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    Odisha · State Scheme Guide

    Mushroom Farming Subsidy in Odisha

    Odisha's Directorate of Horticulture runs sustained mushroom promotion — production unit assistance, spawn supply and training — alongside PMEGP, NABARD and NHB support for larger commercial units.

    How much mushroom subsidy can you get in Odisha?

    Mushroom farming in Odisha is supported through the State Horticulture Mission / MIDH route, which assists mushroom production units, spawn production and composting units with per-unit assistance commonly notified at 40-50% of the approved cost. PMEGP adds 25-35% margin money, and NHB gives 40% back-ended capital subsidy on credit-linked commercial projects. Rates and per-unit ceilings follow the current year's state notification.

    Schemes available in Odisha

    State Horticulture Mission (MIDH), Odisha
    40-50% of approved unit cost
    Directorate of Horticulture, Govt. of Odisha

    Covers mushroom production units, spawn labs and compost units under the protected-cultivation and mushroom components of MIDH.

    Mushroom spawn and training support
    Subsidised spawn plus free training
    Dept. of Agriculture & FE, Odisha

    District-level mushroom promotion programmes supply spawn at subsidised rates and run grower training through KVKs and OUAT.

    PMEGP
    25-35% margin money (project up to ₹50 lakh)
    KVIC / District Industries Centre

    Widely used by first-time entrepreneurs in Khordha, Cuttack and Puri for mushroom units.

    NABARD / AIF term loan
    3% interest subvention on eligible assets
    NABARD & scheduled banks

    Funds cold rooms, packhouse and post-harvest assets attached to the mushroom farm.

    NHB capital subsidy
    40% back-ended, up to ₹50 lakh
    National Horticulture Board

    For ₹1 crore+ commercial mushroom units with a sanctioned bank term loan.

    Subsidy rates are indicative and subject to the current year's government notification, district targets and fund availability. MushroomWale does not guarantee sanction of any scheme.

    Who is eligible

    • Farmers, FPOs, SHGs, cooperatives and registered firms based in Odisha
    • Land ownership record (RoR) or registered lease in the applicant's name
    • Registration on the Odisha agriculture / horticulture beneficiary portal
    • No earlier subsidy availed on the same asset or unit
    • Aadhaar-seeded bank account for DBT release

    Documents required

    • Aadhaar, PAN and passport photographs of the applicant / promoters
    • Land ownership papers (jamabandi / 7-12 / RoR) or registered lease of 9+ years
    • Bankable DPR with BOQ, financials, DSCR and sensitivity analysis
    • Itemised EPC quotation from the turnkey vendor (MushroomWale quote works as-is)
    • Bank term-loan sanction letter (for credit-linked schemes such as NHB and PMEGP)
    • Project site photographs, electricity connection proof and water source detail
    • GST registration / Udyam registration for the farm entity

    How to apply — step by step

    1. Prepare the DPR
    Detailed project report with BOQ matching the turnkey quotation, 5-year financials, DSCR above 1.5 and a subsidy claim map.
    2. Register on the scheme portal
    File the application on the state horticulture / MIDH portal (or NHB portal for credit-linked capital subsidy) before starting construction.
    3. Get administrative approval
    District Horticulture Officer inspects the site and issues pre-approval. Do not start civil works before this on MIDH/NHM-routed schemes.
    4. Bank sanction (if credit-linked)
    Term-loan sanction from a scheduled commercial bank for 75-80% of project cost, quoting the scheme name.
    5. Build and document
    Commission the unit with dated photographs, invoices, asset register and CA-certified utilisation statement.
    6. Claim and release
    Joint inspection on completion, then subsidy release — back-ended to the loan account for NHB, direct to bank account in tranches for MIDH/NHM.

    Cost the project before you apply

    Every scheme above needs an itemised project cost and a bankable DPR. Get a MushroomWale turnkey quotation for your Odisha site, read the mushroom farming in Odisha guide, or compare all schemes on the national subsidy page. GST @18% and transport extra; civil works are client scope.

    Odisha mushroom subsidy FAQs

    Planning a subsidised mushroom farm in Odisha?

    Get an itemised turnkey quotation and a bankable DPR that matches it line for line.

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