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Administrative Approval for implementation of Centrally Sponsored Scheme - National Livestock Mission-EDEG Component - Year 2019-20

Ref No: NB. DoR /GSS/942 /NLM-1/2019-20                     27thJune 2019
Circular No. 205 / DoR – 58 / 2019
The Chairman/ Managing Director
All Scheduled Commercial Banks/
All Scheduled Urban Banks,
Regional Rural Banks / ADFCs /
State Cooperative Banks /
State Cooperative Agriculture Rural Development Banks,
Other institutions eligible for NABARD refinance.
 
Dear Sir
 
Administrative Approval for implementation of Centrally Sponsored
Scheme - National Livestock Mission-EDEG Component – Year 2019-20.
We are pleased to advise that the Department of Animal Husbandry and Dairying, Ministry of Animal Husbandry, Dairying and Fisheries, Government of India vide their letter no. 99-6/2018/NLM/Adm. Approval dated 26th April 2019 has approved the continuation of the captioned Scheme for the year 2019-20.
 
The total budget allocation for 2019-20 is Rs.199.89 crores and the State-wise, Category- wise allocation as communicated the Department of Animal Husbandry and Dairying, Ministry of Animal Husbandry, Dairying and Fisheries, Government of India vide their letter No.99-23/2014/LM/LD/EDEG Vol –I dated 12 June 2019 is indicated in Annexure I. The scheme has been given interim extension beyond 12th plan period pending appraisal / approval of the scheme, subject to the condition that there shall be no change in nature, scope and coverage of the scheme as approved for the 12th plan. The detailed operational guidelines are available at www.dahd.nic.in.
 
2. NABARD will be the implementing agency under Entrepreneurship Development & Employment Generation (EDEG) component of National Livestock Mission.  This includes i.e. Poultry Venture Capital Fund (PVCF), Integrated Development of Small Ruminants and Rabbit (IDSRR), Pig Development (PD), Salvaging of Male Buffalo Calves (SMBC). 
 
3. Department of Animal Husbandry and Dairying, Ministry of Animal Husbandry, Dairying and Fisheries, Government of India have introduced two new components under NLM – EDEG i.e. i) Effective Animal Waste Management and ii) Construction of Storage facility for Feed and Fodder. The implementing agency will be State Government and NABARD will be fund - channelizing agency.
 
The sub-components of above point no. 2 and 3 are furnished in Annexure –A-I (B). The rate of subsidy for various areas and various categories of the beneficiaries are furnished in Annexure–A-I (C).


4. The extract of the operational guidelines are as under:-
 
I) Beneficiaries:- Farmers, individual entrepreneurs, NGOs, Companies, Cooperatives, Groups of organized and unorganized sector which includes Self-Help Groups ( SHGs) and Joint Liability Groups (JLGs)
II) Eligible Financial Institutions:– Commercial Banks, Urban Banks, Regional Rural Banks, State Cooperative Banks, State Cooperative Agriculture and Rural Development Banks and such other Institutions eligible for refinance from NABARD.
 
III) Sanction of Project by Banks / Financial Institutions & Release of Subsidy:– The entrepreneur will prepare a project report as per scheme norms and submit to the bank / financial institution for their sanction. The Bank / Financial Institution shall appraise the project as per administrative approval issued by DADF from time to time and if found eligible, sanction loan (Total Financial Outlay (TFO) – Margin Money). After sanction of proposal by Banks / Financial Institutions, the controlling office will upload the details as per the template prescribed in the EDEG Portal within 30 days of sanction of loan and block eligible subsidy amount. On successful upload and post validation, the bank will release the entire credit / first instalment as the case may be. The details of entire credit / first instalment may be updated within 30 days of first upload. Thereafter, the loan amount shall be disbursed in suitable instalments, if required, depending on the progress of the unit.
The Banks/ Financial Institutions controlling office shall ensure the subsidy claims should be uploaded within stipulated time-period failing which the system will delete the application automatically, as budget cannot be earmarked for unlimited period.
The applications rejected due to incomplete details or any other reason, the applications has to be uploaded afresh after making necessary corrections.
IV) Furnishing of Aadhar Details:- It is mandatory to furnish Aadhar Card No. (12 digits) details in the templet of NLM Portal for all the beneficiaries by the bank / financial institution.
V) Project Sanctioning Committee (PSC):– The Project Sanctioning Committee (PSC) set up at NABARD Head Office shall consider proposals uploaded by Concerned Financing Bank / Institutions in portal and approve the subsidy cases of eligible applicants within one month of receipt of the proposal.
VI) Release of Subsidy:-The subsidy will be released subject to availability of the category-wise funds allocated to the states.
VII) Adjustment of Subsidy:-The financing Bank / institution would keep subsidy amount borrower-wise in “Subsidy Reserve Fund Account’’ (SRFA) in their books of accounts and adjust the subsidy amount in the subsidy reserve fund account of the beneficiary within seven days of the receipt of subsidy from NABARD failing which the financing bank / financial institution shall be liable to compensate the beneficiary to the extent of the additional interest charged. The controlling office of the financing bank / institution shall submit utilization certificate to the effect that the subsidy amount has been credited to the Subsidy Reserve Fund Account (SRFA) of the beneficiary along with details of the beneficiary. The certificate should be submitted / uploaded on NABARD online within fifteen days of receipt of subsidy.



