How to get subsidy on agriculture machinery | CHC subsidy on farm machinery

You can avail benefits of subsidies on various types of agriculture machines  by just paying 20% and the government will pay the rest 80%. 

Small farmers are not able to purchase big agriculture machines like tractor,  motors, oil extracting machines etc due to this Modi government has started a scheme called “custom hiring centre farm machinery yojana”. Through this scheme farmers can get agricultural machines on rent by paying 20% of the cost of the machine and the rest 80% will be paid by the government. 

CHC full form in agriculture is "Custom Hiring Centre" and these centres are developed by the Indian government to encourage the farmers. 

custom hiring centres are used to deliver the agriculture machine booked by the farmers. This is an optimistic scheme run by the BJP government to help the farmers to earn good money from farming

Benefits of farm machinery scheme

Some of the advantages of farm machinery scheme are given below

New model agriculture machine - Through CHC farm machinery scheme Indian government is giving an opportunity to farmers to avail the benefits of latest technology agriculture machine on rent as we know some agriculture machines like tractor and motor jets are out of the reach of small farmers so they should take advantage of chc farm machinery scheme.  

How to increase crop yield - Farmers can increase in crop yields with the help of technology. By using some good and expensive machines farmers can grow better yield in less time this will also reduce their labour hours.

Increase crop yield and quality - Farmers will have better facility to cultivate their farms with the help of modern technology agriculture machines then we can definitely see better crop yield and quality that will result in good crop yield production automatically. It is also helpful in increasing the economics of the country.

Farmer side business - Such farmers who are having extra agriculture machines can tie up with custom hiring centres where they can avail the opportunity of giving their agriculture machine on rent and for this CHC will pay them accordingly. Thus this scheme also creates some farmer side jobs and people who are looking for farmer jobs in canada or farmer jobs in usa, uk they can easily set their own farming business. 

Through this scheme farmers can avail the opportunity of getting a farming  machine of about Rs 60 lakh on rent in which they have to pay 20% of the total amount. 

Collaboration can help you -  it is difficult for small farmers to purchase a cultivation machine that costs over Rs 5 lakh, Rs 10 lakh or 20 lakh. To remedy this problem you can collaborate with your farmer friends or you should try to arrange a group of some small farmers who are willing to do farming on a commercial level  but are lacking in agricultural tools and machines. You all can contribute equally; suppose there is a group of 5 farmers and you all are willing to purchase some tools and machines used in agriculture that cost around Rs 10 lakh then you can contribute 2 lakh Rupees  per person thus you can arrange some expensive agricultural machinery for your farm.

If your farmer group wants to purchase a big cultivation machinery that costs  around Rs 10 lakh then you all should share your cultivation plan with each other so that you can easily rotate the expensive agricultural machinery.

Farm machinery Bank - There are more than 8000 custom hiring centres and approximately 6000 farm machinery banks in India. 

CHC farm machinery app - FAQ

Agriculture and farmer welfare minister Mr. Narendra Tomar has already started Chc farm machinery App through which farmers can take the advantages of farming tools and equipment on rent. The app works in two ways, one for consumers and other for producers. 

Let's understand this with an example. 

Farmer-user - If a farmer wants to avail the benefits of Agricultural Machinery on rent and uses the app to order the product then he will be called farmer user.

Service provider - If a farmer wants to give his agriculture machines on rent then he will be known as a service provider. 

So, after installing the CHC farm machinery app you will get two options (1. farmer user and 2. service provider) whether to take the agriculture tools on rent or to give the farming machinery on rent.

What are the farm machinery solutions app benefits?

  • This app is in 12 languages so you can easily operate it.
  • The app covers only 5 MB space
  • Through this machinery app farmers can easily reach modern technology and extensive farming machinery.
  • By downloading and installing this app farmers will directly connect to the custom hiring centres of their area.
  • By using this app you can order any agriculture machine which falls under CHC within a 50 km area.

50,000 custom hiring centres are already registered within this app in which 1 lakh 25 thousand machines are available that farmers can take

CHC farm machinery app download

  • Open Play Store mobile
  • search option -  type chc or custom hiring centre 
  • Now few apps will appear 
  • Select app - farm machinery solutions app (5mb)
  • install option will appear on the screen, click on install and it will be downloaded on your mobile.

How to register CHC farm machinery app

After downloading the app you will see some language options  including Hindi, English, Bengali, Gujarati, Kannada, Malayalam, Marathi etc 

  • Select language - Hindi, English or any given language 
  • After language selection - 3 options will display on mobile screen 
  • Option 1 - farmer / user
  • Option 2 - CHC - service provider
  • Avoid option 3
  • Below login register register here dashboard option appears click on that 
  • Now you will see only 2 options 
  • Option 1 farmer / user - for those who want to take farming machinery on rent
  • Option 2 CHC service provider - for those who want to give their machine on rent

After selecting the appropriate option you need to fill the form along with your aadhar card and other details, you also have to register your mobile number. 

Apart from this government app one more app is recently launched with same purpose: sonalika agro solutions app you can check out this one as well.

What is smam scheme?

The Ministry of Agriculture and farmers welfare has launched SMAM in 2014-15. SMAM is basically a scheme run by the Indian government to empower small and marginal farmers with the help of agriculture mechanisms. Smam scheme's full form is Sub-Mission on Agriculture Mechanism and the main role of smam scheme is to increase the reach of agriculture farm mechanization to small and marginal farmers. 

To encourage the farmers by reducing the financial burden of agricultural machinery, the Indian government has released funds for various activities of farm mechanization such as custom hiring centres establishment, farm machinery banks, high tech hubs followed by distribution of various agriculture tools and machinery to the states through (SMAM) Sub-Mission on Agricultural Mechanization.

Under SMAM scheme fund released by DAC & FW- 2021-22

Tamilnadu - 10 high tech hubs, 100 farm machinery bank at village level


Madhya Pradesh

Andhra Pradesh



Arunachal P


1st installment

16.20 Crore

32.93 Crore

21.74 Crore

12.35 Crore 

3.66 Crore

10.53 Crore


2000 machines

34 high tech hubs

269 machines

4280 machines

6045 machines

1685 machines

CHC - banks

90 chc

525 chc

115 chc

58 banks

6 chc 35 banks

Custom hiring centre farm machinery training

In the beginning of the custom hiring centre, the government has given training to 50,000 farmers to operate difficult agricultural machines. You can contact the team members of the custom hiring centre (CHC) if you are facing any problem operating a farming machine.

What are the farming equipment on rent?

In the below paragraph you can find the list of agricultural machinery on rent.

  • Tractor
  • Paddy rice transplanter machine
  • Rotavator machine
  • Zero till seed cum fertilizer drill 
  • Laser land leveler
  • Axial flow paddy thresher
  • Multicrop thresher 
  • Combine harvester 
  • Fertilize drill 
  • Mahindra latest tractor
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