Agriculture Financial Schemes for farmers in India: An analytical study

Abstract

Agriculture is a prime sector in terms of providing employment to
roughly 44 per cent of the working population. The sector is one of
the largest contributor to GDP of India which is contributes 14.4%
but the portion of agriculture sector in GDP of India has shown
reducing trend over a last decade. Therefore it is required to have
appropriate intervention and change in the related strategies by
Government. The farm credit is one of the most significant needs of
farmers of India. It assumes a significant role in reception of new
innovation to enhance the farm profitability. Subsequent to
understanding the need, Government of India (GOI) is quick to find a
way to formalize the institutional structure for farm credit
distribution. GOI has thought of different plans like Interest
subvention schemes for farmers, Kisan Credit Card Scheme,
Investment loan, Pradhan Mantri Annadata Aay Sanrakshan Abhiyan
(PM-AASHA), Pradhan Mantri Fasal Bima Yojana, Livestock
Insurance, Revenue Insurance Scheme for Plantation Crops. In view
of consistent endeavors by government there has been sharp
decrease in farming credit financed by non-institutional credit. On
the other hand increase in agriculture credit financed by
institutionalized sources like scheduled commercial banks and Co
operatives. Each farming credit schemes is not quite the same as the
point of view of its objectives and core interest. It is additionally
require to contemplate operational parts of every plan
independently (I.e. how is it actualized through different channel?).
Henceforth this paper endeavors to investigate the different
agriculture credit plans from farmer's point of view.