Kolhapur: Minister for Medical Education Hasan Mushrif on Friday urged sugarcane farmers who availed crop loans between July 2024 and June 2025 to clear their pending dues before June 30, 2026, to become eligible for the proposed loan waiver scheme and an incentive of Rs 50,000 aimed at encouraging timely repayment.
Key Details of the Loan Waiver Scheme
The state government has introduced the Punyashlok Ahilyadevi Holkar Shetkari Karjmafi Scheme 2026. Under this scheme, crop loans of up to Rs 2 lakh that were outstanding as of June 30, 2025, will be waived. Additionally, farmers who maintained regular loan repayments between 2022 and 2025 will be eligible for an incentive of Rs 50,000.
Eligibility Criteria for Sugarcane Farmers
Mushrif explained that in the case of sugarcane, loans are typically disbursed one year and are due for repayment by June 30 of the following year. “This system ensured that farmers received payments from sugar mills and could repay their loans to banks,” he said. To ensure clarity and eligibility, farmers must clear their outstanding dues for the 2024-25 period before June 30 this year to regularise their accounts and claim the incentive. Payment of the current year’s loan is also mandatory to qualify for the waiver of up to Rs 2 lakh.
KDCC Bank’s Recovery Performance
Mushrif, who also serves as chairman of the Kolhapur District Central Cooperative (KDCC) Bank, highlighted that the bank maintains one of the highest recovery rates among district central cooperative banks in the state, with recovery ranging between 91% and 99% of crop loans.
Farmers are advised to ensure timely repayment to avail the benefits of the scheme and the incentive.
