Moving away from its grants approach, the National Bank for Agriculture and Rural Development (NABARD) has now started giving direct loans for implementing resource management projects in collaboration with German Development Co-operation GTZ and KfW Bankengruppee.
Of the total amount of 19.4 million euros, 15 million is being given as loans. The remaining 1.4 million is being given as grants. While grants have been funded by GTZ, the loan amount has been given by KfW. Known as the Umbrella Programme on Resource Management (UPNRM) project, it focuses on livelihood enhancement of the community. Also watershed management and tribal development are major areas of emphasis of the project with sustainable harvesting of forest products, water, vegetation and other resources.
The project will be monitored in the Western region, including Rajasthan, Gujarat, Maharashtra, Madhya Pradesh and Goa through Pune. Bangalore will monitor it for the southern region and Lucknow for the rest of the nation.
Wednesday, 13 October 2010
Tuesday, 3 August 2010
INTEREST SUBVENTION FOR CROP LAON RELEASED BY INDIAN GOVT.
The decision, taken at a Cabinet meeting chaired by the Prime Minister Manmohan Singh, is aimed at bringing more farmers under the net of institutional credit and raising farm productivity.
The banks provide farm loans of up to Rs 3 lakh at 5-7% interest per annum and the government gives 2-4% subsidy to these banks and NABARD.
“The Cabinet today gave its approval for the release of Rs 4,868 crore as interest subvention to public sector banks, regional rural banks (RRBs), cooperative banks and NABARD for refinance to RRBs at concessional rates,” an official statement said.
Farmers take short term loans to buy seeds at the beginning of the crop cycle and are usually payable within a year. Those farmers who pay back loans within 12 month are eligible for 4% subsidy, while others get 2% subsidy.
With large number of farmers still under the trap of money lenders, the The government on 330-07-2010 decided to release Rs 4,868 crore to state-owned banks for providing short-term crop loans to farmers at a
concession of up to 4% to lending rates.
concessional loan scheme will go a long way in bringing them to institutional credit and improve farm productivity, the release said.
The government has since 2006-07 been subsidising short term crop loans. While farmers have been getting loans at a concession of two per cent in lending rates, those repaying their bank debts get 1.0% additional discount from last fiscal. This year, the amount of concession has been increased to 4.0% by the government.
For 2010-11, the target for agricultural credit flow has been raised to Rs 3,75,000 crore from Rs 3,25,000 crore in 2009-10.
The banks provide farm loans of up to Rs 3 lakh at 5-7% interest per annum and the government gives 2-4% subsidy to these banks and NABARD.
“The Cabinet today gave its approval for the release of Rs 4,868 crore as interest subvention to public sector banks, regional rural banks (RRBs), cooperative banks and NABARD for refinance to RRBs at concessional rates,” an official statement said.
Farmers take short term loans to buy seeds at the beginning of the crop cycle and are usually payable within a year. Those farmers who pay back loans within 12 month are eligible for 4% subsidy, while others get 2% subsidy.
With large number of farmers still under the trap of money lenders, the The government on 330-07-2010 decided to release Rs 4,868 crore to state-owned banks for providing short-term crop loans to farmers at a
concession of up to 4% to lending rates.
concessional loan scheme will go a long way in bringing them to institutional credit and improve farm productivity, the release said.
The government has since 2006-07 been subsidising short term crop loans. While farmers have been getting loans at a concession of two per cent in lending rates, those repaying their bank debts get 1.0% additional discount from last fiscal. This year, the amount of concession has been increased to 4.0% by the government.
For 2010-11, the target for agricultural credit flow has been raised to Rs 3,75,000 crore from Rs 3,25,000 crore in 2009-10.
NABARD WILL ADOPT 40 VILLAGES FOR HERBAL PLANTATION IN HP
The National Bank of Agriculture and Rural Development (NABARD) will adopt 40 villages in Himachal Pradesh to promote herbal plantation in the state, Chief Minister Prem Kumar Dhumal said on 30-07-2010.
NABARD has already adopted 20 villages in the state.
'NABARD would adopt 40 more villages under the Village Development Plan to give boost to herbal cultivation and to improve livelihood of the farmers,' Dhumal told reporters after meeting with senior bank officers.
'Such an initiative would supplement the income of the farmers,' he added.
The chief minister said the government last year launched a herbal plantation campaign under which the farmers were provided saplings of more than 50 indigenous species like neem, banyan, jamun and peepal free of cost for plantation.
Over one crore herbal saplings were distributed among the locals through government-monitored 525 joint forest management committees.
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NABARD has already adopted 20 villages in the state.
'NABARD would adopt 40 more villages under the Village Development Plan to give boost to herbal cultivation and to improve livelihood of the farmers,' Dhumal told reporters after meeting with senior bank officers.
'Such an initiative would supplement the income of the farmers,' he added.
The chief minister said the government last year launched a herbal plantation campaign under which the farmers were provided saplings of more than 50 indigenous species like neem, banyan, jamun and peepal free of cost for plantation.
Over one crore herbal saplings were distributed among the locals through government-monitored 525 joint forest management committees.
