The Agricultural Infrastructure Fund (AGRI INFRA FUND) is a dedicated fund set up by the Government of India to provide medium to long term debt financing facility for investment in viable projects for post-harvest management infrastructure and community farming assets through interest subvention and financial support.
Key features of AGRI INFRA FUND loans include:
Purpose: The loans are aimed at promoting investment in agriculture infrastructure projects such as cold storage, warehouses, grading and sorting facilities, market yards, etc., and community farming assets.
Loan Amount: The loan amount can vary based on the nature and size of the project, but typically ranges from Rs. 1 crore to Rs. 10 crore.
Interest Rates: The interest rates for AGRI INFRA FUND loans are competitive and may be subject to interest subvention or financial support from the government.
Repayment Period: The repayment period for AGRI INFRA FUND loans is generally flexible and can range from 5 to 15 years, depending on the project's nature and financial viability.
Collateral: Collateral requirements for AGRI INFRA FUND loans may vary based on the lending institution and the nature of the project. However, the government may provide guarantees or other forms of support to facilitate lending.
Application Process: Farmers, Farmer Producer Organizations (FPOs), agri-entrepreneurs, and other eligible entities can apply for AGRI INFRA FUND loans through participating financial institutions such as banks, NBFCs, and other lending agencies.
Government Support: The AGRI INFRA FUND is supported by the government through interest subvention and other financial incentives to promote investment in agriculture infrastructure.