Produce Marketing Loan - Agri & Rural
Produce Marketing Loan
Purpose
- To help farmers avoid distress sale of their produce
- To enable prompt repayment of crop loan dues and provide liquidity to farmers to meet contingency needs.
- To offer the facility of loan against the stocks stored in farm houses, in addition to loan against warehouse receipts.
Features
- Loan amount : 60% to 80% of value of produce depending upon the place of storage subject to a maximum of Rs.50 lacs.
- Loan has to be repaid within a maximum period of 12 months depending upon the crop and specific circles have different caps for different models of godowns.
Who are eligible for the loan?
- All non-defaulter borrowers of our branches, who can store the produce either in their own farm/premises itself or in a Warehouse / cold storage.
- Crop loan borrowers of other Banks and also Non-Borrower Farmers, who store their produce/ stocks in a Warehouse / cold storage.
Documents you need to produce
- Stock statement for valuation and evidence of stocks at the residence of the borrower/ godown Warehouse receipt, duly endorsed, if stocked at warehouse.
Security
Loan sanctioned against goods stored in Farmers godown
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Primary : Hypothecation of stocks.
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Collateral:Mortgage / Charge over Land or Third Party guarantee for loans above Rs.1,00,000/-.
- Disbursement : After liquidating the crop loan ,surplus will be made available for drawl.
Loans sanctioned against Warehouse Receipts (WHR)
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Primary : Pledge of stocks.
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Collateral: Mortgage / Charge over Land or Third Party guarantee for loans above Rs.1,00,000/-.

Interest Rates
8.85% p.a.
Loan amount up to Rs. 3 lakhs
8.95% p.a.
> Rs. 3 lakhs & up to Rs. 5 lakhs
Miscellaneous Activities
Other Products

Criteria
- Features
- Eligibility
- Terms and Conditions

Interest Rates
8.85% p.a.
Loan amount up to Rs. 3 lakhs
8.95% p.a.
> Rs. 3 lakhs & up to Rs. 5 lakhs