Fishery Loan Provided by Different Banks

Overview

Loan details

Purpose

Provides working capital for the following:

1. Fish culture
2. Boat loan 
3. Construction, deepening, widening or desilting of ponds
4. Purchase of fingerlings
5. Equipment’s
6. Manures
7. Feeds and labour inputs

Eligibility for loan

1. Individual
2. Company
3. Partnership firm
4. Co-operative society
5. Group of fish farmers -SHG/JLG.
6. Loan will be sanctioned depending on the area of cultivation

Facility

1. Term Loan
2. Working capital

Amount for loan

Subject to economic viability of the project, loan amount is based on the NABARD unit cost

Margin

1. Up to Rs.1.60 lakh: Nil 
2. Above Rs.1.60 lakh: Minimum of 10%

Security

1. For loans up to Rs.1.60 lakh: Bank created Hypothecation of asset
2. For loans above Rs.1.60 lakh:Bank created Hypothecation of asset.Third-party guarantee (means should not be less than 100% of loan amount) and/or mortgage of land (Accepted value of land should not be less than 100% of loan amount)

Schedule of  repayment

Minimum seven years of repayment schedule that includes moratorium period of six months

Documents

1. Appropriate DPN note
2. Deed of Guarantee
3. Letter of continuity
4. Hypothecation agreement
5. Mortgage deed
6. Letter of general lien and setoff,
7. Undertaking from borrower /Guarantor for disclosure to CIBIL
8. Declaration/undertaking for Agriculture advance
9. Any other document stipulated in sanction

Rate of interest

Maximum of 7.00% for a period of one year for loan amount up to Rs.3 lakh provided for operation of crops

Interest subvention

Per annum 2.00% will be provided to the farmers affected by natural calamities

Facilities

Overdraft: Provides monetary aid in the form of working capital requirement of the farmers for farming crab, prawns, shrimp, freshwater fish, etc. ·

Term loan: Applicable for the following:

1. Construction of new ponds or sluice
2. Purchase of equipment, transport vehicles, etc.

Benefits

1. Speedy and transparent processing
2. Provides services at the doorstep
3. No hidden charges · Charges no pre-closure charges
4. Simple process of documentation
5. Offers flexible repayment process
6. Offers attractive interest rate

Age

18 to 75 years

If age more than 60 years, then legal heir as co-applicant is mandatory

Landholdings

Minimum of one acre of irrigated land

Security

Primary: Hypothecation of asset and crop created out of bank finance

Collateral: Mortgage of agricultural land, Urban Property, or Liquid security

Tenore

Overdraft: One year to up to five years (Annual Renewal)

Term Loan: One year to up to five years

Documentation

1. Application Form for loan
2. KYC of Applicants or Co Applicants
3. Land record Copy
4. Copy of Government land rate of agriculture land
5. Updated passbook or bank statement

Interest

Overdraft: 16.99% p.a.

Term Loan: 18.99% p.a.

Benefits

1. Concessional and low interest rates ·

1. Provides adequate credit timely ·

1. The scheme meets the capital requirements of:

a. Inorganic fertilizers

b. Seeds

c. Lime or other oil conditioner

d. Fuel or electricity charges insurance

e. Mooring or landing charges

f. Labour

g. Lease rent

h. Feed

i. Harvesting charges

1. On an overall limit of Rs.3 lakh annually and maximum of Rs.2 lakh per farmer, the scheme offers repayment incentive benefit of 3.00% and interest subvention of 2.00% on activities related to fisheries.

Eligibility

Aquaculture and inland fisheries:

a. Self Help groups

b. Fishers

c. Fish Farmers (share croppers, tenant farmers, partners, or individual and groups)

d. Joint Liability Group

e. Women groups

f. Beneficiaries must own fishery related assets, such as:

1. Pond § Tank

1. Rearing unit

1. Raceway

1. Hatchery

1. Open water bodies

Beneficiaries must have the necessary licence for fish farming or related activities. ·

Marine fisheries: Who have lease or the following:

1. Registered fishing vessel or boat

1. Necessary fishing licence or permission for fishing in estuary and sea

1. Fish farming or mariculture activities in seas and estuary

Loan Amount

Determined based on the local cost on basis of per acre per unit depending on the scale of finance of fishery activities set by District Level Technical Committe (DLTC)

Incentive

As per the norms, it is available to the farmers for prompt repayment

Collateral Security

1. Loan limit up to Rs.1.60 lakh: Nil

1. Loan limit above Rs.1.60 lakh: as per scheme guidelines

Validity of Credit Limit

Valid for five years depending on annual review

Overview

Loan details

Covers activities for sustainable development of

fisheries sector

1. Development of fisheries in North-Eastern and Himalayan States or Union Territories
2. Development of ornamental recreational fisheries
3. Development of Inland Fisheries and Aquaculture
4. Development of Marine fisheries including Mariculture and seaweed cultivation
5. Monitoring, Control and Surveillance (MCS)
6. Strengthening of safety and security of fishermen
7. Market or Marketing Infrastructure
8. For traditional fishermen, provides development of deep-sea fishing vessels
9. Technology Infusion Adaptation
10. infrastructure of Post-harvest and cold chain
11. Management of aquatic health

Benefits

1. Valid for period of five years from FY 2020-21 to 2024-25 ·
2. Comes at low processing charges ·
3. For the requirement of the project or borrower, provides need-based funding ·
4. Under Credit Guarantee Fund Trust (CGTMSE) scheme, provides loan up to Rs.2 corer as Credit Guarantee coverage for eligible borrowers
5. Subsidy will be limited to 40% of the project or unit cost for general and 60% for SC/ST (Schedule Caste or Schedule Tribe) women from both Centre and state or Union Territories

Eligible beneficiaries

1. Fishers, fish farmers, fish workers and fish vendors
2. Fisheries development corporations
3. SHGs/JLGs in the fisheries sector,
4. Fisheries cooperatives
5. Fisheries federations
6. Entrepreneurs and private firms (i.e., sole proprietorship, partnership, LLP companies, and co-operative societies etc.)
7. Fish farmers produce organizations or companies

Documents required

1. KYC Documents, such as:

a. AADHAR

b. Voter ID

c. PAN Card

d. Driving License

1. Passport Size photo

1. Land Record

1. Quotation or Invoice, if available

1. Income Returns, if available

Processing charges

Aggregate Agriculture exposure of Rs.3 lakh: Ni

Inspection Charges

1. Agriculture exposure up to Rs.3 lakh: Nil
2. Above Rs.3 lakh to Rs.10 lakh: Rs.250
3. Above Rs.10 lakh to Rs.1 crore: Rs.1000
4. Above Rs.1 crore – Rs.5000

Fees for Working capital

Fund Based:

1. Above Rs.3 lakh to Rs.10 lakh: Rs.250 per lakh or part thereof + GST

1. Above Rs.10 lakh: Rs.350 per lakh or part thereof maximum Rs35.00 lakh

Non fund Based: For Fund Based Limit, 50% charges is applicable, which is capped for Priority Sector Rs.17.50 lakh and for exporters Rs.7.50 lakh

Term Loan: Above Rs.3 lakh: 1.00% of the limit sanctioned with a maximum of Rs.100 lakh