POTENTIAL LINKED CREDIT PLAN (PLP) : 2016-17 KOLLAM DISTRICT EXECUTIVE SUMMARY I General The theme of this document, PLP 2016-17, is Accelerating the pace of capital formation in agriculture and allied sector. Kollam district is situated on the south west coast of Kerala, bounded by Thiruvananthapuram on the south, Pathanamthitta and Alappuzha on the north, Tamil Nadu on the east and the Lakshadweep Sea on the west. Kollam district has a total geographical area of 2491 sq km, of which 2.7 per cent is covered by forests. About 98 per cent of the total land holdings are of less than one hectare size and the average land holding is 0.15 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, Tapioca, Pepper, Jackfruit, Cashew, Banana and vegetables are the major crops grown. The concept of organic farming is gaining momentum in the district. Prominent allied activities are fisheries and dairy. Cashew processing is the major traditional non-farm activity. Ground Level Credit flow under Priority Sector, which stood at ` 6858.95 cr during 2012-1, increased to `785.14 crore during 201-14 and then increased marginally to ` 794.5cr during 2014-15. Tertiary Sector took 6%, and the primary sector took a respectable % share during 2014-15. All banks collectively achieved the overall targets set under Annual Credit Plan during last three years except for a marginal miss in 2012-1. CD Ratio of the district, which was 6.5 per cent as on 1 March 2014, increased to 64.09 per cent as on 1 March 2015. Banks in the district were able to achieve the 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 2016-17 in respect of Kollam district was `.761.90 cr the same has been revised/re-assessed to `.9471.74 cr, an increase of 28.65 percent. The increase is primarly on account of revision in PSL classification norms wherein new items like export credit have been included and coverage and financial ceiling under MSME and food processing have been broadened. The projections under housing, education have also been reassessed on the basis of GLC trends, PSL norms and other factors. The revised PLP projection for 2016-17 is 1.47 per cent more than the PLP projection and ACP target for the year 2015-16. The share of Primary, Secondary and Tertiary Sectors are in the order of 50%, 26% and 24% per cent of the total projections as per the new PSL classification norms. Crop production has a share of 12.61 per cent of the total projection and the share of agri term loans, loans for agri infrastructure and other agriculture ancillary activities in total projections is 7.8 per cent. The Base PLP projections under Crop have been decreased in concurrence with actual area under cultivation and Scale of Finance. The overall projections under Food Processing (term loan + working capital) has decreased due to reduction in projections for working capital for cashew processing, the term loan and working capital for all other activities under Food processing has been increased. Similarly projections under forestry has also been decreased taking the GLC trends into account. The projections under other sectors like Water Resources, Farm Mechanization, Plantation & Horticulture, Farm mechanization, Animal Husbandry. Fisheries, MSME, Education and Housing have increased mainly on account of revision in PSL norms, revision in unit cost, GLC trend and other factors. Key constraints in respect of major sectors are summarized below: Crop : Inadequate access to the farm through roads, low level of mechanization, low irrigation, high cost of labour, high input costs. Water Resources: Inadequate utilization of Kallada Irrigation project Land Development: Thalakkulams may be rebuilt in the padasekharams 1
