Krishak Udyami Yojana MP: Loans for Farmers’ Children

Overview

Mukhya Mantri Krishak Udyami Yojana is a Madhya Pradesh state government scheme that provides financial assistance to the children of farmers (sons and daughters) to establish agriculture-based enterprises. The scheme is implemented through the Department of Agriculture and allied bodies and aims to create a new generation of agri-entrepreneurs in the state.

Objective

The scheme is designed to support children of farming families who want to start agri-based businesses but lack capital. It recognizes that agriculture-linked businesses, such as food processing, cold storage, and farm input supply, can add significant value to the rural economy while giving farmers’ families an additional income source.

Benefits

• Loans up to Rs 2 crore for setting up an agri-based enterprise
• Capital subsidy of 15% for general category applicants
• Higher subsidy of up to 20% for SC, ST, and women applicants
• No collateral required for loans up to Rs 1 crore in certain cases
• Interest subsidy to reduce the repayment burden during the initial years

Eligibility

• Applicant must be the son or daughter of a farmer in Madhya Pradesh
• Age between 18 and 45 years
• Must be a resident of Madhya Pradesh
• Minimum educational qualification as prescribed (typically Class 10 pass)
• Should not have availed of a similar benefit under another self-employment scheme
• The parent must hold agricultural land in MP

Exclusions

• Applicants whose parents are not farmers or do not hold agricultural land in MP
• Individuals already running an established business
• Those who do not meet the educational qualification requirement
• Applicants in default on any previous government loan

Application Process

1. Visit the Madhya Pradesh government’s online portal (mpedistrict.gov.in or the agriculture department portal)
2. Register and fill in the application form for Krishak Udyami Yojana
3. Upload all required documents including the parent’s land records and your educational certificate
4. Submit the application online or at the district agriculture office
5. After verification, the loan is sanctioned through the designated bank

Documents Required

• Identity proof (Aadhaar card)
• Address proof in MP
• Parent’s land ownership records (Khasra, Khatauni)
• Educational qualification certificates
• Caste certificate (for SC/ST applicants)
• Business plan or project report
• Bank account details
• Passport-size photographs