Agriculture Scheme

KISAN CREDIT CARD SCHEME
FARM MECHANISATION
LAND DEVELOPMENT
MINOR IRRIGATION
SUDHARIT KAMDHENU SCHEME
DAIRY EQUIPMENT SCHEME

1. S.T. KISAN CREDIT CARD SCHEME

Purpose:

Kisan Credit Card Scheme is need-based and timely credit support under a single> window to the farmers for their cultivation and other needs such as to meet the short term credit requirement for cultivation of crops, post-harvest expenses, produce marketing loan, consumption requirement of farmer household, working capital for maintenance of farm assets and activities allied to agriculture like dairy farming, poultry, inland fishery etc and also investment credit requirement for agricultural and allied activities like pump set, sprayer, dairy animals.

Eligibility:

All farmers Individual / Joint borrowers who are owner cultivators, Tenant farmers, oral lessees and sharecroppers. SHG and Joint liability groups, Primary Agricultural Cooperative society for lending to their members.

Under the scheme, Branches may issue Kisan Credit to farmers who are otherwise eligible for sanction of short term credit for crop production, allied activities and other non-farm activities.

The farmers under the scheme will be issued a credit card cum ATM card, incorporating the farmer’s identity, assets, particulars of land holding, credit profiles etc.

Technical Feasibility:
Suitability of soil, climate and availability of adequate irrigation facilities.

Financial Viability:

The expected incremental income should be adequate to repay the advances leaving sufficient balance for farmers’ domestic needs.

Quantum of Finance and Margin:

Short term limit to be arrived at first year for raising a single crop in a year should be worked out i.e. scale of finance for the crop (as decided by the SLTC) extent of area cultivated + 10% of limits towards post-harvest/household/consumption requirement + 20% of limits towards repairs and maintenance expenses of farm asset, PAIS and assets insurance.

Limit for second and subsequent year. The first-year limit for crop cultivation purpose arrived at as above plus 10% of the limits towards cost escalation/increase in scale of finance for successive years (2nd, 3rd, 4th and 5th year ) and estimated term loan component for the tenure of Kisan credit card.

For crop loans, no separate margin be insisted as the margin is inbuilt while fixing the scale of finance.

Repayment period:

The limit disbursed is subject to annual review. The farmer should be allowed for any number of drawls and repayment within the limit, the aggregate of credit into the account during the 12 months period should at least be equal to the maximum outstanding in the account.

No drawls in the account should remain outstanding for more than 12 months in case of normal crops and 18 months in case of sugarcane and banana crops.

The Kissan credit card should be valid for years subject to annual review.

Security:

Up to Rs. 1,60,000/ Hypothecation of standing crops and two guarantors

Above Rs. 1,60,000/ Hypothecation of standing crops Mortgage of land or any other /

Collateral security.

Common Documents:

Demand Promissory Note.

Deed of Composite Hypothecation Agreement.

Letter of Authority.

Charge of land is created by Equitable mortgage or Legal Mortgage of land.

Letter of the pledge.

Undertaking to repay the advance within 12 months or on sale of produce

Crop Insurance:

Crop financed should be insured as required by law or as covered under various

schemes.

Insurance premium should be debited to the relative loan account and claims if any be

credited to the beneficiary’s account promptly.

2. FARM MECHANISATION

Purpose:

Purchase of new/second-hand tractors, accessories & machinery implements
Purchase of new power tiller, accessories and matching implements
Power threshers, power sprayers, power dusters and chaff cutters
Purchase of jeeps pick-up vans mini trucks, two-wheelers, bullock cart etc to be used for transporting agricultural inputs and farm produce/ products.
Finance for major repairs/renovations of new/second-hand tractor/trailer, tractor-drawn implements, power tiller, jeep, pick up van truck etc, to our borrowers financed for purchase of these machinery.

Eligibility:

Finance to individual farmers:

The proponent should be a farmer having owned or registered leased land.
For a tractor loan, the farmer should have a minimum of 8 acres of perennially irrigated land. However, BM can have the discretion to consider deserving borrowers having 5 acres
For purchasing power tiller the farmer should have a minimum of 5 acres of perennially irrigated land. BM can use discretion in deserving cases with a minimum of 3 acres of perennially irrigated land.
Productive use of a tractor and power tiller for a minimum of 1000hours and 600 hours per annum respectively to be ensured.

For the purchase of a tractor with more than 25 hp, the landholding should be more at the rate of one acre of perennially irrigated land for every 2.0 to 2.5 hp

State Govt. undertaking engaged in financing the farmers for purchase of farm machinery.
State Govt. corporations are engaged in providing hire services to the farmers.
Agro Service Centre run by technically qualified entrepreneurs may be financed for acquiring farm machinery.

