RBI issues guidelines for relief measures to poultry industry

Mumbai, May 23 (UNI) The Reserve Bank of India (RBI) today issued guidelines to banks with respect to relief measures for the poultry industry, which suffered a hit due to the incidence of bird flu a few months back.

A release issued by the apex bank stated that the interest subvention will be calculated at four percentage points on the term loans and working capital loans outstanding as on March 31 this year.

This will, however, not include any part of the principal amount that has become overdue before notification of the first occurrence of bird flu, which was on February 18, it stated.

All categories of borrowers such as individuals, partnerships, private limited companies, public limited companies, self-help groups and co-operatives will be eligible for relief by way of interest subvention, which will cover term loans and working capital loans sanctioned for all activities relating to chicken, turkey, Japanese quail, guinea fowls, ducks, ostrich and emu.

The interest subvention will also include commercial layer farming, commercial broiler farming, breeding and farming of parent birds and grand parents, both layer and broiler, and pure line breeding.

The release further pointed out that the subvention will also be extended to loans advanced to units for farming of low input technology birds, including backyard poultry and also to poultry hatcheries.

Feed mixing units, which have been sanctioned loan as part of the composite loan for a poultry unit, poultry processing plants and poultry components of any composite loans such as homestead loans sanctioned by banks, will also be eligible for the subvention, the apex bank stated.

NABARD will be issuing a circular on similar lines for state and district co-operative banks and Rural Regional Banks (RRBs), stated the release.

UNI JJ KU VKG1937