Agri Clu Tura Lloan

7/29/2019 Agri Clu Tura Lloan

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A

PROJECT REPORT

ON

ROLE OF S.B.I IN GRANTING LOAN TO AGRICULTURE

SECTOR

Under the Supervision of: Submitted By:

Dr. Roshan Lal Chirag Mittal

Professor Roll no. 1208251

MM Institute of Management

MM Institute of Management

MM University, Mullana, Ambala, Haryana, 133207


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DECLARATION

I hereby declare that the project report entitled Role of S.B.I in granting

loan to agriculture sector is the produce of my sincere effort. This Final

Research Project Report is being submitted by me alone, at MMIM,

Maharishi Markandeshwar University, Mullana (Ambala) for the partial

fulfillment of the course BBA, and the report has not been submitted to any

other educational institutions for any other Purpose.

Chirag Mittal


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CERTIFICATE

Certified that the research project entitled Role of S.B.I in granting loan to

agriculture sector is an original piece of work done by Mr. Chirag Mittal, Rollno 1208210 during the period of his study under my guidance for the award of the

degree of Bachelor of Business Administration (BBA)

Date: Dr. ROSHAN LALPlace: PROFESSOR


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ACKNOWLEDGEMENT

I would like to express deep sense of hearty and special gratitude to my faculty

Guide Dr. ROSHAN LAL, Professor, MM Institute of Management,

Maharishi Markandeshwar University, Mullana-Ambala for his valuable

suggestions and constant help and encouragement throughout the advancement of

this project report.

I am deeply indebted to Dr. ROSHAN LAL without whose help, stimulating

suggestions and encouragement this project would not have seen the light at the

end of the tunnel.

Last but definitely not the least; I convey special thanks to all my colleagues for

their morale boosting and valuable ideas.


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CONTENTS

CHAPTER-1 INTRODUCTION

INTRODUCTION OF BANKING 1-3

AGRICULTURAL FINANCE IN INDIA 4-11

ABOUT S.B.I 12-

15

SCHEMES OF AGRICULTURAL FINANCE 16-

27

CHAPTER-2 LITERATURE REVIEW 28-

30

CHAPTER-3 RESEARCH METHODOLOGY

31-32

SCOPE OF THE STUDY

RESEARCH DESIGN

DATA COLLECTION METHODS

RESEARCH OBJECTIVES

LIMITATIONS OF STUDY

CHAPTER-4 DATA ANALYSIS AND INTERPRETATION

33-45

FINDINGS & SUGGESTIONS 46

CONCLUSION 47

BIBLIOGRAPHY

QUESTIONAIRE


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CHAPTER-1

INTRODUCTION OF BANKING

__________________________________________________________________

The world of banking has assumed a new dimension at dawn of the 21st century

with the advent of tech banking, thereby lending the industry a stamp of

universality. In general, banking may be classified as retail and corporate banking.

Retail banking, which is designed to meet the requirement of individual customersand encourage their savings, includes payment of utility bills, consumer loans,

credit cards, checking account and the like. Corporate banking, on the other hand,

caters to the need of corporate customers like bills discounting, opening letters of

credit, managing cash, etc.

Metamorphic changes took place in the Indian financial system during the eighties

and nineties consequent upon deregulation and liberalization of economic policies

of the government. India began shaping up its economy and earmarked ambitious

plan for economic growth. Consequently, a sea change in money and capital

markets took place. Application of marketing concept in the banking sector was

introduced to enhance the customer satisfaction the policy of privatization of

banking services aims at encouraging the competition in banking sector and

introduction of financial services. Consequently, services such as Demat, Internet

banking, Portfolio Management, Venture capital, etc, came into existence to cater

to the needs of public. An important agenda for every banker today is greater

operational efficiency and customer satisfaction. The mew watchword for the bank

is pretty ambitious: customer delight.


