Produce Marketing Loans

Boost your agricultural produce, and leave the finance to us. SBH has many finance packages for farmers, so they can yield better produce without any worry.
Produce Marketing Loans
Nature of facility : Short term loan by way of Agri Cash Credit (PML).
Features : The loan will be available only to those farmers who availed crop loans from the branch, which should not be overdue.
Objective : To provide liquidity to farmers and to save them from selling their produce in distress.
Produce/Crop Covered : The produce of all crops for which farmers were given crop loans are covered under the scheme.
Credit Limit : Upto `10.00 lacs under the Produce Marketing Loan Scheme for agriculture produce to the extent of 75% of the value of minimum support price.
Rate of Interest : Same rate of interest as applicable to crop loan.
Security Norms : Pledge/Hypothecation of the produce (including ware house receipts)
Repayment : 12 months (max.)
Disbursement : At the time of disbursement, the relative crop loans should be recovered/adjusted out of the produce market loan.
Inspection : Branch should inspect the stocks of produce at monthly intervals
Others :
  1. Credit limits extended under the scheme are treated as Direct Agriculture Advances under Priority Sector.
  2. The borrowers should submit periodical stock statements once in a month.
  3. The borrower should follow the quality/storage requirements laid down by bank.
  4. Stock should be kept separately and additional care is to be taken to maintain its quality.
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