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  • Microfinance Story of India

    [pib] 10 years of the Pradhan Mantri MUDRA Yojana (PMMY)

    Schemes | Economics | Mains Paper 3: Mobilization Of Resources

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: Pradhan Mantri MUDRA Yojana (PMMY)

    Why in the News?

    April 8, 2025, marks the 10th anniversary of Pradhan Mantri MUDRA Yojana (PMMY), launched to fund micro and small enterprises.

    About the Pradhan Mantri MUDRA Yojana (PMMY)

    • The PMMY, launched in 2015 is a Central Sector Scheme designed to provide financial support to non-corporate, non-farm small and micro-entrepreneurs previously excluded from the formal financial system.
    • MUDRA stands for Micro Units Development & Refinance Agency Ltd., a financial institution established to support the development and refinancing of micro-enterprises
    • It aims to foster grassroots entrepreneurship and remove barriers to accessing loans, especially for businesses that lack collateral.

    Loan Categories:

      1. Shishu: Loans up to ₹50,000 for new or small businesses.
      2. Kishore: Loans ranging from ₹50,000 to ₹5 lakh for growing enterprises.
      3. Tarun: Loans from ₹5 lakh to ₹10 lakh for more established businesses with greater capital needs.
      4. TarunPlus: Loan limit up to ₹20 lakh for more established and larger businesses (since July 2024).

    Key Features:

    • Collateral-Free Loans: PMMY loans do not require any collateral, making them accessible to those without assets.
    • Member Lending Institutions (MLIs): These include Public Sector Banks, Private Sector Banks, Regional Rural Banks, Micro Finance Institutions (MFIs), Non-Banking Financial Companies (NBFCs), and Small Finance Banks (SFBs).
    • Credit Guarantee: Loans are backed by the Credit Guarantee Fund for Micro Units (CGFMU), which was established in 2015 to provide security to financial institutions offering loans under PMMY.
    • MUDRA Card: A MUDRA card is issued to manage the working capital portion of the loan, providing convenience to the borrower.

    MUDRA 2.0:

    • MUDRA 2.0 (launched in Union Budget 2024) is an upgraded version of the original PMMY, designed to extend its outreach, particularly in rural and semi-urban areas.
    • This version introduces additional services such as financial literacy programs, business mentorship, and comprehensive business support, aiming to improve the overall impact of the scheme.
    • Enhanced Credit Guarantee Scheme (ECGS) is a new feature introduced to encourage more lending to small and microenterprises by reducing the risk for financial institutions.

    Successes of PMMY:

    • Massive Loan Disbursement: Over ₹32.61 lakh crore disbursed through 52 crore loans, benefitting millions.
    • Inclusivity: 69% of loans are held by women, 51% by SC/ST and OBC entrepreneurs.
    • Job Creation: Promoted self-employment and business growth in rural and semi-urban areas.
    • MSME Credit Growth: Lending increased from ₹8.51 lakh crore in FY14 to ₹27.25 lakh crore in FY24.
    • International Recognition: Praised by IMF for expanding financial access, especially for women-led businesses.

    Challenges:

    • Increase in NPAs: Rising defaults due to lack of collateral.
    • Disbursement Delays: Some banks face challenges in meeting loan targets.
    • Fraud Risk: Collateral-free loans are susceptible to misuse and fraud.
    • Larger Loan Limits: Higher limits under TarunPlus raise default risks for banks.
    • Default Risk: Some borrowers exploit the system through “evergreening” tactics.
    [UPSC 2016] Pradhan Mantri MUDRA Yojana is aimed at

    (a) bringing small entrepreneurs into the formal financial system.

    (b) providing loans to poor farmers for cultivating particular crops.

    (c) providing pensions to old and destitute persons.

    (d) funding the voluntary organizations involved in the promotion of skill development and employment generation.

     

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  • Mother and Child Health – Immunization Program, BPBB, PMJSY, PMMSY, etc.

    Palna Scheme under Mission Shakti

    Schemes | Governance | Mains Paper 2: Government Scheme/Policies

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: Palna Scheme

    Why in the News?

    The Ministry of Women and Child Development has informed that 1,761 Anganwadi-cum-Creches are operational across the country under the Palna Scheme.

