POTENTIAL LINKED CREDIT PLAN (PLP) : KANNUR DISTRICT EXECUTIVE SUMMARY

Transcription

1 POTENTIAL LINKED CREDIT PLAN (PLP) : KANNUR DISTRICT EXECUTIVE SUMMARY I General The theme of the PLP will be Accelerating the pace of capital formation in agriculture and allied sector. Kannur district has a total geographical area of 2971 sq km of which per cent is covered by forests. About 90 per cent of the total land holdings are of less than one hectare size and the average land holding is 0.37 ha. Both net sown area and gross cropped area have declined progressively over the last 10 years, with slight fluctuation in some years. Coconut, rubber, arecanut, cashew, pepper, banana and vegetables are the major crops grown. The area under paddy has been on decline and area under rubber has been on the rise. Coconut continues to be the major crop in the district, but productivity is lower than state average. The concept of organic farming is gaining momentum in the district. Prominent allied activities are dairy and goat rearing. Handloom weaving is the major traditional non-farm activity. Ground Level Credit flow under Priority Sector, which stood at ` crore during , increased by 1 percent to ` 6561 cr during and then marginally increased by 22 percent to ` cr during Tertiary Sector took a lion s share of 52 per cent while the share of Primary and Secondary Sectors were in the range of 35 and 13 per cent respectively during All banks collectively achieved the overall targets set under Annual Credit Plan during last three years. Sector-wise, target was achieved under primary and tertiary sectors, but fell short under secondary sector. CD Ratio of the district, which was 61 per cent as on 31 March 2014, fell sharply to 52 per cent as on 31 March Banks in the district were able to achieve national goal benchmarks in respect of credit to priority sector, agriculture and weaker sections, but fared poorly in DRI advances. The Base PLP projection for in respect of Kannur district was ` cr and the revised/re-assessed projection stood at ` cr, an increase of percent. The revised projection for is per cent more than the PLP projection for the year The share of Agriculture and MSME sectors constituted 35 and 39 per cent of the total projections. Other constituents of priority sector viz., export, education, housing, Renewable energy and social infrastructure collectively constituted 26 percent of the projections. Crop production has a share of per cent of the total projection and the share of term loans in total agriculture is per cent. Crop Loans: Projections for crop loans (at ` crore) accounts for about per cent of the total projections under Priority sector and percent of the projection under agriculture. With the implementation of the Rupay credit card and the ongoing KCC scheme by banks as well as liberalization of agricultural credit, off-take of crop loans may improve. With the interest subvention by the GoI as well as the lower interest rates offered by the cooperatives (as per the policy of the State Government), the demand for crop loans might increase in the coming years. However the bankers have to ensure the proper end use of the loans sanctioned under this sectors that involve subvention benefits. Water Resources: The demand for credit has been mainly for dug wells, bore wells, pumpsets, small lift irrigation etc. The potential assessed under this sector for the year is ` Crore. Farm Mechanization: The flow of investment credit to this sector has to be encouraged by the bankers. A potential of `52.37 crore has been projected for Plantation and Horticulture : The programmes of State Government and National Horticulture Mission are expected to improve the credit flow under the sector during , which has been assessed at about `249.67crore. Animal Husbandry : The district has suitable agro climatic condition for Dairy Development and development of goat farming as the district is home to the Malabari breed of goats. Demand for milk, meat, and poultry products, together with good support services 1

