Saturday, May 31, 2025
The Agrotech Daily
  • Login
  • News
    • Crops
    • Agro Forestry
    • Fertilizers
    • Livestock
    • Agro Machinery
    • Finance
    • Policy
  • Insights
    • Analysis
    • Opinions
    • Reports
    • Interviews
  • Technology
  • Permaculture
  • Events
  • NewsMakers
  • World
No Result
View All Result
  • News
    • Crops
    • Agro Forestry
    • Fertilizers
    • Livestock
    • Agro Machinery
    • Finance
    • Policy
  • Insights
    • Analysis
    • Opinions
    • Reports
    • Interviews
  • Technology
  • Permaculture
  • Events
  • NewsMakers
  • World
No Result
View All Result
No Result
View All Result
Home Featured

Situation Of Finance In Agriculture In India

Agriculture in India is characterized by insecurity as a result of a variety of threats.

Admin by Admin
July 12, 2021
in Featured
0
0
SHARES
17
VIEWS
Share on FacebookShare on Twitter

Background.

India’s growing population, overdependence on agriculture, the preponderance of small and marginal holdings, frequent changes in climatic conditions, significant credit buildup, and other factors have all had a negative impact on the country’s agriculture.

Agriculture is affected by the irregular nature of demand and supplies. Inadequate storage facilities result in the loss of produce, resulting in a financial loss. Inadequate storage facilities have plagued Indian agriculture, and emerging countries have already suffered significant losses. The evident mismanagement has been exacerbated by a lack of investment.

RELATED POSTS

Robotics in Agriculture: The Role of AI and Robots in Farm Labor

Exploring Exceptional Potato Breeds for India

Agricultural finance is provided through a variety of sources in India. Moneylenders, cooperative credit institutions, and the government provide the majority of short- and medium-term loans to Indian farmers.

Agricultural Trade Finance (SIC 01110)
Trade Finance Global

Moneylenders, land development banks, and the government, on the other hand, meet the long-term financing needs of Indian farmers. The National Bank for Agricultural and Rural Development now meets the long and short-term financial needs of these entities (NABARD).

Institutional and non-institutional sources of agricultural loans can be broadly classified. Moneylenders, dealers but Institutional sources include cooperatives, commercial banks, including the SBI Group, RBI, and NABARD, as well as commission agents, relatives, and landlords.

Current Spike In Credit

According to the Reserve Bank of India’s latest data, loans to the agriculture sector grew at a four-year high in FY21. This was due to a robust monsoon, which enabled the farm sector to remain relatively immune to the Covid-19 pandemic as the ecosystem surrounding the farm sector developed.

As of RBI’s monetary policy report published on April 1, outstanding credit to agriculture and associated sectors increased 10.2 percent year on year to Rs 12.74 lakh crore in February 2021, nearly doubling from the 5.8 percent year-on-year growth recorded in February 2020. In Budget 2021, the government increased the agriculture loan target for fiscal 2022 to Rs 16.5 lakh crore, up from Rs 15 lakh crore the previous year.

It's raining jobs in rural India as farm economy opens up
Mint

Additional tariffs on the import of specific commodities, including edible oils, lentils, gold, silver, and alcohol, were imposed in addition to the increased farm credit objective to help the country’s agricultural infrastructure and crop output. “Apart from direct credit to farmers, on-lending to agri-focused financial institutions has increased significantly”, according to Madan Sabnavis, the chief economist at CARE Ratings.

Government Measures

During the 1960s, the Indian government implemented the MSP policy for wheat. MSP has steadily spread to a wide range of crops, assisting farmers financially and in terms of future investment.

Furthermore, the government’s nationalization of commercial banks in 1969 and the establishment of NABARD in 1982 were two notable initiatives that helped to stabilize agricultural finance in India.

