Are there any government subsidies available for starting a meat cold store in India? If so, what is the process for obtaining them?

Yes, there are several government subsidies available for starting a meat cold storage business in India. These programs can significantly reduce initial investment costs and support new ventures in the cold chain and food processing sectors. Here's an overview of the key subsidies and how you can apply for them:

A meat processing unit involves the preparation, handling, and packaging of meat products for human consumption. This process includes various steps, such as slaughtering, cutting, deboning, grinding, mixing, and packaging meat into different forms like sausages, patties, and cuts. The primary goal is to ensure that the meat is processed in a hygienic environment to maintain its quality, safety, and freshness while extending its shelf life. Meat processing units often require strict temperature control, hygiene standards, and efficient refrigeration systems to prevent spoilage and contamination.  Meat Processing Cold Store A meat processing cold store is a specialized facility designed to maintain the required temperatures for storing and processing meat during and after the production process. This cold store ensures that the processed meat remains in optimal conditions by using refrigeration systems to maintain temperatures that prevent bacterial growth and spoilage. Cold stores in meat processing units typically have different zones with varying temperature ranges, such as blast freezers for quick freezing, chillers for keeping the meat at slightly above freezing temperatures, and storage areas for frozen meat products. These facilities are crucial for maintaining the freshness, texture, and taste of processed meat products before they are packaged and distributed.  Meat Cold Storage Meat cold storage refers to the storage of meat in controlled low-temperature environments, typically between -18°C and -40°C, to preserve its quality and safety over an extended period. The purpose of meat cold storage is to slow down the natural process of bacterial growth, enzymatic reactions, and oxidation that can cause spoilage. It is essential for maintaining the nutritional value, taste, and texture of meat while reducing waste. Meat cold storage facilities often use advanced refrigeration technology, insulation, and precise humidity controls to ensure a consistent environment, making them suitable for storing fresh, chilled, or frozen meat products like beef, poultry, lamb, and pork.  Key Differences Between the Three Meat Processing Unit: Focuses on converting raw meat into consumable products through various processes like cutting, grinding, and packaging. It often includes areas for cold storage as part of the overall setup. Meat Processing Cold Store: A part of a meat processing unit, specifically designated for keeping processed meat products at controlled temperatures to maintain quality before packaging or distribution. Meat Cold Storage: Generally refers to standalone cold storage facilities where raw or processed meat is stored at low temperatures to maintain its freshness over a long period. This can serve meat processing units, retailers, or distributors. Why Metro Refrigeration Industries is a Preferred Choice for Meat Cold Storage Metro Refrigeration Industries provides specialized solutions for meat processing units, cold stores, and meat cold storage facilities. With more than 40 years of industry experience, they offer:  Advanced Indo-American Refrigeration Technology: Ensuring precise temperature control and energy efficiency. Turnkey Solutions: End-to-end service from initial consultation, design, and installation to maintenance, making it easier to set up and manage cold storage units. Customized Refrigeration Systems: Including reciprocating compressors, air cooling units, and ammonia canned pumps, tailored to meet the specific requirements of meat processing and storage. Energy-Efficient Solutions: Lower energy consumption translates into cost savings, which is vital for businesses in this competitive industry. By choosing Metro Refrigeration Industries, meat processing businesses can ensure optimal conditions for storing and preserving their products, enhancing product quality, reducing waste, and meeting food safety regulations.

1. Pradhan Mantri Kisan Sampada Yojana (PMKSY)

  • Overview: The PMKSY, managed by the Ministry of Food Processing Industries (MoFPI), supports the creation of infrastructure for cold storage, including those for meat products. It focuses on reducing food wastage and enhancing the cold chain.
  • Subsidy Amount: Financial assistance ranges from 35-50% of the eligible project cost. While general regions receive around 35%, difficult regions like the North East, Himalayan states, and Islands can access up to 50%.
  • Application Process: Visit the official MoFPI website to access the PMKSY scheme details. Prepare a detailed project report (DPR) that includes scope, cost, and expected outcomes of the meat cold storage unit. Submit the DPR and application via the MoFPI's online portal. The proposal will be reviewed, and upon approval, subsidies are disbursed in stages as the project progresses.
https://www.mofpi.gov.in/Schemes/cold-chain


