Cow Purchase Subsidy & Loan Schemes – A Comprehensive Guide
For rural families in India, the dairy industry stands as one of the most vital sources of livelihood. Small and marginal farmers—particularly women—rely on livestock rearing for milk production, manure, and a steady income. Recognizing this, both the Central and State governments have introduced ‘Cow Purchase Subsidy and Loan Schemes’ with the aim of assisting farmers in purchasing cows and constructing cattle sheds.
Through these schemes, farmers can purchase indigenous cows, crossbred cows, or buffaloes with financial assistance provided by banks and government subsidy programs. This subsidy typically ranges from 25% to 50%, while the remaining balance is provided by banks in the form of loans.
Cow Purchase Subsidy & Loan Schemes
Central Government Assistance Schemes
Cow Subsidy Programs in Telangana & Andhra Pradesh
Cow Loan & Subsidy Schemes in Karnataka
Eligibility Criteria, Required Documents, and the Application Process (Step-by-Step)
Official Websites for Application Submission
Central Government Assistance for Dairy Farmers
The Government of India extends assistance to dairy farmers under various schemes through NABARD (National Bank for Agriculture and Rural Development).
1. Dairy Entrepreneurship Development Scheme (DEDS)
Provides financial assistance for the purchase of cows and buffaloes.
Subsidy:
25% for farmers belonging to the General Category.
33% for SC/ST farmers and women farmers.
A maximum of ₹1.5 lakhs per unit (comprising 10 animals). Loans are available through banks and cooperative societies.
2. Animal Husbandry Infrastructure Development Fund (AHIDF)
Focuses on infrastructure development for animal rearing and the dairy industry.
It encourages entrepreneurs and Self-Help Groups (SHGs) to avail loans for purchasing cattle, procuring fodder, and establishing milk processing centers.
An interest subvention (interest subsidy) is provided to alleviate the loan burden.
Telangana Cattle Purchase Subsidy Scheme
The Government of Telangana provides assistance to farmers, primarily through the Animal Husbandry Department and cooperative dairy societies such as Vijaya Dairy.
Farmers can obtain loans to purchase cows and buffaloes.
Subsidy:
25% for farmers belonging to the General Category.
35% for SC/ST and women farmers.
A maximum subsidy of up to ₹1.75 lakhs is available, depending on the number of cattle purchased.
Banks such as Telangana Grameena Bank, SBI, and cooperative banks offer loans under NABARD schemes. Required Documents:
Aadhaar Card
Ration Card
Caste Certificate (for SC/ST subsidy)
Bank Account Passbook
Land Documents (if applicable)
Registration with the Animal Husbandry Department
Application Procedure in Telangana
Visit the Animal Husbandry Department office at the Mandal or District level.
Collect the application form for the cattle purchase subsidy.
Submit the required documents along with the bank loan application. Once the verification of documents is complete, the loan will be sanctioned, and the subsidy amount will be credited to the account.
📌 Official Link (Telangana Animal Husbandry Department): http://ahdd.telangana.gov.in
Andhra Pradesh Cow Subsidy & Loan Scheme
The Government of Andhra Pradesh is also promoting the development of the dairy industry through the AP Animal Husbandry Department. Key schemes are being implemented through the APCOB (Andhra Pradesh Cooperative Bank) and dairy cooperative societies such as Vijaya Dairy and Heritage Dairy.
Benefits
Loans are available for purchasing 2 to 10 cows/buffaloes.
Subsidy:
25% for General Category farmers.
35% for Women, SC, and ST categories.
Each beneficiary is eligible for a maximum subsidy of up to ₹2 lakhs.
Training assistance is provided to dairy farmers.
Required Documents
Aadhaar Card
White Ration Card
Caste Certificate (for additional subsidy)
Bank Account Details
Loan Application Form
Application Process
Visit the nearest Animal Husbandry / Dairy Development Department office.
Apply for the cow purchase subsidy along with the necessary documents.
The loan processing is handled through banks such as AP Grameena Vikas Bank, SBI, and Andhra Bank.
Once the cows have been purchased, the subsidy amount will be credited directly to the bank account. 📌 Official Link (AP Animal Husbandry Department): https://ahd.aptonline.in
**Karnataka Cow Purchase Subsidy & Loan Scheme**
With the KMF (Karnataka Milk Federation) playing a pivotal role, the state of Karnataka stands as a leader in milk production.
**Scheme Highlights**
Under NABARD schemes, farmers can obtain loans to purchase cows and buffaloes.
**Subsidy:**
25% for General Category farmers.
33% for Women and SC/ST farmers.
A maximum subsidy of up to ₹50,000 is available for every unit consisting of 2 cows. **Required Documents**
Aadhaar Card
Bank Account Details
Caste Certificate (if applicable)
Proof of Dairy Society Membership
Land Ownership / Tenant Farmer Certificate
**Application Process**
Visit the nearest KMF Dairy Cooperative Society or the Animal Husbandry Department office.
Fill out the Subsidy-cum-Loan application form.
Submit the necessary documents to the bank.
The bank will sanction the loan; the subsidy will be credited after the livestock has been purchased.
**Cow Purchase Schemes in Other States**
**Maharashtra** – Dairy Farmer Scheme with a 25–33% subsidy under NABARD.
**Tamil Nadu** – Scheme for the free distribution of cows to families of female heads of households. Madhya Pradesh – Chief Minister Pashudhan Yojana with a 50% subsidy.
Uttar Pradesh – Kamadhenu Dairy Scheme, offering subsidies on the purchase of 2 to 20 cows.