1. Introduction
Agriculture is the backbone of our economy and provides employment to a large chunk of our population. Many innovative initiatives are already being attempted by various Research Institutions, Agriculture Universities, KVKs, NGOs and other individuals, in the field of Agriculture and allied sectors. Absence of resource support to such innovative ventures is found to be a major bottleneck to the process of speedy development of that sector. NABARD has, therefore, decided to set up a separate fund titled "Farm Innovation and Promotion Fund" (FIPF) to encourage specifically the innovations in the farm sector. The Fund has been created in NABARD with an initial corpus of Rs.5 crores from out of its operating surplus for the year 2004-05.
2. Objectives of the Fund
The objective of the Fund is to support the activities listed below :
a.
To demonstrate bankability of new concepts in agriculture and farm sector.
b.
To extend support for developing proto-types and for further development to make it commercial.
c.
To support activities connected with market survey for potential assessment/ market acceptability for new agri/rural products.
d.
To provide support for acquiring innovative technology from reputed research institutions.
e.
To extend support for obtaining patents for innovative technology/designs/ products.
f.
To provide extension support for marketing/ dissemination of knowledge relating to new products.
g.
To support innovations in IT to take knowledge in different spheres to the rural areas.
h.
To provide support on the analogy of venture capital for innovative ideas - technological and managerial (like supply chain management) in farm sector for further development.
i.
To support any activity which will further increase productivity, flow of credit, making knowledge available to the villages which could result in improved living standards for the rural poor.
The guiding principles for the operation of FIPF will be broadly as indicated below :
a.
The activities to be supported are to be in the context of economic and financial sector reforms and their orientation.
b.
The activities may fall within the domain of agriculture and allied sectors only.
c.
The activities may be innovative, experimental and demonstrative in nature leading to commercial viability.
d.
The activities may involve development of new products, proto types/ technology/patenting/extension support for technology, knowledge, information, marketing, etc.
e.
The activity should result in improvement or increase in farm productivity and or simplification in agricultural processes and practices.
f.
The proposals will be prioritised, added, altered, replicated or phased out allowing for cross learning of experience of different programmes.
g.
The proposals include a component of documentation of experience during implementation.
h.
Other strategies and approaches may be adopted within the overall principles and objectives of FIPF.
However, the same will not cover or include fundamental research.
i.
The proposals lead to creation of sustainable employment opportunities (direct/ indirect) in agriculture and allied sector.
4. Eligible Activities
The following activities will be eligible for assistance:
a.
Demonstration of new and viable concepts in agriculture and allied sectors.
b.
Development of proto-types to make it commercial.
c.
Activities connected with market survey for potential assessment/ extension support for marketing, dissemination of knowledge relating to new products/ processes, etc.
d.
Acquisition of innovative technology developed and approved by reputed institutions.
e.
Obtaining patents for innovative technology/designs/products/ processes.
f.
Innovations in supply chain management and value addition.
g.
To support any other activity connected/ related to (a) to (f) above.
