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Indian Journal of Pure & Applied Biosciences (IJPAB)
Year : 2020, Volume : 8, Issue : 2
First page : (410) Last page : (416)
Article doi: : http://dx.doi.org/10.18782/2582-2845.8068

Agricultural Credit Constraints in Nayagarh District of Odisha

Surya Sidhant Rath* , Rajkishore Mishra and Khitish Kumar Sarangi
Department of Agricultural Economics, College of Agriculture, Orissa University of Agriculture and Technology, Bhubaneswar, Odisha-751003, India
*Corresponding Author E-mail: surya.rath005@gmail.com
Received: 10.03.2020  |  Revised: 16.04.2020   |  Accepted: 22.04.2020 

 ABSTRACT

The banking segment in any country functions as a significant institution in the financial sector. The role of the banking institutions in rendering agricultural credit is immensely appraised. But with the loopholes in the agricultural credit system, the farmers are the sufferers. An attempt is herein made to study the setbacks in agricultural credit delivery mechanism which was designed through a random sample survey of hundred credit availed farmers in the diverse agriculture terrains of Nayagarh district and analyzed by Garreett ranking method. The study indicated that the presence of intermediaries, documentation and the procedural formalities are the major constraints associated with borrowing from each of the sources viz. Commercial banks, Regional Rural Banks and Cooperatives. Higher rate of interest and distance of the institution from the households are the other constraints for the borrowers from Commercial banks and RRBs. Borrowers from cooperatives didn’t face much problem. Farmers are undeniably the weaker sections of the society. It is therefore imperative for the government to recognize its duty to protect the legitimate interest of the farmers, especially the small and marginal farmers and there should be no compromise in safeguarding the interest of the farmers. In this way, a strong and healthy nation of tomorrow can be assured with the prosperity of the farming community.

Keywords: Credit, Documentation, Farmers, Garreett ranking

Full Text : PDF; Journal doi : http://dx.doi.org/10.18782

Cite this article: Rath, S.S., Mishra, R., & Sarangi, K.K. (2020). Agricultural Credit Constraints in Nayagarh District of Odisha, Ind. J. Pure App. Biosci. 8(2), 410-416. doi: http://dx.doi.org/10.18782/2582-2845.8068