Government Boosts Cold Storage Infrastructure for Horticultural Produce

To boost cold storage Infrastructure nationwide, the government is introducing a range of financial assistance schemes designed to enhance the handling and preservation of perishable horticultural products. These measures are part of a larger strategy to strengthen agricultural infrastructure and cut down on post-harvest losses.

Mission for Integrated Development of Horticulture (MIDH)

The Department of Agriculture & Farmers Welfare is spearheading the Mission for Integrated Development of Horticulture (MIDH), which offers financial aid for various horticultural activities. This includes the construction, expansion, and modernization of cold storage units with capacities up to 5000 MT. The financial support is contingent upon the Annual Action Plan (AAP) submitted by States and Union Territories, reflecting their specific needs and resources.

The MIDH scheme provides credit-linked, back-ended subsidies of 35% of the project cost in general areas and 50% in hilly and scheduled regions. Assistance is available to a wide range of beneficiaries, including individuals, farmer groups, companies, cooperatives, and local bodies.

National Horticulture Board (NHB) Initiatives

Additionally, the National Horticulture Board (NHB) manages a scheme known as the “Capital Investment Subsidy for Construction/Expansion/Modernization of Cold Storages and Storage for Horticulture Products.” This initiative offers a 35% subsidy for projects in general areas and a 50% subsidy for those in the North East, hilly, and scheduled areas.

The scheme supports the construction and expansion of cold storage and Controlled Atmosphere (CA) storage facilities with capacities between 5000 MT and 10000 MT. Notably, units in the North East region with capacities above 1000 MT are also eligible.

Ministry of Food Processing Industries (MoFPI) Scheme

Under the Pradhan Mantri Kisan Sampada Yojana (PMKSY), Ministry of Food Processing Industries (MoFPI) runs the Scheme for Integrated Cold Chain, Food Processing, and Preservation Infrastructure. This scheme aims to minimize post-harvest losses and ensure better prices for farmers.

It provides grant-in-aid at rates of 35% for general areas and up to 75% for North East and Himalayan States, ITDP areas, and Islands. However, it excludes standalone cold storages, focusing instead on integrated cold chain projects that may include irradiation facilities, with a maximum grant of Rs. 10 crore per project.

Agriculture Infrastructure Funds (AIF)

In a further boost to agricultural infrastructure, the government has introduced Agriculture Infrastructure Funds (AIF), with a total allocation of Rs. 1 lakh crore. The AIF provides collateral-free term loans up to Rs. 2 crore, along with a 3% interest subvention for loans used to create post-harvest infrastructure, including cold storage facilities.

These comprehensive schemes reflect the government's dedication to improving agricultural efficiency and supporting the horticultural sector by improving cold storage infrastructure across the country.