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Thursday, 22 July 2010
INDIA'S GDP & ROLE OF AGRICULTURE SECTOR
Recently there was a meeting of The group of secretaries on the topic How to achieve GDP growth of 10% by 2014.
This included Cabinet Secretary K.M. Chandrasekhar, Agriculture Secretary Prabeer Kumar Basu, Commerce Secretary Rahul Khullar, Finance Secretary Ashok Chawla, Revenue Secretary Sunil Mitra and Industrial Policy and Promotion Secretary R.P. Singh—They advocated reforms such as increasing investment in agricultural technology, lowering the prices of water and power and teaching farmers sustainable land practices.
They concluded “Sustained growth of 4% in the agricultural sector will be necessary to reach 10% overall growth,”
“Growth in the agricultural sector is essential,” Mr. Chandrasekhar, India’s top civil servant, told India Real Time after the meeting. “We need to create demand in our rural economy. The rural economy carried us through the downturn.”
Added Mr. Singh: “We have to treat agriculture like an industry and go in there and make reforms.”
Mr. Chandrasekhar said India should focus its agricultural reform in the eastern states. “We are using all the groundwater in the northeast, in Punjab and Haryana. We need to look east,” he said. “We need to look at inclusive growth.”
Another point discussed extensively was infrastructure development. Dr. Khullar said after the meeting that India consistently fails to carry through its infrastructure projects.
“We can write beautiful plans, but we can’t get the project done,” he said. “This is a major failing.”
Dr. Khullar went on to say that foreign investors, currently a major source of Indian economic growth, will turn away from India in five years if they realize the infrastructure projects in which they invest are not reliable. “Right now they are lured by the size of the market,” he said. “In the meanwhile, we must learn to do it right.”
Mr. Chawla said about a trillion dollars are needed to adequately shore up infrastructure in India, said one person who attended. The finance secretary said more than half of that investment will come from the private sector and public-private partnerships, and the remainder will come from public debt financing, according to the source. A Finance Ministry spokesman confirmed the ratio, adding: “The private sector has a very important role to play.”
Mr. Mitra touched on tax reform during the meeting, saying a good tax system minimizes the cost of collection, increases compliance and minimizes distortion to the economy, according to the two people who heard him speak. Mr. Mitra said India will need to minimize exemptions and eliminate distorting effects in direct taxes as well as remove levies from indirect taxes.
“It is in indirect taxes that the reforms are more significant,” he said after the meeting, declining to elaborate.
The group also discussed manufacturing, the services industry, education, employable skill development, labor policy, government services, urbanization and banking, said both people who attended.
“Why 10%?” the group of secretaries was asked by reporters after the meeting.
“We need growth of that level to take care of our people,” said Mr. Chawla. “We need it to reconcile the duality of two Indias: the India in Delhi and Mumbai, and the India everywhere in between.”
This included Cabinet Secretary K.M. Chandrasekhar, Agriculture Secretary Prabeer Kumar Basu, Commerce Secretary Rahul Khullar, Finance Secretary Ashok Chawla, Revenue Secretary Sunil Mitra and Industrial Policy and Promotion Secretary R.P. Singh—They advocated reforms such as increasing investment in agricultural technology, lowering the prices of water and power and teaching farmers sustainable land practices.
They concluded “Sustained growth of 4% in the agricultural sector will be necessary to reach 10% overall growth,”
“Growth in the agricultural sector is essential,” Mr. Chandrasekhar, India’s top civil servant, told India Real Time after the meeting. “We need to create demand in our rural economy. The rural economy carried us through the downturn.”
Added Mr. Singh: “We have to treat agriculture like an industry and go in there and make reforms.”
Mr. Chandrasekhar said India should focus its agricultural reform in the eastern states. “We are using all the groundwater in the northeast, in Punjab and Haryana. We need to look east,” he said. “We need to look at inclusive growth.”
Another point discussed extensively was infrastructure development. Dr. Khullar said after the meeting that India consistently fails to carry through its infrastructure projects.
“We can write beautiful plans, but we can’t get the project done,” he said. “This is a major failing.”
Dr. Khullar went on to say that foreign investors, currently a major source of Indian economic growth, will turn away from India in five years if they realize the infrastructure projects in which they invest are not reliable. “Right now they are lured by the size of the market,” he said. “In the meanwhile, we must learn to do it right.”
Mr. Chawla said about a trillion dollars are needed to adequately shore up infrastructure in India, said one person who attended. The finance secretary said more than half of that investment will come from the private sector and public-private partnerships, and the remainder will come from public debt financing, according to the source. A Finance Ministry spokesman confirmed the ratio, adding: “The private sector has a very important role to play.”
Mr. Mitra touched on tax reform during the meeting, saying a good tax system minimizes the cost of collection, increases compliance and minimizes distortion to the economy, according to the two people who heard him speak. Mr. Mitra said India will need to minimize exemptions and eliminate distorting effects in direct taxes as well as remove levies from indirect taxes.
“It is in indirect taxes that the reforms are more significant,” he said after the meeting, declining to elaborate.
