Central Government Scheme · Active – ongoing under SMAM · Hyderabad

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 Hyderabad 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: Hyderabad
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.

Many applicants in Hyderabad lose weeks to incomplete paperwork or missed eligibility steps. Our team in Hyderabad reviews your case first, so you only submit once everything is in order.

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 Hyderabad?

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 – Hyderabad

To apply for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) Hyderabad, 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 Hyderabad Applicants

Eligible applicants Hyderabad 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 Hyderabad. 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 Hyderabad

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

Our in Hyderabad team has helped applicants navigate Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) from initial documentation through to disbursal, resolving the common procedural delays that catch most first-time applicants off guard.

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 Hyderabad

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

Varahii Consultancy has helped hundreds of applicants Hyderabad 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 Hyderabad: Our local advisors understand the specific requirements of Hyderabad branches and can help you choose the right lender or government office for faster processing.

Industry & Entrepreneurship Landscape in Hyderabad

Hyderabad's small-business economy is shaped in large part by technology services, pharmaceuticals, and precision manufacturing, sectors that account for a significant share of local MSME and entrepreneurial activity. Telangana shows one of the highest average employment figures per MSME in India, reflecting a shift toward larger, technology-driven small enterprises.

Among individual entrepreneurs in Hyderabad, current trends show rising number of technology and services-focused entrepreneurs, particularly around Hyderabad. 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 Hyderabad: Applicants typically work with State Bank of Hyderabad-merged branches, Andhra Bank-merged branches, and private banks 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 Hyderabad

Choosing the right consultant for Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) in Hyderabad can be the difference between a smooth approval and months of avoidable delay. Varahii Consultancy has built a reputation in Hyderabad 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 Hyderabad
End-to-end application support — not just advice — from document prep to final follow-up
Familiarity with local banks, NBFCs, and government offices in Hyderabad
Transparent process with no hidden fees and a free initial eligibility check

Varahii in Hyderabad: If you're evaluating Sub-Mission on Agricultural Mechanisation – Custom Hiring Centres (CHC) options in Hyderabad, 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 Hyderabad

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

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