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The introduction to the marketing concept to banking sectors can be traced back to

American Banking Association Conference of 1958. Banks marketing can be

defined as the part of management activity, which seems to direct the flow of

banking services profitability to the customers. The marketing concept basically

requires that there should be thorough understanding of customer need and to learn

about market it operates in. Further the market is segmented so as to understand the

requirement of the customer at a profit to the banks.

DEFINITION OF BANK

The Oxford dictionary defines the Bank as

An establishment for the custody of money, which it pays out, on a

customers order.

According to Whitehead

A Bank is defined as an institution which collects surplus funds from the

public, safeguards them, and makes them available to the true owner when

required and also lends sums be their true owners to those who are in need of funds

and can provide security.

Banking Company in India has been defined in the Banking Companies act 1949,

One which transacts the business of banking which means the accepting, for

the purpose of lending or investment of the deposits of money from the public,

repayable on demand, or otherwise and withdraw able be cheque, draft, order or

otherwise.


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The banking system is an integral subsystem of the financial system. It represents

an important channel of collecting small savings form the households and lending

it to the corporate sector. The Indian banking system has Reserve Bank of India

(RBI) as the apex body for all matters relating to the banking system. It is the

central Bank of India. It is also known as the Banker To All Other Banks.

EVOLUTION OF INDIAN BANKING

Ancient banking system of India constituted of indigenous bankers. They have

been carrying on their age-old banking operations in different parts of the country

under different names. The modern age of banking constitutes the fundamentalbasis of economic growth. The term Bank is being used since long time but there is

no clear conception regarding its beginning. According to the viewpoint, in good

old days. Italian money leaders were known asB anchi because they kept a

special type of table to transact their business.

IMPORTANCE OF BANKS

Today banks have become a part and parcel of life. There was a time when

dwellers of the city alone could enjoy their services. Now banks offer access to

even a common man and their activities extend to areas hitherto untouched. Banks

cater to the needs of agriculturalists, industrialists, traders and to all the other

sections of the society. In modern age, the banking constitutes the fundamental

basis of economic growth. Thus, they accelerate the economic growth of a country

and steer the wheels of the economy towards its goals of self reliance in all

fields. It naturally arouses ones interest in knowing more about the Bank and the

various men and the activities connected with it.


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AGRICULTURE FINANCE IN INDIA

Finance in agriculture is as important as development of technologies. Technical

inputs can be purchased and used by farmer only if he has money (funds). But hisown money is always inadequate and he needs outside finance or credit.

Professional money lenders were the only source of credit to agriculture till 1935.

They use to charge unduly high rates of interest and follow serious practices while

giving loans and recovering them. As a result, farmers were heavily burdened with

debts and many of them perpetuated debts. There were widespread discontents

among farmers against these practices and there were instances of riots also.

With the passing of Reserve Bank of India Act 1934, District Central Co-op. Banks

Act and Land Development Banks Act, agricultural credit received impetus and

there were improvements in agricultural credit. A powerful alternative agency

came into being. Large-scale credit became available with reasonable rates of

interest at easy terms, both in terms of granting loans and recovery of them.

Although the co-operative banks started financing agriculture with their

establishments in 1930s real impetus was received only after Independence when

suitable legislation were passed and policies were formulated. There after, bank

credit to agriculture made phenomenal progress by opening branches in rural areas

and attracting deposits.

Till 14 major commercial banks were nationalized in 1969, co-operative banks

were the main institutional agencies providing finance to agriculture. Afternationalization, it was made mandatory for these banks to provide finance to

agriculture as a priority sector. These banks undertook special programs of branch

expansion and created a network of banking services throughout the country and

started financing agriculture on large scale. Thus agriculture credit acquired multi-


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agency dimension. Development and adoption of new technologies and availability

of finance go hand in hand. In bringing "Green Revolution", "White Revolution"

and now "Yellow Revolution" finance has played a crucial role. Now the

agriculture credit, through multi agency approach has come to stay.

The procedures and amount of loans for various purposes have been standardized.

