Agri SURE’ fund

15.07.2024

Agri SURE’ fund

Why in the news?                        

Recently, the National Bank for Agriculture and Rural Development (NABARD) has announced an agri fund for Start-Ups & Rural Enterprises (Agri-SURE).

About Agri SURE’ fund:

• Agri fund for Start-Ups & Rural Enterprises (Agri-SURE) supports start-ups and entrepreneurs.
• It provides support through investments in sector-specific, sector-agnostic, and debt Alternative Investment Funds (AIFs) and direct equity support to start-ups working in Agriculture and allied sectors.
• This initiative aims to foster innovation and sustainability in India's agricultural sector through the establishment of a Rs 750 crore Category-II Alternative Investment Fund (AIF).

○While NABARD and the Ministry of Agriculture are contributing ₹250 crore each, the rest ₹250 crore is from other institutions.

○The fund is structured to support about 85 agri start-ups with investment sizes of up to ₹25 crore each by the end of its term.

• Its main focus areas include promoting innovative, technology-driven initiatives in agriculture, enhancing the farm produce value chain, creating new rural ecosystem linkages and infrastructure, generating employment and supporting Farmers Producer Organisations (FPOs).
• The fund would encourage entrepreneurship through IT-based solutions and machinery rental services for farmers, driving sustainable growth and development in the agricultural sector.
• NAB Ventures, a fully owned subsidiary of NABARD, will act as the fund manager.

                                                                    Source: The Hindu

Ques :- Consider the following statements with reference to the Agri-SURE Fund:

Statement-I

 It aims to foster innovation and sustainability in India's agricultural sector.

Statement-II

It is managed by the Agricultural and Processed Food Products Export Development Authority (APEDA).

Which one of the following is correct in respect of the above statements?

A.Both Statement-I and Statement-II are correct, and Statement-II is the correct explanation for Statement-I.

B.Both Statement-I and Statement-II are correct, and Statement-II is not the correct explanation for Statement-I.

C.Statement-I is correct, but Statement-II is incorrect.

D.Statement-I is incorrect, but Statement-II is correct.

Answer C