II Farm Mechanisation: Poor accessability/ road facility to reach the inside areas of padasekharams, non availability of farm implements suited to Kerala conditions. Plantation & Horticulture: Inadequate supply of quality planting material, lack of infrastructure for value addition and processing. Low adoption of protected cultivation technologies. Price fluctuations, high input cost and high cost/ non availability of labour. Animal Husbandry-Dairy: High cost of fodder and lack of availability land. Animal Husbandry-Poultry: Unavailability of good quality chicks locally, high feed cost, volatile variation in market price of chicken and eggs. Animal Husbandry-Goat/Pig: Need for expeditious formation of Producer Company of goat farmers for backward & forward linkages. Fisheries: To bring all potential water bodies under scientific farming Storage Godown & Market Yards: To set up modern markets, storage facilities. Renewable Energy: Speedy implementation of Kallada solar project Micro & Small Enterprises: Inadequate industrial land availability, large number of unviable units, Lack of backward and forward linkages, inadequate working capital finance. Other Priority Sector: Rising NPA in education loans New Schemes & Programmes With a view to have 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, 2 activities viz., Dairy-milch animals, Poultry Development have been identified for formulation of Area Based Schemes in Kollam district (details are given in Chapter 6). 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 2 PACS in the district viz.,kolloorvila and Vettikkavala. To improve viability of farming operations/ allied activities in the wake of small production units two new Producer Companies have been formed in the district under Poultry sector and Organic Vegetable cultivation. III. Infrastructure Under RIDF (tranche I to XIX) as many as 80 projects with project outlay of ` 509.68 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 development of infrastructure in government farms, completion of pending works of Kallada irrigation project to realize the full irrigation potential, Setting up of integrated terminal market, setting up of agro service centers, rural drinking water, hospitals in government sector etc. Infrastructure for supply of high quality planting material. 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 agriculture 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. 2
Appendix A to Annexure 1 : Broad Sector wise PLP Projections- 2016-17 District: Kollam Sr.No. Particulars ` Lakh PLP Projections 2016-17 A Farm Credit i Crop Production, Maintenance and Marketing 119519 ii Term Loan for agriculture and allied activities 02 Sub Total 152551 B Agriculture Infrastructure 6755 C Ancillary activities 1297 I Credit Potential for Agriculture (A+B+C) 47260 II Micro, Small and Medium Enterprises 28609 III Export Credit 12000 IV Education 4624 V Housing 141820 VI Renewable Energy 5 VII Others 416 VIII Social Infrastructure involving bank credit 420 Total Priority Sector (I to VIII) 947174 PLP Projections 2016-17 Renewable Energy 0% Others 5% Social Infrastructure 0% Education 4% Export Credit 1% Housing 15% MSME 25% Agriculture 50%