2. National Horticulture Board (NHB) Scheme

  • Overview: NHB supports post-harvest management and cold storage facilities, which includes storage for meat and perishable items.
  • Subsidy Amount: Entrepreneurs can avail of a back-ended subsidy up to 35-50% of the project cost, with a maximum subsidy of up to INR 10 crores depending on the project.
  • Application Process:Submit an application and project report to the National Horticulture Board.The project will undergo a thorough review and site inspection.Upon approval, the subsidy is released based on project milestones and compliance with technical standards.
National Horticulture Board
1. In Principle Approval (IPA) is mandatory for availing financial assistance under credit linked back-ended subsidy schemes of NHB. 2. Before submitting application, applicants should carefully read and understand Operational Guidelines of the relevant scheme available on website: http://nhb.gov.in and ensure that financial assistance sought is as per the notified scheme and they fulfill the eligibility criteria 3. It is mandatory to submit online application for IPA in prescribed application format, available on website: http://nhb.gov.in . Online application will be accepted w.e.f 01.09.2017 (10:00 AM) to 30.09.201(6:00PM). With online application, it would be necessary to upload copy of Detailed Term Loan Sanction Letter (In Principle Sanction Letter/Consent letter not accepted) issued on or after 01.04.2017 for a new project/activity and a copy of the DD as proof of payment of application fee in case payment is not made online. IPA applications of those projects will not be accepted by NHB to whom term loan was sanctioned prior to 01.04.2017 by the lending Bank/FI as IPA system has been introduced w.e.f. 01.04.2017 4. Upon submission of online application form, applicants will get a computer generated unique code with acknowledgement for their application. The receipt & acknowledgment does not necessarily mean the approval of application, unless it is found to be feasible in all respects during the time of final scrutiny and evaluation. Applicant are advised to take a print of Online application and submit the self certified and signed copy of the same with all necessary enclosures to NHB , Head Office within 30 days from the date of submission of online application on following address : Managing Director, National Horticulture Board, Plot No. 85, Sector-18, Institutional Area, Gurugram (HR) – 122015 5. On receipt of application in physical form, acknowledgement will be issued by Mail/Registered Post. SMS alert will also be sent on registered mobile number. 6. Considering the limited budget, existing level of state wise pendency and flow of applications etc. the Board reserves the option to close the applications for a scheme or component (s) thereof at an early date on all India or on selective state basis. 7. To ensure that your application is processed in a timely manner, make sure that the application is fully completed, signed and submitted with necessary enclosures. Each column in the application form should be filled in with complete information, as required. N.A may be written in the column, if information in any column does not pertain to applicant. 8. If ineligibility of an applicant is found during scrutiny of the application at the acceptance stage, it will be informed to the applicant to correct the deficiency/ submit required documents within 30 days of issue of NHB letter, failing which the application will be cancelled and returned in original with enclosures. 9. Applications received will be dul

3. Dairy Processing & Infrastructure Development Fund (DIDF)

  • Overview: Managed by the National Dairy Development Board (NDDB), DIDF supports cold storage and cold chain infrastructure, including meat and dairy cold storage facilities.
  • Subsidy/Loan: DIDF offers low-interest loans and grants, which, although not direct subsidies, provide lower-cost financing options.
  • Application Process:Approach NDDB or affiliated banks to apply for financing under DIDF.Submit a business plan that outlines financial needs and projections.After approval, loans are disbursed at concessional interest rates.
https://ahidf.udyamimitra.in/scheme-benefits.html


