UCO Bank- agriculture-credit

Agriculture Credit

Agriculture is the backbone of Indian Economy. Keeping in view the specific requirements of customers, UCO Bank has introduced a range of products at attractive rates of interests.

Standardised Common Loan Application Form for Agriculture

Tractor /Power Tiller Loan

Product Segment

Direct Agriculture

Type of Loan

Term loan

Purpose

Transformation of Traditional subsistence agriculture into commercial position
Assist farmers, to shift from traditional farming to mechanized farming for reducing the time and cost of tillage and other agricultural operations and also improving the quality of tillage so as to increase their crop productions through multiple cropping and profitability.

Eligibility

Such beneficiary or group of beneficiaries to whom a joint loan or group loan is sanctioned shall be able to use the tractor for cultivation of his / their own farm not less than 8 acres of perennially irrigated land.
Minimum land holding for loan eligibility for power tiller 4 acres of perennially irrigated land.
It shall also be ensured that the tractor / power tiller will have a minimum of 1000/600 hrs. of productive work in agriculture per year on own farm or both on own farm and on account of customer service.
Loan granted under this scheme for purchase of all agricultural machineries, implements, like tractor / power tiller and other accessories like tractor trailer and tractor implements such as mould board plough, disc harrow, cultivator, seed drill, paddy puddler, bull dozer, combine

Quantum of loan

85% on amount of the investment.

Margin

15% of amount of the investments.

Security

Hypothecation of tractor and other implements and accessories proposed to be purchased(Hypothecation cum agreement form No.105(combined).
Guarantee from one or two guarantors acceptable to the Bank.
Simple / equitable mortgage of land to cover the value of loan limit.
Insurance - Tractor purchased by the farmer should carry comprehensive insurance as per Motor Vehicle Act and policy should be got assigned in Bank’s favour.
The rate of interest should be as per extant guidelines of the Bank changing from time to time

Repayment

The maximum repayment period within which loan for purchase of tractor and power tiller is to be repaid will be 9 and 7 years respectively.

For further details contact nearest Branch

Short Term Loan to Cold Storage Units

Product Segment

Agriculture-Indirect

Purpose

Our Bank provides medium term loans for setting up of Cold storage units, warehouses godowns and silos. In addition, following type of short term loan facilities are also provided by our Bank with a view to promote storing capacity of Agricultural produce and better price realization by the farmers.

Cash Credit limit of working capital to cold storage units for direct expenses like wages,salaries, electricity charges, fule and maintenance expenses.

Eligibility

The Cold storage must be granted a license for running the storage units indicating its staring capacity by the Competent Authority in the State.
Cold storage owner should obtain permission from Additional Director, Agricultural Marketing of the concerned State Govt. or other Competent Authorities for storing his own stock, and stock of the rentiers and traders for the current season.

Quantum of loan

Quantum of loan should be fixed on objective assessment of working capital need.

Security

Primary Security- Hypothecation of all types of plant and machinery installed and/or to be installed as also all type of furniture, fixture and
Collateral Security - Equitable mortgage of Land and Building of Cold Storage and/or any other property (Land and Building owned by the Cold Storage owner(s).
Guarantee - Third party guarantee/personal guarantee from the partner/directors of the unit should be obtained.

Minimum Margin

40% of the expenses projected on the unit and accepted (verified on the sanctioning authority on the basis of past trends).

Repayment/adjustment of the limit

The Cash Credit limit sanctioned to be adjusted fully along with interest and other charges within the storing period of the Stock of Agril. Produce.

Insurance

The building, plant and machinery, furniture/fixture equipment and other fixed assets as also stocks stored must be comprehensively insured with agreed Bank clause.

For further details contact nearest Branch

Gramin Bhandaran Yojna (Rural Godown-Construction)

Product Segment

Agriculture-Indirect

Type of Loan

Term Loan

Objective

To create scientific storage capacity with all allied facilities in rural areas to provide infrastructure for storage of the produce

Eligible Organization

Individuals, farmers, group of farmers/partnership/proprietary farms, NGOs, SHGs, Companies, Corporations, Co-operatives, Local Bodies other than Municipal Corporations, Federations, Agricultural Produce Marketing Communities, Marketing Boards and Agro Processing Corporations

Location

In any place in the rural areas outside the limits of Municipal Corporations

Capacity/Size

Minimum capacity 100 tones and maximum capacity 10,000 tonnes. In special cases rural godowns upto 50 tonnes capacity and in hilly areas i.e. above 1000 meters above MSL, godowns having capacity of 25 tones are also eligible..

