NHB Subsidy: New Financial Support for Cold Chain Development 2024
National Horticulture Board offers significant capital subsidies for developing cold chain infrastructure and integrated post-harvest management units.
The National Horticulture Board (NHB) has released updated guidelines for its flagship scheme, 'Capital Investment Subsidy for Construction/ Expansion/ Modernization of Cold Storages and Storages for Horticulture Products.' This initiative is aimed at reducing post-harvest losses and boosting the export potential of Indian perishable goods. Under this scheme, eligible projects can receive a back-ended capital subsidy ranging from 35% to 50% of the project cost, depending on the geographic location and category of the promoter.
Key points
- Project Scope: Funding is available for high-tech cold storage units, controlled atmosphere (CA) storage, and refrigerated transport vehicles.
- Eligibility: MSMEs, Farmer Producer Organizations (FPOs), and individual entrepreneurs engaged in horticulture exports are encouraged to apply.
- Application Process: Applicants must obtain a Preliminary Project Report (PPR) and apply for In-Principle Approval (IPA) before commencing civil work.
As per the NHB Scheme Guidelines, credit-linked support is mandatory, meaning the project must be financed by a bank or financial institution. This subsidy acts as a significant financial cushion for SMEs looking to upgrade their supply chain to meet international quality standards for European and Middle Eastern markets.