4. State-Specific Subsidies

  • Overview: States like Uttar Pradesh, Gujarat, Maharashtra, and Andhra Pradesh offer subsidies and incentives for setting up cold storage units. These incentives can include direct financial support, reduced electricity tariffs, or waived registration fees.
  • Application Process: Visit the official websites of the respective state departments of agriculture or industry.Look for specific cold storage infrastructure schemes and download the relevant forms.Submit your project proposal and required documents for state-level review and approval.
https://fppup.uphorticulture.in/Policy.html
Food processing industry is the linkage between agriculture and industry. Food processing industry accounts for 32% of India’s food market, 14% of manufacturing GDP, 12% of exports and 6% of total industrial investment. In India the food processing is about 10% of the produce, with minimum 2% for fruits and vegetables and maximum for milk i.e. more than 35%. The tertiary level of food processing in Uttar Pradesh is 6%. The target of FPP-2023 is to take it to 20% in the next 5 years. 1. Capital Subsidy: 1.1 Upto 35% of incurred expenditure on plant, machinery and technical civil work for Food Processing Industries (FPIs) subject to maximum of Rs. 5 Crores. 1.2 In case of expansion and modernization / up-gradation, capital subsidy will be 25% subject to maximum of Rs. 1 Crore. 2. Permission to purchase land (agricultural) for more than 12.5 acres for FPIs. 3. Exemption from charges of 2% of the value at circle rate as fees for non-agricultural use declaration for FPIs. 4. Fees for Exchange of government owned land coming under the scope of the project site will not be applicable for FPIs. 5. Conversion of Land Use (CLU): : 50% fees will be waived off on CLU 6. External Development Charges (EDC): Rebate of 75% on external development charges for FPI. 7. 100% re-imbursement of stamp duty by DoHFP for the land purchased for the establishment of food processing industry. 8. The entire State of Uttar Pradesh will be considered as a single unified market for food processing industries with respect to payment of mandi fees and cess. License holders of any mandi in the state will be eligible to work in other mandis of the state as well. 8. Exemption from Mandi Fees and cess for agricultural produce procured from other states for processing in Uttar Pradesh. 9. Exemption from Mandi fees and cess for agricultural produce directly sold to processing units by farmers in Uttar Pradesh. 10. Sponsoring studies for certifying / declaring an area disease free i.e.- potato – Agra & Kannauj; Durum wheat-Bundelkhand. 11. Subsidy on solar power projects for electricity supply to processing units: 50% subsidy on solar power utilities in rural areas and 90% subsidy for women entrepreneurs in the same category. 12. 25% Freight Subsidy on exports excluding Nepal, Bangladesh and Bhutan. 13. Scheme for value addition and cold chain infrastructure: Subsidy of 35% for infrastructure pertaining to Cold Chain and Value Addition and a subsidy of 50% up to Rs. 10 Crores for frozen storage/deep freezer, value addition and processing infrastructure. Infrastructure for Agro processing clusters: Minimum 5 food processing units with minimum investment of Rs. 25 crores, a grant of 35% of the eligible project cost subject to

5. Subsidies from NABARD

  • Overview: The National Bank for Agriculture and Rural Development (NABARD) provides refinancing for setting up cold storage facilities, working with banks to offer loans at subsidized rates.
  • Application Process:Contact local banks partnered with NABARD for loan applications.Provide a detailed project report and seek a loan under NABARD’s refinancing schemes.Upon approval, you benefit from lower interest rates, making project funding more affordable.
National Bank For Agriculture And Rural Development
Consequent to the announcement of an allocation of Rs. 5,000 crore to NABARD in 2013- 14 and 2014-15 budget for supporting creation of infrastructure for storage of agricultural commodities, Reserve Bank of India (RBI) issued guidelines for creation of Warehouse Infrastructure Fund (WIF 2013- 14 and 2014 -15) in NABARD. The Fund envisages extension of loans to Public and Private sectors for construction of warehouses, silos, cold storages and other cold chain infrastructure. 2. Activities Covered Loans will be provided for projects involving creation of storage infrastructure with a minimum aggregate capacity of 5000 metric tons (MT) for agricultural and allied produce, including construction of: Warehouses Silos Cold storage, Controlled Atmosphere (CA) Stores, other Cold Chain Infrastructure Activities like Pack Houses/ Integrated Pack Houses, Reefer Vans, Bulk Coolers, Individually Quick Frozen Units, Chilling/ Freezing Infrastructure, etc. Construction/ Modernisation/ Upgradation of Marketing Infrastructure Facilities of Agricultural Produce Marketing Committee (APMC). Modernization/ Improvement of the existing storage infrastructure projects will be considered on merit of each proposal provided it leads to Scientific/ Additional storage capacity. There’s no minimum capacity for projects of Governments/ Government owned corporations. 3. Eligible Institutions/Entities State Governments State/ Central Government Owned/ Assisted entities, Cooperatives, Federations of Cooperatives, Farmers’ Producers’ Organizations (FPOs), Federations of Farmers’ Collectives, SPVs set up under PPP mode, etc. Primary Agricultural Credit Societies (PACS)/ Cooperative Marketing Societies (CMS) or similar institutions. Corporates/ Companies/ Individual Entrepreneurs etc. Agricultural Produce Marketing Committees (APMCs) Additional Information

Why Partner with Metro Refrigeration Industries?

