Project Overview
Overview
Government of India (GoI) has approved the “Dairying through Cooperatives - Key to sustainable livelihood” project as Component B of the National Programme for Dairy Development (NPDD) scheme. Administrative Approval along with Operational Guidelines of the scheme was issued on 03 August 2021.
Objective
“To increase sales of milk and dairy products by increasing farmers' access to organised market, upgrading dairy processing facilities and marketing infrastructure and enhancing the capacity of producers owned institutions, thereby contributing to increase in returns to milk producers in the project area”.
Project Area:
The project will cover all the districts in the nine States namely, Bihar, Uttar Pradesh, Madhya Pradesh, West Bengal, Andhra Pradesh, Rajasthan, Telangana, Punjab and Uttarakhand. The State of Uttarakhand has been covered only for the activities related to Fodder Development.
Project Period:
2021-22 to 2025-26 and will continue till 2027-28.
Project Outlay:
Total outlay of the project is Rs. 1568.28 Crore comprising Rs. 924.56 Crore as an ODA loan from Japan International Cooperation Agency (JICA), Rs. 475.54 Crore as Government of India’s (GoI) contribution and Rs. 168.18 Crore as State/Participating Institution’s (PI) contribution.
Components
The components of the project are as under:
I. Strengthening Milk Procurement Infrastructure
II. Milk Processing Facilities and Manufacturing Facilities (milk & milk products and cattle feed)
III. Support for Marketing Infrastructure
IV. Support for ICT Infrastructure
V. Productivity Enhancement
VI. Project Monitoring and Studies
VII. Training and Capacity Development
Funding
|
No. |
Name of Component/activities |
Funding Pattern |
|
I |
Strengthening Milk Procurement Infrastructure |
|
|
|
- Milk collection accessories, all milk testing equipment at village level & Dairy Cooperative Society (DCS) establishment |
Grant – 90%; PI’s Contri. – 10% |
|
|
- Capital cost on BMC, AMCU/DPMCU and Building for village level producers’ institution |
Loan* – 50%, Grant – 50% |
|
II |
Milk Processing Facilities and Manufacturing Facilities (milk & milk products and cattle feed) |
Loan* – 90% PI’s Contri – 10% |
|
III |
Support for Marketing Infrastructure |
Loan* – 80% Grant – 20% |
|
IV |
Support for ICT Infrastructure |
|
|
V |
Productivity Enhancement |
Grant – 90% PI’s Contri. – 10% |
|
VI |
Project Monitoring & Studies/ Project Management & Learning |
Grant – 100% |
|
VII |
Training and Capacity Development |
Grant – 100% |
* General Administration Expenses, Taxes & duties, Purchase of land and other real property, Compensation and other indirect items are not eligible for financing and will not be considered for reimbursement as loan.