Maharashtra Plans Interest Subvention Scheme for Cattle Rearers

Maharashtra is preparing a new interest subvention scheme to support farmers engaged in animal husbandry. The proposal will allow the state to bear the interest burden on loans taken for livestock-related activities.

This initiative is expected to benefit around eight million registered cattle keepers across the state. The announcement is likely to come ahead of the district council elections scheduled next month.

Policy Objective and Scope

The scheme is part of the government’s broader plan to grant agricultural status to animal husbandry activities. This move will make livestock keepers eligible for additional benefits such as power subsidies and insurance coverage. Officials believe the measure will strengthen rural incomes and promote integrated farming practices.

Key Features of the Proposed Scheme

Currently, the central government offers an interest subvention of up to 3% on loans of up to ₹3 lakh for cattle rearers. Under the new plan, Maharashtra will cover the remaining 4% interest, making such loans effectively interest-free. Farmers who already have crop loans may also qualify for an additional ₹3 lakh loan for livestock purposes.

Financial Implications for the State

The state government expects at least half of the eight million registered cattle keepers to avail of the benefit. This could result in an annual cost of over ₹50 crore to the exchequer. Maharashtra has more than 16 million registered farmers, with 4.5 million already availing crop loans under existing interest subvention schemes.

Read More: Maharashtra Extends Ladki Bahin Yojana e-KYC Deadline.

Conclusion

The proposed interest subvention scheme is aimed at reducing borrowing costs for livestock keepers and improving rural livelihoods. By extending agricultural benefits to animal husbandry, the government seeks to integrate farming and cattle rearing under one policy framework. The initiative is expected to boost credit flow for livestock activities and strengthen farmer confidence. Its timing ahead of local elections underscores its significance in the state’s rural development agenda.

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