Lok Sabha Question No. 1259 (UNSTARRED), answered on 2021-02-09
Subject: Kisan Credit Card Scheme
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Jaskaur Meena

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

## LOK  SABHA UNSTARRED QUESTION NO. 1259

TO BE ANSWERED ON THE 9 TH  FEBRUARY, 2021

## KISAN CREDIT CARD SCHEME

1259.  SHRIMATI JASKAUR MEENA:

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

- (a) the important features of Kisan Credit Card Scheme;
- (b) the details of funds approved, allocated and utilised in Rajasthan till date under this scheme;
- (c) the number of beneficiaries covered in Dausa district of Rajasthan till date under this scheme;
- (d) the details of achievements till date and target set under this scheme;
- (e) whether  the  Government  plans  to  cover  dairy  farmers  of  the  country  under  this scheme and if so, the details thereof;
- (f) the details of projected funds for this scheme; and
- (g) the time by which it is likely to be implemented?

## ANSWER

## MINISTER OF AGRICULTURE AND FARMERS WELFARE

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

- (a):   Kisan Credit Card (KCC) Scheme provides adequate and timely credit support from the banking system under a single window to the farmers for their cultivation & other needs and is in operation since August 1998. The Scheme provides for sanction of the limit for 5 years with simplified renewal every year. The issue of smart -cum debit card, mandated under the revised guidelines, enables the farmers to access multiple delivery channels. Tenant farmers, oral lessees or share croppers are also covered under the Scheme.

Conted…..2/-

KCC  is  saving  -cum-  loan  product,  where  the  loan  limit  is  calculated  based  on Scale  of  Finance  as  decided  by  District  Level  Technical  Committee  (DLTC)  [State  Level Technical Committee (SLTC) from the financial year 2021-22]. Scale of Finance is a measure of the loans that can be given per acre per crop on the basis of local cost worked out. The committee  deliberate  and  arrives  at  the  maximum  amount  that  can  be  given  for  different crops  taking  all  factors  including  cost  o  fertilizers,  seeds,  etc  into  account.  All  scheduled commercial  banks,  small  finance  banks,  cooperative  banks  and  RRBs  extend  crop  loans through KCC  implementing the guidelines issued in terms of RBI Master Circular FIDD.CO.FSD.BC.No.6/05.05.010/2018-19 dated July 04, 2018 on Kisan Credit Card. The loan limit  sanctioned  for  5  years  includes  additional  10% limit  towards  postharvest/ household/  consumption  requirements  and  20%  limit  towards  repairs  and  maintenance expenses of farm assets along with an additional 10% of the limit towards cost escalation / increase in scale of finance for every successive year (2nd, 3rd, 4th and 5th year).

Further  in  terms  of  RBI  circular  FIDD.CO.FSD.BC.12/05.05.010/2018-19  dated February 04, 2019 KCC facility is extended to Animal Husbandry farmers and Fisheries for their  working  capital  requirements  along  with  the  benefit  of  Interest  Subvention,  wherein Dairy farmers either individual or joint borrower, Joint Liability Groups or Self Help Groups including tenant farmers having owned /rented/leased sheds are eligible for getting benefits under the scheme.

(b): The  scheme  is  demand  driven  and  no  State-wise  budgetary  allocations  are  made under the Scheme.

(c) & (d): As  reported  by  State  Level  Bankers  Committee  (SLBC)  Rajasthan,  target  of Agriculture sector for Financial Year-2020-21 is Rs. 1,09,448 crore under annual action plan & achievement upto 31.12.2020 is Rs. 69,158 crore which is 63.19%.

As reported by SLBC, Rajasthan, a total 1,64,561 farmers are covered under KCC scheme in Dausa district upto 31.12.2020.

(e): With effect from February, 2019, the farmers engaged in Animal Husbandry, Dairying and Fisheries are included in the KCC scheme with sub-limit of Rs.2.00 lakhs for the existing KCC  holders  alongwith  the  benefit  of  Interest  Subvention  (IS)  and  Prompt  Repayment Incentive (PRI).

New KCC can be issued to Animal Husbandry and Fisheries farmers with provision of benefit of IS &PRI for loan amount upto Rs.2.00 lakh per annum.

(f): the target for annual credit flow for the year 2020-21 is Rs. 15 lakh crore. This includes KCC loans for crop, working capital loans for animal husbandry, fisheries and dairying.

(g) : Information as given in part (e) of the reply.

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