Animal Husbandry Infrastructure Development Fund (AHIDF)
🔷 Context and Rationale
India has long been among the world’s largest producers of milk and meat, but the processing and value addition infrastructure has lagged.
Due to this:
- A large section of rural producers remains unorganized
- Wastage is high
- And price realization is low
To address these challenges, AHIDF was launched as a Central Sector Scheme, with a focus on infrastructure development for milk, meat, and animal feed.
🔍 Quick Overview
Feature | Description |
📌 Purpose | To boost milk & meat processing capacity and product diversification |
💼 Type | Central Sector Scheme |
💰 Nature of Assistance | Term Loan to eligible entities |
🕒 Tenure | Up to FY 2025–26 |
🎯 Objectives of AHIDF
Let’s understand the vision behind this scheme:
- Expand Processing Infrastructure – Improve access for rural milk and meat producers to organized markets.
- Better Price Realization – By value addition and direct market linkage.
- Boost Entrepreneurship & Employment – Encourage private and cooperative investment.
- Enhance Exports – By enabling quality product manufacturing.
- Supply of Quality Animal Feed – Ensure balanced ration for cattle, buffalo, goat, pig, poultry—at affordable prices.
🛠️ Background & Evolution
- AHIDF was initially launched with a ₹15,000 crore corpus under the Atmanirbhar Bharat Abhiyan (post-COVID stimulus).
- Now realigned under the Infrastructure Development Fund (IDF) with a total outlay of ₹29,610.25 crore—making it significantly larger in scope.
💸 Financial Structure of Assistance
Parameter | Details |
🏦 Loan Quantum | Up to 90% of project cost |
📉 Interest Subvention | 3% per annum by DAHD |
⏳ Repayment Tenure | Max 8 years (incl. 2-year moratorium) |
🔐 Security | As per bank norms: hypothecation, mortgage, guarantee, etc. |
🏢 Who Can Apply? (Eligible Entities)
This scheme supports a wide range of private and collective enterprises:
- Individual Entrepreneurs
- Farmer Producer Organizations (FPOs)
- Private Companies, including Section 8 Companies
- Dairy Cooperatives
- Micro, Small, and Medium Enterprises (MSMEs)
📌 The scheme encourages private participation while empowering traditional cooperatives and farmer-led models.
💰 Beneficiary Contribution
Category | Contribution |
Micro & Small Enterprises | 10% |
Medium Enterprises | Up to 15% |
Other Beneficiaries | Up to 25% |
📌 This tiered structure ensures ease of entry for smaller players and better equity from larger businesses.
🛡️ Credit Guarantee Fund
- To support lending to MSMEs and cooperatives, GoI has created a Credit Guarantee Fund of ₹750 crore
- Managed by NABARD, this fund guarantees up to 25% of the term loan
✅ This mitigates lender risk and promotes smoother credit flow.
🌐 Ease of Access
- Online Application Portal:
👉 www.ahidf.udaymimitra.in
A single-window system for application, tracking, and loan processing. - Convergence with Other Schemes:
✨ AHIDF can dovetail with central/state capital subsidy schemes for greater financial support.
📈 Achievements & Impact
- According to the Department of Animal Husbandry and Dairying (DAHD), AHIDF has already helped boost processing capacity by 2–4% in:
- Dairy Sector
- Meat Sector
- Animal Feed Production
💡 This is significant in a sector where even small % improvements mean better income for lakhs of rural producers.
📌 In Summary
AHIDF is not just an infrastructure fund—it’s a rural livelihood multiplier. By promoting organized processing, financial inclusion, and value addition, the scheme empowers:
- Producers with better prices
- Consumers with better quality
- Entrepreneurs with better financing