Agri Finance


Why agriculture finance

Over 56% of India's population is engaged in agriculture and allied activities. Farmers contribute to food security and attaining food self-sufficiency. To maintain and increase productivity levels and diversify their sources of income, farmers need more capital. Small and marginal farmers with meagre savings require an even higher input of capital. Access to credit can empower farmers and enable them to invest agricultural capital in order to increase farm income and household well-being.

Recognising the role that it could play in providing access to credit, SAFAL’s Agriculture Finance Program was initiated in the year 2020. The program is aimed at providing loan support to Farmer Producer Collectives (FPC) of small and marginal farmers across various states of India. This is achieved by supporting community-based organisations in creating alternative livelihoods or income sources to improve the economic conditions of households.

The program nurtures the FPCs by providing them need-based working capital and capacity building support. The ultimate aim is to help them become sustainable and establish linkages with formal financial institutions in the subsequent years.


    Micro Loan

  • Loan Microfinance has been a strong foundational pillar for socio-economic empowerment for women and society in our country especially in rural and semi-urban areas. SAFAL offers microfinance loans through institutional partnerships in wholesale and retail segments. Our products and services are customized and focused on income generating livelihoods.

    • Terms Loans

  • Microfinance has been a strong foundational pillar for socio-economic empowerment for women and society in our country especially in rural and semi-urban areas. SAFAL offers microfinance loans through institutional partnerships in wholesale and retail segments. Our products and services are customized and focused on income generating livelihoods.

    • Short Agri Term Loans

  • Bridge loans provided to large companies with 4-5 crore turnover for filling up the Working Capital gap. Short agri term loans are provided to agriculture enterprises for a period not exceeding 12 months.

    • Long Term Loans

  • Long term loans are provided for an approximate period of five years and can be used for purchasing equipment, infrastructure projects, for agriculture and allied activities and also for meeting working capital requirements. This long-term agricultural loan serves well for the expansion of the agri enterprises.

    • Working Capital Loan

  • We offer loans for aiding MSMEs and impact enterprises with their working capital requirement. We provide services like receivable financing, demand Loan, Invoice discounting, dupplier finance etc.

    • Agriculture Loan

  • SAFAL has myriad financial products related to agriculture. For example, one can avail loans from the SAFAL to establish biogas units, develop wastelands, set-up minor irrigation apparatus, et cetera. In addition to this, people who are interested in pursuing the field of apiculture (beekeeping) can approach SAFAL for financial support. The bank also offers warehouse receipt financing, along with insurance coverage and financial support to farmers in the event of crop failure, owing to natural disasters, diseases, and pests. This scheme is known as Pradhan Mantri Fasal Bima Yojana. All of this is in addition to the regular financial services offered to farmers like Kisan Credit Card, debt swapping, et cetera.

Our innovative methodology

  • SAFAL currently works with 40 FPOs and claims to have supported over 12K farmers across 30 Districts. Its clients include agri enterprises, food processors,Dhanuka,ITC, BigBasket, Cargil,ADM,Patanjali,BigBasket,Parle and Britania among others already on board.
  • We work for making markets work for smallholder farmers by enabling access and delivery of finance, technology and market linkages. Our focus is commercial transformation of Farmer Producer Organisations and farms into profitable enterprises.
  • SAFAL have built efficient supply chains for all farm produce, leveraging technology to reduce wastage and inefficiencies, while linking producers and bulk buyers in a seamless, transparent, and value-driven relationship. This has a strong correlation with FPO’s work on the supply side and agri enterprises on the demand side across 40 Districts in M.P & UP in India. We look forward to bringing the benefits of our joint synergies to FPOs and agri enterprises across the nation.”
  • SAFAL is a logistics and supply chain company building inclusive and sustainable agri value chains. SAFAL sources farm produce directly from farmers and farmer producer organisations (FPOs) and customises the supply model for each buyer to ensure the utmost efficiency of the supply chain. The company has assisted farmers in implementing best practices in producing, harvesting, packaging and transporting produce, ensuring that the value they get for their produce is significantly higher than what traditional supply chains offer.
  • The agri sector in India is poised at an inflexion point with enormous potential for the emergence and growth of inclusive value chains, owing to the push for self-sufficiency. SAFAL is confident that combined efforts will result in a bigger bouquet of services reaching a larger number of FPOs and agri enterprises and t we will create new milestones of growth in serving the needs of the agri community.