State Bank of Hyderabad (SBH) has entered into a memorandum of understanding (MoU) with Heritage Foods India Ltd to extend dairy loans.
“The objective of this collaboration is to help the poor by providing investment credit in agriculture,’’ Ms Renu Challu, Managing Director, SBH, told newspersons here on Friday.
A maximum of Rs 5 lakh would be given as loan with a subsidy of 1.25 lakh from the National Bank for Agriculture and Rural Development, she said.
Mr Sambasiva Rao, President, Heritage Foods, said the company would identify the eligible beneficiaries and also help SBH in reversing the loans.
“Farmers and others, who are given loans to buy and raise cattle, will also be supported by us by guaranteed buy-back of milk,’’ he said.