PLP Projection PLP Projections 2014-15

SFP 2014-15
BIHAR
BROAD SECTOR-WISE
WISE PLP PROJECTIONS FOR BIHAR FOR 2012
2012--17 & 2014-15
Sr.
No.
Sector
1 Crop Production, maintenance and marketing
2 Term Investment for agriculture and allied activities
Total investment under agriculture and allied
3 activities (1+2)
4 MSME Sector
(`
` crore)
Financial
Financial
Projection for
Projection for
2012-17
2014-15
118652.9
27790.71
48057.1
11204.16
166710.0
38994.87
26272.4
7292.41
5 Other Priority Sector
32529.2
7565.93
6 Total Priority Sector (3+4+5)
225511.6
53853.21
PLP Projections 2014
2014-15
14%
Crop Loan
13%
agriculture Term Loan
52%
MSME Sector
Other Priority Sector
21%
i
SFP 2014-15
BIHAR
SUMMARY OF SECTOR-WISE PLP PROJECTIONS (2014-15)
(` crore)
Sr.
No.
Sector
PLP Projections
1 Crop Production, Maintenance and Marketing
27790.71
2 Water Resources
1941.17
3 Land Development
248.49
4 Farm Mechanisation
2406.71
5 Plantation and Horticulture
732.20
6 Forestry and Waste Land Development
77.14
7 Animal Husbandry – Dairy Development
2496.45
8 Animal Husbandry – Poultry Development
460.52
9 Animal Husbandry – Sheep, Goat and Piggery Development
414.60
10 Fisheries Development
539.46
11 Storage Godowns / Market Yards
1634.19
12 Renewable Sources of Energy and Waste Management
110.82
13 Other Activities
142.41
14 Sub total of Agri Term Loan (2 to 13)
11204.16
15 Total Investment under Agriculture & Allied Activities (1 + 14)
38994.87
MSME Investment and Working Capital for Development of
Enterprises and Self Employment
7292.41
16
17 Other Priority Sector
18
7565.93
Grand Total (Total Priority Sector
i.e. Agriculture + MSME Sector + Other Priority Sector)
ii
53853.21
SFP 2014-15
BIHAR
Executive Summary
The State Focus Paper 2014-15 is the culmination of the credit planning exercise undertaken by
NABARD through preparation of Potential Linked Plans (PLP) for the year 2014-15 for all the
districts of the State. It aims at highlighting the magnitude of potentials which can be developed
through credit in agriculture and other priority sectors and also required infrastructure/ linkage
support from State Govt/ developmental agencies. The State Focus Paper also presents an
overview of important physical, demographic, economic, banking and infrastructure related
positions, sectoral analysis of potentials and suggested action plans.
Credit Projections for 2014-15
As per the PLP updation exercise undertaken by NABARD, total credit potential for priority
sector has been estimated at `53853.21crore for 2014-15, showing a growth of 32% as compared
to the State Credit Plan of `40829.40 crore for 2013-14. Broad sector wise estimates for
agriculture & allied activities are placed at `38994.87 crore, MSME at `7292.41 crore and Other
Priority Sectors at `7565.93 crore.
1. State Profile
The total geographical area of Bihar state is 94163 sq km. The State is entirely landlocked,
sharing its boundary with Nepal in the north, Jharkhand in the south, West Bengal in the east and
Uttar Pradesh in the west. The Bihar plains are divided into two unequal halves by the river
Ganga, which flows through the middle from west to east. The State has 38 districts, 534 blocks
and 45103 villages. Total number of Gram Panchayats in Bihar is 8463. The population of the
State as per 2011 Census stands at 10.38 crore. It is the most densely populated State in India
with population density of 1103 persons per sq km. The sex ratio is at 916. The literacy rate is at
63.82%, with male and female literacy rates at 73.39% and 53.33% respectively.
Nearly 2/3rd of the area of Bihar is flood prone. The net sown area in the State is 53.32 lakh ha
with cropping intensity of 137%. There are 161.91 lakh land holdings of which around 97% are
small and marginal farmers (upto 2 ha). Further, share of marginal farmers was high at 91% of
the total land holdings in the State. The major crops being grown in the State are paddy, wheat,
maize, pulses and sugarcane. The State is the major producer of fruit crops viz. Mango, Litchi,
Banana and Guava.