Among the various purposes "Crop loans" (Short-term loan) has the major share.

In addition, farmers get loans for purchase of electric motor with pump, tractor and

other machinery, digging wells or boring wells, installation of pipe lines, drip

irrigation, planting fruit orchards, purchase of dairy animals and feeds/fodder for

them, poultry, sheep/goat keeping and for many other allied enterprises.


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AGRICULTURE GROWTH RATE IN INDIA

Agriculture Growth Rate in India GDP had been growing earlier but in the last few

years it is constantly declining. Still, the Growth Rate of Agriculture in India GDP

in the share of the country's GDP remains the biggest economic sector in the

country. India GDP means the total value of all the services and goods that are

produced within the territory of the nation within the specified time period. The

country has the GDP of around US$ 1.09 trillion in 2007 and this makes the Indian

economy the twelfth biggest in the whole world. The growth rate of India GDP is

9.4% in 2006- 2007. The agricultural sector has always been an important

contributor to the India GDP. This is due to the fact that the country is mainly

based on the agriculture sector and employs around 60% of the total workforce in

India. The agricultural sector contributed around 18.6% to India GDP in 2005.

Agriculture Growth Rate in India GDP in spite of its decline in the share of the

country's GDP plays a very important role in the all round economic and social

development of the country. The Growth Rate of the Agriculture Sector in India

GDP grew after independence for the government of India placed special emphasis

on the sector in its five-year plans. Further the Green revolution took place in India

and this gave a major boost to the agricultural sector for irrigation facilities,

provision of agriculture subsidies and credits, and improved technology. This in

turn helped to increase the Agriculture Growth Rate in India GDP.


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The agricultural yield increased in India after independence but in the last few

years it has decreased. This in its turn has declined the Growth Rate of the

Agricultural Sector in India GDP. The total production of food grain was 212

million tonnes in 2001- 2002 and the next year it declined to 174.2 million tonnes.

Agriculture Growth Rate in India GDP declined by 5.2% in 2002- 2003. The

Growth Rate of the Agriculture Sector in India GDP grew at the rate of 1.7% each

year between 2001- 2002 and 2003- 2004. This shows that Agriculture Growth

Rate in India GDP has grown very slowly in the last few years.

Agriculture Growth Rate in India GDP has slowed down for the production in this

sector has reduced over the years. The agricultural sector has had low production

due to a number of factors such as illiteracy, insufficient finance, and inadequate

marketing of agricultural products. Further the reasons for the decline in

Agriculture Growth Rate in India GDP are that in the sector the average size of the

farms is very small which in turn has resulted in low productivity.

Also the Growth Rate of the Agricultural Sector in India GDP has declined due to

the fact that the sector has not adopted modern technology and agricultural

practices. Agriculture Growth Rate in India GDP has also decreased due to the fact

that the sector has insufficient irrigation facilities. As a result of this the farmers

are dependent on rainfall, which is however very unpredictable.


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NATIONALISED BANKS

1. Allahabad Bank - offers the Kisan Credit Card and Kisan Shakti Yojana

Scheme. The Kisan Credit Card is a unique scheme for farmers through which they

can draw a cash loan for crop production as well as domestic needs from the card-

issuing branch within the sanctioned limit. The Kisan Shakti Yojana provides farm

investment credit, as well as personal/domestic loans including repayment of debt

to moneylenders. The permissible loan limit will be 50 per cent of the value of land

or 5 times the net farm income, whichever is lower, less the outstanding amount, ifany, in Agril.

2. Andhra Bank - provides facilities to farmers like AB Kisan Vikas Card, AB

Pattabhi Agricard, AB Kisan Chakra, rural godowns, agri clinics, agri service

centres, self help groups and solar cookers. They also provide other schemes such

as Kisan Sampathi, tractor financing, Kisan Green Card, Surya Sakhti and loans to

dairy agents.

