Lok Sabha Question No. 1845 (UNSTARRED), answered on 2020-03-03
Subject: Debt Ridden Farmers
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Deepak (Dev) Adhikari

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

## LOK SABHA UNSTARRED QUESTION NO.1845

TO BE ANSWERED ON THE 3 RD  MARCH, 2020

## DEBT RIDDEN FARMERS

1845. SHRI ADHIKARI DEEPAK (DEV):

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

- (a) whether the farmers in the country are still debt ridden;
- (b) if so, the details thereof along with the details of debt ridden farmers during the last three years and the current year, State/UT-wise;
- (c) whether per farmer debt burden is higher than the average annual per capita income in the country; and
- (d) if so, the details of the steps taken by the Government in this regard?

## ANSWER

## MINISTER OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंी (SHRI NARENDRA SINGH TOMAR)

- (a)  to  (c):    As  per  the  National  Sample  Survey  Office  (NSSO)  70 th Round  (Report  No.  577), household Indebtedness in India 2013, the State-wise debt per agricultural households and the State-wise Agriculture Ground Level Credit outstanding is given at Annexure-I and Annexure-II respectively.

As per the NSSO Report, about 52 percent of the agricultural households in the country were  estimated  to  be  indebted.  The  average  per  capita  income  is  Rs.77,112/-  against  the average amount of outstanding loan per agricultural household is Rs.47,000/- (approximately).

- (d): To reduce the debt burden of farmers and increase the availability of institutional credit to rural areas, the Government have taken the following major initiatives:
- (i): To ease the burden of interest payment on farmers, the Government implements Interest Subvention Scheme so as to make short-term crop loans upto Rs.3 lakh including loans through Kisan Credit Card (KCC) for a period of one year available to farmers at the interest rate of 7% per annum and in case of timely repayment, the same gets reduced to 4%
- (ii): Interest subvention of 2% and prompt repayment incentive of 3% on restructured crop loans is also given to farmers affected by severe natural calamities for a maximum period of 5 years  on  the  basis  of  report  of  Inter-Ministeral  Central  Team  (IMCT)  for  grant  of  NDRF assistance and Sub-Committee of National Executive Committee (SC-NEC) is also available.

(iii): The benefit of ISS  has been extended to Animal Husbandry and Fisheries farmers' Upto loan limit of Rs. 2 lakh per farmer so as to reduce the burden of interest component and to provide hassle free short term working capital loans to them.

(vi): Collateral fee loan limit for short term agri-credit has been raised from Rs.1.00 lakh  to Rs.1.60 lakh.

(v): To facilitate the farmers for issue of KCC, Processing fee, inspection, ledger folio charges and all other service charges for short term crop loans upto Rs.3.00 lakh have been waived off.

(vi): To bring the maximum number of farmers under KCC in order to provide loan to them at a cheaper rate under the Interest Subvention Scheme (ISS), the  Government  has  launched  a special  drive  to  cover  all  PM  KISAN  beneficiaries  under  KCC.  A  detailed  strategy  has  been prepared  and shared  with the  participating  agencies  to  be  adopted  for  making  the  campaign successful, which includes one page application from and KCC to be issued in a time-bound manner within 14 days from the date of receiving of completed form.

(vii): Under the Kisan Credit Card (KCC) Scheme, a flexible limit of Rs.10,000 to Rs.50,000 is provided  to  marginal  farmers  (as  Flexi  KCC)  based  on  the  land  holding  and  crops  grown including  post  harvest  warehouse  storage  related  credit  needs  and  other  farm  expenses, consumption needs, etc. Plus small term loan investments without relating it to the value of land.

(viii): NABARD Finances Joint Liability Groups (JLGs) of  'Bhoomi Heen Kisan' for augmenting flow  of  credit  to  tenant/landless  farmers,  extending  collateral  free  loans  to  them  and  building natural trust and confidence between banks and JLG members.

