1

Purpose

Purchase and installation of Drip Irrigation System.

2

Eligible Borrowers

i. Farmers having minimum 1 acre of agriculture land in his name and engaged in cultivation.

ii. Loan will be sanctioned depending on the area to be brought under the Drip irrigation system.

3

Nature of Facility

Term Loan

4

Margin

Up to Rs.1.60 lakhs - Nil

Above Rs.1.60 lakhs - 15%

5

Loan Amount

Term loan as per NABARD unit cost & guidelines

6

Rate of Interest

As per the scheme

7

Repayment Schedule

Initial moratorium of maximum up to 24 months can be given based on the cropping pattern.

For plantation crops up to 7 years excluding moratorium.

For all other crops maximum 5 years excluding moratorium.

8

Security

1. As applicable for agriculture loans up to Rs.1.60 Lakhs Hypothecation of assets purchased out of Bank Finance.

2. For loans above Rs. 1.60 lakh Hypothecation of asset purchased out of Bank Finance and legally valid EM/SM of land as per prevailing state laws, with security value not less than 100%.

9

Service Charges

50% concession in applicable processing, documentation, inspection charges to all the beneficiaries under the scheme.