Sericulture Loans

Farmers cultivating own land/registered leased land with irrigation facilities for cultivation of mulberry.

Margin	Up to ₹ 1.60 lakhs - Nil Above ₹ 1.60 lakhs -15-25%
Security	Up to ₹ 1.60 lakhs – Hypothecation of assets created out of bank loan + Compulsory coverage under CGFMU Above ₹ 1.60 lakhs – Hypothecation of assets plus mortgage of land + Compulsory Coverage under CGFMU
Repayment Period	Sericulture-New Plantation – 4 Years Term Sericulture-Equipments – 3 Years Term Sericulture-Rearing House – 5 Years Term Periodicity – Half yearly payment The loan for cultivation of Mulberry, rearing of silk worms, construction of rearing house, purchase of equipments, etc. is repayable in 3 to 7 years in half yearly instalments including a gestation period of 11 months. Tray system – 7 years & Shoot rearing system – 6 Yrs The loans granted for cultivation of mulberry and silkworm rearing should be recovered within a year by quarterly instalments or marketing of cocoons whichever is earlier.