Centre neglects Telangana in agribusiness development through VCA

Funds to BJP-ruled States like Gujarat were sanctioned Rs.14,127 lakhs, only Rs.2,688 lakhs were sanctioned to Telangana through VCA.

Hyderabad: The BJP-led union Government’s lack of support to agribusiness development through Venture Capital Assistance (VCA) was exposed in the form of funds allocated to States, especially Telangana.

In 2017-18, the Union Government allocated Rs.110.98 lakh to Central Sector Scheme for agribusiness development through VCA to different States. This came down to Rs.49.42 lakh in 2021-22.

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The Union Government had introduced the VCA to facilitate agribusiness development. The objective was to assist agripreneurs to invest in setting up agribusiness projects through financial participation. It also provides financial support for preparation of bankable Detailed Project Reports (DPRs) through Project Development Facility (PDF).

In Rajya Sabha on Friday, union Minister for Agriculture Narendra Singh Tomar told BRS MP K Keshava Rao that 154 applications were received and 49 projects were qualified in Telangana. Further, there was discrimination in allocation and sanction of funds. While, BJP-ruled States like Gujarat were sanctioned Rs.14,127 lakhs, only Rs.2,688 lakhs were sanctioned to Telangana.

VCA disbursed to agribusiness project since 2014

State                          Project cost (Rs lakhs)  VCA sanctioned (Rs lakhs)   Farmers benefited   Employment generated

Andhra Pradesh            9,197                                                 748                                                  1,436                              897

Gujarat                           17,0879                                            14,127                                              13,853                            6,236

Maharashtra                 1,09,952                                             9,892                                               16,474                           8,274

Telangana                      34,190                                               2,688                                               2,170                             1,284

Uttar Pradesh                96,339                                              7,854                                                1,7581                           43,75