13. Sprinkler Irrigation

Crops: Though this system can be used for all crops it is ideal for closely spaced crops viz. Maize, Vegetables, Sugarcane, Chillies and Plantation crops viz. Coffee / Tea and Cardamom estates and nurseries.

Cost of the Scheme: As per unit cost approved by NABARD

Subsidy: 50% for all farmers and 100% for SC/STs and Horticultural crops in Bijapur Districts as announced by the Government of Karnataka State budget 2003-2004.

Repayment: 10-15 years with a start up period of 11 months. In case of new plantations grace period may be allowed upto the year of maturity

14. Farm Mechanisation- SBM Agri Farm Scheme

Norms for financing of Tractors

Acreage: The borrower should possess a minimum of 4 acres of wet land or 6 acres of dry land to ensure viability of the medium term loan to be extended for the purpose. Tractor finance to farmers who are having lesser land holdings than stipulated can also be considered on a case to case basis provided the applicant is having sufficient income from other sources to service the debt.

Economic use of Tractor:

The tractor should have a minimum of 1000 hrs production work in agri. per year either on own farm or on custom hire or both Minimum 3 implements should be owned by the beneficiary (either with bank finance or purchased with own funds)

The Tractor financed should have the necessary commercial test report as per BIS code issued by CFMTTI (Central Farm Machinery Training and Testing Institute), Budni, Madhya Pradesh

Margin Money: Down payment in respect of farm mechanization loan for new tractors will be not less than 10% of the investment cost in case of tractors and implements

Rate of interest: As applicable to Agricultural Term loans from time to time.

Repayment Period: Maximum 9 years

Registration of the tractor: The tractor should be registered with the concerned Regional Transport Authority

Insurance: Comprehensive Insurance cover should be obtained in respect of the assets acquired. Premium for first year will be paid by the concerned Company dealers

Selection of Tractors: Bank may consider financing of tractors on the basis of viability of individual proposals but the choice and selection of such tractors may be left to the choice of individual beneficiaries

Security:

As per Bank’s norms
(a) Hypothecation of Tractors
(b) Equitable Mortgage of lands