In response to a question raised in the Rajya Sabha, the Minister of Fisheries, Animal Husbandry and Dairying informed that loans amounting to ?10,320 crore have been sanctioned under the Animal Husbandry Infrastructure Development Fund (AHIDF) so far, indicating strong uptake of the scheme.

About the Animal Husbandry Infrastructure Development Fund (AHIDF)

The Animal Husbandry Infrastructure Development Fund (AHIDF) is a ?15,000 crore Central Sector Scheme launched under the Atma Nirbhar Bharat Abhiyan stimulus package. The scheme aims to boost investment in animal husbandry infrastructure and strengthen the livestock value chain.

Implementing Ministry and Agency

The scheme is implemented by the Department of Animal Husbandry and Dairying, under the Ministry of Fisheries, Animal Husbandry and Dairying, Government of India.

Objectives of AHIDF

The key objectives of the AHIDF are:

• To expand milk and meat processing capacity and link small rural producers with organised markets.

• To ensure better price realisation for livestock farmers for milk, meat, and other animal products.

• To improve availability of quality milk and meat products across the country.

• To meet the rising demand for protein-rich food and help reduce malnutrition, especially among children.

• To promote entrepreneurship and generate employment opportunities in the livestock sector.

• To encourage exports and enhance export contribution in the milk and meat sector.

• To ensure availability of quality concentrated animal feed.

Infrastructure Supported Under AHIDF

The scheme incentivises investment in the following areas:

• Dairy processing and value addition infrastructure

• Meat processing and value addition infrastructure

• Animal feed plants

• Breed multiplication farms

• Animal Waste to Wealth Management (agri-waste management)

• Veterinary vaccine and drug production facilities

Eligible Beneficiaries

The following entities are eligible to avail benefits under AHIDF:

• Farmer Producer Organisations (FPOs)

• Private companies

• Individual entrepreneurs

• Section 8 companies

• Micro, Small and Medium Enterprises (MSMEs)

Financial Assistance and Benefits

• Beneficiaries must contribute a minimum of 10% margin money.

• The remaining 90% of the project cost is provided as a loan by scheduled banks.

• The Government of India provides 3% interest subvention on eligible loans.

• Repayment period is up to 8 years, including a moratorium of 2 years.

Credit Guarantee Support

• Projects covered under MSME-defined ceilings are eligible for credit guarantee support.

• Guarantee coverage is available up to 25% of the credit facility.

• The Credit Guarantee Fund is set up and managed by NABARD.

• The total size of the fund is ?750 crore.

Significance of AHIDF

AHIDF plays a crucial role in:

• Strengthening rural infrastructure and income

• Modernising the livestock and dairy sector

• Supporting Atma Nirbhar Bharat objectives

• Enhancing nutritional security and export potential

Conclusion

The Animal Husbandry Infrastructure Development Fund (AHIDF) is a flagship initiative aimed at transforming India’s livestock sector through infrastructure development, financial support, and private participation. The sanction of over ?10,320 crore in loans reflects the scheme’s growing impact in improving farmer incomes, rural employment, and food security.

Animal Husbandry Infrastructure Development Fund

Cabinet Committee on Economic Affairs has given its nod to set up an Rs.15,000 crore Animal Husbandry Infrastructure Development Fund. The fund had been proposed as part of the Aatmanirbhar Bharat. Eligible beneficiaries under the scheme include the following with a minimum 10% margin money contribution by them,

• Farmer producer organisations,
• MSMEs,
• Section 8 companies,
• Private companies and
• Individual entrepreneurs

The balance of 90% would be the loan component to be made available by scheduled banks. The Centre will provide a 3% interest subvention to eligible beneficiaries, with a 2-year moratorium period for the principal loan amount and a six-year repayment period after that.