NABKISAN FINANCE

LIMITED
(a subsidiary of NABARD)
 About Nabkisan
 Formerly “Agri Development Finance (Tamilnadu) Limited”
 Incorporated under the Companies Act, 1956 on 14.02.1997.
 Notified as a Non-Banking Finance Company (NBFC) - A subsidiary of National Bank
for Agriculture and Rural Development (NABARD)
 Rechristened as NABKISAN Finance Ltd. (NKFL) from 2014
 Equity participation from - NABARD, Govt. of Tamilnadu, Indian Bank, IOB, TMB,
Canara Bank, ICICI Bank, Federal Bank, LVB and a few Corporates / Individuals.
 Offices: Registered office at Chennai, and Corporate office at Mumbai from 10 May
2015.
 Operating States: 15 States, Tamil Nadu, Maharashtra, Madhya Pradesh, Rajasthan,
Karnataka, Gujarat, Kerala, Andhra Pradesh, Telangana, Bihar, Jharkhand,
Uttarakhand,etc
 Agri Dev. Finance, TN (ADFT) in 1997

Subsidiary of NABARD

Reg. under Companies Act , NBFC

Nabkisan Finance Limited ( 2014 )

Offices – 02 / Operating State - 15

Sanctions – 550.10 Cr Profit – 19.69 Cr

B/s – 717.78 Cr (as on 31.03.19)

 Objectives
➢Credit for promotion, expansion and commercialization of enterprises
in agri, allied.
➢Support for livelihood/ IGA by extending credit to PLFs, Trusts,
Societies and Section 25 companies/ MFIs for on-lending to its member
SHGs/ JLGs.

➢Credit support to POs, facilitate integration with agriculture value

chains
Nabkisan financials
(Rs. In Crore)
 Nurturing FPOs
 SF and MF predominance and FPOs can offer solution to many problems
faced by SF/ MF viz., input supply, lending to members, custom hiring,
processing, warehousing, marketing.
 PODF fund by NABARD with Rs.50 crore in 2011-12.
 Setting up of PRODUCE fund with Rs.200 cr outlay (14-15), >2000 FPOs
promoted.
 For meeting the credit needs of FPOs, NABKISAN gives specific focus with
flexible policies and at competitive terms. Grant support is also available for
sustainable development of FPOs. Pursued with Govt for IT exemption for
FPOs.
 Last 3 yrs, NABKISAN emerged as the largest lender to FPOs and 300 FPOs
are financed by NABKISAN both on direct &on-lending model so far.
 FPO nurturing by other institutions
➢SFAC : 2 schemes – equity grant and credit guarantee.
➢MP : DPIP programme and MBCFPCL
➢Maharashtra : Maharashtra Agriculture Competitiveness project
➢Karnataka: Horticulture dept. allocated Rs.34.71 cr for two yrs under
FPO Incubation and Stabilization Fund. 58 registered and 34 under
registration.
➢TN : Additional Rs.5.0 lakh grant for FPO is given by TNSFAC
➢Bihar : JEEVIKA targets 100 FPOs in next three years
➢ Many promoting institutions, Federations, Foundations ( ASA, FWWB,
IFHD, CIKS, Maha FPO, Gujpro, Reliance Foundation, Mahindra,
Syngenta)
 Constraints in accessing institutional
credit
➢Nascent stage of FPOs
➢Inadequate capital for meeting credit needs
➢Lack of resources
➢Lack of collateral
➢Inability to raise finance from formal banking system
➢Non-availability of financial statements
➢Lack of clarity on business planning
 Broad norms of NKFL
➢ Existence of the FPO: Minimum 6 months

➢ Debt equity norm of 1:5 to 1:10

➢ Minimum paid up capital : Rs. 2 lakh

➢ Producer collective promoted by a reputed Promoting Institute

➢ Meeting credit needs: Working capital loan, Term loan

➢ Interest rate: Varies from 11% to 12%

➢ Grant support for capacity building, marketing, administrative cost to PO/ POPI
 ELIGIBILITY CRITERIA FOR FINANCING FPOs
Loan Products at NKFL
for FPOs  Incorporated at least for six months.