Sr. No. I A Sector/ sub-sector wise projections for 2016-17 (` in lakh) Particulars Credit Potential for Agriculture Farm Credit Base PLP Projection 2016-17 Revised PLP Projections 2016-17 i Crop Production, Maintenance and Marketing 14219 119519 ii Water Resources 15 148 iii Farm Mechanisation 121 2451 iv Plantation and Horticulture (Including sericulture) 1619 14891 v Forestry and Waste Land Development 448 4 vi Animal Husbandry Dairy 6482 8157 vii Animal Husbandry Poultry 564 1020 viii Animal Husbandry - Sheep, Goat, Piggery, etc 177 070 B C ix Fisheries (Marine, Inland, Brackish water) 149 1527 x Others - Bullock, Bullock cart, etc. 0 0 i Agriculture Infrastructure Construction of storage facilities (Water houses, Market yards, Godowns, Silos, Cold storage units/cold storage chains) Sub Total 160764 152551 1228 1249 ii Land development, Soil conservation, Watershed development 5094 566 iii Others(Tissue culture, Agri bio-technology, Seed production, Bio-pesticides/ fertilizers, Vermi composting) Ancillary activities 441 1940 Sub Total 622 6755 i Food and Agro processing 22082 07297 ii Others ( to Cooperative Societies of farmers for disposing of their produce, Agri Clinics/Agri Business Centres, to PACS/FSS/LAMPS, to MFIs for on lending0 0.00 6000 Sub Total 22082 1297 Total Agriculture 489168 47260 II Micro, Small and Medium Enterprises i MSME - Working capital 5757 7897 ii MSME - Investment credit 859 200712 Total MSME 9616 28609 III Export Credit 0.00 12000 IV Education 219 4624 V Housing 82770 141820 VI Renewable Energy 5 5 VII Others ( to SHGs/JLGs, loans to distressed persons to preay non-institutional lenders, PMJDY, loans to state sponsored organisations for SC/ST) 12592 416 VIII Social Infrastructure involving bank credit 0.00 420 Total Priority Sector 76190 947174 4
Map of the district 5
District Profile District - KOLLAM State - KERALA 1. PHYSICAL & ADMINISTRATIVE FEATURES 2. SOIL & CLIMATE Total Geographical Area (Sq.km) 2488 Western plains and Ghat region- Coastal Midland Region ( Zone Agro-climatic Zone No. of Municipalities 12) No. of Blocks 11 Climate Dry subhumid and Per Humid No. of Villages (Inhabited) 104 No. of Panchayats 70 Soil Type Laterite, redloamy, coastal Alluvium. LAND UTILISATION [Ha] 4. RAINFALL & GROUND WATER Total Area Reported 248788 Normal 2012 201 2014 Actual Forest Land 8148 Rainfall [in mm] 242.1 1656 2118 2481.9 Area Not Available for Cultivation 25199 Variation from Normal -1.66% -12.59% 2.4% Permanent Pasture and Grazing Land Availability of Ground Water Net annual recharge Net annual draft Balance Land under Miscellaneous Tree Crops 85 [Ham] 495.6 205.4 290.2 Cultivable Wasteland 1520 5. DISTRIBUTION OF LAND HOLDING Current Fallow 4505 Holding Area Classification of Holding Other Fallow 1506 Nos. % to Total Ha. % to Total Net Sown Area 125999 <= 1 Ha 58748 97.8 71557 78.7 Total or Gross Cropped Area 159706 >1 to <=2 Ha 9881 1.8 12656 1.9 Area Cultivated More than Once 707 >2 Ha 216 0.4 6669 7. Cropping Inensity [GCA/NSA] 1. Total 550792 100.0 90882 99.9 6. WORKERS PROFILE [in '000] 7. DEMOGRAPHIC PROFILE [in '000] Cultivators 41 Category Total Male Female Rural Urban Of the above, Small/Marginal Farmers 8 Population 265 1247 188 1448 1187 Agricultural Labourers 56 Scheduled Caste 28 158 170 Workers engaged in Household Industries 14 Scheduled Tribe 11 5 6 Workers engaged in Allied Agro-activities 92 Literate 2240 1074 1166 Other workers 58 BPL Households 215 8. HOUSEHOLDS [in '000] 9. HOUSEHOLD AMENITIES [Nos. in '000 Households] Total Households 59 Having brick/stone/concrete houses 559 Having electricity supply 61 Rural Households 496 Having source of drinking water 569 Having independent toilets 627 BPL Households 196 Having access to banking services 461 Having radio/tv sets 10. VILLAGE-LEVEL INFRASTRUCTURE [Nos] 11. INFRASTRUCTURE RELATING TO HEALTH & SANITATION [Nos] Villages Electrified 104 Anganwadis 272 Dispensaries 1500 Villages having Agriculture Power Supply 104 Primary Health Centres(govt) 48 Hospitals 62 Villages having Post Offices 104 Community Health Centres (govt) 17 Hospital Beds (govt) 2591 Villages having Banking Facilities 