    About the Palna Scheme

    • Launched to address childcare needs for working mothers, the Palna Scheme provides day-care facilities for children aged 6 months to 6 years.
    • In 2022, the National Creche Scheme was reorganized and renamed Palna Scheme under the Samarthya sub-scheme of Mission Shakti.
    • It is a Centrally Sponsored Scheme, with a 60:40 funding ratio between the Centre and State/UT Governments (90:10 for North-Eastern and Special Category States). UTs without legislature receive 100% funding.
    • Target Audience: Provides services for all mothers (irrespective of their employment status), offering a safe, hygienic, and supportive environment for children.
    • Creche Services: Includes day-care, early stimulation, preschool education, nutrition, health check-ups, and immunization support.

    Other Creche Schemes:

    • Standalone Creches: Independent creches are providing care for children aged 6 months to 6 years. They include provisions for one Creche Worker and one Creche Helper. Services include sleeping arrangements, health monitoring, and education.
    • Anganwadi-cum-Creches (AWCC): A key component of Palna Scheme, these creches combine Anganwadi services with daycare for working mothers.
      • Staffing: Includes an Anganwadi Worker, Helper, and Creche Worker and Helper.
      • Target: Establish 17,000 new AWCCs by 2024-25, with 11,395 already approved as of March 2025.
      • Objective: To provide childcare in rural and semi-urban areas, ensuring last-mile delivery.
      • Honorarium: ₹6,500 for Creche Workers in standalone crèches and ₹5,500 for AWCC Workers.

    About Mission Shakti

    • Mission Shakti is the Ministry of Women and Child Development’s flagship scheme, designed to strengthen women’s safety, security, and empowerment in India. 
    • The scheme supports women-led development by addressing issues affecting women across their life-cycle.
    • Components:
      1. Sambal: Focuses on women’s safety, with initiatives like the One Stop Centre (OSC), Women Helpline (WHL), and Beti Bachao Beti Padhao (BBBP).
      2. Samarthya: Empowering women through sub-schemes like Ujjwala, Swadhar Greh, and the Palna Scheme. It integrates support for childcare and maternal health.
      3. Gap Funding for Economic Empowerment: A new initiative to support financial gaps in women’s enterprises.
    [UPSC 2019] With reference to the Maternity Benefit Amendment Act, 2017, consider the following statements:

    1. Pregnant women are entitled for three months pre-delivery and three months post-delivery paid leave

    2. This act applies to all organisations with 20 or more employees

    3. It has made it mandatory for every organisation with 50 or more employees to have a crèche.

    Which of the given statements is/are correct?

    (a) 1 and 2 only (b) 2 only (c) 3 only (d) 1, 2 and 3

     

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  • AYUSH – Indian Medicine System

    Central Sector Scheme for Promotion of International Cooperation for AYUSH 

    Schemes | Indian Society | Mains Paper 2: Health & Education

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: Central Sector Scheme for Promotion of International Cooperation for AYUSH

    Why in the News?

    The Ministry of Ayush is implementing the Central Sector Scheme for Promotion of International Cooperation for AYUSH to enhance global recognition and development of AYUSH systems, including Ayurveda, Yoga, Naturopathy, Unani, Siddha, and Homeopathy.

    About the Scheme

    • The scheme focuses on promoting AYUSH systems internationally, contributing to their global growth.
    • The scheme is announced on the AYUSH website, and applications are invited through open advertisements.
    • Proposals are screened by a committee and approved for financial assistance based on needs and activity limits.
    • Key Components of the Scheme:
      1. International Exchange of Experts & Officers: Facilitates deputation of AYUSH experts for international conferences and training.
      2. Incentives for Drug Manufacturers: Provides financial support for international propagation and product registration.
      3. Market Development Support: Supports exhibitions, conferences, and market surveys for international market development.
      4. Promotion through Young Postgraduates: Deploys young postgraduates to promote AYUSH abroad through NGOs.
      5. Translation and Publication: Funds the translation and publication of AYUSH literature in foreign languages.
      6. AYUSH Information Cells/Health Centres: Establishes AYUSH cells and health centers in foreign countries through Indian missions.
      7. International Fellowship Programme: Offers fellowships to foreign nationals to study AYUSH courses in India.

