Animal Husbandry Infrastructure Development Fund (AHIDF) 2025

1. To expand milk and meat processing capacity and help small rural producers connect with organised markets. 

1. To ensure that livestock farmers get better prices for their milk, meat, and other animal products. 

1. To make good-quality milk and meat products that can be easily available for people across the country. 

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

1. To encourage entrepreneurship and create more job opportunities in the livestock sector. 

Eligibility for Animal Husbandry Infrastructure Development Fund (AHIDF)

The entities that are eligible for support under the AHIDF are as follows: 

1. Micro Small and Medium Enterprises 

1. Farmer Producers Organisations 

1. Individual entrepreneurs 

1. Private companies 

1. Section 8 companies 

The implementing agency of AHIDF is Department of Animal Husbandry and Dairying under Ministry of Fisheries, Animal Husbandry and Dairying. 

Eligible activities to avail AHIDF Benefits

The activities that are eligible to avail AHIDF benefits are as follows: 

1. Setting up new dairy-processing units or upgrading existing ones with hygienic milk collection. 

1. Establishing new ice cream, cheese, flavoured milk, whey powder and other manufacturing units or enhancing strengthening existing ones. 

1. Forming new meat refining facilities for sheep, pig, buffalo, goat, poultry in urban, semi-urban and rural areas. 

1. Enhancing or establishing manufacturing units for Sausage, salami, bacon, ham, nuggets or other products of meat. 

1. Each meat processing project must include testing labs, cold storage, and effluent treatment plants (ETP). 

1. Eligible entities can get support to set up or upgrade feed plants, TMR units, bypass protein units, mineral mixture, and silage units. 

1. Setting up infrastructure for improving breed like IVF centres, artificial insemination units, and embryo facilities. 

Loan Eligibility and Beneficiary Contribution under AHIDF

Under the AHIDF scheme, eligible beneficiaries can obtain bank loans covering up to 90% of the project cost. Beneficiaries must contribute 10% for micro and small units, up to 15% for medium enterprises, and up to 25% for other enterprises. 

Credit Guarantee Fund under AHIDF

Credit Guarantee Fund will be set up and managed by NABARD. The limit of the fund is Rs.750 crore. The Department of Animal Husbandry and Dairying will contribute Rs.75 crore annually for 10 years. Viable MSME projects will receive credit guarantees covering up to 25% of the loan amount.  

Loan Disbursement and Repayment under AHIDF

The AHIDF amount of Rs.15,000 crore will be laid out by the banks within a 3-year period starting from 2020-21. 

The maximum loan repayment period will be 8 years, including a 2-year moratorium on the principal amount. The Scheduled Banks must ensure that from the date of first disbursement, the total repayment duration does not exceed 10 years, including moratorium period. 

Steps to Apply for AHIDF

Step 1: Visit the Udyami Mitra portal and choose ‘Apply for loan’ button. 

Step 2: Log in by using phone number and filling in the OTP. 

Step 3: Fill the application with necessary details such as name, proposed infrastructure, eligibility etc. And click on the ‘Submit’ button. 

Step 4: Attach the documents mentioned and click on ‘Submit’ button to complete the procedure. 

Project Evaluation and Approval Process

• The Project Management Agency (PMA) will review and assess bank-approved loan proposals for interest subvention under AHIDF. 
• The Project Approval Committee (PAC) will approve projects up to Rs.50 crore. 
• Projects above Rs.50 crore will be forwarded to the Project Sanctioning Committee (PSC) for approval. 
• The PAC/PSC will recommend credit guarantees for eligible MSME projects. 
• Projects will be evaluated based on eligibility, proposed activity, bank approval, MSME status, regional priority, and economic viability. 

Documents Required for AHIDF Scheme

1. Education certificate 

1. Bank statement 

1. Income proof 

1. Proof of landholding 

1. Address proof 

1. Cite plan for the project 

1. Lay out plan 

1. Trade license 

1. FSSAI license 

1. Machinery equipment list 

1. Cost breakup of the project 

1. KYC papers 

1. Roadmap to secure quality management 

Benefits of AHIDF Scheme 

1. The beneficiary will get 90% of loan component under AHIDF and needs to contribute only 10% of the investment cost of the project. 

1. Under AHIDF, loan repayment is flexible with moratorium period of two to six years. 

1. The eligible beneficiary will get 3% extended interest subvention by the government. 

1. Coverage of up to 25% will be provided on the approved loan amount. 

The AHIDF and subsumed DIDF (Dairy Infrastructure Development Fund) initiatives are significantly strengthening India’s animal husbandry sector. Since inception, AHIDF has approved 439 projects worth Rs.21,190.68 crore which benefitted 25 lakh farmers in India.