VIII) Repayment period / grace period:-
EDEG  Component    Repayment Period    Grace Period
Poultry Venture Capital Fund (PVCF)    5 to 9 years    6 months to 1 year
Integrated Development of Small Ruminants and Rabbits (IDSRR)    Maximum 9 Years    2 Years
Pig Development (PD)    5 to 6 years    1 Year
Salvaging of Male Buffalo Calves (SMBC)    4 to 6 years    1 Year

IX) Time limit for completion of the project:-  Time limit for completion of project would be as envisaged under the project subject to maximum of 12 months from the date of disbursement of first instalment of loan. This maximum period may be extended by 3 months by the financing bank/Financing Institutions in cases where justification given by the beneficiary is found adequate.
X) Lock in Period for Subsidy:– The subsidy kept by the bank in borrowers “Subsidy Reserve Fund Account’’ (SRFA) can be adjusted to borrowers account after period of three years and shall be returned if the account becomes a Non-Performing Asset (NPA).
XI) Margin Money:- RBI guidelines to be followed as applicable from time to time.
XII) Priority in Providing Assistance:- Priority may be given to the beneficiaries from the categories of Scheduled Caste, Scheduled Tribe, landless, small, marginal and BPL category farmers along with farmers belonging to drought and flood affected areas of the country.
5. Monitoring and Reporting:- The units set up will be monitored by NABARD on sample basis and major observation would be placed before the Project Sanctioning Committee (PSC).
6. This may be brought to the notice of your concerned branches.

Please acknowledge receipt.

Yours faithfully




(G. R. Chintala)
Chief General Manager

Encl: As Above


ANNEXURE - I
Budgetary allocation for Component-EDEG of National Livestock Mission for FY 2019-20
*Allocation for other than NER States for FY 2019-20                                                      (Rs. In lakh)
S. No.    Name of the State / UTs    General / Others    Scheduled Tribe    Scheduled Caste    Total
1    And. & Nic. Island    20.00    2.00    0.00    22.00
2    Andhra Pradesh    3401.00    400.00    700.00    4501.00
3    Bihar    350.00    45.00    87.00    482.00
4    Chhattisgarh    50.00    50.00    10.00    110.00
5    Dadra & Nagar Haveli    9.00    6.00    2.00    17.00
6    Daman & Diu    10.00    1.00    2.00    13.00
7    Goa    10.00    1.00    5.00    16.00
8    Gujarat    135.00    20.00    50.00    205.00
9    Haryana    150.00    0.00    50.00    200.00
10    Himachal Pradesh    150.00    20.00    50.00    220.00
11    Jammu & Kashmir    200.00    45.00    70.00    315.00
12    Jharkhand    50.00    29.00    20.00    99.00
13    Karnataka    1000.00    160.00    270.00    1430.00
14    Kerala    920.00    80.00    200.00    1200.00
15    Lakshadweep    1.00    9.00    0.00    10.00
16    Madhya Pradesh    50.00    20.00    25.00    95.00
17    Maharashtra    2000.00    100.00    300.00    2400.00
18    Odisha    50.00    20.00    20.00    90.00
19    Punjab    200.00    0.00    100.00    300.00
20    Rajasthan    450.00    55.00    100.00    605.00
21    Tamil Nadu    1500.00    200.00    450.00    2150.00
22    Telangana    2060.00    400.00    600.00    3060.00
23    Uttar Pradesh    200.00    25.00    50.00    275.00
24    Uttarakhand    150.00    24.00    75.00    249.00
25    West Bengal    600.00    84.00    200.00    884.00
26    NCT of Delhi    5.00    0.00    1.00    6.00
27    Puducherry    25.00    0.00    10.00    35.00
    Total (A)    13746.0.0    1796.00    3447.00    18989.00
Allocation for NER States for FY 2019-20                                                                              (Rs. In lakh)
S. No.    Name of the State    General / Others    Scheduled Tribe    Scheduled Caste    Total
1    Arunachal Pradesh    29.00    61.00    0.00    90.00
2    Assam    418.00    65.00    37.00    520.00
3    Manipur    16.00    12.00    1.00    29.00
4    Meghalaya    4.00    26.82.00    0.18    31.00
5    Mizoram    6.00    102.88    0.12    109.00
6    Nagaland    22.00    142.00    0.00    164.00
7    Sikkim    17.00    9.00    1.00    27.00
8    Tripura    15.00    10.00    5.00    30.00
    Total (B)    527.00    428.70    44.30    1000.00
Grand TOTAL (A)+(B)    14273.00    2224.70    3491.30    19989.00

