Parliament Question: Evaluation of Progress of AIF

**Executive Summary:** The Ministry of Agriculture and Farmers Welfare evaluated the Agriculture Infrastructure Fund (AIF) scheme to assess its progress and impact on post-harvest management and community farm asset creation. The evaluation, conducted by the Agro Economic Research Centre (AERC), Pune, in December 2023, revealed positive outcomes such as increased farmer income, enhanced storage capacity, employment generation, and agricultural entrepreneurship. As of June 30, 2025, Rs. 66,310 Crores have been sanctioned for 1,13,419 projects under AIF. **Key Points / Main Content:** * **Evaluation of AIF Scheme:** * A midterm evaluation of the AIF scheme was undertaken by the Government. * AERC, Pune, conducted the evaluation in December 2023. * The evaluation highlighted positive impacts on farmer income, storage capacity, post-harvest infrastructure, employment, and entrepreneurship. * **Outcomes of the Study:** * 31% of AIF units also received government subsidies through convergence. * 85% of units cited AIF loan availability as the primary reason for starting. * AIF loans covered approximately 40% of the project cost for AIF units. * Around 70% of units used the loan to create new infrastructure. * Employment generated by AIF units was higher in peak seasons, averaging 11 persons per unit, with Rajasthan at 27 and Maharashtra at 5. * Agro-processing units had a higher number of employees per unit. * Sample AIF warehouses, cold storage units, and silos created a total capacity of 879 thousand MT, occupying 2900 thousand sq. ft. * Overall demand for products/services of AIF units and income from these units was satisfactory. * Most units are in rural areas, near agricultural production regions. * 54% of respondents believed farmers' incomes increased due to AIF units. * 54% of respondents felt farmers benefited overall due to AIF facilities. * **AIF Project Sanctions:** * As of June 30, 2025, Rs. 66,310 Crores sanctioned for 1,13,419 projects. * These projects mobilized an investment of Rs. 107,502 Crores in the agriculture sector. * Major projects include custom hiring centers (30,202), processing units (22,827), warehouses (15,982), sorting/grading units (3,703), cold store projects (2,454), and other post-harvest management/community farm asset projects (38,251). **Impact Analysis:** **Farmers:** * *Impact:* Potential increase in income due to AIF-supported infrastructure and facilities. Improved access to post-harvest management solutions and community farm assets. * *Action Required:* Utilize the AIF-supported facilities and infrastructure to enhance productivity, reduce post-harvest losses, and explore opportunities for value addition. **Agricultural Entrepreneurs:** * *Impact:* Encouragement and support for establishing new agricultural ventures through AIF loan availability. * *Action Required:* Avail AIF loans to establish and expand agricultural infrastructure projects, contributing to the growth of the agricultural sector and generating employment opportunities. **Rural Communities:** * *Impact:* Increased employment opportunities due to the establishment and operation of AIF-supported units in rural areas. * *Action Required:* Develop skills and participate in the employment opportunities created by AIF-funded projects to improve livelihoods and contribute to the rural economy. **Government:** * *Impact:* Positive assessment of the AIF scheme's progress and performance. * *Action Required:* Continue monitoring and evaluating the AIF scheme's implementation, addressing any identified challenges, and promoting the scheme's benefits to maximize its impact on the agricultural sector.

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