Deendayal Upadhyay Sahkarita Kisan Kalyan Yojana
An interest-free loan for farm work — up to ₹3 lakh for a farmer, up to ₹5 lakh for a self-help group — routed through the cooperative societies.
Run by: Cooperative Department, Government of Uttarakhand
- Farmer loan
- Up to ₹3 lakh
- SHG loan
- Up to ₹5 lakh
- Interest
- Zero — interest-free
- Routed through
- PACS / cooperative banks
Overview
In the hills, the credit gap is not the interest rate so much as the reach: a small farmer often cannot get to a commercial bank branch at all. This scheme works through the cooperative network already present in the villages — the Primary Agricultural Cooperative Societies (PACS) and District Cooperative Banks — and lends at zero interest.
A member farmer can borrow up to ₹3 lakh for agricultural work, and a self-help group up to ₹5 lakh, interest-free. The scheme is aimed at small, marginal and BPL households, and its stated purpose is as much about stemming migration out of the hills as about the crop — keep farming viable and the family stays. Because it runs on cooperative membership, being a member of your PACS is the first step, not the loan application.
What you get
The benefit as the state notifies it — nothing here is an estimate.
- Interest-free loan of up to ₹3 lakh for a farmer for agricultural work.
- Up to ₹5 lakh, also interest-free, for a self-help group.
- Delivered through the village cooperative society, not a distant commercial bank branch.
- Aimed squarely at small, marginal and BPL households — the ones least served by ordinary bank credit.
Who is eligible
State schemes usually state their criteria as prose rather than a checklist. This is that prose, unpacked — the department’s verification is what decides.
You qualify if
- Resident of Uttarakhand
- Small, marginal or BPL farmer, or a self-help group
- Member of a Primary Agricultural Cooperative Society (PACS)
- Loan sought for agricultural or allied work
Not covered
- Non-members of the cooperative society
- Borrowing for purposes outside agriculture and allied work
Documents you need
Have these ready before you start — most rejections are a missing paper, not a missing right.
- Cooperative society membership
- Aadhaar card
- Land record
- Bank passbook (PACS / DCB account)
- BPL / category proof where the rate depends on it
How to apply
Fewer steps than a central scheme, and usually one office rather than a portal.
- 1
Become a member of your PACS
The scheme runs on cooperative membership. If you are not already a member of your Primary Agricultural Cooperative Society, that is where to start.
- 2
Apply at the society or DCB branch
The application goes in at the cooperative society or District Cooperative Bank branch — the same place you bank.
- 3
Block-committee selection and disbursal
A block-level committee selects beneficiaries. The loan is then disbursed through your PACS or DCB.
Frequently asked questions
Is the loan really interest-free?
Yes, per the Cooperative Department’s scheme page — it is described as an interest-free loan for eligible cooperative members. Confirm the current terms at your society, as older notices mention a low-interest variant.
Do I have to be a cooperative member?
Yes. The scheme is delivered through Primary Agricultural Cooperative Societies, so membership is the prerequisite — join your PACS first.
Can a self-help group borrow more?
Yes. An SHG can borrow up to ₹5 lakh, against up to ₹3 lakh for an individual farmer.
Facts checked against cooperative.uk.gov.in on 24 July 2026. editorial policy.