Multi Purpose Credit | Micro Enterprises Credit | Dairy Promotion Credit

Dairy Promotion Credit
 

Concept

Dairy is one of the better-suited activities for rural women for several reasons. But due to factors like the higher initial investment, risks in terms of cattle health and insurance, limitations in marketing an essentially perishable commodity, this sector needs a special package. Credit for dairy animals will have to necessarily take into consideration marketing linkage, cattle protection or risk cover, veterinary services etc. Hence, we have designed a separate product for the dairy sector.

Eligibility

1. Members of Self-Help Groups who attend group meetings, save money on a regular basis and participate in the affairs of the group are eligible for loans under this product.
2. There should be a minimum of 10 and maximum of 20 members for each Group
3. However, Members with loans Outstanding to the group are not eligible for this credit.
4. Member should own at least one milch animal, which yields an average of 6 litres of milk per day at the time of applying for a loan.
5. Member should have land for growing fodder.
6. The loan quantum per group will depend on factors such as Age of Self Help Group, their savings, internal rotation of their savings,

Terms and Conditions

1. Loans under this product will only be on a group basis as in the case of any other product.
2. This will only be for repeat loans; the SHG must have availed a loan and repaid it fully.
3. For every such loan from the SMBTs, the SHG will also give loans to two members from their group savings.
4. The member should already be owning a milch animal, which is yielding milk (should not be a dry animal).
5. The contribution from the individual will be a minimum of 10%.
6. The animal should be bought and insured with in 15 days of loan disbursement.
7. The animal should yield at least six (6) litres of milk per day.
8. The loan will be repaid in eight (8) monthly instalments.
9. Loans will be given after grading, screening etc.