Based on the overall assessment of the mobility scenario of the state conducted under “Meghalaya Integrated Transport Project”, it was highlighted that the lesser developed transportation infrastructure has severely impacted agricultural trade and commerce in the state. To mitigate the gap, Department of Agriculture and Farmer’s Welfare, Government of Meghalaya has launched a scheme, “PRIME Agriculture Response Vehicle” scheme for individuals and registered farmer’s associations from rural areas of the state. Under the scheme, 50% financial aid is to be provided on the on-road cost of vehicle and support services from 1917iTeams (a platform that provides farmer’s access to the markets).

In the first phase of the project government has allocated Rs. 6.7 crores of financial aid as subsidy to buy 113 pickup trucks for 113 Registered Farmer’s Associations have been selected. These vehicles are expected to benefit the transportation of the agricultural products specially from the remote areas which will in turn increase profitability, enhance market reach, lower agriculture transportation cost, and encourage entrepreneurship in the rural communities.

Considering that 77% of the population of Meghalaya is engaged in primary sector and there is a higher demand of transport vehicles to evacuate products of primary sector from the farms, aggregation, and value chain unit. Based on this, the Government of Meghalaya has decided to launch the Second Phase of the Prime Agriculture Response Vehicle Scheme wherein financial aid will be provided to selected beneficiaries from across the state for 300 vehicles. The funding support of the second phase of the scheme will be jointly by Meghalaya Basin Management Agency, MBMA under Meghalaya Livelihood and Access to Markets Projects, Megha-LAMP (External Aided Project funded by International Fund for Agricultural Development, IFAD) and Department of Agriculture and Farmers’ Welfare.

• To increase profitability of farmers by providing access to market by supporting them with a mobility solution.
• To provide a mobility solution to various registered farmer’s associations which will increase aggregation and their market reach.
• To lower the transportation cost for farmers by introducing agriculture response vehicles for farmers at each CD Block of the State.
• To encourage individual entrepreneurship among the rural community by supporting them to buy commercial vehicles thereby creating livelihood opportunities.

• 300 Prime Agriculture Response Vehicles (Prime-ARVs) to be distributed across Meghalaya with 50% financial aid on the total cost of the vehicle.
• Farmers will have access to transportation services for their agriculture products especially in the remote areas.
• Vehicles will be registered with 1917iTeams who will provide transportation demand calls from customers to the vehicle owners.
• Vehicles will be pre-fitted with GPS device ensuring trackability of the vehicle by 1917iTeams. The live location of the vehicle will help in immediately connecting the farmers/ aggregators/ buyers to their nearest available vehicle.

• 1. Any registered farmer’s association

  Any association of farmers involved with agricultural products and legally registered with the government of Meghalaya such as Cooperatives, Farmer Producer Companies (FPC), Farmer Producer Organisation (FPO) etc. are eligible to apply for the scheme.

  • Eligibility criteria for the Registered Farmer’s Associations:
  • Should not be a beneficiary under the first phase of the Prime Agriculture Response Vehicle Scheme.
  • Should not be a defaulter at any financial institution.
  • Must provide an Incorporation Certificate or a registration certificate whichever is applicable.

    1. Individual entrepreneurs

• Individuals who are permanent residents of Meghalaya and are above 18 years and below 58 years of age are eligible for the scheme.

  • Eligibility criteria for Individual applicants:
  • Must be above 18 years of age and below 58 years of age.
  • Must have a valid commercial driving license before buying the vehicle from the dealer.
  • Must provide valid government ID proof with an address such as Aadhar Card, Voter ID, Passport etc.
  • Should not be a defaulter at any financial institution

• • 
    

    1. Financing Partners

       1. Meghalaya Rural Bank (MRB)
       2. The Meghalaya Co-Operative Apex Bank Ltd (MCAB)
       3. State Bank of India (SBI)
       4. Federal Bank
       5. HDFC Bank
       6. Punjab National Bank

          1. Loan amount, loan-term, and repayment schedule

    2. Repayment of the loan through EMI will start after 3 months of moratorium period. Total EMI months will be 57 months.

       1. Annual rate of interest

    3. Annual rate of interest: 9% per annum
    4. Annual rate of interest will be fixed for the complete loan term.

       1. Quantum and Nature of Financial Assistance:

    5. Down payment Support: 
    6. Total down payment will be 50% of the on-road cost of the vehicle.
    1. Out of which 90% will be paid to the bank by Government of Meghalaya
    2. And the remaining 10% shall be paid by the beneficiary.
       2. EMI support: 

    To reduce the burden of the operational cost on the beneficiaries in the first two years of business, Government of Meghalaya will support the beneficiary by paying 

    1. 85% of the EMI for 4 to 9 months
    2. 45% of the EMI for 10-15 months
    3. 25% of the EMI for 16-27 months
    4. For the rest of the EMIs after 27 months, beneficiary shall bear the 100% of the EMI/month.
    3. Additional support:
       1. The cost of the GPS device with 5 years of warranty and sim support for 5 years will be provided by the government.
       2. The branding cost of the vehicle will be borne by the government. 

          1. Maximum support to be provided from the government:

    4. Maximum support from the government will be 50% of the on-road cost of vehicle model from the list mentioned above