The National Horticulture Board (NHB) is putting in place a scheme called "Capital Investment Subsidy for Construction/Expansion/Modernization of Cold Storages and Horticulture Product Storages".
Under this scheme, Credit-linked back-ended subsidies of 35 per cent of the capital cost of the project in general areas and 50 per cent in the North East, Hilly States, and Scheduled areas are sanctioned under this scheme for cold storage capacity above 5000 MT and up to 10000 MT for construction/expansion/modernization of Cold Storage and Controlled Atmosphere (CA) stores. A capacity of more than 1000 MT is likewise acceptable in the North East Region.
As a sub-scheme of the Mission for Integrated Development of Horticulture (MIDH), there is currently no intention to raise the subsidy for a cold storage building. Narendra Singh Tomar, Union Minister of Agriculture and Farmers Welfare, provided this information in a written reply to Rajya Sabha on December 10th 2021.
Lack of cold storage units have often been a problematic issue for Indian farmers hence this subsidy would totally help the farmers in preserving their farm produce. Food wastage is also a problem that increases in cold storage facilities will help mitigate.
Due to a lack of cold chain infrastructure, India wastes a considerable amount of its farm products, with 16 per cent of fruits and vegetables thrown away each year. Up to 10 per cent of oilseeds, pulses, and grains produced in India are thrown away. This information was provided in the Lok Sabha by Rameswar Teli, Minister of State for Food Processing Industries in 2019, who attributed it to the Central Institute of Post-Harvest Engineering and Technology's study "Assessment of Quantitative Harvest and Post-Harvest Losses of Major Crops and Commodities in India" (CIPHET)”.
Hence subsidy schemes like these in cold storages will totally help boost the country’s economy by helping preserve more food in transit and will help in building a more robust Supply chain in the Agri Industry.
