Capital Investment subsidy scheme for construction/expansion/ modernization of cold storage and storage for Horticulture Produce.
About NHB Subsidy Cold Storages
The term NHB stands for ‘National Horticulture Board. The NHB was established by the government of India in the year 1984. It is an autonomous organization that comes under the rule of the Ministry of Agriculture and Farmers Welfare. The main headquarters of NHB is at Gurugram. Currently, there are 28 NHB offices across the country.
Few prime objectives of NHB are to form production clusters for integrated hi-tech commercial horticulture, create awareness among the public regarding horticulture, make sure that good quality planting material is available, adapt to new technologies for hi-tech commercial horticulture, improvement in post-harvest and cold chain infrastructure, etc.
The applicant must go through all the instructions provided by NHB before making an IPA (In-Principle Approval) application like getting an IPA & GOC is a must begin the whole process of the claim under schemes of NHB.
The project on which the applicant is asking for a claim must be new, it cannot be an old project and not even a pre-existing project then only it will be considered by the NHB. The applicant must have a ‘clear land title’ or ‘registered leasehold right’ over the land. The piece of land should be in the name of the applicant. These are some pointers that the applicant should keep in mind before applying.
Process of Acquiring NHB Subsidy Cold Storages
NHB has a fixed set of rules and regulations and you can visit their website to obtain a deeper understanding of the procedure. All the guidelines must be strictly followed by the applicant to obtain the claim.
These rules are known as ‘Rules of the National Horticulture Board. If you need to get NHB subsidy cold storage, you will have to navigate through a series of steps and they are as follows:
1. In order to kick start the procedure, firstly one has to put an application for the IPA that is the 1st sanction along with all the necessary company registration documents such as project report, basic datasheet, lease deed of land/ sale deed, approved blueprint and change of land (CLU).
2. Then, the technical experts analyze the basic datasheet and the NHB members conduct a pre-inspection of the project site.
3. Following this, the application is further sent to the committee meeting. If the application gets a green flag from the committee then only IPA is granted.
4. Once, the term loan gets sanctioned by the bank, you need to apply for Grant of Clearance (GOC – 2nd sanction) accompanied by the term loan sanction letter, legal Search report, and appraisal note. Make sure that you apply for the grant of clearance within a period of 6 months from the date of issuance of IPA.
5. Subsequently, the GOC application will be reviewed by NHB. When the application gets approved by the main authority then the grant of clearance will be released. The applicant can save some time by applying for both the IPA and grant of clearance at the same time, only if the term loan has been approved by the respective bank.
6. The applicant can commence the process of construction as soon as he/she receives the grant of clearance and can also get a hold of the disbursement of the term loan.
7. The project should be finalized within a span of 18 months from the date of 1st disbursement of the term loan. When the project gets completed, the applicant must submit all the project completion documents to NHB.
8. After the completion of all the documents, the team of NHB will organize another joint inspection and later will provide a JIT (Joint Inspection Team) report to NHB along with their recommendations.
9. At the end of the process, the JIT report will be presented to the committee in a committee meeting. If the report gets a clean chit from the panel then the total eligible subsidy will be transferred to your bank directly.
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