New Delhi: In 2018-19, the Department of Fisheries, under the Ministry of Fisheries, Animal Husbandry, and Dairying, introduced the Fisheries and Aquaculture Infrastructure Development Fund (FIDF) to address the growing infrastructure needs of India’s fisheries sector. This Scheme, with a total fund size of Rs 7,522.48 crore, was initially planned for five years, from 2018-19 to 2022-23. The fund is aimed at supporting the development of fisheries infrastructure facilities to boost productivity and modernize the sector, which plays a critical role in the country’s socio-economic progress.
Recognizing the importance of continuing this momentum, the Government of India extended FIDF for an additional three years, up to 2025-26. Along with the extension, a credit guarantee facility was also introduced in the scheme, which will allow fisheries entrepreneurs, individual fish farmers, and fisheries cooperatives to access loans through the existing credit guarantee fund of the Infrastructure Development Fund under the Department of Animal Husbandry and Dairying.
FIDF offers concessional finance to a broad range of beneficiaries, including individual fishers, fish farmers, entrepreneurs, fisheries cooperatives, and State Governments or Union Territories. Through affordable credit, the fund enables the development of essential infrastructure, which is crucial for the growth and modernization of the fisheries sector. Loans for State Government projects are provided by NABARD, while NCDC handles financing for fisheries cooperatives. Private entrepreneurs and individual beneficiaries can access loans through scheduled banks. To make these loans more accessible, the Government of India provides interest subvention of up to 3% per annum, with a repayment period of 12 years, including a two-year moratorium. The concessional finance offered under FIDF ensures that projects remain financially sustainable while promoting development.
The Government of India also provides credit guarantee facility to the projects of entrepreneurs, individual farmers and cooperatives from the existing credit guarantee fund of Infrastructure Development Fund of Department of Animal Husbandry and Dairying. As the FIDF enters its extended phase, a significant shift in investment focus has been introduced. Loans to State Governments and State Agencies are now capped at 10% of the total loans, with 90% of the remaining funds being directed toward private investors. This adjustment is designed to encourage private sector participation in the fisheries sector, fostering innovation, efficiency, and improved resource utilization.
The FIDF supports a wide range of infrastructure projects aimed at enhancing the fisheries and aquaculture value chain. These include the establishment of fishing harbours, fish landing centers, ice plants, and cold storage facilities for both marine and inland fisheries. The fund also supports the development of fish transport facilities, integrated cold chains, and modern fish markets. Other key areas of investment include the development of brood banks and hatcheries, aquaculture development, modernization of state fish seed farms, fisheries training centers, fish processing units, and fish feed mills. The establishment of cage culture in reservoirs, the introduction of deep-sea fishing vessels, and the development of mariculture are also priorities under the FIDF. Additionally, projects focused on disease diagnostic laboratories, aquatic quarantine facilities, and other innovative activities designed to increase fish production and productivity are eligible for funding.
To further strengthen India’s shrimp farming industry and enhance its global competitiveness, the Department of Fisheries has been encouraging financing for shrimp farms and shrimp nucleus breeding centers. This initiative is part of a broader strategy to make India a leader in sustainable shrimp production and exports.
Since its inception, the FIDF has approved 122 project proposals across various States and Union Territories, with a total cost of Rs 5,672.83 crore. The interest subvention for these projects is capped at Rs 3,788.72 crore, with private beneficiaries accounting for Rs 287.03 crore of the total, restricted to Rs 183.34 crore for interest subvention. Some of the major projects approved under the FIDF include the construction of 22 fishing harbours at a total cost of Rs 4,905.77 crore, 24 fish landing centers at Rs 182.20 crore, and the modernization of 21 state fish seed farms at Rs 81.70 crore.
The Fisheries and Aquaculture Infrastructure Development Fund (FIDF) is a cornerstone of the Government of India’s efforts to modernize and expand the fisheries sector. It will not only give impetus for creation of modern infrastructure but also complement and consolidate the achievements of Pradhan Mantri Matsya Sampada Yojana (PMMSY) making it an important scheme for bringing in more stakeholder, investments, employment opportunities, augmentation of fish production and transformation in the Fisheries and Aquaculture Sector.
Hon’ble Union Minister of Fisheries, Animal Husbandry & Dairying and Ministry of Panchayati Raj Shri Rajiv Ranjan Singh has unveiled Entrepreneurs project worth Rs 84.20 crore under FIDF during 4th Anniversary of PMMSY celebrated on 11th September 2024 at Sushma Swaraj Bhawan New Delhi. By providing concessional finance and promoting private sector involvement, the FIDF is driving sustainable growth, improving livelihoods, and ensuring that India’s fisheries sector remains competitive on a global scale. This continued support underscores the government’s commitment to the long-term success of this sunrise sector, ensuring its resilience and prosperity for years to come.
Leave a comment