2. Banking/ Financial Sector Profile
There are 33 Commercial Banks, 3 Regional Rural Banks and one State Cooperative Bank with
22 DCCBs in the State. The major share of credit dispensation is through the commercial banks.
The total number of bank branches in the State as on 30 September 2013 was 5454, with rural &
semi- urban branches at 4453. Total deposits and advances of banks in the State as on 31 March
iii
SFP 2014-15
BIHAR
2013 aggregated at `161035.62 crore and `62293.74 crore respectively. The CD Ratio, as on
31.03.2013, was at 38.68%.
The total Ground Level Credit (GLC) flow under priority sector in the State increased from
`16143.29 crore in 2010-11 to `29985.42 crore in 2012-13 showing increase of around 86% in
two years. Total agricultural credit in the State increased by more than two times, from
`10667.49 crore to ` 21566.28 crore during the period. New KCCs issued during 2012-13 were
863822 in which shares of commercial banks and RRBs were at 69.5% and 28.6% respectively.
The cooperative banks’ performance has been dismal.
Total financial support given by NABARD in the State has more than doubled from `1336 crore
in 2010-11 to `2800 crore in 2012-13 which included RIDF loan to the State Government for
development of rural infrastructure, support to commercial banks, RRBs and cooperative banks
for financing short term seasonal agricultural operations and refinance support to RFIs for
promoting investment credit under agriculture & allied activities and support for paddy
procurement in the State.
3. Development Perspective for the State
The economy of the state is agrarian with agriculture sector employing more than 80 percent of
the work force and generating 22.1% of the state GDP. The major crops being cultivated in the
State are rice, wheat, maize, pulses, etc. The area under foodgrains occupies more than 90% of
the total cultivated area, with rice covering around 46%. The area under cultivation has remained
almost same for the last five years in the State but the productivity has increased for all the major
crops. The productivity of all major crops except wheat and other coarse cereals is more than the
all India average. The improvement in the yield of crops may be attributed to improved
agricultural practices, availability of subsidised agri inputs, seed replacement, etc. Even though
the yield of crops in the State has shown a constant increasing trend, there is a huge gap between
the average crop productivity and potential yield. The average yields of rice and wheat in the
state are estimated at 2.5 MT/ha and 2.7 MT/ha, respectively, against the production potential of
4.5-5.0 MT/ha. The average yield of maize in the State is about 4 t/ha as compared to the
potential of 6 MT/ha. There is a need for crop specific strategies to be adopted at farm level to
further improve the yield.
The GLC flow under agriculture has increased more than two times from `10167.49 crore in
2010-11 to `21566 crore in 2012-13. The share of crop loan and agri term loan are in ratio of
67:33. There is significant growth in GLC under agriculture sector which can be attributed to
substantial reduction in effective interest rate on crop loans due to availability of interest
subvention from GoI and Govt. of Bihar, strong institutional measures viz. amalgamation of
RRBs, rationalization of scales of finance and streamlining of review and monitoring mechanism
iv
SFP 2014-15
BIHAR
at different levels. Crop loan is given through KCC. The Government attached lot of importance
to crop production for achieving the ultimate food security. Loan on KCC has been made
available to the farmers at interest rate of 3% with the help of interest subvention provided by
State and Central Govts. Growth in Capital formation in agriculture is important for increasing
production. NABARD laid emphasis for capital formation in agriculture and channelises the
flow of credit to the allied sectors also. The GLC flow under Agri Term loan has increased from
`4258.56 crore in 2010-11 to `7095 crore in 2012-13 showing annual growth rate of more than
30%. Steps / initiative, as such, are necessary for encouraging increased flow of term loans in
agriculture.
