Eligibility Criteria for the Participating Agencies
Participating Agencies fulfilling the following eligibility criteria will be eligible to avail interest subvention under the scheme:
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The beneficiary (Participating Agency) should have a sanctioned loan / facility for working capital borrowing (including cash credit facility) from any Scheduled Commercial Banks/ Regional Rural Banks / Cooperative Banks / Financial Institutions for meeting the working capital requirement during the operational period of the scheme.
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Participating Agency must be regular in repayment of loans to Financing Institution and has to first repay the loan installments, to avail the benefits under the scheme.
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Interest subvention shall be provided for the outstanding working capital loan between 1st April 2020 and 31st March 2021.
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Interests subvention shall be provided on back ended basis every month by NDDB to the FI after verifying the claim.
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Participating Agency should pay back the procurement price to farmers on a regular basis and should be able to submit proof of that.
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The Participating Agency should agree to provide monthly reports with day-wise details on opening, addition, reduction and closing balance of conserved commodities and such milk processing / operations reports as required by NDDB.
Products covered: Four conserved commodities – Skimmed Milk Powder, Whole Milk Powder, White Butter and Ghee are covered under the scheme.