The Hindu Business Line : Nabard to bear 25 pc cost of RUDSET institute programmes

THE National Bank for Agriculture and Rural Development (Nabard) will bear 25 per cent of the total expenses of rural entrepreneurship development programmes - up to Rs 38 lakh - of 12 Rural Development and Self Employment Training (RUDSET) institutes.

The areas covered will include those in Agra, Bhopal, Gurgaon, Ghaziabad, Jaipur, Jalandhar, Kannapuram, Madurai, Pune and Vettapalyam.

This was disclosed by the Dharmadhikari of Sri Kshetra Dharmasthala, Dr D. Veerendra Heggade.

He said he had received orders in this regard. Dr Heggade was presiding over the seminar on `Self-help groups: A step towards self-reliance', organised by Sri Kshetra Dharmastala Rural Development Project, Justice K.S. Hegde Institute of Management, Nitte, and Sri Dharmastala Manjunatheshwara College, Ujire, on Friday. Sri Dharmasthala Manjunatheshwara Educational Trust is one of the sponsors of RUDSET institutes.

The Chairperson of Nabard, Ms Ranjana Kumar, who inaugurated the seminar, said that self-help groups (SHGs) should not remain as subsidy-lending groups. Instead, they should be developed as industry. Referring to a Nabard study of 560 SHGs in 11 States, she said that the formation of SHGs has helped in increasing average value of assets per household, by 13 per cent.

All SHG members have inculcated the culture of savings, and most of these members are from non-farm sector. She said that SHGs could be successful, provided they get timely credit at the right rate of interest.

On the problems being faced by SHGs, she said that weak marketing has hampered their activities. SHGs should do away with middlemen and develop their own marketing network. Quality and a good marketing network are essential for the success of any product, and SHGs should follow this to attain success in their endeavours.

Stressing the need for interaction between SHGs in various areas, she said that this would help develop a successful model. A document on the paths to be taken by SHGs is also needed. Though a majority of women have been benefited from SHGs, a lot more are yet to get assistance, she added.

Mr Vinay Hegde, President of Nitte Education Trust, and Dr N.K. Thingalaya, former Chairman and Managing Director of Syndicate Bank, were present.