Financial Viability:

The viability of the scheme should be assessed keeping in view the capital cost and working expenses vis-à-vis expected incremental income from the farm and custom hiring. The assessment should clearly indicate that the net incremental income will be enough to repay the loan with interest within a reasonable period and the farmer will also get a fair return.

Loan up to Rs. 160,000/-(after deducting eligible subsidy from the Agricultural Department)Hypothecation of assets acquired and Two guarantors.

Security:
Loans above Rs. 160,000 /-(after deducting eligible subsidy from the Agricultural Department)Hypothecation of assets acquired
(ii) Mortgage of land OR declaration as per agricultural. credit act OR collateral security

of adequate worth.
(iii) Two third party guarantors.

Unit Cost/ Loan amount eligible for finance –As per the quotation from the

authorized dealer

Repayment
To be repaid in 60 to 84 equated instalments. Documents to be obtained from the Borrower

Photograph
Proof of identity
Approval order of the Agricultural Department.
Two third-party guarantors
Quotation from the authorized dealer

Security Documents to be obtained by the Branch

Hypothecation Agreement
Demand Promissory Note
Agreement for loan
Equitable or Legal Mortgage or Deed of Declaration of Land wherever stipulated.
Third-party Guarantor bond

3. LAND DEVELOPMENT

Purpose
Land leveling, reclamation of soil, bunding and any other soil conservation measures

Eligibility
Farmers owning land farmers cultivating registered leased land

Quantum of Loan
The Quantum of the loan will depend upon the estimated cost of the scheme. The nature of treatment and material required per unit of land should be ascertained from the concerned department of the state Govt.

SecurityPrincipal/Collateral:

Loan limit upto Rs.1,60,000/- Two sound Guarantors.
Loan limit above Rs.1,60,000/- Mortgage of land or declaration as per Agricultural Credit Act or Collateral Security of adequate worth and two sound Guarantors.

Other Common documents:

a) Demand Promissory Note
b) Agreement for loan
c) Letter of Guarantee from Guarantor/s whenever considered necessary

Margin

Loan upto Rs.50,000/-	Nil
Loan over Rs.50,000/-	5% to 25%

Mode of Disbursement
The loan amount should be disbursed in stages depending upon the progress as per the project report. The hire charges for the machinery and implements should be paid directly to the executing agency after obtaining a progress/completion statement from the farmer.

Repayment
Normally such loans should be repaid within 9-15 years depending upon the loan amount and income of the farmer from various sources. The moratorium should be given to the farmer for repaymentofloanifnecessaryThe instalments may be fixed half-yearly/annually according to the cropping pattern and income generation. The due dates of instalments should synchronize with the marketing of the crop produce.

4. MINOR IRRIGATION

Purpose:

The following activities can be considered for financing under Minor Irrigation,
Lift Irrigation
Well Irrigation
Electric Motor & Pump set
Diesel Engine
Construction of pump house/ water delivery channel
Payment of a deposit to the State Electricity Board
Any other type of need-based facility/construction suitable to the topography of the agricultural field

Eligibility:
Individual Farmers Group of farmers/ Co-Operative Society of the farmer’s State Irrigation Corporations/ Bodies offering the guarantee of State Government Individual farmers /Group farmers, Co-operative societies should have owned land or registered leased land and should be willing to adopt advanced farming techniques and improved cropping patterns.
In the case of lift irrigation schemes, permission from the competent authority like the irrigation/ PWDepartment of the state Govt. to lift water from the river/lake at least during the currency of the loan should be obtained.

Technical Feasibility:
Availability and suitability of water in adequate quantity during cropping seasons for irrigation purposeMinimum land area of the farmer-borrower for effective use of the irrigation scheme.Availability of BIS certification on equipment to ensure quality.

Financial Viability :
The financial viability of the irrigation schemes should be assessed keeping in view the capital cost vis-à-vis expected incremental income from the farm. The assessment should clearly indicate that the net incremental income on account of improved agronomic practices would be adequate to service the loan with interest within a reasonable period apart from the farmer getting a fair return on the investment.

Security
Loan upto Rs. 1,60,000/-(after deducting eligible subsidy from the Agricultural Department)

Loans above Rs. 100,000 /-(after deducting eligible subsidy from the Agricultural Department

Hypothecation of assets acquired
Mortgage of land OR declaration as per agricultural. credit act OR collateral security of adequate worth.

