Nursery times: A blooming business opportunity in Uttar Pradesh

The Horticulture Department launches an initiative in 45 districts of Uttar Pradesh, to help people set up nurseries with financial support from both the central and the state governments.

Divendra Singh
| Updated: June 10th, 2021

A nursery in Gangtok, Sikkim. Image used for representation purpose. Photo: @Sahapedia

Here’s good news for those wanting to set up a nursery business in Uttar Pradesh. Under the central government’s Mission for Integrated Development of Horticulture, a drive has been initiated in 45 districts of Uttar Pradesh to encourage those wanting to set up a nursery business. Under this initiative, the central government will provide a 60 per cent subsidy and the state government a 40 per cent subsidy.  

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“There are two different kinds of nurseries that can be set up under this scheme. It could be a hi-tech nursery costing hundred lakh rupees, or a smaller one that can be set up at a cost of fifteen lakh rupees,” RK Tomar, director, Uttar Pradesh Horticulture Department, told Gaon Connection

A nursery in Uttar Pradesh’s Gonda. Photo: By arrangement

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A hi-tech nursery must have one to four hectares of land with a project cost of Rs 10 million. The public sector will receive 100 per cent subsidy, while the private sector can get 50 per cent with a subsidy cap of Rs 40 lakh (Rs 4 million).

A small nursery requires one acre (0.4 hectare) of land and costs Rs 15 lakh to establish. The maximum subsidy for this category is Rs 7.5 lakh (Rs 750,000), with the remaining amount being covered by a bank loan.

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Applicants will get subsidy for setting up a modern nursery. Photo: @mayanksaravagi

Project report and approval

In order to implement the central scheme a State Horticulture Mission Committee has been formed. It is headed at the state level by the agriculture production commissioner, and at the district level by the district magistrate.

The subsidy will be given to the applicant for setting up a modern nursery. The nursery should have facilities like a polyhouse, net house and drip irrigation. It is a credit-linked back-ended subsidy in which the applicant can take a loan from a bank of his choice. The candidate needs to prepare a project, and the horticulture department will release the subsidy once the project has been approved.

Once a proposal is filed with the Horticulture Department and it is approved, the department will provide the subsidy, explained Tomar.

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A smaller nursery can be set up at a cost of Rs 15 lakh. Photo: Pixabay

Beneficiaries from 45 districts in UP

Forty five out of the 75 districts in the state will be able to capitalise on this scheme. 

Applicants must first register on the Agriculture Department’s website and submit their project proposal in order to avail a bank loan. Once the proposal is accepted, the bank will grant the loan after which the party can start the nursery. The Horticulture Department officials will inspect the nursery and geotag the location.

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