Govt launches Dairy Entrepreneurship Development Scheme

The government, under the Dairy Entrepreneurship Development Scheme, is providing subsidy through NABARD on dairy installation and dairy products equipment. The progressive consumption of milk and milk products is leading to immense possibilities of self-employment in this field

Diti BajpaiDiti Bajpai   24 Aug 2019 1:19 PM GMT

Govt launches Dairy Entrepreneurship Development Scheme

The country witnesses an increased consumption of milk and milk-products. So, there are increased opportunities of employment and business in the field of dairy production. In view of this, the Union Government has launched Dairy Entrepreneurship Development Scheme (DEDS). The government, under this scheme, provides subsidy through NABARD on dairy installation to dairy-products manufacturing equipment.

The progressive consumption of milk and milk products is leading to immense possibilities of self-employment in this field and with this aim several opportunities are generated under DEDS.

As per the Ministry of Dairy and Animal Husbandry, Central Government, from the time of its launch,the scheme has already disbursedsubsidies worth Rs 1586.53 crore among 3,71,566 beneficiaries, out of which 96,792 are women.

DEDS seeks to improve the production of milk, purchase, protective transportation, processing and marketing in order to promote self-employment in the field of dairy. The Union government had in the year 2018-19 sanctioned a budget of Rs 323 crore for the scheme.

Subsidy even on a dairy start-up with two animals

The scheme extends even to those farmers who wish to start with a small capital. The scheme allows the startup of a dairy unit with a minimal number of two milch animals. A dairy unit project with 2 milch animals can cost up to Rs1.40 lakh. On such aproject one can easily get a subsidy upto Rs35,000. If an SC/ST candidate wishes to start a dairy unit with 2 milch animals, he/she can get a subsidy up to Rs46,600.

Subsidy of Rs 1.75 lakh upon 10 animals

If one opens a dairy with 10 milch animals, the project cost would be about Rs 7 lakh. The scheme run by Ministry of Agriculture, Central Government can provide a subsidy worth up to Rs 1.75 lakh for such a project.

Mandatory crossbreed cows in the dairy

As per the circular issued by the Ministry of Agriculture, if one wishes to open up a small dairy, then one must keep crossbreed cows (which produce more milk than average) like Sahiwal, Red Sindhi, Gir, Rathi or even buffalo.


Know how to get the subsidy

As per DEDS one will get 25% capital subsidy on the total cost of dairy installation. An SC/ST candidate may get up to 33% subsidy. The subsidy is extendable for only up to 10 animals.

For one animal the central government provides Rs 17,750 as subsidy. For SC/ST person the subsidy becomes Rs 23,300 per animal. A general category person can avail up to Rs 1.77 lakh worth of subsidy upon opening a ten-animal dairy.

Subsidy even on dairy equipment

As per the scheme, one can also purchase equipment for the manufacture of dairy products. On the purchase of a Rs 13.20 lakh machine, one can avail 25% capital subsidy (Rs 3.30 lakh). SC/ST candidates can get Rs 4.40 lakh worth of subsidy.

Subsidy on milk cold storage

The scheme also provides for the installation of cold storage unit in order to preserve milk and milk products. Such a cold storage may cost Rs 33 lakh so government shall give up to Rs 8.25 lakh to general applicant and Rs 11 lakh to SC/ST applicant as subsidy.


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