India Region

From Farm to Fork: Inside India’s ₹2366 Crore Cold Chain Revolution

13 December 2024, New Delhi: Since its inception in 2008, the Integrated Cold Chain and Value Addition Infrastructure Scheme (Cold Chain Scheme) under the Pradhan Mantri Kisan Sampada Yojana (PMKSY) has been a cornerstone of India’s agricultural and food processing sector. With a total of 399 cold chain projects approved as of October 31, 2024, the scheme has significantly bolstered the country’s ability to reduce post-harvest losses, enhance value addition, and ensure that perishable products reach markets in optimal condition. Among these projects, 284 have already been completed, marking a substantial step forward in modernizing India’s agricultural supply chain.

Cold Chain Development Across States

A total of ₹2366.85 crore has been disbursed under the Cold Chain Scheme since its launch. The scheme operates on a demand-driven model, inviting proposals from individuals, Farmer Producer Organizations (FPOs), Non-Governmental Organizations (NGOs), Public Sector Units (PSUs), and private entities. With the primary objective of creating an integrated supply chain for perishable products, the scheme aims to cater to both national and regional needs, including challenging terrains in remote areas.

Maharashtra: A National Leader

Maharashtra has emerged as a standout beneficiary under the scheme, receiving ₹431.62 crore, the highest grant among all states. The state’s strategic investments in cold chain infrastructure have enabled better management of its diverse agricultural produce, including fruits, vegetables, dairy, and meat products. This substantial financial backing underscores Maharashtra’s commitment to improving its food processing capabilities and reducing post-harvest losses.

Uttarakhand: A Cold Chain Success Story

Ranked second in terms of grants received, Uttarakhand has been allocated ₹255.57 crore under the Cold Chain Scheme. The state’s focus on leveraging its unique agro-climatic conditions has translated into significant advancements in cold storage and value addition facilities. This has been especially impactful for its horticultural produce, such as apples and other temperate fruits.

Andhra Pradesh and Punjab: Leading Agricultural Hubs

Andhra Pradesh and Punjab have also made substantial strides in enhancing their cold chain infrastructure. Andhra Pradesh has received ₹213.97 crore, while Punjab has been allocated ₹132.82 crore. Both states, known for their agricultural productivity, are utilizing these funds to strengthen their food processing ecosystems and improve market access for farmers.

Other Significant Beneficiaries

States like Gujarat (₹186.43 crore) and Uttar Pradesh (₹179.68 crore) have also been prominent recipients of grants, reflecting their growing focus on cold chain infrastructure to manage their substantial agricultural outputs. Tamil Nadu (₹100.70 crore) and Karnataka (₹98.06 crore) are leveraging these funds to cater to their diverse agricultural sectors, ranging from spices and coffee to dairy and horticulture.

Addressing Regional Disparities

While states like Maharashtra and Uttarakhand lead in terms of grants received, some regions, such as the Northeastern states, have received relatively lower allocations. For instance, Assam received ₹17.37 crore, and Arunachal Pradesh was allocated only ₹6.46 crore, reflecting the need for greater investment in these geographically challenging and agriculturally rich areas. Similarly, states like Goa, Mizoram, and Tripura have yet to benefit from the scheme, highlighting the need for broader outreach and inclusion.

The Importance of Cold Chain Infrastructure

The Cold Chain Scheme plays a vital role in addressing key challenges in India’s agricultural sector, such as:

  • Reducing post-harvest losses of perishable goods, estimated at ₹92,651 crore annually according to industry reports.
  • Enhancing the marketability of agricultural produce by maintaining quality and extending shelf life.
  • Empowering farmers through improved access to domestic and export markets, leading to better income stability.

The projects under this scheme integrate cold storage, pre-cooling, ripening chambers, and refrigerated transport systems, enabling a seamless supply chain from farm to fork.

A Path Forward

As India continues to modernize its agricultural and food processing sectors, the Cold Chain Scheme remains a critical enabler of this transformation. By addressing state-wise disparities and increasing investments in underrepresented regions, the scheme can further strengthen the rural economy and empower farmers.

With 284 projects already operational and significant investments in key agricultural states, the scheme is set to revolutionize India’s food supply chain, ensuring that fresh produce reaches consumers efficiently while reducing wastage and enhancing farmer incomes. The continued focus on integrating technology and expanding cold chain infrastructure will be pivotal for India’s journey toward agricultural sustainability and global competitiveness.

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