Farmers having regular Income from Agricultural Activities including Allied activities and repayment capacity. b. Farmers having good track record of repayment for the last two years. c. Farmers who have closed their loan account without default and not our current borrowers d. Farmers who have defaulted in repayment but closed the loan within the stipulated repayment period. e. Farmers who are maintaining deposits with the Bank. f. Good borrowers of other banks provided they liquidate their dues with other banks. Good farmers who have not availed loans from any bank. Designed for individuals who are new to Ag Lending or who have limited experience, Introduction to Agricultural Lending will provide participants with the basic skills needed to begin to undertake credit analysis, loan structuring, monitoring, and provide guidance on dealing with problem loans. This course was developed in conjunction with the Schools of Banking, Inc. , a Jointly-owned subsidiary of the Kansas and Nebraska Bankers Associations. Agricultural loan. Agricultural loans are available for a multitude of farming purposes.
Farmers may apply for loans to buy inputs for the cultivation of food grain crops as well as for horticulture, aquaculture, animal husbandry, floriculture and sericulture businesses. There are also special loans to finance the purchase of agricultural machinery such as tractors, harvesters and trucks. Construction of biogas plants and irrigation systems as well as the purchase of agricultural land may also be financed through special types of agricultural finance. Here is some information about the kind of agricultural credit and loans provided by public sector banks in India.
In 1981, the government came out with the National Bank for Agriculture and Rural Development Act that lead to the formation of National Bank for Agriculture and Rural Development (NABARD) – External website that opens in a new window. This organization is responsible for the flow of credit to agriculture and related industries. In the late 1990’s, the government launched the Kisan Credit Card Scheme in consultation with the Reserve Bank of India and NABARD. This scheme is meant to meet agricultural expenses of crop production, cultivation and contingency.
It allows nlimited withdrawals and repayments. The adaptation of the Kisan Credit Card Scheme by different banks has lead to easy availability of agricultural credit and an increase in agricultural productivity. Other than this scheme, nationalised banks offer a variety of other agricultural loan options. Introduction of agricultural loan. The Hon’ble Union Finance Minister announced a package on 18 June 2004 to give a boost to agricultural credit and emphasised the need to double the agricultural credit in three year period. The agricultural policy of the Government of India