ANNEXURE-A-I (B)

Sub-mission: Livestock Development 
Indicative subsidy ceilings under the component of Entrepreneurship Development and Employment Generation‟ (EDEG)

Sub-component - Poultry Venture Capital Fund (PVCF)-EDEG
S. No.    Component    Ceiling of Subsidy
I    Breeding Farms for Birds of alternate species like turkey, ducks, Japanese quails, guinea fowl and geese.    At 25% level subsidy- subsidy ceiling Rs. 7.50 lakh Varies depending on the species and unit size. 
II    Central Grower Units (CGU) – upto 16000 layer chicks per batch.    At 25% level subsidy- subsidy ceiling Rs. 10 lakh for a unit of 16000 layer chicks per batch (three batches a year) Minimum unit size – 16000 layer chicks per batch.
III    Hybrid Layer (chicken) Units – upto 20000 layers.    At 25% level subsidy- subsidy ceiling Rs. 2 lakh for 2000 layer unit – Varies with size. Minimum unit size – 2000 layer.
IV    Hybrid Broiler (chicken) Units – upto 20000 birds. Can be weekly, fortnightly, monthly, all-in all-out batches. Bird strength at any point of time should not exceed 20000 birds    At 25% level subsidy- subsidy ceiling Rs. 0.56 lakh for a batch of 1000 broilers - Varies with size. Minimum unit size – 1000 Broilers.
V    Rearing of Poultry like low-input technology variety of chicken and other alternative species like turkey, ducks, Japanese quails, guinea fowl and geese.    At 25% level subsidy- subsidy ceiling Rs. 5 lakh Varies with the species and unit size.
VI    Feed Mixing units (FMU) - 1.0 ton per hour.
Disease Investigation Lab (DIL)    At 25% level subsidy- subsidy ceiling Rs. 4 lakh.
VII    Transport Vehicles – open cage    At 25% level subsidy- subsidy ceiling Rs. 2 lakh 
VIII    Transport Vehicles –   Refrigerated    At 25% level subsidy- subsidy ceiling Rs. 3.75 lakh
IX    Retail outlets – Dressing units    At 25% level subsidy- subsidy ceiling Rs. 2.50 lakh
X    Retail outlets – marketing units    At 25% level subsidy- subsidy ceiling Rs. 3.75 lakh
XI    Mobile marketing units    At 25% level subsidy- subsidy ceiling Rs. 2.5 lakh
XII    Cold storage     for poultry products    At 25% level subsidy- subsidy ceiling Rs. 5 lakh
XIII    Egg / Broiler Carts    At 25% level subsidy- subsidy ceiling Rs. 3750/-
Sub-component - Integrated Development of Small Ruminants and Rabbits (IDSRR)-EDEG
I    Commercial Units of 10 ewe / does+ 1 ram / buck      At 25% level subsidy- subsidy ceiling Rs. 12,500/- . Minimum unit size 10 ewe/does + 1 ram/buck. (Maximum 4 units.)
II    Breeding farms with 100 ewe / does + 5 ram / bucks     At 25% level subsidy- subsidy ceiling Rs.2,50,000/-. Minimum and Maximum unit size 100 ewe/does + 5 ram / bucks.
III    Commercial rabbit -Angora units with 15 females + 5 males     At 25% level subsidy- subsidy ceiling Rs. 75,000/-.  Minimum and Maximum unit size 15 females + 5 males.
IV    Rabbit - Angora breeding Farms with 15 females + 5 males    At 25% level subsidy- subsidy ceiling Rs. 75,000/- Minimum and Maximum unit size 15 females + 5 males.
Sub-component - Pig Development-EDEG
I    Commercial rearing units (3 sows + 1 Boar)     At 25% level subsidy- subsidy ceiling Rs. 25,000/- Minimum unit size 3 sows + 1 Boar. (Maximum 4 units.)
II    Pig Breeding Farms (20 sows + 4 Boars)     At 25% level subsidy - subsidy ceiling Rs. 2,00,000/-. Minimum and Maximum unit size 20 sows + 4 Boars.