Conditions for scientific storage

Godowns built under the scheme should be structurally sound on account of engineering consideration as per Central Public works deptt./State Public Works Departments specification. Should be well ventilated, water proof, protected from rodents, birds and have provision for fumigation. There should be easy approach roads, Control against fire, theft etc.

Quantum of loan

As per requirement

Subsidy

Subsidy shall be released through NABARD approved plan.

For further details contact nearest Branch

Kisan Credit Card (KCC)

Type of Facility

Cash Credit (Direct Agriculture)

Scope of Finance

All Rural and Semi-Urban Branches and in some selected Urban Branches where villages are allocated under Annual Credit Plan(ACP)

Purpose/Objective

To meet the short term credit requirements for cultivation of crops
Post Harvest Expenses
Produce Marketing loan
Consumption requirement of farmer household
Working capital for maintenance of farm assets and activities allied to agriculture, like dairy animals, inland fishery etc.
Investment credit requirement for agriculture and allied activities like pump sets, sprayers, dairy animals etc.

Eligibility

All Farmers- Individuals/Joint borrowers who are owner cultivators
Tenant Farmers, Oral lessees & Share Croppers
SHGs or Joint Liability Groups of Farmers including tenant farmers, share croppers etc.

Salient Features of the Revised KCC Scheme

Assessment of crop loan component based on the scale of finance for the crop(as decided by DLTC) plus insurance premium X Extent of area cultivated + 10% of the limit towards post-harvest / household / consumption requirements + 20% of limit towards maintenance expenses of farm assets.
Assessment of limit for second & subsequent year :- first year limit for crop cultivation purpose arrived at as above plus 10% of the limit towards cost escalation/increase in scale of finance for every successive year (2nd, 3rd, 4th & 5th year ) and estimated Term loan component for the tenure of Kisan Credit Card, i.e., five years.
Flexi KCC with simple assessment prescribed for marginal farmers.
Validity of KCC for 5 years.
For crop loans, no separate margin need to be insisted as the margin is in-built in scale of finance.
No withdrawal in the account to remain outstanding for more than 12 months; no need to bring the debit balance in the account to zero at any point of time.
Interest subvention / incentive for prompt repayment to be available as per the Government of India and / or State Government norms.
No processing fee upto a limit of Rs. 3.00lakh.
One time documentation at the time of first availment and thereafter simple declaration (about crops raised/proposed) by farmer.
Disbursement through various channels, including ICT driven channels like ATM/PoS/Mobile handsets.

Interest Rates

Item	Rate of Interest	Interest Subvention	Incentive Subvention
Agril Crop Loan up to Rs. 3.00 lakh.	7.00%	2.00% upto Rs. 3 lakh	3.00% for Prompt paying farmers upto Rs.3.00lakh
Above Rs. 3.00 lakh and upto Rs. 25 lakh	Base Rate +1.00%	Not applicable	Not applicable
Above Rs. 25.00 lakh and upto Rs. 1.00 crore	Base Rate +2.00%	Not applicable	Not applicable

Upto Rs 3 lacs interest in borrower account is 7% for rest 2% Debit Govt. receivables and Credit interest & discount on loan.

Interest Subvention

Upto Rs 3 lacs interest subvention upto 2% , prompt repayment further 3% is available.
If the customer does not repay within the due date or maximum within one year the interest should be charged from due date at the normal rate i.e. Base Rate+1%

Security

Security requirement may be as under:

Hypothecation of crops up to card limit of Rs. 1.00 lakh as per the extant RBI guidelines.

With tie-up for recovery: Branch may consider sanctioning loans on hypothecation of crops upto card limit of Rs.3.00 lakh without insisting on collateral security.
Collateral security may be obtained at the discretion of Branch for loan limits above Rs.1.00 lakh in case of non tie-up and above Rs.3.00 lakh in case of tie-up advances.