3. Bank of Baroda - offers farmers the Baroda Kisan Credit Card. It also has

schemes for the purchase of agricultural implements, heavy agricultural machinery

like tractors, irrigation and other infrastructure. Bank of Baroda also finances the

development of agri industries like horticulture, sericulture, fisheries, dairy and

poultry.

4. Bank of India - has a Kisan Credit Card Scheme that helps farmers raise

short-term funds for agriculture and other farm-based activities, on an on-going

basis, with very flexible and friendly repayment terms. It also offers an agricultural


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loan for development of agriculture related industries, purchase of machinery and

other agricultural purposes.

5. Bank of Maharashtra - offers agriculturists a Mahabank Kisan Credit Card

and financial schemes for digging new wells, purchasing harvesters, livestock,

vehicles and land. Repayment terms for different agricultural loans range from

three to fifteen years.

6. Canara Bank - provides Kisan Credit Cards. Limits up to 50,000 have no

margin while those above 50,000 have a margin of 15 to 20 percent. Other than

this, Canara Bank provides a wide array of financial schemes for different

agricultural purposes.

7. Central Bank of India - The Central Kisan Credit Card is a credit service

provided to farmers on the basis of their holdings for purchasing agricultural

inputs. Only those farmers having a good track record for the past 2 years with the

bank as a borrower or depositor and who are not defaulters to any credit institution

would be considered for loans.

8. Corporation Bank - offers a range of loan schemes to farmers. They are the

Corp Gram Mitra Yojana, Corp Arthias Loan Yojana, Corp Kisan Tie-Up Loan

Scheme, Corp Kisan Farm Mechanisation Scheme and Corp Kisan Vehicle Loan

Yojna.

9. Dena Bank - Dena Bank has sponsored 2 Regional Rural Banks namely

Dena Gujarat Gramin Bank in Gujarat and Durg Rajnandgaon Gramin Bank

(DRGB) in Chhattisgarh. The bank has set up a Rural Development Foundation for

training unemployed youth in rural areas. Other financial schemes of the bank are

the Dena Swacch Gram Yojana, Dena Kisan Gold Credit Card Scheme and the

Dena Bhumiheen Kisan Credit Card Scheme.


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10. Indian Bank - has a wide range of schemes for agriculturalists such as

Swarojgar Credit Card, Gramin Mahila Sowbhagya Scheme, Kisan Bike Loan

Scheme, Yuva Kisan Vidya Nidhi Yojana and Indian Bank Kisan Card Scheme.

11. Indian Overseas Bank - offers agri business consultancy services that

include conducting feasibility and market studies, preparation of detailed project

reports and formulation of rehabilitation packages for sick agro units.

12. Oriental Bank of Commerce - It has two agricultural projects - the

Grameen Project and the Comprehensive Village Development Programme. The

Grameen Project involves disbursing small loans ranging from Rs. 75 onwards to

mostly women. Training is also provided in villages in using locally available raw

material to produce pickles and jams. The Comprehensive Village Development

Programme focuses on providing an integrated package of rural finance to villagers

to build up their village.

13. Punjab and Sind Bank - offers a range of financial schemes for farmers

like the Zimidara Credit Card, tractor finance scheme, drip irrigation scheme,

Kheti Udyog Khazana Yojana, vermi composting scheme, horticulture clinic and

private veterinary clinic with dairy unit scheme.

14. Punjab National Bank - This bank has a special website called PNB Krishi

for agriculturalists. It gives details on crop practices, plant protection, farm

machinery, market prices and other farming news and activities. The website also

provides a list of financial schemes offered by Punjab National Bank on production

credit, investment credit, composite loans, animal husbandry and farm

mechanization.

15. Syndicate Bank - offers a wide range of agricultural loan products such as

the Synd Jai Kisan Loan Scheme, Jewel Loan Scheme for Agriculture, Syndicate


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Farm House Scheme, Finance for Hi-tech Agriculture, Development of Irrigation

Infrastructure scheme, Syndicate 2/3/4 Wheelers Scheme and the Syndicate Kisan

Credit Card (S.K.C.C).

