Paramparagat Krishi Vikas Yojana (PKVY)

Ministerial Responsibility

Ministry of Agriculture & Farmers’ Welfare (MoAFW)

Type of Policy Measure


Outlay for 2021-22 (in Cr)

240 cr

Source(s) or document link(s)


  • PKVY, a sub-component of Soil Health Management (SHM) scheme under National Mission for Sustainable Agriculture (NMSA), aims at development of sustainable models of organic farming through a mix of traditional wisdom and modern science.
  • It primarily aims to increase soil fertility and thereby helps in production of healthy food through organic practices without the use of agro-chemicals.
  • It also aims at empowering farmers through institutional development by means of cluster approach in farm practices management, input production, quality assurance through PGS, value addition, and marketing.


  • Promotion of natural-resource-based integrated and climate resilient sustainable farming;
  • Reducing cost of agriculture to farmers through sustainable integrated organic farming systems
  • Sustainably producing chemical free and nutritious food; 
  • Protect environment from hazardous inorganic chemicals by adoption of eco-friendly low-cost traditional techniques and farmer-friendly technologies;
  • Empower farmers through their own institutional development in the form of clusters; and
  • Make farmers entrepreneurs through direct market linkages with local and national markets.


  1. Programme implementation through Support Agencies
  2. PGS Certification through Regional Councils
  3. Incentives to farmers through DBT
  4. Value addition, marketing, and publicity

Institutional Framework

National level

  • The National Advisory Committee (NAC) constituted under NMSA will be the policy-formulating body guiding the mission and reviewing its progress. Operational guidelines will be laid out and amended by the NAC.
  • The Executive Committee (EC) will oversee the activities of the schemes and approve the State Action Plans in accordance with the prescribed norms. It is empowered to reallocate resources across states & components and approve projects based on the approved financial norms.
  • The INM Division in the MoAFW indicates the provisions for each component, oversees the dissemination, implementation, M&E of scheme interventions, ensures timely release of funds etc. It also engages the National Project Management Team (NPMT).
  • National Centre of Organic Farming (NCOF) monitors the PGS certification programme, authorizes the RCs, offers technical training to the state Govt officers, and monitors the implementation of the scheme as well as the functioning of Support Agencies.


    • State dept of Agriculture or an agency nominated by the state Govt will be the nodal (state) dept for the implementation at the state level.
  • State Department prepares annual State Level Action Plan by compiling District-wise Action Plan, submits it to the SLEC for approval and thereafter to the EC. It receives funds from the DAC & FW for implementation and oversees the same. SD can also outsource programme implementation to  selected Support Agencies; Funds to these agencies as well as to farmers/ farmers’ groups as DBT will be released by the SD.
    • State Project Management Team: states can engage consultants and technical experts at the state & district levels for providing technical guidance and effective monitoring of implementation.
  • State Level Executive Committee (SLEC) will oversee the implementation of the scheme components and provide inputs to the EC for appropriate policy-formulation. It also approves the annual action plan prepared by the SDs before they are submitted to the EC.


  • District-Level Executive Committee (DLEC) and District Project Management Team (DPMT) are the district-level actors.


For selection of areas / Farmers’ groups:

  • Promoted preferably in hilly, tribal and rain-fed areas.
  • Cluster approach in large contiguous patches of upto 1000 ha and 500 ha area in plain and hilly regions respectively may be extending over a few adjacent villages. 
  • Formation of Gram Panchayat based FPOs or promotion of already existing ones will be encouraged.
  • A cluster should contain a maximum number of small and marginal farmers. Additionally, women farmers / SHGs should be preferred.

Fund-Flow Mechanism

  • After approval of the annual action plan by the EC, funds will be released to states in May of every year.
  • Incentives to farmers for conversion, inputs, and on-farm input production infrastructure shall be provided as DBT. States may define the policy guidelines for the utilisation of these funds; however, farmers shall have the choice to select the input / input production infrastructure.
  • Before requesting the release of subsequent instalments, states are mandated to furnish the utilization certificate and physical & financial progress report along with state share.
  • The project is to be executed over a period of 3 years, with audit and physical reports to be submitted to the DoA & FW every year. States requiring additional time for project implementation can seek permission before the end of the project period subject to the condition that the overall per hectare and per farmer cost ceilings are not exceeded.