Central Government Scheme · Active – ongoing under SMAM · Bengaluru

Sub-Mission on Agricultural Mechanisation –
Custom Hiring Centres (CHC)

The CHC scheme under Sub-Mission on Agricultural Mechanisation (SMAM) provides 40–50% subsidy to individuals, FPOs, cooperatives, and SHGs to set up Custom Hiring Centres that make farm machinery available to small farmers at rental rates. Apply now in Bengaluru with expert guidance from Varahii Consultancy.

Subsidy Rate: 40% (general) to 50% (SC/ST/women/NE states)
Project Cost: Up to ₹25 lakh per CHC
Implementing Agency: State Agriculture Departments under SMAM
Eligible Machinery: Tractors, combined harvesters, rotavators, planters, threshers, spray equipment
Status: Active – ongoing under SMAM
City: Bengaluru
45,000 +
CHC Hubs Established
40-50 %
Subsidy on Machinery
₹25 lakh
Max Project Cost
50+
Machinery Types Covered

What is Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC)?

The CHC scheme under Sub-Mission on Agricultural Mechanisation (SMAM) provides 40–50% subsidy to individuals, FPOs, cooperatives, and SHGs to set up Custom Hiring Centres that make farm machinery available to small farmers at rental rates.

Applying for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) in Bengaluru moves fastest when your documents are ready before you submit — our consultants in Bengaluru help you avoid the back-and-forth that causes most application delays.

Objective: To mechanise farming for small and marginal farmers who cannot afford to own machinery, by supporting the creation of CHC hubs that rent out tractors, harvesters, and other equipment.

Who is this for in Bengaluru?

Individual farmers, FPOs, cooperatives, and SHGs in rural areas
Agricultural graduates or entrepreneurs setting up a machinery rental business
Farmer groups in MSME clusters seeking to mechanise operations

Eligibility Criteria – Bengaluru

To apply for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) Bengaluru, applicants must meet the following conditions:

Applicant: Individual farmers, FPOs, cooperatives, SHGs, agri-entrepreneurs
Land Requirement: Applicant or group should have farming land or proven agri-service base in the area
Machinery: Only machinery on the approved state list qualifies for subsidy
Not Eligible: Commercial equipment dealers or trading companies, Entities that already availed CHC subsidy for the same machinery in the last 5 years

Who is NOT Eligible

Commercial equipment dealers or trading companies
Entities that already availed CHC subsidy for the same machinery in the last 5 years

Benefits for Bengaluru Applicants

Eligible applicants Bengaluru can receive the following benefits under Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC):

BenefitDetails
Subsidy General 40% of machinery cost (subject to state-specific ceilings)
Subsidy Special 50% for SC/ST, women farmers, and North-Eastern states
Project Ceiling Total project cost of up to ₹25 lakh per CHC hub
Bank Loan Balance 50-60% financed through bank loan; NABARD refinancing available

Documents Required

Keep the following documents ready before applying Bengaluru. Having them prepared speeds up approval significantly.

Aadhaar card and PAN card
Land ownership records or FPO/cooperative registration certificate
Bank account details
Project proposal listing machinery to be procured
Quotations from approved machinery suppliers
Caste certificate (for SC/ST applicants)

Pro tip: Register on Udyam Portal before applying. It strengthens your application and may unlock additional MSME benefits.

How to Apply in Bengaluru

Follow these steps to apply for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) Bengaluru:

If you've struggled to get clarity on Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) eligibility in Bengaluru, our consultants can walk you through the current criteria, required documents, and realistic approval timelines based on recent applications we've handled.

1

Contact the State Agriculture Department

Visit your district or block agriculture office or apply through the DBT Agriculture portal of your state.

2

Submit CHC project proposal

Prepare a list of machinery required, projected rental rates, and coverage area. The state department appraises the proposal.

3

Bank loan sanction

Arrange bank financing for the 50-60% of project cost not covered by subsidy.

4

Procurement from approved suppliers

Purchase machinery from state-empanelled dealers only — invoices are required for subsidy release.

5

Subsidy disbursement

Subsidy credited to your bank account after verification of machinery purchase and operational readiness.