16. UCO Bank - This Bank provides the UCO Hirak Jayanti Krishi Yojana to

meet the long-term credit needs of the farming community in rural areas for

agriculture, allied activities as well as for personal purposes. Only farmers below

60 years are eligible to apply. Minimum quantum of the loan is Rs. 25,000/- and

the maximum is Rs. 5 lakhs.

17. Union Bank of India - Facilities provided to farmers include Kisan ATM

Cards and special Kisan ATM Machines. These ATM's are easy to operate and do

not require farmers to have a high level of literacy. They are voice enabled in the

local language, have a touch screen monitor and work on a bio-metric

authentication system like finger print verification.

18. United Bank of India - The range of financial schemes offered to

agriculturalists include the United Krishi Laghu Paribahan Yojana, United Krishi

Sahayak Yojana, United Gramyashree Yojana, Gramin Bhandaran Yojana and the

United Bhumiheen Kisan Credit Card.

19. Vijaya Bank - This bank offers one comprehensive financial scheme known

as the Vijaya Krishi Vikas (VKV) Scheme. This scheme provides a simple package

to farmers to meet entire agricultural credit requirements such as crop production,

investment credit and consumption credit. All farmers including owners, tenant

cultivators, leased land farmers and sharecroppers are eligible for this scheme.


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SCHEMES FOR AGRICULTURE FINANCE

1. SBT KISAN GOLD CARD SCHEME (General purpose Agriculture TermLoan)

ELIGIBILITY

a. Farmers having good track record of repayment for the last two years.

b. Farmers who have closed their loan account without default and not our

current borrowers.

c. Farmers who have defaulted in repayment but closed the Loan within the

stipulated repayment period.

d. Farmers who are maintaining deposits with the Bank.

e. Good borrowers of other banks provided they liquidate their dues with

other banks.

f. Good farmers who have not availed loans from any bank.

PURPOSE

The borrower is at liberty to utilize 50% of the amount for any purpose, including

consumption purpose and purchase of land.

AMOUNT OF LOAN

The amount of loan is limited to five times the annual farm income including

income from allied activities or 50% of the value of the land offered as collateral

security, whichever is less, subject to a maximum of Rs.10 lakh.


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RATE OF INTEREST

Interest rate ranges from 1% below PLR.

SECURITY

Hypothecation of crops and assets, if any, created out of bank finance and existing

movable assets such as milch animals, pump sets etc.

The loan will be secured by equitable mortgage of properties worth double the loan

amount, or term deposit receipts, LIC policies of adequate surrender value, NSCs

completed lock in period or more etc.

DISBURSEMENT

Cash disbursals are allowed to the full extent of the credit limit.

REPAYMENT

The repayment period shall be 10 years. The due date of the instalment shall be

fixed in such a way to coincide with the date of generation of income.

2. KISAN CREDIT CARD SCHEME

ELIGIBILITY

All agriculturists who are in need of short term production requirements. ATM

facility and Personal Accident Insurance Scheme for life up to Rs.50000/- and

permanent disability cover up to Rs.25000/- is available on request.

PURPOSE

To provide hassle free short-term credit to farmers on the basis of their land

holdings for purchase of inputs and draw cash to meet their production needs. i.e.

Cultivation expenses including allied activities with a consumption component.


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AMOUNT OF LOAN

To be fixed on the basis of operational holdings and scale of finance with

consumption component 15% (maximum Ra.10000/-) of production credit. The

scale of finance to farmers who own cultivated land below one acre will be at the

rate of Rs.40000/- (on pro rata basis) and farmers who own more than one acre

with intensive farming of land be given at the rate of Rs.37500/- per acre and part

thereof.

RATE OF INTEREST

Interest rate ranges from 2.50% below to 1.50% above BPLR for various limits.

REPAYMENT

Running Cash Credit account for 36 months subject to annual review and total

annual credit should exceed annual debit.

