Poultry Farm Loan

Poultry Farm Loans Offered by Banks

1) SBI Poultry Loan

Scheme: MUDRA Loan under PMMY (Allied Agri)

Interest rate: 11.25% p.a.

Coverage: 

• Animal Husbandry: Poultry layer farming, poultry broiler farming, milch animal rearing, sheep rearing, goat rearing, pig rearing, rabbit rearing for wool and work animals.

• Any other state-specific livestock.

• Fisheries: Freshwater fish/prawn culture (including cold water), brackish water shrimp/fish/crab culture, fish/shrimp/prawn/crab seed rearing, capture fisheries in fresh, brackish, and marine water.

• Any other state-specific fisheries activities.

Nature of loan: Agricultural cash credit

Loan amount: Minimum - No ceiling

Maximum - Up to ₹50 Lakh

Eligibility: Farmers, poultry farmers (individual or joint borrower), Joint Liability Groups or Self Help Groups (including tenant farmers of sheep/goats/pigs/poultry birds/rabbits), and those having owned/ rented/ leased sheds.

2) PNB Poultry Loan

Scheme: Scheme for Financing Poultry Farming

Interest rate: Depends on the applicant’s profile

Coverage: Construction of sheds, purchase of equipment, and production credit for the purchase of day-old chicks, feed, medicines, etc.

Nature of loan: Agriculture Term Loan - Short-term and Medium-term 

Loan Amount: The extent of the loan will be need-based.

Eligibility: 

• For subsidiary activity: Small farmer, landless agricultural labourer, or other person who is under-employed and intends to supplement his income, and has the required land/shed to establish poultry farms.

• For main activity: Well experienced in running a poultry unit on a commercial basis as the main vocation, and having the required land/shed to establish a poultry farm.

3) Federal Bank Poultry Loan

Scheme: Broiler Poultry Farming

Interest rate: Depends on the applicant’s profile

Coverage: Provides finance to meet working capital requirements for the procurement of day-old chicks, purchase of feed, medicine, labour cost, power cost, veterinary expenses, etc.

Nature of loan: Agricultural Medium-Term Loan

Loan Amount: 

• Minimum loan amount is ₹1,50,000, and the minimum flock size should be 500 birds per batch.

• Loan amount will vary depending on the system of rearing.

Eligibility: Individuals, sole proprietorships, partnership firms, companies, and co-operatives

4) Bank of India Poultry Loan

Scheme: Poultry Development Scheme for financing to Poultry Sector

Interest rate: Based on the unit cost fixed by DLTC/individual project cost 

Coverage:

• Establishment/expansion of layer farm, broiler farm, hatchery farm, production–cum-processing units. 

• Breeding/farming of parent birds, both layer and broiler. 

• Breeding/farming of grandparent birds, both layer & broiler.

• Pure line breeding and feed mixing plants.

Nature of loan: Term Loan and working capital loan

Loan Amount: Up to ₹2 Lakh

Eligibility: Individual, SHGs/JLGs consisting of poultry farmers, cooperative society, company, or association of persons, partnership firms, proprietorship concerns, FPOs/FPCs.

5) Canara Bank Poultry Loan

Scheme: Poultry & Duck Rearing Loans

Interest rate: Depends on the applicant’s profile

Margin: 

• Up to ₹2 Lakh - Nil 

• Above ₹2 Lakh - 15-25%

Coverage:

• Establishing/improving layer/broiler farms and hatcheries, including purchase of chicks, feeds, and medicines up to laying/marketing stage, equipment, feed mixing plants, and construction of poultry sheds.

• Working capital limits for the purchase of chicks, feed, and medicines can be considered either as a single transaction loan or as working capital limits.

• Purchase of ducks, portable enclosure, feeding equipment, transportation charges, supplementary feed, veterinary expenses, and purchase of other inputs.

• For rearing turkeys/quails.

Nature of loan: Agricultural Medium-Term Loan

Loan Amount: As per requirement

Eligibility:

• The applicant should have experience/knowledge in poultry farming/duck rearing.

• The farm should have sufficient accommodation for the birds proposed to be purchased.

• Good quality, adequate drinking water facilities should be available on the farm.

• The farm should be located in a calm area, free from disturbances, dust, noise, etc.

• Veterinary facilities and marketing facilities should be available near the farm.

• Availability of day old chick, feeds, etc., and also a facility for the replacement of ducklings.

6) Bank of Baroda Poultry Loan

Scheme: Financing Development of Dairy, Poultry, Fishery, etc.

Interest rate: 

• Up to ₹3 Lakh 

Other than Crop Loan - One-year MCLR+ SP

Above ₹3 Lakh and less than ₹25 Lakh - One year MCLR+ SP+1.25%

• ₹25 Lakh and above

3 years and above and up to 5 - One year MCLR+ SP+2.10%

Above 5 years and up to 7 years - One year MCLR+ SP+2.15%

Margin: 

• Up to ₹1 Lakh - Nil

• Over ₹1 Lakhs - 15 %

Coverage: Capital expenditure and working capital requirements of units engaged in dairy, piggery, poultry, fishery, sericulture (up to cocoon stage), agriculture and rearing of sheep, goat and camel, for construction of animal sheds, pig houses, poultry sheds, etc. for purchase of milch animal such as cows, buffaloes, breeding pig, one day old chicks, layers, equipment/machinery, transport vehicles for purchase of feed and for meeting other expenses such as labour, marketing, etc.

Nature of loan: Agriculture Term Loan - Medium-term and Long-term

Loan Amount: Depends on business requirements

Eligibility: All persons, including small and marginal farmers and agricultural labourers engaged in agriculture and allied activities.

7) Union Bank Poultry Loan

Scheme: Finance to Poultry Sector

Interest rate: Depends on the applicant’s profile

Coverage: 

• Construction of brooder/grower and layer sheds, feed store, quarters, etc.

• Purchase of poultry equipment such as cages, feeders, waterers, etc.

• Creating infrastructure items for the supply of electricity, feed, water, etc.

• Purchase of day-old chicks or ready-to-lay pullets

• Meeting working capital requirements in respect of feed for a maximum of 3 months, medicines, and veterinary aid, etc., for the first 5 to 6 months

• Any other innovative activity adopted by the unit for increasing production or better management

Nature of loan: Agriculture Long Term Loan

Loan Amount: The extent of the loan will be need-based.

Eligibility:

• Individual/joint individual/firm/company experienced in the line of poultry farming and is competent to run the business.

• The unit should be technically feasible and economically viable.

Documents Required for Loan Application

These are the documents you will need when applying for a poultry loan:

• Duly filled poultry farm application form with passport-sized photographs

• Identity, age, address, income proofs of the applicant and co-applicant

• Certificate of incorporation

• Business PAN card

• Poultry farm business permit

• The permit from Animal Care Standards

• Invoice for purchase of equipment, cages, and birds

• Plan and estimate for the construction of the building

• Copies of land records regarding land owned/leased, certified by the concerned revenue authorities

• Insurance policy

• Any additional documents required by the bank

Conclusion

India has a growing poultry sector that needs timely financial assistance for setting up, expanding, or modernising poultry farms. If you are a small farmer looking to supplement your income or an experienced entrepreneur planning a large-scale commercial unit, banks offer different poultry loan schemes for your needs.

While the purpose of these loans remains the same, the eligibility criteria, interest rates, margins, and repayment structures can vary significantly from one bank to another. Weigh your options carefully before applying.