India’s agricultural sector is evolving with the adoption of modern techniques like polyhouse farming. Polyhouse structures offer a controlled environment to grow high-value crops, helping farmers increase yield and profitability. To promote this smart farming practice, the Indian government provides subsidies and loans for polyhouse farming under various schemes.
In this article, we’ll explain everything you need to know about polyhouse subsidies in India – from eligibility criteria and benefits to the step-by-step process of applying for financial assistance. If you’re a farmer or agripreneur looking to switch to greenhouse cultivation, this guide will help you make an informed decision.
What is a Polyhouse?
A polyhouse is a type of greenhouse structure made from transparent polyethylene sheets that allow sunlight inside while protecting plants from extreme weather conditions. It helps maintain optimal temperature, humidity, and moisture levels required for plant growth.
Benefits of polyhouse farming include:
- Higher crop yield compared to open farming
- Reduced risk of pest attacks
- Efficient use of water and fertilizers
- Off-season crop cultivation
- Better quality produce fetching higher market prices
Government Support for Polyhouse Farming
Recognizing the benefits of polyhouse farming, the Government of India, through the National Horticulture Mission (NHM) and Mission for Integrated Development of Horticulture (MIDH), offers subsidies and loans to encourage its adoption.
Key Highlights:
- Subsidy up to 50–65% of total project cost
- Financial support for construction, irrigation setup, and planting materials
- Available to individual farmers, SHGs, FPOs, and cooperatives
Who is Eligible for Polyhouse Subsidy?
To apply for a polyhouse subsidy in India, applicants must meet specific eligibility criteria set by the government or respective state horticulture departments.
Eligibility Criteria:
- Must be an Indian citizen engaged in agriculture or horticulture
- Should own or lease land suitable for polyhouse farming
- Willing to invest remaining project cost after subsidy
- Must provide a detailed project report (DPR) and bank approval (for loan)
Who Can Apply:
- Individual farmers
- Women farmers and SHGs
- Farmer Producer Organizations (FPOs)
- Co-operative societies and trusts
- Startups involved in agri-tech
How Much Subsidy Can You Get?
The subsidy percentage varies based on the size of the polyhouse and the applicant’s category (general or reserved).
| Applicant Type | Area Limit (sqm) | Subsidy % | Maximum Assistance |
|---|---|---|---|
| General Farmers | Up to 4000 sqm | 50% | ₹400–₹800 per sqm |
| SC/ST/Women/FPOs | Up to 4000 sqm | 60–65% | Higher than general category |
| NE/Hilly Regions | Up to 4000 sqm | Up to 75% | Based on region-specific schemes |
Note: Actual subsidy amounts may vary by state. Check with your local horticulture department.
Polyhouse Loan Assistance
Farmers who require additional funds beyond the subsidy can apply for agriculture loans offered by various banks under the Agri Infrastructure Fund (AIF) or NABARD-supported schemes.
Banks That Offer Polyhouse Loans:
- State Bank of India (SBI)
- Bank of Baroda
- Punjab National Bank (PNB)
- Union Bank of India
- ICICI Bank and HDFC Bank (for commercial projects)
- NABARD (through refinancing model)
Loan Features:
- Loan up to ₹20–₹30 lakh or more, depending on project cost
- Interest rate: 8%–11% (can vary)
- Repayment period: 5–10 years
- Collateral-free loans available under CGTMSE scheme
- Moratorium period of 6–12 months (based on bank policy)
Documents Required for Polyhouse Loan and Subsidy
To apply for subsidy or loan, keep the following documents ready:
- Aadhaar card, PAN card
- Land ownership or lease agreement
- Detailed Project Report (DPR)
- Bank account details
- Bank sanction letter (for loan)
- Affidavit for self-declaration
- Passport-size photos
- Caste certificate (if applicable)
Step-by-Step Process to Apply for Polyhouse Subsidy in India
Follow these simple steps to get your polyhouse subsidy approved:
Step 1: Prepare a DPR (Project Report)
Create a detailed report outlining your polyhouse plan, cost estimation, layout, crops to be grown, irrigation setup, etc.
Step 2: Visit the State Horticulture Office
Submit your project report and application form to the nearest District Horticulture Office or Krishi Vigyan Kendra (KVK).
Step 3: Inspection and Approval
Authorities will inspect your land and DPR. If approved, they will issue a letter of intent or subsidy approval letter.
Step 4: Get Bank Loan (if needed)
Apply for a loan with the approved DPR and subsidy letter. Upon loan sanction, proceed with construction.
Step 5: Project Implementation
Construct the polyhouse using approved vendors. Maintain all invoices and bills.
Step 6: Final Inspection & Reimbursement
After project completion, the horticulture department will inspect the site and release the subsidy amount either to your account or directly to the bank.
Major Government Schemes Offering Polyhouse Subsidy
1. Mission for Integrated Development of Horticulture (MIDH)
- Centrally sponsored
- Covers polyhouse construction, drip irrigation, and planting material
2. Rashtriya Krishi Vikas Yojana (RKVY)
- Helps farmers increase production using modern infrastructure
3. National Bank for Agriculture and Rural Development (NABARD)
- Provides refinancing to banks that lend for polyhouse construction
4. State Horticulture Missions (SHM)
- Run by state governments with area-specific assistance
Benefits of Polyhouse Subsidy Scheme
- Encourages sustainable farming practices
- Reduces initial investment burden for farmers
- Increases income by enabling year-round cultivation
- Helps grow exotic and high-value crops
- Promotes entrepreneurship in agriculture
Tips for Successful Polyhouse Farming
- Choose the right crop (tomatoes, cucumbers, capsicum, flowers)
- Get trained in greenhouse management
- Monitor temperature and humidity regularly
- Use high-quality seeds and drip irrigation
- Market your produce smartly (B2B, organic shops, mandis)
Frequently Asked Questions (FAQs)
Q1. What is the cost of setting up a polyhouse in India?
The cost varies based on size and material. On average, it can range from ₹800–₹1,200 per square meter.
Q2. Can I apply for both loan and subsidy?
Yes, farmers often take a loan for the total cost and then receive the subsidy, which reduces their repayment burden.
Q3. How long does it take to get subsidy approval?
It usually takes 1–3 months, depending on document verification and department workload.
Q4. Is polyhouse farming profitable?
Yes, especially for high-value crops and flowers. Farmers report 2x–4x higher income compared to open-field farming.
Q5. Do I need technical training?
Basic training is recommended. Many agricultural universities and KVKs offer short-term courses on greenhouse farming.
Conclusion
Polyhouse farming is a game-changer for Indian agriculture, especially for progressive farmers aiming to boost productivity and income. With government subsidies and affordable loan options, transitioning to polyhouse cultivation is now within reach for many.
Whether you’re a small-scale farmer or an agripreneur, this is the right time to leverage the polyhouse subsidy schemes and embrace modern farming. Make sure you fulfill all eligibility requirements, prepare your DPR properly, and stay updated with your state’s guidelines.
If you’re serious about transforming your farm into a profitable venture, start the polyhouse journey today!