PRODUCE MARKETING LOAN
Who are eligible for the loan?
60 to 80% of value of produce depending upon the place of storage subject to a maximum of Rs.50 lacs.
Documents you need to produce
Stock statement for valuation and evidence of stocks at the residence of the borrower/ godown Warehouse receipt, duly endorsed, if stocked at warehouse.
Loan sanctioned against goods stored in Farmers godown:
Primary : Hypothecation of stocks.
Collateral: Mortgage / Charge over Land or Third Party guarantee for loans above Rs.1,00,000/-.
Loans sanctioned against Warehouse Receipts (WHR):
Primary : Pledge of stocks.
Collateral: No collateral is required for loans upto the maximum permitted limit of Rs.10 lakhs under the scheme.
After liquidating the crop loan ,surplus will be made available for drawl.
How to repay?
Loan has to be repaid within a maximum period of 12 months depending upon the crop and specific circles have different caps for different models of godowns.
How to apply for this loan
Contact Branch Manager/Field staff.