Up to 75% grant for cold chain and food processing — when the window is open.
MoFPI's Integrated Cold Chain and Value Addition Infrastructure component (PMKSY) pays 35-50% of civil works and machinery for storage and transport and 50-75% for processing and irradiation, up to ₹10 crore — and Uttarakhand is a difficult area, so the higher rates apply here. Grants are sanctioned only against Expressions of Interest. As of 26 September 2026, the open call is for food irradiation units, closing 30 September. We get projects ready before windows open, finance them through NABARD's ≤10% refinance, and use AIF's 3% subvention when that fits better.
- Scheme-fit check: MoFPI cold chain vs AIF vs state schemes
- Bankable DPR built to MoFPI EoI format (technical + financial)
- Grant estimate by component, area and applicant category
- Term-loan tie-up with a NABARD-refinance-eligible bank
- Application on the PMKSY (SAMPADA) portal when a window opens
- Grant instalment tracking: 25% · 40% · 35%
The cold chain funding framework in 2026
Three routes, one decision: MoFPI's PMKSY grant (35-75%, only against an open EoI), NABARD's refinance for MoFPI-grant units (loan rate ≤10%), and the Agriculture Infrastructure Fund (3% subvention, any time). The right mix depends on size, produce, location and timing.
MoFPI cold chain grant (PMKSY):
- Integrated chain farm gate → consumer
- Scope: dairy, meat, poultry, fish (not shrimp), non-horticulture produce
- Only against an open Expression of Interest
- Open now: irradiation units, closing 30 Sep 2026
Published pattern of assistance (max ₹10 Cr):
- Storage + transport: 35% general · 50% difficult areas / SC-ST / FPO / SHG
- Processing + value addition: 50% general · 75% difficult areas
- Irradiation: 50% general · 75% difficult areas
- Released 25% · 40% · 35% as funds are spent
Difficult areas:
- Uttarakhand, Himachal, J&K, Ladakh
- North-Eastern states incl. Sikkim
- ITDP areas and islands
Financing add-ons:
- NABARD refinance (2026-27): loan rate ≤10% p.a. for MoFPI-grant units
- AIF: 3% subvention on up to ₹2 Cr, any time
This route fits if...
- You're planning an integrated cold chain — collection or pre-cooling, cold storage, reefer transport and/or processing — for dairy, meat, poultry, fish or non-horticulture produce
- Your project is in a difficult area — Uttarakhand, Himachal, J&K, Ladakh, the North East, ITDP areas or islands — where grant rates are 50% for storage and 75% for processing
- You're an FPO, SHG or SC/ST-promoted enterprise — PIB lists these for the higher 50% storage rate
- You can fund the promoter share and a term loan — the grant is released in three instalments as money is spent
- You want the cheapest loan structure — MoFPI-grant units can get term loans at ≤10% p.a. through NABARD's 2026-27 refinance scheme
- You're planning a food irradiation unit — MoFPI's last call closed on 30 September 2026 — we track the next window
Look elsewhere if...
- You need a grant this month for a general cold store — MoFPI sanctions only against Expressions of Interest, and no general cold-chain call is open as of September 2026
- You're building a standalone cold store for fruit and vegetables — horticulture cold storage sits with NHB/MIDH and Operation Greens, not this component
- Your project is small (under ₹2 crore) — the Agriculture Infrastructure Fund's 3% interest subvention is usually simpler and faster
- You can't arrange a term loan — grant release is tied to promoter contribution and term loan being spent
- It's a micro food unit — PMFME-style credit-linked support fits better (we check current status)
- You want a guaranteed grant — EoIs are competitive and approved by MoFPI's committee; no consultant can promise sanction
What the cold chain routes actually deliver
Grant rates anchored to MoFPI's published pattern · difficult-area uplift for Uttarakhand · NABARD refinance at ≤10% · the live irradiation call · AIF as a year-round alternative · a predictable 25-40-35 release schedule.
