Agricultural loans are availed by a farmer to fund seasonal agricultural operations or related activities like animal farming, pisci-culture or purchase of land or agricultural tools. This type of loan also helps buying inputs such as fertilizers, seeds, insecticides etc. and engaging labour for cultivating and harvesting the crops.
In addition, purchasing of land, or purchasing of agricultural tools, storage of produce and transport, cost of ploughing land for sowing, weeding, and transplantation also are included under purview of agricultural loans.
Farmers can avail an agricultural loan starting at 7% p.a. and with processing fee ranging between zero to 4% of the loan amount.
Types of Agriculture Loan
Given below is the list of types of agriculture loans that you can avail for yourself:
- Crop Loan: These types of loans are also known as Retail Agri Loans is a type of loan which allows a farmer to meet his short-term expenses arising due to cultivation of crops, maintenance of farm equipment, and other post farm activities. The farmer gets a credit card called the Kisan Credit Cardon availing this type of loan which they can use to withdraw money to make necessary purchases to meet their farming needs.
- Agricultural Term Loan: These are long term loan schemes which a farmer can avail to meet their non-seasonal expenses. One can avail this loan to buy or upgrade equipment such as windmills, solar power, etc. The repayment tenure for such kind of loan schemes can go up to 4 years allowing the farmer to repay the amount in a convenient manner.
- Solar Pump Set Loan: If a farmer is involved in small irrigation projects and require capital to buy photo voltaic pumping system, then availing a solar pump set loan is the appropriate option. The repayment tenure for such loan schemes go up to 10 years.
- Loan for Allied Agricultural Activities: Farmers involved in allied agricultural activities can apply for such type of loans if they need to raise working capitals to meet their farming expenses.
Farm Mechanisation Loan: If a farmer requires working capital so that they can either purchase new farming machineries or upgrade their existing ones such as purchasing a new tractor or getting an old one repaired, then they can apply for these types of loan schemes.
Other types of loans
- Horticultural Loan: Farmers involved in setting up vegetable farms and orchards can apply for a horticultural loan which not only allows them to meet the cost of managing such type of farms, but also helps in meeting the expenses related to other horticulture activities such as clearing wild trees, setting up fence, etc.
Farmer Loan Plan: Nurturing Agricultural Growth for a Prosperous Tomorrow
Our Farmer Loan Plan is a dedicated financial solution designed to empower farmers on their journey towards sustainable agriculture. With a minimum investment amount of ₹10,00,000 and a unique structure offering an annual disbursement of ₹5,00,000 over 84 months, this plan aims to provide consistent support to farmers for their agricultural endeavors.
Key Features:
- Minimum Investment Amount: Start your agricultural journey with a minimum investment of ₹10,00,000. We understand the financial needs of farmers and have structured this plan to provide substantial support.
- Annual Disbursement: Benefit from an annual disbursement of ₹5,00,000, ensuring a steady inflow of funds to support your agricultural activities. This regular disbursement is designed to align with the seasonal requirements of farming.
- Extended Tenure: The Farmer Loan Plan offers an extended tenure of 84 months, allowing farmers ample time to invest in their crops, equipment, and other agricultural needs without the burden of immediate repayment.
- Flexible Utilization: Use the disbursed funds for various agricultural purposes, including purchasing seeds, fertilizers, equipment, and covering operational expenses. The plan is designed to provide flexibility in addressing the diverse needs of farmers.
- Low-Interest Rates: Enjoy competitive and farmer-friendly interest rates to ensure that the financial burden remains minimal, allowing farmers to focus on productivity and growth.
- Transparent Process: Our commitment to transparency ensures that farmers are well-informed throughout the process. Clear communication and regular updates on the disbursement schedule contribute to a trusting and collaborative relationship.
- Customized Support: Recognizing the unique challenges faced by farmers, our Farmer Loan Plan comes with personalized support from agricultural experts who can offer guidance on optimizing crop yields and enhancing overall farm efficiency.
How to Apply:
- Visit our nearest branch or connect with our dedicated agricultural support team.
- Complete a simple application process, providing the necessary details about your farm, investment needs, and other relevant information.
- Once approved, expect annual disbursements of ₹5,00,000 for 84 months, directly supporting your agricultural activities.
