Opportunities for FPOs in Agricultural Schemes and Financial Assistance

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This content highlights various reservation and financial assistance opportunities for Farmer Producer Organizations (FPOs) under existing schemes by the Ministry of Agriculture & Farmers Welfare. It includes details about the allocation of funds, physical targets, subsidy components, eligibility criteria, beneficiary contributions, and access to credit guarantee loans. FPOs can benefit from schemes focusing on micro-irrigation, post-harvest management, marketing infrastructure, horticulture development, and bamboo cultivation. The content emphasizes the support available for FPOs in enhancing their agricultural activities and infrastructure development.

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Convergence Opportunities for FPOs

Reservation made for FPOs under the existing Schemes of the Departmant.

Ministry Of Agriculture & Farmers Welfare 1 3

Reservation Made for FPOs under Existing Scheme # Section Scheme Assistance for FPOs Financial Assistance of 140 Crore (BE). Physical allocation of 55,000 Ha (under Micro Irrigation) through Cluster & PPP approach for FPOs. Beneficiary contribution stipulated under the scheme would be 55% of the cost of Micro-Irrigation system. Administrative institutional charges @3% of the cost of the project. https://www.myscheme.gov.in/schemes/pmksypdmc Rainfed Farming System Per Drop More Crop (PDMC) under RKVY 1 Overall Financial allocation Rs 1534.73 Cr for 2023-24 Targeted allocation for FPOs made under the scheme are decided and approved by the SLSC of the State https://www.myscheme.gov.in/schemes/rkvy 2 RKVY Division RKVY-DPR Components Post-harvest management and marketing infrastructure accessible via state-led schemes. States to decide on activities and provisions in the Annual Action Plan (AAP). A minimum of 5% of physical and financial targets in the approved AAP 2023-24 should be allocated to FPOs. Assistance will be provided @ 100% of total cost to public sector where estimated cost of vegetable seed production is Rs. 35,000 per ha for open pollinated crops andRs. 1.50 lakh per ha for hybrid vegetable seeds. https://www.myscheme.gov.in/schemes/midh Mission on Integrated Development of Horticulture (MIDH) 3 MIDH division Page 4 23 September 2024 Presentation title

Reservation Made for FPOs under Existing Scheme # Section Scheme Assistance for FPOs Financial target grant aid of Rs 14 crore from overall Rs 280 Cr as a subsidy component. Physical target storage component- 50,000 MT (4 projects) from 10 Lakh MT. Eligibility- Individuals, agripreneurs, farmers, FPOs, cooperatives, and state agencies. FPOs can receive 33.33% subsidy for developing AMI projects. FPOs Beneficiary contribution- Minimum promoters- 20% of project cost (may vary from 20-50% of the TFO)) Minimum term loan 50% of project cost (may vary 50-80% of the TFO) FPOs can availed maximum Rs 50 lakh for storage & Rs 30 Lakh for non-storage https://www.myscheme.gov.in/schemes/ami Rs. 5,000.00 Cr. (5% of the total loan amount of Rs. 1 lakh Crore) is earmarked for FPOs. FPOs can access credit guarantee loans up to Rs. 2.0 Cr with an interest subvention of 3% per annum https://www.myscheme.gov.in/schemes/aif Bamboo Nursery- 100% of cost to Govt. sector and 50% of cost to private sector as credit linked back ended subsidy High density Bamboo plantation- 100% of cost to Govt. sector and 50% of the cost up to 2 ha, 20% of the cost for 2 - 4 Ha (up to 10,000 plants) over 3 years (50:30:20). Additional 10% assistance for NE States. https://www.myscheme.gov.in/schemes/nbm The marketing infrastructure shall be within the radius of 25 Km from clusters developed and registered under MOVCDNER. Financial assistance restricted to 75% of total financial outlay (TFO) or maximum budget allocation (Rs. 11.25 lakh per unit). https://asfac.assam.gov.in/portlets/mission-organic-value-chain-development-for-north-east-region Marketing Division Agricultural Marketing Infrastructure (AMI) sub-scheme of ISAM 4 Farmer Welfare 5 Agriculture Infrastructure Fund (AIF) 6 NBM National Bamboo Mission (NBM) Mission Organic Value Chain Development for North Eastern Region (MOVCDNER) 7 MOVCDNER TFO Total Financial Outlay Page 5 23 September 2024 Presentation title

Reservation Made for FPOs under Existing Scheme # Section Scheme Assistance for FPOs State Government will be supported for setting up of state BHM to FPOs. The subsidy approved is 75% in case of FPOs & FPCs, (for NE States 90%) https://www.myscheme.gov.in/schemes/nbhm National Beekeeping & Honey Mission (NBHM) The assistance for RoI states is Rs 40.00 lakh as one time grant and Rs. 40.00 lakhs for fund of Rs. 20.00 lakh in the 1st year and Rs. 20.00 lakh in the 2nd year to sustain the seed garden. https://nmeo.dac.gov.in/aboutus.aspx National Mission For Edible Oil- Palm Oil Schemes For Special FPOs Federation of farmers into FPOs (500 FPOs allocated for natural farming under 10,000 FPO scheme) in contiguous clusters of 1000- 2000 Ha. https://naturalfarming.dac.gov.in/ National Mission on Natural Farming 8 Assistance percentage 50%-75% of the eligible project cost Maximum Grant amount Rs. 10 Cr. For FPOs https://www.mofpi.gov.in/Schemes/cold-chain Integrated Cold Chain and Value Addition Infrastructure Assistance percentage 35%-50% of the eligible project cost Maximum Grant amount Rs. 5 Cr. For FPOs https://www.mofpi.gov.in/Schemes/creation-expansion-food-processing-preservation- capacities-unit-scheme Financial assistance for FPO o CHC/Hi-Tech Hubs - 24.59 Cr out of 491.75 Cr o FMB 6.10 Cr out of 121.92 Cr o FMB in NER- 1.33 Cr out of 26.62 Cr FPOs contribution stipulated under the scheme for CHC/Hi- Tech Hubs- 60%, FMB- 20%, FMB in NER-5% https://www.myscheme.gov.in/schemes/smam Creation / Expansion of Food Processing & Preservation Capacities Sub Mission on Agriculture Mechanization (SMAM) 9 M &T Page 6 23 September 2024 Presentation title

