Important Machinery subsidies for farmers in India

Important Machinery subsidies for farmers in India

07 Aug, 2020

India is an agricultural-based country. A major portion of our population is engaged in agriculture and therefore, it becomes the area of prime importance to give financial assistance through various mediums.

The central government, as well as the state governments of different states, have launched numerous Schemes for the welfare of farmers.

Now due to growing technology, advancement in the field of agriculture is also necessary to have good yield in less input. To achieve the same, machinery plays a vital role and here we will discuss the subsidies for this helpful machinery. As the machinery are costly and an average farmer can't afford such machinery and therefore the government has launched the following Machinerysubsidies for the same.

1. Rashtriya Krishi Vikas Yojana (RKVY)

The scheme is a state plan scheme and it is a part of the National Agriculture Development Programme. The farmers are given a 100% subsidy under this scheme. The subsidy is provided for all agriculture mechanisation. The scheme has different norms as per the government of the state government.

2.Sub-Mission on Agricultural Mechanization (SMAM)

The scheme was launched to aid small and marginal farmers of the country. Special centres are there which further give guidance on various agricultural activities to the farmers across the nation.

3.National Food Security Mission (NFSM)

The main motive of this scheme is to improve productivity. It mainly focuses on improving the machinery rather than purchasing the new ones. Because with continuous use it is obvious to have some flaws in machinery and in that case this scheme proves very beneficial.

4.NABARD loans in India

NABARD scheme gives 30% subsidy for the purchase of tractors and 100% subsidy for other transport machinery. This gives opportunities for farmers to purchase machinery to advance his farming.

Like these, there are several schemes that the government at different levels has launched as per the requirement and arising situations. The farmers are the backbone of our nation and their condition reveals the condition of the nation. The Machinery subsidies are disposed of in two forms Direct cash subsidies and indirect subsidies. The direct one is in the form of cash and is more helpful for farmers whereas the indirect subsidy is by making agricultural income as a tax-free income.

There is also a requirement of certain documents to go into the process of subsidy. The important documents include adhar card, voter id, Voter card, copy from the bank (statement), account details, PAN card, contact information, name and date of birth, application letter, and payment receipt.