T/L : The term loan portion for farm machinery shall be repayable over 5 to 7 years, after a moratorium of up to 18 months. For cold storage term loan, a repayment period of 9 to 11 years may be prescribed after a moratorium of up to 24 months.
Working Capital: The operation in Cash Credit/OGC would continue normally as running account. The production and sales cycle in case of potato seed is 12 to 18 months. The seed multiplication starts in October and it is harvested during the following March. The seed is required to be stored until the next sowing season. Thereafter, 6 months period is needed for realization of dues. Thus, in all there is a cycle of about 18 months. The CC account circulation will take 18 months instead of usual 12 months. Accordingly, the term of sanction of Cash Credit limit will be upto 18 months.
D/L : In case of Demand Loan the repayment period shall be maximum 12 months or commencement of cash generation whichever is earlier