It is imperative to develop agriculture together with improving infrastructure such as power, rural
roads, marketing, supply of quality seed, adequate machinery, farmer friendly extension and
effective credit delivery system to improve the economic condition of the people of the state. For
achieving this ambitious objective, the State Government has drawn Agriculture Road Map
which has set itself various targets for 12th and 13th Five Year Plans. The Road Map also
emphasised on need to provide backward and forward linkages for agriculture and allied
activities. In line with the Road Map, NABARD has identified major areas which need attention
for faster and inclusive growth of agriculture sector in the state. The major critical areas
identified for the purpose are given below.
i.
ii.
iii.
Enhancing Farm Income to Make Agriculture Attractive- Integrated farming
combining field crops, horticulture, livestock, fisheries, along with multiple use of water
is becoming important. Similarly, farm waste, like paddy straw could be used for
mushroom culture. Evidently, apiculture, vermiculture, quality seed, hi-tech agriculture,
integrated farming and mushroom culture have proved to be a boon to improve
profitability in agriculture.
Development and Maintenance of Rural Infrastructure- Rural connectivity is the key
to raise farmers’ productivity and income. Therefore, utmost priority may be given to
improve infrastructure in various sectors like water management, rural power supply,
credit availability and market access. Steps may also be taken to encourage renewable
sources of energy on PPP mode.
Strengthening of Cooperative Credit Institution- Co-operative credit structure in the
state suffers from governance deficit, manpower shortage, managerial bottlenecks and
financial weakness. Some of the recent initiatives that rekindle hope in revival of
cooperatives include revival and restructuring of Short Term Cooperative Credit (STCC).
Primary Agriculture Credit Society (PACS), the foundation of cooperative credit
structure, besides purveying agricultural credit may be motivated to build their own
capital base with members’ contributions. A few of these PACS having good
infrastructure and sound financial health could also be converted to Multipurpose
v
SFP 2014-15
BIHAR
Cooperative Societies rendering custom hiring and other fee based extension services to
the farmers. PACS as BC model can also be seen as an alternative.
iv.
Development of Agricultural Markets- Agricultural Produce Market Committee Act
was repealed in 2006. As such, there is no regulated market in the State. The unregulated
agricultural markets suffer from some structural weaknesses, such as the existence of
unorganized small producers as against organized buyers, weak holding capacity of the
small producers and the absence of any storage infrastructure like packaging,
transportation, organized marketing system and post harvest handling facilities. The
marketing infrastructure need to be strengthened by identifying suitable marketplaces
having state of the art facilities with rural godowns and cold storages. Common Interest
Groups on the lines of SHGs/JLGs and Farmers' Clubs at block level can also be upscaled
to form Producer Organisations (POs) to leverage their collective strength and bargaining
power to access financial and non-financial inputs and services and appropriate
technologies, tap high value markets and enter into partnerships with private entities on
more equitable terms.
v.
Storage Warehouses and Cold Stores- As against total food grain production of 176
lakh tonnes in the state, availability of storage space is around 10 lakh tonnes limiting
Govt. efforts of procurement of grains at MSP to avoid distress sale by farmers and to
create a buffer towards food security. The existing storage capacity in the state, as on
March 2012, is 10.21 lakh MT. The required storage capacity, as estimated, is 58.64 lakh
MT. Thus, there is gap of 48.43 lakh MT storage capacity in the State. Further, the state
government needs to take a policy decision that storage godowns and cold storage,
conforming to accreditation norms of Warehousing Development & Regulatory
Authority (WDRA) may be constructed to enable the farmers to take advantage of pledge
loans against negotiable warehouse receipts.
vi.
Agro Processing - The agricultural produce after harvest is immediately transported to
the markets within and outside state and some to the processing units mainly for fruits.
Every year, substantial losses are incurred amongst perishable products. The farmers can
be trained to add value to existing crops by primary processing at the farm level itself.
The strategy to be adopted for value addition on farms may include training of farmers in
the modern methods of production, scientifically evolved region-specific mixed farming
pattern and identifying areas for intensive cultivation of fruits & vegetables and entering
into contract farming for linkages with agro-processing industries. Small processing units
can also be set up in clusters.
