Rs1,00,000 Telangana Crop Loan Waiver Scheme


The Telangana state government has decided to waiver the crop loans upto Rs1,00,000 amount. For which the state government has issued a guidelines G.O Rt.No.69 on the 13th of August 2014. The following are guidelines, eligibility conditions have been issued for the waiver of crop loans.

Scope of the Crop Loan Waiver Scheme and Eligible Amount

This scheme will cover short term production loans, and crop loans against gold, disbursed to farmers in the Telangana State by scheduled commercial banks, cooperative credit institutions (including urban cooperative banks) and regional rural banks, collectively called as the “lending institutions”.
The eligible amount for debt waiver would be limited to the amount of loan (together with applicable interest), which is disbursed and outstanding as of 31st of March, 2014 or Rs.1,00,000 per farmer family whichever is lower.
The farmer family is defined as head of the family, spouse and dependent children.

The following loans/accounts shall not be eligible under the Crop Loan Waiver Scheme.

a) Advances against pledge or hypothecation of agriculture produce other than standing crop
b) Tied loans
c) Closed crop loan accounts
Short term production loan means a loan given in connection with the raising of crops which is to be repaid within 18 months. It will include working capital loan, for traditional and non-traditional plantation and horticulture.

Implementation Guidelines of the Scheme

a) Preparation of list of farmers with outstanding crop loan dues and arriving at the amount of claim
i) Each lending institution – bank branch – which has disbursed short term crop loans to farmers shall prepare village-wise list of farmers with outstanding crop loan dues as on March 31, 2014 in the prescribed format (Annexure-A).
ii) Each lending institution, shall also prepare a village -wise list of farmers who have outstanding dues as on March 31, 2014 in respect of crop loans taken against gold in the prescribed format (Annexure-B).
iii) The list of farmers in Annexure-A and Annexure-B should be compared by the Bank Branch Manager and a final list of farmers who have outstan ding crop loan and limited to a maximum extent of Rs.1.00 lakh should be prepared by the Bank Branch Manager in the format designed in Annexure-C. One copy of Annexure-A, B, C should be sent by the Bank Branch Manager each to LDM and District Collector.

Download Telangana Crop Loan Waiver Scheme Guidelines

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