Evaluating the gap in demand and supply of institutional lending for paddy cultivation in Thiruvarur district of Tamil Nadu, India

• DOI: 10.18805/ijare.v0iof.7103
• Publication Date: 2015-12-22T04:46:34Z
• Authors: S. Padma Rani*; K. Mani1; M. Anjugam
• Keywords: Tamil; Term loan

Institutional banking system in India is strengthened through nationalization of banks and many innovative initiatives such as Self Help Group (SHG) - Bank Linkage Programme, Kisan Credit Card (KCC) Scheme Financial Inclusion. However, studies conducted Tamil Nadu, have pointed out several issues inadequacy crop loan amount owing to lower scale finance minimum focus on long term agricultural advances that are hampering the services directed towards development. In order address these issues, an attempt was made present study assess causes for consequences credit gap disbursement short / sample farm households; Results indicated I (Credit requirement Scale finance) Gap-II Requirement Sanctioned) per ha paddy were lesser ST borrower farms, which indicted though has been fixed at higher level, i.e., well above requirement, actual far than requirement. The working capital, general, enhances productivity external financial assistance could help farmers purchasing necessary inputs adequate quantities thereby be improved. But itself capital required cultivating all categories farms this resulted wider gaps different categories.