Help for country chicken farmers comes from Tamil Nadu's 50% subsidy for 250-bird units, the Kisan Credit Card and bank loans. On 25 October 2026 the National Livestock Mission (NLM) was not taking new projects, poultry included. No one can promise you a loan or a subsidy.
The schemes at a glance
| Scheme | Run by | What it is for | Status on 25 October 2026 |
|---|---|---|---|
| 50% subsidy for a 250-bird country chicken unit | Government of Tamil Nadu | Shed, feeders, drinkers and 4 months' feed | 100 units in 2026-27; forms taken in September–October 2026 |
| NLM rural poultry subsidy | Government of India (DAHD) | Hatcheries with at least 1,000 parent birds | New proposals stopped; scheme under revision |
| Kisan Credit Card (KCC) | Banks | Feed, vet care and other running costs | Running; latest terms for 2025-26 |
| Bank loan for a poultry unit | Banks | Shed, equipment and birds | Open; the bank decides |
| Livestock insurance (NLM) | State animal husbandry departments | Cattle, goats, sheep, pigs and others | Does not cover chickens |
Tamil Nadu: 50% subsidy for a 250-bird country chicken unit
- Official name: Scheme for providing 50% subsidy for establishing small-scale (250 birds/unit) country chicken farm units in rural areas.
- Run by: the Tamil Nadu Animal Husbandry Department, through the districts: only 100 units for the whole state in 2026-27, at ₹1.60 crore (Policy Note 2026-27).
- Who can apply: skilled rural people living permanently in the village, with at least 625 sq ft of their own land for the shed, away from homes and water (Tenkasi). You must run the farm for at least 3 years and show that a bank will lend you the other half, or that you can pay it. Widows, destitute people, transgender persons and persons with disabilities come first; the scheme is not only for women. In Tiruvarur, 30% of places are for Scheduled Caste and Scheduled Tribe applicants (Tiruvarur). People helped in 2023-24, 2024-25 or 2025-26 cannot apply.
- What it gives (checked on 25 October 2026): ₹1,46,875, half of a ₹2,93,750 unit cost that covers the shed, feeder and drinker trays, and feed for the first 4 months. You pay the other half from a bank loan or your own money, and the subsidy is paid after the unit is set up. Mayiladuthurai also gives 250 chicks, 4 weeks old, free (Mayiladuthurai); ask what your district gives.
- How to apply: get the form at your village's government veterinary dispensary and return it to the Veterinary Assistant Surgeon. Forms were taken in September–October 2026, so ask whether your district is still taking them or when the next round starts.
- Documents: Tiruvarur asks for a letter promising to run the farm for 3 years and a certificate that you were not helped in 2023-24 to 2025-26; in 2025-26, Nagapattinam also asked for Aadhaar, the chitta or adangal, and proof that you can pay your half (Nagapattinam, 2025).
- Official page: https://tenkasi.nic.in/scheme-for-providing-50-subsidy-for-establishing-a-country-chicken-farm-unit-press-release/
Rules change — confirm with your nearest veterinary hospital or animal husbandry office.
National Livestock Mission: rural poultry subsidy
- Official name: National Livestock Mission, Entrepreneurship Development Programme (NLM-EDP): breed development of rural poultry.
- Run by: the Department of Animal Husbandry and Dairying (DAHD), Government of India, through state agencies; in Tamil Nadu, the Tamil Nadu Livestock Development Corporation (TNLDC), formerly the Tamil Nadu Livestock Development Agency (Policy Note 2026-27).
- Status: a DAHD order of 24 September 2026 says no further new proposals will be approved under the existing programme. It is not limited to goats and sheep, so poultry is included. The scheme is "presently under revision"; apply again once DAHD issues new guidelines and the portal reopens (DAHD order). On 25 October 2026 the portal said online applications "shall be started soon", and that approved projects must finish by 31 December 2026 (NLM portal).
- What the last version gave: a one-time 50% capital subsidy, up to ₹25 lakh, for a parent farm, hatchery and mother unit with at least 1,000 parent birds (NLM guidelines, January 2025). The birds had to be low-input types that do well free-range, such as Vanaraja, Gramapriya or Giriraja; Aseel (Peruvidai) was not on the list.
- Who could apply, and documents: individuals, groups, cooperatives and Section 8 companies with training or experience, own or leased land, at least 10% of the cost as their own share, and a bank loan sanction or guarantee, who would run the farm for 3 years. The portal lists the documents, from the project report to PAN and Aadhaar (NLM document list).
- Official page: https://nlm.udyamimitra.in
Rules change — confirm with your nearest veterinary hospital or animal husbandry office.
