Sub-Mission on Agricultural Mechanization

Sub-Mission on Agricultural Mechanization (SMAM) is witnessing a rapid expansion across the country, enhancing farmers’ access to modern agricultural machinery and improving farm productivity and efficiency. 

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¨     Since its launch, SMAM has emerged as a key intervention for promoting inclusive farm mechanization, particularly among small and marginal farmers and other underserved groups.

¨     The scheme has significantly expanded mechanization infrastructure through Custom Hiring Centres (CHCs), Farm Machinery Banks (FMBs) and Hi-Tech Hubs, improving access to farm equipment on a shared basis.

¨     Recent efforts under the scheme have also focused on promoting drone-based and precision agriculture technologies to modernize Indian farming.

Sub-Mission on Agricultural Mechanization (SMAM)

¨     Launched in 2014–15, the Sub-Mission on Agricultural Mechanization (SMAM) is a Centrally Sponsored Scheme under the Rashtriya Krishi Vikas Yojana (RKVY).

¨     For most states, the funding pattern is 60:40, while for North-Eastern and Himalayan states, it is 90:10. UTs get 100% central assistance.

¨     It seeks to promote farm mechanization across the country, particularly among farmers with limited access to modern agricultural machinery and equipment.

¨     The scheme follows a “reach the unreached” approach to make mechanization affordable, accessible and inclusive.

Objectives:

¨     Increase the reach of farm mechanization, particularly among small and marginal farmers and in regions with low farm power availability.

¨     Improve productivity, operational efficiency and timeliness of farm operations through adoption of modern machinery.

¨     Reduce labour drudgery and cultivation costs while promoting post-harvest management and sustainable agriculture.

Focus Areas

¨     Promotion of Agricultural Mechanization: Supports training, demonstrations, testing and post-harvest mechanization to improve adoption of modern farm technologies.

¨     Financial Assistance for Agricultural Machinery: Provides DBT-based subsidies for machinery purchase, with higher support for SC/ST farmers, small and marginal farmers and beneficiaries in the North-East.

¨     Custom Hiring Centres (CHCs) and Farm Machinery Banks (FMBs): Facilitates shared access to agricultural equipment through institutional models, making mechanization affordable for farmers who cannot purchase machinery individually.

¨     Hi-Tech and High-Productivity Equipment Hubs: Promotes access to advanced, high-capacity and crop-specific machinery for precision and efficient farm operations.

¨     Special Focus on North-Eastern Region (NER): Provides enhanced financial support and region-specific interventions to address mechanization gaps and improve access to modern farm equipment in the North-East.

Key Achievements under SMAM

¨     Since inception, central assistance of ₹9,404.47 crore has supported the distribution of 21.61 lakh agricultural machines to farmers across the country.

¨     The scheme has established 27,554 CHCs, 25,608 FMBs and 646 Hi-Tech Hubs, while the number of individual beneficiaries increased from 2.07 lakh (2020–21) to 2.32 lakh (2024–25).

¨     Under the promotion of agricultural drones, 40,928 demonstrations covering 40,918 hectares have been conducted, supporting the adoption of precision agriculture.

Need for Mechanization in Indian Agriculture

¨     Low Level of Farm Mechanization: Farm mechanization in India is estimated at around 47–48%, indicating significant scope for improving productivity and efficiency in agriculture.

¨     Small and Fragmented Landholdings: With over 86% of operational holdings belonging to small and marginal farmers, shared-access models such as CHCs and FMBs are essential for ensuring affordable access to machinery.

¨     Labour Shortages and Rising Costs: Increasing rural labour shortages and rising wage costs have made mechanization critical for timely agricultural operations and reducing dependence on manual labour.

¨     Need for Precision and Sustainable Agriculture: Adoption of modern machinery, including drones and precision farming tools, is increasingly necessary for efficient input use, climate-resilient agriculture and reduction of post-harvest losses.