The group also discussed manufacturing, the services industry, education, employable skill development, labor policy, government services, urbanization and banking, said both people who attended.
“Why 10%?” the group of secretaries was asked by reporters after the meeting.
“We need growth of that level to take care of our people,” said Mr. Chawla. “We need it to reconcile the duality of two Indias: the India in Delhi and Mumbai, and the India everywhere in between.”
Thursday, 8 July 2010
NABRD'S INITIATIVE FOR ORGANIC FARMING
The National Bank for Agriculture and Rural Development (Nabard) will promote organic farming in Kerala through an integrated initiative involving banks, NGOs, farmers and the state agricultural university.
According to K C Shashidhar, chief general manager, Nabard (Kerala), the initiative in the first phase will integrate the activities of up to 10,000 farmers by forming them into joint liability groups.
Nabard will conduct a two-week training programme called Joint Liability Training (JLT) for farmers, intended as a primer on pesticide-free food production methods, post-harvest management, food security through organic farming, seed conservation etc.
The farmers will also be taken on exposure visits to organic farms within and outside the state. JLT programme will be led by experts in the agricultural sciences along with district officials of Nabard.
The project will be implemented in seven districts in Kerala initially, in association with the Kerala Social Services Forum, an umbrella NGO of the state to which 36 NGOs are affiliated. A meeting of NGO stakeholders convened in Thiruvananthapuram has decided to publish a white paper on the potential of organic farming in Kerala.
According to K C Shashidhar, chief general manager, Nabard (Kerala), the initiative in the first phase will integrate the activities of up to 10,000 farmers by forming them into joint liability groups.
Nabard will conduct a two-week training programme called Joint Liability Training (JLT) for farmers, intended as a primer on pesticide-free food production methods, post-harvest management, food security through organic farming, seed conservation etc.
The farmers will also be taken on exposure visits to organic farms within and outside the state. JLT programme will be led by experts in the agricultural sciences along with district officials of Nabard.
The project will be implemented in seven districts in Kerala initially, in association with the Kerala Social Services Forum, an umbrella NGO of the state to which 36 NGOs are affiliated. A meeting of NGO stakeholders convened in Thiruvananthapuram has decided to publish a white paper on the potential of organic farming in Kerala.
Monday, 21 June 2010
NABARD plans to set up rural credit bureaus
The National Bank for Agriculture and Rural Development (NABARD) plans to set up rural credit bureaus in the districts and initiate steps to popularise Kisan Credit Cards, a bank official said Saturday.
'Once implemented, this will go a long way in improving the financial position of India's 480 million marginal farmers,' NABARD managing director K.G. Karmakar said here while addressing a seminar on 'Financial Inclusion for the Common Indian', organised by the Bengal Chamber of Commerce and Industry (BCCI) here.
The Kisan Credit Cards scheme, started in 1998-99 by the NABARD and the Reserve Bank of India (RBI), aims at providing adequate and timely support from the banking system to the farmers for their short-term credit needs during cultivation of crops. The credit limit is based on agriculture income.
Karmakar said NABARD has also set a target of Rs.3,75,000 crore credit disbursement in the current fiscal, up from Rs.3,25,00 last year.
He stressed the need for greater involvement of non-governmental organisations to reach the benefits of financial inclusion to the masses.
'Once implemented, this will go a long way in improving the financial position of India's 480 million marginal farmers,' NABARD managing director K.G. Karmakar said here while addressing a seminar on 'Financial Inclusion for the Common Indian', organised by the Bengal Chamber of Commerce and Industry (BCCI) here.
The Kisan Credit Cards scheme, started in 1998-99 by the NABARD and the Reserve Bank of India (RBI), aims at providing adequate and timely support from the banking system to the farmers for their short-term credit needs during cultivation of crops. The credit limit is based on agriculture income.
Karmakar said NABARD has also set a target of Rs.3,75,000 crore credit disbursement in the current fiscal, up from Rs.3,25,00 last year.
He stressed the need for greater involvement of non-governmental organisations to reach the benefits of financial inclusion to the masses.
Wednesday, 14 April 2010
DEVELOPMENT THROUGH SHG - NABARD
The National Bank for Agriculture and Rural Development (Nabard), in a bid to step up its focus on the farm sector, plans to bring together about 10 lakh small and marginal farmers across the country in 2010-11 along the lines of the self-help group (SHG) model.
This will help farmers harness their collective bargaining power to access credit at competitive rates, improve productivity using quality inputs, and realise better price for their produce in the market, said Mr Umesh Chandra Sarangi, Chairman of Nabard.
The development bank, whose primary objective is to facilitate flow of credit for agriculture, rural infrastructure and rural development, and supervision of rural financial intermediaries, will organise joint liability groups (JLGs) comprising 7-10 farmers in the small and marginal category, he said.
"We have set a target of forming one lakh joint liability groups in the current financial year. About 10 lakh farmers will benefit by becoming members of the groups," said Mr Sarangi.
In the last couple of years, Nabard had organised around 30,000 JLGs across the country.
Pointing out that most of the farmers in India owned less than 2 acres of land, the Nabard chief said that by becoming a member of the JLG, small and marginal farmers who generally depend on informal sources of financing at usurious interest rates, can get credit from banks on competitive terms.