III    Retail Pork Outlets with facility for chilling     At 25% level subsidy - subsidy ceiling Rs. 3,00,000/-.
Sub-component - Salvaging of Male Buffalo Calves-EDEG
I    Mini Units: Rearing of male
Buffalo calves upto 25 calves.     At 25% level subsidy - subsidy ceiling Rs. 6,250/- per calf. It would be implemented by the NABARD. The beneficiary will have to avail bank loan to a tune of minimum 50% of project cost minus subsidy and prescribed beneficiaries share.
II    Commercial Units: Rearing of male Buffalo calves, more than 25 calves upto 200 calves at one location.     At 25% level subsidy - subsidy ceiling Rs. 1,50,000/- per 25 calves (at the rate of Rs.6,000/- per calf). It would be implemented by the NABARD. The beneficiary will have to avail bank loan to a tune of minimum 50% of project cost minus subsidy and prescribed beneficiary share. 
III    Industrial Rearing Units: more than 200 calves upto 2000 Buffalo calves at one location.     At 25% level subsidy - subsidy ceiling Rs. 6,25,000/- per 200 calves (at the rate of Rs.3,125/- per calf). It would be implemented by the APEDA and subsidy would be channelized through NABARD. The beneficiary will have to avail bank loan to a tune of minimum 50% of project cost minus subsidy and prescribed beneficiary share.
Sub-Component - Effective Animal Waste Management
I    Building    At 25% level Subsidy – subsidy ceiling Rs. 25lakhs.
II    Plant and Machinery    At 25% level Subsidy – subsidy ceiling Rs. 25lakhs.
III    Utility Equipments    At 25% level Subsidy – subsidy ceiling Rs. 15lakhs.
IV    Pre-operative expenses    At 25% level Subsidy – subsidy ceiling Rs. 5lakhs
V    Working capital margin    At 25% level Subsidy – subsidy ceiling Rs. 5lakhs
Sub-Component – Construction of Storage Facility for Feed and Fodder.
I    Storage Structure for Feed / Fodder
(Min 1000 ACU)    At 25% level Subsidy – subsidy ceiling Rs. 125lakhs
II    Equipment for handling Feed // Fodder    At 25% level Subsidy – subsidy ceiling Rs. 25lakhs

Note:- (a) The ceiling on subsidy in general is at the rate of 25%. Pro-rata variable subsidy depending on category of beneficiary and location of the project will be applicable. The unit cost assumed for calculation of ceiling of subsidy is indicative only and Joint Monitoring Committee, NLM can revise or modify as per the prevailing market price in the area, based on inputs from SLMC/NABARD.
(b) Rearing of male buffalo calves for a minimum period of 24 months.
(c) All units under “Entrepreneurship Development and Employment Generation”, include provisions for feed and fodder, silage making, biosecurity and healthcare, insurance and other project activities etc.
(d) An entrepreneur may avail more than one unit (maximum 4 units) of Commercial Unit of 10 ewe / does+ 1 ram / buck and; Commercial rearing units (3 sows + 1 Boar).
(e) No multiple unit will be allowed for other activities under the Component- EDEG.
(f) The back ended subsidy will be restricted to 25% - 40% for Salvaging of Male Buffalo Calves, depending upon various areas and categories i.e. maximum 40% for BPL/SC/ST categories of North East Region / Hill Areas / LWE affected districts and BPL/SC/ST/ APL categories of Difficult Areas.

