Poultry Venture Capital Fund Scheme

The poultry venture capital fund scheme is a scheme promoted by NABARD and Ministry of Micro, Small and Medium Enterprises for promoting poultry farming activity. The scheme envisages strengthening of the poultry industry by generating employment or entrepreneurship opportunities in backward areas. In this article, we look at the Poultry Venture Capital Fund Scheme in detail:

Poultry Venture Capital Fund Scheme

The Poultry Venture Capital Fund Scheme:

Encourages poultry farming activity especially in non-traditional states and provides employment opportunities in backward areas;
Improves production of poultry products which have the ready market all over the country;
Improves productivity of unscientifically run units through technology up-gradation;
Provides quality meat to consumers in hygienic conditions, and improves hygienic sale of poultry meat and products in urban areas and neighbourhood societies through poultry dressing and marketing outlets;
Improves productivity and facilitates rearing of other poultry species like quails, ducks, turkeys, which have good potential.

Assistance provided under Poultry Venture Capital Fund Scheme

The following assistance is provided under the Poultry Venture Capital Fund Scheme:

Entrepreneurs contribution (margin) - for loans up to Rs.1 lakh, banks may not insist on margin as per RBI guidelines. For loans above Rs.1 lakh: 10% (minimum).
- Example: If a poultry business is to be set up with a total investment of Rs.10 lakhs, then the Entrepreneurs contribution or investment must be at least Rs. 1 lakh.
Back ended capital subsidy - 25% of the outlay (33.33 % for SC/ST farmers and NE states including Sikkim)
- Explanation: In a back-ended capital subsidy scheme, the Entrepreneur would have to avail and bank loan and pay the instalments due. The final loan instalments equal to 25% of the total investment amount would be adjusted as the back-ended capital subsidy.
Effective bank loan (excluding eligible subsidy as above) - balance portion, minimum 40% of the outlay
- Explanation: Bank loan must be obtained for a minimum of 40% of the total project cost to avail subsidy. Therefore, if the total project is Rs.10 lakhs, then the bank loan component must be at least Rs.4 lakhs.

Who can apply for Scheme

The following entities can apply and obtain assistance under the Poultry Venture Capital Fund Scheme:

Farmers
Individual Entrepreneurs
NGOs
Private Limited Company
Cooperatives
Groups of the unorganised and organised sector

Where to apply

The Poultry Venture Capital Fund Scheme is promoted by NABARD. National Bank for Agriculture and Rural Development (NABARD) is an apex development bank in India having headquarters based in Mumbai. The mission of NABARD is to promote sustainable and equitable agriculture and rural prosperity through effective credit support, related services, institution development and other innovative initiatives.

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Frequently Asked Questions

Common questions about Poultry Venture Capital Fund Scheme by NABARD.

The Poultry Venture Capital Fund Scheme is a scheme promoted by NABARD and the Ministry of Micro, Small and Medium Enterprises to encourage and support poultry farming activities, especially in non-traditional states and backward areas. It aims to generate employment opportunities and promote entrepreneurship in the poultry sector.

The main objectives of the scheme are to strengthen the poultry industry, improve production and productivity of poultry products, provide quality meat to consumers in hygienic conditions, and facilitate rearing of other poultry species like quails, ducks, and turkeys.

Farmers, individual entrepreneurs, NGOs, private limited companies, cooperatives, and groups from the unorganized and organized sectors can apply for the scheme.

The scheme provides a back-ended capital subsidy of 25% (33.33% for SC/ST farmers and Northeast states including Sikkim) of the total project outlay. It also offers bank loans for a minimum of 40% of the project cost, and the entrepreneur's contribution (margin) is required for loans above Rs. 1 lakh.

The back-ended capital subsidy is provided as an adjustment to the final loan installments. The entrepreneur has to avail a bank loan and pay the installments due. The final installments equal to 25% (or 33.33% for eligible beneficiaries) of the total investment amount will be adjusted as the back-ended capital subsidy.

The primary purpose of the scheme is to encourage poultry farming activities, especially in non-traditional states and backward areas, to generate employment opportunities and promote entrepreneurship. It also aims to improve the production, productivity, and hygiene standards of the poultry industry.

The Poultry Venture Capital Fund Scheme is promoted by NABARD (National Bank for Agriculture and Rural Development), which is an apex development bank in India based in Mumbai. Applicants can apply for the scheme through NABARD.

For loans up to Rs. 1 lakh, banks may not insist on a margin as per RBI guidelines. For loans above Rs. 1 lakh, the entrepreneur's contribution (margin) must be at least 10% of the total project outlay.

The Poultry Venture Capital Fund Scheme aims to improve the productivity of unscientifically run poultry units through technology up-gradation. This will help in enhancing the overall efficiency and output of the poultry industry.

The scheme aims to provide quality meat to consumers in hygienic conditions by promoting poultry dressing and marketing outlets in urban areas and neighborhood societies. This will ensure better accessibility to safe and hygienic poultry products for consumers.