99 12. INFRASTRUCTURE & SUPPORT SERVICES FOR AGRICULTURE Villages having Primary Schools 104 Fertiliser/Seed/Pesticide Outlets [Nos] 47/---/58 Agriculture Pumpsets[Nos] 1140 Villages having Primary Health Centres 104 Total N/P/K Consumption [T] 1680/1000/150 Pumpsets Energised [Nos] 1140 Villages having Potable Water Supply 104 Certified Seeds Supplied [MT] 160 Agro Service Centres [Nos] Villages connected with Paved Approach Roads 104 Pesticides Consumed [MT] 60000 Soil Testing Centres [Nos] 2 1. IRRIGATION COVERAGE [Ha] Agriculture Tractors [Nos] 100 Plantation nurseries [Nos] 5 Total Area Available for Irrigation (NIA + Fallow) 1022 Power Tillers [Nos] Above 200 Farmers' Clubs [Nos] 54 Irrigation Potential Created 727 Threshers/Cutters [Nos] Krishi Vigyan Kendras[Nos] 1 Net Irrigated Area(Total area irrigated at least once) 4212 14. INFRASTRUCTURE FOR STORAGE, TRANSPORT & MARKETING Area irrigated by Canals / Channels 115 Rural/Urban Mandi/Haat [Nos] 228 Wholesale Market [Nos] 10 Area irrigated by Wells 2548 Length of Pucca Road [Km] 10800 Godown [Nos] 107 Area irrigated by Tanks 81 Length of Railway Line [Km] 14 Godown Capacity[MT] 87000 Area irrigated by Other Sources 52 Public Transport Vehicle [Nos] 9840 Cold Storage [Nos] 10 Irrigation Potential Utilized (Gross Irrigated Area) 727 Goods Transport Vehicle [Nos] 17500 Cold Store Capacity[MT] 10000 15. AGRO-PROCESSING UNITS 16. AREA, PRODUCTION & YIELD OF MAJOR CROPS Type of Processing Activity No of units Cap.[MT] 2012-1 201-14 Avg. Yield Crop Food (Rice/Flour/Dal/Oil/Tea/Coffee) 1 2t/ day Area (Ha) Prod. (MT) Area (Ha) Prod. (MT) [Kg/Ha] Sugarcane (Gur/Khandsari/Sugar) nil Paddy 187 2928 16 2928 2148 Fruit (Pulp/Juice/Fruit drink) 1 Banana 2706 16022 276 16022 5799 Spices (Masala Powders/Pastes) Tapioca 1697 51482 16507 51482 2197 Dry-fruit (Cashew/Almond/Raisins) 20 1200 Rubber 6840 55450 7105 55450 1494 Cotton (Ginnining/Spinning/Weaving) 1 Coconut 55120 72 m Nuts 6109 72 m Nuts 6726 Milk (Chilling/Cooling/Processing) 175000 lpd Pepper 745 1486 26 1486 459 Meat (Chicken/Mutton/Pork/Dryfish) 8 10 Arecanut 277 145 191 145 760 Animal feed (Cattle/Poultry/Fishmeal) 1 00TPD Production of coconut in million nuts 17. ANIMAL POPULATION AS PER CENSUS 2012 [in '000] 18. INFRASTRUCTURE FOR DEVELOPMENT OF ALLIED ACTIVITIES Category of animal Total Male Female Veterinary Hospitals/Dispensaries [Nos] 80 Animal Markets [Nos] 11 Cattle - Cross bred 111546 1066 100910 Disease Diagnostic Centres [Nos] 1 Milk Collection Centres [Nos] 24 Cattle - Indigenous 1608 29 169 Artificial Insemination Centers [Nos] 145 Fishermen Societies [Nos] Buffaloes 5792 421 1471 Animal Breeding Farms [Nos] 1 Fish seed farms [Nos] 2 Sheep - Cross bred 2 1 Animal Husbandry Tng Centres [Nos] 2 Fish Markets [Nos] 24 Sheep - Indigenous 6 Dairy Cooperative Societies [Nos] 28 Poultry hatcheries [Nos] 1 Goat 11142 27248 84094 Improved Fodder Farms [Nos] 1 Slaughter houses [Nos] 58 Pig 969 84 585 19. MILK, FISH, EGG PRODUCTION & THEIR PER CAPITA AVAILABILITY Rabbits 12688 4542 8146 Fish Production [MT] 129751 Per cap avail. [gm/day] 154 Horse/Donkey/Camel 9 8 1 Egg Production [Lakh Nos] 106 Per cap avail. [nos/p.a.] 51 Poultry - Cross bred NA NA Milk Production ['000 MT] 6 Per cap avail. [gm/day] 56 107024 Poultry - Indigenous NA NA Meat Production [MT] 1872 Per cap avail. [gm/day] 20 Sources (if not mentioned against the respective item): Item Nos. 1, 6, 7, 9 & 10 - Census 2011; Item Nos. 2,, 5, 12, 1 & 14 - Dept. of Agr/Dir. of Eco. & Stat.; Item No. 4 - Dept. of Agr./Water Resources; Item No. 8 - BPL Survey 2002; Item No. 15 - District Ind Centre/Dir. of Eco. & Stat.; Item No. 16 - DACNET; Item No. 17 - AH Census 2007; Item Nos. 18 & 19 - Dir. of Animal Hus./Dir. of Eco. & Stat. 6