Livelihood creation through Self Help Group/ Joint Liability Group- SHG programme has
proved to be the most effective vehicle for inclusive growth particularly of deprived and weaker
section of the society. As a social and economic empowerment programme, Self Help Groups
vi
SFP 2014-15
BIHAR
have helped in improving quality of life of vulnerable groups especially women. The SHG-Bank
Linkage Programme initiated by NABARD is the single most important programme for
delivering financial services to the poor in rural areas. The groups have been promoted by the
key players such as, Bihar Rural Livelihoods Promotion Society (BRLPS) under World Bank
assisted project JEEVIKA, Women Development Corporation (WDC), Govt. of Bihar, and
NABARD through Non Governmental Organisations (NGOs) and banks as Self Help Promoting
Institutions (SHPI). Joint Liability Groups (JLGs) are aimed at meeting the financing needs of
mid - segment clients like tenant farmers, oral lessees, share croppers, micro entrepreneurs, etc.
As per the estimate, Bihar has potential to promote about 10 lakh SHGs and may be equal
number of JLGs. So far, however, there are around 2.7 lakh SHGs and 36,000 JLGs. As against
the target of promoting 50000 JLGs during 2012-13, total number of bank linked JLGs as on 31
March 2013 were at 15046 in the State. A suitable strategy needs to be drawn to involve NGOs,
Govt. and private sectors.
There are two major programmes for SHG promotion currently underway in Bihar:
(i) National Rural Livelihood Mission (NRLM), Ministry of Rural Development, GoI : BRLPS
is the NRLM implementing agency in the State. Ministry of Rural Development, GOI has since
operationalised Interest Subvention Scheme under NRLM-Aajeevika. The initiative, in its first
phase will focus on 150 most backward districts in the country including 11 districts of Bihar.
Women SHGs promoted by NRLM/NGOs or by NABARD under WSHG and linked with the
banks are eligible to avail the benefits of the scheme.
(ii) SHG Bank Linkage Programme: As on 31 March 2013, the total number of SHGs savings
linked and credit linked under SHG- Bank Linkage programme stood at 270890 and 185309
respectively.
Scheme for promotion & Bank linkages of Women SHGs in Left Wing Extremism (LWE)
affected Districts and Backward districts in Bihar,: Govt. of India Scheme being
implemented to bring out a viable and self sustainable model for promotion & financing of
women self help groups by involving an anchor NGO in each of the selected LWE/backward
districts of the State. The scheme is currently being implemented in 15 LWE affected districts by
the anchor NGO-BRLPS and in one backward district namely Vaishali by the anchor NGO
Samadhan Kendra. As on September 2013, around 8265 SHGs have been savings-linked and
5395 SHGs have been credit-linked in these districts. A target of 16500 SHGs has been fixed for
promotion and credit-linkage under the scheme in these districts for the year 2013-14.
IFAD Assisted Women’s Empowerment and Livelihoods Programme (Priyadarshini) -The
programme (Priyadarshini) is being implemented by NABARD in four blocks of Madhubani and
Sitamarhi districts since December 2009. The programme aims at holistic empowerment of rural
vii
SFP 2014-15
BIHAR
poor women and adolescent girls through formation and nurturing of around 6000 SHGs in
Bihar.
Financial Inclusion
As per Census 2011 data, the house hold coverage of banking services as a proportion to total
house hold in the state stands at 44% as against all India average of 58.7% which is one of the
lowest in the country. The estimate suggests opening of another one crore ‘zero balance’ saving
accounts to ensure that each household should have a bank account which by any standard is a
challenging responsibility. Several initiatives have been taken by Government which included
redefining the Service Area of banks on the basis of Gram Panchayats, appointment of Business
Correspondent Agent (BCA), opening of Ultra Small Branches, Aadhaar enabled payment
system, direct benefit transfer, Kisan Credit Card as RuPay cards, opening of Financial Literacy
Centres, etc. have witnessed a phenomenal growth in financial coverage. However, a few state
specific issues have also cropped up during the journey and need to be addressed include
appointing more number of BCAs and technology support to them with POS machines with wide
network coverage and smart cards.