Kisan Credit Card for poultry farmers
- Official name: Kisan Credit Card (KCC), with interest support under the Modified Interest Subvention Scheme (MISS).
- Run by: banks, with interest support from the Government of India.
- Who can apply: poultry farmers alone or jointly, joint liability groups and self-help groups, tenants included, with their own, rented or leased sheds (RBI, 2019).
- What it gives: short-term credit for feed, vet care, labour, water and electricity. For 2025-26 the government stated 7% interest, with up to 3% off for repaying on time (so 4%); for loans only for animal husbandry, this applies up to ₹2 lakh (PIB, 28 May 2025). In March 2026 it said the general limit had risen to ₹5 lakh (PIB, 11 March 2026). We found no decision for 2026-27, so ask your bank which limit applies.
- From 1 January 2027: under RBI's new rules, the card can also give investment loans, for example for a bird shed or for buying livestock (RBI, 19 June 2026).
- Collateral: none for farm loans up to ₹2 lakh, from 1 January 2025 (RBI).
- How to apply and documents: at your bank branch or a KCC camp; Common Service Centres help with the form. Keep Aadhaar, a photo, your passbook, any land or lease papers, and details of your birds and shed ready.
Rules change — confirm with your nearest veterinary hospital or animal husbandry office.
Bank loan for a poultry unit
- Run by: commercial, cooperative and regional rural banks, refinanced by NABARD.
- What it gives: a term loan for the shed, equipment and birds. NABARD's model for improved country birds expects your own share of 10–25%, interest set by the bank, and repayment over about 5 years (NABARD model, 2018).
- How much: NABARD's 2026-27 Tamil Nadu unit-cost booklet has no country chicken unit (NABARD, June 2026); the state scheme's ₹2,93,750 for 250 birds is the one official figure. See Country chicken farming costs and income: a worked example.
- How to apply: take a project report, KYC, land papers and quotations to your branch; see what goes in the report.
- Big climate-controlled farms: the infrastructure fund AHIDF covers only climate-controlled hatcheries and layer or broiler breeder farms (AHIDF portal); ask your bank whether it is open.
Rules change — confirm with your nearest veterinary hospital or animal husbandry office.
Insurance
- Government livestock insurance does not cover chickens. NLM's insurance covers milch and pack animals, goats, sheep, pigs, rabbits, yaks and mithuns, not birds (NLM guidelines).
- Tamil Nadu: a new scheme, "Kaalnadaigal Kaappom", is planned for 2026-27, but the animals it covers were not announced by 25 October 2026 (Policy Note 2026-27). Small and marginal farmers who lose poultry in a notified natural disaster can ask for relief from the State Disaster Response Fund.
- Ordinary insurance: NABARD's model says the birds, shed and equipment may be insured (NABARD model); ask your bank or an insurance company.
- Bird flu: owners are compensated for the birds, eggs and feed destroyed in culling, with the Centre and the state sharing the cost equally (PIB); birds hidden from the culling teams get nothing (Bird flu plan).
Rules change — confirm with your nearest veterinary hospital or animal husbandry office.
Karnataka, Kerala, Andhra Pradesh and Telangana
We could not confirm a current backyard poultry scheme for these states from an official page on 25 October 2026. Schemes change with each budget, so ask your district animal husbandry office or nearest veterinary hospital what is open this year.
Outside Tamil Nadu? Ask your state's animal husbandry department or the nearest government veterinary hospital about the schemes there.
Rules change — confirm with your nearest veterinary hospital or animal husbandry office.
Apply safely
- Apply only at your veterinary dispensary, bank, animal husbandry office or an official portal, and keep copies and the acknowledgement number.
- Do not spend money expecting a subsidy until it is sanctioned; the Tamil Nadu subsidy comes only after the unit is built.
Frequently asked questions
Is there a 50% subsidy for country chicken farming in Tamil Nadu?
Yes, for a 250-bird unit: ₹1,46,875 in 2026-27, paid after the unit is built. Only 100 units are planned for the whole state, so ask your veterinary dispensary early.
Can I get a subsidy for a backyard flock of 10–20 birds?
Not under the 250-bird scheme or NLM, which starts at 1,000 parent birds. Ask your vet whether a chick scheme is open.
Can I insure my chickens?
Not under government livestock insurance, which does not cover birds. Ask your bank or an insurance company about ordinary insurance.
Next
Work out your numbers in Country chicken farming costs and income: a worked example before you apply. When your birds are ready, read How to sell country chickens: age, price and safe payment, post a free ad or look at chickens for sale.
