CHC

Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery

6.4/10

“Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery” by the Agriculture Dep, Government of West Bengal aims to provide opportunity to rural entrepreneurs for setting up of Custom Hiring Centres.

State Cash

States / UT: West Bengal

Nodal department: Agriculture Department

Scheme for: Infra

Scheme profile

DBT (direct benefit transfer): No

Scheme open date: 2014-04-22

Categories: Agriculture,Rural & Environment

Sub-categories: Rural services, Mechanization- solar power, farming systems, Entrepreneurship development

Target beneficiaries: Individual, Self Help Groups (SHGS)

Tags: Agriculture, Farmers, Credit Linked Subsidy, Financial Assistance, Entrepreneurs, Custom Hiring Centres, Farm Machinery, Subsidy

Details

“Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery” under the Farm Mechanization Umbrella Scheme, was launched on 22nd October 2014, by the Agriculture Department, Government of West Bengal with the purpose to provide opportunity to rural entrepreneurs for setting up of Custom Hiring Centres to enable the farmers to hire different high end farm machinery from them at a reasonable rate with the objective of rural employment, enhanced productivity and risk mitigation during calamities.

Area of Operation: The scheme is applicable uniformly throughout the State, except Kolkata district.

Choice of Machinery:

List of Machinery/implements that can be selected for CHC s furnished in Annexure-V (Page No. 38). List of available models of different farm machinery registered in Matirkatha portal with their indicative price will be published by the SPMT before starting of online application of the beneficiary so that the applicant can choose at least four types of Machinery / implements and maximum 2 (Two) nos. of tractors in a particular type from that list.
The list is indicative but not exhaustive, any suitable farm machinery not included in the list may also be included in the project as per latest SMAM guideline supportive to local situation with the approval of SPMT.
For any non-listed machinery, latest SMAM guidelines will be followed for arriving at subsidy portion of that particular machinery with the approval of SPMT.

Benefits

Pattern Of Assistance:
The maximum subsidy will be limited to 40% of the Total Financial Outlay(TFO) (TFO = indicative cost of machinery including transportation + AMC for 3 years + cost of open shed + insurance for 1 year)
Minimum TFO would be ₹20,00,000/- and the maximum would be as per SMAM Guideline and SPMT recommendation. An individual entrepreneur shall avail subsidy amounting ₹16,00,000/- or 40% of the TFO whichever is less to set up CHC
The maximum amount allowed for the cost of open shed for machinery will be limited to 5% of the TFO and total ancillary cost (other than machinery) should not exceed 10% of TFO
An individual entrepreneur shall avail subsidy amounting ₹16,00,000/- or 40% of the TFO whichever is less. Note:
The applicant will have to deposit margin money of a minimum amount of 25% of TFO to the financing bank before release of subsidy by the DDA (Admn.) to the Bank and remaining amount will be bank loan
No machine/equipment will be procured by the Government. The Government will only release subsidy as back ended subsidy against procurement by the beneficiaries as per their choice under CHC with Bank Loan. The subsidy will be released through DBT mode to the concerned bank branch to subsidy reserve fund/loan account for CHC
The subsidy will only be applicable for purchase of farm machinery/equipment from the approved Farm machinery Manufacturers and Dealers as enlisted in the Departmental portal
A beneficiary or his/her spouse will not be eligible to apply afresh before completion of 4(four) years from release of the last subsidy for CHC scheme from the State under this Guidelines
The subsidy will be provided from SDS and different CSS like RKVY- Cafeteria, SMAM, NFSM( Pulse/Rice/Nutri Cereals), TRFA ( Pulse/Coarse Cereals), NMEO for implementation of CHC

Pattern Of Assistance:

The maximum subsidy will be limited to 40% of the Total Financial Outlay(TFO) (TFO = indicative cost of machinery including transportation + AMC for 3 years + cost of open shed + insurance for 1 year).
Minimum TFO would be ₹20,00,000/- and the maximum would be as per SMAM Guideline and SPMT recommendation. An individual entrepreneur shall avail subsidy amounting ₹16,00,000/- or 40% of the TFO whichever is less to set up CHC.
The maximum amount allowed for the cost of open shed for machinery will be limited to 5% of the TFO and total ancillary cost (other than machinery) should not exceed 10% of TFO.
An individual entrepreneur shall avail subsidy amounting ₹16,00,000/- or 40% of the TFO whichever is less.