MSME, Rural Non Farm Sector and Service Sector
The MSME is a dynamic and vibrant sector that nurtures entrepreneurial talent besides meeting
social objectives including that of providing employment to millions of people across the
country. In view of its importance in terms of high labour to capital ratio, considerable
geographical spread and high growth, MSME is becoming crucial for achieving inclusive
growth. With the enactment of MSMED Act 2006 by the Govt of India, the paradigm shift that
has taken place is the inclusion of the services sector in the definition of Micro, Small & Medium
enterprises, apart from extending the scope to medium enterprises. The MSMED Act, 2006 has
modified the definition of micro, small and medium enterprises engaged in manufacturing or
production and providing or rendering of services.
Enterprises
Micro Enterprises
Small Enterprises
Medium Enterprises
Manufacturing sector
Investment in plant and machinery
Does not exceed ` 25 lakh
More than `25 lakh but does not
exceed ` 5 crore
More than `5 cr & upto ` 10 cr
Service Sector
Investment in equipment
Does not exceed ` 10 lakh
More than ` 10 lakh but does not
exceed ` 2 crore
More than ` 2 cr & upto ` 5 cr.
Promotion of MSME is of paramount importance for diversification and economic development
of Bihar as it can provide sustainable livelihood to the landless and near landless rural population
and supplementary income to farmers of the state
Keeping in view the importance of Rural Non Farm Sector (RNFS) in our economy, NABARD
had launched various schemes / programmes over the years for providing assistance in the form
viii
SFP 2014-15
BIHAR
of grant, loan, etc. NABARD decided to reorganise the existing programmes based on 'Project
Approach' with a shift from multiple programme approach to a simple and flexible project
approach to promote Business Growth and provide 'end to end' solution.
4. Infrastructure Planning
Infrastructure is the foundation of development. Availability of adequate infrastructure facility is
an important pre-condition for sustainable economic and social development. Infrastructure can
be categorized as economic infrastructure and social infrastructure. The former includes
transport, communication, irrigation, energy, banking, insurance, etc., while later includes
sectors like health, education, housing, etc.
Sector wise Infrastructure
i. Roads and Bridges -The development of roads is a basic component of the infrastructural
development and plays a major role in improving connectivity and bringing the state on a
development trajectory. Road Construction Department (RCD), Bihar Bridge Corporation Ltd
and Rural Works Department (RWD) are engaged in providing connectivity in the state, so as to
connect villages through construction of new roads and strengthening and maintenance of
existing ones under various central and state sector schemes, RIDF (NABARD), etc. As regards
Bridges, the construction of major and small bridges has been taken up on a large scale in Bihar
during the last 5 years. The construction works on 11 major bridges on rivers like Sone, Gandak,
Kosi, Bagmati, Budhi Gandak and Arai have been completed/ are under progress. The total road
length per lakh population in Bihar was 155 km against the national average of 323 km. On the
other hand, Road availability per 100 square km area in Bihar was 170 km, higher than the
national average of 129 km per 100 square km area . PLP exercise for 2014-15 has identified 140
projects with tentative estimation of `3150 crore under roads and bridges sector in various
districts in the State.
ii. Irrigation- In Bihar, primarily, there are three major sources of irrigation - canals, tanks and
tube-wells. The ultimate potential from all the sources of irrigation has been estimated as 115.54
lakh hectare. PLP exercise for 2014-15 in the State has identified 103 projects with tentative cost
estimates of `1023 crore.
iii. Storage Godown -The existing storage capacity in the state is 9.48 lakh MT. The required
storage capacity, as estimated, is 65 lakh MT, as per Agriculture Road Map. Thus, at present,
there is gap of 55.52 lakh MT storage capacity in the State. PLP exercise for 2014-15 has
identified 58 projects with estimated investment of `645 crore.
iv. Energy -Annual per capita consumption of electricity in Bihar (122.11 KWH) is lowest in the
country, the national average being 778.71 KWH. PLP exercise for 2014-15 has identified 10
power sector projects with investment requirement of `104 crore.
