Objective :

To extend adequate and timely financial facilities to eligible entities to improve provision of quality seeds/planting materials to the farming community at affordable cost and encourage seed replacement at regular interval for better productivity.

Eligibility :

Individual farmer including groups of individual farmers, farmers producer companies of individual farmers, partnership firms and co‑operatives of farmers or other entities engaged in concerned activities.

Purpose of Loan:

1. Assistance for production and multiplication seeds to be extended as crop loan if the borrower is directly engaged in cultivation activities.
2. Assistance for processing, certification and distribution can be extended for all types of eligible entities

Loan Amount:

Need/project based depending on economic viability and technical feasibility. Aggregate amount of exposure shall be upto Rs.10.00 crore.

Nature of facility:

1. Union Green Card.
2. Short term loan or cash credit facility
3. Medium to long Term Loan

Margin:

No margin for crop loans .In others, minimum 15 %.

Security:

1. Primary: Charge over Fixed Asset/Books Debts/Stocks/Crops etc. (existing as well as future) created out of the credit facility extended to the borrower and/or which are directly associated with the business/ project of the borrower for which the credit facility has been extended including project land and superstructure thereon.
2. Collateral: Collateral security to the extent of at least 75% of the aggregate facility shall be stipulated.

Repayment

1. Short term loans are repayable on due date.
2. Term loans are repayable within maximum 7 years including maximum 2 years of moratorium.

Forms & Documents

1. Appropriate DPN note, Deed of Guarantee, Letter of continuity,  Hypothecation agreement, Mortgage deed ,Letter of general lien and setoff, Undertaking from borrower /Guarantor for disclosure to CIBIL , Declaration/undertaking for Agriculture advance and any other document stipulated in sanction.