  • Cost-Efficient Solutions: Metro Refrigeration Industries provides customized, energy-efficient refrigeration systems that help in reducing both upfront and operational costs—crucial when applying for government subsidies.
  • Turnkey Expertise: We offer end-to-end solutions, from design and setup to maintenance, ensuring your cold storage facility meets the standards required for subsidies.
  • Cutting-Edge Technology: With advanced Indo-American technology, Metro Refrigeration’s solutions are designed for low energy consumption, aligning with subsidy programs that emphasize energy efficiency.
  • Decades of Experience: With over 40 years in the industry, our team can assist you through the entire process, helping ensure that your cold storage meets subsidy requirements and technical standards.
A meat processing unit is a facility where raw meat is converted into consumable products through various processes, ensuring that it meets food safety standards and is suitable for human consumption. These units handle multiple stages, including slaughtering, cutting, deboning, grinding, mixing, and packaging of meat. The primary goal of a meat processing unit is to ensure the quality, safety, and freshness of meat while extending its shelf life through proper handling and processing techniques.  Key Processes in a Meat Processing Unit: Slaughtering and Initial Processing: This involves the humane slaughter of animals, followed by cleaning and preparing the carcasses. The meat is then divided into primal cuts and sorted based on the type and quality.  Cutting and Deboning: The larger cuts of meat are further broken down into smaller portions. This process involves removing bones and separating different parts of the meat for various uses.  Grinding and Mixing: Meat may be ground for products like sausages, patties, or minced meat. Ingredients like spices and preservatives are often added during the mixing stage to enhance flavor and prolong shelf life.  Curing, Smoking, and Cooking: Some meat products go through curing (adding salt and other preservatives) and smoking to add flavor and preserve the meat. Cooking processes may also be applied to produce ready-to-eat or semi-cooked meat products.  Packaging: The processed meat is vacuum-sealed or packed in appropriate packaging to preserve its freshness, prevent contamination, and extend its shelf life. This step ensures that the meat remains fresh until it reaches consumers.  Cold Storage: Proper refrigeration is crucial for maintaining meat quality throughout processing. Cold storage rooms are used to keep meat at specific temperatures during and after processing to prevent spoilage and maintain hygiene.  Importance of a Meat Processing Unit: Food Safety: Ensures that meat is handled in a hygienic environment, reducing the risk of contamination and foodborne illnesses. Quality Control: Allows for the production of consistent and high-quality meat products, meeting the standards required for both domestic and international markets. Extended Shelf Life: By processing and packaging meat under controlled conditions, a meat processing unit helps extend the product's shelf life, reducing spoilage and waste. Value Addition: Converts raw meat into value-added products like sausages, smoked meats, and ready-to-cook items, increasing profitability. Role of Refrigeration in Meat Processing Units: Proper refrigeration is a critical part of meat processing units, as it ensures that meat remains fresh at every stage of production. Temperature-controlled environments help slow down bacterial growth, preserve taste and texture, and ensure that meat is safe for consumption.  Metro Refrigeration Industries: A Reliable Partner for Meat Processing Units Metro Refrigeration Industries offers specialized solutions for meat processing units, with over 40 years of expertise in industrial refrigeration. Their services include:  Customized Cold Storage Solutions: Reciprocating compressors, air cooling units, and ammonia canned pumps designed to maintain the ideal temperature for meat processing and storage. Turnkey Solutions: From consultation and design to installation and maintenance, Metro Refrigeration provides end-to-end support for setting up efficient meat processing facilities. Advanced Refrigeration Technology: Their use of cutting-edge Indo-American refrigeration technology ensures precise temperature control, reducing energy consumption and operational costs. Choosing Metro Refrigeration Industries ensures that meat processing units operate efficiently, meeting food safety standards while reducing energy costs and maintaining the highest product quality.

Conclusion

Government subsidies can greatly reduce the cost of setting up a meat cold storage unit in India. Schemes like PMKSY, NHB, DIDF, and NABARD provide substantial financial support, while state-level programs offer additional incentives. To make the most of these opportunities, partner with experts like Metro Refrigeration Industries, who bring industry-leading technology, comprehensive turnkey solutions, and the expertise needed to streamline your project. This can help you build a successful, energy-efficient cold storage facility that meets the highest standards while keeping costs under control.

Always stay updated with the latest guidelines on the respective government portals, and prepare a well-documented project proposal to maximize your chances of approval.

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