IndiaBanks.org · independent research

Personal, home, vehicle & other loans

Canara Farm Machinery Loan

Agricultural term finance for approved tractors, power tillers, trailers, combine harvesters and farm implements, with landholding tests and repayment up to nine years.

Interest rateThe current agricultural rate table applies: 1.40% over MCLR up to ₹3 lakh and 2.30% over MCLR above ₹3 lakh up to ₹1 crore, subject to applicable liquidity premium and risk rules.Maximum amountNo universal rupee ceiling is published; quantum follows approved machinery cost and margin. Second-hand tractor margin is 40%.TenureRepayable within 5 to 9 years by half-yearly or yearly instalments based on income generation.
Official product page ↗Compare category

Quick eligibility check

Canara Farm Machinery Loan

0 of 8 answered

Answer what you know. This guide compares your answers with the criteria published for this product; it is not an approval decision. Your answers stay on this device.

1Does your annual income meet this requirement: No rupee income minimum is published?

Published source: Minimum income

2Do you meet this requirement: landholding, cropping pattern, machinery use and repayment capacity are assessed?

Published source: Minimum income

3Do you meet this requirement: Up to 35 tractors generally require 6 irrigated or 12 dry acres?

4Do you meet this requirement: above 35 requires 8 irrigated or 16 dry acres?

5Do you meet this requirement: Power tillers/trailers require 3 irrigated or 6 dry acres?

6Can you provide the required document: Application, and land records?

7Can you provide the required document: Dealer quotation and approved-model details?

8Can you provide the required document: Acreage, cropping pattern and income evidence?

0 of 8 answeredAnswer the remaining questions to see your checklist result.
✓ Manually checked 30 Aug 2026 · active
Offered byCanara Bank

India; eligible agricultural and custom-hiring borrowers

Key facts

What the official sources publish

Every value belongs to this exact product. Expand any fact to inspect its official evidence in place.

Loan typeAgricultural term loan for approved tractors, power tillers, trailers, combine harvesters and farm implements.View source
The official page lists tractors, tillers, trailers, harvesters and other implements.
Source
Farm Machinery Loans
Page / section
Eligible machinery
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
Interest rateThe current agricultural rate table applies: 1.40% over MCLR up to ₹3 lakh and 2.30% over MCLR above ₹3 lakh up to ₹1 crore, subject to applicable liquidity premium and risk rules.View source
The current agriculture table gives the generic short-term/term-loan spreads used for machinery finance.
Source
Rate of Interest for Agriculture & Allied Activities
Page / section
Agriculture loans up to ₹3 lakh; above ₹3 lakh
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
BenchmarkMarginal Cost of Funds based Lending Rate (MCLR), with liquidity premium for longer tenors where applicable.View source
The rate expresses agriculture term-loan spreads over and lists tenor-based liquidity premiums.
Source
Rate of Interest for Agriculture & Allied Activities
Page / section
Agriculture loans; Liquidity premium
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
APRNot published as a separate APR.View source
No is displayed.
Source
Farm Machinery Loans
Page / section
Complete page
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
Minimum incomeNo rupee income minimum is published; landholding, cropping pattern, machinery use and repayment capacity are assessed.View source
The page uses acreage and expected machine utilisation rather than a salary threshold.
Source
Farm Machinery Loans
Page / section
Landholding eligibility
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
Maximum amountNo universal rupee ceiling is published; quantum follows approved machinery cost and margin. Second-hand tractor margin is 40%.View source
The page specifies margin bands, not a single maximum loan amount.
Source
Farm Machinery Loans
Page / section
Quantum and Margin
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
TenureRepayable within 5 to 9 years by half-yearly or yearly instalments based on income generation.View source
The repayment row states five to nine years and half-yearly/yearly instalments.
Source
Farm Machinery Loans
Page / section
Repayment Period
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
Processing feeNot published on the reviewed Farm Machinery page.View source
No processing charge appears.
Source
Farm Machinery Loans
Page / section
Complete page
Accessed
30 Aug 2026
Confidence
high
Open official source ↗
Prepayment / foreclosureNot published on the reviewed Farm Machinery page.View source
No early-closure charge appears.
Source
Farm Machinery Loans
Page / section
Complete page
Accessed
30 Aug 2026
Confidence
high
Open official source ↗

Benefits and features

  • Tractors up to or above 35 HP with acreage-based eligibility
  • Power tillers, trailers, harvesters, threshers, sprayers and implements
  • Nil margin up to ₹2 lakh
  • 15%–25% margin above ₹2 lakh; 40% for second-hand tractors
  • Hypothecation and land/tangible collateral above ₹2 lakh
  • Repayment within 5–9 years

Eligibility

  • Up to 35 HP tractors generally require 6 irrigated or 12 dry acres; above 35 HP requires 8 irrigated or 16 dry acres. Power tillers/trailers require 3 irrigated or 6 dry acres. Only approved machinery is financed.

