Advantages of applying for a Goat farming loan:
There are several purposes to go for a loan for Goat rearing or Goat farming. The advantages of such loans are as follows:
- One of the leading advantages of acquiring such loans is that the individual gets a capital resource for starting the farming. Lack of sufficient finances is a major hurdle for many individuals aspiring to start an animal husbandry farm.
- The next advantage of acquiring a loan in current times is that several banks provide insurance along with loans for animal husbandry. This gives the animal farm owner an additional profit and financial security.
- As the animal acts as a capital on the farm, it is wise to invest in building this capital by acquiring financial assistance. The production done by animal will be enough to pay off the loan in the long run.
Goat farming policies and loans available in India
Different State governments in association with banks and NABARD offer subsidy schemes to increase goat farming. It is highly profitable and a sustainable kind of business with appreciable returns in the long term. To help the individuals/groups start the goat farming business, loans are offered by different financial institutions at attractive rates. The loans offered are various purposes such as:
- Purchase of goats
- Purchase of equipment
- To buy land, feed, etc
- To build the shed and more.
To incentivize goat farming in India, the Central government has contributed through different schemes, one such scheme is through NABARD.
NABARD loan for goat farming:
NABARD is at the forefront to provide loans for goat farming at very attractive rates. It offers loans to borrowers in association with different financial institutions like:
- Commercial banks
- Regional rural banks
- State co-operative agriculture and Rural development banks
- State co-operative banks
- Urban banks
- Others that are eligible for re-finance from NABARD
Under the scheme, a borrower is entitled to receive 25-35% of money spent on purchasing goats as subsidy. People belonging to SC/ST community and belong to BPL category can get subsidy up-to 33% while others belonging to OBCs are liable for 25% subsidy with a maximum amount is Rs. 2.5 lakh.
Process to get a loan for goat farming:
1: Visit any local agriculture bank or regional bank and fill the application form for the goat farming with NABARD.
2: It is necessary to present your business plan to avail subsidy from NABARD. The plan should contain all the relevant details about the goat farming project.
3: Submit the application form along with the business plan to get approval from the NABARD.
4: A technical officer will visit and inquire about the farm before the sanctioning of the loan and subsidy.
5: The loan amount is sanctioned and the money is transferred to the borrower’s account. It s important to underline that the loan amount is only 85% (maximum) of the project cost. 15% of the cost has to be borne by the borrower.
Documents required to get a loan for goat farming
The documents required to get a loan for goat farming are:
- Photos: 4 passport-size photographs
- Address proof: Ration card, Voter ID, utility bills
- Identity proof: Aadhar card, Driving license
- Caste certificate (for SC/ST applicants)
- Goat farming plan
- Land registration documents
- Bank statements for 6 months preceding the loan application date
Goat farming is proving to be a lucrative and sustainable business for a large number of people living below the poverty line. Goat farming not only helps in providing employment to a large section of people but also adds nutrition to the meal of the deprived people. Government with the intention to increase cattle farming now provide subsidized loan to people to start goat farming. These loans are provided through various commercial banks in association with NABARD. It is a major scheme with the intention to lower poverty and improve the standard of living of people in rural areas. The individual can also visit Lendingkart’s official website to know more about the goat farming loans.
What are the benefits of rearing goats?
Some of the benefits of rearing goats are as follows:
- Goat meat is very popular among the masses and the demand is growing rapidly making the goat farming business a profitable one.
- Goats provide meat, milk, manure for fields throughout the year with minimum maintenance.
- There is no need for large farms to raise goats, compared to big animals goats need less space.
- Grazing in fields and agriculture waste makes it economical to raise goats.
- Goat milk has medicinal qualities and fetches better rates than other quality of milk.
- Goats are better disease resistant than other animals
- Goats reproduce very quickly helping in increasing the number of goats.