- Dirghavadhi Krishak Punji Sahakar Yojana offers long-term financial support to agricultural credit cooperatives for sustainable growth.
- NCDC reviews projects based on technical feasibility, financial viability, and management skills before approving loans.
- Regular monitoring, recovery steps, and recent disbursement data provide clarity and effective use of funds.
National Cooperative Development Corporation (NCDC) has launched the Dirghavadhi Krishak Punji Sahakar Yojana to provide long-term financial assistance to agricultural credit cooperatives. The scheme aims to ensure a steady flow of capital for offering loans to farmers for various agricultural activities. With a robust monitoring and recovery mechanism, the initiative seeks to promote sustainable growth in the cooperative sector and ensure efficient utilization of funds.
Who Can Apply and Project Requirements for Dirghavadhi Krishak Punji Sahakar Yojana
To get financial help under this scheme, cooperatives must meet detailed rules set by NCDC. These include showing the technical feasibility and financial soundness of their projects. The review process looks at financial measures like Internal Rate of Return (IRR), Net Present Value (NPV), Debt Service Coverage Ratio (DSCR), Interest Coverage Ratio, Fixed Asset Coverage Ratio (FACR), and expected cash flows.
Technical and Financial Review Process
NCDC carries out a detailed check of each cooperative’s proposal. This includes looking at the cooperative’s financial health, past financial and operational results, and the skills of its management and staff. Experience with similar projects and past loan repayment records are also important. Plus, the cooperative’s ability to raise its share of the project cost and provide enough security for the loan are carefully checked.
Security and Funding Rules by NCDC
Funding under the scheme is given only against enough security as set by NCDC. The organization follows strict funding rules to make sure loans go to projects that can succeed. This approach protects the interests of both the cooperative and the funding body, supporting overall growth in the cooperative sector.
Monitoring and Progress Reporting System
NCDC keeps an active monitoring system through its Head Office, 19 Regional Offices, and 9 sub-offices. Projects are checked regularly, with field visits and inspections every three months to confirm proper use of funds. Cooperatives receiving funds must send regular progress reports, ensuring clarity and responsibility in how funds are used.
Recovery Steps and Managing Defaults
If repayments are delayed, NCDC has a special recovery department that follows a clear process. Notices are sent ahead of time based on the repayment schedule, followed by timely reminders. If defaults continue, NCDC starts legal actions under the SARFAESI Act and, if needed, files cases in the Debt Recovery Tribunal (DRT) to get back dues.
Recent Financial Disbursement Data
| Financial Year | Sanctioned (Rs. in crore) | Released (Rs. in crore) |
|---|---|---|
| 2022-23 | 400.00 | 0.00 |
| 2023-24 | 0.00 | 60.00 |
| 2024-25 | 5000.00 | 2077.00 |
| Grand Total | 5400.00 | 2137.00 |
This data shows NCDC’s dedication to supporting agricultural cooperatives with large financial resources, as shared by the Minister of Cooperation, Shri Amit Shah, in a recent Lok Sabha reply. If you want to apply or know more, visit the official NCDC website at https://www.ncdc.in/ for detailed guidelines and application steps.