ix
SFP 2014-15
BIHAR
v. Flood Management - The total flood affected area of the state is 68.80 lakh ha which is
nearly 74 percent of the total geographical area of Bihar. In addition, nearly 9.41 lakh ha of the
state remains water logged. Through various measures, the state government is addressing these
challenges. PLP exercise for 2014-15 has identified 4 projects for development with investment
requirement of `548 crore.
vi. Watershed Development- To address the perpetual drought situation in south Bihar districts,
watershed development approach has been adopted by NABARD. About 83,000 (approx.) ha of
degraded land has been developed in eight districts, namely Kaimur, Rohtas, Aurangabad, Gaya,
Nawada, Jamui, Banka and Munger. Govt. of Bihar has constituted Watershed Development
Society in Directorate of Soil Conservation under Department of Agriculture to implement
centrally sponsored Integrated Watershed Management Plan in Nawada, Gaya, Aurangabad,
Kaimur, Sasaram, Jamui, Maunger and Banka districts. More number of watersheds may be
developed in South Bihar.
Physical & financial outlays
Besides the macro level assessments made by various government departments, NABARD made
a field / micro level indicative assessment of investments required to be made under
infrastructure sector in PLP exercise for 2014-15. A total of `6264 crore has been estimated in
Bihar. These projects have been bracketed under 5 broad heads viz. last mile projects, Projects
which would positively improve the growth of the sector, Infrastructure Requirement / Gap
under post harvest management / value addition, Infrastructure Requirement / Gap under Rural
Connectivity and Infrastructure Requirement / Gap under Social Sector.
5. Potential Credit Outlays under Various Sectors
The Potential Linked credit Plans (PLPs), attempted for each district of the State have estimated
the total credit potential of `53853.21 crore under priority sector activities for 2014-15 in the
State. The potential assessed includes ` 27790.71 crore for production credit (crop loan), `
11204.16 crore for investment credit in agriculture, ` 7292.41 crore for MSME sector activities
and ` 7565.93 crore for other priority sector activities. Sector wise projection are summarised as
follows:
x
SFP 2014-15
BIHAR
Estimates of Credit Potentials for development for 2014-15 in Bihar
Sl. No.
Credit Projection (`
` crore)
Sector
1
Crop Production
27790.71
2
Water Resources
1941.17
3
Land development
248.49
4
Farm Mechanisation
2406.71
5
Plantation & Horticulture
732.20
6
Forestry & Waste Land Development
77.14
7
Animal Husbandry- Dairy Dev
2496.45
8
Animal Husbandry- Poultry Dev
460.52
9
Animal Husbandry- Sheep, Goat & Piggery Dev
414.60
10
Fisheries Development
539.46
11
Storage Godowns/ Market yards
1634.19
12
Renewable Sources of Energy & Waste Management
110.82
13
Other Activities
142.41
14
Sub Total of Agri Term Loan (2 to 13)
11204.16
15
Total Investment under Agri & allied Activities (1+14)
38994.87
16
MSME (incl. Agro & Food Processing)
7292.41
17
Other Priority Sector
7565.93
18
Total Priority Sector (Agri+MSME+OPS)
53853.21
Sector wise Analysis
Sector wise action points are enlisted below:
I. Crop Production
i.
Use of proper seed material
ii.
Bridging the existing yield gaps
iii. Efficient use of inputs and balanced use of fertilisers
iv.
Flood control, drainage, water management and mitigating drought
v.
Providing timely and adequate credit
vi.
Covering all eligible non defaulting farmers under Kisan Credit Card
vii.
JLG financing to be prioritised for share croppers/oral lessees/tenant and landless farmers
viii. Operationalisation of defunct sugar mills
ix. Strategic agricultural diversification to enhance farm income
x. Consolidation of land holdings
xi. Strengthening of Agricultural Extension Services
xii. Strengthening of Cooperative structure for fulfilling members' production credit need
xi
SFP 2014-15
BIHAR
II. Water Resources
i.
Energisation of existing state tubewells and borewells
ii.
Provide electricity connection to Tube Well Projects
iii. Availability of quality power for irrigation
iv.
Defunct electric pumpsets may be energised to increase productivity
v.
