Dairy Processing and Infrastructure Development Fund (DIDF)

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As per 19th Livestock Census 2012, there are 190.90 million numbers of cattle in the country owned by 65 million numbers of households. In a cooperative system, farmers owning milch cattle organise dairy cooperative societies (DCS) at village level where they pour milk. The milk so collected from a cluster of such DCS are stored and cooled in BMCs located at one of these DCS. DAHD provides assistance for BMCs to dairy cooperatives for installation at village level dairy cooperative societies to cool and preserve milk. In Rajasthan, as on December 2019, there are 2686 number of BMCs with installed capacity of 4410 Thousand Litre and 15017 numbers of registered dairy cooperative societies covering 8.20 lakh farmers.
In the country, as on March 2019, there is an installed BMC capacity of 41447 Thousand Litre and 1.91 lakh number of dairy cooperative societies covering 169.29 lakh farmer members.

(i) National Programme for Dairy Development
(ii) National Dairy Plan-Phase I
(iii) Dairy Processing and Infrastructure Development Fund
(iv) Dairy Entrepreneurship Development Scheme


Boostinging the Dairy sector in India

Snapshot :In pursuance to the Union Budget 2017-18 announcement by Ministry Finance, Cabinet Committee on Economic Affairs (CCEA) on 12.09.2017 Dairy Processing & Infrastructure Development Fund" (DIDF) scheme with an outlay of Rs 10881 crore during the period from 2017-18 to 2028-29. NABARD was to contribute Rs. 8004 cr as loan to NDDB and NCDC. Rs 2001 crore was to be contributed by end borrowers, Rs 12 crore was to be jointly contributed by NDDB/NCDC Rs 864 crore was to be contributed by DAHD towards interest subvention.

The scheme envisages that NDDB and NCDC shall directly implement through the End Borrowers such as Milk Unions, State Dairy Federations, Multi-state Milk

Cooperatives, Milk Producer Companies and NDDB subsidiaries those meeting the eligibility criteria under the scheme. The end borrowers will get the loan © 6.5% per annum. The period of repayment will be 10 years with initial two years moratorium.

Dairy processing development fund 

Details

Under Dairy Processing and Infrastructure Development Fund (DIDF) Government of India to provide Interest subvention upto 2.5% to NABARD from 2019-20 (with effect from 30.07.2019) to 2030-31 and in case there is any further increase in the cost of funds, it shall be borne by the end borrowers themselves.


Impact:-

  • 95 Lakh milk producers will be benefited by covering 50,000 villages.
  • Establishment of 28000 Bulk Milk Coolers with 140 Lakh Litres per Day as additional milk chilling capacity.
  • Creation of additional 210 Metric Ton per Day Milk Drying capacity.
  • Modernization, expansion and creation of Milk Processing capacity of 126 Lakh Litres per Day.
  • Creation of Infrastructure of 59.78 Lakh Litres per Day capacity for Value-Added Dairy products to ensure remunerative prices to milk producers.
  • Providing 28000 Milk Testing Equipment to check adulteration in milk.

Implementation Strategy and targets:

NABARD raises funds from the market, which it lends to NDDB/NCDC @ 6.0% and NDDB/NCDC, in turn, lends it to the Eligible End Borrowers at appropriate interest rate. DAHD provides interest subvention equal to the difference or upto 2.5% between the cost of raising capital by NABARD and the interest rate at which NABARD lends to NDDB/NCDC. In case there is any further increase in the cost of funds, it shall be borne by the end borrowers themselves.


Major activities covered under DIDF are:

 

  1. Modernizations creation of new milk processing facilities and manufacturing

facilities for Value Added Products

  1. Chilling Infrastructure
  2. Electronic Adulteration testing kit
  3. Project Management & Learning
With this investment, 95,00,000 farmers in about 50,000 villages would be benefitted.Also it heful for doubling the farmers income 




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