35-75% Grant-in-Aid · Up to ₹10 Crore
MoFPI's published pattern of assistance under the Integrated Cold Chain and Value Addition Infrastructure component of PMKSY: 35% (general areas) or 50% (North East, Himalayan states, ITDP areas, islands) for storage and transport — pack house, pre-cooling, ripening chambers, cold storage, reefer vehicles — and 50% / 75% for value addition and processing, including integral frozen storage, and for irradiation. PIB (October 2025) confirms the 50% rate also applies to proposals from SC/ST groups, FPOs and SHGs. Grant is on technical civil works and eligible plant & machinery, capped at ₹10 crore per project. Rates in each EoI's guidelines prevail.
Hill and North-Eastern States Get More
This matters most in difficult areas: PIB lists Uttarakhand (with Himachal Pradesh, J&K, Ladakh, the North-Eastern states including Sikkim, ITDP areas and islands) among difficult areas. That lifts storage grants from 35% to 50% and processing grants from 50% to 75%. On ₹8 crore of eligible civil works and machinery for a dairy processing line, that is the difference between ₹4 crore and ₹6 crore of grant.
Loans at ≤10% via NABARD Refinance (2026-27)
NABARD's Refinance Scheme for affordable credit to food processing units (Circular 109, 21 April 2026) uses the balance ₹983.02 crore of the Food Processing Fund to refinance term loans to units that have received MoFPI grants. Banks get refinance at 4.25%; the final lending rate to you cannot exceed 10% p.a. Refinance covers 100% of the loan in Uttarakhand, Himachal, J&K, the North East and eastern states (85% elsewhere; FPOs 100% everywhere). Only listed banks qualify — so lender choice is critical.
Irradiation Units · Open Call to 30 Sep 2026
In July 2025 the Cabinet raised PMKSY's outlay to ₹6,520 crore, earmarking ₹1,000 crore for 50 multi-product food irradiation units and 100 food testing labs. MoFPI's EoI of 20 May 2026 for irradiation units (guidelines dated 6 August 2024) has been extended to 17:00 on 30 September 2026. Irradiation qualifies at the higher 50% / 75% rate under the published pattern. If you have been evaluating irradiation, this is the live window.
AIF · 3% Interest Subvention Year-Round
The Agriculture Infrastructure Fund (Ministry of Agriculture) is not tied to EoI windows. Loans for cold stores, cold chain and reefer vehicles get 3% p.a. interest subvention on up to ₹2 crore for up to 7 years, plus credit-guarantee cover with the fee paid by the government. Eligible: farmers, FPOs, agri-entrepreneurs, startups, cooperatives and more; the scheme runs to 2032-33. For projects under ₹2 crore — or while no MoFPI window is open — AIF is often the right route.
Grant Paid in Three Instalments
MoFPI releases the grant in 25% · 40% · 35% instalments, each after a matching share of promoter contribution and term loan has been spent (25% → 65% → 100%). The good news: disbursement is predictable. The catch: you fund the project first and the grant follows, so the financing plan has to carry the gap. We model the cash flow month by month so construction never stalls waiting for an instalment.
Coming soon: the cold chain funding journey
Scheme fit → DPR and bank tie-up before any window → apply when an EoI opens → committee approval → build → three grant instalments → operate on a refinanced loan. In 2 minutes.
3-phase journey · Readiness to grant release
Amber = readiness before any window. Gold = the EoI window, evaluation and sanction. Green = construction and three grant instalments. The single biggest advantage is having a complete file ready when a window opens.
Scheme Fit
MoFPI, AIF or horticulture route; realistic grant; financing structure.
DPR + Bank
Engineer estimates, sourcing tie-ups, projections; refinance-eligible lender.
Apply
File adapted to the call and submitted on the SAMPADA portal.
Approval
Queries answered; MoFPI committee selects projects competitively.
Grant 25 · 40 · 35
Instalments after 25%, 65% and 100% of promoter funds and loan are spent.
Refinanced Loan
Term loan at ≤10% p.a. via NABARD refinance for MoFPI-grant units.
