Rs 1.38 trillion disbursed among farmers

The Union Agriculture Ministry on Thursday said that Rs 1.38 lakh crore (Rs 1.38 trillion) have been disbursed among farmers across the country as agriculture credit up to September.

This is about 42.41 percent of the target fixed for the current fiscal. The target to be achieved during 2009-10 is to the tune of Rs 3.25 lakh crore (Rs 3.25 trillion).

The ministry has stated that it has distributed Rs 92,595.08 crore (Rs 925.95 billion) through commercial banks, Rs 27,704.85 crore (Rs 277.04 billion) through cooperative banks, Rs 17,531.31 crore (Rs 175.31 billion) through rural banks.

The flow of agriculture credit since 2003-04 has consistently exceeded the target and increased from Rs 86,981 crore (Rs 869.81 billion) in 2003-04 to Rs 2,87,149 crore (Rs 2,871.49 billion) in 2008-09. 

As advised by the agriculture ministry to launch an intensive branch and village level campaign to provide Kisan Credit Card to all the eligible and willing farmers in a time bound manner, the state governments have issued 8.53 crore cards up to July.

To relieve the burden of overdues, the government has waived or given relief to about 3.68 crore farmers through One Time Settlement involving an amount of Rs 65,318.33 crore (Rs 6,531.8 billion) making them eligible to avail fresh credit from the banking system.

Meanwhile, the government is also implementing revival package for Short-term Rural Cooperative Credit Structure involving financial outlay of Rs 13,596 crore (Rs 135.96 billion).

The Center has entered a trilateral agreement with the state governments and the National Bank for Agriculture and Rural Development and accordingly constituted a Task Force to look into the issue of a large number of farmers, who had taken loans from private moneylenders in the country.