## Annexure-I

|   S. No. | States/UTs        |   Average Amount of Debt per Cultivator Household (Amount in Rs.) |
|----------|-------------------|-------------------------------------------------------------------|
|        1 | Andhra Pradesh    |                                                             87777 |
|        2 | Arunachal Pradesh |                                                              3763 |
|        3 | Assam             |                                                              4580 |
|        4 | Bihar             |                                                             19672 |
|        5 | Chhattisgarh      |                                                             11677 |
|        6 | Delhi             |                                                              6957 |
|        7 | Goa               |                                                             28161 |
|        8 | Gujarat           |                                                             28667 |
|        9 | Haryana           |                                                             64916 |
|       10 | Himachal Pradesh  |                                                             39504 |
|       11 | Jammu & Kashmir   |                                                             12613 |
|       12 | Jharkhand         |                                                              7004 |
|       13 | Karnataka         |                                                             66127 |
|       14 | Kerala            |                                                            171581 |
|       15 | Madhya Pradesh    |                                                             26255 |
|       16 | Maharashtra       |                                                             43129 |
|       17 | Manipur           |                                                              5275 |
|       18 | Meghalaya         |                                                              1697 |
|       19 | Mizoram           |                                                              4206 |
|       20 | Nagaland          |                                                              2271 |
|       21 | Odisha            |                                                             12480 |
|       22 | Punjab            |                                                            120889 |
|       23 | Rajasthan         |                                                             52150 |
|       24 | Sikkim            |                                                             46896 |
|       25 | Tamil Nadu        |                                                             64298 |
|       26 | Telangana         |                                                             68028 |
|       27 | Tripura           |                                                              3636 |
|       28 | Uttarakhand       |                                                             26336 |
|       29 | Uttar Pradesh     |                                                             25805 |
|       30 | West Bengal       |                                                             14848 |
|       31 | A & N Islands     |                                                             15483 |
|       32 | Chandigarh        |                                                              6338 |
|       33 | Dadra & N. Haveli |                                                              5864 |
|       34 | Daman & Diu       |                                                             36388 |
|       35 | Lakshadweep       |                                                             11407 |
|       36 | Puducherry        |                                                             59076 |