ANNEXURE -A-I (C)
 Proportion of Subsidy for various areas and various categories of beneficiaries.

NORMAL AREAS:-
Category    Back ended subsidy    Credit    Beneficiary Share / Margin Money
BPL / SC / ST     33.33%    56.67%    10%
APL     25%    65%    10%

NORTH EAST REGION / HILL AREAS / LWE AFFECTED DISTRICTS:-
Category     Back ended Subsidy     Credit     Beneficiary Share / Margin Money
BPL / SC / ST     50%    40%    10%
APL     35%    55%    10%

DIFFICULT AREAS:-
Category     Back ended Subsidy     Credit     Beneficiary Share / Margin Money
BPL / SC / ST     60%    30%    10%
APL     45%    45%    10%

Abbreviations: BPL: Below Poverty Line, SC / ST: Schedule Caste / Schedule Tribe,
APL: Above Poverty Line, ACU: Adult Cattle Unit.

TYPES OF AREAS:

NORMAL AREAS: All areas which do not fall under the subsequent categories.
 
NORTH EAST REGION: Seven NE States and Sikkim

HILL AREAS: Designated Hill Areas indicated below:
State    Districts    State    Districts
Assam     North Cachar
Karbi Anglong     West Bengal     Darjeeling
Uttarakhand     Dehradun
Pauri Garhwal
Tehri Garwhal
Chamoli 
Uttarkashi
Nainital 
Almora 
Pithoragarh     Himachal Pradesh     Chamba 
Kinnaur
Kullu
Lahauland Spiti 
Shimla
Kangra
 
Jammu & Kashmir     Kathua Udhampur
Doda
Baramulla     Tamil Nadu
     Nilgiris  
 
Mizoram    Chimptuipui
Lungelei Town in Lunglei
District          



Notified Left Wing Extremist Affected Districts (90 Nos.)
Andhra Pradesh     Jharkhand     Odisha (cont.)
1.East Godavari     37.Bokaro     71.Nayagarh
2.Guntur     38.Chatra     72.Nuapada
3.Srikakulam     39.Dhanbad     73.Rayagada
4.Visakhapatnam     40.Dumka     74.Sambhalpur
5.Vizianagaram     41.East Singhbhum     75.Sundargarh
6.West Godavari     42.Garhwa    
    43.Giridih     Telangana
Bihar     44.Gumla     76.Adilabad
7.Arwal     45.Hazaribagh     77.Bhadradri-Kothagudem
8.Aurangabad     46.Khunti     78.Jayashanker-Bhupalpally
9.Banka     47.Koderma     79.Khammam
10.East Champaran    48.Latehar     80.Komaram-Bheem
11.Gaya     49.Lohardaga     81.Mancherial
12.Jamui     50.Palamu     82.Peddapalle
13.Jehanabad     51.Ramgarh     83.Warangal Rural
14.Kaimur     52.Ranchi    
15.Lakhisarai     53.Simdega     Uttar Pradesh
16.Munger     54.Saraikela-Kharaswan     84.Chandauli
17.Muzaffarpur     55.West Singhbhum    85.Mirzapur
18.Nalanda         86.Sonebhadra
19.Nawada     Madhya Pradesh    
20.Rohtas     56.Balaghat     West Bengal
21.Vaishali     57.Mandla    87.Jhargram
22.West Champaran       
    Maharashtra    Kerala
Chhattisgarh     58.Chandrapur     88.Malappuram
23.Balod     59.Gadchiroli     89.Palakkad
24.Balrampur     60.Gondia    90.Wayanad
25.Bastar        
26.Bijapur     Odisha    
27.Dantewada     61.Angul    
28.Dhamtari     62.Bargarh    
29.Gariyabad     63.Bolangir    
30.Kanker     64.Boudh    
31.Kondagaon     65.Deogarh    
32.Mahasamund     66.Kalahandi    
33.Narayanpur     67.Kandhamal    
34.Rajnandgaon     68.Koraput    
35.Sukma     69.Malkangiri    
36.Kabirdham    70.Nabrangpur    

DIFFICULT AREAS:- Notified Difficult Areas like Leh, Ladakh, Kargil areas, areas above 11,000 ft. height from main sea level as well as difficult islands.
Note:- List of Hill areas, Notified Left Wing Extremist Affected Districts and Difficult areas will be in line with time to time updated/notified list of related Ministries/Departments of Government of India.