Ever since the SHG-Bank linkage programme was conceptualised and launched by Nabard in 1992, about 47 lakh self-help groups (as of March-end 2009), predominantly comprising poor women, have been able to access the formal banking sector in a sustainable and cost-effective manner.
By handling savings and internal lending, the SHGs have matured, acquired creditworthiness for themselves and earned the confidence of banks. As of March-end 2009, banks had an outstanding exposure of Rs 22680 crore to 42 lakh odd members of SHGs.
Nabard is not averse to setting up a bank provided this does not interfere with its primary mandate of facilitating flow of credit for agriculture, rural infrastructure and rural development, said Mr Sarangi.
In his reply to a question on whether Nabard would leverage its long-standing experience in rural lending to get a banking license from RBI, the Nabard chief said, "Without compromising our primary mandate, which is refinancing and supporting the needs of the agriculture sector in the country, we will not be averse to any new ideas."
Recently, Nabard appointed global management consultancy firm Boston Consulting Group (BCG) to prepare a report to restructure and diversify its operations to leverage its expertise in refinancing. The development bank is also seeking to implement a core banking solution
This will help farmers harness their collective bargaining power to access credit at competitive rates, improve productivity using quality inputs, and realise better price for their produce in the market, said Mr Umesh Chandra Sarangi, Chairman of Nabard.
The development bank, whose primary objective is to facilitate flow of credit for agriculture, rural infrastructure and rural development, and supervision of rural financial intermediaries, will organise joint liability groups (JLGs) comprising 7-10 farmers in the small and marginal category, he said.
"We have set a target of forming one lakh joint liability groups in the current financial year. About 10 lakh farmers will benefit by becoming members of the groups," said Mr Sarangi.
In the last couple of years, Nabard had organised around 30,000 JLGs across the country.
Pointing out that most of the farmers in India owned less than 2 acres of land, the Nabard chief said that by becoming a member of the JLG, small and marginal farmers who generally depend on informal sources of financing at usurious interest rates, can get credit from banks on competitive terms.
Ever since the SHG-Bank linkage programme was conceptualised and launched by Nabard in 1992, about 47 lakh self-help groups (as of March-end 2009), predominantly comprising poor women, have been able to access the formal banking sector in a sustainable and cost-effective manner.
By handling savings and internal lending, the SHGs have matured, acquired creditworthiness for themselves and earned the confidence of banks. As of March-end 2009, banks had an outstanding exposure of Rs 22680 crore to 42 lakh odd members of SHGs.
Nabard is not averse to setting up a bank provided this does not interfere with its primary mandate of facilitating flow of credit for agriculture, rural infrastructure and rural development, said Mr Sarangi.
In his reply to a question on whether Nabard would leverage its long-standing experience in rural lending to get a banking license from RBI, the Nabard chief said, "Without compromising our primary mandate, which is refinancing and supporting the needs of the agriculture sector in the country, we will not be averse to any new ideas."
Recently, Nabard appointed global management consultancy firm Boston Consulting Group (BCG) to prepare a report to restructure and diversify its operations to leverage its expertise in refinancing. The development bank is also seeking to implement a core banking solution
Sunday, 4 April 2010
Nabard's business volume jumps 14% in FY10
The government-run National Bank for Agriculture and Rural Development (Nabard) did business worth a record Rs 1.36 lakh crore in 2009-10 (long-term and short-term refinancing, plus funding under Rural Infrastructure Development Fund), while its current loans crossed Rs 1 lakh crore.
The financial institution has appointed The Boston Consulting Group to prepare a roadmap for the future. A senior bank official told Business Standard, “Nabard has performed well despite the economic mayhem worldwide. This clearly proves the bank is gearing up to become a more effective organisation.”
The volume of business operations grew from Rs 81,220 crore in 2006-07 to Rs 98,700 crore in 2007-08, Rs 1.19 lakh crore in 2008-09 and Rs 1.36 lakh crore in 2009-10. The growth in 2009-10 was around 14 per cent over the previous year. According to the official, Nabard’s production credit department achieved the highest-ever disbursements of Rs 23,849 crore in 2009-10, while the investment credit department achieved its target of Rs 12,000 crore.
“Disbursements under Rural Infrastructure Development Fund (RIDF) have been Rs 18,888 crore. Our outstandings under RIDF have now crossed Rs 60,000 crore, which will ensure steady flow of income for the years to come,” he said. Managing Director KG Karmakar said the institution’s net surplus would exceed Rs 1,600 crore for 2009-10. He called upon employees to work hard to maintain growth, productivity and profitability in 2010-11.
The financial institution has appointed The Boston Consulting Group to prepare a roadmap for the future. A senior bank official told Business Standard, “Nabard has performed well despite the economic mayhem worldwide. This clearly proves the bank is gearing up to become a more effective organisation.”