    Significance of Yoga and AYUSH in India’s International Outreach

    • The International Day of Yoga (IDY) was declared by the United Nations in 2014, with ₹161 crore spent on its promotion. IDY celebrations spread Yoga’s global message.
    • Yoga is now part of the National Curriculum Framework (NCF), making it compulsory for students from Class I to Class X.
    • The Yoga Certification Board (YCB) under the Ministry of Ayush certifies yoga professionals and accredits institutions, ensuring quality and standards in Yoga practice.
    • The Ministry of Ayush has signed 24 Country-to-Country MoUs and 51 Institute-to-Institute MoUs to promote Indian traditional medicine systems globally.

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  • MGNREGA Scheme

    Centre hikes MGNREGS wages by 2-7% for FY26

    Prelims OnlySchemes | Governance | Mains Paper 2: Government Scheme/Policies

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: MGNREGS

    Why in the News?

    The Centre has announced a hike in the wages under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) for the financial year 2025-26, with an increase ranging from 2-7%.

    Wage Revision Under MGNREGS:

    • 2025-26 Wage Hike:
      • Wage increase: 2.33%-7.48%, with ₹7 to ₹26 rise.
      • Haryana records the largest hike of ₹26, bringing the wage to ₹400 per day (highest in India).
    • Wage Calculation:
      • Wages are linked to the Consumer Price Index for Agricultural Labourers (CPI-AL).
    • Previous Hikes:
      • Goa had the largest hike of 10.56% in 2024-25.
      • Uttar Pradesh and Uttarakhand had the smallest at 3.04%.

    About MGNREGS

    • The MGNREGS, launched in 2005, guarantees 100 days of wage employment annually for rural households.
    • It provides a legal right to work, focusing on unskilled manual labour.
    • Unique Features:
      • 100 days of employment for rural households, with adult members volunteering for unskilled work.
      • If employment isn’t provided within 15 days, an unemployment allowance is paid.
      • Work must be offered within 5 km of the applicant’s residence.
      • The Centre funds 100% of unskilled labour costs, 75% of skilled labour and materials, and 6% of administrative costs.
    • Key Provisions under MGNREGS
      • Rural households are entitled to 100 days of employment. Additional days are allowed during natural calamities or for Scheduled Tribe households.
      • Citizens can conduct social audits to ensure transparency, with all records open to public scrutiny.
      • Worksites must provide crèches, drinking water, and first aid.
      • Workers more than 5 km from the worksite receive a travel allowance of 10% of the wage rate.

    Recent Challenges surrounding MGNREGS:

    • Delayed Payments: ₹11,423 crore owed for wages and administrative costs as of January 2025, with workers facing delays of weeks or months.
    • Inadequate Wage Rates: Wage rates are not linked to inflation, with the highest wage for 2024-25 at ₹374 in Haryana, below the national minimum wage.
    • Technological Challenges: Issues with Aadhaar-based payments and mobile monitoring systems have led to non-payment or misdirected funds.
    • Budget Constraints: Budget allocations have decreased from 0.4% of GDP in FY22 to 0.2% in FY25, impacting workdays and payments.
    • Social Audit Irregularities: Irregular audits by Gram Sabhas raise concerns about accountability and transparency.

     

    [UPSC 2011] Among the following who are eligible to benefit from the “Mahatma Gandhi National Rural Employment Guarantee Act”?

    (a) Adult members of only the scheduled caste and scheduled tribe households

    (b) Adult members of below poverty line (BPL) households

    (c) Adult members of households of all backward communities

    (d) Adult members of any household

     

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  • Gold Monetisation Scheme

    Govt discontinues Gold Monetization Scheme

    Schemes | Economics | Mains Paper 3: Investment Models

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: Gold Monetisation Scheme (GMS)

    Why in the News?

    The Centre has decided to discontinue the Gold Monetization Scheme (GMS) starting from March 26, 2025, considering evolving market conditions.

    The short-term deposits (1-3 years) will continue at the discretion of individual banks based on commercial viability, highlighting a shift towards flexible, shorter-term options.

