Lok Sabha Question No. 400 (STARRED), answered on 2021-03-23
Subject: Process of Setting up Cold Storage
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Harish Dwivedi

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK SABHA STARRED QUESTION NO. 400

TO BE ANSWERED ON THE 23 RD  MARCH, 2021

## PROCESS OF SETTING UP COLD STORAGE

## †*400.     SHRI  HARISH DWIVEDI:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी be pleased to state:

- (a) the details of the procedure for setting up cold storage by the Government;
- (b) the number of cold storage being operated in Uttar Pradesh, district-wise; and
- (c) the manner in which assistance is provided by the Government to a person or any organization which intends to set up cold storage?

## ANSWER MINISTER OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंी

( SHRI NARENDRA SINGH TOMAR)

- (a) to (c): A statement is laid on the Table of the House.

## STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (c)  OF  LOK  SABHA STARRED QUESTION NO.  400   DUE FOR REPLY ON 23 rd   MARCH, 2021.

(a) to (c): Government does not setup cold storage of its own. However, Government is implementing various schemes under which financial assistance is provided for setting up  of  cold  storages  for  storage  of  agriculture  produce  including  perishable  horticulture produce throughout the country.

Department of Agriculture Cooperation and Farmers  Welfare  (DAC&FW)  is implementing  Mission  for  Integrated  Development  of  Horticulture  (MIDH)  under  which financial  assistance  is  provided  for  various  horticulture  activities  including  setting  up  of cold  storages.  The  component  is  demand/entrepreneur  driven  for  which  Government assistance in the form of credit linked back ended subsidy is available at the rate of 35% of the  project  cost  in  general  areas  and  at  the  rate  of  50%  of  the  project  cost  in  hilly  and scheduled areas.

Under MIDH, cold storages are sanctioned by State and Central level Committees constituted for this purpose under operational guidelines of MIDH. The cold storages upto a capacity of 5000 MT are eligible for assistance under MIDH. The powers for sanction of projects up to project cost of Rs.500 lakh including setting up of cold storage have been delegated  to  State  Level  Executive  Committee  (SLEC).  Projects  with  a  project  cost  of more than Rs. 500 lakh and upto a capacity of 5000 MT are approved by the Empowered Monitoring  Committee  (EMC)  of  DAC&FW  on  recommendation  of  SLEC. For  seeking assistance for setting up of cold storage under MIDH, promoter is required to submit the proposal to the concerned State Horticulture Mission.

Besides,  National  Horticulture  Board  (NHB)  is  implementing  a  scheme  namely 'Capital  Investment  Subsidy  for  Construction/Expansion/Modernization  of  Cold  Storages and  Storages  for  Horticulture  Products'.  Under  the  scheme,  credit  linked  back-ended subsidy at the rate of 35% of the capital cost of the project in general areas and 50% in case of North East, Hilly States & Scheduled areas for construction/expansion/modernization of cold storage and CA storage of capacity above 5000 MT and up to 10000 MT is available. In case of North East region, the units with capacity  above  1000  MT  are  also  eligible  for  assistance.  The  Scheme  is  demand/ entrepreneur-driven.  As  per  Scheme  Guidelines,  applicant  has  to  make  an  online application  to  NHB  for  In-Principle  Approval  (IPA).    After  receipt  of  IPA,  applicant  is required to get the Term Loan sanctioned from Bank/Financial Institution. Thereafter, NHB issues  Grant  of  Clearance  to  start  the  project.    Upon  completion  of  project  using promoter's equity and bank term loan, the subsidy claim is to be submitted to NHB.  After physical joint inspection of the project, subsidy claim is considered and approved by the Project Approval Committee of NHB.  Thereafter, NHB subsidy is released in the subsidy reserve fund account of the lending Bank/Financial Institution.

Further,  Ministry of Food Processing Industries (MOFPI) is implementing a Scheme for Integrated Cold Chain, Value Addition and Preservation Infrastructure as one of the component of Pradhan Mantri Kisan Sampada Yojana with the objective of reducing post-harvest losses of horticulture and non-horticulture produce and providing remunerative  price  to  farmers  for  their  produce.  Under  the  scheme,  Ministry  provides financial    assistance    in the form  of grant-in-aid at the rate of 35% for general areas and

50% for  North  East  States,  Himalayan  States,  ITDP  areas  and  Islands  for  storage  and transport infrastructure and at the rate of 50% and 75% respectively for value addition and processing infrastructure subject to a maximum grant-in-aid of Rs. 10 crore per project for setting up integrated cold chain projects including irradiation facility without any break from the farm gate to the consumer. The integrated cold chain and preservation infrastructure can  be  set  up  by  individuals,  groups  of  entrepreneurs,  cooperative  societies,  Self  Help Groups (SHGs), Farmer Producer Organizations (FPOs), NGOs, Central/State PSUs, etc. Standalone cold storages are not covered under the Scheme. The organization desiring to set up a cold chain project has to apply against EOI issued from time to time.

