To provide finance/ funds to the farmers for their farm/ off-farm needs.
To help farmers avoid distress sale of their produce.
Eligibility
Non defaulting individual farmers (owner/ tenant farmer & share cropper), group of farmers (JLGs), engaged in production of crops suitable for storage in warehouse/ godown/ cold storage/ regulated market yards, etc.
Farmers enjoying KCC facility as well as non-borrower farmers are eligible.
Quantum of finance
70% to 60% of market value of farm produce depending upon accreditation of warehouse with WDRA. Max. Rs.50 lakh.
Security
Farmers enjoying KCC
Hypothecation of farm produce/ pledge of warehouse receipts
Other farmers
Pledge of warehouse receipts.
Margin
30% to 40%
WDRA Accredited – 30%
Non Accredited - 40%
Rate of Interest
Other than Small & Marginal Farmers
Upto Rs.3 lakh - 1% over Base Rate
Over Rs.3 lakh to Rs.10 lakh – 1.5% over Base Rate
Over Rs.10 lakh to Rs.50 lakh – 2% over Base Rate
Small/ Marginal Farmers – who are enjoying KCC facility may get Interest subvention for maximum period of 6 months – upto a limit of Rs.3 lakh.
Repayment
To be liquidated within 12 months from the date of disbursement.
