Parliament Question: Status of Agriculture Infrastructure Projects

O.I.H GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE LOK SABHA UNSTARRED QUESTION No. 3827 TO BE ANSWERED ON THE 11th AUGUST, 2026 Status of Agriculture Infrastructure Projects

3827. SHRI CHHATRAPAL SINGH GANGWAR Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ(cid:874)ष एव ं(cid:873)कसान क(cid:227)याण म(cid:287)ं ी be

pleased to state:

(a) the present status of agriculture infrastructure, warehouse, cold storage and value addition projects in Uttar Pradesh and Bareilly district particularly under Agriculture Infrastructure Fund and other Central Schemes;

(b) the details of the benefits accrued to the farmers and improvement in agricultural marketing facilities as a result of these Schemes; and

(c) whether any additional initiative is proposed by the Government to promote agro- processing and agricultural exports in Bareilly district ? ANSWER THE MINISTER OF STATE FOR AGRICULTURE AND FARMERS WELFARE कृ(cid:874)ष एव ं(cid:873)कसान क(cid:227)याण रा(cid:207)य म(cid:287)ं ी (SHRI RAMNATH THAKUR)

(a) to (c) : Agriculture is a State subject. However, the Government of India supplements the efforts of the State Governments including Uttar Pradesh for development of agriculture infrastructure, warehouses, cold storage and other value addition projects through policy support, budgetary assistance and various schemes/programmes. The Agriculture Infrastructure Fund (AIF) of the Department of Agriculture and Farmers Welfare, facilitates medium and long-term financing for the creation of post-harvest infrastructure at the farm-gate and viable farming assets such as warehouses, cold storages, processing units, godowns and logistics facilities through eligible lending institutions. The scheme provides loans at an interest rate capped at 9% with 3% interest subvention and credit guarantee coverage up to ₹2 crore.

Under AIF, total 16,994 projects have been sanctioned in Uttar Pradesh, with a cumulative loan amount of ₹9,799.04 crore and investment mobilisation of ₹16,736.74 crore.

The approved projects include 1,295 Warehouses, 905 Cold Storage and Cold Chain projects, 4,588 primary processing centers, 2,449 Custom Hiring Centers and 5,039 farm/harvest automation projects. In Bareilly District, 786 agriculture infrastructure projects have been approved under AIF with a cumulative loan amount of ₹565.73 crore and total project cost of ₹993.08 crore. The approved projects include 367 Farm/Harvest Automation projects, 169Primary Processing Centers, 32 Warehouses, 17 Cold Storage and Cold Chain projects, and 37 Custom Hiring Centers.

As per Impact Assessment Study of Agriculture Infrastructure Fund (AIF) conducted by Indian Institute of Management (IIM), Ahmadabad in 2025, the scheme has improved access to finance for agricultural enterprises, including small and marginal farmers, entrepreneurs and established agri-businesses. It has resulted in improved price realization and an upward shift of the beneficiaries in the agri-value chain. According to the study, each AIF unit on an average supports a minimum of 12-13 direct jobs during peak season, 6 during lean months and 19 indirect jobs through backward and forward linkage such as logistics, marketing, repairs, packaging and ancillary input services. Interventions under the AIF have resulted in an average reduction of 5-15% in post-harvest losses driven by improved storage, processing and mechanization systems that enhance efficiency and reduce spoilage across commodities. The beneficiaries surveyed reported income gains ranging from 11-15 %. Further as per the study, the Agriculture Infrastructure Fund (AIF) has strengthened farm-gate infrastructure and improved mechanisation. It has addressed gaps in storage, processing, logistics, and market linkages by supporting a wide range of infrastructure projects for different types of beneficiaries.

In addition to AIF, the Integrated Scheme for Agriculture Marketing (ISAM) of the Department supports state governments through creation and improvement of market structures, capacity building and generating access to market information through sub schemes namely Agriculture Marketing Infrastructure (AMI) and e-NAM (National Agriculture Market).

Under the Agriculture Marketing Infrastructure (AMI), creation of post-harvest marketing infrastructure including storage/ modern warehouses infrastructure is promoted across the country including Uttar Pradesh. Under the scheme, subsidy @ 33.33% for NER, hilly area, Women/SC/ST promoters, PACS & FPOs etc. and @25% for others is provided for eligible projects. In Uttar Pradesh, total 1,343 storage projects with a cumulative storage capacity of 63,08,971 MT have been supported with subsidy of ₹204.17 crore under the scheme .This includes 36 storage projects with a cumulative storage capacity of 3,18,907.319 MT and subsidy of ₹6.78 crore in Bareilly District.

