Agricultural Godowns / Cold Storage

Purpose / Objective :

• For construction of new Agri Godowns or cold storages, market yards, silos / expansion of existing units / modernization of existing units, irrespective of their location.

Eligibility :

• Individuals, Group of Individuals
• Association of  persons, Cooperatives, firms,  companies etc.,

Types of Facility Available :

• Term loan
• Cash Credit

Amount of Loan :

• Term loan : Based on the Project Cost

• Working Capital: Cash budget method to assess the WC irrespective of limits.

Margin :

• Term Loan :  25% ( Minimum )
• Working Capital :  30 %  (Minimum)

Interest Rates :

• Please refer the Lending Rates link on home page in our Bank’s Website www.indianbank.in.

Repayment :

• Term Loan: Upto 9 years including maximum holiday period of 2 years.

Security :

• Mortgage of land & building of the Cold Storage constructed.
• Hypothecation of assets created out of Bank Finance (Stock of Cold Storage Owner).
• Assignment of receivables/ book debt arising out of advances to farmers for storage of agricultural commodities.
• Wherever, WC limit is sanctioned for the purpose of on-lending to farmers, collateral security value equivalent to 100% loan amount to be obtained.
• Collateral security in the form of FD, NSC, LIC Policies, Equitable Mortgage of immovable properties as per credit rating of borrower
• Minimum Security Coverage Ratio of 1.20 should be maintained at all times.
• Guarantee: Personal guarantee of partners/directors.

* MCLR RATE – Available In Home Page.