Goat Farming Loan and Subsidy Information:
Introduction to Goat Farming Loan and Subsidy:- Goat farming business is gaining momentum in in India since meat lovers are increasing. The demand and price for goat meat is increasing every year. Apart from this, there many people who are unemployed, and there are people who wants to invest and there are people who wants to experiment with goat farming business. Whatever the case, If you are planning for commercial goat farming, you must know the fact that the initial investment would be more and you may not able afford this. Goat farmers should also understand the fact that they reach break-even point only after 2 or 3 year and subsequent years would be profitable. Central government of India and Various state governments are encouraging Indian goat farmers under various agriculture schemes and goat farming is one of them.
To uplift the poor in rural areas and to develop and provide employment, there are some subsidies provided by these schemes. The goat farming or rearing business in India is primarily carried out in the states of Gujarat, Rajasthan, Karnataka, Telangana, Andhra Pradesh, Kerala, Tamil Nadu, Maharashtra, Madhya Pradesh, Orissa, Rajasthan, Bihar, Jharkhand, Uttar Pradesh, Kashmir and West Bengal as these states have the terrain and climate suitable for goat farming business. These state governments announced goat farming business subsidy schemes in association with local banks and NABARD (National Bank for Agriculture and Rural Development).
Before going in detail of subsidy and loan information, ask yourself why you should choose goat farming?. Well, the answer for this question is given below.
- Goat meat has excellent demand and can fetch good profits.
- Goats provide milk, meat, hide and manure through the year.
- Goats are friendly animals and occupy less space.
- Goats can depend on agriculture waste and graze on open fields.
- Goats milk also nutritious when compared to cow milk
- Farmers can make some extra income by selling goat manure.
- Goats are disease resistant when compared to sheep and cow.
- Goats can kid even triplets hence goats will be multiplied in short period.
- Goats are easy to market; there will not be a marketing problem at all.
- Goats easily can mingle with other livestock and you don’t need separate goat housing, if number of goats is less.
Goat farming is a kind of business which requires huge initial investment for purchase of animals, construction of goat house/shed, daily feed and nutrients, and other equipment. This is the reason we said earlier, you can avail subsidies and bank loans to run the goat farming business. It is recommended that you start with a small number of goats, once you gain experience in this fields, you can expand to a larger numbers.
Goat Farming Loan – About NABARD: It stands for “National Bank for Agricultural and Rural Development” which set up by RBI. NABARD is dedicated in helping people who are dependent on agriculture as main source of income. Apart from this, NABARD also helping directly and indirectly agriculture sector by providing many subsidy loan schemes to rural population.
Goat Farming Loan – How much subsidy can we get?: Well, subsidy may vary to general category to reserved category. The goat subsidy amount varies from 25% to 35% of the total cost of goats or goat project. (Subsidies may be applicable to shed construction, feed cutter, milking equipment and other things mentioned in the project report)
How to get Goat Farming loan and subsidy?: Every state has their own budget allocated to encourage goat farming. Recently, Telangana government announced to encourage rural area goat farmers. When it comes to providing subsides in goat farming, Maharashtra and Karnataka are in leading position.
Another important point is NABARD never directly lends to a farmer but instead routes the subsidy through a recognized banks where application is filed.
Goat Farming Loan – Process for Goat Farming Loan and Subsidy:-
- When you are ready for goat farming business, visit your nearest local any commercial, rural or co-operative bank and inquire if they offer loans for purchasing goats through NABARD, if they do, get the application form.
- Complete the application form with the help of bank officer or technical officer. Prepare a brief and point to point project report which can contains details of your goat farming project. This report should be submitted to “NABARD” for availing subsidy.
- Once the application for subsidy and project report has been submitted to “NABARD”, it may take some time to review and get it approved. The subsidy will be provided only in the end.
- A technical officer from Bank may visit your farm before sanctioning any loan or subsidy as part of due diligence check.
- The loan borrower or goat business applicant needs to pay margin amount between 10-15% of the loan amount while the remaining amount will be provided as a loan from NABARD through applied bank.
- Interest rate varies from bank to bank and on an average you can expect 12% for 10 years tenure (period).
- If you are planning a commercial or large scale goat farming then you are eligible to get subsidised loans for purchase of land, construction of goat pens/shed/house, feeders and milking machines. A detailed project report should be provided to the bank, if you want the loan to cover the above said items.
Goat Farming Loan- Banks Offering Goat Farming Loans & Subsidies in India:- There are many rural and agriculture co-operative banks offering goat farming loans for farmers.
- SBI (State Bank of India)
- IDBI Bank
- Maharashtra Bank
- Co-operatives Banks
- Canara Bank
- Oriental Bank of Commerce.
Bottom Line of Goat Farming Loan:- It’s easy to get loan if you have prepared project report well and if you meet all technical parameters set by “NABARD”.