Central Government · Ministry Of Commerce And Industry
Development Support for Coffee in Traditional Areas: Support to Small Growers' Collectives/ SHGs/ Cooperatives for Coffee Marketing
Main benefit
Scale of Subsidy: ₹4.00 per kg of Clean Coffee.
Can you get this scheme?
Conditions at a glance
- Work: Farmer
About
The scheme "Development Support for Coffee in Traditional Areas: Support to Small Growers' Collectives/ SHGs/ Cooperatives for Coffee Marketing" is a Sub-Component of the Scheme "Integrated Coffee Development Project During the Medium Term Framework (MTF) Period: Development Support to Stakeholders" by the Coffee Board, Department of Commerce, Ministry of Commerce and Industry. The objective of the scheme is to extend support to small and tiny growers, incentivizing them to form collectives/ Self Help Groups/ Cooperatives, thus encouraging them to take up marketing of coffee produced on a community-based approach through suitable financial incentives. This way, they will not only be able to improve the quality of coffee but also realize better value for their coffees. It is expected to provide a mechanism for better price realization for the group, arising out of both the improvement of quality as well as collective bargaining.
Benefits
- Scale of Subsidy: ₹4.00 per kg of Clean Coffee.
Who can apply
- 1. The applicant should belong to Small Growers' Collectives / Self Help Groups (SHGs) / Co-operatives in traditional coffee-growing states.
- 2. The applicant should engage in coffee marketing, in clean coffee (green bean) form only, in the name of Small Growers' collectives / SHGs / Co-operatives. This can be accomplished through: i) Utilizing recognized public auction platforms like the Indian Coffee Trade Association (ICTA). ii) Direct export by the organization. iii) Utilizing recognized Commodity Exchanges wherein physical delivery of coffee takes place.
- 3. The applicant who has availed subsidy under one activity/component is not eligible to avail subsidy for the same activity/component during the Mission for Integrated Development of Horticulture (MIDH) period unless new beneficiaries are covered.
Documents needed
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How to apply
Offline
- 1
Furnishing the Claim After the marketing of coffee, the small growers' collectives/ SHGs/ Cooperatives should furnish the claim for reimbursement in the prescribed application along with the proofs/supportive documents.
- 2
Submission of Application The application for subsidy should be submitted to the concerned Deputy Director (Extension) during the same financial year of completion of the activity as far as possible.
- 3
Scrutiny and Forwarding The Deputy Director (Extn.) of respective regions will scrutinize the application and forward it to the Deputy Director (Market Research) at Coffee Board, Head Office, Bengaluru for approval by the competent authority. Disbursement of Subsidy The subsidy is disbursed only after the sale of coffee is completed by small growers' collectives/SHGs/Cooperatives. The subsidy shall be released to the individual members (of the small growers' collectives/SHGs/Cooperatives mentioned in the sale note issued by the auctioneers/commodity exchange) directly to their bank account through National Electronic Funds Transfer (NEFT) in cases where the application is complete in all respects.
Common questions
Can a grower who has availed subsidy under one activity/component claim subsidy for the same activity/component again during the Mission for Integrated Development of Horticulture (MIDH) period?
No, a grower who has availed subsidy under one activity/component is not eligible to claim subsidy for the same activity/component during the MIDH period unless new beneficiaries are covered.
What additional documents are required for coffee exported directly?
For coffee exported directly, additional documents include an export permit with Customs endorsement, ICO certificate of origin with customs endorsement, and the Bill of Lading (BL).
What additional documents are necessary for coffee marketing through auction platforms or commodity exchanges?
For coffee marketed through auction platforms or commodity exchanges, additional documents include a registration certificate as a member of ICTA or other recognized marketing auction platform, and proof of coffee sold, attested by the auctioneers.
What are the mandatory documents required for claiming the subsidy?
The required documents include the application in the prescribed format, certificate of incorporation/registration, complete member details, member-wise coffee sales details, and certificates indicating membership in the Growers' Collective/SHG/Cooperative and VAT registration certificate from the state Government commercial tax department where applicable.
When is the subsidy disbursed to the individual members of small growers' collectives/SHGs/Cooperatives?
The subsidy is disbursed only after the sale of coffee is completed by small growers' collectives/SHGs/Cooperatives, and it is released directly to the individual members' bank accounts through National Electronic Funds Transfer (NEFT) in cases where the application is complete in all respects.
What is the procedure for claiming subsidy under this scheme?
Small growers' collectives/SHGs/Cooperatives should furnish their claim for reimbursement along with supporting documents after marketing their coffee. The application for subsidy should be submitted to the concerned Deputy Director (Extension) during the same financial year of completing the activity.
How much subsidy is provided per kilogram of clean coffee under this scheme?
The subsidy is ₹4.00 per kilogram of clean coffee.
What are the acceptable methods of marketing coffee under this scheme?
Coffee marketing should be carried out either through recognized public auction platforms like the Indian Coffee Trade Association (ICTA), direct export by the organization, or through recognized Commodity Exchanges with physical delivery of coffee.
Who is eligible to benefit from the "Development Support for Coffee in Traditional Areas: Support to Small Growers' Collectives/ SHGs/ Cooperatives for Coffee Marketing" scheme?
All Small Growers' Collectives, Self Help Groups (SHGs), and Cooperatives in traditional coffee-growing states are eligible.
What is the objective of the scheme "Development Support for Coffee in Traditional Areas: Support to Small Growers' Collectives/ SHGs/ Cooperatives for Coffee Marketing"?
The scheme aims to support small and tiny coffee growers in forming collectives, Self Help Groups (SHGs), or cooperatives, thus encouraging them to engage in the marketing of coffee produced through a community-based approach, with financial incentives to improve coffee quality and enhance its value.
Are there any special provisions for Scheduled Caste/Scheduled Tribe (SC/ST) community growers?
Yes, SC/ST community growers with smaller holdings can receive additional support during the MIDH period.
What is the role of the Coffee Board in implementing this scheme?
The Coffee Board oversees the approval and disbursement of subsidies to eligible growers.
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