The volume of business operations grew from Rs 81,220 crore in 2006-07 to Rs 98,700 crore in 2007-08, Rs 1.19 lakh crore in 2008-09 and Rs 1.36 lakh crore in 2009-10. The growth in 2009-10 was around 14 per cent over the previous year. According to the official, Nabard’s production credit department achieved the highest-ever disbursements of Rs 23,849 crore in 2009-10, while the investment credit department achieved its target of Rs 12,000 crore.
“Disbursements under Rural Infrastructure Development Fund (RIDF) have been Rs 18,888 crore. Our outstandings under RIDF have now crossed Rs 60,000 crore, which will ensure steady flow of income for the years to come,” he said. Managing Director KG Karmakar said the institution’s net surplus would exceed Rs 1,600 crore for 2009-10. He called upon employees to work hard to maintain growth, productivity and profitability in 2010-11.
Saturday, 3 April 2010
NABARD’s funding to state agri rises 54%
National Bank for Agriculture and Rural Development (NABARD)'s financial support to agriculture activity, rural development and rural infrastructure development in the state of Gujarat has touched a new high during the financial year 2009-10. The body's total financial assistance reached Rs2,888.61 crore during the financial year 2009-10, 54% more than the previous year. Allocation to state involves Rs1,897.93 crore refinance support to banks and Rs990.68 crore support to the state gover...
Rs 2,385-cr Nabard grant for MP rural banking
National Bank for Agriculture and Rural Development (Nabard) has pumped into the rural banking sector of Madhya Pradesh a whopping Rs 2,385.39 crore as refinance, which is 5 per cent higher than the previous year.
Besides, it disbursed loans to the tune of Rs 602.79 crore to the MP government for bolstering rural infrastructure, taking the total disbursement in the state during the year to Rs 2,988.18 crore. Refinance assistance to banks for term lending in farm and non-farm sector during the current year stood at Rs 224.23 crore.
The refinance disbursed to various banks was mainly for farm mechanisation, minor irrigation, non-farm sector, rural housing, Swarnjayanti Gram Swarozgar Yojna, rural transport and dairy development. In addition, refinance assistance of Rs 2,161.16 crore, a growth of 22 per cent over the previous year, was provided for short-term credit operations to cooperative and regional rural banks during the year, a Nabard official said.
Besides, it disbursed loans to the tune of Rs 602.79 crore to the MP government for bolstering rural infrastructure, taking the total disbursement in the state during the year to Rs 2,988.18 crore. Refinance assistance to banks for term lending in farm and non-farm sector during the current year stood at Rs 224.23 crore.
The refinance disbursed to various banks was mainly for farm mechanisation, minor irrigation, non-farm sector, rural housing, Swarnjayanti Gram Swarozgar Yojna, rural transport and dairy development. In addition, refinance assistance of Rs 2,161.16 crore, a growth of 22 per cent over the previous year, was provided for short-term credit operations to cooperative and regional rural banks during the year, a Nabard official said.
Sunday, 21 March 2010
Agriculture and Rural Development
It is rightly said that strength of a chain made of various rings depend on the weakest ring.
Similarly strength of India lies on the strength of rural India, which is still underdeveloped or in developing stage.
Agriculture is not only the foundation of Rural development in India but it is the basic factor for our national growth and prosperity. No economic measure of economic reform will succeed unless India ensures rapid modernization of agriculture.It is the only strategy which can reduce the poverty and can create direct or indirect, full time or part time employment of the masses and also it can support many other agro based industries.
India is blessed by God for having 57% of total land, where cultivation can be done against the world average of 11.3%.There is great diversity of flora and fauna and suitable for cultivation of medicinal plants, with great diversity of genetic characters among each species.
There are various issues which are bottleneck in rapid development of agriculture in India. until and unless these are sorted out,we can not hope for the better prospects.
(Next blog- Various issues of modernization and development of agriculture.)
Similarly strength of India lies on the strength of rural India, which is still underdeveloped or in developing stage.
Agriculture is not only the foundation of Rural development in India but it is the basic factor for our national growth and prosperity. No economic measure of economic reform will succeed unless India ensures rapid modernization of agriculture.It is the only strategy which can reduce the poverty and can create direct or indirect, full time or part time employment of the masses and also it can support many other agro based industries.
India is blessed by God for having 57% of total land, where cultivation can be done against the world average of 11.3%.There is great diversity of flora and fauna and suitable for cultivation of medicinal plants, with great diversity of genetic characters among each species.
There are various issues which are bottleneck in rapid development of agriculture in India. until and unless these are sorted out,we can not hope for the better prospects.
(Next blog- Various issues of modernization and development of agriculture.)
Monday, 15 March 2010
Lessons from first green revolutions ---B
There are many other indirect effects of adoption of new technology. These are as under-
1)The application of new technology hassled to substitution of human labour with mechanical process. This has created unemployment. Land less labourers were the most affected persons.
2)secondly only better areas where crops were growing better as compared to other areas were selected and made their areas still better. This made a process of unbalanced growth.
3)Thirdly the strategy of green revolution was adopted by literate and big farmer. So, literate and big farmer became more bigger and other farmers were sufferers. Ultimately they sold out their land and sifted their profession.
