The Ministry Of Food Processing Industries (MOFPI) in India, provides cold chain subsidy scheme as the financial assistance to the entrepreneurs. The scheme is to protect the perishable items of horticulture and livestock product from the damage. Moreover, the products include livestock products with milk products, vegetables, and fruits.
Generally, cold chains play an important role in post-harvest management and storage of the perishable items. Cold chain arrangement includes cold storage, cold transportation, and other value-added preservation infrastructure. Basically, cold chain helps to extend and ensure the shelf life of the above-mentioned perishable products.
Objective Of The Cold Chain Subsidy Scheme
- First of all, providing integrated and complete cold chain and preservation infrastructure facilities without any break, from the farm gate to the Consumer.
- To enable linking groups of producers to the processors and market through the well-equipped supply chain.
- To establish value addition with infrastructural facilities like sorting, grading, packaging, and processing for horticulture including organic produce, marine, dairy, poultry, etc.
Eligibility Criteria For The Cold Chain Subsidy Scheme
- First of all, the applicant must have a sound financial background. You must have a Net worth more than 1.5 times of the grant applied for.
- The term loan of at least 10% of the project cost.
- Project Appraisal Report from Bank/Financial Institution. The Appraisal must contain all the project components for which grant is sought.
- Date of commercial production should not be prior to the date of submission of application.
- Finally. no second proposal from the same applicant / company.
Eligible Projects Under The Cold Chain Subsidy Scheme
- First of all, minimal Processing Centre at the farm level. Furthermore, it includes facilities such as weighing, sorting, grading waxing, packing, pre-cooling, Controlled Atmosphere (CA) / Modified Atmosphere (MA) cold storage, normal storage, and IQF.
- Mobile pre-cooling vans and reefer trucks.
- Distribution hubs with multi-product and multi-CA /MA chambers, cold storage /Variable Humidity Chambers, Packing facility, CIP Fog treatment, IQF, Ripening chamber and blast freezing.
The scheme provides grant-in-aid @ 50% of the total cost of Plants & Machinery and Technical Civil Works in general areas. Furthermore, it provides 75% for NE Region and difficult areas subject to a maximum of Rs.10.00 crore.
Any individual and corporate entity can apply for this funding assistance. However, you must have a business interest in providing cold chain solutions. Furthermore, you must link the producers to the processors and the market.
Editorial Staff at NextWhatBusiness is a team of Business Consultants having years of experience in small and medium scale businesses.