Cooperative Sector Interest-Free Short-Term Crop Loan Scheme

Why it matters

Farmers can borrow money for seeds, fertilizer, and other crop expenses through cooperative banks without paying any interest, easing the burden of farm credit.

What you get

Through Primary Agriculture Cooperative Societies and district cooperative banks, Chhattisgarh offers interest-free short-term crop loans to farmer members for kharif and rabi cultivation expenses, with a separate interest-free credit limit for fisheries and horticulture activities. The state bears the interest cost on behalf of the farmer when the loan is repaid on time, making formal credit far cheaper than informal moneylenders.

Eligibility criteria

• Must be a member of a Primary Agriculture Cooperative Society (PACS) in Chhattisgarh
• Loan must be repaid within the notified short-term period to remain interest-free
• Land/crop details must be registered with the cooperative society
• Separate eligibility applies for the fisheries/horticulture credit limit

How to apply

1. 1

   Become a member of your local Primary Agriculture Cooperative Society

2. 2

   Apply for the short-term crop loan before the sowing season with your land and crop plan

3. 3

   Society sanctions the loan based on cropped area and credit limit

4. 4

   Loan amount is disbursed for crop inputs; repay by the due date to retain the zero-interest benefit

Documents required

• Aadhaar card
• Land record
• PACS membership passbook
• Bank account details