3. HOMESTEAD FARMING

PURPOSE

A scheme for financing farmers practicing mixed cropping / inter cropping along

with allied activities to enable them to undertake cultivation of various crops in a

more integrated way. The scheme provides the farmers with sufficient working

capital required for their homestead farming (Mixed cropping along with allied

activities) by fixing scale of finance based on land holding to meet the cost of

entire farming activities.


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AMOUNT OF LOAN

The farmers who own cultivated land below one acre be given the scale of finance

on pro rata basis at the rate of Rs.40000/- and farmers who own more than one acre

of land be given at the rate of Rs.37500/- per acre and part thereof.

RATE OF INTEREST


REPAYMENT

The facility will be sanctioned as an Agriculture Cash Credit limit (In case of

Kisan Credit Card running cash credit).

4. LOAN FOR ESTATE PURCHASE

ELIGIBILITY

The estate should be either in yielding stage with the crops in its prime yield age or

capable of being developed in to a viable unit. The yield / net income of the estate

should be sufficient to liquidate the proposed loan and interest accrued with in a

period of 7 to 10 years. The proposed estate should be free from encumbrance and

entire property should be offered as security to the

loan.

PURPOSE

To encourage those who prefer to settle down in agriculture and are in the look out

of good / viable estates for purchase and also to improve production in agriculture.


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AMOUNT OF LOAN

The quantum of loan that will be considered for sanction will be 75% of the

registered value or 50% of the market value whichever is low. In exceptional cases

80% of the registered value or 50% of the market share whichever is low is also

considered. The loan for the development of the estate like land development

including working capital can also be sanctioned.

RATE OF INTEREST

Interest rate same as BPLR

REPAYMENT

Repayment of loan will be in quarterly/half yearly / yearly instalments depending

on the harvest of the crops and the loan shall be repaid within a maximum period

of 7 to 10 years.

5. SCHEME FOR FINANCING FARMERS FOR PURCHASE OF LAND

FOR AGRICULTURAL PURPOSES

ELIGIBILITY

Small and Marginal farmers - land maximum upto 5 acres of non-irrigated land or

2.5 acres of irrigated land including the land purchased under the scheme. Tenant,

sharecropper and landless agricultural labourers with a good record of prompt

repayment of our loans for the last 2 years are also eligible.

PURPOSE

To finance small and marginal farmers, share croppers, tenant cultivators for

purchasing land to expand activities and to make existing small and marginal units

economically viable to bring fallow lands and waste lands under cultivation to step


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up agricultural production as well as productivity also to finance share croppers /

tenant farmers to enable them to diversify farming activities to allied areas to

increase their income.

AMOUNT OF LOAN

Maximum loan under the scheme towards land cost shall not exceed Rs 5 lakh.

Cost of development/economic activity shall be financed under the banks other

financing schemes.

RATE OF INTEREST


REPAYMENT

Repayment of the loan will be 7 to 12 years in half yearly / yearly installments

with maximum of 24 months moratorium period. Gestation period / repayment due

dates etc will be fixed according to income generation from the activity.

6. SCHEME FOR CULTIVATION OF MEDICINAL PLANTS

ELIGIBILITY

All agriculturists are eligible.

PURPOSE

Scheme for financing cultivation of 22 medicinal plants cultivated extensively and

also in great demand in the local as well as foreign market.

AMOUNT OF LOAN

Depending on the area of cultivation / project cost


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RATE OF INTEREST


REPAYMENT

Repayment should coincide with harvesting and marketing or at the time

generation of income from the scheme.

7. SCHEME FOR CULTIVATION OF VANILLA

ELIGIBILITY

All agriculturists are eligible.

PURPOSE

Scheme for financing cultivation of Vanilla, a cash crop, gaining ground in the

State of Kerala.

AMOUNT OF LOAN

Amount of finance will be Rs.250000/- per hectare for pure crops and Rs.210000/-

per hectare for intercrop.

