(a) the salient features of the special agriculture and village industry scheme;
(b) the details of the work undertaken under the said scheme so far alongwith the benefits
accured to the farmers;
(c) whether it is likely to affect the export of agro products and processed agro items; and
(d) if so, the details thereof and the reaction of the Government thereto?
MINISTER OF THE STATE IN THE MINISTRY OF AGRICULTURE (SHRI KANTI LAL BHURIA)
(a) & (b): Vishesh Krishi and Gram Udyog Yojana has been introduced w.e.f. 1st April 2004.
The objective of the scheme is to promote exports of
(i) Agricultural produce and their value added products;
(ii) Minor Forest Produce and their value added variants;
(iii) Gram Udyog Products;
(iv) Forest based products.
Duty credit scrip benefits are granted with the aim to compensate high transport costs.
Exporters, of products notified in Appendix 37A of Hand Book of Procedures (Vol.I) shall be
entitled for duty credit scrip equivalent to 5% of FOB value of exports (realized in free foreign
exchange). However, where exporter has availed benefits under Chapter 4 of Foreign Trade
Policy (FTP) for import of agricultural inputs (other than catalysts, consumables and packing
materials) relating to export item under this scheme, duty credit scrip benefits shall be
granted at a reduced rate of 3.5% of FOB value of exports (realized in free foreign exchange).
The benefits granted to the exporters under the Scheme during 2005-06 and 2006-07 is Rs.169.74
crores and Rs.532.43 crores respectively.
(c) & (d): The scheme is intended to encourage the export of agro products and processed
agro items.