✓Minimal Documentation ✓Flexible Repayment ✓Collateral Free Loan | Apply for Business Loan Now!     Check Eligibility

One of the most profitable businesses in India is dairy farming and the nation is the largest dairy producer in the world. A significant portion of the rural population in India engages in livestock and dairy production, and the consumption is even greater countrywide. 


Individuals considering starting their business in the dairy sector can easily get a Dairy Farm Business Loan. This loan can be used for a variety of objectives, including the acquisition of dairy-related animals, shed construction, dairy goods, farm equipment, and much more. The government has established the NABARD (National Bank for Agriculture and Rural Development) scheme in order to help first-time business owners. 

Purpose of the Dairy Farm Loan

Small business loans can be essential to finance businesses in their nascent stage. A dairy farm business loan proves to be significant in the following situations:

  • Distribution of product

  • Establishment of manufacturing units

  • Setting up a new farm or expansion of an established dairy farm

  • Purchasing cattle for small dairy farm units

  • Rearing and crossbreeding of cattle

  • Producing cattle fodder and relevant farm operations

  • Constructing and maintaining shelters for farm animals (cow, buffalos, etc)

  • Buying milk chilling units, collection machinery, dispersal and distribution vans

  • Investing in cold storage facilities and marketing services

  • Purchasing chaff cutters, dairy dispensation equipment, and other transportation services

Features & Benefits of Dairy Farm Loan

On Bajaj Markets, availing a business loan for a dairy farm can be beneficial for the farmers due to the following features:

  • Fast and easy online loan processing: A dairy farm loan can be approved within minutes online with instant processing of loan requests and hassle-free disbursal of the amount to your bank account within 24 hours.

  • No collateral against loan: Unlike many financial institutions, you don’t have to provide collateral against the loan amount needed for your business on online platforms like Bajaj Markets. These business loans are unsecured, and hence, you are not required to pledge any assets to get a business loan.

  • A high loan limit: You can avail of up to Rs. 50 Lakh on Bajaj Markets. This can provide you with the funds required to give a boost to your dairy business.

  • Repayment flexibility: The tenure for the repayment of the loan is extremely flexible on Bajaj Markets. You can repay within 12 to 60 months from the approval date of the availed dairy farm loan.

  • Value addition: Financial fitness reports and personalised insurance plans for the customers based on their exclusive needs are provided.

  • Affordable business loan interest rates: Dairy farm business loans are available at attractive, easily affordable business interest rates.

Dairy Farm Loan Eligibility

A dairy farm business loan can be availed by agriculture labourers, firms, self-help groups, partnerships & cooperative societies. Dairy farmers who engage or have previously been a part of the dairy-based activities can also avail of this loan. Many entrepreneurs who work on dairy farming individually and have done so previously can apply for the dairy farming loan. Below we have provided the factors that determine the dairy loan eligibility of an applicant. 

  • To avail of a business loan for dairy farming, you should be between 26 to 70 years

  • Your business should have a 3 year vintage

  • You would need to furnish income tax returns of at least one year

  • You should be self-employed

Dairy Business Loans Fees & Charges

Dairy farm loan interest rate

Vary from bank to bank

Tenure of loan

12 to 60 months

Pre-closure charges


Processing fees

2% to 3%

How to avail NABARD Subsidy for Dairy Farming?

To obtain a NABARD subsidy for dairy farming, the applicant must complete the following steps:

  • Step 1: In order to begin, select a relevant dairy business that is qualified for a subsidy under the dairy scheme.

  • Step 2: Establish your company as a form of a corporation/NGO.

  • Step 3: Create a business plan that you can offer to a bank or lender.

  • Step 4: Apply for dairy business financing from a bank.

  • Step 5: Pay back the loan in EMIs on schedule, and the bank will waive the last few EMIs.

  • Step 6: The reduced EMIs will be calculated against the NABARD reimbursement.

How to Apply for a Dairy Farm Loan Online?

It is very simple to apply for a dairy farm loan. All you have to do is select the type of loan, fill an application form, and submit it along with the relevant documents required for the application. Once the application is reviewed and approved, the loan amount will be disbursed to your account within hours. The following documents must be kept handy by you to apply online for a dairy loan.

  • ID proof documents like PAN, Driving Licence, Voter ID, or Aadhaar Card, etc.

  • Address proof such as Ration Card, Aadhar Card, bills, etc.

  • Depending on your application, you might be required to furnish a few more documents pertaining to your business


Another way to apply for a dairy farm loan scheme is offline. You can visit the nearest bank branch that provides loans for dairy farming and hand them the relevant documents along with the application form. A bank representative will help you throughout the application process.

Help your dairy business flourish with Business Loans on Bajaj Markets. You can avail of a business loan up to Rs. 50 Lakhs catering to your financial needs in a hassle-free manner. The quick processing of the business loan is convenient, and you get added benefits in the form of financial reports to track your financial health.

FAQs on Dairy Farm Loan

What is the dairy farm loan repayment period?

The loan repayment duration may vary across financial institutions.

Is there a grace period on dairy farm loans?

Yes. A grace period between 3 to 6 months is provided by some of the financial institutions.

Which bank/lender gives dairy farm loans?

Several banking institutions provide dairy farm loans. However, to have a smooth experience like instant approval and quick disbursal, you may apply for the same through the Bajaj Markets platform.

Is there any collateral or security needed to avail a dairy farm loan?

No. You are not required to provide any collateral in order to obtain a dairy farm loan.

Can I get a MUDRA loan for dairy farming?

Yes. You can obtain a MUDRA loan in order to begin your dairy business.

Can I avail a dairy farming loan from the HDFC Bank?

Yes. The institution offers several types of agricultural loans. You can contact the officials through their customer care numbers or visit your nearest branch in-person to know more about their offered products.

What are the foreclosure charges I will have to pay on availing a dairy farm loan?

The foreclosure charges may vary across the lenders, thus, you must contact your lending institution to know the details.

Which top lenders in India offer dairy farm loans?

Here are a few top lenders:


  • SBI

  • IDBI Bank

Can I avail MUDRA Loan for dairy farming purposes?

Yes. You can secure a MUDRA Loan for your dairy purposes.

What is the security I may have to provide in order to avail a dairy farm loan?

You are not required to provide any type of collateral in order to get a dairy farm loan.

Loan Offer
Download App