Under the pilot phase of the ambitious World’s Largest Grain Storage Plan in the cooperative sector, godowns have been successfully constructed at Primary Agricultural Credit Societies (PACS) in 11 states across India. These include Maharashtra, Uttar Pradesh, Tamil Nadu, Karnataka, Gujarat, Madhya Pradesh, Uttarakhand, Assam, Telangana, Tripura, and Rajasthan.
The initiative, supported by the National Cooperative Development Corporation (NCDC), National Bank for Agriculture and Rural Development (NABARD), and NABARD Consultancy Services (NABCONS), has achieved a total storage capacity of 9,750 metric tonnes.
Of the 11 constructed storage units, three—located in Maharashtra, Rajasthan, and Telangana—are retained for PACS’ own use. Another three facilities, in Uttar Pradesh, Madhya Pradesh, and Gujarat, have been hired out to state or central agencies, demonstrating the project’s versatility in addressing both local and institutional grain storage needs.
Encouraged by the success of the pilot phase, the government has extended the project. As of November 21, 2024, over 500 additional PACS across the country have been identified for the construction of godowns, further advancing the plan to enhance storage infrastructure at the grassroots level.
The initiative integrates subsidies and interest subventions through various government schemes, such as the Agriculture Infrastructure Fund (AIF) and the Agricultural Marketing Infrastructure Scheme (AMI). Under the AIF scheme, PACS receive a 3% interest subvention on loans up to ₹2 crore, with a repayment tenure of seven years (2+5 years). The AMI scheme provides a 33.33% subsidy to PACS for constructing storage units, while also reducing the margin money requirement from 20% to 10%.
Additionally, PACS receive subsidies for ancillary infrastructure such as boundary walls and drainage systems, capped at one-third of the total permissible subsidy for the godown or the actual cost—whichever is lower.
