Maharashtra State Agriculture Marketing Board invites applications for MAGNET scheme

The Maharashtra State Agriculture Marketing Board has invited applications for Expression of Interest from FPOs and value-chain operations (VCO- aggregators/ processors/ exporters/ mid and large size retail organisations/ ag-tech or fin-tech organisations) for grants under the   Maharashtra Agribusiness Network Project (MAGNET).

The last date for submission is October 10, 2022.

The project highlights include:

1.Subsidy upto Rs 6 crore (upto 60% of project cost).

2. Focused crops – 50% weightage to be given to focused crops (Banana, guava, pomegranate, sapota, custard apple, strawberry, orange, sweet lime, okra, green and red chilli, floriculture crops.

The Government of Maharashtra in association with the Asian Development Bank (ADB) is co-financing MAGNET to upscale the development of horticulture sector and agribusiness in the State of Maharashtra. The core objectives of the project are to increase farmers’ income, support value addition, reduce post-harvest losses, increase farm productivity, and mainstream opportunities for rural women lower caste to alleviate rural poverty. The project aims to focus on 11 targeted horticultural crop value chains which includes pomegranate, banana, guava, orange, sweet lime, sapota, custard apple, strawberry, okra, green and red chilies and flowers.

Components of the Project: The focus of the project is on 3 core outputs namely:

1. Output 1: Institutional capacities of agribusiness institutions and farmer producer

organisations strengthened.

1. Output 2: Financial and agribusiness capacities of farmer producer organisations and

value chain operators strengthened.

1. Output 3: Agriculture value chain infrastructure improved and operational for the target

horticulture crops.

Who are eligible?

Farmer Producer Organisations (FPO) 

• FPO registered under Company Act, State Co-op Societies Act, Farmer Groups registered with ATMA /Cluster Level Federations (CLFs) registered with MSRLM /Community Managed Resources Centres (CMRCs) registered with MAVIM also including FPO Federations/ Associations.

 Value Chain Operators (VCO) 

• (VCO – Non FPO Entities which may include aggregators/ processors/ exporters/ mid and large size retail organisations/ Ag-tech or Fin-tech organisations working actively with producers and their collectives of any horticultural commodities).

Value Chain Operators

• Public/ Pvt. Ltd. Company/ LLP/ Corporate Entity/ Proprietorship Firm/ Partnership Firm.
• Applicants should be a legally registered entity, for at least 3 years.
• At least 3 years of experience in Aggregation and Storage/Processing/Marketing and/or Exports of listed crops and/or other horticulture crops.
• The Central/State Government recognized Agri Start-ups or Ag-tech companies with 1 year experience.
• Should have established backward linkages with primary producers/ FPOs which are involved in production and/ or primary processing of listed crops and/ or other horticulture crops.
• Should not have been declared as Non-Performing Asset (NPA) by Bank/ FI due to past loan default.
• Turnover of more than Rs. 50.00 Lakh in at least one audited financial statement in the last three years.
• Minimum equity contribution – 20% of the project cost.

Eligible components

• Pack-house
• Cold storage Unit(s)
• Integrated pack-house
• Ripening chamber(s)
• Controlled atmosphere (CA) storage

• Frozen storage/ deep freezers
• IQF line,tunnel freezer, spiral freezer, blast freezer, plate freezer
• Vacuum freeze drying
• Processing infrastructure
• Pre-cooling unit(s)
• In-house product testing laboratory

• Modern technology for temperature-controlled storage, processing, value addition, preservation
• Reefer transport, retail refrigerated carts; temperature controlled solar powered retail carts
• Controlled temperature/ ventilated trucks with or without raking; 
• Crates, rakes etc; 
• Mobile pre-coolers
• Storage facility cum Distribution Centre
• Retail outlets with facilities such as frozen storage/ deep freezers/ refrigerated display, cabinets/ cold room/ chillers, etc.
• GST on civil works and plant & machinery, etc.
• Preliminary and pre-operative expenses: stamp duty and registration fee for registered land lease deed
• Cost of detailed project report and estimates etc.
• Required IT equipment, Furniture and fixtures
• Utilities, Material Handling Equipment, Accessories –

1. Electrification
2. Essential Power Back-up
3. Renewable/alternate energy technologies (solar, biomass, wind etc.) for the project.
4. Material handling equipment and systems like fixed racking system, forklifts, reach trucks, bins, pallets, dock levellers, etc.
5. Supporting equipment like ETP, Waste Disposal system, Boiler, CIP unit, Water
6. Treatment Plant, Fire-fighting systems etc.
7. Toilets, Septic tank and drainage
8. Any other accessories/ equipments

Pattern of assistance

• Grant for eligible projects will be up to 60% of the eligible project cost, subject to a maximum of Rs 6 Crore.
• Disbursement Schedule – 25%, 40% and 35%.
• The eligible applications will be evaluated on the basis of assessment criteria.
• 64 beneficiaries (40 FPO and 24 VCO) will be selected on the basis of merit list.

Selection Criteria

• Only integrated value chain development projects.
• Standalone facilities/ components will not be considered for assistance under this scheme.
• Only Greenfield projects will be eligible.
• Projects should involve storage/ processing/ value addition/ marketing of at least one of the MAGNET listed crops
• Land title in the name of the applicant or land lease for 15 years, duly registered with the competent authority.
• Preference will be given to the projects having Change in Land Use (CLU) permission from the competent authority.

Application Stages

2-stage system of application –

• Stage 1: Expression of Interest (EOI) to screen and shortlist eligible applicants for the next stage.
• Stage 2: Submission of Detailed Project Report (DPR) along with supporting documentation in line with project implementation guidelines.

Dovetailing of resources

Interest subvention of 3% pa, max Rs 2 crore under Agri Infra Fund

• Transport Subsidy upto Rs 1 Cr – TOP to TOTAL from MOFPI.
• PLI benefits for selected processing categories.
• Packaged Scheme of Incentives, 2019 under Maharashtra Industrial Policy.

For more details contact: 9819074020

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