PERFORMANCE OF AGRI-CLINICS AND AGRI-BUSINESS CENTRES (ACABC) SCHEME IN TAMIL NADU: GROWTH, ENTERPRISE CONVERSION AND FINANCIAL VIABILITY OF AGRIVENTURES

Abstract

The Agri-Clinics and Agri-Business Centres scheme, launched in 2002, addresses deficiencies in agricultural extension services and unemployment among agricultural graduates by promoting agripreneurship through commercially viable agribusiness ventures. This study evaluates the scheme's performance in Tamil Nadu, analysing growth trends, instability, conversion efficiency, and comparative financial viability of trained versus untrained agripreneurs in dairy and poultry enterprises. Secondary data from 2002-2025 on trainee enrolment and venture establishment were examined using compound growth rate and the Cuddy-Della Valle Instability Index, while primary data from 120 agripreneurs in Salem district were assessed through discounted cash flow analysis. Findings reveal significant growth rates of 7.44 per cent in trainee enrolment and 13.93 per cent in ventures, despite high instability. Tamil Nadu achieved a conversion efficiency of 50 per cent, exceeding the national average of 43.7 per cent, with Imaigal Trust, Salem, recording the highest at 63.8 per cent. Financial analysis demonstrates that trained agripreneurs’ ventures exhibit superior performance, evidenced by higher net present values, benefit-cost ratios, internal rates of return, and shorter payback periods compared to untrained counterparts. The main constraints were identified to be inadequate margin money, slow release of subsidy and strict bank eligibility criteria. These results underscore the scheme's substantial potential to enhance rural self-employment and income generation, though sustained effectiveness requires consistent implementation, strengthened credit linkages, and robust post-training support mechanisms.