Banks are required to provide investment credit to farmers and entrepreneurs to ensure creation of productive assets and technological upgradation for increased production, productivity and incremental income. Since its inception, NABARD has been playing a pivotal role to enhance the flow of credit to farm sector. Amongst the series of measures undertaken by NABARD to increase the schematic finance, formulation of Model Bankable projects played an important role. These models have been extensively used by Rural Financial Institutions for promoting and financing farm sector project.
The Govt. of India has set the target for doubling of farmers income by 2022. In this context, financing of projects in various sectors by bank branches could be accelerated with the help of readily available model bankable projects prepared by NABARD covering all major agriculture and allied sectors viz; Water resources, Animal Husbandry, Plantation and Horticulture, Agriculture Engineering, Soil and Crop Water Management, Fisheries, Forestry and wasteland Development and Biotechnology. Besides, bankable models have also been prepared for commercial projects such as medicinal and aromatic crops, bee keeping, sericulture, etc for dissemination amongst banks, farmers and entrepreneurs. These model projects, inter alia, would smoothen the process of project formulation and financing by banks.
The Central Technical Advisory Group (C-TAG) and Regional Technical Advisory Group (R-TAG) of NABARD has made sincere efforts to formulate various model bankable schemes in farm sector which have been uploaded on our website for easy access and use by all stake holders. These model schemes would continue to be updated incorporating latest costs and technological changes as may be required from time to time.
I am confident that these model schemes would serve as a ready reckoner for banks, related agencies, farmers and other stakeholders for conceiving investment projects and their financing by banks.
Dr. Harsh Kumar Bhanwala
National Bank for Agriculture and Rural Development