Agriculture Loan Distribution Scheme 2023: Get Agriculture Loan without Interest, Apply Now to get Maximum Benefits

More than 13 lakh farmers got benefits. To access major benefits, know the application process and perks of the scheme.

The majority of Indian farmers fall into the small-marginal group, lacking sufficient funds for farming. These farmers turn to private lenders and financial institutions for loans, burdened by high-interest rates.

The Kisan Credit Card is among the measures introduced by the Central Government, offering farmers loans at lower interest rates to address essential agricultural requirements such as seeds, fertilizers, and pesticides. Furthermore, state administrations provide interest-free short-term crop loans via regional rural banks, cooperative banks, small finance banks, and commercial banks, accompanied by interest subsidies for timely repayment. Therefore, this alleviates the economic pressure on farmers, guaranteeing repayment confined to the principal loan sum.

During the 2023 Kharif season, the Chhattisgarh government aimed to provide agricultural loans amounting to Rs 6100 crore, catering to the credit requirements of small and marginal farmers. This objective is close to realization, as evident from the distribution of short-term crop loans totaling Rs 6067 crore 27 lakhs 60 thousand to farmers within this Kharif season. Examining the number of recipients availing of this loan and the essential eligibility criteria emerges as pivotal factors to explore.

Eligibility Criteria to Avail Short-Term Agriculture Loan

Small and marginal farmers involved in agriculture, horticulture, fisheries, animal husbandry, etc., are eligible for short-term agricultural loans provided by the State Cooperative Department.

Eligible farmers should possess their cultivable land. Alternatively, seasonal farmers who cultivate land under government lease, service land, or other arrangements are also qualified.

Farmers utilizing leased agricultural land can apply for loans from cooperative banks.

Applicants must possess a minimum of 2.50 acres of agricultural land to qualify for the short-term agriculture loan.

These criteria ensure that deserving farmers engaging in various agricultural sectors have access to the financial support they need to enhance their agricultural activities.

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Rs 6100 Crore Sanctioned by State Government

The state administration approved Rs. 6100 crore, marking a significant allocation. Recently, the scheme for disbursing agricultural loans has been expanded by the state government to encompass farmers engaged in fisheries and horticulture cultivation. Simultaneously, a goal was established by the state authorities to provide short-term loans to farmers for this year's Kharif season within this program. To accomplish this, the state government earmarked a sum of Rs. 6100 crore from its budget. In alignment with the 2023 Kharif season target, cooperative banks, commercial banks, regional rural banks, and other financial institutions were directed to distribute short-term loans without interest.

More than 13 Lakh Farmers Availing Short-Term Loan without Interest

More than 1.3 million farmers are reaping the benefits of interest-free short-term loans, drawing close to achieving the Chhattisgarh Government's goal. As of August 5, 2023, agricultural loans exceeding Rs 602.7 million have been extended to bolster farming endeavors. This support has reached approximately 1.362 million farmers within the state, encompassing nearly 99.46 percent of the Rs 6100 crore target for the 2023 Kharif season. In comparison, around 1.22 million farmers were granted short-term crop loans amounting to Rs 4883.8059 crore by August 5 of the previous year. Throughout that particular season, farmers collectively secured loans totaling approximately Rs 5563.60 crore.

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List of Districts with Highest Loan Uptake

As per the data provided by cooperative banks and other small finance institutions, the district with the highest loan uptake for this year's Kharif season in Chhattisgarh is Baloda Bazar-Bhatapara, where a notable 108,059 farmers have acquired loans. Baloda Bazar-Bhatapara district has secured the top spot in loan acquisition. Meanwhile, Balod district has seen 107,107 farmers benefiting from agricultural loans, ranking second in loan utilization. Bemetara district has held the third position, with approximately 99,076 farmers availing of agricultural loans for the 2023 Kharif season.