4)In some cases there were share croppers. Co-op societies at that time provided loans only to those who were honors of land and were engaged in cultivation. Share croppers had to secure loans from unrecognized sector with high rate of interest and were the worst sufferers.
5)Supply of water was also not properly distributed. There were numerous problems regarding investment in tube well or acquiring other source of irrigation. Availability of water resources was also one of the constraints for the same. Future effects of the same were also not taken into account.
6)In India there are large no. of land owners who hold the land in their own name but do not go for cultivation at their own. They are having sufficient worth from other sources and treat agriculture as secondary source of income. For them putting land on tenancy is dangerous because of law protecting the interests of persons who has hired the land on tenancy. More over there are instances that share croppers hold muscle powers and land owners are not ready to take pain or invite future problems for them.
Finally, it can be construed that green revolution has not only the blessing only but it has given rise to some those problems which were never thought earlier in the form of frustration and social tension making meaningless strategy for millions of landless labours. This created inequalities of wealth in the societies.
1)The application of new technology hassled to substitution of human labour with mechanical process. This has created unemployment. Land less labourers were the most affected persons.
2)secondly only better areas where crops were growing better as compared to other areas were selected and made their areas still better. This made a process of unbalanced growth.
3)Thirdly the strategy of green revolution was adopted by literate and big farmer. So, literate and big farmer became more bigger and other farmers were sufferers. Ultimately they sold out their land and sifted their profession.
4)In some cases there were share croppers. Co-op societies at that time provided loans only to those who were honors of land and were engaged in cultivation. Share croppers had to secure loans from unrecognized sector with high rate of interest and were the worst sufferers.
5)Supply of water was also not properly distributed. There were numerous problems regarding investment in tube well or acquiring other source of irrigation. Availability of water resources was also one of the constraints for the same. Future effects of the same were also not taken into account.
6)In India there are large no. of land owners who hold the land in their own name but do not go for cultivation at their own. They are having sufficient worth from other sources and treat agriculture as secondary source of income. For them putting land on tenancy is dangerous because of law protecting the interests of persons who has hired the land on tenancy. More over there are instances that share croppers hold muscle powers and land owners are not ready to take pain or invite future problems for them.
Finally, it can be construed that green revolution has not only the blessing only but it has given rise to some those problems which were never thought earlier in the form of frustration and social tension making meaningless strategy for millions of landless labours. This created inequalities of wealth in the societies.
Sunday, 7 March 2010
Lessons from first green revolutions ---A
Let us see, what the limitations of green revolution were and what lessons we can derive from the same.
1)It was initiated in major crops only. This resulted in a trend to produce the crop which was more income oriented giving imbalance in the natural production of all other major crops. Further it yielded in less production of other crops giving upward price rise of the same and down ward pricing of target produce bringing it at the break even point. In both the situation the farmers were the persons who suffered the loss.
2)Basically it was a seed fertilizer irrigation & pesticide package.
3)In most of the cases seed technology has reduced the quality of produce.
4)Fertilizers have been used in a manner which has reduced the natural fertility of soil.
5)Most of the time, underground water has been used for irrigation which has caused the lowering of water table in most of the parts of country. Many states are finding it difficult to get drinking water even in those areas where they had never seen any difficulty.
6)Use of high dose of pesticides and weedicides has become a curse for public at large. Pests have also become resistant to it. Their predators are dying. Now it has become a major problem that we hardly find vultures and crows even in areas where they were naturally residing.
(Next blog will be published soon with heading Lessons from first green revolutions-B)
1)It was initiated in major crops only. This resulted in a trend to produce the crop which was more income oriented giving imbalance in the natural production of all other major crops. Further it yielded in less production of other crops giving upward price rise of the same and down ward pricing of target produce bringing it at the break even point. In both the situation the farmers were the persons who suffered the loss.
2)Basically it was a seed fertilizer irrigation & pesticide package.
3)In most of the cases seed technology has reduced the quality of produce.
4)Fertilizers have been used in a manner which has reduced the natural fertility of soil.
5)Most of the time, underground water has been used for irrigation which has caused the lowering of water table in most of the parts of country. Many states are finding it difficult to get drinking water even in those areas where they had never seen any difficulty.
6)Use of high dose of pesticides and weedicides has become a curse for public at large. Pests have also become resistant to it. Their predators are dying. Now it has become a major problem that we hardly find vultures and crows even in areas where they were naturally residing.
(Next blog will be published soon with heading Lessons from first green revolutions-B)
Thursday, 4 March 2010
PRIORITY SECTOR ADVANCES
Following advances are treated as priority sector advances
•Housing Loans up to Rs.20 lacs irrespective of locations, for constructions of houses.
•Loans for repair and renovations up to Rs. 1 lac in Rural and Semi Urban Area and upto Rs. 2 lacs in Urban Areas.
•Education Loan – Study in India up to Rs.10 lacs and Study abroad – up to Rs.20 lacs
•Traders Loan up to Rs. 20 lacs under Baroda Traders Loan
•Enterprises whose investment in equipments does not exceed Rs.2 crores-. Micro Enterprises and Small Enterprises.
