Introduction: MAGNET Subsidy Maharashtra

MAGNET subsidy Maharashtra gives eligible Farmer Producer Organisations (FPOs) a grant of up to 60% of the cost of approved technologies. It is a grant, not a loan, so you do not repay it. However, only FPOs that meet strict rules and score at least 50 out of 100 get approved. This guide explains the subsidy percentage, eligible technologies, FPO criteria, and crops. It also covers the new MAGNET 2.0 scheme.

Under the MAGNET technology window, the grant is up to 60% of project cost, or the technology’s maximum grant, whichever is lower. The FPO must fund at least 20% as its own equity. Women-led FPOs, Community Managed Resource Centres (CMRCs), and women-owned FPOs need only 5%.

What Is the MAGNET Scheme in Maharashtra?

The MAGNET scheme Maharashtra is the Maharashtra Agribusiness Network project. The Government of Maharashtra runs it with support from the Asian Development Bank (ADB). The project costs about US$142.9 million, which is roughly Rs 1,000 crore. ADB provides 70% as a loan, and the state funds the other 30%.

The project runs for six years across all districts. Its main goals are higher farmer income, better value addition, and lower post-harvest losses. In addition, it works on three outputs:

• Stronger agribusiness institutions and FPOs
• Better financial and business skills for FPOs and value chain operators
• Improved value chain infrastructure for target horticulture crops

The Maharashtra State Agricultural Marketing Board (MSAMB) plays a key role in this effort. MSAMB has served the state since 1984. Meanwhile, the MAGNET Project Management Unit in Pune oversees the work, and eight regional Project Implementation Units (PIUs) handle applications.

MAGNET Subsidy Percentage: How Much Money Can You Get?

The MAGNET subsidy percentage is simple on paper. The grant is up to 60% of the cost or the maximum grant set for that technology, whichever is lower. So, the 60% is a ceiling, not a guarantee.

The FPO must also put in its own money. The minimum own equity is 20% of project cost. Therefore, the grant and equity together cover 80%. A term loan can fund the rest, where applicable. For CMRCs and women-owned or women-led FPOs, the minimum equity falls to 5%.

Illustrative example (assuming no lower cap applies):

This table is only an example. Your real grant depends on the quotation and the technology cap.

How the Grant Is Paid

MAGNET pays the grant as reimbursement in two equal tranches.

1. First tranche (50%): You need a signed grant agreement. You must also show proof that your equity and any term loan were paid to the supplier from the project account.
2. Second tranche (50%): You submit a utilisation certificate, tax invoice, and bank statement. You must also have paid the vendor in full. Then the PIU visits to verify the equipment. Software and advisory services skip this visit.

Because of this structure, you need working capital. The grant does not arrive before you buy.

MAGNET Technology Subsidy: Which Technologies Qualify?

The MAGNET technology subsidy covers 12 technology types. Many of them count as post-harvest infrastructure. Each applicant can claim support for only one technology. In addition, the schemes cap the units you can claim.

The MAGNET cold storage subsidy is the most popular option. Solar cold storage suits low-volume pre-cooling and staging. Biomass cold storage works better in areas with long monsoons or cloudy weather.

Quality and Safety Conditions

The technology must also meet at least one quality test. For instance, it may carry a recognised certification. It may also have been supplied under a government tender or won a government award. All equipment must be new, and refurbished machines are not eligible. Moreover, drones need a DGCA Type C certificate and must follow Drone Rules 2021.

Custard apple pulpers have an extra rule. You need your own preservation facility, such as blast freezing. Otherwise, you need a prior agreement with a buyer who can preserve the pulp. You must also submit a business plan.

