In a significant move to bolster agricultural infrastructure and empower farmers, the Agriculture Infrastructure Fund (AIF) has been introduced, offering a lifeline of financial support. Under this initiative, farmers across India can avail themselves of loan facilities of up to Rs 2 crore within a span of 60 days. The loans come with a highly favorable interest rate of just 3%.
The primary objective of the Agriculture Infrastructure Fund is to facilitate the establishment of critical infrastructure such as cold storage facilities, processing units, warehouses, and packaging units. By providing financial assistance for the creation of these essential components, the scheme aims to modernize and enhance the agricultural value chain.
One of the key benefits of the AIF is its accessibility and prompt delivery of financial aid to farmers. With loans disbursed within a short period, farmers can expedite the implementation of their infrastructure projects, thereby maximizing their productivity and efficiency.
The seven-year tenure of the loans further ensures that farmers have ample time to repay the borrowed amount, alleviating the financial burden and allowing for sustainable growth. Moreover, the nominal interest rate of 3% significantly reduces the cost of borrowing, making it more feasible for farmers to invest in upgrading their infrastructure.
