49
resources. The average gain per acre on KCC loanee’ farm over non-loanee’
farm on account of financing through KCC comes to Rs. 5463 with minimum
gain of Rs. 858 in Akola district of Maharashtra and maximum of Rs. 13657 in
Moradabad district of Uttar Pradesh.
Table- 3.12: Contribution of KCC loan in Increasing Net Farm Income
(Amount in Rs.)
Sl States Districts
KCC Holders
Non-KCC holders
In-
crease
in net
farm
in-
come
per
acre
due to
KCC
Sam-
ple
(No.)
Avg
loan per
farmer
Avg net
farm In-
come per
House-
hold
Avg
size of
hold-
ing
(acre)
Avg net
farm
Income
per
acre
Sam-
ple
(No.)
Avg
size
of
hold-
ing
(acre)
Avg net
farm
Income
per
House-
hold
Avg net
farm
Income
per
acre
1
Assam
Jorhat
54 34994 56369 2.82 19989 20 1.06 15387 14516 5473
Darrang 50 42532 40090 2.32 17280 25 2.44 37976 15564 1716
2
Bihar
Gaya
57 68900 93135 3.91 23820 17 1.67 36059 21592 2228
Begusarai
63 87530 124782 5.14 24277 22 3.23 64203 19877 4400
3
U. P.
Var/ Bij
60 102234 103702 3.53 29377 23 0.76 16988 22353 7024
Moradabad 64 126750 137661 3.28 41970 30 1.28 32389 25264 13657
4
Pun-
jab
Kapurthala 60 512518 418185 10.42 40133 23 5.41 168782 32396 5319
Bathinda 60 454293 364198 8.78 41480 17 8.59 270118 29871 11609
5
Maha
Akola
60 82236 92352 6.05 15265 13 6.68 96239 14407 858
Sindhudurg 59 134668 104018 4.9 21228 10 2.22 36803 16578 4650
6
Kar
Dakshin
Kannada 60 169980 114329 4.37 26162 30 2.31 51411 22256 3906
Bellary
67 148202 114880 6.27 18322 25 3.70 61250 16554 1609
Total sample
(% of total sample) 714 166275 149060 5.21 26809 255 3.04 69850 21346 5463
3.49 The net gain to KCC holders (over non-KCC holders) after paying the interest
amount accrued on the loan availed from banks is analyzed and presented in
Table 3.13. The financing of crop loan through KCC mode even without interest
subvention (i.e. 9%t interest) had contributed to the farm income of KCC farmers
(net of interest burden) over non-KCC farmers to the extent of Rs 2591 over total
sample. Although income net of interest burden was as high as Rs. 13188 per
acre in Moradabad district, the farmers of Akola (net income minus 366/ acre)
and Bellary (net income minus 359/ acre) were not able to liquidate interest
burden of KCC. However, with the support of 2% interest subvention to banks
and 3% rebate on prompt repayment, all the farmers including those of Akola
and Bellary were able to generate some gain over non-KCC farmers. The average
gain on KCC farms over non-KCC farms was estimated at Rs. 2974/ acre when
2% interest subvention was taken into account and a gain of Rs. 3548/ acre when
calculation was made assuming all farmers will be repaying their dues within the
stipulated time period (prompt repayment).