•Agriculture(Direct and Indirect Finance)
•Small Enterprises
•Advance granted to Fair price shops dealing in essential commodities, consumer co operative stores
•Micro Credit- Loan of very small amount not exceeding Rs.50000 per borrower either directly or through SHG/JLG
•Investment by banks in securitized assets, representing loans to various categories of priority sector
•Outright purchase of any loan asset eligible to be categorized under priority sector
•Fresh deposits placed by banks on or after 30.04.2007 with NABARD/SIDBI on account of non achievement of priority sector lending targets
•Housing Loans up to Rs.20 lacs irrespective of locations, for constructions of houses.
•Loans for repair and renovations up to Rs. 1 lac in Rural and Semi Urban Area and upto Rs. 2 lacs in Urban Areas.
•Education Loan – Study in India up to Rs.10 lacs and Study abroad – up to Rs.20 lacs
•Traders Loan up to Rs. 20 lacs under Baroda Traders Loan
•Enterprises whose investment in equipments does not exceed Rs.2 crores-. Micro Enterprises and Small Enterprises.
•Agriculture(Direct and Indirect Finance)
•Small Enterprises
•Advance granted to Fair price shops dealing in essential commodities, consumer co operative stores
•Micro Credit- Loan of very small amount not exceeding Rs.50000 per borrower either directly or through SHG/JLG
•Investment by banks in securitized assets, representing loans to various categories of priority sector
•Outright purchase of any loan asset eligible to be categorized under priority sector
•Fresh deposits placed by banks on or after 30.04.2007 with NABARD/SIDBI on account of non achievement of priority sector lending targets
Monday, 1 March 2010
PROBLEMS AND EVALUATION OF GREEN REVOLUTION-C
The green revolution was blessing for India but it gave rise to certain problems and in economic and social front.
Firstly it was restricted to wheat only. It has not covered the most important crop like rice which is staple food of very large no. of people.
In terms of area covered the green revolution could not spread in those areas which were not covered by assured water supply. It has been estimated that only 7% of cultivable land is under high yielding varieties coverage.
It has spread in the states of Punjab Haryana, some parts of U.P. and few pockets of states like Gujrat & Tamil Nadu.
It is also presumed that green evolution was revolutionized in at the cost of other cash crops and non food crops like sugarcane cotton oil seeds jute pulses etc..
Further it has been developed and used in raising output in ravi crop only.
It was a costly farming because of use of modern inputs like use of hybrid seeds chemical fertilizers, pesticides etc. These are costly items. In other words it was a program for large farmers and land owners who were already bitterly equipped. They had exclusive access to input as well as marketing of the product.
Firstly it was restricted to wheat only. It has not covered the most important crop like rice which is staple food of very large no. of people.
In terms of area covered the green revolution could not spread in those areas which were not covered by assured water supply. It has been estimated that only 7% of cultivable land is under high yielding varieties coverage.
It has spread in the states of Punjab Haryana, some parts of U.P. and few pockets of states like Gujrat & Tamil Nadu.
It is also presumed that green evolution was revolutionized in at the cost of other cash crops and non food crops like sugarcane cotton oil seeds jute pulses etc..
Further it has been developed and used in raising output in ravi crop only.
It was a costly farming because of use of modern inputs like use of hybrid seeds chemical fertilizers, pesticides etc. These are costly items. In other words it was a program for large farmers and land owners who were already bitterly equipped. They had exclusive access to input as well as marketing of the product.
Sunday, 28 February 2010
What is green revolution (B)
The most important feature of green revolution was the use of high yielding varieties of seeds in the areas with assured supply of water.
These seeds were the result of researches made at laboratory and finally tested in supervised conditions in the research fields of agriculture universities. These were tested for different doses of fertilizers particularly chemical fertilizers and also for micro nutrients of soil. Soil testing and recommendation of particular deficient nutrient was the main know haw which was lacking earlier. suitable use of pesticides and fungicides and weedicides were also recommended with adequate doses of water and dry land farming techniques.
The other important feature of green revolution was multiple cropping patterns. Which aimed at intensive cultivation of land by raising more than one crop in one plot.
Use of HIGH YIELDING VARIETIES covered mainly 5 crops namely Wheat, Rice, maize, jowar and Bazra. However it was noticed that it resulted striking progress in wheat only. It is therefore also called as wheat revolution by some scientists. The use of high yielding varieties resulted in marked increase in productivity.
The main factor that lead to increase in the production was use of dwarf varieties of Mexican strains and also kalyan & sona varieties.
A part of the success was also contributed by intensive and balanced use of fertilizer, use plant protection measures, progress of irrigation facilities and mechanization of farming.
Above all these were the results of hard work of agricultural scientists and extension departments of agriculture universities
(NEXT BLOG WILL BE PUBLISHED WITH HEADING PROBLEMS AND EVAUATION OF GREEN REVOLUTION—C )
These seeds were the result of researches made at laboratory and finally tested in supervised conditions in the research fields of agriculture universities. These were tested for different doses of fertilizers particularly chemical fertilizers and also for micro nutrients of soil. Soil testing and recommendation of particular deficient nutrient was the main know haw which was lacking earlier. suitable use of pesticides and fungicides and weedicides were also recommended with adequate doses of water and dry land farming techniques.