As quality power may not be available regularly, diesel pumpsets may also be
encouraged
vi.
Project for conjunctive use of Ground Water, Artificial Recharge Structures/ Water
Harvesting Structures in Semi-critical blocks viz. Gaya Sadar of Gaya district, Meskaur
block of Nawada district , Rajgir & Nagarnausa blocks of Nalanda disrict. Management
of surface irrigation
vii.
Renovation of ‘Ahar Pyne’ system, the traditional rain water harvesting structures.
viii. Rejuvenation of Failed/Old Tube Wells
ix. Popularising micro irrigation through sprinkler/ drip irrigation
x. Concept of Community Irrigation Schemes/ Group Loans to be adopted for MI schemes
III. Land Development
i.
To treat problematic soils such as acidic, saline, calcareous, tal/ diara/ chaur land soils,
waterlogged soils, high bulk density soils and make it suitable for cultivation
ii.
Assistance to farmers for adoption of Integrated Nutrient Management to enhance soil
productivity and soil health.
iii. Use of remote sensing in soil resource mapping will help in planning & developing land
use plans for sustainable land management
IV. Farm Mechanisation
i.
Financial support to custom hiring of farm machinery under Agri Clinic and Business
Service Centre and provide support to small farmers to purchase second hand tractors and
power tillers
ii.
Passing on the benefit of hi-tech, high value and hi-productive agricultural machinery to
farmers through creation of hubs and for custom hiring, enhancing Farm Productivity at
the village level by introducing appropriate farm mechanization in selected villages may
be considered.
iii. Crop wise package of implements need to be promoted. Marker, Paddy transplanter,
Weeder, drum seeder and harvester also need to be promoted.
iv.
Promotion and strengthening of Agricultural Mechanisation
v.
Krishi Mahotshav/ Mela have acted as appropriate venues for demonstration of new agri
implements and may be organized regularly.
xii
SFP 2014-15
BIHAR
V. Plantation & Horticulture
i.
Production of quality planting material locally as also bringing in better commercial
varieties from other states.
ii.
Production and Post-harvest operations for Litchi to be standardized to keep the unique
advantage of the state.
iii. Integrated nutrient management, irrigation, pest management, inter-cropping, pre-cooling
and advanced technologies for post-harvest management have to be adopted.
iv.
Increasing productivity of old orchards through rejuvenation and inter-cropping,
protected cultivation and minimizing post-harvest losses
v.
Promotion of organic production and their certification particularly for vegetables, fruits,
betel and medicinal plants with focus on export need to be a thrust area. The organic
certification programme launched for Litchi to be further expanded and marketed with
‘Jai B’ brand.
vi.
Large scale promotion of Honey Bee farming.
vii.
Developing agriculture produce markets with modern facilities.
viii. Mechanization of horticultural operations.
ix. Encouraging cultivation of medicinal & aromatic crops and their coverage under
Insurance.
x. Development of integrated value chain.
xi. Contract farming can also be promoted for select crops.
VI. Forestry and Wasteland Development
i. Forest Department may raise nurseries to supply quality seedlings to farmers growing
tree crops on their farm land.
ii. The department may develop a few demonstration plots on Farm Forestry / Agro Forestry
in potential districts to motivate the farmers.
iii. Providing technical know-how to the beneficiaries for successfully undertaking
plantation activities on their farm land and also to the bankers for proper implementation
and monitoring.
VII. Animal Husbandry – Dairy Development
i. Financing of small, mini and large dairy units
ii. Financing 2 wheelers and 3 wheelers for selling of milk to households and local markets
iii. Strengthening of Block Level and District Level Veterinary Hospitals with disease
diagnostic facilities, latest equipments and tools to handle referral cases. Motorcycle and
Mobile facilities to Touring Veterinary Officers (TVO). Dormant AI centres may be
revived and new AI centres may be created considering milch cattle population.
xiii
SFP 2014-15
BIHAR
iv. Establishment of Fodder Seed Production Farm at Sipaya (Gopalganj) and Purnea for
production of Foundation Seed.
v. Distribution of seeds and saplings/slips for Green Fodder production under irrigated and
un irrigated fields, demonstration of Vermi - composting units, urea treatment of straw
and Silage Making by individual farmers.
vi. Training of Pashumitras / Gopalmitras for paravets and AI
vii. Tie-up arrangement with insurance companies for insurance of animals even where bank
finance is not involved. State Government may subsidise animal insurance premium.