Note:

The applicant will have to deposit margin money of a minimum amount of 25% of TFO to the financing bank before release of subsidy by the DDA (Admn.) to the Bank and remaining amount will be bank loan.
No machine/equipment will be procured by the Government. The Government will only release subsidy as back ended subsidy against procurement by the beneficiaries as per their choice under CHC with Bank Loan. The subsidy will be released through DBT mode to the concerned bank branch to subsidy reserve fund/loan account for CHC.
The subsidy will only be applicable for purchase of farm machinery/equipment from the approved Farm machinery Manufacturers and Dealers as enlisted in the Departmental portal.
A beneficiary or his/her spouse will not be eligible to apply afresh before completion of 4(four) years from release of the last subsidy for CHC scheme from the State under this Guidelines.
The subsidy will be provided from SDS and different CSS like RKVY- Cafeteria, SMAM, NFSM( Pulse/Rice/Nutri Cereals), TRFA ( Pulse/Coarse Cereals), NMEO for implementation of CHC.

Eligibility

Individual farmers registered under Krishak Bandhu (New) Scheme.

Or,
Groups like SKUS/PACS/FPO/FPC/FIG/SHG duly graded /LAMPS etc. approved/recognized by any Govt. Institutions/Departments are eligible to set up CHC.

The project cost/Total Financial Outlay (TFO) should be between minimum ₹20,00,000/-to maximum as per SMAM Guideline and SPMT recommendation.- The applicant should have sufficient land under his possession (own land/leased/hired) for setting up the CHC.
The land in question must belong to “commercial or bastu or viti” category.
The age of the beneficiary should be minimum 18 years at the time of application.

Exclusions

A beneficiary or his/her spouse will not be eligible to apply afresh before completion of 4(four) years from release last subsidy for any type of machinery under any Farm Mechanization scheme( FSSM, OTA-SFI, FMB/FMH & CHC) from the State under this Guidelines .
An employee/retired employee of State Government, Statutory Bodies, Government Undertakings, Panchayats, Municipal Corporations/Municipalities, Local Bodies, Government Aided Educational Institutions etc. is not eligible.

How useful is this scheme?

Public benefit analysis

A practical look at this scheme for citizens

AI-generated insights showing how useful, accessible, and practical this scheme may be — combining deterministic scoring rules with a public-policy LLM analyst.

6.4

/ 10

Public Benefit Score

Accessibility 5.0/10 Moderate

Rural usefulness 6.0/10 Moderate

Application complexity 3.0/10 Good

Financial impact 9.5/10 Good

Literacy barrier 5.0/10 Moderate

Women inclusivity 4.0/10 Moderate

Awareness 4.5/10 Moderate

Implementation reliability 7.0/10 Good

Bigger shape means a better fit for citizens

Accessibility5.0
Financial impact9.5
Rural utility6.0
Awareness4.5
Simplicity7.0
Inclusivity4.0

What problem does this scheme solve?

The scheme provides financial assistance to rural entrepreneurs for setting up Custom Hiring Centres, promoting agricultural mechanization.

Key challenges addressed

Access to modern farm machinery
Enhancing rural employment opportunities
Mitigating risks during agricultural calamities

Most beneficial for

Individual farmers
Self Help Groups (SHGs)

Likely challenges

High initial investment required
Complex application process for semi-literate applicants
Limited awareness among potential beneficiaries

Practical insights for citizens

The scheme is practical but may face challenges in reaching the most vulnerable due to digital and financial barriers.

Rural challenges

Limited access to digital resources
High initial investment for machinery

Digital challenges

Dependence on internet access for application
Need for digital literacy

Implementation bottlenecks

Potential delays in subsidy disbursement
Complexity in verifying eligibility

Awareness challenges

Low awareness among rural entrepreneurs
Limited outreach efforts

Application analysis

Application mode: Online portal
Documents burden: Minimal, mainly online submission
Verification complexity: Moderate, requires hard copy submission
Office dependency: Moderate, requires visit to Deputy Director's office
DBT dependency: High, subsidy released through DBT
CSC support: Limited
Estimated citizen effort: Moderate, requires online and offline steps

Estimated beneficiary reach

Rural / urban reach High
Gender reach Moderate
Occupation reach Agricultural entrepreneurs

Benefit analysis

Benefit type: Cash
Benefit frequency: One-time subsidy
Benefit practicality: High, as it provides significant financial support for machinery purchase.
Financial meaningfulness: 7
Long-term impact: Positive, as it promotes sustainable agricultural practices and rural employment.

