Good news for farmers in India. Now the central govt launched a special scheme for all. Govt launched Credit Guarantee Scheme. This scheme provides a fund of Rs 1,000 crore for post-harvest finance received by farmers against electronic negotiable warehouse receipts (e-NWRs) after depositing the items in warehouses recognised by the Warehousing Development and Regulatory Authority (WDRA).
Loans will be available after harvest
The scheme provides a fund of Rs 1,000 crore for post-harvest finance received by farmers against electronic negotiable warehouse receipts (e-NWRs) after depositing the items in warehouses recognised by the Warehousing Development and Regulatory Authority (WDRA).
Objective of the Scheme
The objective of the scheme is to reduce the reluctance of banks to give loans against electronic negotiable warehouse receipts (e-NWRs) issued by WDRA registered repositories. Currently, the loan under e-NWR is only Rs 4,000 crore. The secretary also stressed on the need to streamline the e-Kisan Upaj Nidhi online platform, create awareness among farmers about guaranteed financing, review depository charges and increase warehouse registrations beyond the existing 5,800.
The scheme mainly focuses on small and marginal farmers, women, SC, ST and Divyangjan (PWD) farmers with minimum guaranteed fee. Apart from this, small traders (MSMEs), FPOs are also benefited under this scheme. Small and marginal farmers will get 80 to 85% coverage in loans up to Rs 75 lakh and MSMEs/MSME loans up to Rs 200 lakh will be given coverage of Rs 100 lakh. FPO/ Loans given to traders will get coverage of up to 75%.
