This scheme is a sub-component of the Integrated Coffee Development Project During the Medium Term Framework (MTF) Period: Development Support to Stakeholders, implemented by the Coffee Board, Department of Commerce, Ministry of Commerce and Industry. Its objective is to improve coffee plantation productivity by encouraging the replantation of old, senile, and unproductive coffee blocks using high-yielding, disease-tolerant varieties. The scheme targets both Arabica and Robusta coffee growers, offering financial incentives to modernize and rejuvenate traditional coffee estates.
Benefits
• Unit Costs:
– Arabica: ₹2,75,000 per ha
– Robusta: ₹2,00,000 per ha
• Subsidy: 40% of the unit cost; additionally, SC/ST growers with holdings up to 4 ha receive an extra 10% subsidy.
• Subsidy Instalments:
– Clean Replanting:
• 1st Instalment: 70% of the applicable unit cost
• 2nd Instalment: 30% of the applicable unit cost
– Interlining Method:
• 1st Instalment: 30% of the applicable unit cost
• 2nd Instalment: 70% of the applicable unit cost
• Additional Support:
– Encourages adoption of planting designs suitable for mechanization to maximize benefits over the entire replanted area.
Eligibility
• Only small growers with coffee holdings of up to 10 ha are eligible.
• Applicable for replantation of existing old/senile and low-productive plantations:
– Arabica: Plants aged 25 years (or Arabica dwarfs aged 15 years)
– Robusta: Plants aged 40 years
• For inter-planting scenarios (Arabica with Robusta), subsidy is provided only if Robusta is the main crop.
• In Arabica zones with elevations of 1000 m above MSL, only disease-tolerant, high-yielding Arabica varieties are permitted.
• In areas below 1000 m above MSL, existing Arabica blocks replanted with Robusta material are eligible.
• Where coffee is intercropped (e.g., with pepper, orange, banana), the subsidy is based on the actual or maximum extent of coffee area, whichever is less.
Application Process
Online – Procedure for Claiming Subsidy
Step 1: Obtaining Technical Feasibility Report (TFR)
• Submit the online application in the prescribed format along with necessary documents to your jurisdictional Coffee Board Office.
• The office will scrutinize the documents, conduct a field inspection, and issue a TFR. (Activities undertaken prior to TFR issuance are not eligible.)
Step 2: Claiming 1st Instalment
• Submit the claim for the 1st instalment in the prescribed format (in duplicate) along with all relevant documents within the same financial year of replanting.
• A field inspection and physical verification report will be prepared, and the claim forwarded to the concerned Deputy Director (Extension).
• Once verified, the 1st instalment is released via EFT/RTGS/NEFT.
Step 3: Claiming 2nd Instalment
For Clean Replanting:
– Submit the 2nd instalment claim (in duplicate) in the prescribed format during the second financial year after taking necessary aftercare measures and vacancy filling.
– Upon satisfactory verification, the remaining subsidy is released via EFT/RTGS/NEFT.
For Replantation by Interlining:
– Submit the 2nd instalment claim (in duplicate) after harvesting a maximum of two crops from the old plants and after complete removal of the old plants.
– After verifying removal and maintenance, the remaining subsidy is released via EFT/RTGS/NEFT.
Documents Required
For Obtaining the TFR:
• Application and Self-Declaration form duly filled and signed (duplicate)
• Copy of Aadhaar Card
• Registered GPA holder certificate (if applicable)
• Copy of Bank Passbook (with Aadhaar seeding)
• Rough sketch of the estate with boundaries clearly marked (with check bandi)
• Caste Certificate (if applicable)
• Proof of land ownership (e.g., Patta/Khatha extract)
• Other documents as specified by the Coffee Board
For Claiming 1st Instalment:
• Claim Statement in the prescribed format (duplicate)
• Rough sketch of the replanted blocks, including plant counts and arrangement
• Expenditure Statement
For Claiming 2nd Instalment:
• Claim Statement in the prescribed format (duplicate)
• Updated Expenditure Statement
Frequently Asked Questions (FAQs)
Q: What is the unit cost for Arabica and Robusta coffee under the scheme?
A: The unit cost is ₹2,75,000 per ha for Arabica and ₹2,00,000 per ha for Robusta.
Q: What subsidy percentage is provided to coffee growers?
A: A subsidy of 40% of the applicable unit cost is provided, with an additional 10% for SC/ST growers holding up to 4 ha.
Q: How is the subsidy released for clean replanting versus the interlining method?
A:
– Clean Replanting: 1st instalment at 70% and 2nd at 30% of the unit cost.
– Interlining Method: 1st instalment at 30% and 2nd at 70% of the unit cost.
Q: What are the age criteria for replanted coffee plants?
A:
– Arabica: Plants aged 25 years (or Arabica dwarfs aged 15 years)
– Robusta: Plants aged 40 years
Q: Are there any specific removal requirements for interlining?
A: Yes, old plants must preferably be removed after one harvest and under no circumstances beyond two harvests to prevent excessive root competition.
Q: Does the subsidy calculation vary with intercropping?
A: Yes, if coffee is grown with intercrops (e.g., pepper, orange, banana), the subsidy is based on the actual area replanted with coffee or the maximum extent mentioned in the land documents, whichever is less.
Q: Are there recommendations for planting designs?
A: Growers are encouraged to adopt planting designs that support mechanization; estates using such designs may receive subsidy for the entire replanting area.
Q: Can growers who have previously received subsidies apply again?
A: A grower who has already availed subsidy for a particular activity/component is not eligible to receive subsidy for the same component during the MTF period until new beneficiaries are covered.
Q: What is the exclusion related to Arabica replaced with Robusta?
A: Arabica replaced with Robusta material at elevations above 1000 m is not eligible for support.
Q: When can a grower claim the first instalment of the subsidy?
A: The first instalment can be claimed after obtaining the Technical Feasibility Report (TFR) and once replantation activity commences, within the same financial year.
Q: What documents are required for claiming the first instalment?
A: Required documents include the Claim Statement, rough sketch of the replanted blocks, and the Expenditure Statement.