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Cold Storage Subsidy in India: How to Get a 35–50% Government Grant

6 min read · Category: Cold Chain

Integrated cold chain and cold storage facility

Cold storage and cold chain projects are capital-intensive — but they attract some of India's most generous grants. Between MoFPI's PMKSY Integrated Cold Chain scheme and the National Horticulture Board (NHB), a well-structured project can secure 35–50% government support.

PMKSY Integrated Cold Chain scheme

Under PMKSY, the Integrated Cold Chain & Value Addition Infrastructure scheme offers 35% grant-in-aid in general areas and 50% in the North-East, Himalayan states and other difficult areas, up to ₹10 crore per project. It covers pre-cooling, cold storage, IQF (individual quick freezing), ripening chambers, and refrigerated (reefer) transport — an unbroken chain from farm gate to consumer.

NHB cold storage support

The National Horticulture Board provides a credit-linked, back-ended capital subsidy for standalone cold storage and horticulture post-harvest infrastructure — a strong option for farm-linked and horticulture-focused projects. Choosing between PMKSY and NHB depends on your project type and scale; we help you pick the best fit.

Eligibility essentials

Companies, partnerships, proprietors, FPOs and cooperatives are eligible. As with most schemes, support is credit-linked — a bank term loan must be sanctioned first. Your project must meet technical norms for temperature zones, capacity and value addition.

Why the DPR decides your outcome

A cold chain DPR must nail refrigeration design, electrical load, capacity planning, eligible-cost justification and realistic financials. Applications frequently fail on incorrect cost allocation. A professionally prepared DPR improves both lender confidence and your evaluation score.

Application steps

Assess feasibility → prepare a bankable DPR → secure bank sanction → apply under PMKSY or NHB → obtain approval → build and commission → claim grant. Timelines typically run a few months to a year.

Work with specialists

We have delivered numerous cold chain, IQF and integrated cold storage projects across India. Get in touch for a free assessment of your cold storage project and its eligible subsidy.

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