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Onion Storage: Government is Offering 50% Subsidy to Farmers

Onion farming is done in many states of India but is more popular in Nashik (Maharashtra) and Alwar (Rajasthan). One big problem that most of the onion growers face is Storage. They do not have a storehouse to preserve onions for a long period and due to this, their onion gets spoiled.

M Kanika
50% Subsidy on Onion Storage
50% Subsidy on Onion Storage

Onion farming is done in many states of India but is more popular in Nashik (Maharashtra) and Alwar (Rajasthan). One big problem that most of the onion growers face is Storage. They do not have a storehouse to preserve onions for a long period and due to this, their onion gets spoiled.  

At the same time, many farmers are forced to sell their onion crops at low prices due to the fear of onion getting spoiled. Keeping this in mind, the government has started giving subsidies to the farmers for the construction of warehouses for the produce.

Currently, the Horticulture Department of Madhya Pradesh is providing subsidies on the construction of 50 metric tons capacity storehouses. The interested farmers can apply for this.

Government's Plan of Constructing Onion Stock House

In order to facilitate the storage of perishable products such as potatoes & onions, it gives subsidies to the farmers for the construction of warehouses. Under this scheme, there is a provision to give a 50% subsidy to the beneficiary farmers on onion storage.

This subsidy is provided to the farmers through the Horticulture Department. Farmers can build a 50 metric ton capacity godown or storehouse.

Subsidy for Construction of Warehouse in Madhya Pradesh / Subsidy on Onion Godown 

  • A maximum cost of Rs. 3, 50,000/- has been fixed by the Madhya Pradesh Horticulture Department for storage of 50 metric ton capacity.

  • In this, farmers are given a grant up to a maximum of Rs 1, 75,000 of the cost. 

  • In this way, up to 50% subsidy is being provided to the farmers of the state for the construction of warehouses.

Target for Setting up Onion Warehouse on Subsidy 

  • Targets have been issued for the Scheduled Castes & Scheduled Tribes farmers of all districts in the state. 

  • One has been issued on the portal, and then the other target has been additionally supplied. In both, targets, farmers belonging to Scheduled Castes & Scheduled Tribes can apply.

  • A total target of 351 has been released for Scheduled Castes and a target of 267 has been issued for the Scheduled Tribes.

  • According to the target released on the portal, 188 farmers for scheduled castes and 266 farmers for scheduled tribes will be given its benefit.

  • At the same time, according to the additional supply target issued by the government, 163 targets have been set for scheduled castes and 1 target for scheduled tribes. 

  • For more information visit the official website of the Madhya Pradesh Horticulture Department.

When Should Farmers Apply for Setting Up Onion Storage? 

  • Farmers willing to set up an onion warehouse on subsidy can apply online. 

  • They can apply from 23rd September 2021 at 11 am onwards. 

  • This application will be done according to the given target of the district. 

  • Applications can be made up to 10% more than the application target.

Necessary Guidelines / Terms & Conditions of Scheme

  • The beneficiary farmer is required to grow onion in an area of ​​at least 2 hectares. Onion storage cannot be used for any other purpose.

  • The construction of the onion storage house should be according to the design/drawing & prescribed criteria issued by NHRDF and it will be necessary to complete the construction of the onion warehouse within a maximum of 6 months after the issuance of the letter of intent.

  • A 3-member committee will be constituted under the chairmanship of Deputy / Assistant Director, Garden of the district for 100% physical verification of the onion storage house built by the farmers.

  • On the basis of the evaluation & physical verification and the recommendation of the committee, the payment of the amount of grant to the concerned farmer will be done by the DBT by MPAGO as per the rules through the bank accounts of farmers.

Where to Apply for Onion Storage

  • Applications have been invited from the State Horticulture and Food Processing Department of Madhya Pradesh for the grant for the setting up of Onion Store. 

  • Applications are made online for all the schemes run by Horticulture Department in the state, so the interested farmers who want to take advantage of the scheme can register themselves on the Horticulture Department of Madhya Pradesh Farmers Subsidy Tracking System via: https://mpfsts.mp.gov.in/mphd/#/   

  • Apart from this, for more information regarding the scheme, you can visit the Department of Horticulture and Food Processing in Madhya Pradesh, or contact the office at the block level.

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