RATE OF INTEREST

Normal rate of interest as applicable to ATL

REPAYMENT

The loan shall be repaid within a period of 7 years, in yearly instalments. Farmers

eligible for two years gestation period and interest is repayable on the 3rd and 4th

year and the principal from the 5th to 7the year.


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8. SBT RAIN WATER HARVESTING SCHEME

ELIGIBILITY

Farmers having land holding of 0.50 acre or more are eligible to be considered for

finance under this scheme.

PURPOSE

Scheme envisages construction of low cost tanks for collecting and storing

rainwater and using it for irrigation, by siphon arrangement, utilizing gravitation

flow or by installing motor pump.

AMOUNT OF LOAN

Maximum amount of finance will be Rs.88000/- per acre. Scheme can be adopted

in smaller areas also by reducing the cost proportionately.

RATE OF INTEREST


REPAYMENT

Repayment based on the income generated from the crops raised and and cropping

pattern. The maximum period eligible for repayment is 8 years in annual

installments.


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9. PRODUCE MARKETING LOAN (Advance against Warehouse Receipt)

ELIGIBILITY

a. Farmers / traders depositing farm produce in the warehouses of the central / state

warehousing corporations.

a. Scheme will be operative in Karnataka, Andhra Pradesh, Tamilnadu & Kerala.

PURPOSE

a. To protect the farmers from the compulsion to sell their produce immediately

after harvest of produce despite an adverse market.

b. To finance farmers and traders against warehouse receipt.

AMOUNT OF LOAN

70% of the value of the warehouse receipt, valued at the market value or 70% of

the market price advised by Agri. Dept, HO whichever is less.

RATE OF INTEREST

Farmers

Up to Rs.3 lakh - 3.50% below PLR 9.50%

Above Rs.3 lakh - 2.50% below PLR 10.50%

Traders

2.50% below PLR 10.50% (Irrespective of the limit)

REPAYMENT

On demand / 6 months which can be extended up to 12 months subject to

satisfactory shelf life / market condition.


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10. AGRI. LOAN TO NON-RESIDENT INDIANS

ELIGIBILITY

Agricultural advances are available to the resident family members (means spouse,

father, mother, brother, sister etc.) of Non-Resident Indians for land-based

activities in respect of the land held by them in India subject to:

a. The loan should be need based and the total land holding of the Non-Resident

Indian, in individual name or jointly with others, should not exceed 5 ha.

b. The loan amount shall not be used for acquiring any additional land.

PURPOSE

To finance farmers only for land-based activities and to carryon agricultural

activities on the existing land.

AMOUNT OF LOAN

The maximum amount of the loan will be need based.

RATE OF INTEREST

Interest rate ranges from 2.50% below to 1.50% above BPLR for various short-

term limits and from 1.75% below to 2.00% above BPLR for various long-term

limits.

REPAYMENT

The loan can be repaid out of the income generated from the agricultural activities

or remittances from abroad or by debit to their NRE/NRO/FCNR accounts.

11. MINOR IRRIGATION

Projects with cumulative command area of less than 2000 ha are called minor

irrigation projects


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ELIGIBILITY

The beneficiary should have a minimum of 50 cents of land to be brought under

irrigation to ensure viability and repayment of loan.

PURPOSE

Scheme for developing irrigation potential, Minor Irrigation, Installation of Pump

set Drip Irrigation etc.

AMOUNT OF LOAN

As per the project submitted.

RATE OF INTEREST


REPAYMENT

The loan shall be repaid within a period of 9 years, in yearly instalments.

12. FARM MECHANISATION

Loan for Farm Mechanisation, Purchase of tractors, Power Tillers, etc.

ELIGIBILITY

a. Tractors with engine capacity up to 35 HP The applicant should own /

cultivate six acres of perennially irrigated land.

b. Tractors with engine capacity above 35 HP The applicant should own /

cultivate eight acres of perennially irrigated land.

c. Power Tillers the applicant should own / cultivate four acres of perennially

irrigated land.