 One balance sheet.

 Share capital of Rs.2 lakh (audited or as per

ROC).
NGOs / FPOs/
Trusts / FPCs
Section 8  Not default to any organisation.
companies

 Comply with legal requirements such as

NBFC - Federation
MFIs of SHGs necessary licences, TIN/GST number etc.

 Regular CEO

 Business plan at least for the next one year.

 A or B Category of POs based on NABKISAN

rating tool.
 Eligibility check for SFAC-credit Guarantee
❖ Registration/Incorporation Under part IXA of Indian Companies Act and Incorporated with RoC

❖ Equity from Raised equity from its members as laid down in AoA/Byelaws
❖ Number of Individual Share holders Not lower than 500
❖ SF/MF and Landless tenant farmers as Minimum 33%
Shareholder members
❖ Max. shareholding by any one member Not more than 5% of total equity of the FPC
(other than institutional member)

❖ Max. shareholding by institutional Not more than 10% of total equity of the FPC
member
❖ Duly elected board of Directors Minimum 5 members; adequate representation from member
farmers; Minimum 1 women member
❖ Management committee Duly constituted Management committee responsible for business of
FPC
❖ Business plan and budget For next 18 months
 FPOs/POs not Eligible for SFAC Guarantee
❖ Purpose Working capital, term loan for creation of infrastructure for storage,
processing, marketing etc. Bulk loan for on-lending, loan against warehouse
receipts.
❖ Eligible Institutions FPOs/POs under any legal form and existing for 2-3 years with at least two
audited balance sheets.
❖ Minimum share capital Rs.3 lakhs (minimum) for working capital loans and Rs.5 lakhs (minimum) for
term loans.
❖ Margin Minimum 15% for WC and TC
❖ Security Hypothecation/Mortgage of assets created out of loan.
Collateral to an extent of 50-100% of loan amount.
❖ Rate of interest 11.50% to 13.00% (RoI varies depending on extent of collateral and tenure of
loan)
❖ Repayment period 12 months for WC and 3-5 years for term loans.
❖ Loan Amount Up to 6 times of the net worth of the FPO or Rs.1 crore whichever is lower.
❖ Processing Fee 0.5% of loan amount
KEY INFORMATIONS
Working Capital  POs Eligible for SFAC / NABARD Credit Guarantee Term Loan
Loan Cover etc. (Assets creation
( Procurement / /Infrastructure)
Trading ) – Max 18  Those Not Eligible for Credit Guarantee but ready to 03 to 05 Yrs.
Months offer cash collateral, mortgage of property

Quantum of loan : 5 – 10times of Net worth Amount (Up to 85% of the project cost

Rate of Interest : Based on the interest rate policy of NABKISAN

(Lower interest rate is possible based on collateral offered & credit guarantee cover)

Processing Fees : 1 % of loan amount.

Credit Guarantee Fees : 0.50 to 1 % depending on schemes

Grant Support : Need based support up to 20% of NKFL loan amount.

(Support for capacity building, Technology extension, Business planning, Market infrastructure creation ,
administrative cost )
 Proposed Grant Support
❖Term loan/ composite loan comprising of both term and working capital /
working capital as composite loan, is eligible.
❖Grant support upto a max of 20% of loan amount in case of POs
❖Activity proposed forms a part of the project and needs to be substantiated
❖Broad activities eligible for grant support
▪ Training/ capacity building (skill development, business planning,
technological extension, exposure visits)
▪ Market Linkage support (market infrastructure, rural marts/ haats)
▪ Support for other purposes ( DPR preparation, Administrative cost up to
5% of loan amt for POs of less than 5 year old / to POPI up to 5% towards
admn cost)
NKFL Rating tools

Amount Statement/Records
CEO / No. of Staffs maintenance / Book Keeper
/ Training Share availability
Capital

