Overview of schemes that support cold storage and godown construction and where to apply.
3 Answers
Support for building cold storage and godowns comes through a few routes, and exact rates and ceilings change, so treat this as a map and verify the current numbers. For cold storage and other horticulture post-harvest infrastructure, the Mission for Integrated Development of Horticulture (MIDH) and NABARD or NHB channels offer credit-linked back-ended subsidy on eligible project cost, with the rate often higher for hilly and special category areas. The Agriculture Infrastructure Fund (AIF) gives an interest subvention on loans for post-harvest infrastructure such as warehouses, cold stores, grading and packing units, which lowers your effective interest for a number of years. Some states run their own top-up schemes too. The usual path is: prepare a detailed project report, apply to a bank for the loan, and route the subsidy claim through the implementing agency for the relevant scheme. Eligibility, subsidy percentage, project cost ceiling and whether it is for individuals, FPOs or entrepreneurs all vary by scheme and state. Verify the current eligibility and rates with your district horticulture or agriculture office, NABARD and your bank before you plan.
We combined the AIF interest subvention with a state top-up for our FPO godown. The interest saving over the years was the part that made the loan affordable.
A good detailed project report is half the battle. The bank and the agency both want clear numbers on capacity, utilisation and repayment.