RUPAY KISAN CARD : OBJECTIVE & FEATURES

Existing operative accounts as well as all new KCC holder be issued with RUPAY enabled KCC Cards
Empowering the farmers to withdraw their drawing limit for the current season through ATM at different times in the same cropping season instead of withdrawals at one go.
Reducing the transaction cost of the branches in securing the customers.
To enable farmers to make cash less transactions.
Rupay Kisan Card can be accepted at ATMs of Our Bank, ATMs of other Banks and PoS.
Rupay Kisan card supports following transaction types
- Purchase with cash back
- Cash at PoS
- ATM Cash Withdrawal
- ATM PIN Change/Balance inquiry/Mini Statement.
Rupay Kisan Card can be linked for EBTs & Govt. subsidy.

For Further details contact nearest branch

UCO KISAN BHOOMI VRIDHI (UKBV)

Type of Facility

Term Loan for (7-10) Years(Direct Agriculture)

Scope of Finance

All Rural and Semi-Urban Branches

Objective

To make the small and marginal holdings economically viable
To bring fallow lands and waste lands under cultivation.
To step up agricultural production and productivity
To finance the share croppers/tenant farmers to purchase land to enable them to increase their income.

Eligibility

i) Small and marginal farmers i.e. those who own maximum of 5 acres of non-irrigated land or 2.5 acres of irrigated land including purchase of land under the scheme.
ii) Share croppers/ Tenant farmers .

Purpose

The objective of the Scheme is to finance the farmers to purchase, develop and cultivate agricultural as well as fallow and waste lands.
Branches may consider financing maximum amount of Rs. 10.00 lacs for purchase of land for establishing or diversifying into other allied activities. Complete details of the project proposal of the farmer should be obtained by the bank while considering finance for purchase of land

Quantum of Loan

Quantum of loan will depend upon –

Valuation as assessed by the Branch.
Bench Mark Rate fixed by the State.
The registration value.

Out of the three above whichever is less.
Plus value of Stamp duty, registration charges for sale/ mortgage
(Maximum amount of Rs. 10 lacs. )

Margin

The margin will be minimum of 15 %.

Rate of Interest

Base Rate, Simple rate at half yearly rest.

Processing / Inspection Charges :

Up to Rs.3.00 lac - Nil
Above Rs. 3.00 lac as per extant guidelines

For Further details contact nearest branch.

UCO KISAN TATKAL SCHEME

Type of Facility/Sector

Single transaction Term loan limit Loan repayable within 3 years (Priority Sector- Direct Agriculture)

Scope of Finance

All Rural and Semi-Urban Branches

Purpose

An instant credit for farming community to meet the emergency requirements for Agriculture and Domestic purposes for tiding over temporary financial difficulties.

Eligibility

Individual farmers / joint borrowers (not exceeding 4 farmers) who are existing Kisan Credit Card (KCC) holders having satisfactory track record of at least two years.

Quantum of Loan

Minimum limit: Rs.1000/ ; Maximum limit: Rs.50000/-
(Subject to ceiling at 50% of KCCS limit / 25% of annual income)

Rate of Interest

At Base Rate (without interest subvention)

Processing and other charges

Upto Rs. 25000.00 : Nil
Above Rs. 25000.00 : As applicable to agriculture term loan

Security:

Existing security /ies obtained for KCC to be continued.
No additional securities to be obtained even if the combined exposure (KCC plus proposed Kisan Tatkal Scheme) exceeds the present cut-off ceiling of Rs.1 lakh.

Repayment

3-5 years in half yearly / annual installments.
The loan is to be cleared in full if a fresh / enhanced limit is sought during the subsequent year based on revised KCCS limit.

For Further details contact nearest branch.

UCO ESTATE PURCHASE LOAN SCHEME

Type of Facility/ Sector

Term Loan/Over Draft Facility
Direct Agriculture under Priority Sector upto Rs.2.00 crore beyond Rs.2.00 crore under Indirect Agriculture.

Scope of Finance

All Branches

Purpose/Objective

To purchase estates growing traditional plantation crops viz. coffee, tea, rubber and cardamom, cashew, pepper, coconut and other perennial orchard crops.

Eligibility

The Purchaser should have yielding estates and should be in a position to rejuvenate the Estate proposed to be purchased. The intending borrowers should have with satisfactory past dealings with the Bank.
The intending buyer should qualify the respective State Government norms of being an agriculturist / satisfy the income criteria stipulated by the State Government.
The estate should preferably be a neglected one. The estate should have potential for realizing higher yields. The estate should have the potential to absorb substantial credit for developmental activities.
The total land holding including the land to be acquired should be within the land ceiling norms of respective State.
The Purchaser should be experienced in the line, financially sound and should be in a position to bring in margin and service the debt.

