Can You Finance a Rotavator with a New Tractor? Yes, Guide in easy steps

Modern farming is now not a case of owning a tractor but having the right implements to maintain the health of the soil and high yields. Among the questions that are most frequently asked by the farmers is:

“Can I get a loan for a rotavator along with my new tractor?”

The answer is a definitive YES. Leading banks and financial institutions in India have now streamlined “Combined Farm Equipment Loans” to help farmers mechanise their fields without multiple loan applications.

Finance a Rotavator with a New Tractor in easy steps

This system is a major boost to farm mechanisation in India, and easy to get a tractor rotavator loan in India 2025.

1. The Rise of “Tractor Plus” Financing in 2025

Gone are the days when you had to apply for separate loans for your tractor and its accessories. Banks like State Bank of India (SBI), HDFC Bank, and Axis Bank now offer “Farm Mechanisation Loans” that cover the tractor and essential implements like rotavators, cultivators, and trailers in a single package. These are increasingly popular search terms like “Tractor loan 2025” and “Agri loan schemes.”

Funding Limit:

Most lenders fund 70% to 90% of the total “on-road” cost, which includes the tractor, rotavator, insurance, and registration.

Single EMI:

Instead of managing two different payments, you get one consolidated monthly or half-yearly EMI based on your crop cycle. This flexible payment option is a trending feature for many NBFC farm loans.

2. Why Financing Together is Smarter

Lower Interest Rates:

Combined loans often come with slightly lower interest rates compared to standalone equipment loans. As of late 2025, agri-loan interest rates generally start around 7.25% to 9.95%, depending on the bank and the farmer's credit profile. Searching for “Best tractor loan interest rate” can help you find the best deal.

Bundled Insurance:

You are able to cover your tractor and rotavator with one policy, which saves on paperwork and premium payments.

Simplified Documentation:

You only need to submit your land records (7/12 or Jamabandi), KYC, and bank statements once. This makes the tractor loan process faster and easier.

3. How to Apply: A Step-by-Step Guide

If you are planning to upgrade your farm this season, follow these steps to secure combined financing:

Select Your Package:

Go to an authorised dealer and select your model of tractor and the associated rotavator (e.g. a 45 HP tractor with a 6-foot rotavator).

Get a Quotation:

Ask the dealer for a combined proforma invoice that lists the prices of both the tractor and the implement.

Choose Your Lender:

Compare schemes from banks like SBI (New Tractor Loan Scheme) or NBFCs like Mahindra Finance or IFFCO Kisan Finance, which specialise in quick approvals for farm machinery.

Check for Subsidies:

Before finalising the loan, check the SMAM (Sub-Mission on Agricultural Mechanisation) portal. In 2025, many states will offer 40% to 50% subsidy on rotavators, which can be adjusted against your loan amount. Look up “Rotavator subsidy 2025” or “Farm equipment subsidy India.”

4. Special 2025 Update: GST and Subsidies

Farmers should note that the GST on tractors remains at a concessional rate in 2025, and many state governments have launched “Direct Benefit Transfer” (DBT) schemes. Under the PM Kisan Tractor Yojana 2025, eligible small and marginal farmers can receive up to 50% subsidy, making the effective loan amount much smaller and easier to repay. This scheme is a top trending topic among the farming community.

Final Verdict

Buying a tractor without a rotavator is like buying a car without tyres. By choosing a combined finance option, you not only save money on interest but also ensure your farm is ready for the next sowing season immediately. Here you can check the Best Tractors in 2026 with the best Implements for Tractors.

For more updates on agricultural machinery and government schemes, stay tuned to MeriKheti.com.

Frequently Asked Questions (FAQs)

1. Can I finance all my essential farm implements, like a rotavator, cultivator, and trailer, with a single loan when buying a new tractor?

A: Yes, absolutely. A combined "Tractor and Farm Equipment Loan" is provided by most of the major financial institutions and banks (such as SBI, HDFC and specialised NBFCs) in 2025. This allows you to package the prices of the tractor and several implements into a single financing package where you have a single EMI plan.

2. What percentage of the total cost do banks typically finance for this combined purchase?

A: Typically, banks finance 70 to 90 % of the full on-road price of the total package (tractor and all the selected equipment). This will be a given percentage depending on how the bank evaluates your financial track record, credit rating, land ownership and the scheme that you select.

3. Is the interest rate higher for a combined loan compared to a standard tractor loan?

A: Generally, no. The interest rates for these combined loans are competitive and often similar to standard agricultural term loans, typically ranging from 7.25% to 9.95% (as of late 2025). Financing everything together often results in a better overall interest rate than taking out separate loans for each piece of equipment.

4. What documents are required to apply for a combined tractor and equipment loan?

A: The standard documentation process is straightforward. You will typically need:

• KYC documents (Aadhaar, PAN Card, Voter ID)
• Proof of land ownership/holdings (7/12 extract or Jamabandi papers)
• Bank statements (last 6–12 months)
• A combined proforma invoice from your authorised dealer listing all the equipment