Plain-language guidance

This scheme helps rural entrepreneurs get financial support to buy farm machinery. It aims to improve farming efficiency and create jobs in rural areas.

Who should apply: Individual farmers and Self Help Groups looking to start Custom Hiring Centres.
Who may struggle: Semi-literate individuals and those unfamiliar with online applications.
Best application route: Apply online through the FMS portal and submit hard copies to the local agriculture office.

This intelligence section is generated by an AI policy analyst combined with rule-based scoring. Scores and narrative are estimates derived from the publicly available scheme information shown on this page; actual experience may vary by state, district, and department. Always confirm details on the official portal before you apply.

Application Process

Online

Registration Process:

Step 01: Visit the official FMS portal and click on “New Registration”.
Step 02: Fill in all the mandatory details in “Applicant Registration” form.
Step 03: Verify all the details and click on “Sign Up”.

Application Process:

Step 01: Visit the official FMS portal and click on “Log in”.
Step 02: Enter Voter Card no, Password and select Season then click on “Log In”.
Step 03: Fill in all the mandatory details in the application form.
Step 04: After successful submission of online application, hard copies of print out of the application with acknowledgement receipt, recent passport size photograph and other prescribed documents (self-attest, if required) will have to be submitted to the office of the Deputy Director of Agriculture of the concerned District within the stipulated period.
Step 05: The applicant will get one time edit option in the specified field after submission of application through online mode but before submission of hard copy to the office of the Deputy Director of Agriculture of the concerned District. No edit option will be allowed once hard copy is submitted.
Step 06: The serial number generated in the online application to be referred in all cases.

Helpline Desk: 8336957298 (10.00 am to 6.00 pm)

Note: Online application of beneficiary farmers/entrepreneurs will have to be done in Matirkatha/ FMS portal after due advertisement in leading dailies, Departmental website.

Clarifications

Additional points from the scheme information published on myScheme (not legal advice).

What is the objective of the scheme?: "One Time Assistance to Small and Marginal Farmers for Purchase of Small Farm Implements (OTA-SFI)" by the Agriculture Department, Government of West Bengal aims to aid the farmers in procuring manually operated small farm implements necessary for agricultural operations.
Which department has launched this scheme?: Department Of Agriculture, Government of West Bengal has launched this scheme.
Who is eligible to apply under this scheme?: Individual farmers registered under Krishak Bandhu (Natun) Scheme. Or, Groups like SKUS/PACS/FPO/FPC/FIG/SHG duly graded /LAMPS etc approved/recognized by any Govt. Institution/Departments.
How to avail the benefits of the scheme?: Bonafide farmers can apply online in Matirkatha/ FMS portal after due advertisement in leading dailies, Departmental website: https://wbfms.matirkatha.net/applicants/sign_up . After successful submission of online application, hard copies of print out of the application with acknowledgement receipt, recent passport size photograph and other prescribed documents (self-attest, if required) will have to be submitted to the office of the Deputy Director of Agriculture of the concerned District within the stipulated period.
What is the mode of selection of beneficiaries?: Computerized lottery/random selection (GP wise) of valid applications will be done for preparation of priority list by the DLSC with the help of the IT Personnel engaged for software maintenance to give equal opportunity to all the applicants within the GP.
Is there any fee or charges to apply for this scheme?: No, there are no charges to apply for this scheme.
Is there any age restriction?: The age of the beneficiary should be minimum 18 years at the time of application.
Is there any priority for female applicants?: No.
Is there any income criteria for the farmers to be eligible for this scheme?: No, there is no specific income criteria for the farmers to be eligible for this scheme.
Whether an employee/retired employee of State Government/Statutory Bodies/Government Undertakings are eligible to apply?: No, an employee/retired employee of State Government/Statutory Bodies/Government Undertakings are not eligible to apply.
How will the subsidy be released to the beneficiary?: Disbursement should be done through NEFT/ RTGS/ Cheques by the Bank directly to the dealer/ supplier/manufacturers as per quotation/ estimate chosen by the entrepreneur for CHC & which is received by the Bank from the DDA(Admn.)'s office as per approval of DLSC.
What is the pattern of assistance?: The maximum subsidy will be limited to 40% of the Total Financial Outlay(TFO) which will be provided to the beneficiary.

