Animal Husbandry Infrastructure Development Fund (AHIDF)

3% interest subsidy is provided for all eligible entities, reducing their effective interest rate.

Government of India has approved the continuation of Animal Husbandry Infrastructure Development Fund (AHIDF) as a component under Infrastructure Development Fund (IDF) subsuming Dairy Processing Infrastructure Development Fund (DIDF). The revised outlay of AHIDF is ₹ 29110. 25 crores up to FY 2025-2026 till 31.03.2026. The Animal Husbandry Infrastructure Development Fund (AHIDF) has been approved for incentivizing investments by individual entrepreneurs, private companies, MSME, Farmers Producers Organizations (FPOs), Section 8 companies and dairy cooperatives to establish (i) Dairy processing and value addition infrastructure, (ii) Meat processing and value addition infrastructure (iii) Animal Feed Plant(iv) Breed Improvement technology and Breed Multiplication Farm (v) Setting up of Veterinary Vaccine and Drugs Manufacturing facilitiesand (vi) Animal Waste to Wealth Management (Agri Waste Management) and (vii) Primary Wool Processing Infrastructure.

Animal Husbandry Infrastructure Development Fund (AHIDF) Objective Image

Objectives

To help increasing of milk and meat processing capacity and product diversification thereby providing greater access for unorganized rural milk and meat producers to organized milk and meat market.
To make available increased price realization for the producer.
To make available quality milk and meat products for the domestic consumer.
To fulfill the objective of protein enriched quality food requirement of the growing population of the country and prevent malnutrition in one of the highest malnourished children population in the world.
Develop entrepreneurship and generate employment.
To promote exports and increase the export contribution in the milk and meat sector.
To make available quality concentrated animals feed to the cattle, buffalo, sheep, goat, pig and poultry to provide balanced ration at affordable prices.

Benefits

Dairy Processing Infrastructure Dairy Processing: under the Dairy Processing infrastructure the EE can avail benefit for establishment of the following: a) Establishment of new units and strengthening of existing dairy processing units b) Quality and hygienic milk processing facilities c) Packaging facilities and other activities related to dairy processing
Value Added Dairy Product Manufacturing: The EE can also avail loan for establishment of new units and strengthening of existing manufacturing units for value addition of the following milk products: Ice Cream unit , Cheese manufacturing unit , Ultra-High Temperature (UHT) milk processing unit with tetra packaging facilities , Flavoured milk manufacturing unit , Milk powder manufacturing unit , Whey powder manufacturing unit , Any other milk products and value addition manufacturing unit .
Meat Processing and Value Addition of facilities: Establishment of new meat processing units and strengthening of existing meat processing facilities for sheep, goat, poultry, pig and buffalo in rural, semi-urban and urban areas. Large scale integrated meat processing facilities /plant/ unit. Value Added Products: Establishment of new or strengthening of existing value addition facilities for meat products like Sausage, nuggets, ham, salami, bacon or any other meat products. These facilities could either be integral part of meat processing units or Standalone meat value addition unit. The compulsorily project include cost of each Effluent meat Treatment processing Plant plant (ETP), should Meat Microbiological Testing Laboratory, Residue Testing laboratory, Cold storage for holding the offals, skin/ hide processing areas and their preservation and refrigeration facilities for holding the chilled products and value added products for minimum of 24 hours.
EE can also avail benefit for establishment of Animal Feed manufacturing and strengthening of existing units/ plant of the following categories: Establishment of Mini, Medium and Large Animal Feed Plants. Total Mixed Ration Block Making Unit . By-pass protein unit . Mineral mixture plant. Enrich silage making unit . Animal Feed Testing Laboratory to be attached with the Medium to Large feed plant or the EE can avail benefit for establishment of Animal Feed Testing Laboratory in the existing Feed Plant to ensure quality feed.
Loan up to 90% of the estimated / actual project cost. The beneficiary contribution in case of Micro and Small units as per MSME defined ceiling could be 10% while in case of Medium Enterprises as per defined MSME ceiling, beneficiary contribution could go up to 15%. The beneficiary contribution in other categories of enterprises could go up to 25%.
Interest subvention ‐ 3% for all Eligible Entities.
Credit Guarantee Fund: Credit Guarantee fund of Rs. 750 Crore to be managed by NABARD, up to 25% of credit facility for MSMEs and Dairy Cooperatives
No ceiling on Loan amount.
Maximum repayment period: 8 years, inclusive of moratorium of 2 years on principal amount
Ease of Doing Business: Application through online portal AHIDF

Animal Husbandry Infrastructure Development Fund (AHIDF) Benefit Image

Eligibility

Farmer Producer Organization (FPO)
Private Companies
Individual Entrepreneurs
Section 8 Companies
Micro, Small and Medium Enterprises (MSMEs)

How to Apply?

The EE will submit the proposal with complete DPR through “Udyami Mitra” Portal developed by Small Industries Development Bank of India (Sidbi).

The Schedule Bank after due appraisal and sanction of the project subject to approval of interest subvention under AHIDF by Department of Animal Husbandry and Dairying will forward the application/ project to the Department of Animal Husbandry and Dairying for approval of interest subvention through online mechanism.

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