI) sub-scheme of the Scheme of

Integrated Scheme for Agricultural Marketing (ISAM) up to 30 September 2022. The New AMI Sub-Scheme of ISAM implementation is vested with the Ministry of Food Processing Industries (MoFPI), Government of India.

The Gist of MoFPI Notification

National Bank for Agriculture and Rural Development (NABARD), the Government of India has announced the Extension of the New Agriculture Marketing Infrastructure Scheme up to 30 September 2022 vide a Circular dated 27th April . To enable banks to submit the subsidy application, the claims in respect of projects where bank loan has been sanctioned from 1

st April 2022 to 30th September 2022 can be submitted in the official portal of NABARD within 60 days of disbursal of 1st installment of the loan.

New Agriculture Marketing Infrastructure Scheme

For the creation of

agricultural marketing infrastructure, the Directorate of Marketing & Inspection, Ministry of Agriculture and Farmers Welfare, Government of India has launched ‘The Agriculture Marketing Infrastructure (AMI) scheme as a sub-scheme of the Integrated Scheme for Agricultural Marketing (ISAM) scheme. The main objectives of the scheme include the creation of scientific storage capacity with allied facilities in rural areas to meet various requirements of farmers for storing farm produce, processed farm produce, agricultural inputs, etc., and prevention of distress sale by creating the facility of pledge loan and marketing credit.

Importance Announcement of NABARD

The sub-scheme AMI lays special focus on developing and upgrading Gramin Haats as GrAMs through the strengthening of infrastructure. These GrAMs may function as farmer-consumer markets (retail markets) and collection/ aggregation points (spokes) with linkages to the secondary market (hub) with the participation of FPOs and other eligible promoters. Enhancement of farmers' income is central to the scheme.

The AMI scheme envisages a back-ended capital subsidy for credit-linked investment in eligible storage and in marketing infrastructure projects.
The eligible subsidy is 25% or 33.33% of the capital cost depending upon the area and category of beneficiary
NABARD will release subsidies under the scheme to all the institutions which are eligible for NABARD refinance and to such other institutions Gol may approve for the purpose.

On receipt of subsidy by the Financing Institution, the Utilization Certificate should be submitted by the Financing Institution within 60 days of receipt of the final subsidy. NABARD will also provide refinance to Commercial Banks, RRBs, StcBs, SCARDBs, Scheduled Urban Cooperative Banks, Scheduled Primary Cooperative Banks (PCBs), and North Eastern Development Financial Corporation (NEDFi), etc., as per the extant policy.

The rate of interest on refinance will be decided by NABARD from time to time
Refinance proposal may be submitted as per the existing procedure
Banks may guide the borrower on the general requirements of the scheme

To know more about the Agriculture Marketing Infrastructure Scheme, click here

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Frequently Asked Questions

Common questions about Agricultural Marketing Infrastructure Scheme India 2022.

The New AMI Scheme is a sub-scheme of the Integrated Scheme for Agricultural Marketing (ISAM) launched by the Ministry of Agriculture and Farmers Welfare, Government of India. It aims to create scientific storage capacity with allied facilities in rural areas for storing farm produce, processed agricultural goods, and inputs, as well as prevent distress sale by providing pledge loan and marketing credit facilities.

The main objectives of the AMI Scheme include creating scientific storage capacity with allied facilities in rural areas, preventing distress sale of farm produce through pledge loan and marketing credit facilities, and developing and upgrading Gramin Haats (GrAMs) as farmer-consumer markets and collection/aggregation points with linkages to secondary markets.

The AMI Scheme envisages a back-ended capital subsidy of 25% or 33.33% of the capital cost, depending on the area and category of the beneficiary. Institutions eligible for NABARD refinance and other institutions approved by the Government of India are eligible for the subsidy.

NABARD will release subsidies under the AMI Scheme to eligible institutions, provide refinance to Commercial Banks, RRBs, StcBs, SCARDBs, Scheduled Urban Cooperative Banks, Scheduled Primary Cooperative Banks (PCBs), and North Eastern Development Financial Corporation (NEDFi), among others, as per its extant policy.

Banks can submit subsidy applications in respect of projects where the bank loan has been sanctioned from 1st April 2022 to 30th September 2022 on the official portal of NABARD within 60 days of disbursal of the first installment of the loan.

The AMI Scheme aims to enhance farmers' income by creating scientific storage facilities, preventing distress sale, and providing marketing credit facilities. It also focuses on developing and upgrading Gramin Haats as farmer-consumer markets and collection/aggregation points, which will benefit farmers.

The Government of India has extended the AMI sub-scheme of the Integrated Scheme for Agricultural Marketing (ISAM) up to 30th September 2022, as announced by NABARD in a circular dated 27th April 2022.

Banks are expected to guide borrowers on the general requirements of the AMI Scheme, such as eligibility criteria, documentation, and the application process, to ensure smooth implementation of the scheme.

Banks can access more information and details about the Agriculture Marketing Infrastructure Scheme by visiting the official website or resources provided by the Ministry of Agriculture and Farmers Welfare, Government of India.

The AMI Scheme is a crucial initiative by the Government of India to enhance the agricultural marketing infrastructure in the country, which will benefit farmers by providing better storage facilities, preventing distress sale, and improving market linkages, ultimately contributing to the overall goal of increasing farmers' income.