Establishment of carcass utilisation centres
IX. Animal Husbandry- Sheep, Goat, Piggery, etc. Development
i.
Establishment of carcass utilisation centers will help in utilising the by- products of fallen
animal as well as waste from slaughter houses
ii.
Setting up of pig breeding farms as well as bacon factory
iii. Establishment of a processing plants for value addition to animal husbandry products
iv.
Scheme for distribution of improved bucks may be extended to all districts.
X. Fisheries Development
i.
Infrastructure for establishment of Hatchery/ Nursery/Rearing farms for availability of
adequate, pure, quality fish seed and production of advance fries, fingerlings & yearlings.
ii.
Revival of weak fishermen coops by bringing them under umbrella of Fisheries deptt
iii. A comprehensive reservoir fishery development plan may be framed, to enhance the
potential of fish production up to 40-50 Kg/ha
XI. Storage Godowns/ Cold Storages
i.
Development of wet and dry storage as envisaged in Agri Road Map.
ii.
Ensuring assured and quality supply of power.
iii. Accreditation of storage capacity created with Warehousing Development Authority to
ensure quality storing of food grains.
iv.
Implement pledge financing scheme to avoid distress sale by farmers.
v.
Setting up of Agriculture produce marketing, standardisation and grading infrastructure
through Vyapar Mandals, etc.
XII. MSME Sector
i. Banks to ensure that working capital needs of Small/ Micro enterprises and especially
artisan/ handicraft units are met by issuing them General Swarojgar/Artisan Credit Cards.
ii.
Extending bank finance to first generation entrepreneurs trained under entrepreneurship
/skill development programmes
iii. Ensuring availability of infrastructure such as road, communication and power.
xiv
SFP 2014-15
BIHAR
iv.
To increase the sale volume of MSME sector and make them viable, the state government
may bring a procurement preference policy for purchase of manufactured goods from
micro, small and medium enterprises that will also create additional employment.
XII A. Agro and Food Processing
i.
Modernisation and expansion of rice mills to improve recovery of rice and byproducts
ii.
Rice bran processing facilities for self sufficiency in edible oil & co-generation of power.
iii. Corn processing units for poultry/cattle/animal feed, snacks and corn oil
iv.
Modernisation of Sugar mills
v.
Setting up tea processing units in Kishanganj.
vi.
A maize research centre may be established as the state is a leading producer of maize
and its yield exceeds the national average .
vii.
Encouraging agro processing by inviting major industrial houses by providing incentives.
viii. Brand promotion for special produce / products such as litchi (Muzaffarpur), mango
(Bhagalpur, Darbhanga, Madhubani) and makhana ( Darbhanga, Madhubani, Supaul ).
ix. Creation of adequate storage space for agri produce, and creation of cluster based crop
specific infrastructure like processing centres, marketing centres etc.
x. Establishing farmer and processor linkage
xi. Increasing fruit/vegetable processing & reduce wastage to 5%
xii. Awareness creation and skill development
XIII. Other Priority Sector
i. Streamline and simplify procedures for extending education loans, housing loans and
consumption loans, education loan and loans for Retail trade & small business, SRTO.
ii.
Financing of Self Help Groups (SHGs) as well as Joint Liability Groups formed to take
up income generating activities
iii. Improvement in rural economic and social infrastructure to create better investment
climate for trade, small businesses and industry.
iv.
Encourage privatisation and public private participation model under service sector for
creating self employment opportunities.
v.
Emphasis on modern enterprises such as communication centres, cyber cafe, egovernance centres (Vasudha Centres) for financing.
vi.
Financing for construction/repairs of houses in rural areas may be given due
consideration
vii.
Priority may be accorded for education loans to encourage students to pursue higher
education.
xv

Download Report