Financing Pumpset - Agri & Rural

Features

• Eligibility : Individual farmers, companies /partnership firms /JLGs/SHGs of farmers. Minimum economic holding acreage: 1.25  acre owned land. However, loans can be considered even if the benefitting area is less than 1.25 acres provided the farmer is able to sell surplus water or viability of the project is ensured.
• Type of Facility :Agriculture Term Loan
• Quantum of Loan: The amount of loan differs from activity to activity. For composite minor irrigation, full economically viable package to be given. In case of Drip irrigation, it depends upon the various factors, mainly crop spacing and water requirement of crops.
• Margin: 15% to25% of the project cost
• Interest Rate:Interest rates are linked to One Year MCLR rate + spread. Spread is determined by Bank from time to time. At present interest rate is One Year MCLR +3.50%
• Processing Charges:1.40% of the loan amount + GST