Last Updated on: 27/01/2025
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DAIRY - (Purchase of Milch Animals)
Objective
Credit facility for establishing dairy farm
Nature and Purpose of Advance
Purchase of milch animals (cows or she-buffaloes)
Construction of shed for accommodating the milch cattle, milking shed, feed room, provision of water facilities, etc., as an integral part of a dairy farm to be set up or under expansion.
Purchase of dairy equipment's, milk testing equipment's, etc.
Establishment of fodder farms.
Rearing crossbred female calf from 4 months to 28 months of age under Heifer Calf Rearing Scheme.
Financing of dairy Co-operative societies for construction of milk houses (a house containing society's office, feed store, milk collection booth and farmers' meeting hall) can also be considered.
Quantum of Loan
Minimum: No Minimum
Maximum: No Maximum
Eligibility
Applicant should have aptitude and experience in dairy farming/ rearing of milch cattle.
Sufficient space to accommodate the milch animals and adequate water facility with regular supplies of fodder.
Security
Up to Rs. 2.00 Lakhs: Hypothecation of assets created out of loan. Nil Collateral
Above Rs. 2.00 Lakhs: Loan should be adequately secured by way of immovable property whose value is not less than/ equal to the loan amount.
Margin
Up to Rs. 2.00 Lakhs: Nil
Above Rs 2.00 Lakhs: 15% to 25%
Repayment
The Loan is to be repaid in 60 EMI without holiday period in case of Purchase of Milch Cattle.
Maximum 72 EMI, if advances are provided for construction of sheds, purchase of animals and equipment, including Holiday Period of 6 to 12 months.
Rate of Interest
Without tie up / undertaking:
Up to Rs. 5.00 Lakhs
1 Year MCLR*
1.40%
10.50%
Above Rs. 5.00 lakhs up to Rs. 25.00 Lakhs
2.25%
11.35%
Above Rs. 25.00 lakhs up to Rs. 1.00 Crore
2.75%
11.85%
Above Rs. 1.00 Crore
3.25%
12.35%
*1 Year MCLR (9.10% at Present)
With tie up/undertaking:
Up to Rs.5 Lakhs - 1Y MCLR (9.10% at present) + 0.45% (spread) = 9.55% at present
above Rs.5 Lakhs - 1Y MCLR (9.10% at present) + 1.40% (spread) = 10.50% at present
Processing Charges
Up to Rs. 25000/- - Nil
Above Rs. 25000/- up to Rs. 3 Lakhs - 0.30% of the loan amount
Above Rs. 3 Lakhs - 0.71% of the loan amount
*Conditions Apply
*For more details, please contact our nearest branch
⇨ *Click here to apply Indian Overseas Bank (iob.in)