    About Gold Monetization Scheme (GMS) and its Features

    • The GMS was launched in November 2015 as an enhanced version of the Gold Deposit Scheme (GDS) and Gold Metal Loan (GML) Scheme.
    • The main goal was to mobilize idle gold from households and institutions into the formal economy, thereby reducing the country’s reliance on gold imports and improving the current account deficit (CAD).
    • Objectives: Aimed at mobilizing gold, reducing gold imports, and utilizing gold to generate interest as a financial asset, thereby strengthening the economy.
    • The GMS included three deposit options:
      • Short-Term Gold Deposit (STGD): 1-3 years
      • Medium-Term Gold Deposit (MTGD): 5-7 years
      • Long-Term Gold Deposit (LTGD): 12-15 years
    • Interest and Redemption:
      • Short-Term Deposits: Interest rates determined by individual banks; redemption could be in cash or gold.
      • Medium- and Long-Term Deposits: Fixed interest rates at 2.25% (medium-term) and 2.5% (long-term), with cash redemption only.
    • Eligibility Criteria:
      • Open to individuals, institutions, and government entities.
      • Gold tendering accepted only at designated Collection and Purity Testing Centres (CPTC) or through GMS Mobilisation Agents.
      • Deposits were accepted only if the value exceeded ₹1 lakh.

    Reasons for Discontinuation  

    • The Finance Ministry discontinued the Medium-Term and Long-Term Deposits due to changes in the gold market.
    • Gold prices surged by 41.5% from ₹63,920 per 10 grams in January 2024 to ₹90,450 per 10 grams by March 2025.
    • This rise in gold value reduced the attractiveness of schemes like GMS for both depositors and the government.
    • With the closure of the Sovereign Gold Bond Scheme, the government aims to shift towards more market-oriented solutions for gold-related financial products.
    [UPSC 2016] What is/are the purpose/purposes of the Government’s ‘Sovereign Gold Bond Scheme’ and ‘Gold Monetization Scheme’?

    1. To bring the idle gold lying with Indian households into the economy.

    2. To promote FDI in the gold and jewellery sector

    3. To reduce India’s dependence on gold imports

    Select the correct answer using the code given below:

    (a) 1 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3

     

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  • Animal Husbandry, Dairy & Fisheries Sector – Pashudhan Sanjivani, E- Pashudhan Haat, etc

    [pib] Revised National Program for Dairy Development (NPDD)

    PIBSchemes | Agriculture | Mains Paper 3: Agriculture and related issues

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: National Program for Dairy Development (NPDD)

    Why in the News?

    The Union Cabinet has approved the Revised National Programme for Dairy Development (NPDD), enhancing its scope and funding to modernize and expand the dairy sector across India.

    About the National Programme for Dairy Development (NPDD)

    • It is implemented by the Department of Animal Husbandry & Dairying (DAHD).
    • The scheme has been operational since February 2014, initially targeting the development of dairy cooperatives and expanding infrastructure to support dairy activities.
      • In July 2021, the scheme was restructured to align with the goals of the 15th Finance Commission cycle (2021-2026), to run from 2021 to 2026 with an enhanced budget.
    • It focuses on providing technical and financial assistance to improve the dairy infrastructure in India, including enhancing milk procurement, processing, and marketing capabilities.
    • It also aims to provide training facilities for dairy farmers, improving their skills and fostering rural development.

    Revised Components of NPDD Scheme:

    The Revised NPDD, a Central Sector Scheme, is designed with two primary components that focus on dairy infrastructure development and cooperative strengthening:

    Component A: Dairy Infrastructure Improvement

    • This component focuses on improving essential dairy infrastructure, such as the installation of milk chilling plants, advanced milk testing laboratories, and certification systems for quality assurance.
    • Special attention is given to the North Eastern Region (NER), hilly areas, and Union Territories (UTs), where support is provided for the formation of new dairy cooperative societies and the strengthening of milk procurement and processing systems.
    • Grant support will be provided for the formation of 2 Milk Producer Companies, ensuring a more efficient procurement system.

    Component B: Dairying through Cooperatives (DTC)

    • This component focuses on fostering dairy development through cooperative models in partnership with the Government of Japan and Japan International Cooperation Agency (JICA).
    • It aims to sustainably develop dairy cooperatives, improve production, processing, and marketing infrastructure in 9 key states: Andhra Pradesh, Bihar, Madhya Pradesh, Punjab, Rajasthan, Telangana, Uttarakhand, Uttar Pradesh, and West Bengal.
    • This component seeks to introduce international best practices in cooperative management and dairy technologies.

