Definition
- For the purpose of the scheme, rural slaughter houses are those which are located in places with a population of less than 50,000.
- Implementing period and Area of Operation
- The pilot phase will be implemented during the remaining XI plan period in three states viz. Andhra Pradesh, Meghalaya and Uttar Pradesh on a first come first serve basis.
- Eligibility
Any company, partnership firm, NGO and individual entrepreneur would be eligible for the assistance if they set up/ modernize the slaughter houses / poultry dressing units as per guidelines laid down. They should have the necessary approval of the local body to take up the work.
Each entrepreneur would be eligible to avail benefit under the scheme for two units per State with a ceiling of four units under the scheme.
Project Costs and ceilings on Subsidy.
The indicative project costs and ceiling on subsidy for different activities are given below
| S.No(1) | Component(2) | Total financial outlay Rs lakh (3) |
Quantum of Capital Subsidy(4) |
| 1 | Establishing small/medium /large slaughter houses | ||
| a | Model I - upto 50 small ruminants | 66.00 | 50 % of total financial outlay as back ended subsidy subject to a ceiling of Rs.30 lakh |
| (1) | (2) | (3) | (4) |
| b | Model II -upto 25 large ruminants and 50 small ruminants | 99.00 | 50 % of total financial outlay as back ended subsidy subject to a ceiling of Rs 45 lakh |
| c | Model -III - upto 50 large and 200 small ruminants | 483.00 | 50% of total financial outlay as back ended subsidy subject to a ceiling of Rs 200 lakh |
| d | Poultry dressing units * | Depends on the capacity, automation etc | 50 % of total financial outlay as back ended subsidy subject to a ceiling of Rs 200 lakh |
| 2 | Modernisation of existing facilities | Depends on the extent of modernization, capacity | 50 % of total financial outlay as back ended subsidy subject to a ceiling of Rs 200 lakh |
| 3 | Byproducts utilization plant | Will vary depending on the capacity | 50 % of total financial outlay as back ended subsidy subject to a ceiling of Rs 30 lakh |
| 4 | Cold storage and cold chain | Will vary depending on the capacity | 50 % of total financial outlay as back ended subsidy subject to a ceiling of Rs 30 lakh |
| 5 | Certification on quality | Rs 2 lakh per unit | Rs 2 lakh per unit as grant |
* Total amount of subsidy for poultry dressing units will be limited to 25%, i.e. Rs 10 crore, of budgeted outlay of the scheme.
The capacity and unit costs given above are indicative for all the three models. Units with higher costs could also be considered subject to their feasibility and viability. However, subsidy would be limited to the subsidy ceilings indicated above at para 6.1.
Units with higher capacities and outlays shall also be covered under the scheme subject to their feasibility and viability. Subsidy in such cases, however, shall be 50% of the total financial outlay with the subsidy ceiling of Rs 200 lakh as indicated above
Funding pattern
- Entrepreneur contribution ( margin) - 25% of the total financial outlay (minimum)
- Back ended capital subsidy - 50% of the TFO subject to ceiling as per para 6.1
- Bank Loan - 25% of the outlay (minimum)
In case the total financial outlay is more than that indicated above, either the entrpreneur can bring that amount as additional margin or the bank can sanction it as a loan.
Linkage with credit
Assistance under the scheme would be purely credit linked and subject to sanction of the project by eligible financial institutions
Eligible financial institutions
- Commercial Banks
- Regional Rural Banks
- State Cooperative Banks
- State Cooperative Agriculture and Rural Development Banks: and
- Such other institutions, which will be eligible for refinance/cofinance from NABARD