2 have helped development of the sector in the district. Taking into account the various programmes of State and Central Govt, the total potential for dairy, poultry and sheep / goat farming sectors has been assessed at ` Crore which is percent of the total outlay for agriculture in the district. Fisheries: With a long coastline and rich bounty of backwaters, ponds, rivers etc., there is good potential for development of the sector in the district. A credit potential of ` Crore has been projected under the sector. Agriculture Infrastructure: Construction of storage facilities (warehouses, market yards, godowns, silos, cold storage units/cold storage chains), land development, soil conservation, watershed development, other infrastructures for tissue culture, Agri biotechnology, seed production, bio-pesticides/fertilizers, vermi-composting etc., are included in Agriculture infrastructure. A potential of ` Crore has been assessed under the sector for the year Ancillary activities under Agriculture: Food and Agro processing forms a major part in projections under this sector. Ancillary activities also include loans to co-operative societies of farmers for disposing of their produce and loans to Farmer Producer Organizations (FPO) for which is a thrust area. The total potential for Ancillary activities projected is ` Crore. MSME Sector: The performance under the sector has not been to the desired extent for the last few years. However, the increased thrust to the MSME sector by the Central and State Government is expected to increase the credit flow towards this sector. The potential under the sector, for the year has been assessed at ` Crore. Export Credit: As per the new priority sector guidelines by the RBI, incremental export credit of banks up to 2% of their Net Bank Credit can be considered as priority sector. Potential projected for the district for is assessed at `7.25 Crore. Education: Human development through education forms the basic stone for the development of the country. The State has been at the forefront of education in the country and has also performed well. The potential assessed for the sector is ` Crore Housing: Housing for all by 2022 is one of the important target set by the GoI and the potential assessed for the sector in the district is ` Crore. Renewable Energy: Sustainable development can happen through conservation of environment and expansion of credit facilities to renewable energy sector is vital for development of the alternate sources of energy. The credit potential assessed for the sector is `3.65 Crore. Loans to SHGs/JLGs: Potential for loans to SHGs/JLGs, PMJDY and loans to state sponsored organizations for SC/ST is assessed at ` Crore with SHG/JLG lonas accounting for Major share. Infrastructure including social infrastructure: Presence of good infrastructure is the key to any developmental activity. An overview of infrastructure development / critical requirement of the district especially catering to the need of rapid growth in agriculture and allied activities is presented in Chapter 10. Potential for social infrastructure involving bank credit has been assessed at ` cr. Role of Informal Credit Delivery System: The Self Help Group (SHG) - Bank Linkage programme initiated by NABARD, has shown slow progress in the district. The programme has been very much helpful in reducing the dependency of the rural poor on moneylenders and their capacity building. Neighborhood Groups promoted by Kudumbashree are also very active in the district. JLG activities have picked great momentum during The activities of the district are detailed in Chapter-11. Area Bases Schemes: Dairy development and goat rearing are the identified Area bases schemes detailed in Chapter-12. 2

3 II New Schemes & Programmes With a view to having cluster based, planned approach for development of potential activities in compact areas, with active participation of all the stake holders, it is proposed to formulate Area Development Schemes. Based on the assessed potential, availability of linkage support and other required factors, 3 activities viz., Dairy-milch animals and Goat farming, have been identified for formulation of Area Based Schemes in Kannur district. For tribal development, an Integrated Tribal Development Project with an outlay of ` lakh, including grant assistance of ` lakh, is being implemented by NABARD, covering 500 tribal families in Payyavoor and Eruvessy panchayats in Kannur district. In order to support the traditional potters, NABARD has sanctioned a micro cluster project for pottery involving common facility centre at Peravoor. The future strategy for micro credit programme in the district will involve promotion of micro enterprises through JLGs. The programme will also integrate into NRLM. With a view to supplement the lending resources of PACS, NABARD has sanctioned projects under PODF to 3 PACS in the district viz., Anjarakandy, Kadirur and Mokeri. NABARD has also sanctioned 5 Farmer Producer Organisations in the district. More Producer Companies/Organisations need to be promoted to improve viability of farming operations in the wake of small production units. The potential segments in the district are coconut, goat rearing etc. III Infrastructure The district has A+ status in rural electrification, education/literacy and health services while it has only B status in respect of water supply. Under RIDF (tranche I to XX, as many as 529 projects with loan assistance of ` crore were sanctioned in the district, which are expected to accelerate the pace of rural and agriculture development. The critical infrastructure requiring attention of the state government in the district include irrigation, education, rural connectivity, soil conservation etc. Infrastructure which can be supported through private investment with credit support include storage and marketing, agro service centres, value addition and processing facilities etc. IV Review and monitoring Coordinated efforts by all the stake holders are required to ensure desired flow of credit to priority sector in general and investment credit for enhancing capital formation in particular. Reviews in DCC/BLBC meetings should be more focused and action plan oriented and should also cover progress in financial inclusion plan, KCC, SHG/JLG etc. SAMIS reporting system needs to be strengthened for meaningful review. 3