Board Composition, Loan Status / Profit /

Meetings, Agenda Turnover / Collateral

Experience Technology / Market

Infrastructure MIS
Convergence Sustainability

KEY
CRITERIAS
Collaborations/ Partnerships

RABOBANK
Foundation

TATA
SFAC
Trusts

Arrangeme
nts/Partner
ships
On-
lending
to
BF Model
Ananya,
FWWB,
Dilasa
State
specific
projects
 S.N
o FPCL Name District Type of Loan Date of sanction Amount
1 SAVITRIBAI PHULE GOAT FARMING PRODUCER COMPANY LIMITED Nashik TERM LOAN PO 7715000
2 NISARG VIKAS PRODUCER COMPANY LIMITED Beed TERM LOAN PO 1200000
3 BHANDARA VIBHAG FARMERS PRODUCER COMPANY LIMITED Bhandara WORKING CAPITAL PO 1000000
4 AGRRIPATH FARMER PRODUCER COMPANY LIMITED Yawatmal WORKING CAPITAL PO 1100000
5 AGRISTOCK FARMER PRODUCER COMPANY LIMITED Akola WORKING CAPITAL PO 1900000
6 PERRFECT HARVEST FARMER PRODUCER COMPANY LIMITED Amravati WORKING CAPITAL PO 2000000
7 DHARAMABAD AGRO PRODUCER COMPANY LIMITED Nanded WORKING CAPITAL PO 2500000
8 RAJE MALHARRAO HOLKER AGRO PRODUCER COMPANY LIMITED Nanded WORKING CAPITAL PO 1500000
9 JAGESHWAR FARMERS PRODUCER COMPANY LIMITED Akola WORKING CAPITAL PO 2400000
10 JOYOUS AGRRIVISION PRODUCER COMPANY LIMITED Yawatmal WORKING CAPITAL PO 600000
11 SHRI BANLING FARMERS PRODUCER COMPANY LIMITED Solapur WORKING CAPITAL PO 1900000
12 BHOJAPUR KHORE POMEGRANATE PRODUCER COMPANY LIMITED Nashik WORKING CAPITAL PO 500000
YOGIRAJ NIVRUTTI MAHARAJ AGRO PRODUCER COMPANY
Nanded
13 LIMITED WORKING CAPITAL PO 1500000
14 BHOSE AGRO PRODUCER COMPANY LIMITED Solapur WORKING CAPITAL PO 3000000
15 VIKAS AGRO PRODUCER COMPANY LIMITED latur WORKING CAPITAL PO 1200000
16 AROMA ORGANICE AGRO PRODUCER COMPANY LIMITED Ahmadnagar WORKING CAPITAL PO 4200000
17 KRUSHIDEEP AGRICULTURAL PRODUCER COMPANY LIMITED Washim WORKING CAPITAL PO 7500000
18 KRUSHI KRANTI HIGHTECH AGRO PRODUCER COMPANY LIMITED Aurangabad WORKING CAPITAL PO 3150000
GHRUSHNESHWAR SHETKARI AGRO PRODUCER COMPANY
Aurngabad
19 LIMITED WORKING CAPITAL PO 2700000
20 GREENVISION FARMERS PRODUCER COMPANY LIMITED Nashik WORKING CAPITAL PO 3000000
 Date of
S.No FPCL Name District Type of Loan Sanction Amount
WORKING CAPITAL
Washim
21 KRUSHIMAULI FARMER PRODUCER COMPANY LIMITED PO 1600000
WORKING CAPITAL
Akola
22 SHIVARPAN AGRO PRODUCER COMPANY LIMITED PO 2345000
WORKING CAPITAL
Ahmadnagar
23 SAI PRAVARA SHETKARI PRODUCER COMPANY LIMITED PO 3500000
WORKING CAPITAL
Aurangabad
24 DAYANAND AGRO PRODUCER COMPANY LIMITED PO 1100000
MULAMAI AGRO FARMERS PRODUCER COMPANY WORKING CAPITAL
Nashik
25 LIMITED PO 1500000
WORKING CAPITAL
Washim
26 SHRI BALNATH FARMERS PRODUCER COMPANY LIMITED PO 2100000
WORKING CAPITAL
Solapur
27 MRUDGANDH AGRO PRODUCER COMPANY LIMITED PO 1500000
RAJE MALHARRAO HOLKER AGRO PRODUCER COMPANY WORKING CAPITAL
Nanded
28 LIMITED PO 2500000
WORKING CAPITAL
Aurangabad
29 SWAROOP SHETKARI PRODUCER COMPANY LIMITED PO 1,00,00,000
• Savitribai Fule Goat Farming Producer Company Limited

