Farmers Clubs are local Farming community that have a well-built link with the local villagers and influencing powers and have knowledge of the local milieu and serve as a strong link between banks and the local community. NABARD encourages banks to support Farmers’ Clubs in rural areas under the Farmers’ Club Programmes.

The five principles are:
Credit must be used in accordance with the most suitable methods of science and technology.
The terms and conditions of credit must be fully respected.
Work must be done with skill so as to increase production and productivity.
A part of the additional income created by credit must be saved.
Loan instalments must be repaid in time and regularly so as to recycle credit.

Link with banks to ensure credit flow among its members to make better bank borrower relationship.
Giving awareness about the various fields of agriculture and allied activities etc.
Contact with Corporate input suppliers to purchase bulk inputs on behalf of members.
Arrange joint activities like value addition, processing, collective purchase of inputs and farm produce marketing for the benefit of members.
Undertake socio-economic developmental activities like community works, education, health, environment and natural resource management etc.

Who can form Farmers’ Clubs:
Commercial Banks, Cooperative Banks and Regional Rural Banks
NGOs, PRIs, State Agricultural Universities, KVKs, ATMA, Post Offices