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Overdraft Scheme for Working Capital Assistance to the Food Agro Processing Unit

Benefits
Features
Eligibility Criteria
Document Required
Fees & Charges
Most Important Terms & Conditions (MITC)

Overdraft Scheme for Working Capital Assistance to the Food Agro Processing Unit : Benefits

New and existing Food and Agro based processing units can avail this facility
Individual, Proprietorship, Partnership concerns, Private, Public Limited companies and Limited Liability Partnership Concerns are eligible.
Overdraft facility against Land & Building
Unified Processing upfront & Documentation fee: Rs. 175/- per lac. ( i.e 50% concession in Processing Charges & Documentation Charges)
Collection Charges on collection of cheques: 100% waiver of the Collection charges on collection of cheques issued in favour of the Borrower by Food Corporation of India, Cotton Corporation of India.
Maximum Loan Limit that can be availed under this scheme is Rs 400 Lakhs.
Margin: 40% of the realizable value of property mortgaged
Repo Rate and Credit Rating linked ROI

Overdraft Scheme for Working Capital Assistance to the Food Agro Processing Unit : Features

Working capital requirements.

Overdraft Scheme for Working Capital Assistance to the Food Agro Processing Unit : Eligibility Criteria

All Advances to new/existing (including take over from other banks) Food and Agro based processing units under "Agriculture".
Individual, Proprietorship, Partnership concerns, private Limited Companies, Public Limited companies and Limited Liability Partnership Concerns.
lf trading activities are also undertaken by the unit, the ratio of trading sales in total sales should not be more than 49% in a financial year. (Working Capital Limit should be under Sole Banking Arrangement.)

Overdraft Scheme for Working Capital Assistance to the Food Agro Processing Unit : Document Required

KYC Documents (AADHAR, Voter ID, PAN Card, Driving License etc.)
Passport Size photo
Quotation/Invoice
Land Records
Project Report
IT Return
Other Documents as per Bank’s requirement

Overdraft Scheme for Working Capital Assistance to the Food Agro Processing Unit : Fees & Charges

Unified Processing upfront & Documentation fee: Rs. 175/- per lac. ( i.e 50% concession in Processing Charges & Documentation Charges)

Collection Charges on collection of cheques: 100% waiver of the Collection charges on collection of cheques issued in favour of the Borrower by Food corporation of India, Cotton Corporation of India.

Overdraft Scheme for Working Capital Assistance to the Food Agro Processing Unit : Most Important Terms & Conditions (MITC)

Nature of facility

Overdraft (Against Land & Building). However, sanctioning authority may allow Non-Fund based Working Capital facilities viz, Letter of Credit and Bank Guarantee by earmarking the overdraft limit.

Limit

Minimum Limit: Rs.10.00 Lacs

Maximum Limit :

Rural	Rs. 100.00 Lacs
Semi Urban	Rs. 300.00 Lacs
Urban & Metro	Rs. 400.00 Lacs

Margin

40% of the realizable value of property mortgaged. Two valuation for cases where the valuation is more than Rs. 200.00 lacs are to be obtained and the lower valuation to be considered.

Period

Period 12 months

Security

Mortgage of factory land and building and/or any other property (Land & Building) belonging to unit or promoters of the unit or close relatives of the promoters, viz. father, mother, Spouse, son, son's wife, daughter, daughters husband, brother, brother's wife, sister, sister's husband only, provided they stand as guarantors.
Hypothecation of Stock and Book Debts (Collateral Security).
Personal guarantee of promoter directors/owners of property.
Third party guarantee at discretion of sanctioning authority.

Rate of Interest

Rate of interest on Advances to the units engaged in (i) Oil Mill/ Solvent Extraction (ii)Rice/ Dal/Flour Mill (iii) Seed processing/Agro Processing; and iv) Food Processing (v) Cotton Ginning and Pressing Mills and Cotton Seed Oil Extraction Activities (vi) Other activities permissible by the ministry of Food Processing Industries and as per RBI circular/ Guidelines.	Internal Credit rating	Rate of Interest (Linked with BRLLR)
	CR-1	BRLLR+SP+0.65%
	CR-2 & CR-3	BRLLR+SP+0.70%
	CR-4 & CR-5	BRLLR+SP+0.90%
	CR-6 & Below	BRLLR+SP+1.15%