The scheme was later rebranded as Remunerative Approaches for Agriculture and Allied sector Rejuvenation (RAFTAAR) to be implemented for three years till 2019-20 with a budget allocation of Rs 15,722 crore.

The scheme facilitated decentralized planning in the agricultural sector through the initiation of the State Agriculture Plan (SAP) and District Agriculture Plans (DAPs). The scheme was based on agro-climatic conditions ensuring the availability of appropriate technology and natural resources thus providing accommodation for local needs.

Why was it launched?

Though public and private investments were increasing manifold in sectors such as infrastructure, similar investments were not coming in Agriculture and allied sectors, leading to distress in the community of farmers, especially that of the small and marginal segment.

Hence, there was a need to incentivize states to increase their investments in the Agriculture and allied sectors had been felt. On this background, RKVY was launched from 2007-08 to achieve 4% annual growth in the Agricultural & allied Sector by ensuring holistic development of economic growth of farming community and country.

It aimed to incentivize states to draw up plans for their agriculture sector more comprehensively taking agro climatic conditions, natural issues and technology into account and integrating livestock, poultry and fisheries more fully and implement the same with convergence for inclusive development of Agriculture & Allied Sectors.

The main objectives of the schemes are:

1. To incentivize the states so as to increase public investment in Agriculture and allied sectors.
2. To provide flexibility and autonomy to states in the process of planning and executing Agriculture and allied sector schemes.
3. To ensure the preparation of agriculture plans for the districts and the states based on agro-climatic conditions, availability of technology and natural resources.
4. To ensure that the local needs/crops/priorities are better reflected in the agricultural plans of the states.
5. To achieve the goal of reducing the yield gaps in important crops, through focused interventions.
6. To maximize returns to the farmers in Agriculture and allied sectors.
7. To bring about quantifiable changes in the production and productivity of various components of Agriculture and allied sectors by addressing them in a holistic manner.

The following are the components of this scheme:

1. Agripreneurship Orientation – 2 months duration with a monthly stipend of Rs.  10,000/- per month.  Mentorship is provided on financial, technical, IP issues etc.
2. Seed Stage Funding of R-ABI Incubatees – Funding upto Rs. 25 lakhs (85% grant & 15% contribution from the incubatee).
3. Idea/Pre-Seed Stage Funding of Agripreneurs – Funding up to Rs. 5 lakhs (90% grant and 10% contribution from the incubatee).

Coverage : The RKVY – Raftaar covers all the major sectors of the country which include:

• Crop Cultivation and Horticulture
• Animal Husbandry and Fisheries
• Dairy Development, Agricultural Research and Education
• Forestry and Wildlife
• Plantation and Agricultural Marketing
• Food Storage and Warehousing
• Soil and Water Conservation
• Agricultural Financial Institutions, other Agricultural Programmes and Cooperation.