Agri-Clinics and Agri-Business Centres

“With the diversification and modernisation of agricultural

practices, there is a need to augment support and extension
services for agriculture. For this purpose, a Scheme for setting
up Agriclinics and Agribusiness Centres by agriculture
graduates will be launched with the support of NABARD.
These centres will provide a package of soil and input testing
facilities and other consultancy services. They will strengthen
transfer of technology and extension services and also provide
self-employment opportunities to technically trained persons.
Loans on attractive terms for setting up these centres will be
provided by banks with reference from NABARD”.
- Finance Minister in his budget speech 2001-02

Scheme of Agri-Clinics and Agri-Business Centres

Accordingly a “Scheme for financing setting up of Agri-
clinics and Agribusiness Centres by Agriculture
Graduates” has been formulated by NABARD. The
Scheme aims at supplementing the existing extension
network to accelerate the process of technology transfer
to agriculture and providing supplementary sources of
input supply and services, for which, by and large,
farmers presently depend upon State Agencies.

The details of the Scheme are as follows :

DEMAND DIMENSION
To accelerate diffusion of agricultural technology there is
need for:
 Supplementing the efforts of Govt. extension
system to accelerate the process of technology
transfer in agriculture.
 Supplementary sources of input supply and
services, for which, by and large, farmer presently
depends upon public sector agencies.

This Scheme would lead to:

 Multi-sourced extension services.
 Input supply and support services on competitive
basis.

EXTENSION & TECHNICAL SUPPORT SYSTEMS TO

BE SUPPLEMENTED
 Govt. is not equipped for rendering location specific
specialized crop-wise advice.
 Field level staff neither exclusively available for
extension work nor adequately qualified and
trained.
 Public sector input supply agencies (e.g. SSCs,
AICs, etc.)not able to cope with the needs of fast
transforming and accelerated pace of agricultural
production.
 Specialized Agri also need supplementing as the
present infrastructure for providing these services,
both from the State Governments’ side, & the
private sector, is grossly inadequate.
 These gaps can be filled by qualified private
entrepreneurs.
SUPPLY DIMENSION
  The out-turn of graduates in Agriculture and allied
subjects per year is around 11,900.
 The intake in Post Graduate programmes is 5500,
leaving about 6400 Graduates of which about 2000
are able to find employment both in the Govt. & in
the Private Sector.
 Thus a reservoir of around 9,900 graduates every
year is available for supporting agricultural
production process if viable business opportunities
are afforded to them.
 Therefore, there is a need for giving incentives to
such graduates to undertake, on viable basis, agri-
business ventures to meet the felt needs of
technical and extension services support to the
farming community.

ACCEPTABILITY SURVEY
 Survey organized by ICAR.
 Opinion survey of farmers and agricultural
graduates conducted by :
* SAUs, Pantnagar, Akola and Pusa (Bihar)
* National Academy of Agricultural Research
Management, Hyderabad.

SURVEY FEED BACK FARMERS (As Clients)

  Proposed net-work welcomed especially by
* Progressive Farmers
* Large/Medium Farmers
 Willing to pay on the basis of quality of service
 Most desired services:
* Water and soil quality testing
* Custom hiring
* Livestock health cover
* Extension consultancy services.

SURVEY FEED BACK FROM AGRICULTURAL

GRADUATES (As Service Providers)
 Response to proposed net-work positive
 They desire Intensive training in :
* Entrepreneurial skills.
* Business management.
* Financial & Accountancy aspects.
 Many willing to pay for such training.

FRAMEWORK OF THE SCHEME

 Extension of equal opportunities to all eligible
agricultural graduates to undertake economically
viable ventures in identified areas through a
network of AGRI-CLINICS and AGRI-BUSINESS
CENTRES in which the applicant graduate would
be stake holders.
 The Scheme will provide opportunities for self
employment to agricultural graduates (in agriculture
&allied activities)
 The Scheme will promote investment in agriculture
and allied activities and create the support services
required by the farmers and help in the absorption
of productivity enhancing technologies in their
areas of operation.
 The NABARD through its system will facilitate bank
credit for this purpose on priority sector lending
terms.
 Ministry of Agriculture, Government of India has
envisaged extending credit linked back ended
subsidies for identified ventures. The subsidy is
presently under consideration.
 Funding of the Scheme at present will be according
to guidelines issued by NABARD.
 SFAC will arrange training for 6/8 weeks duration
free of cost to those who apply for loan under this
Scheme
 The training programme will comprise of
entrepreneurship and business management
training as well as skill improvement and updation
in the chosen area of activity.
PROGRAMME DIMENSION
 To begin with, a programme of supporting 5,000
ventures per year with investment upto Rs. 10
lakhs per venture.
 Group venture ceiling Rs.50 lakhs for a group of
five, in which one could be a management
graduate.
ACTIVITY AREAS
Agri Clinics and Agri business ventures could provide
specialised agri services in the following areas:-
 Soil and water quality cum inputs testing Crop
Protection Services, including Pest surveillance,
diagnostic and control
 Micro-propagation including through Plant Tissue
Culture Labs and Hardening Units
 Maintenance, repairs and custom hiring of
agricultural implements and machinery including
micro irrigation systems (sprinkler and drip);Seed
Processing Units;
 Setting up of Vermiculture units, production of
biofertilizers,bio-pesticides, & other bio-control
agents;
 Setting up of Apiaries (bee-keeping) and honey &
bee products’ processing units;
 Provision of Extension Consultancy Services;
 Facilitation and agency of agricultural insurance
services;
 Hatcheries and production of fish fingerlings for
aquaculture;
 Provision of livestock health cover, setting up of
veterinary dispensaries & services including frozen
semen banks and liquid nitrogen supply;
  Setting up of Information Technology Kiosks in rural
areas for access to various agriculture related
portals;
 Feed Processing and testing units;
 Value Addition Centres;
 Setting up of Cool Chain from the farm level
onwards including small Rural Cold Storage Units.
 Post Harvest Management Centres for
sorting,grading, standardization, storage and
packaging;
 Setting up of Metallic / Non-Metallic Storage
Structures (Group Activity).
 Retail marketing outlets for processed agriproducts;
 Rural marketing dealerships of farm inputs &
outputs;
 Other activities like Mushroom production, Dairy
Farming, etc. too may be undertaken.
 Any combination of two or more of the above viable
activities alongwith any other economically viable
activity selected by the Graduates, which is
acceptable to the Bank.

PROJECT PROFILES
 The prospective candidates will have access to
model project profiles (schemes) in his area of
interest at the headquarters of his district (with
DAO/PAO/DD/JD and DDOs of NABARD, LBO etc).
 Model Project Profiles in each of the identified areas
will enable the entrepreneurs to prepare their own
Techno-Economic Feasibility Reports of the venture
for bank financing.
 SFAC would undertake the publicity of the Scheme.