6

Register on agrimachinery.nic.in

List your CHC on the national farm machinery portal so nearby farmers can find and book your equipment.

Online Portal: You can apply directly at https://agrimachinery.nic.in. Varahii's consultants can guide you through every step.

Coverage & Limits

ParameterDetails
Machinery Types 50+ machinery types including tractors, harvesters, seeders, threshers, pumps, and drone sprayers
Hiring Radius Typically serves a 5–10 km radius cluster of villages
Digital Booking National portal and app-based booking system for farmer access

Applying for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) in Bengaluru

Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) is available to entrepreneurs and individuals across Bengaluru. Whether you are based in the urban core or surrounding areas of Bengaluru, you can approach any participating bank, NBFC, or Microfinance Institution to begin your application.

Varahii Consultancy has helped hundreds of applicants Bengaluru successfully complete their Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) applications — from document preparation to follow-up with the sanctioning authority.

Varahii in Bengaluru: Our local advisors understand the specific requirements of Bengaluru branches and can help you choose the right lender or government office for faster processing.

Industry & Entrepreneurship Landscape in Bengaluru

Bengaluru's small-business economy is shaped in large part by technology services, electronics manufacturing, and precision engineering, sectors that account for a significant share of local MSME and entrepreneurial activity. Karnataka's MSME sector benefits from a strong technology ecosystem centred around Bengaluru, with average employment per enterprise among the highest in the country.

Among individual entrepreneurs in Bengaluru, current trends show strong growth in tech-enabled services and export-oriented small manufacturing. This shift is directly relevant to Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) applicants, since lenders and sanctioning authorities increasingly favour Udyam-registered, formally documented businesses when reviewing applications.

Banking & credit access in Bengaluru: Applicants typically work with Canara Bank, Karnataka Bank, and a robust urban cooperative banking sector when applying for government-linked schemes, alongside NBFCs and microfinance institutions for smaller ticket sizes.

Why Varahii Is Among the Best Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) Consultants in Bengaluru

Choosing the right consultant for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) in Bengaluru can be the difference between a smooth approval and months of avoidable delay. Varahii Consultancy has built a reputation in Bengaluru and across India for handling government scheme and MSME loan applications end-to-end — not just advising, but actively preparing documentation, tracking application status, and following up with the relevant department or bank until a decision is reached.

Specialised, up-to-date knowledge of Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) eligibility and documentation requirements in Bengaluru
End-to-end application support — not just advice — from document prep to final follow-up
Familiarity with local banks, NBFCs, and government offices in Bengaluru
Transparent process with no hidden fees and a free initial eligibility check

Varahii in Bengaluru: If you're evaluating Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) options in Bengaluru, our consultants can give you a realistic eligibility assessment before you commit any paperwork — most consultations start with a free review of your specific situation.

Important Dates

MilestoneDate / Status
Scheme Origin 2014-15 under SMAM
Current Status Ongoing — annual state-wise target allocation
Progress Over 45,000 CHC hubs established across India as of 2026

Contact & Support

ChannelDetails
Implementing Agency State Agriculture Departments (contact your District Agriculture Officer)
Portal agrimachinery.nic.in
Helpline State agriculture department helplines vary by state

Frequently Asked Questions

Any individual farmer, FPO, cooperative, SHG, or agricultural entrepreneur can apply, subject to state-specific conditions.
40% for general category applicants and 50% for SC/ST, women farmers, and applicants from North-Eastern states.
Each state publishes an approved machinery list annually. You can choose any machinery from that list; custom or non-standard equipment is not subsidised.
Yes, FPOs and cooperatives are among the priority beneficiary categories and are encouraged to set up CHCs to serve their member farmers.
Through the national agrimachinery.nic.in portal or its app, farmers can search for nearby CHCs, check machinery availability, and book at published rental rates.

Related topics: farm machinery CHC tractor subsidy SMAM FPO custom hiring agri-mechanisation Bengaluru

Ready to Apply for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) in Bengaluru?

Varahii's verified consultants handle everything — eligibility check, document preparation, application filing, and follow-up with Bengaluru authorities. 100% free initial consultation.