Goat Farm Loan is a type of working capital loan used for the management and rearing of livestock. Goat Farming Business requires a certain amount to start.
To meet working capital requirements and maintain healthy cash flow, customers can opt for goat farming offered by various financial and government institutions.
Being one of the best livestock management departments in the country, goat farming is becoming more and more popular with high profit and income potential. It is a profitable and sustainable company with a long-term vision.
Commercial goat farming is mainly carried out by large companies, traders, manufacturers and producers. Raising goats is a major source of milk, skin and fiber.
Some of the major banks and government programs launched to start a goat breeding business are as follows:
SBI goat breeding loan
The interest rate and loan amount will depend on the requirements of the business and the profile of the applicant. The applicant must submit a well-prepared goat breeding business plan which must include all required business details such as area, location, breed of goat, equipment used, investment in working capital , budget, marketing strategy, worker details, etc. Once the applicant has met the eligibility criteria, then the SBI will sanction the loan amount according to the requirements of commercial goat farming.
SBI may ask to submit the land papers as collateral.
Loan under NABARD for goat farming
The main objective of the National Bank for Agriculture and Rural Development (NABARD) with regard to goat farming is to help small and medium-sized farmers to increase livestock production, which will ultimately result in increased employment opportunities.
NABARD provides Bakri Palan Loan Yojana with assistance from various financial institutions, such as:
• Commercial bank
• regional rural bank
• State Cooperative Bank for Agriculture and Rural Development
• State cooperative bank
• Urban bank
• Other financial institutions eligible for NABARD refinancing
According to the NABARD scheme, people belonging to the category below the poverty line, SC / ST will get a 33 percent subsidy for goat rearing. For OBC and other groups of people under the general category, a maximum of Rs.2.5 lakh will get a 25% subsidy.
Canara Bank ready for sheep and goat farming
Canara Bank also offers sheep and goat farming loans to its clients at competitive interest rates. Loans can be taken out for the purpose of procuring suitable goats for a specific herding area.
• Loan amount: Depends on the needs of the business.
• Repayment period: 4 to 5 years (including 12 months of gestation to be paid quarterly / semi-annually)
• Margin: Loan up to Rs.1 lakh – Nil and loans above Rs.1 lakh – 15-25%
• Security: For loans up to Rs.1 lakh: Mortgage of assets created from the funding received!
• For loans over Rs.1 lakh: mortgage on land holdings and mortgage on crops / properties created from the funding received.
Documents required to apply for a goat breeding loan
• Application form duly completed with passport-size photo.
• Applicant’s KYC documents, such as proof of identity, age and address.
• Applicant’s Aadhar card! BPL card, if available! Caste certificate, if belonging to the SC / ST or OBC category.
• Proof of income with bank statement for the last 6 months.
• Proof of business establishment!
• Certificate of domicile and original cadastre papers.
• Any other document required by the lender.
Discover and compare various business loan or working capital loan options.
The loan amount or the interest rate may vary from bank to bank as it depends on various factors, such as the creditworthiness of the applicant, repayment capacity, credit rating, financial stability, etc. .