    PYQ:

    [UPSC 2013] Which of the following grants direct credit assistance to the households?

    1. Regional Rural Banks

    2. National Bank for Agriculture and Rural Development

    3. Land Development Banks

    Select the correct answer using codes given below.

    (a) 1 and 2 only

    (b) 2 only

    (c) 1 and 3 only

    (d) 1, 2 and 3

     

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  • Higher Education – RUSA, NIRF, HEFA, etc.

    [pib] PM’s Scheme for Mentoring Young Authors (PM-YUVA 3.0)

    Schemes | Governance | Mains Paper 2: Government Scheme/Policies

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: PM-YUVA Scheme

    Why in the News?

    The Ministry of Education, Department of Higher Education, launched the PM-YUVA 3.0 (Prime Minister’s Scheme for Mentoring Young Authors) on 11th March 2025.

    About the PM-YUVA Scheme

    • PM-YUVA 3.0 was launched on 11th March 2025, building upon the success of the first two editions, which focused on themes like national movement and democracy.
    • It is an initiative by the Ministry of Education, Department of Higher Education, aimed at mentoring young authors below the age of 30.
    • The scheme’s objectives include fostering a new generation of writers who can explore topics such as:
      • Contribution of the Indian Diaspora in Nation Building
      • Indian Knowledge System
      • Makers of Modern India (1950-2025)
    • Background:
      • PM-YUVA 1.0 (2021): Focused on India’s National Movement & unsung heroes.
      • PM-YUVA 2.0 (2022): Focused on Democracy and Constitutional Values.
    • The scheme was designed to promote reading, writing, and book culture in India while showcasing Indian literature and heritage globally.
    • The National Book Trust (NBT), India, is the implementing agency responsible for executing the scheme.
    • The scheme aligns with the National Education Policy (NEP) 2020, aiming to empower youth, develop creative leaders, and encourage capacity building in India’s younger generation.

    Important Features of PM-YUVA 3.0

    • An All-India Contest will be held through MyGov from 11 March 2025 to 10 April 2025.
    • 50 authors will be selected across three themes.
    • Evaluation of proposals will be completed by April 2025, and the final list of selected authors will be announced between May-June 2025.
    • Each selected author will receive a ₹50,000 monthly scholarship for six months, totaling ₹3 lakh per author.
    • Authors will also receive a 10% royalty on successful publications of their books.
    • Books created under the scheme will be published by the National Book Trust and translated into other Indian languages, promoting literary exchange and supporting the vision of ‘Ek Bharat Shreshtha Bharat’.
    • Applicants who have qualified for PM-YUVA 1.0 and PM-YUVA 2.0 are not eligible for this edition.

    PYQ:

    [2018] With reference to Pradhan Mantri Kaushal Vikas Yojana, consider the following statements :
    1. It is the flagship scheme of the Ministry of Labour and Employment.
    2. It, among other things, will also impart training in soft skills, entrepreneurship, financial and digital literacy.
    3. It aims to align the competencies of the unregulated workforce of the country to the National Skill Qualification Framework.
    Which of the statements given above is/are correct?
    (a) 1 and 3 only
    (b) 2 only
    (c) 2 and 3 only
    (d) 1, 2 and 3

     

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  • Microfinance Story of India

    Kisan Credit Card (KCC) Scheme

    Schemes | Agriculture | Mains Paper 3: Agriculture and related issues

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: Kisan Credit Card (KCC) Scheme

    Why in the News?

    According to the RBI, bad loans in the Kisan Credit Card (KCC) Scheme segment increased by 42% over the last four years, reaching ₹97,543 crore by December 2024, up from ₹68,547 crore in March 2021.

