16. Rubber Plantation Development Scheme

Purpose: Long Term Loan for raising new plantation/ replantation to meet the expenses from the land preparation till yielding stage.

Loan Period: Loan is disbursed in instalments over a period of six years in stages depending on the requirement.

Loan Amount: As per the amount (unit cost) fixed by the government agencies (NABARD/Rubber Board) for the place.

Margin: 15% for small farmers and 25% for others.

Security:
1. (i)Primary –Hypothecation of the crops raised with banks finance.
2. Collateral –
a. Limits up to Rs.1,00,000 : NILL
b. Limits above Rs.1,00,000 : Mortgage of landed property

Repayment: Interest and loan amount to be repaid after the plant starts yielding. The interest accrued during the first six years and the loan amount to be repaid from the seventh year to 14th year in instalments