The Cabinet has approved the continuation of Animal Husbandry Infrastructure Development Fund (AHIDF), launched in 2020-21, to be implemented under the Infrastructure Development Fund (IDF) with an outlay of ₹29,610.25 crore up to 2025-26.
“The scheme will incentivise investments for dairy processing and product diversification, meat processing and product diversification, animal feed plant, breed multiplication farm, animal waste to wealth management (agri-waste management), veterinary vaccine and drug production facilities,” the government said in a statement.
Under AHIDF, the Centre provides 3 per cent interest subvention for eight years including two years of moratorium for loan up to 90 per cent from any scheduled commercial bank and National Cooperative Development Corporation (NCDC), NABARD and NDDB. Individuals as well as private companies including farmer producer organisations (FPOs), micro, small and medium enterprises (MSMEs) and dairy cooperatives are eligible to avail the credit at subsidised interest rate. The funding is basically intended for modernisation and strengthening of the dairy plants.
Credit guarantee
The government also provides credit guarantee to the MSME and dairy cooperatives up to the 25 per cent of the credit borrowed from the Credit Guarantee Fund of ₹750 crore.
So far, AHIDF has created additional 141.04 lakh litre per day (LLPD) of milk processing capacity, 79.24 lakh tonnes (lt) of feed processing capacity and 9.06 lt of meat processing capacities, an increase of 2-4 per cent in the overall processing capacity in dairy, meat and animal feed sector. It has benefitted about 15 lakh farmers directly/indirectly and 20 lakh more farmers could be benefitted with the continuation.
After inclusion of new activities like technologically-assisted breed multiplication farms, strengthening of veterinary drugs and vaccine units, animal waste to wealth management, the scheme will exhibit a huge potential for the upgradation of infrastructure in livestock sector, the government said.