NHB and MIDH Horticulture Subsidy 2026 — Complete Guide for Farmers
Open-field farming is unpredictable. One bad monsoon, one hailstorm, one unseasonal frost — and the entire season's income is gone.
Polyhouse farming changes this completely. Inside a polyhouse, the farmer controls temperature, humidity, water, and pest exposure. Yields are 5 to 10 times higher than open-field cultivation. Production continues across all 12 months. Water use drops by 50 to 70% through drip and fertigation.
The one barrier has always been cost. A naturally ventilated polyhouse for 1,000 square metres can cost ₹5 to ₹7 lakh. A high-tech polyhouse for 4,000 square metres can cross ₹25 to ₹40 lakh. Most farmers cannot self-fund this.
This is exactly where NHB and MIDH come in — offering up to 50% of the project cost as a non-repayable government subsidy.
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Two Main Schemes — NHB and MIDH/NHM
National Horticulture Board (NHB)
NHB handles the central government's polyhouse and protected cultivation subsidy for larger commercial projects — typically those above 4,000 square metres. The maximum subsidy cap under NHB is ₹56 lakh per project. Applications are submitted online at nhb.gov.in with a processing fee of approximately ₹5,000 to ₹10,000. NHB requires the farmer to first invest their own money and take a bank loan, and the subsidy is released only after the project is operational.
Mission for Integrated Development of Horticulture (MIDH) — National Horticulture Mission (NHM)
MIDH through NHM is the better option for small and medium farmers. This scheme is accessible for polyhouse areas ranging from 500 square metres to 4,000 square metres. It is managed at the district level through the District Horticulture Officer, making it more approachable for farmers who cannot navigate the national portal. Applications in Madhya Pradesh are submitted through mpfsts.mp.gov.in (MP Farmer Subsidy Tracking System).
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Subsidy Details
Under both NHB and MIDH:
- Central government subsidy: 50% of the permissible project cost
- Several states add a top-up on this central subsidy, pushing total support higher
- The subsidy is a capital grant — it is not a loan, you do not repay it
- The subsidy is credited directly to your bank loan account, reducing your outstanding loan
In Madhya Pradesh, the combined central plus state support can range from 50% to 65% depending on the project type and beneficiary category.
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What Projects are Covered?
Both NHB and MIDH cover a range of protected cultivation and horticulture infrastructure:
Protected Cultivation:
- Naturally Ventilated Polyhouses (NVPH)
- Fan and Pad (high-tech) polyhouses
- Greenhouse structures
- Shade net houses
- Plastic mulching
Open Field Horticulture:
- Vegetable cultivation
- Flower cultivation
- Orchards — mango, guava, citrus, pomegranate
- Bee-keeping infrastructure
- Nursery development
Post-Harvest and Support Infrastructure:
- Pack houses
- Small cold stores (linked with MIDH)
- Drip and micro-irrigation (linked with PMKSY)
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Who Can Apply?
- Individual farmers — land ownership or long-term lease (minimum 7 years) is required
- Farmers' groups, FPOs, SHGs
- Cooperatives
- Agri-entrepreneurs setting up protected cultivation units
In Madhya Pradesh, tenant farmers with a registered and notarised lease agreement of at least 7 years can also apply. The landowner's NOC may be required by some district offices.
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Loan and Subsidy Structure
For a typical MIDH polyhouse project in Madhya Pradesh:
- Total project cost: ₹20 to ₹40 lakh depending on structure size and type
- Bank loan: 80 to 90% of project cost
- Margin money: 10 to 20% from the farmer
- Central subsidy: 50% of permissible cost — credited to loan account after project verification
- Effective loan burden after subsidy: significantly reduced
Many farmers fund the initial margin from personal savings or a Kisan Credit Card, then receive the subsidy credit which reduces the term loan outstanding substantially.
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Documents Required
- Land records — Khasra-Khatauni and latest land tax receipts (or registered lease deed if tenant farmer)
- Identity proof — Aadhaar, PAN
- Bank account details and passbook copy
- Quotation from an approved polyhouse manufacturer or vendor
- Project report or DPR (mandatory for larger NHB projects)
- Horticulture officer's recommendation letter (for NHM/MIDH applications)
- Photographs of the proposed land
- Survey map of the site
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How to Apply in Madhya Pradesh
For MIDH/NHM in MP:
Step 1: Visit your District Udyan (Horticulture) Vibhag office or the nearest Krishi Vigyan Kendra (KVK). Express your interest in polyhouse or open-field horticulture subsidy under MIDH.
Step 2: Apply online through mpfsts.mp.gov.in — the MP Farmer Subsidy Tracking System. Upload all required documents digitally.
Step 3: The district horticulture office verifies your application, checks land records, and sends a field officer for pre-inspection of the proposed site.
Step 4: If the application is approved, you take a bank loan and begin construction or planting.
Step 5: After the project is complete, a Joint Inspection Team — comprising a government horticulture officer and a bank representative — visits the farm to verify the completed work with photographs and geo-tagging.
Step 6: The subsidy is released by the government and credited directly to your bank loan account.
For NHB (larger projects):
Apply online at nhb.gov.in. Pay the processing fee. NHB appoints an inspection team. The subsidy is back-ended — released only after construction and bank loan disbursement are both confirmed.
Important tip: Apply at the beginning of the financial year — April to June — for the fastest processing within that year's allocation.
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Practical Advice — What Banks Look For
For NHB projects and larger MIDH projects, banks will ask for a detailed project report (DPR). This DPR must include:
- Cost of polyhouse structure with vendor quotations
- Crop selection and yield projections
- Income and expenditure statement over 5 to 7 years
- Repayment schedule aligned with crop production cycles
- Risk analysis and crop insurance provision
A strong DPR significantly speeds up loan sanction and ensures the bank does not question the project's viability.
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MP-Specific Details
In Madhya Pradesh, the scheme is implemented by the MP Horticulture and Food Processing Department. The primary scheme is NHM under MIDH. Some project components may also be covered under PMKSY (Pradhan Mantri Krishi Sinchayee Yojana) for drip and micro-irrigation.
Key contact points in MP:
- District Udyan Vibhag office in your district headquarters
- MP Farmer Subsidy Tracking System: mpfsts.mp.gov.in
- Nearest KVK for technical guidance on crop selection and polyhouse design
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Summary
- Central subsidy: 50% of permissible project cost (non-repayable)
- State top-up possible in MP and several other states
- NHB: for larger projects above 4,000 sq. metres — apply at nhb.gov.in
- MIDH/NHM: for smaller projects 500 to 4,000 sq. metres — apply through district horticulture office or mpfsts.mp.gov.in in MP
- Processing time: 3 to 6 months from application to subsidy credit
- Subsidy is back-ended: released after project is set up and verified
- Bank loan covers up to 80 to 90% of project cost before subsidy credit
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*Disclaimer: Subsidy amounts, eligible project categories, and application procedures are subject to revision by NHB, MIDH, and state governments. Always verify current guidelines with your district horticulture office before initiating a project.*
For NHB or MIDH project report preparation and bank loan documentation in Madhya Pradesh, contact Pragati Saathi Private Limited, Bhopal — www.pragatisaathi.in
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