Agriculture Finance Dairy Farming

Financing under this Product category will be provided to the established running dairy farms to expand their businesses by developing new farms/sheds, purchase of Animals, and fulfill their daily working capital requirements.

Two types of financing will be extended to dairy farmers, under this product category:

  1. Working Capital Finance – Dairy Farming
  2. Development Finance – Dairy Farming

  • Working Capital Finance – Dairy Farming

    This is a short term facility extended for one year on revolving basis, to meet working capital requirements of the business. The facility is designed to provide financing on easy terms with minimum documentation.

    Purpose

    • Purchase of animal fodder and feeds
    • Vaccinations, Vitamins and other medications for animals including artificial insemination
    • Overhead expenses i.e. labor, fuel, electricity etc
    • Concentrate like cotton seed, cotton seed cake, other additional expenditure, distribution cost, transportation charges on farm milk processing, pasteurization and standardization etc

    Salient Features/Terms and Conditions

    • Applicant must be between 18 to 64 years of age
    • Running Finance Facility valid for 1 year
    • Option to use limit as per requirement of the farmer
    • Withdrawal and deposits at any time
    • Markup will be charged on amount utilized / withdrawn (outstanding debit balance)

  • Development Finance – Dairy Farming

    This is the term finance facility extended to running dairy farms for asset purchase and construction of animal sheds, fencing and enclosures at business place etc. Loans extended under this category will be repayable in installments. The Bank will allow financing for following purposes. A customer can avail loan for more than one purpose.

    Purpose

    • Purchase of mature milk yielding buffaloes/cows
    • Purchase of Young animals for rearing for dairy farming
    • Milk storage chilling tanks and milk carrying containers.
    • Purchase of feed grinders, tokas, feed mixing machines and feed/milk containers
    • Utensils for animal feeding, calf feeders, bangles, Rope/ etc Iron chains
    • Construction/procurement of permanent sheds, water tanks, water pump tube well and generators
    • Fencing and Enclosures.

    Salient Features/Terms and Conditions

    • Applicant must be between 18 to 64 years of age
    • Monthly/ Quarterly easy installments
    • Tenure of the loan: 1 to 5 years
    Disclaimer: Terms & Conditions apply, bank reserves right to reject any loan application for any reason