NHB Expands Focus on Horticulture Clusters, Opening New Opportunities for Potato Value Chains

The National Horticulture Board (NHB) has accelerated work under its Cluster Development Programme (CDP) by inviting proposals for new horticulture clusters and related infrastructure. The programme is designed to strengthen the complete horticulture value chain—from production and post-harvest management to storage, processing, branding, and exports. Recent NHB updates include new cluster development activities and implementation support for high-value horticulture projects.
Although the programme is not exclusive to potatoes, potato-producing regions can benefit significantly through investments in cold-chain infrastructure, pack houses, grading facilities, logistics, and market linkages.
Why This Matters for the Potato Sector
India loses a significant quantity of horticultural produce after harvest due to inadequate infrastructure. Programmes like the Cluster Development Programme aim to improve efficiency across the supply chain by encouraging integrated development rather than isolated investments.
For the potato industry, better infrastructure can lead to:
- Improved cold storage and post-harvest handling.
- Better grading, sorting and packaging.
- Reduced transportation losses.
- Stronger links with processors and exporters.
- Higher value realization for farmers.
Scheme Highlights
| Component | Details |
|---|---|
| Scheme | National Horticulture Board – Cluster Development Programme (CDP) |
| Focus | Integrated horticulture value chain development |
| Coverage | Production, storage, logistics, processing, branding & exports |
| Target Beneficiaries | FPOs, Cooperatives, Agri Companies, Value Chain Partners |
| Current Status | NHB continues inviting proposals and implementation activities for new horticulture clusters. |
📊 Where the Investment Creates Maximum Value
| Investment Area | Potential Value Creation |
|---|---|
| ❄️ Cold Chain & Storage | 35% |
| 🚛 Logistics & Market Linkages | 25% |
| 📦 Pack Houses & Grading | 18% |
| 🏭 Processing Infrastructure | 14% |
| 🌍 Branding & Export Promotion | 8% |
Impact on the Potato Industry
👨🌾 Farmers
Access to stronger market linkages and post-harvest infrastructure can reduce losses and improve selling opportunities.
🚛 Traders
Better logistics and aggregation centres can make procurement and interstate movement more efficient.
❄️ Cold Storage Owners
Expansion of integrated horticulture infrastructure could create opportunities for modernization and higher utilization.
🏭 Processors
Improved raw material quality and supply-chain efficiency can support processing operations and value addition.
PB Takeaway
Infrastructure has become just as important as production in today's potato market. Government programmes that strengthen cold storage, logistics, grading, and processing have the potential to improve competitiveness across the entire potato value chain. Businesses, FPOs, and cooperatives should monitor NHB announcements to identify funding and partnership opportunities that align with their growth plans.