    About the Kisan Credit Card (KCC) Scheme

    • The KCC Scheme is a government-backed credit initiative designed to provide timely and adequate credit to farmers for agricultural and allied activities.
    • Launched in 1998 on the recommendation of NABARD (R.V. Gupta Committee), the scheme aims to ensure easy access to institutional credit, reducing farmers’ dependency on moneylenders and informal credit sources.
    • Purpose of KCC:
      • Provides short-term credit for crop cultivation and post-harvest needs.
      • Supports working capital requirements for farm mechanization, dairy, poultry, fisheries, and other allied agricultural activities.
      • Helps meet household consumption needs of farmers.
      • Allows credit access for investment in agriculture-related businesses.
    • Credit and Repayment System:
      • Farmers can avail collateral-free loans up to ₹2 lakh.
      • Interest rates start as low as 4% per annum (with government interest subvention for timely repayment).
      • The loan limit was increased from ₹3 lakh to ₹5 lakh in Budget 2025-26.
      • Revolving credit system allows farmers to withdraw and repay as needed within the sanctioned limit.
      • Repayment schedules are linked to the crop harvesting cycle, ensuring no undue financial burden.
    • Implementation: Commercial Banks; Regional Rural Banks (RRBs); Small Finance Banks; Cooperative Banks.
    • Additional Benefits:
      • Comes with insurance coverage under the Pradhan Mantri Fasal Bima Yojana (PMFBY) to protect against crop loss.
      • Covers fisheries and animal husbandry farmers (since 2018-19).

    Successes and Limitations of the KCC Scheme:

    Successes Failures
    • Increased Financial Inclusion: 7.3 crore active accounts, reducing reliance on moneylenders.
    • Higher Agricultural Productivity:  Easy access to inputs like seeds, fertilizers, and machinery.
    • Increased Support: Interest subvention makes loans affordable; loan limit raised from ₹3 lakh to ₹5 lakh (Budget 2025-26).
    • Promoted Rural Development: Covers women farmers, Farmer Producer Organizations (FPOs), and non-farm activities.
    • Rising NPAs:  Discussed above.
    • Loan Misuse: Funds diverted for non-agricultural expenses, increasing defaults.
    • Low Financial Literacy: Many farmers unaware of repayment terms, leading to debt traps.
    • High Credit Dependency: Continuous borrowing without income growth raises financial risks.

    PYQ:

    [2020] Under the Kisan Credit Card scheme, short-term credit support is given to farmers for which of the following purposes?

    1. Working capital for maintenance of farm assets
    2. Purchase of combine harvesters, tractors and mini trucks
    3. Consumption requirements of farm households
    4. Post-harvest expenses
    5. Construction of family house and setting up of village cold storage facility

    Select the correct answer:

    (a) 1, 2 and 5 only

    (b) 1, 3 and 4 only

    (c) 2, 3, 4 and 5 only

    (d) 1, 2, 4 and 5

     

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  • Agricultural Sector and Marketing Reforms – eNAM, Model APMC Act, Eco Survey Reco, etc.

    Agriculture Infrastructure Fund (AIF) Scheme

    Schemes | Agriculture | Mains Paper 3: Agriculture and related issues

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: Agriculture Infrastructure Fund (AIF) Scheme

    Why in the News?

    Punjab has fully utilized ₹4,713 crore allocated under the Agriculture Infrastructure Fund (AIF), making it the top-ranked state in India for implementing this scheme.

    As a result, Punjab has been granted an additional ₹2,337 crore to further expand its agricultural infrastructure projects.

    What is the Agriculture Infrastructure Fund (AIF) Scheme?

    • The AIF is a ₹1 lakh crore financing facility launched by the Government of India in July 2020 to support post-harvest agricultural infrastructure and community farming assets.
    • AIF provides medium- to long-term debt financing at subsidized interest rates, along with credit guarantee support, to eligible beneficiaries.

    Key Features of the AIF Scheme:

    • Total Corpus & Disbursement: ₹1 lakh crore, disbursed over 10 years (2020-21 to 2029-30).
    • Interest Subvention & Loan Benefits:
      • 3% interest subvention on loans up to ₹2 crore.
      • Credit guarantee support through CGTMSE and NABSanrakshan.
      • Maximum interest rate capped at 9% for a 7-year tenure.
    • Eligible Projects:
      • Post-harvest infrastructure: Warehouses, cold storage, silos, drying yards, sorting, and packaging units.
      • Processing & Value Addition: Food processing plants, oil mills, flour mills, kinnow and cashew processing.
      • Technology-driven solutions: Drone projects, hi-tech farm equipment rental centers.
      • Renewable energy: Solar-powered irrigation and cold storage units.
    • Integration with Other Government Schemes: Can be combined with State & Central subsidies for maximum benefit.
    • Implementation & Monitoring:
      • Managed via online MIS platform for real-time tracking.
      • National, State & District-level monitoring committees ensure effective execution.