4 Appendix A to Annex ure 1 : Broad Sector wise PLP Projections District: Kannur Sr.No. A Farm Credit Particulars ` Lakh PLP Projections i Crop Production, Maintenance and Marketing ii Term Loan for agriculture and allied activ ities Sub T otal B Agriculture Infrastructure C Ancillary activ ities I Credit Potential for Agriculture (A+B+C) II Micro, Sm all and Medium Enterprises III Export Credit 7 25 IV Education V Housing VI Renewable Energy 365 VII Others VII Social Infrastructure inv olv ing bank credit T otal Priority Sector (I to VIII)

5 District: Kannur I Sr. No. A B Particulars Credit Potential for Agriculture Farm Credit ` Lakh PLP Projections i Crop Production, Maintenance and Marketing ii Water Resources iii Farm Mechanisation 5237 iv Plantation and Horticulture (Including sericulture) v Forestry and Waste Land Dev elopment 236 vi Animal Husbandry - Dairy vii Animal Husbandry - Poultry 1490 v iii Animal Husbandry - Sheep, Goat, Piggery, etc ix Fisheries (Marine, Inland, Brackish water) 2607 i Agriculture Infrastructure Appendix B to Annexure 1 Sum m ary of Sector/ Sub-sector wise PLP projections Construction of storage facilities (Warehouses, Market y ards, Godowns, Silos, Cold storage units/cold storage chains) Sub T otal ii Land dev elopment, Soil conserv ation, Watershed dev elopment C iii Others(Tissue culture, Agri bio-technology, Seed production, Biopesticies/ fertilizers, Vermi composting) Ancillary activ ities Sub T otal i Food and Agro processing ii Others (Loans to Cooperative Societies of farmers for disposing of their produce/fpos, Agri Clinics/Agri Business Centres, Loans to PACS/FSS/LAMPS, Loans to MFIs for on lending 550 II Sub T otal T otal Agriculture Micro, Sm all and Medium Enterprises i MSME - Working capital ii MSME - Inv estment credit T otal MSME III Export Credit 7 25 IV Education V Housing VI Renewable Energy 365 VII Others (Loans to SHGs/JLGs, loans to distressed persons to preay noninstitutional lenders, PMJDY, loans to state sponsored organisations for SC/ST) VIII Social Infrastructure inv olv ing bank credit T otal Priority Sector

