Krishi UDAN 2.0 Scheme: UPSC Daily Important Topic | 18 November 2021

Krishi UDAN 2.0 Scheme

•The scheme proposes to facilitating and incentivizing the movement of Agri-produce by air transportation.

•It lays out the vision of improving value realization through better integration and optimization of Agri-harvesting and air transportation.

•It works by contributing to Agri-value chain sustainability and resilience under different and dynamic conditions.

•It will be implemented at 53 airports across the country mainly focusing on Northeast and tribal regions and is likely to benefit farmer, freight forwarders, and Airlines.

Key highlights of the scheme

•Facilitating and incentivizing movement of Agri-produce by air transportation: Full waiver of Landing, Parking, TNLC, and RNFC charges for Indian freighters and P2C at selected Airports. Primarily, focusing on NER, Hilly, and tribal regions.

•Strengthening cargo-related infrastructure at airports and off airports: Facilitating the development of a hub and spoke model and a freight grid.

•Concessions sought from other bodies: Seek support and encourage States to reduce Sales Tax to 1% on aviation fuels for freighters / P2C aircraft as extended in UDAN flights.

•Resources-Pooling through establishing Convergence mechanism: Collaboration with other government departments and regulatory bodies.

•Technological convergence: Development of E-KUSHAL (Krishi UDAN for Sustainable Holistic Agri-Logistics).

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