    Eligible Beneficiaries Under AIF:

    • Individual Farmers:  Seeking on-farm storage or processing units.
    • Farmer Producer Organizations (FPOs):  For community-based infrastructure.
    • Self-Help Groups (SHGs) & Joint Liability Groups (JLGs): Engaged in agricultural activities.
    • Cooperative Societies & Primary Agricultural Credit Societies (PACS): For collective farming and value addition.
    • Startups & Agri-Tech Companies: Developing post-harvest management solutions.
    • State Agencies & PPP Projects: Government-backed rural infrastructure projects.
    • Entrepreneurs & Agripreneurs: Working in food processing and value addition.

    PYQ:

    [2017] Which of the following is/are the advantage/advantages of implementing the ‘National Agriculture Market’ scheme?

    1. It is a pan-India electronic trading portal for agricultural commodities.

    2. It provides the farmers access to nationwide market, with prices commensurate with the quality of their produce.

    Select the correct answer using the codes given below:

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

     

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  • Animal Husbandry, Dairy & Fisheries Sector – Pashudhan Sanjivani, E- Pashudhan Haat, etc

    [pib] Livestock Health and Disease Control Scheme (LHDCS)

    Schemes | Agriculture | Mains Paper 3: Economics Of Animal-Rearing

    Note4Students

    From UPSC perspective, the following things are important:

    Prelims level: Livestock Health and Disease Control Scheme (LHDCS)

    Why in the News?

    The Union Cabinet has approved the revision of the Livestock Health and Disease Control Programme (LHDCP).

    The revised scheme, with a total outlay of ₹3,880 crore for 2024-25 and 2025-26, includes a new component called “Pashu Aushadhi” to improve the availability of generic veterinary medicines.

    What is LHDC Scheme?

    About
    • Government of India initiative launched in 2022.
    • Aims to improve animal health, control livestock diseases, and enhance veterinary services.
    • Revised with ₹3,880 crore outlay for 2024-25 and 2025-26.
    • Includes “Pashu Aushadhi” for affordable veterinary medicines.
    Features of LHDC
    • Disease Control & Vaccination: Targets FMD, Brucellosis, PPR, CSF, Lumpy Skin Disease. Mass vaccination and eradication.
    • Veterinary Healthcare: Expansion of veterinary hospitals and Mobile Veterinary Units (MVUs).
    • Disease Surveillance: Strengthened disease reporting and monitoring systems.
    • “Pashu Aushadhi”: Affordable, high-quality veterinary medicines with ₹75 crore allocation.

    Sub-Components:

    1. Critical Animal Disease Control Programme (CADCP): Focuses on eradicating high-risk livestock diseases.
    2. Establishment & Strengthening of Veterinary Hospitals and Dispensaries (ESVHD-MVU): Expands mobile veterinary units (MVUs) for better access to veterinary care.
    3. Assistance to States for Control of Animal Diseases (ASCAD): Provides financial support to states for disease prevention and control.
    • Economic Benefits: Prevents livestock mortality and improves milk, meat, and wool production.
    Implementation & Funding Strategy: Coordinated efforts by Central and State Governments; monitoring and assessment mechanisms.

    Funding: ₹3,880 crore for 2024-25 and 2025-26:

    • 100% central funding for CADCP and non-recurring ESVHD components.
    • 60:40 share for other components and ASCAD.
    • 90:10 funding for North Eastern and Himalayan States.
    • 100% Central funding for Union Territories.

     

    PYQ:

    [2015] Livestock rearing has a big potential for providing non-farm employment and income in rural areas. Discuss suggesting suitable measures to promote this sector in India.

    [2012] Which of the following is the chief characteristic of ‘mixed farming’?
    (a) Cultivation of both cash crops and food crops
    (b) Cultivation of two or more crops in the same field
    (c) Rearing of animals and cultivation of crops together
    (d) None of the above

     

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