6 Map of the district 6

7 District : KANNUR State: KERALA Divisions No. of Blocks 11 Climate Dry sub humid & pre humid 3 District Profile 1. PHYSICAL & ADMINISTRATIVE FEATURES 2. SOIL & CLIMATE Total Geographical Area (Sq.km) No. of Sub Divisions/Taluks Agro-climatic Zone Zone 12 No. of Villages (Inhabited) 129 No. of Panchayats 81 Soil Type Laterite, red loamy, coastal alluvial 3. LAND UTILISATION [Ha] (Source DE&S, GoK) 4. RAINFALL & GROUND WATER (Source - IMD) Total Area Reported Forest Land Normal Actual (Jan Rainfall [in mm] 3319 Dec) Area Not Available for Cultivation Variation from Normal % (-)25 6 (-) 2 Permanent Pasture and Grazing Land Availability of Ground Net annual recharge Net annual draft Balance Land under Miscellaneous Tree Crops 108 Water [Ham] Cultivable Wasteland DISTRIBUTION OF LAND HOLDING Current Fallow Other Fallow Net Sown Area Total or Gross Cropped Area Area Cultivated More than Once 3202 Holding Area Classification of Holding 2747 Nos. % to Total Ha. % to Total <= 1 Ha >1 to <=2 Ha >2 Ha Cropping Intensity [GCA/NSA] 1.15 Total WORKERS PROFILE [in '000] 7. DEMOGRAPHIC PROFILE [in '000] Cultivators Of the above, Small/Marginal Farmers Agricultural Labourers Workers engaged in Household Industries Workers engaged in Allied Agro-activities Other workers 46 Category Total Male Female Rural Urban 44 Population Scheduled Caste Scheduled Tribe Literate NA NA 600 BPL HOUSEHOLDS [in '000] 9. HOUSEHOLD AMENITIES [Nos. in '000 Households] Total Households 554 Having concrete/tiled/thached roof 225/292/103 Having electricity supply 479 Rural Households 202 Having source of drinking water NA Having independent toilets NA BPL Households (2001) 174 Having access to banking services 617 Having radio/tv sets NA 10. VILLAGE-LEVEL INFRASTRUCTURE [Nos] 11. INFRASTRUCTURE RELATING TO HEALTH & SANITATION [Nos] Villages Electrified 129 Anganwadis 1593 Dispensaries 9 Villages having Agriculture Power Supply 129 Primary Health Centres 79 Hospitals 9 Villages having Post Offices 129 Primary Health Sub-Centres 352 Hospital Beds 1693 Villages having Banking Facilities INFRASTRUCTURE & SUPPORT SERVICES FOR AGRICULTURE Villages having Primary Schools 129 Fertiliser/Seed/Pesticide Outlets [Nos] 242/93/107 Agriculture Pumpsets[Nos] Villages having Primary Health Centres 129 Total N/P/K Consumption [MT] Pumpsets Energised [Nos] Villages having Potable Water Supply 129 Certified Seeds Supplied [MT] 1062 Agro Service Centres [Nos] 12 Villages connected with Paved Approach Roads 129 Pesticides Consumed [MT] NA Soil Testing Centres [Nos] IRRIGATION COVERAGE [Ha] Agriculture Tractors [Nos] 1344 Plantation nurseries [Nos] 122 Total Area Available for Irrigation (NIA + Fallow) Power Tillers [Nos] 261 Farmers' Clubs [Nos] 120 Irrigation Potential Created Threshers/Cutters [Nos] 301 Krishi Vigyan Kendras 1 Net Irrigated Area(Total area irrigated at least once) INFRASTRUCTURE FOR STORAGE, TRANSPORT & MARKETING Area irrigated by Canals / Channels 473 Rural/Urban Mandi/Haat [Nos] 87 Wholesale Market [Nos] NA Area irrigated by Wells Length of Pucca Road [Km] 1698 Godown [Nos] 5 Area irrigated by Tanks 1356 Length of Railway Line [Km] 81 Godown Capacity[MT] Area irrigated by Other Sources 3846 Public Transport Vehicle [Nos] Cold Storage [Nos] nil Irrigation Potential Utilized (Gross Irrigated Area) Goods Transport Vehicle [Nos] Cold Store Capacity[MT] nil 15. AGRO-PROCESSING UNITS 16. AREA, PRODUCTION & YIELD OF MAJOR CROPS Type of Processing Activity Food (Rice/Flour/Dal/Oil/Tea/Coffee) Sugarcane (Gur/Khandsari/Sugar) Fruit (Pulp/Juice/Fruit drink) Spices (Masala Powders/Pastes) Dry-fruit (Cashew/Almond/Raisins) Cotton (Ginning/Spinning/Weaving) Milk (Chilling/Cooling/Processing) Meat (Chicken/Motton/Pork/Dry fish) No of units Cap.[MT] Avg. Yield Crop NA NA Area (Ha) Prod. (MT) Area (Ha) Prod. (MT) [Kg/Ha] nil nil Coconut(Prodn.Million Nuts) NA Rubber NA Cashew /0/0 NA Arecanaut /3/73 NA Banana Pepper nil nil Paddy Animal feed (Cattle/Poultry/Fishmeal) 1/1/0 NA 17. ANIMAL POPULATION AS PER CENSUS INFRASTRUCTURE FOR DEVELOPMENT OF ALLIED ACTIVITIES Category of animal Total Male Female Veterinary Hospitals/Dispensaries [Nos] 95 Animal Markets [Nos] nil Cattle - Cross bred Disease Diagnostic Centres [Nos] 1 Milk collection centres 19 Cattle - Indigenous Artificial Insemination Centers [Nos] 260 Fishermen Societies [Nos] 11 Buffaloes Animal Breeding Farms [Nos] 1 Fish seed farms [Nos] 2 Sheep - Cross bred Animal Husbandry Tng Centres [Nos] 1 Fish Markets [Nos] 97 Sheep - Indigenous NA NA NA Dairy Cooperative Societies [Nos] 198 Poultry hatcheries [Nos] 1 Goat Improved Fodder Farms [Nos] nil Slaughter houses [Nos] nil Pig - Cross bred MILK, FISH, EGG PRODUCTION & THEIR PER CAPITA AVAILABILITY Pig - Indigenous Fish Production [MT] Per cap avail. [gm/day] 31 Horse/Donkey/Camel/Mule 1 1 NA Egg Production [Lakh Nos] 580 Per cap avail. [nos/p.a.] 23 Poultry - Cross bred Milk Production ['000 MT] Per cap avail. [gm/day] 140 Poultry - Indigenous Meat Production [MT] 4640 Per cap avail. [gm/day] 5 Item Nos. 1, 5, 6, 7, 8, 9 - Census 2011; Item Nos. 2, 3, 12, 13 & 14 - Dept. of Agr/Dir. of Eco. & Stat.; Item No. 4 - IMD/Water Resources; 8,10,11 Panchayat level statistics 2011; Item No District Ind Centre/Dir. of Eco. & Stat.; Item No Agri.Stat, Dir. of Eco. & Stat; Item No AH Census 2012; Item Nos. 18 & 19 - Dir. Sources (if not mentioned against the respective item): of Animal Hus./Dir. of Eco. & Stat. 7