Official links

References

Guidelines: https://matirkatha.net/rails/active_storage/blobs/redirect/eyJfcmFpbHMiOnsibWVzc2FnZSI6IkJBaHBBa1lDIiwiZXhwIjpudWxsLCJwdXIiOiJibG9iX2lkIn19--6e05a52aaf58b7fbfa749a5d71be15309a5101ea/FMS_Operational%20Guidelines_2024_25.pdf?disposition=attachment

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Frequently asked questions

What is the purpose of Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery is a government welfare initiative designed to support Infra, Individual, Self Help Groups (SHGS) through benefits related to Agriculture,Rural & Environment, financial assistance, subsidies, social welfare, healthcare, education, or livelihood support.
Who can apply for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Eligibility for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery may depend on factors such as income category, age, gender, occupation, state of residence, social category, and government-defined beneficiary criteria.
What benefits are offered under Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Benefits under Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery may include financial assistance, subsidies, scholarships, insurance support, healthcare benefits, pension support, training assistance, or welfare services depending on the scheme guidelines.
Which department manages Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery is managed by Agriculture Department and may be implemented through district offices, online portals, CSC centres, banks, or authorised government agencies.
Can users apply online for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Yes, eligible applicants may be able to apply online for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery through official government portals, authorised service centres, or digital application systems depending on the implementation process.
Is Aadhaar mandatory for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Many government schemes may require Aadhaar verification, identity proof, or linked bank account details for beneficiary validation and direct benefit transfer processing.
Where can users apply for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Applications for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery may be submitted through government departments, official scheme portals, CSC centres, district offices, welfare departments, or authorised service centres.
What documents may be required for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Applicants may need Aadhaar card, income certificate, residence proof, bank account details, caste certificate, photographs, educational records, or occupation-related documents depending on scheme eligibility requirements.
Is income certificate required for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Income certificate requirements may vary depending on beneficiary category, subsidy eligibility, and financial assistance criteria defined under Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery.
Is Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery available in all states?: No, Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery is primarily available for eligible residents of West Bengal and may be implemented through state government departments and local administrative offices.
Can residents outside West Bengal apply for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Eligibility for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery is generally limited to residents of West Bengal unless otherwise specified in the official scheme guidelines.
Can small and marginal farmers apply for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Eligible small and marginal farmers may apply for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery subject to land ownership records, income eligibility, and agricultural beneficiary criteria.
Does Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery provide subsidy support for farmers?: Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery may provide agricultural subsidies, financial assistance, crop support, irrigation benefits, insurance coverage, or farming-related welfare assistance depending on the scheme structure.
Can CSC centres help users apply for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Many government schemes may be accessible through nearby CSC centres, authorised digital service centres, or welfare facilitation offices.
How can users check the latest updates for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Users should verify official notifications, department announcements, application deadlines, and eligibility updates through authorised government portals or implementing agencies.
Are there deadlines for applying to Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Some schemes may operate through fixed application windows, annual registration cycles, or department-specific deadlines depending on scheme implementation policies.
Can beneficiaries track application status for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery?: Certain schemes may provide online application tracking, beneficiary verification systems, or status-check facilities through official portals.
Where can users get help for Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery in West Bengal?: Users in West Bengal may seek assistance through CSC centres, district welfare offices, government departments, agriculture offices, social welfare departments, or authorised facilitation centres.
Which nearby public services may help with Credit Linked Subsidy Scheme for Rural Entrepreneurs to set up Custom Hiring Centres (CHC) of Farm Machinery applications?: Depending on the scheme, users may require support from Aadhaar centres, CSC centres, banks, hospitals, post offices, or government welfare offices for document verification and application assistance.