The Krishi Udan scheme is a specialized logistical framework launched by the Ministry of Civil Aviation (MoCA) to assist farmers in transporting agricultural products, primarily perishables, to domestic and international markets. First introduced in August 2020, the scheme integrates the aviation sector with agriculture to facilitate seamless, cost-effective, and time-bound air transportation of farm produce. It operates primarily on the Hub and Spoke model to build a robust agri-produce transportation architecture across India.
Core Objectives of the Scheme
The scheme is designed to address the logistical bottlenecks in the Indian agricultural supply chain. The specific objectives include the following targeted outcomes:
- The initiative aims to improve value realization for farmers by opening up wider domestic and international markets for their agricultural produce.
- It seeks to minimize the wastage of perishable agricultural commodities, such as fruits, vegetables, and flowers, through rapid transit.
- The scheme strives to establish robust cargo handling infrastructure at airports, especially in remote, hilly, and tribal regions.
- It intends to incentivize airline operators to run freight services by providing significant operational and financial concessions.
Evolution of Krishi Udan Phases
The scheme has been upgraded to enhance its geographic reach and functional efficiency, transitioning from its initial framework to a more targeted approach.
| Phase | Launch Timeline | Key Focus Areas and Operational Highlights |
| Krishi Udan 1.0 | August 2020 | Focused on assisting farmers in transporting agricultural products on international and national routes to improve value realization. |
| Krishi Udan 2.0 | October 2021 | Shifted focus to the seamless movement of perishables specifically from Hilly Areas, North-Eastern States, and Tribal regions of India. |
Key Features of Krishi Udan 2.0
The upgraded version of the scheme incorporates targeted incentives, digital infrastructure, and expanded airport networks to streamline agri-logistics.
Aviation Charge Waivers
- The Ministry of Civil Aviation provides a full waiver of Landing, Parking, Terminal Navigation Landing Charges (TNLC), and Route Navigation Facility Charges (RNFC).
- These charge waivers are applicable strictly to Indian freighters and Passenger-to-Cargo (P2C) aircraft operating under the scheme.
- The waivers are designed to lower the operational costs for airlines, thereby reducing the freight charges for farmers and aggregators.
E-KUSHAL Digital Platform
- The government launched a dedicated online portal named E-KUSHAL (Krishi Udaan for Sustainable Holistic Agri-Logistics).
- This platform serves as a single window for all stakeholders to access information regarding the scheme, coordinate logistics, and track shipments.
- The E-KUSHAL platform is systematically integrated with the National Agriculture Market (e-NAM) to synchronize market access with logistical support.
Cargo Infrastructure Development
- The scheme mandates the development of specialized air cargo terminals with cold storage capabilities at participating airports.
- It promotes the Hub and Spoke model, where smaller regional airports (spokes) collect produce and feed it to major international or metropolitan airports (hubs) for wider distribution.
Convergence with Other Ministries
A hallmark of the Krishi Udan scheme is its inter-ministerial convergence to pool resources and optimize the agricultural value chain.
- Ministry of Agriculture and Farmers Welfare: Aligns the scheme with e-NAM and agricultural export zones.
- Ministry of Food Processing Industries (MoFPI): Integrates the scheme with the Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) to link air logistics with food processing hubs.
- Ministry of Fisheries, Animal Husbandry and Dairying: Facilitates the transport of marine products, dairy, and meat items under temperature-controlled conditions.
- Ministry of Development of North Eastern Region (DoNER): Coordinates infrastructural support specifically for the eight North-Eastern states.
Key Facts and Trivia for UPSC Prelims
Aspirants must note the following high-yield facts regarding the implementation and regulatory framework of the Krishi Udan scheme.
- The Airports Authority of India (AAI) and its subsidiary, AAI Cargo Logistics and Allied Services Company Limited (AAICLAS), are the primary implementing agencies for the scheme.
- Initially covering 53 airports under Krishi Udan 2.0, the scheme was subsequently expanded to include 58 airports, with an emphasis on the North-Eastern Region (NER).
- The scheme explicitly defines eligible cargo as perishable agricultural commodities, including horticulture, floriculture, marine, dairy, and poultry products.
- Under the scheme, eight ministries coordinate through a Joint Monitoring Group to oversee implementation and resolve logistical bottlenecks.
- The scheme does not provide direct financial subsidies to farmers for air freight; instead, it indirectly benefits them by subsidizing airline operational costs, which leads to lower transport tariffs.
- Major focus airports under the scheme include Agartala, Srinagar, Dibrugarh, Dimapur, Hubballi, Imphal, Jorhat, Lilabari, Rupsi, Silchar, and Tezpur, reflecting the priority given to border and hilly terrains.