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Detailed guidelines for Sub-mission

Sub-Mission on feed and fodder development


i. Establishing effective seed production chain

ii. Capacity building of state functionaries and livestock owners in forage production, conservation and utilization

iii. Establishing convergence and synergy among ongoing Plan programmes and stakeholders for fodder resource development.

Salient features

● Under this activity, fodder seed chain i.e. breeder, foundation and certified quality fodder seed production will be incentivized.

● This component targeted towards multiplication of seeds of high yielding fodder varieties which has been developed through research and innovations, significantly showing better performance, for which incentives will be provided.

Pattern of Assistance

100% incentivization for production of all categories of fodder seed production by ICAR, National Seed Corporation (NSC), Indian Farmers Fertilizer Cooperative (IFFCO), Krshak Bharati Cooperative Limited (KRIBHCO), National Agricultural Cooperative Marketing Federation(NAFED) and Central Agencies as well as State Agriculture Universities (SAU), Hindustan Insecticides Limited (HIL), State Government seed production corporations, public and private organizations, dairy cooperatives and milk federations and other organizations with good credibility.

The seed production incentives will be given to central seed agencies like National Seed Corporation (NSC), ICAR, IFFC, KRIBHCO, NAFED, HIL, NDDB etc directly and to the State Implementing Agency for the applications received from the State seed producing agencies. However, the assistance for Dairy Cooperatives and Milk Federations will be routed through NDDB.

The assistance will be provided in two instalments on the basis of per kg cost of seed. The first instalment will be provided after approval of viable proposal. The second instalment will be provided after production of seed and its self-certification by concerned beneficiary agency.

Cost which will be assisted for productions of various category of seeds are as under:
● Breeder Seed up to Rs.250/kg
● Foundation Seed up to Rs.150 /Kg
● Certified Seed up to Rs. 100/Kg<

When farmers are engaged by the seed producing agencies in the Fodder seed production activity, 75% of the subsidy to be passed on to the farmers and 25%should be kept by the seed producing agency to meet expenditure including certification cost.

Eligible Entity

ICAR institutions/ NSC/NAFED/KRIBHCO/IFFCO/Central Multi-State Cooperatives such as NCCF/ Hindustan Insecticides Limited (HIL), NDDB, Dairy Cooperatives, Milk Federations or other agency approved by the National Livestock Mission as central nodal agency at national level, based on the approved Plan for these agencies at Central level.

State Government seed production corporations, public and private organizations and other organizations with good credibility.

Application form

The agency will apply filling the details in the application at Appendix II of operational guidelines for seeking assistance. The Eligible Entity shall also submit the final production of seed when seeking the second assistance.

Follow-ups of the activity

The agency will send the report as per format prescribed in Appendix-III of operational guidelines.

Objective of the Mission

i. Development of Entrepreneurship in the field of Feed and fodder.

ii. Promoting, developing and disseminating forage technologies through frontline technology demonstrations.

iii. To make available quality fodder with affordable price at the local level.

iv. To encourage the fodder production by the local farmers for supplying to these entrepreneurs. Thus use the fodder as a cash crop.

Salient Feature

The private entrepreneurs, SHG, FCOs JLG, FPOs, Dairy Cooperative societies, section 8 companies will be incentivized for the value addition such as Hay/Silage/Total Mixed Ration(TMR)/ Fodder Block and storage of fodder by providing 50% percent capital subsidy towards project cost to the beneficiary for Infrastructure development related to hay/silage at village level/ Fodder blocks making units for procuring machinery like bailer, block making machines, TMR machines/equipment, Forage harvester /reaper, Heavy duty Power operated Chaff cutters and any other PHT equipment as per the requirement/need.

The Entrepreneurs / Eligible Entities need to arrange the remaining amount through bank loan or from the financial institution like NCDC or self-finance. The Eligible Entities may also avail benefit under Animal Husbandry Infrastructure Development Fund (AHIDF) for funding of the remaining amount of the project as per the scheme guidelines.

Indicative list of eligible equipment for funding is at Annexure IV of operational guidelines.

Pattern of Assistance

50% of the total project cost with subsidy up to Rs. 50 lakh will be provided to the beneficiaries through State Implementing Agencies in two equal instalments as per scheme guidelines.

Subsidy will be the capital subsidy and provided in two equal instalments. First instalment will be released upfront to the scheduled bank or financial institutions like NCDC etc. by SIDBI to be credited to the Entrepreneur/ Eligible Entities’ account after the bank or financial institution releases First Instalment of loan to the beneficiary and its confirmation by State Implementing Agency. Beneficiaries will be eligible for release of the second instalment by SIDBI after completion of the project and certified so by the State Implementing Agency.

In case of the self-financing project, the project needs to be appraised by the bank where the Entrepreneurs/ Eligible Entity have account. The first instalment of 50% subsidy will be provided into the lending bank by SIDBI where the beneficiary has account. The subsidy will be released only when the beneficiary has made expenditure of 25% cost for the project towards infrastructure and has been verified by the State Implementing Agency. Remaining amount of 50% subsidy will be provided y SIDBI after completion of the project and verified by State Implementing Agency.

The Entrepreneurs / Eligible Entities interested in taking benefit under the entrepreneurship project in self-financing mode, need to provide Bank Guarantee from the scheduled bank valid for three years for the remaining cost of the project beyond the cost of subsidy sought for support. This Bank Guarantee shall be provided in the name of the Department of Animal Husbandry and Dairying, Ministry of Fisheries, Animal Husbandry and Dairying. The original Bank Guarantee is to be kept in the safe custody of the State Implementing Agency. Also a copy of the Bank Guarantee and a declaration form need to be uploaded in the online portal at the submission of the application or to be attached with the application. The Format of the Bank Guarantee and declaration has been annexed with the guidelines

No subsidy will be provided for working capital, purchase of personal car, land, leasing and hire of land and office accommodation.

Eligible Entity

Private entrepreneurs, SHG, FCOs, JLG, FPOs, Dairy Cooperative societies, section 8 companies

Implementing Agencies

i) DAHD, GoI
ii) State Animal Husbandry Department
iii) State Livestock Agencies/ State Livestock Boards

Eligibility criteria

Entrepreneurs shall also meet the criteria as specified at para 5.3 above

Follow up of the project

The State Implementing Agency will follow up the project up to 2 years after its implementation with regard to its operation.