8 District - KANNUR State - KERALA Lead Bank - SYNDICATE BANK No. of Banks/Soc. Total Rural Semi-urban Urban mfis/mfos SHGs/JLGs BCs/BFs Villages Households Commercial Banks nil na Regional Rural Bank nil 2 na nil District Central Coop. Bank nil nil na nil Coop. Agr. & Rural Dev. Bank nil nil na nil Primary Agr. Coop. Society nil nil na nil Others(KSCB/KFC/UCBs) 1/1/4 1/1/19 0/0/0 01/01/19 nil nil na nil NA NA All Agencies na DEPOSITS OUTSTANDING 31-Mar Mar Mar-13 Growth(%) Share(%) 31-Mar Mar Mar-15 Growth(%) Share(%) Commercial Banks na na na na na Regional Rural Bank na na na na na Cooperative Banks na na na na na Others na na na na na nil nil nil All Agencies na na na na na LOANS & ADVANCES OUTSTANDING 31-Mar Mar Mar-13 Growth(%) Share(%) 31-Mar Mar Mar-15 Growth(%) Share(%) Commercial Banks na na na na na Regional Rural Bank na na na na na Cooperative Banks na na na na na Others na na na na na All Agencies na na na na na CD-RATIO 5. PERFORMANCE UNDER FINANCIAL INCLUSION (No. of A/cs) CD Ratio During Cumulative 31/3/10 31-Mar Mar Mar-15 Deposit Credit Deposit Credit Commercial Banks Commercial Banks Regional Rural Bank Regional Rural Bank Cooperative Banks Cooperative Banks 2072 NA NA Others (KFC) NA NA NA Others NA NA NA NA All Agencies All Agencies PERFORMANCE TO FULFILL NATIONAL GOALS (As on 31/03/2015) Priority Sector Loans Loans to Agr. Sector Loans to Weaker Sections Loans under DRI Sch Loans to Women Amount % of Total Amount % of Total Amount % of Total Amount % of Total Amount % of Total [Rs.'000] Loans [Rs.'000] Loans [Rs.'000] Loans [Rs.'000] Loans [Rs.'000] Loans Commercial Banks NA NA na na Regional Rural Bank NA NA na na Cooperative Banks NA NA na na Others (KFC) NA NA na na All Agencies NA NA na na 7. AGENCY-WISE PERFORMANCE UNDER ANNUAL CREDIT PLANS Average Commercial Banks Regional Rural Bank Cooperative Banks Others (KFC) All Agencies SECTOR-WISE PERFORMANCE UNDER ANNUAL CREDIT PLANS Broad Sector Crop Loan Term Loan (Agr) Total Agri. Credit Non-Farm Sector Other Priority Sector Total Priority Sector RECOVERY POSITION Target [Rs.'000] Target [Rs.'000] Demand Commercial Banks NA NA NA NA NA NA NA NA NA NA Regional Rural Bank Cooperative Banks (dcb) Others NA NA NA NA NA NA NA NA NA All Agencies NA NA NA NA NA NA NA NA NA NA Sources : Lead Bank & Banks Recovery Banking Profile 1. NETWORK & OUTREACH (As on 31/03/2015) No. of Branches No. of non-formal agencies associated Per Branch Outreach No. of accounts No. of accounts Recovery Target [Rs.'000] Target [Rs.'000] Demand Target [Rs.'000] Target [Rs.'000] Amount of Deposit [Rs.'000] Amount of Loan [Rs.'000] [Rs. '000] [Rs. '000] Ach in last 3 years Average Recovery Recovery Demand [Rs. '000] Recovery [Rs. '000] Recovery Ach in last 3 years Average Rec. in last 3 years 9