Organisation : Baroda Gujarat Gramin Bank
Facility : Ichha Shakti Jama Yojna
Details : https://www.apgvbank.in/
Website : https://www.bggb.in/
Baroda Gujarat Kisan Credit Card Scheme :
(BGKCC)
Introduction :
** The Hon’ble Union Finance Minister in his budget speech for the year 1998-99 had desired that the banks should issue Kisan Credit Cards (KCC) to farmers on the basis of their land holdings so that the farmers may use them to readily purchase agricultural inputs such as seeds, fertilizers, pesticides etc. and draw cash for their production needs and that NABARD should prepare a model scheme for uniform adoption by banks.
Related : Baroda Gujarat Gramin Bank Ichha Shakti Jama Yojna : www.statusin.in/21635.html
** Pursuant to the above direction of the Hon’ble Union Finance Minister, NABARD formulated a model scheme which provides broad guidelines to the banks for operationalising the KCC scheme and implementing banks have been given the direction to adopt the same with modification to suit location specific requirements.
** Accordingly our erstwhile RRBs have formulated a scheme of Kisan Credit Card (KCC) and advised the same highlighting its salient features to the branches vide circulars of respective erstwhile RRBs.
** Subsequently certain modifications were made and conveyed.
** Based on the experience gained by us in the successful implementation of the above scheme for more than five years and in accordance with the recommendation of the IBA Working Group, Dr.Vyas Committee on Rural Credit, NABARD and RBI, the scheme has been further modified in order to enhance the credit flow to agriculture.
** Now this scheme will be known as “BARODA GUJARAT KISAN CREDIT CARD SCHEME”
OBJECTIVES :
** Baroda Gujarat Kisan Credit Card (BGKCC) Scheme aims at providing adequate and timely credit for the comprehensive credit requirements of farmers under single window with flexible and simplified procedures, adopting wholesome approach including the short term credit needs and a reasonable component for consumption needs of the farmer borrowers which includes their crop cultivation expenses including purchase of inputs in flexible and cost effective manner and also to meet expenses on farm maintenance, consumption needs, non-farm activity as also medium term and long term investment credit needs.
** Revised BGKCC Scheme is an extension of Composite Cash Credit System (CCS) with facility of cheque books for purchase of seeds, fertilizers and pesticides etc. from the traders / dealers of Agriculture inputs as also purchase of farm equipments / machinery like oil engine, electric motor pumpset, sprinkler / drip irrigation equipments, pipelines, power tillers, and tractor etc. as also milch animals and other live stock, construction of farm structures, purchase of vehicles for transport of farm produce etc.
ELIGIBILITY :
** All agriculturists with good track record of repayment who are eligible for sanction of credit limit of Rs. 1000/- and above irrespective of their period of dealings with our branch or a fresh applicant having good reputation / report.
** Recorded / registered share croppers and tenant farmers who are cultivating crops for a period not less than five years in order to meet the production credit needs are also eligible.
** However the individual tenant farmers / share croppers cultivating land on oral lease basis who are resident of the village atleast for a period of three years continuously and cultivating lands and raising crops for a reasonably long period but not less than three years could also be issued BGKCC with a farm credit limit upto Rs. 10000/- in general and in exceptional cases not exceeding Rs. 25000/-.
APPLICATION FORM FOR KISAN CREDIT CARD :
Alongwith the regular agricultural loan application form, application for Kisan Credit Card should also be obtained from the borrower as per Annexure – I.
FIXATION OF CREDIT LIMIT :
Baroda Gujarat Kisan Credit Card will consist of Production Line of Credit as well as Investment Line of Credit.
Production Line of Credit :
Following requirements of farmers are to be taken into account while fixing Production
Line of Credit under BGKCC scheme :
** Extending production loans for raising various crops based on scale of finance.
** Other short term requirements like maintenance of tractor/farm implements, allied activities like dairy, poultry, annual repairs, fuel, cost of feed, etc. to the extent of 15% of the crop production expenses limit.
** The consumption needs to the extent of 15% / 25% / 35% of the Crop Production expenses limit, depending upon the category of borrower subject to a maximum of Rs.50,000/- per card.
** Working capital for allied activities and non farm sector activities.
** Finance against storage receipts/produce marketing loans (against his own farm produce only) subject to maximum of Rs.5/- lacs per farmer. (Production Line of Credit may be enhanced as and when scale of finance for various crops is increased by the District Technical Committee and/or SLBC).
Investment Line of Credit :
** Extending credit facilities for horticulture crops, investment on farm developments such as development of land/irrigation facility, purchase of tractor, farm machineries and equipments, farm structures & buildings, draught animals/carts, milch cattle, transport vehicles, pre/post harvesting processing equipments and practicing modern/hi-tech agriculture with need-based project/farm infrastructures, plantation activities etc.
** Extending facilities for setting up units of allied activities like dairy, poultry, fisheries, piggery, sericulture, etc. to supplement farm income/activities and also to ensure optimum utilization of available resources.
** Extending loans for off-farm activities/needs of the farmer like personal loans including purchase of consumer durables, housing, subject to a maximum of Rs.1/- lac.
** Loans for redemption of loan availed by farmers from non-institutional lenders, as advised by earlier circulars. (Projects with large financial outlay of above Rs. 10 (ten) lacs to be considered independently after fully satisfying on techno-economic viability aspects on merit).
QUANTUM OF FINANCE :
** For the sake of simplicity, the ultimate limit may be fixed in round figures of thousands.
** Branches may consider total finance upto Rs. 10/- lacs under the revised Scheme.
** However, total Line of Credit beyond Rs. 10/- lacs may be considered in deserving cases, with the prior approval of Regional Authorities.
** Format for assessment of comprehensive limit under the scheme is given as Annexure – I
Production Line of Credit :
The credit extended under the Production Line of Credit would be in the nature of revolving Cash Credit and would provide for any number of withdrawals and repayments within the limit.
The same shall be fixed equal to the sum of :
** Farmer’s need for cultivation expenses based upon the cropping pattern decided by him at the rate of scale of finance for crops approved by Technical Committee of the concerned District.
AND
Short term requirement like maintenance of tractor and farm implements/machineries not exceeding 15% of the limit fixed for crop cultivation expenses in point (a) above,
AND
Working capital requirement for allied activities like dairy, poultry, etc. as well as non-farm sector activities as may be assessed as per the need of projects being undertaken by him, subject to viability,
AND
Consumption needs, subject to the maximum of 15%/25%/35% of Production Line of Credit fixed for sum of point (a) and (c) above, depending upon the category of borrower. However, the same should not exceed Rs. 50,000/- per borrower.
(While assessing production credit limit value of land / collateral /security should not be kept in mind / considered. i.e. Need based finance be given.)