1. Objective :
• To provide custom hire services
facilities to farmers.
• To improve timeliness in agricultural
operations.
• To improve production and productivity
of Indian Agriculture.
• To improve post harvest processing
facilities and profitability of farmers.
• To provide a regular source of income
to agriculture graduates.
2. Location & Area of operation :
The project may be located in rural areas
having sizable number of farmers/area under farm land where
cereals, pulses, oilseeds, spices and condiments, etc., are
cultivated. The area of operation could be all the villages
under a taluka or the villages adjacent to a bigger
Panchayat head quarters.
3. Project Components :
Tractor, trailer and implements, Power
Tiller, Pumpset with accessories, Power thresher, Winnower,
Self Propelled Reaper, Sprayers, Tools for repairing of
machines, Primary Proecessing Unit like flaking machine, dal
mill, etc., Workshop Shed.
4. Project Cost :
A.
Capital
Cost :
(i) Tractor, Mould Board Plough, Trailer,
Cultivator, Cage wheel,
Disc wheel, Seed Drill and accessories
3,55,500
(ii) Power tiller 1,00,000
(iii) Pumpset with accessories 20,000
(iv) Power thresher and winnower 16,000
(v) Self propelled reaper and Sprayers
68,500
(vi) Primary processing machine like
dalmill etc. 50,000
(vii) Tools for repairing 10,000
(viii) Insurance @ 2% of cost of
machinery) 12,400
(ix) Shed for machinery 75,000
Total 7,07,400
Say Rs 7.08 lakhs
B.
Recurring
Cost
Recurring cost may vary from Rs. 2.12
lakh (75% utilisation) to Rs. 2.62 lakh (100% utilisation)
5. Margin Money
(15%) : 1.06 lakh
6. Bank Loan : 6.02 lakh
7. Rate of Interest
: 14% p.a.
8. Repayment period
: 10 years including 1 year's
grace
9. Income
Amount in Rupees
Sr.No. Item Income @ 75% capacity Income
@ 100% capacity utilisation during I year utilisation
thereafter
1. Tractor 135,000 180,000
2. Power tiller 46,875 62,500
3. Pumpset 26,250 35,000
4. Power thresher 3,375 4,500
5. Winnower 1,688 2,250
6. Reaper 30,000 40,000
7. Sprayers 3,825 5,100
8. Repairing of machinery 54,000 72,000
9. Processing machinery 37,500 50,000
Total Income 338,513 451,350
10. Economics of the Project :
NPW 2.96 Lakhs
BCR 1.16 : 1
IRR 30%
11. Other Information :
The project may include almost all the
basic equipment necessary for crop production, right from
tillage upto transportation of the produce to farmer's house
/ market place depending on the agro climatic conditions and
demand of individual centre.
Note :
• Combination of power source and
implements may vary as per the potential.
• Margin of 15% is assumed, but the
financing bank may make changes at its discretion on case
by case basis.
• The Rate of Interest is taken at 14%.
However, the same will be as per the banks' discretion.
• Similarly, the other economic /
financial parameters such as the repayment period, DSCR,
IRR, etc., may also vary depending upon the margin,
interest rate, etc., taken into account by the bank.
