Union Minister of Fisheries, Animal Husbandry and Dairying, Giriraj Singh today launched the Implementation Guidelines for Animal Husbandry Infrastructure Development Fund (AHIDF) worth Rs. 15,000 crores, which was approved by the Union Cabinet on 24.06.2020 under the Atma Nirbhar Bharat Abhiyaan stimulus package for ensuring growth in several sectors, says PIB press release.
Union Minister of State for Fisheries, Animal Husbandry and Dairying Pratap Chandra Sarangi was also present on the occasion.
While announcing the Animal Husbandry Infrastructure Development fund (AHIDF),Giriraj Singh said that India is engaged in breed improvement to increase milk production and on the other hand also taking care of the processing sector.
India is producing milk of 188 million tonnes and by 2024 the milk production is expected to rise up to 330 million tons. Only 20-25% milk is coming under processing sector and Government is trying to bring the same upto 40%.
He also informed that the Dairy Processing Infrastructure Development Fund (DIDF) is being implemented for infrastructure development in cooperative sector and AHIDF is a first type of scheme for private sector. Millions of farmers will be benefited once the infrastructure is created and more milk will be processed. This will also increase export of dairy products which is presently negligible. India needs to go up to the standards of countries like New Zealand in the Dairy sector. He expressed satisfaction that during Covid-19 lockdown, dairy farmers could maintain steady supply of milk to the consumers in the country.
cture for dairy and meat processing and value addition infrastructure and establishment of animal feed plant in the private sector.
Who will be the eligibile beneficiary for DIDF Scheme?
The eligible beneficiaries under the Scheme would be Farmer Producer Organizations (FPOs), MSMEs, Section 8 Companies, Private Companies and individual entrepreneurs with minimum 10% margin money contribution by them. The balance 90% would be the loan component to be made
available by scheduled banks. Government of India will provide 3% interest subvention to eligible beneficiaries. There will be 2 years moratorium period for principal loan amount and 6 years repayment period thereafter.
Govt to Set up Credit Guarantee Fund of Rs. 750 Crore
Government of India would also set up Credit Guarantee Fund of Rs. 750 crore to be managed by NABARD. Credit guarantee would be provided to those sanctioned projects which are covered under MSME defined ceilings. Guarantee Coverage would be upto 25% of Credit facility of borrower. The beneficiaries intending to invest for establishing dairy and meat processing and value addition infrastructure or strengthening of the existing infrastructure can apply for loan in the scheduled bank through “Udyami Mitra” portal of SIDBI.
There is huge potential waiting to be unlocked in investment through private sector. The INR 15,000 crore AHIDF and the interest subvention scheme for private investors will ensure availability of capital to meet upfront investment required for these projects and also help enhance overall returns/ pay back for investors. Such investments in processing and value addition infrastructure by eligible beneficiaries would also promote export of these processed and value added commodities.
