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  • Writer's pictureDr. P.K. Shrivastava


Dear Readers, 01.08.2021

My various clients inquire about the “available schemes to support establishment of Agri-projects under subsidies”. To help my readers I have compiled the available schemes under which the Agripreneurs may avail subsidies. The details of the schemes could be downloaded from the indicated links.

Besides these schemes state govt also announces various developmental schemes for the benefit of Agripreneurs. You are requested to be vigilant and avail the schemes for the benefit of your Agri-projects. Any support needed, please feel free to contact us.


A. National Horticulture Board (NHB)

Setting up of cold storage (of capacity above 5000 MT and up to 10000 MT) and their modernization are eligible for assistance under the NHB Scheme of Capital Investment subsidy for construction/ expansion/ modernization of cold storage for Horticulture Products (a sub scheme under MIDH). It is open ended credit linked scheme with scale of assistance @ 40% of capital cost of project limited Rs 30.00 lakhs per project in general area and 50% limited to Rs 37.50 lakhs per project in case of NE, Hilly & amp (Click for Details)

B. National Horticulture Mission (NHM)

Cold storage (long term storage and distribution hubs) up to 5000 MT capacity are eligible for assistance under the open-ended scheme of NHM/ HMNEH (a sub scheme of MIDH). The assistance is extended as subsidies to credit linked projects @ 35% of capital cost of project in general area and 50% in case of Hilly & Scheduled area. Operational Guidelines for Mission for Integrated Development of Horticulture (MIDH) (Relevant Pages 21, 47 and 48). (Click for Details)

C. Small Farmer Agri-Business Consortium (SFAC) assistance to cold storage

Setting up of cold storage as a part of a integrated value chain project are eligible for subsidy provided the cold storage component is not more than 75% of TFO (Total Financial Outlay). The scale of assistance as subsidy to projects is @ 25% of capital cost and maximum ceiling to Rs 2.25 crores in general area and 33.33% and maximum ceiling up to Rs 4 crores in case of NE, Hilly & Scheduled area. Integrated Scheme for Agricultural Marketing (ISAM)-Operational Guidelines. (Click for Details)

D. Agricultural and Processed Food Products Export Development Authority (APEDA) assistance for cold chain

(Click for Details) Setting up of cold chain are assisted by APEDA as a part of strategy to develop the industries relating to the scheduled products (click for list of products) for export. The Scale of assistance as 40% subsidy subject to a limit of Rs 75 lakhs for cold chain projects with mechanized handling system. Agriculture Export Promotion Plan Scheme for XII Plan.

E. Development Commissioner Micro, Small and Medium Enterprises (MSME)

(Click for Details) Are implementing scheme for promotion and technology up gradation of Small Scale Industries (SSI). (Click for Details). Under the scheme Credit Linked Capital Subsidy Scheme (CLCSS) DC MSME provides subsidy at the rate of 15% of the investment in plant and machine to micro and small manufacturing enterprises (MSEs). Maximum amount of subsidy is Rs 15 lakhs and maximum ceiling of investment in plant and machinery is Rs 1 crores . (Click for Details)

Food Processing Unit

Under Horticulture Mission For North Eastern Region and Himalayan States (HMNEH) a sub scheme of MIDH Food processing units for horticulture products are extended credit linked back ended capital investment assistance of 50% of project cost (ceiling amount of project cost is Rs 8 crores ) in the States of J&K, Himachal and Uttarakhand. (Relevant page 49) (Click for Details)

F. Venture Capital by Small Farmer Agri-Business Consortium (SFAC)

SFAC extents venture capital assistance in form of equity to agribusiness projects. The quantum of SFAC support is 26% of promoter’s equity or amount of Rs 50 lakhs whichever is lower in general area and 40% of the promoter equity or amount of Rs 50 lakhs whichever is lower in Hilly and NE regions. This venture capital is repayable to SFAC after the repayment of term loan.

Operational Guidelines for Venture Capital Scheme for Agribusiness Development- XII Plan 2012-2017 (Click for Details)

G. Venture Capital by SIDBI Venture Capital Ltd. (SVLC) Funds Details of SVLC.

(Click for Details) Extents support to MSME through one of its scheme Smaridi Fund with a corpus of Rs 450 crores invested by Department for International Development (DIFD) UK and SIDBI. The scale of support is between Rs 5 to Rs 25 Crores in form of equity and convertible instrument payable after 7 years. (Click for Details)

H. Ministry of Micro, Small and Medium Enterprise

To promote innovation and entrepreneurship culture at grassroots level, Ministry of MSME under its scheme for Promotion of Innovation, Entrepreneurship and Agro Industry have been allotted budget of 210 crores. (Click for Details)

I. Pradhan Mantri Kaushal Vikas Yojana (PMKVY)

Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is the flagship outcome-based skill training scheme of the new Ministry of Skill Development & Entrepreneurship (MSDE). The objective of this skill certification and reward scheme is to enable and mobilise a large number of Indian youths to take up outcome-based skill training and become employable and earn their livelihood. Under the scheme, the monetary reward would be provided to trainees who are successfully trained, assessed and certified in skill courses run by affiliated training providers. The scheme will be implemented through the National Skill Development Corporation (NSDC). (Click for Details)

Table 1: various schemes for Agriculture & Horticulture projects (Table is on top)


Pradhan Mantri Kisan SAMPADA Yojana

· About PMKSY Scheme

· Mega Food Park

· Cold Chain

· Creation/ Expansion of Food Processing/ Preservation Capacities (Unit Scheme)

· Agro-Processing Cluster

· Creation of Backward and Forward Linkages

· Food Safety & Quality Assurance Infrastructure

· Human Resources and Institutions

· Operation Greens


· About Scheme

· Incentives on Sales & Investment

· Incentives on Innovative/ Organic Products to SME

· Incentives for Branding & Marketing

· Download Circulars

· Visit PLISFPI Portal


Source: The compiler of these schemes is a “Dairy Business Guru”, M/s Dairy Consultancy, Bangalore, India, Ex-NDDB Can be contacted at: +91 8073147467; email:;

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