Punjab has launched Crop Residue Management (CRM) Loan Scheme 2025 to fight stubble burning and support farmers on 11 September 2025. This scheme is being run through cooperative banks across the state under the guidance of Financial Commissioner Cooperation and Registrar of Cooperative Societies.
Crop Residue Management Loan (CRM) Scheme in Punjab
The main aim of the CRM loan scheme is to stop stubble burning, which is a big reason for air pollution in North India, and to promote green farming methods. By making crop residue useful in bio-energy plants for power, compressed biogas, and ethanol, the scheme also opens new ways of earning for farmers. This scheme is launched to give farmers and cooperatives easy access to modern machines. These machines will help manage paddy straw in fields or collect it for other uses. This scheme is also linked with the Central Government’s Sub-Mission on Agricultural Mechanization (SMAM), making sure farmers get extra help from national funds.
Main aim of the scheme
- Cut pollution caused by burning paddy straw.
- Help farmers buy new machines for in-field and out-of-field crop residue work.
- Build local supply chains for industries using agri-residue.
- Provide affordable credit to farmers and cooperatives through cooperative banks.
Subsidy and Loan Details
Under the Punjab Crop Residue Management Loan Scheme, Primary Agricultural Cooperative Societies (PACS) and Multi-Purpose Cooperative Societies (MPCS) can get up to 80% subsidy on eligible machines, with a maximum limit of ₹24 lakh, while keeping 10% margin money.
For individual farmers, the subsidy is set at 50% on machines, with 25% margin money required. The loan can be repaid within 5 years through 10 half-yearly installments, due on June 30 and January 31 each year. Along with this, extra working capital support is also available from NABARD and the Agriculture Infrastructure Fund (AIF).
Machines Covered under Crop Residue Management Scheme
This scheme includes machines that help in chopping, mixing, and collecting paddy straw:
- Super seeders and happy seeders.
- Balers, cutters, tedders, rakers, loaders, grabbers, telehandlers.
- High power tractors of 60 HP and above (eligible for 80% subsidy under revised guidelines).
The complete list of approved machines with manufacturer name, rate & manufacturing date can be checked in the below PDF.
The latest list can also be accessed at the official portal at this link.
Eligibility
- Individual farmers, PACS, MPCS, FPOs, and panchayats in Punjab.
- Must not have defaulted on government loans.
- Priority to farmers in paddy-wheat areas where stubble burning is common.
- Groups/cooperatives should form Custom Hiring Centers (CHCs) to rent machines to small farmers.
Application Process for CRM Loan / Subsidy Scheme
Offline Process
Farmers and societies can apply through cooperative banks or PACS in their area. For larger projects, state-level approval is needed.
STEP 1: Visit your nearest PACS or cooperative bank with land papers, Kisan Card, and identity proof.
STEP 2: Fill the loan application form and submit documents. For big projects, attach a proposal.
STEP 3: Cooperative bank will process and forward the case.
STEP 4: Physical checking of machinery will be done before full subsidy/loan release.
STEP 5: Repay loan in installments as per schedule.
Online Process
Online applications can be filled through the official website of Punjab Agriculture Schemes Subsidy Portal at agrimachinerypb.com.
The detailed guidelines of the scheme are available at the Agri Machinery Portal at this link: https://agrimachinerypb.com/home/CRMSchemeDishaNirdesh
National Link and Punjab Targets
This scheme matches the national Operational Guidelines for Crop Residue Management 2025. It focuses on ex-situ use, where industries directly tie up with farmers for straw supply.
Some highlights of National guidelines:
- 65% support (Centre + State), 25% from industries, 10% from farmers.
- Target to collect 1.5 million MT surplus paddy straw in Punjab and nearby states in three years.
- 333 biomass depots to be built, each with 4,500 MT storage.
- Expected employment: 9 lakh man-days.
- Punjab aim: manage 100% of nearly 20 million MT of paddy straw in 2025.
Also read: Punjab Online Sand Booking Portal
Quick Highlights
| Point | Details |
|---|---|
| Scheme Name | Crop Residue Management Loan Scheme |
| Scheme Start Date | 11 September 2025 |
| Who Can Apply | Farmers, PACS, MPCS, FPOs, Panchayats |
| Subsidy | 80% for PACS/MPCS, 50% for individuals |
| Loan Tenure | 5 years (10 installments) |
| Machines Covered | Seeders, balers, cutters, loaders, tractors etc. |
| Application Mode | Through PACS/Cooperative Banks, Online via agrimachinerypb.com |
| National Target | 1.5 million MT straw collection, 333 depots |
Helpline and Contact Details
Email: agrimachinerypb.help@gmail.com
Contact Details of All Co-Operative Banks in Punjab are available at https://cooperatives.gov.in/en/home/dccb-list-reports/state/3
FAQ
What is Punjab Crop Residue Management Loan Scheme 2025?
It is a government scheme to give loans and subsidies on machines that help farmers manage paddy straw without burning.
How much subsidy can a farmer get?
Individual farmers can get 50% subsidy, while cooperatives can get 80% subsidy up to ₹24 lakh.
Can I apply online?
Yes, online applications can be done through agrimachinerypb.com.
Who will give loans under the scheme?
Loans will be processed by cooperative banks and PACS across Punjab.
Which machines are covered?
Super seeders, happy seeders, balers, cutters, tedders, loaders, and 60+ HP tractors.
What is the repayment period?
Loan repayment is set for 5 years in 10 half-yearly installments.
Who is eligible?
All farmers, PACS, MPCS, FPOs, and panchayats of Punjab. Defaulters of government loans cannot apply.
What are Custom Hiring Centers (CHCs)?
These are cooperative groups that rent machines to small farmers at affordable rates.
What is the national link of this scheme?
It matches the revised national CRM guidelines 2025, which push both in-situ and ex-situ straw use.
What is Punjab’s target for 2025?
To manage 100% of its nearly 20 million MT paddy residue without burning.