• Name of the FPO: Savitribai Phule Goat Farming Producer Company Ltd, Dodi (bk) village , Sinnar Taluka, District
Nashik, Maharashtra.
• State:- Maharashtra
• Promoting Institute: Yuva Mitra
• Nabkisan Support :- NABKISAN Finance has Sanctioned term Loan of Rs 77.15 Lakh for the Goat milk processing unit.
• Sanction Amount :- 77.15 lakh
• Disburse Amount:- Rs. 55.00 Lakh
• Present Activities: - Production of Pasteurized and Chilled and sterilised Goat Milk and its value added bi-products,
Goat Milk Collection and marketing, preparation and selling of vermi compost and vermiwash
.
Salient details of the FPO
• Registration No : U01100MH2016PTC280760
• Date of Registration : 6th May 2016
• Paid up Capital : Rs. 2263000/-
• Authorized Capital : Rs. 2500000/-
• No of Share Holder’s : 1041
• Turnover as on 31/3/17 : 423950/-
• Turnover as on 31/3/18 : 1590050/-
• Turnover as on 31/3/19 : 1790000/-
• No of live goats traded : 564 Goats
• Major goat breeds : Osmanabadi & Sangamneri
• Goat Milk sold : 1514Ltr.
• Compost production : New Initiative
• Establishment of Goat Resource Centre : 1 June 2018
• Impact on income generation of the shareholders by adopting value chain approach
• Live goat marketing: Goats were generally purchased by traders on an average of Rs.3000 per goat
having weight of 20 kg. This comes out to be Rs.150/kg weight of goat. After introducing weight
based live goat marketing, the company is paying its members Rs.185/kg. The members are now
getting Rs.35/kg more compared to traditional marketing practices
• The milk production per goat ranges from 0.5 - 1 liter per day. In the pre-project scenario, the goat
rearers’ after meeting their consumption needs were mixing goat milk with cow / buffalo milk and
was selling to local dairies, thus getting only Rs.20 to 25 per liter. With a view to ensure better price
for pure goat milk, the company has started goat milk marketing. Currently company is procuring
and supplying goat milk to some institutional buyers on a smaller scale, which fetch Rs.35 per liter.
• An employee of the company collects the milk from each village and brings it to Goat Resource Centre
where milk is being packed in plastic bottles and frosen. This bottles are then packed in thermocol
boxes and given to a bus operator who transport it to ABC Farms,Pune
• An employee of the company collects the milk from each village and brings it to Goat Resource Centre
where milk is being packed in plastic bottles and frosen. This bottles are then packed in thermocol
boxes and given to a bus operator who transport it to ABC Farms,Pune.
• To cater large number of its member base, company established sophisticated goat milk processing
plant in its core operational area with the financial help from NABKISAN finance Ltd of Rs. 77.15
lakh for this processing plant.
• Company expressed sincere thanks to NABKISAN Finance Limited for financial support.
 THANK YOU
MAHESH M. BHOYAR
Business Development Manager
mahesh@nabkisan.org
9860444195
Corporate Office Registered Office
Chief Executive Officer Chief Financial Officer,
NABKISAN FINANCE LTD NABKISAN FINANCE LTD
C/O NABARD, 5th floor, “B” Wing, Bandra Kurla Ground Floor, NABARD Building, No 48
Complex, Mahatma Gandhi Road,Nungambakkam,
Bandra (East), Mumbai – 400 051. Chennai – 600 034
(Ph.) +91 22-26539415/9643/9620 (Ph.) 044-2827 0138 Telefax: 044-42138700

Email: nabkisan@nabard.org Website: www.nabkisan.org