As per report received from Government of Uttar Pradesh, District-wise details of active cold storages under MIDH in Uttar Pradesh are at Annexure - I.

## Annexure - I

## District-wise details of active Cold Storages in Uttar Pradesh

|   S. No. | Name of District   |   Number of active Cold Storages |   Storage Capacity (in MT) |
|----------|--------------------|----------------------------------|----------------------------|
|        1 | Saharanpur         |                                5 |            18346.9         |
|        2 | Muzzafar Nagar     |                               14 |            95510           |
|        3 | Shamli             |                                7 |            18770           |
|        4 | Meerut             |                               28 |           150607           |
|        5 | Bagpat             |                                0 |                0           |
|        6 | Bulandshar         |                               36 |           183542           |
|        7 | Ghaziabad          |                               13 |            49915.8         |
|        8 | Hapur              |                               20 |           191949           |
|        9 | GautamBudh Nagar   |                                0 |                0           |
|       10 | Aligarh            |                              104 |           918937           |
|       11 | Hathras            |                              145 |                1.21843e+06 |
|       12 | Eta                |                               18 |           161189           |
|       13 | Kasganj            |                               15 |            45721.2         |
|       14 | Mathura            |                               48 |           406407           |
|       15 | Agra               |                              286 |                2.50364e+06 |
|       16 | Firozabad          |                              152 |                1.48746e+06 |
|       17 | Mainpuri           |                               50 |           473600           |
|       18 | Bareilly           |                               21 |           101371           |
|       19 | Budaun             |                               75 |           375734           |
|       20 | Shahjahanpur       |                               25 |           138913           |
|       21 | Pilibhit           |                                4 |            10284           |
|       22 | Bijnaur            |                                9 |            35635.4         |
|       23 | Moradabad          |                                2 |             8143.46        |
|       24 | Amroha             |                               18 |            83792.6         |
|       25 | Rampur             |                                4 |            66103.3         |
|       26 | Sambhal            |                               52 |           354838           |
|       27 | Farrukhabad        |                               95 |           919481           |
|       28 | Kannauj            |                              142 |                1.44599e+06 |
|       29 | Etawah             |                               59 |           883209           |
|       30 | Auraiya            |                               14 |           144132           |
|       31 | Kanpur Nagar       |                               64 |           615570           |
|       32 | Kanpur Dehat       |                                9 |            80391.9         |
|       33 | Fatehpur           |                               13 |           111134           |
|       34 | Prayagraj          |                               42 |           357404           |
|       35 | Kaushambi          |                               10 |            95646.3         |
|       36 | Pratapgarh         |                                9 |            57957.8         |
|       37 | Jhansi             |                                3 |            12081.2         |
|       38 | Lalitpur           |                                0 |                0           |

| 39.   | Jalaun          |    4 |          6880.30 |
|-------|-----------------|------|------------------|
| 40.   | Banda           |    1 |   6503.75        |
| 41.   | Chitrakoot      |    0 |      0           |
| 42.   | Hamirpur        |    0 |      0           |
| 43.   | Mahoba          |    0 |      0           |
| 44.   | Varanasi        |    8 |  29769.5         |
| 45.   | Chandauli       |    2 |   1679.14        |
| 46.   | Jaunpur         |   17 |  81750.1         |
| 47.   | Gazipur         |   38 | 361951           |
| 48.   | Mirzapur        |    5 |  10586.8         |
| 49.   | Sonbhadra       |    0 |      0           |
| 50.   | Bhadohi         |    1 |   7375.96        |
| 51.   | Balia           |   16 | 118604           |
| 52.   | Azamgarh        |    7 |  22970.7         |
| 53.   | Mau             |    2 |  14163.9         |
| 54.   | Gorakhpur       |    9 |  56762.9         |
| 55.   | Maharajganj     |    7 |  32707.7         |
| 56.   | Deoria          |    0 |      0           |
| 57.   | Kushinagar      |    1 |   2200           |
| 58.   | Basti           |    2 |   9162.95        |
| 59.   | SantKabir Nagar |    1 |   7188.5         |
| 60.   | Siddharth Nagar |    0 |      0           |
| 61.   | Gonda           |    1 |   6590.9         |
| 62.   | Balrampur       |    0 |      0           |
| 63.   | Bahraich        |    6 |  25464.2         |
| 64.   | Shravasti       |    0 |      0           |
| 65.   | Lucknow         |   22 | 144115           |
| 66.   | Unnao           |   19 | 132180           |
| 67.   | Rae Bareli      |   27 | 197252           |
| 68.   | Sitapur         |    8 |  49664           |
| 69.   | Hardoi          |   31 | 189581           |
| 70.   | LakhimpurKheri  |    3 |  19657.9         |
| 71.   | Ayodhya         |    9 |  58714.1         |
| 72.   | Ambedkar Nagar  |    8 | 183252           |
| 73.   | Sultanpur       |    5 |  26097.6         |
| 74.   | Amethi          |    3 |  15320.2         |
| 75.   | Barabanki       |   34 | 342533           |
|       | Total           | 1908 |      1.59825e+07 |

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