By linking production centres to markets and consumption hubs, the Kisan rail service aims to boost farm sector income. On August 7, 2020, the first Kisan Rail train between Devlali (Maharashtra) and Danapur (Bihar) was flagged off.
"Potential circuits for movement of Kisan Rail services have been identified in consultation with the Ministry of Agriculture & Farmers Welfare and Agriculture/Animal Husbandry/Fisheries Departments of State Governments as well as local bodies and agencies, Mandis," the minister added.
Fruit and vegetable shipments via Kisan rail were eligible for a 50% freight subsidy from the Ministry of Food Processing Industries (MoFPI) up until 31.3.2022, but this offer was not extended.
This subsidy was given to the consignors/farmers at the time of booking, ensuring that the advantage reaches the farmers without any hassles or procedural delays.
Following that, the railways received a 45 percent subsidy. This subsidy is now in place until March 31, 2023.
Railways spent 27.79 crore on subsidies in 2020-21, which MoFPI reimbursed. Railways spent 121.86 crores on subsidies in 2021-22, with MoFPI reimbursing only 50 crore. According to the Ministry of Railways, railways have disbursed 4 crore in subsidies for the current fiscal year, which comes to an end on January 31, 2023.
Andhra Pradesh has 116 Kisan Rail services, Gujarat has 62, Karnataka has 46, Maharashtra has 1,838 services, Madhya Pradesh has 74, Punjab has 15, Rajasthan has 5, Uttar Pradesh has 76, West Bengal has 59, and Telangana has 66. In Assam and Tripura, one Kisan Rail train has been operational.