6 eligibility scenarios
Documents for the EoI + term loan
Entity and land, project and technical, finance and approvals. The DPR carries the file — engineer-certified estimates, sourcing and offtake, and a realistic means-of-finance plan. We build it before the window opens.
Entity + Land
- Incorporation / registration (company, LLP, FPO, cooperative, SHG)
- PAN, GST, Udyam (if MSME)
- Land title or registered long-term lease
- Location proof for difficult-area rate
- Category certificate (SC/ST) or FPO/SHG registration
- Board resolution / authorisation
Project + Technical
- Detailed Project Report in EoI format
- Civil works estimate by chartered engineer
- Plant & machinery quotations
- Layout, process flow and capacity plan
- Raw-material sourcing tie-ups (farmers / FPOs)
- Market / offtake arrangements
Finance + Approvals
- Term-loan sanction or in-principle letter
- Promoter contribution proof (net worth / funds)
- Audited financials — last 3 years (existing entities)
- Building plan, pollution consent, power sanction
- FSSAI licence (for processing)
- Means of finance + cash-flow projections
Estimate your grant, instalments and financing
Enter eligible civil works + machinery for storage/transport and for processing/irradiation, choose area and applicant type. Shows the grant under MoFPI's published pattern (capped at ₹10 crore), the three instalments, the balance to finance, NABARD refinance share and the AIF alternative. Illustrative only — each EoI's guidelines prevail.
MoFPI Cold Chain vs AIF vs NHB/MIDH · Which route fits
16 dimensions comparing MoFPI's cold chain grant (PMKSY), the Agriculture Infrastructure Fund and horticulture routes through NHB/MIDH. Different ministries, different windows, different produce.
| Criteria | MoFPI Cold Chain (PMKSY) | Agriculture Infra Fund | NHB / MIDH (horticulture) |
|---|---|---|---|
| Nature | Capital grant-in-aid | Interest subvention + guarantee | Capital subsidy (credit-linked) |
| Support | 35-75% of eligible cost | 3% p.a. on up to ₹2 Cr, ≤7 yrs | Per current NHB/MIDH norms |
| Cap | ₹10 Cr per project | Subvention limited to ₹2 Cr loan | Per scheme |
| Produce focus | Dairy · meat · poultry · fish · non-horti | All post-harvest | Fruits & vegetables |
| When you apply | Only against an open EoI | Any time via bank | As per NHB/state windows |
| Difficult-area boost | Yes · 50% / 75% | No | Yes (scheme-specific) |
| FPO / SHG / SC-ST boost | 50% storage rate | Eligible beneficiaries | Scheme-specific |
| Loan needed | Yes · grant tied to spend | Yes · it is a loan benefit | Usually credit-linked |
| Cheap-loan add-on | NABARD refinance · ≤10% | Built in (3% off) | — |
| Release | 25% · 40% · 35% | With each interest period | After completion / as per norms |
| Competition | Competitive EoI evaluation | Bank appraisal only | Scheme appraisal |
| Timeline | EoI-dependent · months | Weeks (bank) | Months |
| Portal | sampada-mofpi.gov.in | agriinfra.dac.gov.in | nhb.gov.in |
| Status Sep 2026 | Irradiation EoI open to 30 Sep | Running (to 2032-33) | Check current window |
| Best for | ₹5-30 Cr integrated chains | Projects to ₹2 Cr, any time | Horticulture cold stores |
| Combine? | With NABARD refinance | Converges with other schemes | Check overlap rules |
India cold chain funding map · 6 frameworks in one chart
The PMKSY component and its live status, the pattern of assistance, difficult areas, the release schedule, NABARD's 2026-27 refinance and the alternatives when MoFPI doesn't fit.
Readiness to grant release · the 4-phase path
Phase 1: scheme fit. Phase 2: DPR and bank tie-up. Phase 3: apply when the window opens. Phase 4: build and claim three instalments. Most of the value is created before the window opens.
