Lucknow: In financial encouragement to the agricultural sector, the state government on Monday decided to assist the farmer producer organization (FPO) in obtaining loans from banks in addition to the assistance paid.
Issued government orders, additional Secretary (Agriculture) Devesh Chaturvedi said that the FPO has provisions to get working capital under the center direction.
He said FOS faced the financial crisis due to lack of stock capital and the number of members who were lacking.
This results in a problem related to the purchase of raw materials and other necessary equipment.
Chaturvedi said that currently, commercial, cooperative, schedule and regional banks provide loans to FOS at a 9-11% level to carry out commercial activities.
ACS said that now the state government has decided to facilitate the FPO with a loan of up to RS 5 Lakh with an interest rate of 4%.
According to the government’s orders, the FPO will be asked to have the power of at least 150 members.
The government to help FPOs to get loans to RS 5L from the Bank
