Some of the agricultural loan schemes offered by the Indian government to help farmers improve their productivity and income include:
The Kisan Credit Card scheme provides short-term credit to farmers. It allows farmers to access credit for crop production and other agricultural activities. The card acts as a flexible credit line, and interest rates are often lower than traditional loans.
The PMKSY is a government-funded scheme that provides financial assistance for irrigation projects. The PMKSY is designed to improve irrigation facilities in rural areas and to increase agricultural productivity.
The PKVY is a government-funded scheme that promotes organic farming. The PKVY provides financial assistance to farmers who adopt organic farming practices.
The NMSA is a government-funded scheme that promotes sustainable agriculture practices. The NMSA provides financial assistance to farmers who adopt sustainable agriculture practices, such as water conservation and crop diversification.
Under this scheme, farmers receive an interest rate subvention of 2% per annum. If farmers repay their short-term crop loans promptly, they are eligible for an additional 3% interest subvention, effectively reducing the interest rate to 4%.
This insurance scheme provides coverage for various crops and compensates farmers for losses due to natural disasters like drought, floods, and cyclones.
While not exclusive to agriculture, the Pradhan Mantri Mudra Yojana provides financial support to small and micro-enterprises, including agricultural activities. It offers loans under three categories: Shishu, Kishor, and Tarun.
Many nationalized and cooperative banks offer term loans for the development of agriculture-related infrastructure, purchase of machinery, and other long-term farming needs.
This scheme helps create and upgrade agricultural warehousing infrastructure. It allows farmers to store their produce in modern, efficient facilities and obtain loans against the stored produce.
Although not a loan scheme directly, RKVY provides funds to states for various agricultural development projects, including irrigation, infrastructure, and mechanization. Some of these projects indirectly benefit farmers by improving agricultural productivity.
This was a one-time initiative to waive off a portion of farmers' outstanding agricultural loans. It was implemented in the past, but it's essential to check whether any similar schemes are currently active.
The National Bank for Agriculture and Rural Development (NABARD) offers various loan and credit facilities to farmers and rural development projects.