The Hindu : Tamil Nadu News : Agriculture graduates show interest in NABARD scheme

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Tuesday, Nov 11, 2008
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Tamil Nadu

Tamil Nadu

Agriculture graduates show interest in NABARD scheme

K. Subramanian

For setting up agri-clinics and agri-business centres in the delta region

Ceiling has been fixed at Rs.10 lakh for individual project
Assistance under the scheme will purely be credit-linked

TIRUVARUR: Agriculture graduates in the State are showing keen interest for setting up agri-clinics and agri-business centres in the Cauvery delta region of Thanjavur, Tiruvarur and Nagapattinam districts taking advantage of the scheme formulated by the National Bank for Agriculture and Rural Development (NABARD).

A senior official of the NABARD told The Hindu on Monday that the NABARD in consultation with the Union Ministry of Agriculture and select banks had formulated a scheme recently for financing agriculture graduates for setting up agri-clinics and agri-business centres (ACABC).

Technology transfer

He pointed out that the scheme was aimed at supplementing the existing extension network to accelerate the process of technology transfer to agriculture and supplement the efforts of State agencies in providing inputs and other services to the farmers.

The scheme will also provide gainful employment to agriculture graduates in new emerging areas in agricultural sector.

The agri-clinics are envisaged to provide expert advice and services to farmers on technology, cropping practices, protection from pests and diseases, market trends, prices of various crops in the markets and also clinical services for animal health, etc., that would enhance productivity of crops and animals and subsequently to increase income of farmers.

The agri-business centres will also provide farm equipments on hire, sale of inputs and other services.

V. K. Sampath, a graduate from the Tamil Nadu Agricultural University (TNAU) accompanied by a few other agriculture graduates who visited several parts of the Cauvery delta region including Tiruvarur district two days ago to study the feasibility of starting agri-clinics and agri-business centres said that the NABARD’s scheme was good as it gave a chance to agriculture graduates and graduates in subjects allied to agriculture.

The NABARD had stated that the subsidy from the Government would be admissible only in respect of agriculture graduates trained under ACABC scheme on or after April 1, 2004 and for projects financed by banks after July 9, 2006.

The ceiling has been fixed at Rs.10 lakh for individual project, Rs.10 lakh per trained graduate and for a group, subject to a maximum limit of Rs.50 lakh.

However, assistance under the scheme will purely be credit-linked and subject to sanction of the project by commercial banks, cooperative banks and regional rural banks based on economic viability and commercial consideration.

Eligible for refinance

Projects under the scheme will be treated as direct financing to agriculture and eligible for cent per cent refinance support from the NABARD. Credit linked capital subsidy at 25 per cent of the capital cost of the project funded through bank loan.

However, 33.33 per cent subsidy will be provided in respect of candidates belonging to SC / ST, women and other disadvantaged sections. The subsidy will be back-ended with minimum 3 years lock-in-period.

In addition, full interest subsidy will be available for the first two years of the project.

The agriculture graduates in each district will be encouraged to start ACABCs and a district-level task force has been constituted with lead bank of the district as the convener for effective implementation of the scheme.

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