Sheep Farming Business In India: How to Get Financial Assistance

Sheep farming is particularly profitable because to its utility for wool, meat, milk, skins, and dung, and it provides rural communities with attractive economic possibilities. Finding financial aid is one of the first things to think about when starting a business. You've come to the perfect site if you want to establish a sheep farming business. To learn more, read this article.

How to get loans for sheep farming in India? 

In India, one can apply for bank loans with low-interest rates to start a sheep farming business. Various commercial banks collaborate with NABARD to give these loans.

• Farmers must apply for this at a cooperative branch, a commercial bank, a regional rural bank, or a small finance bank in their area.

• To be eligible for a NABARD subsidy, you must submit a business plan. The plan should include all pertinent information concerning the sheep farming enterprise. They might get assistance from a bank manager or technical officer in preparing the report needed to obtain a bank loan. Borrowers might use the services of NABCONS, who have extensive experience in the development of thorough project reports, for high-value projects.

• To acquire NABARD approval, submit the application form along with the business plan.

• Before the loan and subsidy are approved, a technical officer will come to the farm and ask questions.

• The amount of the loan is approved, and the funds are transferred to the borrower's account.

• It's important to remember that the loan only covers 85 percent (maximum) of the project's cost. The borrower is responsible for 15% of the cost.

Financial aspects to include in good sheep farming plan:  

• Unit Cost – The average cost of Sheep unit.

• Input cost for feed and fodder, veterinary aid, insurance, etc

• Output cost i.e. sale price of animals etc

• Income expenditure statement and annual gross surplus.

• Cash flow analysis.

• Repayment schedule i.e. repayment of principal loan amount and interest.

Documents required for loan application:

• Passport size photographs

• Address proof

• Identity proof

• Caste certificate (in case of SC/ST applicant)

• Project plan

• Land registration documents

• Bank statement of 6 months preceeding the loan application date 

Eligibility for sheep farming loan:

• The chosen breed must be suited for farming and accessible at a fair price.

• There must be adequate grazing and housing facilities for the animals.

• Drinking water of sufficient quality must be accessible.

• Veterinary aid should be accessible at all times.

• Mutton, wool, leather, and other sheep products must be in high demand, with reliable marketing facilities.

• The farmer must be a member of a cooperative sheep growing group or association, which can provide various services to its members and help the bank identify borrowers, disburse funds, supervise repayment, and collect funds.

Banks offering Sheep Farming subsidies and loans in India:

There are various banks that offer loans for sheep farming, some of them are listed below: 

• IDBI Bank

• Co-operative Banks

• Canara Bank

• Oriental bank of commerce

• State bank of India  

• Maharashtra bank

(You can also check out 10 Most Profitable Livestock Farming Business Ideas.)