The other important feature of green revolution was multiple cropping patterns. Which aimed at intensive cultivation of land by raising more than one crop in one plot.
Use of HIGH YIELDING VARIETIES covered mainly 5 crops namely Wheat, Rice, maize, jowar and Bazra. However it was noticed that it resulted striking progress in wheat only. It is therefore also called as wheat revolution by some scientists. The use of high yielding varieties resulted in marked increase in productivity.
The main factor that lead to increase in the production was use of dwarf varieties of Mexican strains and also kalyan & sona varieties.
A part of the success was also contributed by intensive and balanced use of fertilizer, use plant protection measures, progress of irrigation facilities and mechanization of farming.
Above all these were the results of hard work of agricultural scientists and extension departments of agriculture universities
(NEXT BLOG WILL BE PUBLISHED WITH HEADING PROBLEMS AND EVAUATION OF GREEN REVOLUTION—C )
2nd Green Revolution- a dream project (A)
(A)Historical Background
Food production in the first five year plan exceeded the target and at the end of plan prices of all commodities registered declining. cheap food created a semblance of prosperity and planning commission presumed that the food problem was over.
Soon things started changing and it was realized that food problem was very much there. In the period 1958-1968 India experienced recurrent shortage of food and to import fairly large quantities of wheat. Various factors were responsible for the same. These were inadequate inputs, old methods of cultivation, faulty land use pattern, shortage of scientific knowledge of cultivation etc.
After 1961 the situation was so alarming that government was compelled to adopt a strategy powerful enough to secure the breakthrough.
The new agricultural strategy which was introduced in mid sixties emerged out of recommendations of the FORD FOUNDATION. The main theme of the recommendation was to emphasize that-
” Instead of spreading the developmental efforts more or less on uniform basis throughout the country without getting any striking result, intensive effort for production should be made with a combination of all technological improvements and concentration of man power and resources in selected areas having potential of production/ having optimum conditions of stepping up production.”
It was anticipated that this new strategy will spread in other areas automatically.
Coincidentally sever droughts were seen in the year 1968-1969 which also necessitated adoption of the strategy. Finally it was adopted in the plan of in the annual plans of 1969.
(NEXT PART WILL BE PUBLISHED SOON WITH HEADING "WHAT IS GREEN REVOLUTION INDEED"-B )
Food production in the first five year plan exceeded the target and at the end of plan prices of all commodities registered declining. cheap food created a semblance of prosperity and planning commission presumed that the food problem was over.
Soon things started changing and it was realized that food problem was very much there. In the period 1958-1968 India experienced recurrent shortage of food and to import fairly large quantities of wheat. Various factors were responsible for the same. These were inadequate inputs, old methods of cultivation, faulty land use pattern, shortage of scientific knowledge of cultivation etc.
After 1961 the situation was so alarming that government was compelled to adopt a strategy powerful enough to secure the breakthrough.
The new agricultural strategy which was introduced in mid sixties emerged out of recommendations of the FORD FOUNDATION. The main theme of the recommendation was to emphasize that-
” Instead of spreading the developmental efforts more or less on uniform basis throughout the country without getting any striking result, intensive effort for production should be made with a combination of all technological improvements and concentration of man power and resources in selected areas having potential of production/ having optimum conditions of stepping up production.”
It was anticipated that this new strategy will spread in other areas automatically.
Coincidentally sever droughts were seen in the year 1968-1969 which also necessitated adoption of the strategy. Finally it was adopted in the plan of in the annual plans of 1969.
(NEXT PART WILL BE PUBLISHED SOON WITH HEADING "WHAT IS GREEN REVOLUTION INDEED"-B )
Tuesday, 23 February 2010
RURAL DEVELOPMENT
Rural Development is a process by which people of Rural society increase their personal and institutional capacities to mobilize and manage resources to produce sustainable and justly distributed improvements in quality of life over and above the basic requirements of life i.e food, shelter and cloths.
It is all round development using potential available in the area, particularly agriculture and allied activities, village and cottage industries. I also includes socioeconomic development,improvement in infrastructure, community services, education, health etc.In other words "It is a vision in which there is a wide range of choice of social and economic parameters for improved standard of living.
Agriculture is back bone of our country. nearly 70% people depend on agriculture.
Agriculture contributes 32 percent in national economy.more often rural development is considered as synonym of development of agriculture. Development in agriculture include farm and farm worker's development.
Thus Rural Development relates to development of rural people or people living in rural area.
It is all round development using potential available in the area, particularly agriculture and allied activities, village and cottage industries. I also includes socioeconomic development,improvement in infrastructure, community services, education, health etc.In other words "It is a vision in which there is a wide range of choice of social and economic parameters for improved standard of living.
Agriculture is back bone of our country. nearly 70% people depend on agriculture.
Agriculture contributes 32 percent in national economy.more often rural development is considered as synonym of development of agriculture. Development in agriculture include farm and farm worker's development.
Thus Rural Development relates to development of rural people or people living in rural area.
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