India's Promising New Agricultural Policy | IBEF | IBEF
IBEF

Apart from MSP, recent schemes such as the Kisan Credit Card scheme (which provides farmers with short-term formal credit at attractive interest rates for irrigation and farm mechanization) and PM-KISAN, which were introduced in 2018 and targeted small and medium land holdings farmers (but were later expanded to all farmers in 2019), have pushed the sector to new heights.

 

Also Read:  Farmer’s Safety should be An Agricultural Priority.

 

Tags: Agriculture in indiaAgriculture loanFinanceKisan Credit Card schemeMSP policyNABARDRBISBI Group
ShareTweetPin
Admin

Admin

Related Posts

role of AI and Robots in farm labor

Robotics in Agriculture: The Role of AI and Robots in Farm Labor

by Admin
December 20, 2023
0

Harvesting the Future: Unleashing the Potential of AI and Robots in Agriculture Introduction Defining the Marvel of Robotics in Agriculture...

Exploring-Exceptional-Potato-Breeds-for-India

Exploring Exceptional Potato Breeds for India

by Admin
November 29, 2023
0

The humble potato, a staple in diets worldwide, holds a special place in India's culinary and agricultural landscape. With its...

Garden Elegance: 7 Remarkable Flowers for Your Garden

by Admin
November 24, 2023
0

Gardening, a harmonious blend of art and nature, offers enthusiasts the opportunity to cultivate and nurture life in its most...

Floriculture Flourishes: Navigating the Blooming Business Landscape

by Admin
November 14, 2023
0

Flowers, with their captivating colours, delicate petals, and intoxicating fragrances, have long held a special place in human culture and...

Agricultural machinery and equipment advancements

by Admin
November 13, 2023
0

Introduction Agriculture is a vital sector of the world’s economy, providing food and other resources for a rapidly growing population....

Next Post

How Horticulture is turning the tables In Agriculture.

Top 5 Highest Paying Jobs In Agriculture.

Top 5 Highest Paying Jobs In Agriculture

RECOMMENDED

role of AI and Robots in farm labor

Robotics in Agriculture: The Role of AI and Robots in Farm Labor

December 20, 2023
Blooming-Business_-Fascinating-Facts-About-Floriculture

Blooming Business: Fascinating Facts About Floriculture

December 1, 2023

MOST VIEWED

  • Agricultural Companies

    8 Largest Agricultural Companies in the World

    0 shares
    Share 0 Tweet 0
  • Smart Irrigation Systems: Cultivating the Future of Agriculture

    0 shares
    Share 0 Tweet 0
  • Drones in Agriculture: Revolutionizing Crop Monitoring and Empowering Farms

    0 shares
    Share 0 Tweet 0
  • Cultivating Soil Fertility: 10 Tried and Tested Approaches

    0 shares
    Share 0 Tweet 0
  • Impact Of Soil Erosion On Agriculture

    0 shares
    Share 0 Tweet 0

About Us

The Agrotech Daily

We are a media company focused on the Agriculture B2B market. We create, aggregate and distribute actionable news, reports, analysis and more for the agriculture industry cohesively.

Trending News

Robotics in Agriculture: The Role of AI and Robots in Farm Labor

Blooming Business: Fascinating Facts About Floriculture

Exploring Exceptional Potato Breeds for India

Organic Farming Attracts Himachal Fruit Growers

Garden Elegance: 7 Remarkable Flowers for Your Garden

Press Release

Robotics in Agriculture: The Role of AI and Robots in Farm Labor

Blooming Business: Fascinating Facts About Floriculture

Exploring Exceptional Potato Breeds for India

Organic Farming Attracts Himachal Fruit Growers

Garden Elegance: 7 Remarkable Flowers for Your Garden

  • About
  • Submit Article/PR
  • Contact

© 2025 TAD - A Medianiti Venture.

No Result
View All Result
  • Homepages
    • Homepage Layout 1
    • Homepage Layout 2
  • Politics
  • World
  • Science
  • National

© 2025 TAD - A Medianiti Venture.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In