Introduction: Hello livestock farmers, today wr are back with a great information on poultry farming subsidy and loan in India. Poultry farming is a type of agricultural method in which the birds are raised commercially. This is done for the production of meat and eggs. Basically, poultry farming involves chicken, ducks, turkeys, young pigeons. But chicken is the one which has huge market demand across the globe and hence most of the poultry farmers prefer growing chicken when they set up a farm.
A guide to get poultry farming subsidy and loan in India
The poultry industry has many sub-sections in it as it is a very broad one. It is not only about the breeding of chicken and it has many sections to take up as a business. Because of the population, which is rising across the world, the need for the poultry food is also becoming high because of the protein content present in it.
Advantages of poultry farming
- The chicken will produce meat and also eggs. This will be two ways of food resources. The eggs can also be sold along with the meat on the farm.
- The price of the chicken is also at a very good rate in the market.
- You can also start the farm with less capital and gradually grow up as per the circumstances and the market.
- The return on investments will be very good in poultry farming.
- It makes use of less water when compared to other types of farming for cleaning and also drinking. 2 liters of water will be sufficient for 10 birds.
- The dropping of the poultry will be rich in the content of nitrogen and the materials which are organic. Hence, these can be used as fertilizers to the plants. The poultry farmer can sell the manure to the crop farmers in the locality.
What are we waiting for? Let’s jump into poultry farming subsidy and loan process in India.
Poultry farm investment in India
The investment to make in order to set up a poultry farm of your choice of bird and section. You also have an option of starting a poultry farm as a small scale firm as it can be grown gradually depending on the returns.For a small-scale poultry farm, the investment would be generally from Rs.35,000 to Rs.1,05,000. If you want to start a poultry farm on a medium scale, then the investment would be from Rs.1,40,000 to Rs.3,50,000. To start a poultry farm on a large scale, then the investment would be up to Rs.7,00,000.
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After selecting the capital, you need to go with the selection of a good location for your poultry farm. The location you choose will be the main scope for success. The location of the poultry farm should be in such a way that the land over there should be cheap and the locality shouldhave a good population for consumption.You should also make sure that the poultry farm is close to the market area so that the transportation costs would be reduced. You need to choose a place which is convenient for you in terms of capital and also customers.
Poultry farming subsidies and loan
The Government of India (GOI) and other nationalized banks provide subsidy and loans in order to encourage the establishment of poultry farming business in India. Here, you will get to know about all the information regarding subsidies and loans availed for construction of broiler farm.
Poultry venture capital fund scheme (PVCFS)
The Government of India (GoI) has launched a new scheme named as Poultry Venture Capital Fund Scheme (PVCF) to support the poultry farmers. NABARD and Ministry of Micro, Small, and medium enterprise (MSME) are promoting this Poultry Venture Capital Fund scheme. Earlier people have got NABARD subsidy for poultry farming 2016. PVCFSencourages the entrepreneurship and also provides plenty of the employment opportunities for the rural and backward areas in the country.
Poultry plays an important rolein agricultural business sector as in India eggs and meat is the cheap source of proteins and vitamins. Broiler meat or chicken meat has no apprehensions in most of the Indian families as it doesn’t have religious taboos like beef and pork. From the overall views, poultry business seems to be a good opinion for someone who wishes to establish a new enterprise with fewer inputs and investments in India. The salient features of PVCFS are described below.
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To avail this scheme for the establishment of a poultry farm, a start-up entrepreneur should first avail a bank loan from a nationalized bank or recommended banks. 25% of the sanctioned loan will be born by the NABARD and 33% in case of reserved categories like SCs STs.Simply, 25% -33% of the total investment will be backed up and adjusted by NABARD. To avail the scheme, 40% of the outlay cost is availed a bank loan.For example, if an outlay costing is INR 5 lakhs, bank loan must be 2 lakhs.To get loans more than 1 lakh, 10% of the total outlay cost should be born by the start-up entrepreneur.
Who can apply for this scheme?
Farmers, Individual entrepreneurs, CooperativesPrivate Ltd. Companies, NGOs, Organised and unorganized sector groups are eligible for applying this scheme.
Bank loans for Poultry Farm Business in India:
Broiler plus poultry scheme by SBI
Apart from Poultry Farm Subsidies, State Bank of India (SBI) has launched Broiler Plus scheme for financing broiler farmers under contract farming. Under this scheme, loans can be availed by both existing farmers and start-up entrepreneurs. Broiler Plus Scheme by SBI, enables them to construct poultry shed, feed room and also finances to purchase other equipment.
Eligibility criteria to avail this loan
Land requirements;The start-up entrepreneur must have experience in poultry farming or should undergo training in poultry farming. They should have a contract with companies undergoing broiler poultry production. The farmer should have an adequate land to construct the poultry farmwhich should be 500 meters away from any existing nearby poultry farm, water facilities must be adequate.
Commercial flock size: The average flock size should be 5000. However, loans are provided for flock size with 10,000 to 15,000.
Loan amount sanctioned:Up to 75% of the total expenditure or up to 3 lakhs for a flock size of 5,000. You can get a Maximum loan of 9 lakhs by a farmer or any start-up individual.
Security deposit to avail the loan: You have to Mortgage the land of your broiler poultry farm. Hypothecation of assets created out of bank finance.
Repayment for Loan:You have to repay the loan either in instalments or monthly intervals.Furthermore, you have to pay the entire loan in 5 years inclusive of 6 months as a grace period.
This scheme is exclusively for the poultry farmers. We have given the Details of this scheme below.
District deputy commissioner of animal husbandry department, implements this subsidy which is 50% for General Category and for SC’s and ST’s it is 75%. The total project cost is Rs. 3,00,000 and the project phase should be bird shed, store room, electrification, equipment, food, water facilities, labourers, beneficiaries etc.
Importance of marketing in poultry farming
Marketing is the most important thing which needs care when you are running a poultry farm. You need to make sure that you are reaching the right customers by following the techniques of marketing. You should make use of the marketing strategies if you want to be a good producer in the market.
That’s all folks about poultry farming subsidy and loan in India. You may be interested in Intensive Pig Farming Advantages and Disadvantages.