Lok Sabha Question No. 339 (UNSTARRED), answered on 2017-07-18
Subject: Debt Burden on Farmers
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: ARVIND GANPAT SAWANT, HARISH CHANDRA MEENA, BHAVANA GAWALI (PATIL), VIRENDRA  KUMAR, REKHA ARUN VERMA

O.I.H

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK  SABHA UNSTARRED QUESTION NO.339

TO BE ANSWERED ON THE 18 TH  JULY, 2017

## DEBT BURDEN ON FARMERS

339. SHRI ARVIND SAWANT:

SHRI HARISH MEENA: SHRIMATI BHAVANA PUNDALIKRAO GAWALI PATIL: DR. VIRENDRA KUMAR: SHRIMATI REKHA VERMA:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी be pleased to state:

- (a) whether around 52% of farmers are reeling under debt burden and their growth of income is also negative;
- (b) the details of indebtedness of farmers in the country including loan amount per farmer, State-wise;
- (c) whether  the  increase  in  farmers'  loans  has  been  due  to  granting  of  more  institutional loans to farmers by banks generously and if so, the response of the Government thereto and the steps taken by the Government in this regard;
- (d) whether any synergy has been established between Union and State to increase income of farmers and reduce their debt burden and if so, the details and the outcome thereof; and
- (e) whether  debt  burden  on  each  farmer  is  more  than  that  of  average  annual  per  capita income in the country and if so, the details thereof?

## ANSWER

MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंालय म राय मंी (SHRI  PARSHOTTAM RUPALA)

- (a)  &  (b):  As  per  National  Sample  Survey  Organisation  (NSSO)  Report  No.  498  on  the 'Indebtedness of Farmer Households' (as part of Situation Assessment Survey of Farmers 59 th Round), of the 89.35 million farmer households, 43.42 million (48.6%) were reported to be indebted to either formal or informal or both sources of credit (Annexure-I).
- (c)  to  (e):    Government  has  taken  several  steps  to  popularize  agriculture  by  increasing investment, improving farm practices, creating rural infrastructure and ensuring timely delivery of  credit,  technology  and  other  inputs  and  providing  remunerative  prices  for  farm  produce through increased MSPs, higher level of procurement & competitive markets.  Measures were taken   by  Government  to  minimise  indebtedness  from   non-institutional  sources of lending

includes fixation of annual targets for improving agricultural credit flow, provision of crop loans upto Rs.3.00 lakh @4% per annum to such farmers who repay their loan as per the repayment schedule  fixed  by  the  banks,  extention  of  benefit  of  interest  subvention  scheme  to  small  & marginal farmers having Kisan Credit Card for a further period upto six months for storing their produce in warehouses against negotiable warehouse receipts, collateral free loan upto Rs.1.00 lakh, scheme for financing of Joint Liability Group (JLGs) etc.

Based on the Situation Assessment Survey of Agricultural Househoulds, NSS 70 th round (January 2013-December, 2013), the average monthly income is Rs.6,426 against the average amount of outstanding loan of Rs.47,000 per agricultural household.  The State/UT-wise details of estimates of outstanding loan and average monthly income per farmer household during the agricultural year July 2012-June 2013 is qt.  Annexure-II.

Lok Sabha Unstarred Question No. 339 for answer on 18.07.2017

## Estimated Number of Rural Households and Indebted Farmer Households in each State

| State             |   Estimated No. of Rural Households ('00) |   Estimated No. of Farmer Households ('00) |   Estimated No. of Indebted Farmers Households ('00) |   Percentage of Farmer Households Indebted |
|-------------------|-------------------------------------------|--------------------------------------------|------------------------------------------------------|--------------------------------------------|
| Andhra Pradesh    |                                    142512 |                                      60339 |                                                49493 |                                       82   |
| Arunachal Pradesh |                                     15412 |                                       1227 |                                                   72 |                                        5.9 |
| Assam             |                                     41525 |                                      25040 |                                                 4536 |                                       18.1 |
| Bihar             |                                    116853 |                                      70804 |                                                23383 |                                       33   |
| Chhattisgarh      |                                     36316 |                                      27598 |                                                11092 |                                       40.2 |
| Gujarat           |                                     63015 |                                      37845 |                                                19644 |                                       51.9 |
| Haryana           |                                     31474 |                                      19445 |                                                10330 |                                       53.1 |
| Himachal Pradesh  |                                     11928 |                                       9061 |                                                 3030 |                                       33.4 |
| Jammu &Kashmir    |                                     10418 |                                       9432 |                                                 3003 |                                       31.8 |
| Jharkhand         |                                     36930 |                                      28238 |                                                 5893 |                                       20.9 |
| Karnataka         |                                     69908 |                                      40413 |                                                24897 |                                       61.6 |
| Kerala            |                                     49942 |                                      21946 |                                                14126 |                                       64.4 |
| Madhya Pradesh    |                                     93898 |                                      63206 |                                                32110 |                                       50.8 |
| Maharashtra       |                                    118177 |                                      65817 |                                                36098 |                                       54.8 |
| Manipur           |                                      2685 |                                       2146 |                                                  533 |                                       24.8 |
| Meghalaya         |                                      3401 |                                       2543 |                                                  103 |                                        4.1 |
| Mizoram           |                                       942 |                                        780 |                                                  184 |                                       23.6 |
| Nagaland          |                                       973 |                                        805 |                                                  294 |                                       36.5 |
| Orissa            |                                     66199 |                                      42341 |                                                20250 |                                       47.8 |
| Punjab            |                                     29847 |                                      18442 |                                                12069 |                                       65.4 |
| Rajasthan         |                                     70172 |                                      53080 |                                                27828 |                                       52.4 |
| Sikkim            |                                       812 |                                        531 |                                                  174 |                                       38.8 |
| Tamil Nadu        |                                    110182 |                                      38880 |                                                28954 |                                       74.5 |
| Tripura           |                                      5977 |                                       2333 |                                                 1148 |                                       49.2 |
| Uttar Pradesh     |                                    221499 |                                     171575 |                                                69199 |                                       40.3 |
| Uttarakhand       |                                     11959 |                                       8962 |                                                  644 |                                        7.2 |
| West Bengal       |                                    121667 |                                      69226 |                                                34696 |                                       50.1 |
| Group of UT's     |                                      2325 |                                        732 |                                                  372 |                                       50.8 |
| All India         |                                   1478988 |                                     893504 |                                               434242 |                                       48.6 |

