CM Punjab High-Tech Farm Mechanization Finance Program – Complete Overview (2025 Guide)

The CM Punjab High-Tech Farm Mechanization Finance Program is a flagship agricultural initiative launched to support farmers, service providers, and agri-entrepreneurs in Punjab. The scheme provides interest-free loans of up to PKR 30 million for the purchase of modern, high-tech agricultural machinery.

This program aims to boost agricultural productivity, reduce labor dependency, improve harvesting efficiency, and minimize losses caused by delayed or manual farming operations. Through subsidized financing, the Government of Punjab encourages private sector investment in mechanized agriculture.

✅ Program Overview

Under this scheme, eligible applicants can apply for interest-free financing through the Bank of Punjab (BOP) to purchase local and imported high-tech agricultural machinery. The initiative supports timely mechanized interventions for land preparation, harvesting, threshing, and crop handling — enabling higher yields and reduced wastage.

⭐ Key Features of the Program

1. Maximum Loan Limit

• Up to PKR 30 million for eligible machinery.

2. Minimum Equity Requirement

• 20% applicant share (to be deposited after loan approval).

3. Age Limit

• Applicants must be between 21 and 65 years old.

4. Loan Type

• 100% Interest-Free Loan
• Financing provided through the Bank of Punjab.

5. Eligible Applicants

• Farmers
• Service Providers
• Entrepreneurs (with valid NTN)

6. Machinery Type

• 12 approved high-tech agricultural machines, local & imported

7. Loan Repayment Period

• 5 years

8. Repayment Term

• 20 equal quarterly installments

9. Grace Period

• 6 months

10. Processing Fee

• PKR 5,000

🎯 Eligibility Criteria

To apply for the High-Tech Mechanization Loan, applicants must:

General Requirements

• Be a resident of Punjab.
• Hold a valid CNIC and a mobile number registered in their name.
• Fall within the age limit of 21–65 years.
• Have a clean credit history (no overdue loans).
• Undergo a satisfactory credit assessment by the bank.
• Be willing to deposit 20% equity of the machine cost.
• Attend mandatory training/orientation sessions when required.
• Allow periodic on-site inspections by Agriculture Department & BOP.

For Farmers

• Must own a minimum of 5 acres of land.

For Service Providers

• Must be registered with the Agriculture Department (Field Wing).

For Entrepreneurs

• Must hold a valid NTN number.

Additional Conditions

• Only one application allowed per individual or business.
• One-time subsidy benefit during the entire project duration.
• Machinery cannot be sold or transferred for 5 years or until full repayment of financed amount.

📝 How to Apply – Step-by-Step Guide

Follow these steps to submit your online application:

1. Select Category

Choose your applicant type:

• Farmer
• Service Provider
• Entrepreneur

Register by entering:

• CNIC
• Mobile number
• Basic personal details

2. Select Machinery

Fill out the application form with:

• Personal information
• Business/agriculture details
• Desired machinery from the approved list

3. Upload Documents

Upload clear, high-quality scans of:

• CNIC
• Land ownership documents (for farmers)
• Registration certificates (for service providers)
• NTN (for entrepreneurs)
• Any other required documents

4. Submit Application

Review all details and submit your application for verification and processing.

💰 Loan Usage & Repayment Process

• The Bank of Punjab conducts due diligence and approves/rejects applications.
• After approval, the applicant must deposit 20% equity within the specified time.
• The bank pays 80% of the machine cost directly to the approved supplier.
• The beneficiary repays the financed amount in 20 quarterly installments.
• Government of Punjab bears all interest costs.

🔐 Security Requirements

• Machinery remains hypothecated to the bank until full repayment.
• Applicant must provide:
  • Personal Guarantee
  • Comprehensive insurance (theft, accident, fire, natural disasters)
  • Verified land records (Fard Malkiat / Inteqal)
  • For service providers without land: alternate collateral
• Clean profile required in:
  • Kissan Card system
  • SBP e-CIB
  • Banking history (no defaults)
• Beneficiary must sign an undertaking to:
  • Use machinery only for agriculture/service provision
  • Not sell, mortgage, or transfer machinery without approval
  • Ensure timely repayment

💳 Charges & Fees

• Application Processing Fee: PKR 5,000
• Other bank charges may apply as per bank policy.
• Late installment payments will incur late payment charges.

⚠️ Key Conditions

• Loan can be used only for 12 approved machines.
• FBR registration is mandatory before loan approval.
• Only one application allowed per applicant.
• Machinery cannot be sold/transferred for 5 years or until full repayment.
• Regular inspections and training participation are compulsory.

📌 Apply Online

👉 Apply Now: https://cmhightech.punjab.gov.pk/login