Right scheme, right structure
We test your project against MoFPI (component, produce, area, category), AIF and horticulture routes. Output: the realistic grant or subvention, the financing structure, and whether to wait for a MoFPI window or go ahead with AIF now.
MoFPI grants need an open EoI — don't build your plan around a window that isn't openBankable DPR and term-loan tie-up
Engineer-certified civil estimates, machinery quotations, sourcing and offtake tie-ups, and 10-year projections in MoFPI format. In parallel, in-principle term-loan approval from a bank on NABARD's eligible list so the loan can be refinanced at ≤10%.
SBI, PNB and HDFC were not on NABARD's FY 2024-25 eligible list — check before you chooseApply fast when the window opens
Application on the PMKSY (SAMPADA) portal with the DPR, bank letter and approvals. EoI windows are short and competitive — a file prepared in advance is the single biggest advantage. We respond to MoFPI queries until the approval committee decides.
Irradiation EoI closes 17:00, 30 September 2026Spend, certify, claim — three times
Grant arrives in 25% · 40% · 35% instalments after matching shares of promoter contribution and term loan are spent. We track utilisation, prepare claims and keep the bank's refinance paperwork in order so your rate stays within the 10% cap.
Grant follows spending — plan bridge liquidity for each stage6 common cold chain funding mistakes — and how to avoid them
#1: waiting for the EoI before starting the DPR. #2: expecting a MoFPI grant for a standalone fruit cold store. #3: choosing a bank that can't use NABARD refinance. Plus under-funding the spend-to-grant gap, claiming the wrong rate and ignoring AIF.
Waiting for the EoI before starting the DPR
EoI windows are short and competitive. The current irradiation call opened on 20 May 2026 and — even after two extensions — closes on 30 September. A credible DPR with engineer-certified estimates, sourcing tie-ups and a bank letter takes 6-8 weeks. Promoters who start when the notice appears usually submit a thin file or miss the deadline.
Expecting a MoFPI grant for a standalone fruit cold store
MoFPI's cold chain component funds integrated chains, and its stated scope is non-horticulture produce, dairy, meat, poultry and fish. A standalone cold store for fruit and vegetables usually belongs under NHB/MIDH or Operation Greens — or simply AIF.
Picking a bank that can't use NABARD refinance
The 2026-27 refinance scheme keeps your term-loan rate at ≤10% p.a. — but scheduled commercial banks qualify only if they met their agriculture priority-sector sub-target. On NABARD's FY 2024-25 list, SBI, PNB and HDFC Bank did not appear; BoB, Canara, BoI, Axis, Kotak and IDBI did. RRBs and state cooperative banks are also eligible.
Under-funding the gap between spend and grant
The grant is paid after spending: 25% once 25% of promoter funds and term loan are used, 40% at 65%, 35% at 100%. Projects that budget as if the grant arrives up front run out of cash mid-construction.
Claiming the wrong rate
The difficult-area and category rates are substantial — 50% instead of 35% for storage, 75% instead of 50% for processing — but they need proof, and each EoI's guidelines govern. Overstating the rate in the DPR damages credibility; understating it leaves money on the table.
Ignoring AIF while waiting
While no general MoFPI window is open, some promoters freeze the project. The Agriculture Infrastructure Fund runs year-round: 3% interest subvention on up to ₹2 crore for up to 7 years, with government-paid guarantee cover — and it is designed to work alongside other schemes.
Pick your plan
Start with a ₹15,000 Readiness Review (adjusted if you proceed). DPR + Application from ₹60,000 (recommended). End-to-End through three grant instalments from ₹1,49,000. We never charge a share of the grant — and nobody can guarantee a sanction.
