भारत सरकार कृ षि और किसान कल्याण विभाग

GOVERNMENT OF INDIA Agricultural & Farmers Welfare Department

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Department of Agriculture & Farmers Welfare

कृ षि और किसान कल्याण विभाग
National Agriculture Infra Financing
Facility
FAQs

1. What are AIF benefits?

For loans upto ₹2 Cr, AIF provides 3 % interest subvention with a cap of 9% on ROI ,credit guarantee support by way of
payment of CGTMSE fee.

2. Is there any capital subsidy/ margin subsidy available under AIF?

There is no capital or margin subsidy available under Agri Infra Fund Scheme.

3. What is interest subvention?

In AIF, interest subvention means relief of 3% on interest rate charged by the lending institutions.

4. Who can benefit from AIF?

Agricultural Produce Market Committee / Agri-Entrepreneur / Central sponsored Public-Private Partnership Project /
Farmer/ Farmer Producers Organization/ Federation of FPOs/ Joint Liability Groups/ Local Body sponsored Public-Private
Partnership Project/ Marketing Cooperative Society/ Multipurpose Cooperative Society/ National Federations of
Cooperatives/ Primary Agricultural Credit Society/ Self Help Group/ Federations of Self Help Groups/ Start-Up/ State
Agencies/ State Federations of Cooperatives/ State sponsored Public-Private Partnership Project are eligible entities
under the Scheme.

5. Is my project eligible?

Please refer to following for a detailed list of eligible activities.

6. How can I apply to AIF?

Application process is completely online. Go to the AIF portal. Register with mobile phone number and aadhar number
to receive an OTP to generate your login credentials. Thereafter, you can apply for loan by filling an application form
available on the portal and uploading a copy of Detailed Project Report (DPR). This application will be verified by Central
PMU at Ministry and will then be automatically received by the lending institution opted by you on the portal. The
lending institute will appraise the project and decide whether to sanction the loan or reject the application based on
viability of project. After the disbursal of loan, interest subvention and credit guarantee fee will be released by GOI to
the lending institution based on the claim submitted by them. (A detailed video demonstrating the entire application
process is available on portal in English and Hindi)

7. What is a DPR and how can I make one?

DPR is Detailed Project Report. It contains necessary information about the promoter and the project. You can either
make a DPR yourself based on model DPRs given on AIF portal or you can avail the services of a Chartered Accountant/
Financial Expert who will prepare one for you. You can use any format for your DPR, provided it has all the necessary
information required-

Applicant's details
Constitution of applicant e.g individual/ firm/ company/ FPO/ SHG/ cooperative society etc.
Details of activity proposed with process flow chart, raw material, end product
Project cost breakup
Means of finance ( owner’s contribution, term loan, subsidy if any, unsecured loans)
Revenue projections for next five years
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 Plant and machinery details

8. What is the minimum owner’s contribution?

Minimum owner's contribution required is 10% of fixed project cost.

9. What is working capital? Is it eligible for loan?

Working capital is the money required to perform day to day operations of your business. Loan for working capital is
not eligible in AIF.

10. What is the loan repayment period?

7 years, including moratorium period of 6 months to a maximum of 2 years.

11. What is the minimum and maximum loan amount that can be availed through AIF?

The scheme does not have a minimum or maximum loan cap. However, an eligible beneficiary can avail benefits of AIF
on loans upto ₹ 2 crores per project.

12. What if my loan requirement is more than Rs 2cr?

AIF benefits are restricted to an amount upto ₹2 crores, however the loan amount can be higher than ₹2 Crores.

13. What is the lending rate for loans above ₹2 Cr?

Banks may decide market driven interest rate beyond the subvention scheme amount.

14. How many projects can I put up?

An applicant can put up to 25 projects in different locations (different physical boundary of a village or town having a
distinct LGD (Local Government Directory) code) and each of such projects will be eligible under the scheme for loan
up-to ₹ 2 crore. Limitation of 25 projects is not applicable to state agencies, national and state federations of
cooperatives, federations of FPOs and federation of SHGs.

15. Is interest subvention and credit guarantee available for loans more than ₹2cr?

The interest subvention is restricted up to the limit of ₹ 2 crores per project. The credit guarantee is restricted for the
loans upto ₹ 2 crores per beneficiary.

16. I am eligible in another centre/scheme. Can I still avail AIF benefits?

AIF scheme can be converged with any other central/state capital subsidy or subvention scheme, thus you can avail
benefits under both the schemes.

17. What is the collateral requirement for loan?

For loans upto ₹2 crores, Credit guarantee coverage will be available for eligible borrowers under Credit Guarantee Fund
Trust for Micro and Small Enterprises (CGTMSE) scheme, hence no collateral is required. The fee for this coverage will be
paid by the Government for a maximum period of 7 Years.

18. How do I receive the benefits?

The lending institutions submit their interest subvention and CGTMSE fee claims to the Ministry on periodic Intervals.
After receipt of the claimed amount from Ministry, the same is credited to your loan account by the banks.

19. My bank is not aware of AIF scheme. What do I do?

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 In such case please ask the bank to contact their nodal officer or call on AIF helpline number / email for Bank Officials
provided on portal.

20. I cannot find my preferred bank branch in the list.

In such case please contact on AIF helpline numbers / email provided on portal .

21. How long would it take to sanction my loan?

Provided everything goes smoothly, it should not take more than 60 days to sanction the loan.

22. What do I do if my unit has both primary and secondary processing activities?

In such cases, provide a DPR for only primary processing activities, treating it as a separate unit with separate finances
as such.

23. What does it mean when my application status says ‘pending information’?

It means that either your application or DPR lacks certain information or has wrong information. Refer to the remark
made by the PMU and then resubmit your application after making required changes.

24. How do I change beneficiary details in my application?

Beneficiary details, once submitted cannot be changed by you. If you do need to make any changes, send an email to
shubham.sharma@nabcons.in. If your request is found reasonable, changes shall be made after review.

25. What do I select in ‘project type’?

Select the nature of your activity/project from the list provided. If your proposed activity is not in the list, select the
closest activity type or select 'others' and provide the description.

26. I registered but haven't received any details/OTP.

In this case please contact on AIF helpline number/ email for applicants provided on portal and provide your registered
mobile phone number, we will find out your beneficiary id which you can use to reset your password using ‘forgot
password’ option.

27. I submitted my application. What do I do next?

After submission, next step is application verification by PMU. When your application is verified, you will receive an SMS
notifying you of the same. Thereafter, you go to your bank and complete the necessary formalities with the bank.

28. My application is verified. What do I do next?

After verification, your application goes to your selected bank automatically. You contact your bank and complete the
necessary formalities with the bank.

29. Can I change my bank/bank branch after loan sanction?

In case of change in bank, your current bank has to reject your application; afterwards you need to apply fresh for your
preferred bank. In case you want to change the branch, contact your bank and proceed as instructed.

30. Are Public Sector Undertaking (PSU) organizations eligible under AIF?

PSUs are directly not eligible under the scheme, but projects sponsored by them under PPP are eligible.

31. What are the criteria for selection of eligible borrowers?

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 Participating lending institutions will decide criteria for selection of eligible borrower as per their own policy, keeping in
mind the viability of the projects.

Beneficiary Corner

Beneficiary Benefit Under

Registration Other
Schemes

DCCBs MoU with

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Scheme Circulars
Guidelines

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