MAGNET FPO Eligibility Criteria

The Maharashtra Agribusiness Network eligibility rules are strict. An FPO must meet all these points:

• Legal status: It must be a registered Farmer Producer Company, cooperative, or other producer organisation. Federations and associations also qualify. Non-registered groups must register before the grant agreement.
• Audited accounts: It needs at least 3 year of Chartered Accountant-audited books.
• Clean record: It must not be an NPA with any bank or financial institution. It must also have no significant adverse audit remarks.
• Membership: It needs at least 250 producer shareholders. Federations need 10 institutional members with at least 2,000 producers combined.
• Crop focus: At least 60% of shareholders must grow one or more target crops. You must back this with crop-wise catchment data.
• Turnover: It needs more than Rs 5 lakh in at least one audited year of the last three. Federations need Rs 25 lakh combined.
• Own equity: It needs 20% of project cost, or 5% for CMRCs and women-led entities.

Women-owned or women-led FPO federations and CMRCs get softer thresholds. They need 10 institutional members or 10 self-help groups with 2,000 members combined. Their combined turnover threshold is Rs 5 lakh.

Some projects are barred outright. These include projects with involuntary resettlement, impacts on ST, or sites in eco-sensitive zones. Projects within 500 metres of a national heritage site are also barred. Always screen your site first.

MAGNET 2.0 Eligible Crops and Current Crop List

The current MAGNET technology window covers 15 crops:

• Pomegranate, banana, orange, sweet lime, and custard apple
• Guava, sapota, strawberry, and mango
• Cashew, lemon, and snake gourd
• Green and red chilli, okra, and flowers

Some technologies have narrower crop lists. For example, IoT advisory covers 11 crops, and the optical grader suits round fruits like pomegranate, orange, guava, custard apple, and mango. So always match your crop to your technology.

MAGNET 2.0 Scheme Maharashtra: What Is New?

The state government approved the MAGNET 2.0 scheme Maharashtra through a Government Resolution dated 23 July 2025. The Cabinet decided this on 17 July 2025. The new phase is worth Rs 2,100 crore (US$250 million) and runs from 2025 to 2031.

MAGNET 2.0 eligible crops add eight new crops to the existing 15. These are grapes, papaya, turmeric, fig, drumstick, tomato, ginger, and jackfruit. That makes 23 crops in total. The new phase will focus on better infrastructure, wider financial and institutional support, and horticulture exports.

However, a caution applies. The Government Resolution also approves sending the Preliminary Project Report to the Department of Economic Affairs, Ministry of Finance. So final subsidy rates, and application windows may still change. Therefore, treat today is 60% rule as the current benchmark, not as a promise for 2.0.

Why Use a MAGNET Subsidy Consultant in Maharashtra?

A MAGNET subsidy consultant in Maharashtra saves time and reduces rejection risk. First, a consultant checks your eligibility before you spend money. Second, they prepare the scoring evidence, so your marks improve. Third, they align quotations with the technical specifications. Finally, they track the file through each approval stage.

Finraja Consultancy Pvt Ltd is an independent subsidy consultancy. We are not a government body. We guide FPOs through eligibility checks, documents, and follow-up. Moreover, we explain the cash flow clearly, so you plan your equity and loan early.

Frequently Asked Questions

What is the MAGNET subsidy percentage?
The grant is up to 60% of cost or the technology’s maximum grant, whichever is lower.

Can an individual farmer apply?
No. The technology window is for FPOs, cooperatives, ATMA-registered farmer groups, CLFs, CMRCs, and federations.

How many technologies can one FPO claim?
Only one technology per applicant.

Is the MAGNET grant paid upfront?
No. It is reimbursed in two 50% tranches after you pay the vendor.

Does the MAGNET cold storage subsidy include biomass units?
Yes. Solar cold storage (5 or 10 MT) and biomass cold storage (15 MT) are both listed.

Is MAGNET 2.0 open for applications?
The state approved it in July 2025. Check the official portal for the current window.

Conclusion

MAGNET subsidy Maharashtra can cover up to 60% of your technology cost. However, you must meet the eligibility rules, score 50 or more, and manage cash flow between tranches. In addition, MAGNET 2.0 may soon widen the crop list. So, prepare your documents now.

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