Quantum of Loan

Quantum of Loan shall be based on the lowest of (i) Market value (ii) Guidance value/Circle rate fixed by the State or (iii) purchase consideration, after retaining the necessary margin.
The stamp duty and registration charges may also be considered.
For the purpose of the valuation of land to be purchased, price indicated may be cross checked with the last five years average registration value available with the registrar/sub registrar of the area and a view is taken by the bank for fixing the quantum of finance.
There will be no ceiling for the quantum of loan. However, the finance beyond Rs.2 crore be covered under Indirect Agriculture category.

Rate of Interest

Upto Rs.25.00 lac - Base Rate+1%
More than Rs.25.00 lac and upto 1.00 Crore - Base Rate +2.00%
Above Rs. 1.00 Crore - As per rating communicated by Head Office

Margin

The margin shall be normally 50% on purchase consideration or value of the estate whichever is lower.
However in deserving cases, the same may be relaxed up to 25%. The cost of registration/stamp duty may be considered in project cost.

Penal Interest

No penal interest shall be charged for loans up to Rs.25,000/-
In case of loans above Rs.25,000/ penal interest shall be charged 2.00% p. a. over and above the normal applicable rate of interest on the

Repayment Period

The loan should normally be repayable within 7 to 9 years.
In some specific cases, depending on the status of the Estate and rejuvenation period required, it may be extended up to 20 years.

Security

Mortgage of property to be purchased. Hypothecation of Plantation crops raised on the land/Estate.
Also, collateral security of mortgage of existing landed properties/ including preferably residential property is to be obtained.
In any case, the value of the security should not be less than 200% of the loan amount

For Further details contact nearest branch.

UCO KISAN ALL PURPOSE TERM LOAN SCHEME

Type of Facility/ Sector

Single transaction loan limit loan repayable within 9 years
Direct Agriculture –Priority Sector

Objective/Purpose

To create a hassle free single term loan limit to farmers for all term loan requirements like Farm Mechanization, Land Development, Minor Irrigation, Water Conservation, Horticulture, Allied Activities and Other Agriculture related activities etc.
However, development projects with a long gestation period (say more than 3-4 years) may not be considered in view of the specific tenor of this credit product (eg). Mango Planation – requiring gestation of 6-7 years).

Eligibility

Individual, Joint / Group of Farmers-owner cultivators and JLGs, SHGs etc. engaged in Agriculture and related activities

Quantum of Loan

To be based on the investment plan given by the farmer to be undertaken in the next 2-3 years.
The plan can be a combination of investment/development activities relating to agriculture and allied activities.
It shall be subject to 5 times of Annual income (current-pre development stage) of the farmer including allied activities or 50% of the value of land mortgaged whichever is lower, with a maximum Rs.25 lakhs.

Margin

a) Small and Marginal Farmers : 5%
b) Other Farmers : 15%

The entire margin need not be brought in upfront for the entire limit.
The required margin may be brought at the time of creation of asset only.

Security:

Upto Rs.1 lakh - Hypothecation of Assets created out of the loans.
Above Rs.1 lakh (aggregate loan) – Mortgage of land(it shall be at least 200% of the limit sanctioned).

Processing and Other Charges

Upto Rs.25,000/- - NIL
Above Rs.25,000/- - As applicable to Agricultural Term Loans as devised by the Bank.

For Further details contact nearest branch.

Scheme for financing farmers for Marketing Agriculture Produce& i.e. against Warehouse / Cold Storage Receipt

Type of Facility

Short Term Loan for maximum 12 months

Level of Implementation

All Branches

Scope , Objective & Eligibility

Warehouses / cold storage units owned by Central and State Government entities.
Approved warehouses/cold storage units owned/managed by National Bulk Handling Corporation Ltd. (NBHC) and National Collateral Management Services Limited (NCMSL).
Cold storage / warehouse units financed by our Bank, whose accounts are running regular.
Cold Storage / Warehouses built owned or managed by Central or State Government entities including National Bulk Handling Corporation Ltd. (NBHC) and National Collateral Management Services Limited (NCMSL).

