Even as distressed youth dump farming and turn to cities in search for remunerative jobs, the Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF), with support from the State government, is pushing for commercial dairy farming among rural youth.

A scheme floated by the State government and being implemented by the Amul marketer is seen as an answer to receding interest of youth from farming and animal husbandry. As a consolidated incentive package for cattle rearing, the “12-cattle scheme” provides an earning potential of ₹35,000-40,000 a month for a family.

Announced in February this year, the scheme was rolled out recently with a deadline up to August 31 for online application.

‘Good response’

“We are getting a good response. Against the target to cover 5,000 families initially, we have received about 50 per cent applications so far,” said RK Patel, Deputy Director (in-charge) of the livestock branch of the Directorate of Animal Husbandry in Gujarat. Those applying for the scheme include young farmers who are venturing into cattle rearing for the first time, besides small milk producers wanting to expand their cattle base.

According to Patel, farmer families, however, are facing difficulties in securing loans from banks.

“There is less awareness about the documentation requirements. Also, because of the new consolidated scheme, banks are reluctant to lend in rural areas fearing recovery issues and NPAs. The scheme is taking some time to trickle down in the banking system. Efforts are being made to make it smooth for farmers to secure loans,” said another official involved in the implementation.

The web applications will be scrutinised, and based on eligibility, basic approval will be accorded before final approval for subsidy disbursements from the government.

₹5.50 lakh assistance

As per the scheme, a qualified beneficiary is entitled for State assistance of up to ₹5.50 lakh on various components of dairy farming, including 12 per cent interest subsidy, cattle-shed assistance of up to ₹2.25 lakh, up to 90 per cent assistance on cost of 3-year insurance for animals and the equipment required for milking. To qualify, an applicant needs to have land in his possession.

The existing assistance model has different schemes for different components of cattle and dairy development. “But now we have combined all these components under one unified scheme. A farmer can apply as an entrepreneur using this single scheme and start commercial dairy farming,” Patel said.

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