Details
The scheme "Support for Value Addition - Support to R&G units" is a Sub-Component of the Scheme "Integrated Coffee Development Project" by the Coffee Board, Department of Commerce, Ministry of Commerce and Industry. This scheme aims to enhance the quality of coffee products and achieve value addition through the introduction of improved technologies in roasting, grinding, and packaging which will result in boosting domestic coffee consumption and entrepreneurship in the coffee sector, especially in the non-traditional areas.
Benefits
- Roasting Units, Gourmet roasting units 1Kg to <10Kg/batch, and small roasting units with a capacity of less than 25 kg capacity are eligible for subsidy support of 40% of the machinery cost with a ceiling of ₹10,00,000.
- For the SHGs, women entrepreneurs, SC/ ST, Minorities, and differently-abled beneficiaries, subsidy support is @50% of the machinery cost with a ceiling of ₹10,00,000.
- Support for gourmet roaster units would enable the roasting of specialized blends in smaller quantities. This may also help to encourage a large number of small players/ new entrepreneurs to take up this venture in non-traditional coffee-drinking areas.
Disbursement
of subsidy
The subsidy shall be released to the applicant’s bank account through PFMS in cases where the application is complete in all respects and only after approval of the post-installation inspection report submitted by the Coffee Quality Division, Coffee Board, Bengaluru.
Eligibility
- The applicants should be individual units, Partnership firms, self-help groups (SHG)/ Growers’ collectives interested in establishing coffee roasting units.
- The Scheme is applicable only for the establishment of new R&G units.
- The applicant’s unit must hold a valid business license from the respective statutory authorities.
Components
Eligible for Subsidy
For New R&G Units: The roasting, grinding, and packaging machinery in any of the following combinations are eligible for subsidy -
a) Roasting machine, grinding machine, and packaging machine.
b) Roasting machine and packaging machine.
c) Grinding machine and Packaging machine
The Subsidy scheme is not applicable for similar machinery or for more than one (Roasting, Grinding and Packaging) machinery of each type/ kind.
Priority
Applications are considered on a first-come, first-served basis, provided they are complete and subject to fund availability.
Exclusions
- The applicants who have availed subsidy in the XI, XII, and MTF plan periods are not eligible.
- The Scheme does NOT apply to R&G units/establishments installed and commissioned before the scheme notification (No. Res/CQD/R&G/2022-23/04) date of 07-04-2022.
- The scheme is not applicable for the up-gradation of existing facilities.
Application
Process
Offline
Step 1: The interested applicant should take print of the prescribed format of the application form.
Step 2: In the application form, fill in all the mandatory fields, paste the passport-sized photograph (signed across, if required), and attach copies of all the mandatory documents (self-attest, if required).
Step 3: Submit the duly filled and signed application form along with the documents at the following address:
The Divisional Head - Coffee Quality Division, Coffee Board, No.1, Dr Ambedkar Veedhi, Via., email: hdqc.coffeeboard@nic.in / hdqccoffeeboard@gmail.com.
Post-Application
Processes
Step 1: Scrutiny and Feasibility Assessment
The applicant's provided information undergoes scrutiny, and physical inspection occurs based on necessity. Coffee Board officers conduct feasibility assessments on a case-by-case basis.
Step 2:
Procurement, Installation, and Commissioning
Coffee machinery procurement, installation, and commissioning are permitted upon receipt of the Feasibility Report from the Coffee Board. This responsibility lies with the applicants.
Step 3:
Submission of Support Claim Application
Upon successful installation and commissioning of R&G machinery, the applicant submits the support claim application for the establishment of the R&G unit. A physical site inspection is conducted. If the application is deemed unfit for approval, the reasons are communicated to the applicant.
Documents
Required
- Copy of the blueprint/layout plan for the proposed Research and Grant unit/facility.
- Copy of the Photo identity like Aadhaar or Ration card or Permanent Account Number (PAN) card or Passport or Driving License or Election Photo Identity Card, etc.
- Original copy of Tax Invoice / Cash Bill issued by the supplier.
- Attested copies of Bills in support of freight/installation/commissioning charges and insurance (if included in the total cost).
- Copy of warranty certificate.
- Notarized Copy of the lease agreement/rent agreement/ownership document in respect of the shop/building premises.
- Copy of license from municipal authorities.
- Copy of the Bank passbook of the applicant containing the information such as: Name of the Bank and Branch address, Account Holder Name, Account No, Indian Financial System Code (IFSC) code.
- Photographs of the new machinery installed for which subsidy is claimed.
- In the case of Scheduled Caste (SC) /Scheduled Tribe (ST) and differently-abled category beneficiaries applying individually, caste/community/disability certificate (with a disability of 40% and above) issued by the competent authority.
Frequently
Asked Questions
Is there
a subsidy limit for roasting units of specific capacities?
Yes, smaller roasting units (<25 kg capacity) can receive up to 40% subsidy, capped at ₹10 lakhs.
Are there
any special provisions for certain groups?
Yes, SHGs, women entrepreneurs, SC/ST, minorities, and differently-abled beneficiaries can receive a 50% subsidy, also capped at ₹10 lakhs.
What
machinery combinations are eligible for subsidy under this scheme?
Roasting machine, grinding machine, and packaging machine or various combinations thereof are eligible.
How are
applications prioritized?
Applications are considered on a first-come, first-serve basis, subject to fund availability.
How is
subsidy disbursed to the applicants?
Subsidies are released to the applicant’s bank account after post-installation inspection approval through PFMS.
Can
already existing units upgrade using this scheme?
No, the scheme is exclusively for the establishment of new R&G units, not for upgrading existing facilities.
What
happens if an applicant resorts to bribery or coercion during the application
process?
Their application is summarily rejected, and legal actions may be initiated against such applicants.
What is
the eligibility criterion for smaller roasting units under the scheme?
Roasting units with a capacity of <10Kg/batch are eligible for a 40% subsidy.
Are there
specific categories exempt from certain fees or charges?
Yes, SHGs, women entrepreneurs, SC/ST, minorities, and differently-abled beneficiaries can receive a higher subsidy.
Can
applicants begin procurement and installation before receiving the feasibility
report?
No, procurement should only commence post the receipt of the Feasibility Report from the Coffee Board.
Is there
a timeline provided for when the subsidy will be released?
Subsidy disbursement is subject to fund availability during a particular year.
How are
applications assessed under this scheme?
They are processed on a first-come, first-serve basis, contingent upon the completeness of the applications.
Can units
installed before the scheme notification dates receive the subsidy?
No, the scheme is not applicable to units established before the specified scheme notification date.
What type
of machinery combinations is eligible for subsidy support?
Roasting, grinding, and packaging machinery in specific combinations are eligible for subsidy support.
What
actions can lead to the rejection of an application?
Offers, rewards, gifts, or any coercion to influence the sanction process may lead to rejection.
Sources
And References
Guidelines, And Application Form CLICK HERE
Grower's Registration (UMANG) CLICK HERE
Coffee Board - Contact Us CLICK HERE
