Subsidy For Horticulture In India

Horticulture is a branch of agriculture that deals with the art, science, technology, and business of plant cultivation. Although horticulture is a division of agriculture which deals with plant gardening, it is actually different from agriculture. Further, horticulture strictly involves plant cultivation while agriculture deals with the cultivation of crops as well as animal farming. Also, horticulture is usually done on smaller, enclosed plots while agriculture is done on extensive pieces of land on a large scale. In India, horticulture is promoted by the National Horticulture Board (NHB). In this article, we look at the Subsidy For Horticulture In India.

National Horticulture Board (NHB)

National Horticulture Board (NHB) was set up by the Government of India in 1984 as an autonomous society under the Societies Registration Act 1860. The objectives of the National Horticulture Board are the development of hi-tech commercial horticulture, development of modern post-harvest management infrastructure, promotion, market development of fresh horticulture produce and more. To promote horticulture in India, the National Horticulture Board provides a number of subsidies

Subsidy for Horticulture in Open Field

The National Horticulture Board provides a subsidy for commercial horticulture development in open field conditions, including the components of planting material, plantation, irrigation, fertigation, precision farming, GAP, etc. The estimated cost of the horticulture project is Rs.75 lakh per project (Rs.125 lakh for date palm, olive and saffron) for projects covering an area of more than 2 ha.

For such projects, the scheme implemented by the State Horticulture Mission provides credit linked back-ended subsidy at 40% of project cost limited to Rs.30 lakh per project in the general area. The credit linked back-ended subsidy provided increases to 50% of project cost limited to Rs.37.50 lakh for NE and hilly and scheduled areas. Societies and other organisation obtaining grants-in-aid are eligible to avail this subsidy.

Subsidy for Horticulture in Protected Cover

The National Horticulture Board provides a subsidy for commercial horticulture development in protected cover conditions, including the components of planting material, plantation, irrigation, fertigation, precision farming, GAP, etc. The scheme assists development of commercial horticulture in protected cover @ Rs.112 lakh per project covering an area of above 2,500 sq. mt.

For such projects, the scheme implemented by the State Horticulture Mission provides credit linked back-ended subsidy at 50% of cost limited to Rs.56 lakh per project. Societies and other organisation obtaining grants-in-aid are eligible to avail this subsidy.

Subsidy for Post- Harvest Management Projects

The National Horticulture Board provides a subsidy for setting up integrated post-harvest management projects: e.g., packhouse, ripening chamber, refer van, retail outlets, pre-cooling units, primary processing, etc. The scheme provides assistance for projects costing less than Rs.145 lakh per project: The add-on components of pre-cooling, packhouse, grading, packing, cold room are individual components.

For such projects, the scheme is implemented by the State Horticulture Mission provides credit linked back-ended subsidy at 35% of cost limited to Rs.50.75 lakh per project. In general areas, the scheme provides subsidy at 50% of project cost limited to Rs.72.50 lakh per project in NE, hilly and scheduled areas. Societies and other organisation obtaining grants-in-aid are eligible to avail this subsidy.

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Frequently Asked Questions

Common questions about Subsidy for Horticulture in India.

Horticulture is a branch of agriculture that deals with the cultivation of plants, while agriculture encompasses both plant cultivation (crops) and animal farming. Horticulture is typically practiced on smaller, enclosed plots, whereas agriculture is done on a larger scale over extensive pieces of land.

The National Horticulture Board (NHB) is an autonomous society established by the Government of India in 1984 to promote horticulture in the country. Its objectives include the development of hi-tech commercial horticulture, modern post-harvest management infrastructure, and market promotion for fresh horticulture produce.

NHB provides a credit linked back-ended subsidy of 40% of the project cost, limited to Rs.30 lakh per project in general areas, and 50% of the project cost, limited to Rs.37.50 lakh in NE, hilly, and scheduled areas, for commercial horticulture development in open field conditions.

For commercial horticulture development under protected cover conditions, NHB provides a credit linked back-ended subsidy of 50% of the project cost, limited to Rs.56 lakh per project through the State Horticulture Mission.

NHB provides a subsidy for setting up integrated post-harvest management projects like packhouses, ripening chambers, refer vans, retail outlets, and primary processing units. The subsidy is 35% of the project cost, limited to Rs.50.75 lakh in general areas, and 50% of the project cost, limited to Rs.72.50 lakh in NE, hilly, and scheduled areas.

Societies and other organizations obtaining grants-in-aid are eligible to avail the subsidies provided by NHB for horticulture projects in open field, protected cover, and post-harvest management.

The subsidies provided by NHB aim to promote and encourage the development of commercial horticulture in India, including modern techniques, infrastructure, and market promotion for horticulture produce.

The estimated cost of an open field horticulture project eligible for NHB subsidy is Rs.75 lakh per project (Rs.125 lakh for date palm, olive, and saffron) for projects covering an area of more than 2 hectares.

To avail the NHB subsidy for commercial horticulture development under protected cover conditions, the project should cover an area of above 2,500 square meters.

The NHB subsidy for post-harvest management projects is available for projects costing less than Rs.145 lakh per project.