National Horticulture Board, Ministry of Agriculture, Government of India, September,2014.
National Horticulture Board is the Central Horticulture Department that gives Central Subsidy - 35% or 50%.
1) Development of Commercial Horticulture through Production and Post Harvest Management of Horticulture Crops:
Credit linked projects relating to establishment of commercial production units in open field as well as under protected conditions and projects on Post harvest Management and primary processing of products are eligible for assistance under this scheme as per cost norms given in Annexure- III. However, release of Subsidy need not be credit linked in North Eastern States and for the institutions like Public Sector Units, Panchayats, cooperatives, registered societies/trust and public limited companies provided they can meet remaining share of the project cost out of their own resources. Such projects will have to be appraised by appraising agency approved by NHB.
Description of components and Pattern of Assistance:
1.1) Commercial Horticulture Development in open field conditions on project mode:
National Horticulture Board will take up integrated commercial horticulture development projects in open field conditions on project mode, including components viz. planting material, plantation, irrigation, fertigation, mechanization, precision farming, GAP etc. for projects covering area over 2.00 ha. (5 Acres) Integration of production unit with on farm PHM components and primary processing unit shall also be allowed in project mode. Cost of raising new plantation will vary from crop to crop, which will be taken into consideration while providing assistance to the beneficiary. Integrated production unit on Mushroom and tissue culture shall also be eligible for assistance under this component. The components like farm machinery and PHM infrastructure, irrigation and micro irrigation etc shall be eligible under the scheme for assistance in existing/new orchards/projects to increase productivity.
Pattern of assistance:
Credit linked back-ended subsidy @ 40% of the total project cost limited to Rs 30.00 lakh per project in general areas and @ 50% of project cost limited to Rs. 37.50 lakh in HMNEH States (NE Region & Himalayan States) and Scheduled areas.
1.2) Commercial Horticulture Development in protected cover on project mode:
The Board will also take up commercial horticulture development projects under protected cover on project mode including components viz planting material, plantation, irrigation, fertigation, mechanization, etc for projects having area over 2500 sq meter. Activities like construction of green houses, shade net house, plastic mulching, and plastic tunnel, anti bird /hail nets etc would be promoted. Provision has been made for selecting a variety of construction material for green houses and shade nets houses. Preference will be given to using locally available material to minimize cost of construction of such structures. However, for availing subsidy, all material /technology should conform to prescribed standards.
Pattern of assistance:
Credit linked back-ended subsidy @ 50% of the total project cost limited to Rs 56.00 lakh per project as per admissible cost norms for green houses, shade net house, plastic tunnel, anti bird /hail nets & cost of planting material etc.
1.3) Integrated Post Harvest Management projects:
The Board will take up Integrated Post Harvest Management projects relating to Pack House, Ripening Chamber , Refer Van , Retail Outlets, Pre- cooling unit, Primary processing etc . NHB will also take up projects in component mode and for standalone projects of PHM components.
Pattern of assistance:
Credit linked back-ended subsidy @ 35% of the total project cost limited to Rs 50.75 lakh per project in general area and @ 50 % of project cost limited to Rs. 72.50 lakh per project in HMNEH States and Scheduled areas.
1.4) General conditions:
I. Credit component as means of finance of the project should be term loan from banking or non banking financial institutions. For credit linked projects under NHB, eligible subsidy amount to be capped at par with term loan sanctioned by the lending Banks/FI
II. Normative cost of various components shall be prescribed by NHB.
III. Benefit of exclusive components of cold storage scheme shall also be available to the promoters over and above the assistance that will be provided under Commercial Horticulture Scheme to set up integrated projects for production and PHM components.
IV. Projects relating to setting up of new units shall be technically and financially appraised to ensure and enable entrepreneur to incorporate latest available technology.
V. Assistance can also be availed for a combination of PHM infrastructure components by a beneficiary, within the prescribed norms of individual items.
2) Capital Investment subsidy scheme for construction/expansion/ modernization of cold storage and storages for Horticulture Products:
2.1) Description of components and Pattern of Assistance:
Components: Credit linked projects relating to Cold Storages including Controlled Atmosphere (CA) and their modernization are eligible for assistance under this component. Subsidy need not be credit linked for the institutions like Public Sector Units, Panchayats, cooperatives, registered societies/trust and public limited companies provided they can meet remaining share of the project cost out of their own resources. Such projects will have to be appraised by appraising agency approved by NHB.
2.2) 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 HMNEH States & Scheduled Areas for a storage capacity above 5000 MT up to 10000 MT except for NE Region where capacity of 1000 MT or above is eligible .