Annexure II

| AGRICULTURE CREDIT GLC OUTSTANDING ( As on 31 st March of Corresponding year) (Amt. in Rs. Lakh)   | AGRICULTURE CREDIT GLC OUTSTANDING ( As on 31 st March of Corresponding year) (Amt. in Rs. Lakh)   | AGRICULTURE CREDIT GLC OUTSTANDING ( As on 31 st March of Corresponding year) (Amt. in Rs. Lakh)   | AGRICULTURE CREDIT GLC OUTSTANDING ( As on 31 st March of Corresponding year) (Amt. in Rs. Lakh)   | AGRICULTURE CREDIT GLC OUTSTANDING ( As on 31 st March of Corresponding year) (Amt. in Rs. Lakh)   |
|----------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|
| S. No.                                                                                             | State/UT                                                                                           | 2016-17                                                                                            | 2017-18                                                                                            | 2018-19                                                                                            |
| 1.                                                                                                 | A & N ISLAND                                                                                       | 14798                                                                                              | 14777                                                                                              | 14864                                                                                              |
| 2.                                                                                                 | ANDHRA PRADESH                                                                                     | 11132261                                                                                           | 12594829                                                                                           | 14562533                                                                                           |
| 3.                                                                                                 | ARUNACHAL PRADESH                                                                                  | 26560                                                                                              | 29038                                                                                              | 28334                                                                                              |
| 4.                                                                                                 | ASSAM                                                                                              | 1086065                                                                                            | 1205503                                                                                            | 1283191                                                                                            |
| 5.                                                                                                 | BIHAR                                                                                              | 3489403                                                                                            | 3942682                                                                                            | 4609365                                                                                            |
| 6.                                                                                                 | CHANDIGARH UT                                                                                      | 249366                                                                                             | 236371                                                                                             | 216338                                                                                             |
| 7.                                                                                                 | CHHATTISGARH                                                                                       | 1252887                                                                                            | 1394163                                                                                            | 1373308                                                                                            |
| 8.                                                                                                 | D & N HAVELI UT                                                                                    | 5835                                                                                               | 5516                                                                                               | 6535                                                                                               |
| 9.                                                                                                 | DAMAN & DIU UT                                                                                     | 2008                                                                                               | 4378                                                                                               | 4220                                                                                               |
| 10.                                                                                                | DELHI                                                                                              | 1313761                                                                                            | 1102723                                                                                            | 1280349                                                                                            |
| 11.                                                                                                | GOA                                                                                                | 153599                                                                                             | 171225                                                                                             | 181718                                                                                             |
| 12.                                                                                                | GUJARAT                                                                                            | 7057542                                                                                            | 7703579                                                                                            | 8088199                                                                                            |
| 13.                                                                                                | HARYANA                                                                                            | 5647357                                                                                            | 5848236                                                                                            | 6468498                                                                                            |
| 14.                                                                                                | HIMACHAL PRADESH                                                                                   | 733661                                                                                             | 783795                                                                                             | 861943                                                                                             |
| 15.                                                                                                | JAMMU & KASHMIR                                                                                    | 662286                                                                                             | 729430                                                                                             | 814044                                                                                             |
| 16.                                                                                                | JHARKHAND                                                                                          | 730658                                                                                             | 817322                                                                                             | 883754                                                                                             |
| 17.                                                                                                | KARNATAKA                                                                                          | 12214101                                                                                           | 12927529                                                                                           | 12750521                                                                                           |
| 18.                                                                                                | KERALA                                                                                             | 6921243                                                                                            | 7642105                                                                                            | 8779492                                                                                            |
| 19.                                                                                                | LAKSHADWEEP UT                                                                                     | 633                                                                                                | 1772                                                                                               | 647                                                                                                |
| 20.                                                                                                | MADHYA PRADESH                                                                                     | 7371363                                                                                            | 8333191                                                                                            | 8989883                                                                                            |
| 21.                                                                                                | MAHARASHTRA                                                                                        | 16914931                                                                                           | 16150337                                                                                           | 14774943                                                                                           |
| 22.                                                                                                | MANIPUR                                                                                            | 43204                                                                                              | 62852                                                                                              | 60403                                                                                              |
| 23.                                                                                                | MEGHALAYA                                                                                          | 83092                                                                                              | 86086                                                                                              | 81045                                                                                              |
| 24.                                                                                                | MIZORAM                                                                                            | 32571                                                                                              | 50697                                                                                              | 43888                                                                                              |
| 25.                                                                                                | NAGALAND                                                                                           | 38736                                                                                              | 47353                                                                                              | 49688                                                                                              |
| 26.                                                                                                | ODISHA                                                                                             | 2685323                                                                                            | 2889584                                                                                            | 3274141                                                                                            |
| 27.                                                                                                | PUDUCHERRY                                                                                         | 224221                                                                                             | 243001                                                                                             | 283799                                                                                             |
| 28.                                                                                                | PUNJAB                                                                                             | 8376991                                                                                            | 8555582                                                                                            | 8265700                                                                                            |
| 29.                                                                                                | RAJASTHAN                                                                                          | 9143184                                                                                            | 10024054                                                                                           | 10618104                                                                                           |
| 30.                                                                                                | SIKKIM                                                                                             | 19300                                                                                              | 22737                                                                                              | 21964                                                                                              |
| 31.                                                                                                | TAMILNADU                                                                                          | 14293142                                                                                           | 17116907                                                                                           | 18544417                                                                                           |
| 32.                                                                                                | TELANGANA                                                                                          | 6225752                                                                                            | 6040687                                                                                            | 6959851                                                                                            |
| 33.                                                                                                | TRIPURA                                                                                            | 235664                                                                                             | 335355                                                                                             | 408629                                                                                             |
| 34.                                                                                                | UTTAR PRADESH                                                                                      | 20530100                                                                                           | 14157777                                                                                           | 15631963                                                                                           |
| 35.                                                                                                | UTTARAKHAND                                                                                        | 922091                                                                                             | 1006141                                                                                            | 1062801                                                                                            |
| 36.                                                                                                | WEST BENGAL                                                                                        | 3846261                                                                                            | 4445075                                                                                            | 4941920                                                                                            |
|                                                                                                    | GRAND TOTAL                                                                                        | 143679948                                                                                          | 146722387                                                                                          | 156220990                                                                                          |

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