How to Apply for NABARD Dairy Loan Subsidy in India

Dairy farming in India is more than a livelihood it’s a growing industry supporting millions of rural families. To strengthen this sector, the government has launched multiple dairy farm government schemes and dairy loan schemes. Among these, the NABARD subsidy for dairy farming is one of the most popular, providing financial aid to farmers, entrepreneurs, and cooperatives.

What is NABARD Dairy Farming Subsidy

The NABARD dairy loan scheme was introduced to promote dairy farming in India, increase clean milk production, and support self-employment in rural areas. Under this program, eligible applicants can access a dairy farming loan subsidy that reduces financial burden and makes it easier to start or expand a dairy farm.

Eligibility for NABARD Dairy Farming Subsidy

The following groups are eligible to apply for NABARD schemes:

• Farmers and individual entrepreneurs
• NGOs and companies
• Self Help Groups (SHGs), dairy cooperatives, and milk federations

Types of NABARD Subsidy Schemes for Dairy Farming

Small Dairy Units (2–10 Animals)

• Investment: Up to ₹5 lakh
• Subsidy: 25% (33.33% for SC/ST)

Heifer Calf Rearing (5–20 Calves)

• Investment: Up to ₹4.8 lakh
• Subsidy: 25–33% depending on category

Milking Machines & Dairy Equipment

• Investment: Up to ₹18 lakh
• Subsidy: 25–33%

Dairy Product Processing & Cold Chain

• Investment: ₹12–30 lakh
• Subsidy: ₹3–7.5 lakh

Veterinary Clinics & Dairy Parlours

• Investment: ₹56,000–₹2.4 lakh
• Subsidy: 25–33%

These dairy loan schemes are designed to make modern dairy farming affordable and sustainable.

NABARD Subsidy Amounts and Benefits

The NABARD dairy loan offers:

• Capital subsidy of 25% for general category
• Capital subsidy of 33.33% for SC/ST farmers
• Reduced loan burden through back-ended subsidies
• Support for infrastructure, processing, and marketing

This makes NABARD loan for dairy farming one of the most effective government schemes for dairy farming in India.

How to Apply for NABARD Dairy Farming Subsidy

Step 1: Choose Your Dairy Farming Model

Decide whether you want to start a small dairy unit, invest in equipment, or build a processing unit.

Step 2: Register Your Business

Create a company, NGO, or cooperative entity to qualify for formal loan application.

Step 3: Prepare a Project Report

Include investment, expected returns, and subsidy requirements.

Step 4: Apply for a Bank Loan

Submit your project to any commercial, cooperative, or regional rural bank eligible under NABARD dairy loan scheme 2021.

Step 5: Loan Approval & Implementation

Once the bank approves, start your dairy farm using personal contribution + bank loan.

Step 6: NABARD Subsidy Application

The bank applies to NABARD for subsidy release. The subsidy is held in a Subsidy Reserve Fund Account.

Step 7: Subsidy Adjustment

The subsidy amount is adjusted against the last few repayments of your dairy loan in Rajasthan or other states.

Farmers can also check NABARD dairy loan apply online options for faster processing.

Benefits of NABARD Subsidy for Dairy Entrepreneurs

• Access to low-cost finance through How to Choose the Right Company for NABARD Dairy Farming Scheme
• Encourages adoption of modern equipment and technology
• Generates self-employment in rural areas
• Strengthens India’s milk production supply chain

How to Choose the Right Company for NABARD Dairy Farming Scheme

Applying for a dairy farm scheme involves paperwork, project reports, and bank processes. Choosing the right consultant is critical. Look for:

• Proven track record with NABARD subsidy applications
• Expertise in preparing bankable dairy project reports
• Transparency in fees and services

Why Choose StartupFlora for NABARD Subsidy Scheme?

At StartupFlora, we simplify the entire process of how to get loan for dairy farm:

• End-to-end support: project report, loan application, and subsidy approval
• Special expertise in dairy farming loan subsidy and government schemes for dairy farming
• Dedicated consultancy for dairy loan in Rajasthan and other states

With StartupFlora, you don’t just apply for a loan — you increase your chances of approval.

Conclusion

The NABARD subsidy for dairy farming empowers farmers, startups, and cooperatives to build profitable dairy businesses. By reducing the cost of investment and making finance more accessible, the scheme ensures long-term growth for India’s dairy industry.

FAQs

Q1. Who can apply for NABARD dairy loan?
Farmers, entrepreneurs, NGOs, SHGs, and cooperatives.

Q2. What is the subsidy percentage?
25% for general applicants, 33.33% for SC/ST farmers.

Q3. Can I apply for NABARD loan online?
Yes, through NABARD loan apply online options available via banks.

Q4. What is the maximum subsidy amount?
Up to ₹7.5 lakh for cold storage facilities.

Q5. Is NABARD subsidy available in Rajasthan?
Yes, dairy loan in Rajasthan under NABARD schemes is widely available through cooperative and commercial banks.