Funds for various activities of Farm Mechanization like Establishment of Custom Hiring Centres, Farm Machinery Bank, High-tech Hubs and distribution of various agricultural machinery, etc to different states have been released by the Government of India under Sub-Mission on Agricultural Mechanization (SMAM) scheme to empower the farmers.

During the period from 2014-15 to 2020-21, an amount of Rs. 288.24 crores have been released to Madhya Pradesh, Rs. 621.23 crores from Andhra Pradesh, Rs. 421.65 crores released to Tamil Nadu, Rs. 89.94 crores (Kerala) Rs. 36.36 crore (Arunachal Pradesh), Rs. 61.05 crore (Manipur), Rs. 110.05 crore (Nagaland), Rs. 121.12 crore (Tripura), Rs. 294.74 crore (U.P), Rs.182.05 crore (Uttarakhand), and Rs. 53.81 crore (West Bengal) by DAC & FW. 

However, during 2021-22 amounts like Rs. 16.20 crore, Rs. 89.94 crore, Rs. 21.74 crore, Rs.12.35, Rs.3.66 crore, Rs. 2.27 crore, Rs.7.57 crore, Rs.6.12 Crore, Rs.22.12 crore, Rs.10.53 crore, and Rs.2.6 crore was released as 1st installment under SMAM scheme for distribution of 2000 agricultural machinery and equipment and establishment of 90 Custom Hiring centers, 525 Custom Hiring centers and 34 High Tech Hubs, 115 numbers of Custom Hiring centers, 10 Hi-Tech hubs and 100 farm Machinery banks at the village level, 4280 various machines & equipment to the farmers on subsidy and 58 Farm machinery Banks at the village level, 6045 machines & equipment framers on subsidy, 18 Farm machinery Banks at the village level, 25 Farm machinery Banks at village level & 497 machinery equipment for farmers, 25 Farm machinery Banks at village level, 6 Custom Hiring Centres & 35 Farm machinery Banks at the village level, 25 Custom Hiring Centres for the above-mentioned states respectively.

Ministry of Agriculture and Farmers Welfare has launched a Sub-Mission on Agricultural Mechanization (SMAM) in 2014-15 with the objectives of increasing the reach of farm mechanization to small and marginal farmers and to the regions & difficult areas where farm power availability is low.

A vital role is played by Agricultural Mechanization in optimizing the use of land, water energy resources, manpower, and other inputs like seeds, fertilizers, pesticides, etc to maximize the productivity of the available cultivable area and make agriculture a more profitable and attractive profession for rural youth.