A Study on comparative analysis of agricultural loans offered by PCARD bank at Gubbi

Dept. of MBA CIT Gubbi Page 1

What is Agricultural?
It is process of cultivating land or producing verities of food the science an and beeline of
cultivating soil, producing crops and raising livestock, forming so basically farming and growing
animals and plants
1. Agriculture has a few senses or meanings
2. Large scale farmers enterprise
3. The class of people engaged in growing food
4. The practice of cultivating the land or rising stock
Historical over view of agricultural advances
Up to 1968 agricultural advance well granted by the co-operative system in the country, in 1968
RBI directed commercial banks to taken up direct agricultural advance. The green revolution (the
first) took place in the country during (1966-1968) which resulted in a great demand for credit to
agricultural
Organs of agricultural
Most of important agricultural advance took place in the countries north of the alphas, in spirit of
the large population changes and warfare the accompanied the great migration and the later
onslaughts, of northern and sporadically the where in Europe both before and during the epoch,
the climate and soil and perhaps, in social organization compelled different arrangement, of land
division and the use of more complex took or more and more farmland was converted from
forest, march and health to meet the needs of a (100 of 29253 word)
The banks commitment to agriculture sector has been raising steadily over the
year
Advance to agriculture :31/3/2004. (Both direct and in direct) Rs 7,41,74,067,06 Due to
transitional problems under the service area approach there has been a short fall in achieving
the lending forget of the 187, in the late few year, main reason. Our ADB/ABD branches have
been allotted substantially smaller number of village under the approach, the writing of advanced
A Study on comparative analysis of agricultural loans offered by PCARD bank at Gubbi

Dept. of MBA CIT Gubbi Page 2

under ARDRS had also reduced the out standing sustantly (ARDRS is agricultural and rural
debit relief scheme)
With a view to reduce the short falls government has directed P S Bank in review the special
agricultural plan and draw up annual credit plans for SAA village.
Method/Important of agricultural development, while misses of credit create more problem
incited of increasing in production the importance of credit can be judged by the following facts.
Use of Modern Technology
In the most developing countries farmer is poor and he can not purchase the tractor, tube-well
seed and fertilizers, so the farmer require credit for financing short term development
Purchase cattle
The farmer borrow money to purchase the buffalo, cow, goat, to increase the production of milk
and meet, poultry farms are also established by borrowing the money from various financial
institution.
Low income
The marketing condition of developing countries are not favorable for the farmer, there is middle
man and broker is the way of affirmer and conniver so the farmer cant sell the product at price
the revenue of the product is low and farmer barrow the money to meet its bank needs.
*customs and Tradition
Sometimes farmer borrow the money on death birth to complete the customs traditions he spend
a lot of money marriage by borrowing loan, so loan is misused
*Natural climate
Natural climate like flood and crop diseases also destroy the financial condition of the farmer to
face the problems government should advance the loan.

A Study on comparative analysis of agricultural loans offered by PCARD bank at Gubbi

Dept. of MBA CIT Gubbi Page 3

*Suits
The farmer spends a lot of money on civil and criminal suite they can not meet their expenses by
their earned income so they borrow the money.
*Population Pressure
Population Pressure it increasing on the land in India and Pakistan 70% population, depend upon
agricultural directly or indirectly the high birth rate reduces the income or the farmers, so to meet
the basic need of the family.
* Repayment of parents debt
The farmer some time have to prepay the debt taken by their pants from the various source. So
for this repayment farmer borrow the money.
*Credit for development
Sometimes farmer wants to cultivate the barren land he want, to improve his economic
conditions by starting some development projects. So credit is very is very useful for using the
ide resource.
Purchase the land
Farmer also borrow, to purchase the additional land from various source.

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A Study on comparative analysis of agricultural loans offered by PCARD bank at Gubbi

Dept. of MBA CIT Gubbi Page 4