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Dairy Entrepreneurship Development Scheme (DEDS) – Get Loan Upto 33 Lakhs

Indian central government last year launched a scheme through National Bank for Agriculture and Rural Development  (NABARD) with an objective to bring structural changes in the unorganized sector of dairy farming. It also aims to setting up of modern dairy farms and providing employment opportunities for individuals.This time government has come up with more financial assistance.

Farmers and individuals can take advantage of this scheme. This scheme also provides an opportunities for entrepreneurs interested in dairy farming. Now have a look at the important features and specifications of this scheme:

Who can apply?

  • Farmers, individuals, self-help groups, companies etc. can apply for this scheme.
  • An individual entrepreneur is eligible for one time assistance on all the components.
  • More than one family member can be assisted under this scheme provided that they set up different dairy unit parted by at least 500 m distance.

Financial Assistance:

Financial assistance will depend upon the type of dairy farming which has been described below.

  1. Establishment of small dairy unit with 2-10 cattle (cows and buffaloes)
InvestmentINR 6 Lakh for 10 animal units – minimum unit size is 2 animals with an upper limit of 10 animals Subsidy·         INR 1.50 Lakh subsidy for General category and 1.98 Lakh for SC/ST individuals.

·         Maximum amount has been fixed at INR 15,000 (20,000 for SC/ST farmers) in the case of a single(one) animal unit.


  1. Rearing of Heifer Cows up to 20 calves
InvestmentINR 5.50 Lakh for 20 calves Subsidy·         INR 1.37 Lakh subsidy for General category and INR 1.83 Lakh for SC/ST individuals.

·         Maximum permissible subsidy is INR 33,o00 (44,000 for SC/ST farmers) for 5 calves.


  1. Purchase of milking machines/milk testers/chilling machines
InvestmentINR 20 Lakh Subsidy·         INR 5 Lakh subsidy for General category and INR 6.67 Lakh for SC/ST individuals.



  1. Purchase of dairy processing equipment producing indigenous milk products
InvestmentINR 13.20 Lakh Subsidy·         INR 3.30 Lakh for General category and INR 4.40 Lakh for SC/ST farmers.


  1. For dairy products transportation facilities and cold chain
InvestmentINR 26.50 Lakh SubsidyINR 6.625 Lakh for General category and INR 8.830 Lakh for SC/St farmers.



  1. For cold storage facilities
InvestmentINR 33 Lakh SubsidyINR 8.25 Lakh for General category and INR 11 Lakh for SC/ST farmers.

Note: The subsidy has been calculated on the basis of 25% for General category and 33.33% for SC/ST farmers.

Documents required:

  • The individual should not be a bank defaulter.
  • Land paper for mortgage in the case of loan amount exceeding to INR 1 Lakh.
  • Category certificate.

How it works?

  • Decide which farm activity you will be establishing.
  • Register your company
  • Make a detailed business/project plan for the dairy farm (include a bank loan request too in the proposal and very much of your loan getting sanctioned depends upon this draft).
  • Submit your request to any bank which are eligible for refinance from NABARD.

Scheme Valid: Till 31st July, 2016

For More Information: Click Here


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  1. Dear Sir,
    It is very good news, kindly guide me after july-16 the same scame continue or close because my plan to start the business mid of year 2017.

  2. dear sir i want to open a diary farm i m undergraduate i have 2 acre lands would u please tell me whats its process

  3. I come from an agricultural background and have an experience of 9 years in the dairy field. Out of these 9 years I have an years international experience on a dairy farm in California USA.

    I’m planning to set up a dairy farm with 20 cattle size at Nirmal Pimpri in Ahmednagar district. I have 6 acres of land and I’m looking for a loan of 25 lacs.

    Please consider my email and let me know of any more information you need.

    Thanks and regards
    Mob: 7507063388

  4. I want to open a diary farm in Jaipur please tell me what is process of loan and subsidy.

    Prabhu Dayal Choudhary

  5. Dear sir,
    I Have opened a small dairy now i have 03 buffaloes i want to expand my dairy business i have 01 acre land please suggest me for a loan and what is the process in telangana.

  6. i have 2acers land i plan 5 cows dairy forming .i have 3 years experiance in dairy form i want bank loan .how to get bank loan

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