2 Ministry of Food Processing

Reservation Made for FPOs under Existing Scheme # Section Scheme Assistance for FPOs Credit linked grant @35% for the for micro food processing enterprises subject to a maximum of Rs.10 lakh. One District One Product (ODOP) approach. https://pmfme.mofpi.gov.in/pmfme/#/Home PM Formalisation of Micro Food Processing Enterprises Scheme (PM FME Scheme) Subsidy provided @50 % of the cost Transportation of Eligible Crops from Eligible Production Cluster Hiring of appropriate storage facilities for Eligible Crops (for maximum period of 3 months) https://www.mofpi.gov.in/Schemes/about-operation-greens Schemes to Support Processing Units Operation Green 10 Assistance percentage 50%-75% of the eligible project cost Maximum Grant amount Rs. 10 Cr. For FPOs https://www.mofpi.gov.in/Schemes/cold-chain Integrated Cold Chain and Value Addition Infrastructure Assistance percentage 35%-50% of the eligible project cost Maximum Grant amount Rs. 5 Cr. For FPOs https://www.mofpi.gov.in/Schemes/creation-expansion-food-processing- preservation-capacities-unit-scheme Creation / Expansion of Food Processing & Preservation Capacities Page 8 23 September 2024 Presentation title

3 Ministry of Micro & Small Enterprises

# Section Scheme Assistance for FPOs Estimated 100 %scheme funding. Ceiling: 10% of the amount of Hard Intervention (HI) or Rs. 25 lakh, whichever is less. Schemes For setting -up enterprises Scheme of Fund for Regeneration of Traditional Industries (SFURTI) 11 Hard Interventions (HI) including CFCs, RMBs, training centres, etc. Scheme Funding: 90 % https://sfurti.msme.gov.in/SFURTI/Home.aspx Page 10 23 September 2024 Presentation title

Ministry of Fisheries, Animal Husbandry and Dairying Government of India 4

Ministry/ Departmen t # Section Scheme Assistance for FPOs Ministry of Fisheries, Animal Husbandry and Dairying Government of India Financial support up to a maximum of Rs. 18 lakh/FFPO or actual, whichever is less. Schemes to Support Fisheries Formation & Promotion of Fish Farmer Producer Organization 12 https://pmmsy.dof.gov.in/new-download Shall be provided for three years from the year of formation. Page 12 23 September 2024 Presentation title

APEDA- Agricultural & Processed Food Products Export Development Authority 5

# Section Scheme Assistance for FPOs APEDA registered Exporters are eligible to apply for assistance under Central Financial Assistance Scheme State government institutions and public sector enterprises are eligible to apply for assistance. 13 APEDA The assistance will be up to 50% of the total cost subject to a ceiling of Rs. 25 Lakh per beneficiary. (FPOs with supply agreement) (Atmanirbhar Bharat) The scheme is for new sub-component- For implementation of special activities to enhance quality of the produce and to meet the SPS requirements of importing countries https://apeda.gov.in/apedawebsite/Announcements/FAS_Guidelines_05102021.pdf?v=1 Page 14 23 September 2024 Presentation title

6 SPICES Board

# Section Scheme Assistance for FPOs Infrastructure Development- Assistance to exporters for Rapid Food Testing Devices and Kits- 75% of Rapid quality, safety testing device and kits subject to maximum of Rs.15 lakhs for FPO exporters. Assistance for implementation of food safety and quality assurance mechanisms/ certifications- 75% of the cost of certification subject to a maximum of Rs.7.50 lakhs for FPO exporters Adoption of Hi- Tech/Technology Upgradation & Setting up/ upgradation of in-house labs- 75% of the cost of machinery & accessories subject to a maximum of Rs.1.50 crore for FPO exporters Assistance To Exporters For Installing Primary Processing Equipment For Spices- 75% of the cost of equipment & accessories subject to maximum of Rs.15 lakhs for FPO exporters. Export Development & Promotion for Spices 14Special FPOs for Spices Trade Promotion- Assistance for exporters for sending business samples abroad- 75% of the courier charges subject to a maximum of Rs. 2.25 lakhs FPO exporters Packaging development, Bar Coding, QR code, EPC / RFID- 75% of the cost as assistance subject to a maximum of Rs.2.25 lakhs for FPO exporters Participation in International fairs/meetings/ seminars/ Trainings- 75 % of the cost of air fare subject to a maximum of Rs.2.25 lakhs per annum & 75 % of the cost of stall rent, subject to a maximum of Rs 7.50 lakh per annum as cost of stall rent for FPO exporters https://www.indianspices.com/box5_programmes_schemes.html Page 16 23 September 2024 Presentation title