Our farmer group wants a small pack house to grade, sort and pack produce. What does it involve and is there government support?
5 Answers
A pack house is a facility to receive, clean, grade, sort and pack fruits and vegetables, often with a sorting line, washing, grading tables and sometimes a small cold room, which raises quality and price and is often needed for distant or export markets. Setting one up needs a suitable shed, basic equipment, water and power, and trained staff, and the size should match your group's volume. Government support is available, since horticulture schemes under MIDH and NHB, and the Agriculture Infrastructure Fund for post harvest infrastructure, offer subsidy or low cost credit for pack houses and primary processing, especially for FPOs and groups. Prepare a project report with realistic volume and costs, and apply through your state horticulture department or the relevant scheme. Verify the current subsidy rate, eligibility and ceiling before investing, as these vary by state and scheme.
Our FPO built a small pack house with scheme support and now we grade and pack ourselves, getting a better rate than selling ungraded. Get a proper project report ready and apply through horticulture for the subsidy.
Our FPO built a small pack house with scheme support and now we grade and pack ourselves, getting a clearly better rate than selling ungraded. Get a proper project report ready with realistic volume and apply through horticulture. Match the size to your group's actual produce.
Before building, our group first hired time at an existing pack house nearby for a season to learn the work and test whether grading actually fetched us a better rate. It did, so the investment felt safer. If a pack house exists near you, consider using it on rent first rather than building straightaway, especially while your volume is still small.
Look into the Agriculture Infrastructure Fund and MIDH or NHB horticulture schemes, which offer subsidy or low cost credit for post harvest infrastructure, especially for FPOs. The rates and ceilings vary by state and year, so verify the current eligibility before investing. A pack house only pays if your volume justifies it.