DIDF — Dairy Processing & Infrastructure Development Fund
By NABARD
Check your eligibility
Sign up and we'll tell you whether your startup qualifies for this grant.
Quick Answer
Below-market NABARD loans for dairy cooperatives and producer companies for processing infrastructure
About this loan
₹10,881 crore fund (operated through NABARD) providing low-interest loans (3% below prevailing NABARD rate) to dairy cooperatives, dairy producer companies and milk unions for: modernisation of dairy processing plants, cold chain expansion, milk procurement infrastructure and quality testing labs. Specifically targets cooperative and producer-company dairy infrastructure.
Eligibility
See if you're eligible
Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Grant providers
The National Bank for Agriculture and Rural Development (NABARD) is India's apex development bank for agriculture and the rural economy, set up by Act 61 of 1981 and opened on 5 November 1982. It is wholly owned by the Government of India and works out of Bandra Kurla Complex in…
Learn moreBenefits & Funding
- Fund type
- Debt
- Equity
- Equity-free
- Repayment
- Repayable
What You Get
DIDF provides concessional loans at 3% below the prevailing NABARD refinance rate from a ₹10,881 crore corpus managed through NABARD. The reduced interest rate materially lowers the cost of capital for dairy infrastructure investment — modernising processing plants, expanding cold chains, upgrading milk procurement networks and setting up quality testing laboratories. Loan repayment is required (this is debt, not a grant), but the below-market rate and NABARD''s longer repayment tenures improve project viability. No equity is taken by the government or NABARD.
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Application Process
- 1
Prepare a detailed project proposal for
Prepare a detailed project proposal for dairy infrastructure investment.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
Draft your application
Answer the form inside the grant tracker — AI drafts each response using your past answers, so you're not starting from a blank page.
- 2
Submit on the official portal
Use the official application link and verify all details before final submission.
- 3
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Frequently Asked Questions
Who is eligible for DIDF?
Dairy cooperatives, milk unions, dairy producer companies and state dairy federations are the eligible borrowers. Private dairy companies do not qualify — DIDF is specifically designed for the cooperative and producer-company dairy sector.
What is the interest rate under DIDF?
DIDF provides loans at a rate 3% below the prevailing NABARD refinance rate, making it significantly cheaper than commercial borrowing for eligible dairy institutions.
What can the loan be used for?
Eligible uses include modernisation of existing dairy processing plants, cold chain expansion (refrigerated transport, bulk milk coolers), milk procurement infrastructure, and quality testing laboratories. The focus is on post-procurement infrastructure — not primary milk production at the farm level.
Is this a grant or a loan?
DIDF provides concessional loans (not grants). The loan must be repaid, but at a below-market interest rate. It is non-dilutive — no equity is taken.
How large is the DIDF corpus?
The DIDF corpus is ₹10,881 crore, channelled through NABARD. Individual loan amounts depend on the project size and NABARD''s appraisal.
How do I apply?
Eligible dairy cooperatives and producer companies apply through NABARD''s regional offices. Submit a Detailed Project Report (DPR) for the infrastructure project. NABARD appraises the project and, on approval, sanctions a concessional loan under DIDF.
Sources
Data on this page is compiled from official program and provider references.