Passing a listed condition does not mean the bank will approve an application.

Documents the bank lists

  • Application, and land records
  • Dealer quotation and approved-model details
  • Acreage, cropping pattern and income evidence
  • Valuation and mortgage/collateral documents where required

Related official documents

Rate of Interest for Agriculture & Allied Activities (updated 18.08.2026)official-rate-table · current · accessed 30 Aug 2026
↗
Farm Machinery Loansofficial-product-page · current · accessed 30 Aug 2026
↗

Plan before applying

Try the numbers

Private, instant and based on the values you enter.

Try your numbers

Loan repayment estimate

See what the loan could cost each month. Move any slider to try a different amount, rate or repayment time.

One monthly payment₹21,696twenty-one thousand six hundred ninety-six rupees
Interest paid over the full loan₹27,06,939twenty-seven lakh six thousand nine hundred thirty-nine rupees
Everything you repay₹52,06,939fifty-two lakh six thousand nine hundred thirty-nine rupees

This is only an estimate, not a bank or insurer offer. The final amount can change because of taxes, fees, rate changes and provider rules.

Use the published table

Find the exact published value

Choose a table, then pick its row and column. This shows the exact entry published by the bank or insurer without making you scan every cell.

Kisan Credit Card · Eligibility / purposeOwner/tenant cultivators, sharecroppers, and

This value is copied from Canara , farm machinery and dairy loan terms. Check the table notes before relying on it.

Source: Canara agriculture product pages and rate · Eligibility; Quantum; Margin; Interest; Security; Repayment Open official source ↗

Published tables

Complete rates, limits and schedules

Tables preserve every reviewed row and column from the cited official source.

Table 1 · 3 rows · 4 columnsCanara KCC, farm machinery and dairy loan termsPublished eligibility, rates, limits and repayment details from official Canara pages and the 18 August 2026 rate PDF.View tableHide table

Scroll sideways to view every column

Canara KCC, farm machinery and dairy loan terms
ProductEligibility / purposeAmount / rateRepayment / security
Kisan Credit CardOwner/tenant cultivators, sharecroppers, and 7% up to ₹3 lakh subvention; + 1.40% non-subvention; above ₹3 lakh + 2.30%Five-year WC validity with annual review; term loan max 5 years; security varies by limit
Farm MachineryApproved tractors, tillers, harvesters and implements; acreage testsNo universal ceiling; nil margin up to ₹2 lakh, 15%–25% above; agriculture spreads5–9 years; hypothecation, land mortgage or tangible collateral above ₹2 lakh
Dairy LoanCattle, sheds, fodder, equipment, processing and heifersNo universal ceiling; nil margin up to ₹2 lakh, 15%–25% above; agriculture spreadsAnimals 5–7 years; heifers 5–6 years incl. 30-month grace; project moratorium up to 18 months
Canara agriculture product pages and rate · Eligibility; Quantum; Margin; Interest; Security; Repayment · accessed 30 Aug 2026Open official source ↗

More from Canara Bank

Related products

Canara Agricultural DRI Loan

Differential Rate of Interest agricultural loan for very low-income borrowers, up to ₹15,000 for agriculture or ₹20,000 for housing at a simple 4% rate.

View product

Canara Apna Ghar

A home-loan scheme for eligible metro and urban borrowers with little or no documented income but at least 24 months of verifiable bank or activity.

View product

Canara Bee Keeping (Apiculture) Loan

Finance for bee boxes, hives, extractors, smokers, colonies, combs, sugar and other apiculture inputs.

View product

Canara Budget

Salaried personal loan for non-speculative domestic needs, with Prime and Delight variants, income-multiple limits up to ₹50 lakh and tenure up to 84 months.

View product