Had a good harvest but not getting fair price? Do this to earn more money!

While, getting a good harvest is critical for any farmer, it is only a part of the entire process. Getting a fair price for your yield is also necessary. The Reserve Bank of India (RBI) recommends farmers not to sell their produce at low prices. Read the space to know what exactly it suggests.

If you think you are not getting a fair price for your produce, you can opt for storing your produce in warehouse against a warehouse receipt. You can take the warehouse receipts to the banks and get a loan for your immediate needs against the warehouse receipt. The banks will readily give you cash for meeting your urgent requirements. In the meantime, you can look for a buyer who can give you the right price for your produce.

As per the information available on the RBI website, this will be applicable for a further period of six months post harvest and at a rate of 7 per cent against negotiable warehouse receipts for keeping the produce in warehouses. If you are a small or marginal farmer, you can further avail the benefits of interest subvention scheme if you possess Kisan Credit Card (KCC).

The KCC scheme was launched by the government for Indian farmers to provide them credit at lower interest rates. Under the KCC Scheme interest rate is lower. While loans under KCC are meant to be used to meet requirements related to crops, some part of it can also be used to meet domestic expenses. The Reserve Bank of India (RBI) on its website has put information with regards to this under its Financial Education (for Farmers) section.

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The Government of India provides interest subvention of 2 per cent to Public Sector Banks, Regional Rural Banks (RRBs) and Cooperative Banks in respect of short term production credit up to Rs 3 lakh provided to farmers out of their own resources, provided that they make available short term credit at 7 per cent per annum.