6 Nov 2019

Dairy Entrepreneurship Development Scheme

Source: NABARD, Kurukshetra

The Department of Animal Husbandry, dairying, and fisheries(Ministry of Agriculture) is implementing Dairy Entrepreneurship Development Scheme (DEDS) for generating self-employment opportunities in the dairy sector, covering activities such as enhancement of milk production, procurement, preservation, transportation, processing and marketing of milk by providing back-ended capital subsidy for bankable projects. The scheme is being implemented by the National Bank for Agriculture and Rural Development (NABARD)

Objectives of the scheme

  • To promote setting up of modern dairy farms for the production of clean milk 
  • To encourage heifer calf rearing, thereby conserving good breeding stock 
  • To bring structural changes in the unorganized sector so that initial processing of milk can be taken up at the village level itself
  • To upgrade the quality and traditional technology to handle milk on a commercial scale 
  • To generate self-employment and provide infrastructure mainly for unorganized sector 

Who can benefit from this scheme?

  • Farmers, individual entrepreneurs, NGOs, companies, groups of organized and unorganized sectors, etc. Groups of the organized sector include Self-help Groups (SHGs), dairy cooperative societies, milk unions, milk federations, etc. 
  • An individual will be eligible to avail assistance for all the components under the scheme but only once for each component 
  • More than one member of a family can be assisted under the scheme provided they set up separate units with separate infrastructure at different locations. The distance between the boundaries of two such farms should be at least 500 metres.

Pattern Assistance

  • Back ended capital subsidy @25% of the project cost for general category and @33% for SC/ST farmers. The component wise subsidy ceiling will be subjected to indicative cost arrived at by NABARD from time to time                                                                                                             
  • Entrepreneur Contribution (Margin) for loans beyond Rs. 1 lakh* – 10% of the project cost (*subject to any revision in RBI guidelines)