Agriculture Loan Calculator
Updated July 2026
Agricultural credit often carries interest subvention, so the effective rate can be far below commercial lending — particularly on short-term crop loans repaid on time. GST 2.0 also cut tractors and farm machinery to 5%.
Agriculture Loan
Frequently Asked Questions
What is interest subvention on crop loans?
Government schemes reduce the effective rate on short-term crop loans, with a further incentive for prompt repayment. Rates and limits are revised periodically — confirm the current position with your bank.
What is a Kisan Credit Card?
A revolving credit facility for farmers covering cultivation costs, with interest charged only on the amount drawn.
What is the GST on tractors?
5% since 22 September 2025, down from the earlier rate. Farm machinery and harvesters also moved to 5%.