Comments
Agriculture in Tamil Nadu continues to face the challenge of shrinking acreage, over-exploitation of groundwater, diversion of agriculture land to non-agricultural uses and disparities in yield rates of crops, according to the National Bank for Agriculture and Rural Development.
Nabard, in its annual exercise of assessing the credit flow potential to the priority sector, has pointed out in the document for 2018-19 that these factors have contributed to a steep fall in the contribution of agriculture to GSDP. In 2011-12, it was 14 per cent and it has dropped to 5 per cent (at current prices) in 2016-17.
Credit projections
Inadequate availability of water for agriculture is a major cause for farmers’ distress in the State, according to Nabard. The Potential Linked Credit outlay for priority sector in 2018-19 is pegged at ₹2,06,683 crore, an 8 per cent increase over that of the previous year. Projections for crop loan is estimated at ₹82,287 crore.
Estimates of sectorwise credit projections are: farm credit ₹1,13,929 crore; agriculture infrastructure ₹7,610 crore; Ancillary activities ₹7,507 crore; MSME ₹38,696 crore; Export credit ₹5,715 crore; Education ₹7,417 crore; Housing Loan ₹11,524 crore; renewable sources of energy and waste management ₹2,145 crore; others ₹10,107 crore; and social infrastructure with bank credit ₹2,029 crore.
In 2016-17 the ground level credit flow was ₹1,52,405 crore which was 7 per cent higher than that in the previous year.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.