Agriculture Infrastructure Fund

The Union Cabinet in July 2020 has approved a new pan India Central Sector Scheme called Agriculture Infrastructure Fund (National Agriculture Infra Financing Facility). The scheme shall provide a medium - 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.

Scheme duration

The duration of the Scheme shall be from FY2020 to FY2032 (10 years).

Intended beneficiaries

• Agricultural Produce Market Committee
• Agri-Entrepreneur
• Central sponsored Public-Private Partnership Project
• Farmer
• Farmer Producers Organization
• Federation of Farmer Produce Organisations
• Joint Liability Groups
• Local Body sponsored Public-Private Partnership Project
• Marketing Cooperative Society
• Multipurpose Cooperative Society
• National Federations of Cooperatives
• Primary Agricultural Credit Society
• Self Help Group
• Federations of Self Help Groups
• Start-Up
• State Agencies
• State Federations of Cooperatives
• State sponsored Public-Private Partnership Project

Benefits

• All loans under this financing facility will have interest subvention of 3% per annum up to a limit of Rs. 2 crore. This subvention will be available for a maximum period of seven years.
• Further, credit guarantee coverage will be available for eligible borrowers from this financing facility under Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme for a loan up to Rs. 2 crore. The fee for this coverage will be paid by the Government.
• In case of FPOs the credit guarantee may be availed from the facility created under FPO promotion scheme of Department of Agriculture, Cooperation & Farmers Welfare (DACFW).
• Moratorium for repayment under this financing facility may vary subject to minimum of 6 months and maximum of 2 years.

How to apply

To apply online, click here.

Checklist of Documents

• Bank’s loan application form / Customer Request Letter for AIF Loan duly filled and signed
• Passport size photographs of the promoter/partners/director
• Identity proof – Voter ID card/PAN card/Aadhaar card/Driving license
• Address Proof :
  • Residence: Voter ID card/Passport/Aadhaar card/Driving license/Electricity Bill/Latest property Tax Bill
  • Business Office/Registered Office: Electricity Bill/Latest Property Tax Receipt/Certificate of Incorporation in case of Companies/Certificate of Registration in ca of partnership Firms
• Proof of Registration
  • In case of Company : Article of Association
  • In case of Partnership : Certificate of Registration of Firm with Registrar of Firm
  • In case of MSMEs : Certificate of Registration with District Industries Centre (DIC)/Udyog Aadhar Copy
• Income Tax Return for last three years, If available.
• Audited Balance Sheet of last 3 Years, If available.
• GST Certificate, if applicable.
• Land ownership records – title deed/lease deed. If applicable, then Permission to mortgage the Immovable Property from the Lessor in case the Property is Leasehold (for primary security)
• ROC Search Report of the Company
• KYC documents of the promoter/firm/company
• Copy of Bank Statement for last one year (If available)
• Repayment track record of existing loans (Loan Statement)
• Net Worth Statements of promoter
• Detailed Project Report
• As applicable - Local authority permissions, Layout plans/estimates, Building sanction

To view the complete scheme guidelines, click here. 

Source : National Agriculture Infra Financing Facility