Under e-NAM, the all-India electronic trading (e-trading) portal links existing physical agricultural marketing committees (APMCs) through a virtual platform to create a unified national market for agricultural commodities. The portal serves as a single window for all information and services related to APMCs, including arrivals of commodities, quality and price, provisions for responding to buy-sell proposals, trade proposals, and other services such as direct electronic payment settlement into farmers' accounts. Under this scheme, in Uttar Pradesh 162 mandis have been connected through the e-NAM platform out of these 3 are in Bareilly District.Further, the Mission for Integrated Development of Horticulture (MIDH) which promotes holistic growth of the horticulture sector, also provides support for creation of post- harvest management (PHM) and marketing infrastructure for better price realization of horticulture produce. In Uttar Pradesh, since the inception of the scheme, 2788 units including pack houses, cold storage units, refrigerated vans, primary processing units, ripening chambers, pre-cooling units attached to cold storages and mobile pre-cooling units have been established in Uttar Pradesh under the scheme.

The National Horticulture Board (NHB) is also implementing the credit-linked back- ended subsidy scheme to promote creation of modern infrastructure across the horticulture value chain, including production, post-harvest management, and scientific storage of horticultural produce. Financial assistance ranging from 35% to 50% of the eligible project cost is provided for establishing commercial horticulture projects such as protected cultivation, pack houses, grading and packing units, primary processing units, ripening chambers, and reefer vehicles. Assistance is also provided for the establishment and modernization of Cold Storages, Controlled Atmosphere (CA) Storages, and Onion Storages with a capacity exceeding 5,000 metric tonnes at the rate of 35% of the eligible project cost, which is enhanced to 50% for North Eastern, Hilly and Scheduled Areas. These interventions strengthen post- harvest infrastructure, reduce post-harvest losses, improve storage and marketing facilities, and enable better price realization for horticultural produce.

The National Mission on Edible Oils (NMEO)-Oil Seeds also supports post-harvest management, processing and value addition. The Mission promotes investment in oil extraction by providing financial assistance for the establishment of oil mills and extraction units at 33% of the project cost, subject to a maximum assistance of ₹9.90 lakh per unit, thereby fostering the growth of agro-based industries. During 2025–26, financial assistance was provided for the establishment of 400 oil mills under the Mission. Under NMEO-Oilseeds, 5 seed hubs and 3 specialized seed storage units have been sanctioned in Uttar Pradesh.

Further, 2 oil mills have also been established in the State.

The Ministry of Food Processing Industries (MoFPI) incentivizes setting up/expansion of food processing infrastructure through its Central Sector Umbrella Scheme - Pradhan Mantri Kisan SAMPADA Yojana (PMKSY); Central Sector Scheme - Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) and Centrally Sponsored Scheme - PM Formalization of Micro Food Processing Enterprises (PMFME). These schemes are demand driven and are implemented across the country including Uttar Pradesh. Under Pradhan Mantri Kisan SAMPADA Yojana (PMKSY), financial assistance is provided to entrepreneurs for setting up of food processing industries. In Uttar Pradesh, under the scheme, a total of 103 projects have been approved with the project cost of ₹ 2007.98 crore including 9 projects with the project cost of ₹ 82.28 crore in Bareilly District. The Production Linked Incentive Schemefor Food Processing Industry (PLISFPI) is, inter alia, intended to support creation of global food manufacturing champions and support Indian brands of food products in international market. In Uttar Pradesh, under the scheme, 26 proposals under different categories are operational having a committed investment of ₹ 1052.1 crore.Under Pradhan Mantri Formalization of Micro Food Processing Enterprises (PMFME) scheme, financial, technical and business support is provided for setting up / upgradation of micro food processing enterprises. Under the scheme, 26,465 credit-linked subsidy loans have been sanctioned in Uttar Pradesh, including 459 in Bareilly district; seed capital assistance of ₹25.97 crore has been sanctioned to 8,511 Self Help Group (SHG) members, including ₹2.19 crore to 746 SHG members in Bareilly district; and 14 Common Incubation Centre proposals have been approved with grant-in-aid of ₹46.90 crore, including one incubation centre in Bareilly district with grant-in-aid of ₹3.27 crore.

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