- Project mapped to MoFPI / AIF / NHB routes
- Grant or subvention estimate with rate basis
- Area + category eligibility check
- Means-of-finance and grant-gap plan
- NABARD-eligible bank shortlist
- Written go / wait / alternative recommendation
- Fee adjusted against DPR plan if you proceed
- Everything in Readiness Review +
- Detailed Project Report in MoFPI EoI format
- Civil estimate + machinery coordination
- Sourcing and offtake tie-up documentation
- In-principle term-loan support (refinance-eligible bank)
- Portal application when the window opens
- Query responses through committee decision
- AIF application instead, where that fits better
- Final fee depends on project size and components
- Everything in DPR + Application +
- Term-loan sanction and refinance paperwork
- Construction-stage utilisation tracking
- Three grant instalment claims (25 · 40 · 35)
- Chartered-engineer and CA certification coordination
- Monthly progress reporting to promoter and bank
- For ₹5-30 Cr integrated cold chain projects
Prefer a call back?
Leave your number and a good time — we call within business hours (Mon–Sat, 10 am–7 pm) about MOFPI Cold Chain Subsidy.
MSME funding desk · ₹120+ Cr facilitated in FY26
The Tax Paramarsh desk
"Cold chain grants are generous — up to 75% for processing in hill and North-Eastern states — but they only open in windows, and the windows are short. The promoters who win are the ones whose DPR, bank letter and land papers are ready before the notice appears. We're also straight about timing: if no window is open and your project is small, AIF's 3% subvention now is usually better than waiting. And we'll never promise a sanction — MoFPI's committee decides."
What business owners say about our funding work
Common questions
Straight answers on status, rates, Uttarakhand, produce scope, release schedule, NABARD refinance, AIF and timelines. Still curious? WhatsApp us anything.
What is the MoFPI cold chain scheme, and is it open now?
It is the Integrated Cold Chain and Value Addition Infrastructure component of Pradhan Mantri Kisan SAMPADA Yojana (PMKSY), run by the Ministry of Food Processing Industries. It gives grant-in-aid for integrated cold chain, preservation and value-addition infrastructure from farm gate to consumer.
Status as of 26 September 2026:
- PMKSY's approved outlay of ₹6,520 crore covered the 15th Finance Commission cycle to 31 March 2026
- MoFPI's open call under this component is for multi-product food irradiation units — EoI dated 20 May 2026, closing 17:00 on 30 September 2026
- We have not seen an open call for general integrated cold chain projects; MoFPI sanctions grants only against EoIs it issues from time to time
We check MoFPI's announcements for every engagement and tell you plainly whether a window is open.
How much grant can I get?
Published pattern of assistance (on technical civil works + eligible plant & machinery, max ₹10 crore per project):
- Storage and transport (pack house, pre-cooling, ripening, cold storage, reefers): 35% general areas · 50% NE, Himalayan states, ITDP areas, islands — PIB also lists SC/ST groups, FPOs and SHGs for 50%
- Value addition and processing (incl. integral frozen storage): 50% general · 75% difficult areas
- Irradiation: 50% general · 75% difficult areas
Each EoI's own guidelines prevail — the current irradiation call follows guidelines dated 6 August 2024.
Is Uttarakhand a difficult area?
Yes. PIB's October 2025 note lists difficult areas as the North-Eastern states (including Sikkim), Uttarakhand, Himachal Pradesh, Jammu & Kashmir, Ladakh, ITDP areas and islands. Storage grants rise from 35% to 50% and processing from 50% to 75%.
Uttarakhand is also a 100% refinance region under NABARD's 2026-27 food processing refinance scheme — so both the grant and the loan terms are better for projects in the state.
What produce does it cover? Can I build a cold store for apples?
MoFPI describes the component's scope as non-horticulture produce, dairy, meat, poultry and marine/fish (except shrimp). Horticulture value chains are served through other routes — NHB/MIDH for horticulture cold storage and MoFPI's Operation Greens.
For an apple cold store, we would look at NHB/MIDH's current norms and the Agriculture Infrastructure Fund (3% interest subvention on up to ₹2 crore), which covers cold stores for all produce.
How is the grant paid?
