Grading / Pack House for ₹4 lakh: Cost & Subsidy (2026)

As per the government model report, the basic Grading / Pack House (54 m² shed) costs ₹4 lakh. A shed to sort and pack fruits and vegetables. 50% of cost norm (MIDH) — up to ₹2 lakh support; your shar

 · 4 min read
Grading / Pack House for ₹4 lakh, about ₹2 lakh subsidy
Grading / Pack House · Basic unit
₹4 lakhto start
54 m² shedCapacity
50%Subsidy
~3.1 yrsPayback
In 60 words

As per the government model report, the basic Grading / Pack House (54 m² shed) costs ₹4 lakh. A shed to sort and pack fruits and vegetables. 50% of cost norm (MIDH) — up to ₹2 lakh support; your share is about ₹40 thousand. Year-3 net profit ~12% of sales is expected, but the bank margin is thin — fix buyers and prices first.

Source: Rajasthan Agricultural Competitiveness Project (Agri… · Utkrishi Team · 01-10-2026

01Where will the money come from?

Total cost ₹4 lakh

₹40 thousandYour share10%
₹1.6 lakhBank loan40%
₹2 lakhSubsidy50%

From your pocket only ₹40 thousand — the subsidy is credited to your loan account.

02Income over 5 years

Yearly sales (blue bar) · Net profit (green)

Year 1
₹2.1 lakh
Loss ₹68 thousand
Year 2
₹3.24 lakh
Loss ₹12 thousand
Year 3
₹4.45 lakh
Profit ₹51 thousand
Year 4
₹5.15 lakh
Profit ₹86 thousand
Year 5
₹5.31 lakh
Profit ₹90 thousand

net profit ~12% of sales · payback ~3.1 years · Includes interest, depreciation and a 5% yearly rise in costs.

Note: by bank standards this model has a thin margin. Fix buyers, prices and costs first.

035 steps to start

  1. Get trainedLearn the work, find buyers
  2. Prepare the siteShed/room, power, water
  3. Get a DPR madeProject report as the bank needs it
  4. Apply for loan + subsidy50% of cost norm (MIDH)
  5. Produce and sellIncome starts from year 1
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04Who is it right for?

FPOs and farmer groups
People who export or supply fruits and vegetables to mandis
People with direct access to a mandi

053 mistakes that cause losses

Not getting enough produce for the whole year
Only building the shed, not finding buyers
Forgetting the cost of packing material

06Frequently asked questions

What does a pack house do for prices?

Sorted, graded and well-packed produce usually gets a better rate than mixed loose produce.

What government support is there for the Grading / Pack House?

50% of cost norm, linked to a bank loan, back-ended.

How much can the Grading / Pack House earn?

In the government model, year-3 sales are about ₹4.45 lakh with net profit ~12% of sales; payback ~3.1 years.

Grading / Pack House — Want to start?

Tell us your district and budget — an expert will suggest the next step for free.

Chat on WhatsApp+91 86250 77758Full details →

Learn first: ₹99 masterclass · Instagram · Facebook · YouTube

Source: Rajasthan Agricultural Competitiveness Project (Agri… · MIDH Guidelines 2025
Last checked: 01-10-2026. Figures are based on government model reports and are indicative; get fresh quotes and local prices before the DPR. The bank decides the loan/subsidy — we help you prepare. Depends on the scheme continuing.
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Utkrishi Team

Utkrishi – एग्री बिज़नेस, DPR, सब्सिडी और बैंक लोन में मदद। +91 86250 77758