NABARD Subsidy for Food Grain Storage Godown
Are you dealing in Food Grain Business like Rice mill, Flour mill, Oil mill, Food Processing Unit, Cold Chain, Primary Processing Unit Etc.
If Yes, Then there is a good news for you.
National Bank For Agriculture And Rural Development (NABARD) has introduces a Credit Linked Capital Subsidy scheme for the Construction of Godown for Agriculture Produce.
As per the your business nature, Storage of Food Grain is a major need. You can explore more profit through having storage facility in your business.
Under this scheme, You can avail maximum subsidy of Rs. 50 Lakhs for Warehouse Construction.
Here important point is that it is a Credit Linked Subsidy Scheme. It means in order to avail subsidy benefits you have to take Bank Term Loan for construction of warehouse.
So. let’s know some brief of this scheme.
Who can apply :
- Any Individual
- Group of Farmers
- Cooperative Societies
- Partnership/Proprietary firms
- Self Help Groups
Timeline to Apply :
As per the latest circular of NABARD, you can apply under this scheme on or before 31st March, 2023
Here important point is that Your First installment of loan should be disbursed on or before 30th September 2022. So you need to plan accordingly for bank loan.
In this NABARD Subsidy Scheme you can avail subsidy on Maximum 5,000 MT Storage capacity of warehouse. In other word, if you are planning to construct 6000 MT Storage Capacity Godown then You can take the subsidy on up to 5000 MT storage Capacity.
Permissible Cost of Construction:
As per Scheme, NABARD has allowed the Maximum Permissible Cost of Construction is Rs. 3000/- Per MT.
For example you are going to construct Godown of 5000 MT and you have incurred the cost of Rs. 4000/- Per MT. Accordingly your total cost of construction has come of Rs. 2.00 Cr. But for the purpose of Subsidy Calculation, it will be counts as of Rs. 1.50 Cr. (5000 MT * Rs. 3000 Per MT).
Rate of NABARD Subsidy:
- For Registered FPOs, Panchayats, Women, SC, ST & Self Help Groups the rate of subsidy is 33.33% subject to Maximum of Rs 50 Lakhs.
- For all other category of beneficiary the rate of subsidy is 25% subject to Maximum of Rs 37.50 Lakhs.
So if you want to construct warehouse you can take timely benefit of this NABARD Subsidy Scheme.
If you want to know more about this scheme or you want to know the procedure then share about your business plan on this link.
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