176
(Table 5.22) amongst the states having some dominant presence of
private sector banks in farm lendings are just four in number: Tamil Nadu
(21%), Maharashtra (17%), Delhi (13%) and Andhra Pradesh (10%). In 2006-07,
these four states had accounted for 61% of agricultural credit disbursements
by private sector banks in India
9. Increased Ground-Level Assistance for Diversified Activities
Allied to Agriculture and Non-Farm Sector
Earlier, we made a brief reference to the increase in share of term
loans under ground-level credit flows being assigned to diversified activities
allied to agriculture in recent years. As shown in Table 5.11 earlier, while term
loans granted to these allied activities grew by 25.3% per annum during the
period 1997-98 to 2002-03, the same galloped by 45.5% per annum during the
subsequent three-year period 2003-04 to 2005-06. Out of these ground-level
credit support for allied activities, agriculture-related activities – plantations
and horticulture, animal husbandry, fisheries, and hi-tech agriculture –
accounted for over two-thirds, the balance being ‘others’ which covered items
which essentially belonged to the non-farm sector activities. In recent years,
these ‘others’ have constituted over two-thirds of the term loan disbursements
and they have also covered a number of non-farm activities (See for details for
7 years from 1998-99 to 2004-05 in Annexure T). In addition, they embrace
funds deposited with RIDF. Interestingly, it is found that about 75% of amounts
sanctioned and disbursed under RIDF until the end of March 2012 are for rural
infrastructure activities undertaken outside farming activities (Table 5.23).
As depicted in Table 5.10 earlier, all agencies are involved in rendering
term loan assistance to allied activities including those ‘others’. In the year
Table 5.22: Region-wise Distribution of Agriculture Credit by Private Sector Banks
Regions
Private Sector Banks
Public Sector Banks
2005-06 Per cent
to Total
2006-07 Per cent
to Total
2005-06 Per cent
to Total
2006-07 Per cent
to Total
Northern
4830
20.1 10801 24.9 28625 31.5 34042 28.7
North-Eastern
322
1.3
184
0.4
488
0.5 460.31
0.4
Eastern
1167
4.8
2697
6.2 5875
6.5 7857.3
6.6
Central
1184
4.9
2816
6.5 12105 13.3 17244 14.6
Western
6279
26.1
9634 22.2 10640 11.7 13496 11.4
Southern
10178
42.3 17121 39.5 33124 36.4 45261 38.2
Unclassified
100
125
49
59
All-India
24060 100.0 43378 100.0 90905 100.0 118420 100.0
Source:
Special Tabulations by the RBI for the Project.
