Role of Role of Government Agencies & BanksGovernment Agencies & Banksin Creating an Environment for in Creating an Environment for

Growth of Growth of Landless & Marginal Farmers in Landless & Marginal Farmers in

Rainfed AreasRainfed Areas

Ajay KumarAjay Kumar

Farmerswelfare.orgFarmerswelfare.org

Facts Facts

Landless – about 3 CroresLandless – about 3 Crores Marginal farmers – about 5 Crore Marginal farmers – about 5 Crore

householdshouseholds Rainfed area- about 80 million Rainfed area- about 80 million

hectares or more than 60 % of total hectares or more than 60 % of total cultivable areacultivable area

Some of the states like Karnataka, Some of the states like Karnataka, Maharashtra, Rajasthan, MP have Maharashtra, Rajasthan, MP have more than 70 % rainfed areamore than 70 % rainfed area

Why we should focus on these Why we should focus on these areas & target groups-1areas & target groups-1

To minimize SuicidesTo minimize Suicides To Increase Food SecurityTo Increase Food Security To Reduce PovertyTo Reduce Poverty To Increase employment & reduce To Increase employment & reduce

unrest amongst youthunrest amongst youth To Reduce Subsidy on PDS, To Reduce Subsidy on PDS,

FertilizersFertilizers Reduce Pressure on urban areas due Reduce Pressure on urban areas due

to permanent or seasonal migrationto permanent or seasonal migration

Why we should focus on these Why we should focus on these areas & target groups-2areas & target groups-2

Reduce huge amounts spent on Reduce huge amounts spent on Calamity Relief specially droughtCalamity Relief specially drought

Reduce direct expenditures like Reduce direct expenditures like NREGANREGA

Reduce waste of financial resources Reduce waste of financial resources by integrating services & by integrating services & convergence between GOI, State convergence between GOI, State Government, Banks & other delivery Government, Banks & other delivery mechanisms like NGOs etcmechanisms like NGOs etc

Why we should focus on these Why we should focus on these areas & target groups-3areas & target groups-3

Avoiding further degradation of Soil Avoiding further degradation of Soil & Natural Resources& Natural Resources

To break the stagnation in total food To break the stagnation in total food grain production by increasing grain production by increasing contribution by rainfed areascontribution by rainfed areas

Increase Financial InclusionIncrease Financial Inclusion

Elements of the Environment Elements of the Environment Conducive to Growth of Landless & Conducive to Growth of Landless & Marginal Farmers in Rainfed AreasMarginal Farmers in Rainfed Areas

Elements of the Environment -1Elements of the Environment -1 Promoting Integrated Planning by Promoting Integrated Planning by

convergence between Government & convergence between Government & Banks (CDAPS & PLP/ACPs), Universities & Banks (CDAPS & PLP/ACPs), Universities & NGOsNGOs

Availability of Credit - Short Term & Long Availability of Credit - Short Term & Long Term to these groups & areasTerm to these groups & areas

Development of Crop Planning SkillsDevelopment of Crop Planning Skills Availability of Suitable Seeds – Variety, Availability of Suitable Seeds – Variety,

Quality, Quantity, Cost Effective & in TimeQuality, Quantity, Cost Effective & in Time Possibility of investments in Production Possibility of investments in Production

Systems on small landsSystems on small lands Training in Best Practices for Production Training in Best Practices for Production

with optimum use of water & other inputswith optimum use of water & other inputs

Elements of the Environment -2Elements of the Environment -2

Mechanisms for creation of Mechanisms for creation of Community Assets like water shed, Community Assets like water shed, stop dams, village forestsstop dams, village forests

Availability of Common equipments Availability of Common equipments for short time needs of marginal for short time needs of marginal farmersfarmers

Availability of small hand & bullock Availability of small hand & bullock driven tools & equipmentdriven tools & equipment

Empower landless with skills & toolsEmpower landless with skills & tools

Elements of the Environment -3Elements of the Environment -3

Availability of small machines for post Availability of small machines for post harvest processing – primary & harvest processing – primary & secondarysecondary

Mechanisms to package & label Mechanisms to package & label primary produce or processed produce primary produce or processed produce on service basison service basis

Availability of Micro-marketing channelsAvailability of Micro-marketing channels Mechanisms for direct marketing of Mechanisms for direct marketing of

small quantities in urban areassmall quantities in urban areas

Elements of the Environment-4Elements of the Environment-4

Regulations, Services & Taxation in Regulations, Services & Taxation in favor of small holdings ( e.g. Stamp favor of small holdings ( e.g. Stamp Duty,)Duty,)

Small Loans, Bank Charges, Small Loans, Bank Charges, Collateral, Mortgage, Moratorium, Collateral, Mortgage, Moratorium, Loan Periods, Loan Rescheduling in Loan Periods, Loan Rescheduling in favor of these groups & areasfavor of these groups & areas

These Elements These Elements if taken care by if taken care by

government, agencies & banks government, agencies & banks will enable millions of will enable millions of

marginal & small farmers in marginal & small farmers in rainfed areas to rainfed areas to

jump start for their jump start for their own development own development

Pl send ur feedback atPl send ur feedback at

Ajay KumarAjay Kumar Email – Email – ajaykumaragri@gmail.comajaykumaragri@gmail.com Mobile - 09926808850Mobile - 09926808850

ThanksThanks