In three instalments:
- 25% of the grant after 25% of promoter contribution and 25% of the term loan have been spent
- 40% after the first instalment is used and 65% of promoter contribution and term loan are spent
- 35% after the second instalment is used and 100% of promoter contribution and term loan are spent
You fund the work first; the grant follows. That is why a month-by-month means-of-finance plan — with a bridge where needed — is part of every file we prepare.
What is the NABARD refinance scheme and who qualifies?
NABARD Circular 109 (21 April 2026) created a Refinance Scheme for affordable credit to food processing units from the balance ₹983.02 crore of the Food Processing Fund, for 2026-27 or until used.
- Who benefits: food processing units that have received MoFPI grants and taken a term loan
- Your rate: final lending rate not above 10% p.a. (banks refinance at 4.25%)
- Refinance share: 100% in NE, J&K, HP, Uttarakhand, eastern states, Lakshadweep, Chhattisgarh; 85% elsewhere; 100% for FPOs anywhere
- Loan conditions: standard asset, at least 18 months residual maturity, total bank borrowing up to ₹100 crore
- Banks: state cooperative banks, RRBs, and scheduled commercial banks that met their agriculture PSL sub-target (FY 2024-25 list includes BoB, BoI, Canara, Central, Indian Bank, Axis, Kotak, IDBI, Federal and others)
What does your service cost, and what does the government charge?
There is no government application fee for applying on the PMKSY portal. Our fees cover work: the Readiness Review (₹15,000) tells you whether and how to proceed; the DPR + Application plan (from ₹60,000) and End-to-End (from ₹1,49,000) are priced by project size and components.
We don't charge a percentage of the grant, and no consultant can guarantee a sanction — EoIs are competitive and decided by MoFPI's committee.
Can I combine the MoFPI grant with AIF or other schemes?
MoFPI grant + NABARD refinance: yes — the refinance scheme exists specifically for MoFPI-grant units.
AIF is designed to converge with other central and state schemes, but overlap rules differ by scheme and by what is being funded. We check both sets of guidelines before combining and show the combined benefit only where both clearly allow it. A common structure is AIF for an early phase and a MoFPI application for a later expansion.
How long does it take?
- Readiness review: 1-2 weeks
- DPR + bank tie-up: typically 6-8 weeks
- MoFPI evaluation: depends on the EoI — from window close to committee decision often takes several months
- Construction + grant release: over the build period, in three instalments
AIF runs faster because it is a bank loan benefit — weeks rather than months.
Should I wait for a MoFPI window or go ahead with AIF?
It depends on size and urgency. If the project is ₹5 crore or more, heavily processing-oriented and in a difficult area, the MoFPI grant (up to 75% on processing) is worth preparing for — and a ready DPR lets you move the moment a window opens. If it is under ₹2 crore or time-critical, AIF's 3% subvention now usually beats an uncertain grant later.
Our Readiness Review ends with a written recommendation: go now, wait and prepare, or phase it.
I'm interested in food irradiation — what do I need before 30 September?
MoFPI's EoI of 20 May 2026 invites proposals for multi-product food irradiation units under this component, per guidelines dated 6 August 2024; the deadline was extended to 17:00 on 30 September 2026. Irradiation carries 50% (general) / 75% (difficult area) grant under the published pattern.
With a week left, only projects with land, technology partner discussions, basic financials and a bank conversation already in place are realistic. If that's you, contact us immediately; if not, we'll help you prepare for a future call.
What happens after sanction?
You build. As promoter funds and term loan are spent, we prepare utilisation certificates and instalment claims (25% · 40% · 35%), coordinate chartered-engineer and CA certifications, and keep the bank's refinance documentation in order so the lending rate stays within the 10% cap. Grant timing, bank drawdowns and your own contributions are tracked against the plan every month.
Let's check your project's fit.
WhatsApp us what you'll store or process, where, and the rough project cost. Free 30-minute call: which route fits (MoFPI, AIF or horticulture), whether a window is open, and what a realistic grant looks like. Readiness Review ₹15,000. DPR + Application from ₹60,000. End-to-End from ₹1,49,000.