District - KOLLAM State - KERALA Lead Bank - INDIAN BANK No. of No. of Branches No. of non-formal agencies assoiated Per Branch Outreach Banks/Soc. Total Rural Semi-urban Urban mfis/mfos SHGs/JLGs BCs/BFs Villages Households Commercial Banks 8 49 11 257 87 4 21174 5 0.0 1917 Regional Rural Bank 1 19 18 1 NIL NIL 8.67 5211 District Central Coop. Bank 1 58 49 9 NIL na NIL 1.82 1154 Coop. Agr. & Rural Dev. Bank 5 6 2 1 NIL na NIL 17. 111500 Primary Agr. Coop. Society 129 124 124 NIL 2595 NIL 0.84 595 All Agencies 174 556 186 278 98 4 2769 5 No. of accounts Amount of Deposit [Rs. 1-Mar-09 1-Mar-10 1-Mar-11 Growth(%) Share(%) 1-Mar-1 1-Mar-14 1-Mar-15 Growth(%) Share(%) Commercial Banks NA NA NA NA NA 1400706 1846621 2949445 60 92 Regional Rural Bank NA NA NA NA NA 22779 18441 20668 12 1 District Central Coop. Bank NA NA NA NA NA 147189 18886 26880 26 7 All Agencies NA NA NA NA NA 1570674 205447 20699 56 100 1-Mar-09 1-Mar-10 1-Mar-11 Growth(%) Share(%) 1-Mar-1 1-Mar-14 1-Mar-15 Growth(%) Share(%) Commercial Banks NA NA NA NA NA 1058811 1168996 156914 16 89 Regional Rural Bank NA NA NA NA NA 1588 16598 19155 15 1 District Central Coop. Bank NA NA NA NA NA 126586 146127 15008 10 All Agencies NA NA NA NA NA 1201280 11721 152677 15 100 4. CD-RATIO 5. PERFORMANCE UNDER FINANCIAL INCLUSION (No. of A/cs) CD Ratio During 2014-15 Cumulative 1-Mar-12 1-Mar-1 1-Mar-14 Deposit Credit Deposit Credit Commercial Banks 76 64 56 Commercial Banks Regional Rural Bank 70 90 90 Regional Rural Bank Cooperative Banks 86 78 61 Cooperative Banks All Agencies 77 77 69 All Agencies 6. PERFORMANCE TO FULFILL NATIONAL GOALS (As on 1/0/2015) Commercial Banks 1018952 75 91652 29 2681 17 270 0.02 0916 2 Regional Rural Bank 17290 90 11246 59 14079 7 149 0.78 167 1 All Agencies 10624 75 402898 29 250910 18 418 0.0 108 2 7. AGENCY-WISE PERFORMANCE UNDER ANNUAL CREDIT PLANS Commercial Banks 49597 480210 97 55021 557472 101 569490 574018 101 100 Regional Rural Bank 1579 165 100 17719 17481 99 20111 18051 90 96 Cooperative Banks 176419 190647 108 202881 207789 102 22501 194118 86 99 Others 7 140 42 7 4045 121 878 1965 2 62 All Agencies 68871 685895 100 776958 786786 101 82010 788152 96 99 8. SECTOR-WISE PERFORMANCE UNDER ANNUAL CREDIT PLANS Broad Sector Crop Loan 64165 00495 8 2028 250590 109 2008.2 2771.75 102 98 Term Loan (Agr) 0271 74174 245 0549 27528 90 7496.80 5705.55 95 14 Total Agri. Credit 9446 74669 95 260876 278117 107 26755 269477 101 101 Non-Farm Sector 2817 66959 281 19468 198219 102 20409 2262 101 161 Other Priority Sector 270478 244268 90 2144 07506 96 25066 29257 90 92 Total Priority Sector 68871 685895 100 776958 7884 101 82010 79476 97 99 9. RECOVERY POSITION Commercial Banks Regional Rural Bank Cooperative Banks 89878 7499 8 1050 86519 84 126176 99679 79 82 Others All Agencies Priority Sector to Agr. Sector to Weaker Sections under DRI Scheme Amount [Rs. Target [Rs.'lakhs Target [Rs. Demand [Rs. ' Banking Profile 1. NETWORK & OUTREACH (As on 1/0/2015) 2. DEPOSITS OUTSTANDING. LOANS & ADVANCES OUTSTANDING No. of accounts Amount of Loan [Rs.' to SC/ST 2012-1 201-14 2014-15 Average Ach'ment Ach'ment Target Ach'ment Ach'ment Target Ach'ment Ach'ment Ach[%] in [Rs. ' [%] [Rs.'lakhs [Rs. ' [%] [Rs.'lakhs [Rs. ' [%] last years 2012-1 201-14 2014-15 Average Ach'ment Ach'ment Target [Rs. Ach'ment Ach'ment Target [Rs. Ach'ment Ach'ment Ach[%] in [Rs. [%] [Rs. [%] [Rs. [%] last years 2010-11 2011-12 2012-1 Average Recovery Recovery Demand Recovery Recovery Demand Recovery Recovery Rec. [%] in [Rs. ' [%] [Rs. ' [Rs. ' [%] [Rs. ' [Rs. ' [%] last years Sources : Lead Bank, Kollam DCCB, KSCARDB Kollam Ro 8