Unit Cost/ Loan amount eligible for finance

As per the quotation from the authorized dealer

Margin

Loan upto Rs.50,000/-	Nil
Loan over Rs.50,000/-	5% to 25%

Rate of Interest

LT/MT loan Priority/Agri.Allied activities

-Primary Agri.Co-op.Societies	10.50%
Individuals and others	11.00%

Repayment To be repaid in 9 to 15 years

Documents to be obtained from the Borrower
1. Photograph
2. Proof of identity
3. Approval order of the Agricultural Department
4. Two third party guarantors
5. Quotation from the authorized dealer

Security Documents to be obtained by the Branch

Hypothecation Agreement
Demand Promissory Note
Agreement for loan
Equitable or Legal Mortgage or Deed of Declaration of Land wherever stipulated.
Third-party Guarantor bond

Schemes for poultry:

Purpose

Financing can be considered for the following types of poultry schemes. Establishment of small poultry (layer or broiler) units of 200 to 500 birds as subsidiary occupation by the farmers and agricultural labourers. Individual registered partnership firm limited companies and registered co-operative societies having necessary trained and technical personnel and management experts for running following commercial poultry units.
Establishment/expansion of layer farm,
Establishment/expansion of broiler farm,
Establishment /expansion of hatchery farm,
Establishment/expansion of production –cum-processing units.

The following items are eligible for finance under different poultry schemes.

Construction of brooder/grower houses, feed godowns, acquisition of electricity and water supply, purchase of cages, purchase of feeders, waterers, feed/egg, trolleys, vaccination equipment, etc.
b) Poultry co-operative may require finance for the purchase of feed mixing plant, feed ingredients and for stocking of feeds for their members.
c) Integrated layer units will also require finance for construction of broiler houses, purchase of machinery/equipment for the dressing of birds, refrigerated storage facilities for dressed birds and refrigerated van for their transport.
d) Hatchery units will require finance for egg rooms fumigation room, egg cooling room, room for egg incubators, room for chick sexing as well as and vaccination and packing room.
e) Larger poultry units may also require finance for the purchase of air conditioners, standby generators.

Eligibilty
a) Individual farmers/agricultural labourers who are experienced/trained in poultry management are taking up poultry farming as a subsidiary occupation.
b) Individual registered partnership firms, limited companies, etc., are eligible for bank credit for large poultry units. These units should have trained/ technically qualified personnel for running the unit.

5. SUDHARIT KAMDHENU SCHEME

Eligibility

Farmer, Agriculture labourers, Registered partnership firm, limited companies, dairy co-operative societies, SHGs.

The applicant has to be bonafied resident of Goa for atleast 05 years, shall posses a Pucca cattle shed with cement flooring for housing the animals proposed to be reared, strictly stall feed the animals reared and new entrants should compulsorily undergo two weeks practical training arranged in Government farms

Type of facility:

Medium Term Loan

Security:

Loan upto Rs. 1,60,000/-

(after deducting eligible subsidy from the AH&VS Department)

Hypothecation of milch animals and Two guarantors

Loans above Rs. 1,60,000 /-

(after deducting eligible subsidy from the AH&VS Department)

Hypothecation of milch animals any other collateral security which is applicable to Bank.

(ii) Two guarantors.

Unit Cost/ Loan amount eligible for finance

Rs. 70,000/- towards cost per milch animal

Rs. 14,455/- towards Insurance premium per milch animal

Rs. 600 &1,500/- towards transportation cost per milch animal

Margin

NIL. Eligible subsidy from the AH&VS Department will be considered as an margin for financing the farmer.

Rate of Interest

LT/MT loan Priority/Agri.Allied activities

Primary Agri.Co-op.Societies	10.50%
Individuals and others	11.00%

Repayment :

To be repaid in 42 equated installment. The installment will be restructure after receiving subsidy from Govt. of Goa., and will be repaid in 42 equated installment. The subsidy received from the AH&VS Department will be kept in subsidy reserve fund account for 42 months and thereafter will be adjusted to the loan account of the Borrower farmer.

Documents to be obtained from the Borrower

Photograph
Proof of identity
Approval order of the AH&VS Department

Security Documents to be obtained by the Branch

Hypothecation Agreement
Demand Promissory Note
Agreement for loan.

Department of animal husbandry and Veterinary services provides subsidy to the

beneficiary under the scheme which are as under

No. of Animals	General	Amount %	SC/ST/Dhangar (Category)	Amount %
1 to 10	56000/-	80%	63000/-	90%
11 to 20	35000/-	50%	52500/-	75%
21 & above	28000/-	40%	35000/-	50%

6. DAIRY EQUIPMENT SCHEME

Eligibility:

Farmer, Agriculture labourers, Registered partnership firm, limited companies, dairy co-operative societies, SHGs.The applicant has to be a bonafide resident of Goa for at least 05 years, shall possess a Pucca cattle shed with cement flooring for housing the animals proposed to be reared and should have the dairy animals.

Type of facility:

Medium-Term Loan

Security:

Loan up to Rs. 1,60,000/-

(after deducting eligible subsidy from the AH&VS Department)

Hypothecation of Dairy Equipment and Two guarantors

Loans above Rs. 160,000 /-

(after deducting eligible subsidy from the AH&VS Department)

Hypothecation of Dairy Equipment and two guarantors & other Collateral Security applicable to the Bank.

Margin

NIL. Eligible subsidy from the AH&VS Department will be considered as a margin for financing the farmer.

Rate of Interest