Source: Report  NO.498  on  the  'Indebtedness  of  Farmer  Households'  -NSS  59 th Round  (January- December 2003) released by National Sample Survey Organization (NSSO) in May, 2005.

## ANNEXURE-I

## Annexure -II

## Lok Sabha Unstarred Question No. 339 for answer on 18.07.2017 Average Monthly Income and average amount of outstanding loan per Agricultural Household during the agricultural year July 2012- June 2013

| State #           | Estmated number. of household having outstanding loan   | Average monthly income* per agri. Household during July 2012- June 2013 (Rs)   | Approximate average amount of outstanding loan** per agricultural household (Rs)   |
|-------------------|---------------------------------------------------------|--------------------------------------------------------------------------------|------------------------------------------------------------------------------------|
| (1)               | (2)                                                     | (3)                                                                            | (4)                                                                                |
| Andhra Pradesh    | 33421                                                   | 5979                                                                           | 123400                                                                             |
| Arunachal Pradesh | 206                                                     | 10869                                                                          | 5400                                                                               |
| Assam             | 5995                                                    | 6695                                                                           | 3400                                                                               |
| Bihar             | 30156                                                   | 3558                                                                           | 16300                                                                              |
| Chhattisgarh      | 9538                                                    | 5177                                                                           | 10200                                                                              |
| Gujarat           | 16743                                                   | 7926                                                                           | 38100                                                                              |
| Haryana           | 6645                                                    | 14434                                                                          | 79000                                                                              |
| Himachal Pradesh  | 2457                                                    | 8777                                                                           | 28000                                                                              |
| Jammu &Kashmir    | 3463                                                    | 12683                                                                          | 12200                                                                              |
| Jharkhand         | 6464                                                    | 4721                                                                           | 5700                                                                               |
| Karnataka         | 32775                                                   | 8832                                                                           | 97200                                                                              |
| Kerala            | 10908                                                   | 11888                                                                          | 213600                                                                             |
| Madhya Pradesh    | 27414                                                   | 6210                                                                           | 32100                                                                              |
| Maharashtra       | 40672                                                   | 7386                                                                           | 54700                                                                              |
| Manipur           | 421                                                     | 8842                                                                           | 6100                                                                               |
| Meghalaya         | 84                                                      | 11792                                                                          | 1400                                                                               |
| Mizoram           | 47                                                      | 9099                                                                           | 2900                                                                               |
| Nagaland          | 65                                                      | 10048                                                                          | 600                                                                                |
| Odisha            | 25830                                                   | 4976                                                                           | 28200                                                                              |
| Punjab            | 7499                                                    | 18059                                                                          | 119500                                                                             |
| Rajasthan         | 40055                                                   | 7350                                                                           | 70500                                                                              |
| Sikkim            | 97                                                      | 6798                                                                           | 9900                                                                               |
| Tamil Nadu        | 26780                                                   | 6980                                                                           | 115900                                                                             |
| Telangana         | 22628                                                   | 6311                                                                           | 93500                                                                              |
| Tripura           | 559                                                     | 5429                                                                           | 5000                                                                               |
| Uttarakhand       | 5387                                                    | 4701                                                                           | 35600                                                                              |
| Uttar Pradesh     | 79081                                                   | 4923                                                                           | 27300                                                                              |
| West Bengal       | 32787                                                   | 3980                                                                           | 17800                                                                              |
| Group of UTs      | 267                                                     | 8568                                                                           | 47700                                                                              |
| all-India         | 468481                                                  | 6426                                                                           | 47000                                                                              |

(Source:  Key  Indicators  of  Situation  of  Agricultural  Households  in  India  based  on  Situation  Assessment Survey of Agricultural Households, NSS 70 th round (January 2013- December 2013))

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