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Capital Investment subsidy scheme for construction/expansion/ modernization of cold storage and storages for Horticulture Produce.

Capital Investment subsidy scheme for construction/expansion/ modernization of cold storage and storages for Horticulture Produce.
Most of our horticultural produce like fruits, vegetables, Red Chilies, Turmeric, Tamarind and other Horticulture produce, are wasted, mainly on account of poor cold storage and other storage facilities. When it comes to, a capital investment subsidy scheme for construction/expansion/modernization of cold storage and storages for horticulture produce has been introduced. It might help in minimizing post-harvest losses being suffered by farmers, particularly small and marginal farmers. The scheme is implemented by National Horticulture Board (NHB), Ministry of Agriculture. during this article, we glance at the Capital Investment Subsidy Scheme for Horticulture intimately.

Objectives of the Scheme

The main objectives of the Capital Investment Subsidy Scheme for Horticulture is given below:
• To promote setting up of cold storages in the country for reducing post-harvest losses.

Capacity and Pattern of Assistance: –

The assistance will be given as subsidy @35% of the Capital cost of project in general areas and 50% in case of NE, Hilly states & Scheduled Areas for a storage Capacity above 5000 MT up to 10000 MT.
In case of North East States, projects with a capacity of 1000 MT or above are also eligible for application and consideration.

Eligible Firms are:

Unless otherwise specified, organizations/promoters, such as Association of Growers, Individuals, group of farmer growers/consumers, Farmers Producer Organizations (FPOs,) Partnership/Proprietary Firms, Self Help groups (SHGs), NGOs, Companies, Corporations, Cooperatives, Co-operative Marketing Federations, Agricultural Produce Marketing Committees, Marketing Boards/Committees, Municipal Corporations/ Committees, Agro Industries Corporations, SAU’s and other concerned R&D organizations are eligible to get assistance under all the NHB schemes.

Components

Credit linked projects relating to Cold Storages including Controlled Atmosphere (CA) and their Modernization are eligible for assistance under this component.

Subsidy Cost Norms:

SN

Description

Cost Norms

1 Cold storage units Type 1 – basic mezzanine structure with large chamber (of > 250 MT) type with single temperature zone. • @ Rs. 8000/ MT for capacity upto 5000 MT.

• @ Rs. 7600/ MT for capacity between 5001 to 6500 MT.

• @ Rs. 7200/MT for capacity between 6501 to 8000 MT.

• @ Rs. 6800/MT for capacity between 8001 to 10000 MT.

2 Cold storage units Type 2 – Pre Engineering Building (PEB) Type for multiple temperature and product use , more than 6 chambers of <250 MT) and basic material handling equipment • @ Rs.10000/ MT for capacity upto 5000 MT.

• @ Rs. 9500/ MT for capacity between 5001 to 6500 MT.

• @ Rs. 9000/MT for capacity between 6501 to 8000 MT.

• @ Rs. 8500/MT for capacity between 8001 to 10000 MT.

3 Cold Storage Units Type 2 with add on technology for Controlled Atmosphere. Additional Rs. 10,000/MT for add on components of controlled atmosphere technology as per component wise cost.
CA stores are considered only in production areas for crops / commodities having NHB technical standards
4 Technology induction and modernization of cold chain • @ Rs. 5000/MT, for capacity between 5001 to 10000 MT.

• Components of modernization includes PLC equipment, packaging lines, dock levelers, advanced graders, alternate technologies, stacking system, modernization of insulation and refrigeration etc.

1. Technology Add on for CA and Modernization (Subsidy to maximum of Rs. 50 crores for CA equipment and Rs. 2.50 crores modernization).

S. No. Item Description

Admissible Cost

A. Add-on Technology for CA
i CA Generator* Inclusive of sensors, pressure equalizing equipment, controls Rs. 1.25 crore per unit, maximum 2 generators
ii Specialised CA Doors* Add-on specialization to storage doors for positive pressure chambers. Rs. 2.5 lac per door, maximum 20 doors
iii CA Tents Low cost enclosure of polyethylene PVC, mylar or other impermeable body As per original invoice, maximum 5 enclosures
iv Programmed Logic Controller (PLC) equipment Electronic and electrical logic controls for machinery & equipment. 50% of cost as per original invoice, maximum Rs 10 lakh
v Dock Levelers In existing or new storages Max Rs. 7 lakh per unit, max 5 units
B. Modernization
i Warehouse Development & Regulatory Authority (WDRA) / Negotiable Warehouse Receipt (NWR) system, equipment#@ Computers and printers & software for use with NWR of WDRA 100% of cost as per original invoice, maximum Rs. 2 lakh
ii Specialized Packaging# Automated packaging lines for fruits & vegetables with farm code labeling 100% of cost as per invoice, maximum Rs. 15 lakh per project
iii High Reach Material Handling Equipment (MHE)*@ Specialized material Handling equipment Rs. 17 lakh per unit, for max 2 units.
iv Dock Levelers In existing or new storages Max Rs. 7 lakh per unit, max 5 units
v Modernization of refrigeration@ For upgrading of evaporator system, compressor system 50% of cost as per original invoice, maximum Rs. 100 lakh @ Rs. 2500/MT
vi Modernization of insulation@ For repair or modernizing of cold chamber insulation 50% of cost as per original invoice, maximum Rs.100 lakh @ Rs. 1500/MT
vii Reefer Container# Reefer container for use on existing chassis trailers Max Rs. 6 lakh per 9MT (20 foot container)
viii Advanced Grader*#@ Computerized, Optical Grading Lines 100% of cost as per original invoice, max Rs. 75 lakh per line
ix Stacking system*#@ Racking system Bins, Pallets 100% of invoice cost, max Rs 2000/MT
x Retail Shelf# Temperature controlled retail cabinets Maximum Rs. 10 lakhs per establishment
xi Alternate Technology#@ Vapor Absorption, Phase change material, Solar PV panels or Solar Thermal sys 100% of cost as per invoice, maximum Rs. 35 lakhs per project

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Authors Bio:-

Sudheer Varma Vegesna

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