SBI to provide collateral-free loans for purchase of IoTechWorld’s agri-drones

Drone manufacturer IoTechWorld Avigation today said it has signed an agreement with the State Bank of India (SBI) under which the state-owned lender will provide concessional loans to farmers for purchasing the company’s agri drones under a central government scheme.

SBI will offer collateral-free loans to customers of IoTechWorld Avigation at competitive rates and also provide an interest subvention of 3 per cent on the loans as mandated under the Agriculture Infra Fund (AIF), said Mr. Deepak Bhardwaj Co-Founder of the Gurugram-based drone manufacturing company.

 An agreement was signed on February 1, 2023 between IoTechWorld Avigation Pvt. Ltd. (Mr. Deepak Bhardwaj, Director & Co-Founder) and State Bank of India (Mr. Yogendra Shelkey, DGM IC & GL, ABU & GSS Dept.).

Mr. Bhardwaj said, “Agri-drones are going to be a game changer for the Indian agriculture sector. The loan facility being extended by the SBI will be very helpful for farmers who were not able to purchase drones because of a lack of institutional financing facilities”.

 IoTechWorld Avigation’s Agribot Drone got the India’s first DGCA “Type Certification”. The certification was given to IoTechWorld Avigation in June 2022 by the Union Civil Aviation Minister Jyotiraditya Scindia.

Commenting upon the tie-up Co-Founder Mr. Anoop Upadhyay said: “Drones help in optimal use of farm inputs like fertilizers and pesticides, and thus reduce the cost of farming. The use of agri-drones not only helps in increasing farm output but also saves a lot of time. Agri drones are going to be a real game-changer for Indian agriculture. 

Mr. Upadhyay further said that the Agriculture Infra Fund (AIF) is a financing facility for creating post-harvest management infrastructure and community farm assets.

 Under the AIF scheme which was launched in the year 2020, Rs 1 lakh crore is to be disbursed by the financial year 2025-26 and the interest subvention and credit guarantee assistance will be given till the year 2032-33. 

So far, about Rs 15,000 crore has been sanctioned under AIF.

Farmers, Agri-entrepreneurs, Start-ups, FPOs, PACS, Marketing Cooperative Societies, SHGs, Joint Liability Groups (JLG), Multipurpose Cooperative Societies, and Central/State agency or Local Body sponsored Public-Private Partnership Projects can avail upto Rs. 2 crore loans for creation of post-harvest management and technological advancement in the agriculture sector. These includes financing for Drones, AI, Robotics and supply chain services like e-marketing platforms, warehouses, Silos, Pack houses, Assaying units, Sorting & grading units, Cold chains, Logistics facilities, Primary processing centres, and Ripening Chambers  among others.