Nature of Receipt

The warehouse receipt is in accordance and as prescribed under the provision of the Warehousing (Development and Regulation) Act, 2007

Quantum of Loan

75% of the value of the stock stored

Rate of Interest

As per quantum of Loan

Security

Pledge of Warehouse receipts. The warehouse receipt is in accordance and as prescribed under the provisions of the Warehousing (Development and Regulation) Act 2007.
In case of Firms and companies personal guarantee of Promoters/Directors to be obtained.

Insurance

Before release of fund, confirmation of Banks' interest marked on the Insurance policy to be obtained against the bank's pledge stock.

For Further details contact nearest branch.

UCO Mahila Utthan(UMU)

Type of Loan

Both For Farm and Non-Farm activities.

Scope of Finance

All Branches (Rural, Semi urba, Urban & Metropolitan)

Objective:

The scheme is specially designed to encourage and empower women beneficiary by offering hassle free financial assistance at liberal and concessional terms.

Eligibility Criteria for borrower

Self Help Group which have been in existence at least for six months.

Assessment of Loan

After completion of six months, the SHG will be graded by the bank as per Format (page 495 of Manual of instruction, Volume VII)

Quantum of Finance

Minimum Rs. 1.00 lacs and Maximum Rs. 5.00 lacs.

Margin

Upto 5 lacs – no margin

Service Charge

Upto 3 lacs – no service charge.
Above 3 lacs as per Bank's Policy

Rate of Interest

Base Rate

Security

Upto Rs 5.00 lacs- Primary Security only (No collateral security)

Insurance

Members of Credit Linked Women SHG to be covered under Janashree Bima Yojana (JBY).

For Further details contact nearest branch.

UCO General Credit Card(UGCC)

Field of Operation:

Rural and Semi Urban Branches

Nature of Financial accommodation:

Cash-Credit Facility/ Overdraft

Objective:

The objective of the scheme is to provide hassle-free credit to banks' customers based on assessment of cash flow of the entire house-hold without any insistence on security , purpose or end-use of fund stipulation.

Borrower

Existing depositor/borrower having relationship with Bank/Branch
Small Businessmen/Retail Traders/ Self-employed persons / pensioners /servicemen /Artisans /Salaried Persons/Agriculture labourers and other daily wages earners.
Borrower be resident of rural/semi-urban areas
Borrower should not be defaulter loanee to any lending institution.

Quantum of Loan

Maximum of Rs 100 lakhs.
In addition , UGCC-holder is also eligible for loan for his/her viable/bankable vocational/economic activity on merit basis.
KCC holders are not eligible for loan under GCC scheme

Rate of Interest:

Base Rate

For Further details contact nearest branch.

Scheme for Solar Irrigation Pumpset

Type of Loan/Category

Term Loan/Direct Agriculture under Priority Sector

Scope of Finance

Rural and Semi-Urban Branches

Objectives:

The objective of the scheme is to help farmers to extend grid power to remote areas especially to meet agriculture loads. The demand for electric energy is far outstripping supply, especially in the agriculture sector. It is also becoming increasingly difficult to meet the exponential growth in demand of Agriculture productivity which is closely associated to direct and indirect energy inputs. It is cost-prohibitive for the Government to extend grid power to remote areas especially to meet agriculture loads .

Purpose

Loan will be granted for installation of Solar Water pumping system. The proposed scheme will help in harnessing the solar energy for pumping water by water pumps

Eligibility:

The farmers' land should have adequate source of water. In case any Public/Government source is being used, water right certificate from the concerned authority should be produced.
In case of wells they should have sufficient recouping capacity to irrigate area proposed to be brought under irrigation.
Farmer should have own an economic land holding with a minimum of 10 acres. However, loan can be considered even if the benefiting area is less than 10 acres provided the farmer is able to sell surplus water.
Farmers are required to satisfy the bank officials regarding their repayment capacity of the loan . They should not be defaulters to any bank.

Quantum of Loan :

Maximum 75% of the cost of the pumpset including accessories.

Rate of Interest:

Base Rate + 1.00%

Margin

It may provide finance taking a margin of 25% of the total cost to be paid by beneficiary. If subsidy is available, the same can be considered as Margin and the Branches should not insist the borrower for margin separately.

Capital Subsidy:

40% capital subsidy will be available under Jawaharlal Nehru National Solar Mission (JNNSM) for installation of solar Pumpsets for those farmers who have not installed any pump set.

Security:

Hypothecation of assets created out of Bank finance.
Hypothecation of standing crops.
Third party guarantee

For Further details contact nearest branch.