Page 27 - Banking Finance September 2023

ARTICLE

ANIMAL HUSBANDRY

INFRASTRUCTURE

DEVELOPMENT FUND

(AHIDF) SCHEME 2.0

(A booster for priority sector lending)

n pursuance of announced Atma Nirbhar Bharat investors will ensure availability of capital to meet upfront
I Abhiyan stimulus package, Cabinet approved setting investment required for these projects and also help
enhance overall returns/ pay back for investors. Such
up of Animal Husbandry Infrastructure Development
Fund (AHIDF) amounting to Rs. 15000 crore.
Government had earlier approved the Dairy Infrastructure investments in processing and value addition infrastructure
by eligible beneficiaries would also promote exports.
Development Fund (DIDF) worth Rs. 10,000 crores for
incentivizing investment by cooperative sector for Since almost 50-60% of the final value of dairy output in India
development of dairy infrastructure. However, the MSMEs flows back to farmers, the growth in this sector can have
and Private companies also need to be promoted and significant direct impact on farmer's income. Size of dairy
incentivized for their participation in processing and value market and farmers' realization from milk sales is closely
addition infrastructure in the animal husbandry sector. linked with development of organized off-take by
cooperative and private dairies.
There is huge potential waiting to be unlocked through
private sector investment in animal husbandry sector. The
AHIDF with the interest subvention scheme for private

About the author

Pravindra Kumar
Senior Manager (Faculty, for Rural
and Agri-business department)
Union Bank of India, Gurugram

BANKING FINANCE | SEPTEMBER | 2023 | 27