Krishi UDAN 2.0

  • 28 Oct 2021

Krishi UDAN 2.0 was launched on 27th October 2021. The scheme proposes to facilitating and incentivizing movement of Agri-produce by air transportation.

  • The enhanced version of the Krishi UDAN scheme was formulated with support from AAICLAS - a 100% subsidiary of the Airports Authority of India and Invest India, India’s national Investment Promotion & Facilitation Agency, under the Ministry of Commerce and Industry.

Key Highlights of KRISHI UDAN 2.0

  • 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 of Airport Authority of India. 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. Airside transit and transshipment infrastructure will be created at Bagdogra and Guwahati airports, and at Leh, Srinagar, Nagpur, Nashik, Ranchi, and Raipur airports as a part of focus on NER, Tribal and Hilly Districts.
  • Concessions sought from other bodies: Seek support and encourage States to reduce Sales Tax to 1% on ATF for freighters / P2C aircraft as extended in UDAN flights.
  • Resources-Pooling through establishing Convergence mechanism: Collaboration with other government departments and regulatory bodies to provide freight forwarder, airlines and other stakeholders with Incentives and concessions to enhance air transportation of Agri-produce.
  • Technological convergence: Development of E-KUSHAL (Krishi UDAN for Sustainable Holistic Agri-Logistics). Platform to be developed facilitate in information dissemination to all the stakeholders. Furthermore, integration of E-KUSHAL with National Agriculture Market (e-NAM) is proposed.
  • Total 53 airports are select for the first phase of Krishi UDAN 2.0. – the majority of them are operated by AAI.
  • The strategic selection of the airports is primarily focused on northeast region. Additionally covers North, entire western coast and southern India (including two islands).
  • Airports for implementation of KrishiUdan 2.0 are selected with the aim of providing benefit to the entire country Opted airports not only provide access to regional domestic market but also connects them to international gateways of the country.
  • Development of E-KUSHAL (Krishi Udaan for Sustainable Holistic Agri-Logistics). Proposed to develop a platform which will facilitate in information dissemination to all the stakeholders. This will be a single platform which will provide relevant information at the same time will also assist in coordination, monitoring and evaluation of the scheme. Proposed convergence of E-Kushal with National Agriculture Market (e-NAM).

Identified Locations for Cargo Terminals

Proposed Timeline Locations
2021 – 2022 Agartala, Srinagar, Dibrugarh, Dimapur, Hubballi, Imphal, Jorhat, Lilabari, Lucknow, Silchar, Tezpur, Tirupati, Tuticorin
2022 – 2023 Ahmedabad, Bhavnagar, Jharsuguda, Kozhikode, Mysuru, Puducherry, Rajkot, Vijayawada
2023 – 2024 Agra, Darbhanga, Gaya, Gwalior, Pakyong, Pantnagar, Shillong, Shimla, Udaipur, Vadodara
2024 – 2025 Holangi, Salem

7 Focus Routes & Products

Routes Products
Amritsar – Dubai Babycorn
Darbhanga - Rest of India Lichis
Sikkim - Rest of India Organic produce
Chennai, Vizag, Kolkata - Far East Seafood
Agartala - Delhi & Dubai Pineapple
Dibrugarh – Delhi & Dubai Mandarin & Oranges
Guwahati - Hong Kong Pulses, fruits & vegetables