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PURPOSE

To purchase tractor / power tillers for agricultural activities.

AMOUNT OF LOAN

Amount of advance will be the investment cost of tractor / power tiller and

implements less margin @15%.

RATE OF INTEREST


REPAYMENT

The period of repayment shall be 9 years for tractors and 7 years for power tillers.


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STATE BANK OF INDIA

State Bank of India (SBI) is the largest state-ownedbanking and financial

services company in India. The bank traces its ancestry to British India, throughthe Imperial Bank of India, to the founding in 1806 of the Bank of Calcutta,

making it the oldest commercial bank in the Indian Subcontinent. Bank of Madras

merged into the other two presidency banks, Bank of Calcutta and Bank of

Bombay to form Imperial Bank of India, which in turn became State Bank of India.

The government of India nationalized the Imperial Bank of India in 1955, with the

Reserve Bank of India taking a 60% stake, and renamed it the State Bank of India.

In 2008, the government took over the stake held by the Reserve Bank of India.

SBI provides a range of banking products through its vast network of branches in

India and overseas, including products aimed at non-resident Indians (NRIs). The

State Bank Group, with over 16,000 branches, has the largest banking branch

network in India.Its also considered as the best bank even abroad ,having around

130 branches overseas [including 1 ADB]and one of the largest financialinstitution in the world . With an asset base of $352 billion and $285 billion in

deposits, it is a regional banking behemoth. It has a market share among Indian

commercial banks of about 20% in deposits and advances, and SBI accounts for

almost one-fifth of the nation's loans.

The State Bank of India is the 29th most reputed company in the world according

toForbes.[3] Also SBI is the only bank to get featured in the coveted "top 10 brands

of India" list in an annual survey conducted by Brand Finance and The Economic

Times in 2010.
http://en.wikipedia.org/wiki/Government-owned_corporationhttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Financial_servicehttp://en.wikipedia.org/wiki/Financial_servicehttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/British_Rajhttp://en.wikipedia.org/wiki/Imperial_Bank_of_Indiahttp://en.wikipedia.org/wiki/Bank_of_Calcuttahttp://en.wikipedia.org/wiki/Indian_Subcontinenthttp://en.wikipedia.org/wiki/Government_of_Indiahttp://en.wikipedia.org/wiki/Reserve_Bank_of_Indiahttp://en.wikipedia.org/wiki/Non-resident_Indianhttp://en.wikipedia.org/wiki/Forbeshttp://en.wikipedia.org/wiki/#cite_note-2http://en.wikipedia.org/wiki/Government-owned_corporationhttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Financial_servicehttp://en.wikipedia.org/wiki/Financial_servicehttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/British_Rajhttp://en.wikipedia.org/wiki/Imperial_Bank_of_Indiahttp://en.wikipedia.org/wiki/Bank_of_Calcuttahttp://en.wikipedia.org/wiki/Indian_Subcontinenthttp://en.wikipedia.org/wiki/Government_of_Indiahttp://en.wikipedia.org/wiki/Reserve_Bank_of_Indiahttp://en.wikipedia.org/wiki/Non-resident_Indianhttp://en.wikipedia.org/wiki/Forbeshttp://en.wikipedia.org/wiki/#cite_note-2


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The State Bank of India is the largest of the Big Fourof India, along with ICICI

Bank, Punjab National Bank and HDFC Bankits main competitors. and"

GUINNESS BOOK OF WORLD RECORD " that 56 million transactions

happening per day all over the world is definitely an achievement

History

State Bank of India Mumbai Main Branch.

The roots of the State Bank of India rest in the first decade of 19th century, when

the Bank of Calcutta, later renamed the Bank of Bengal, was established on 2 June

1806. The Bank of Bengal and two other Presidency banks, namely, the Bank of

Bombay (incorporated on 15 April 1840) and the Bank of Madras (incorporated on1 July 1843). All three Presidency banks were incorporated as joint stock

companies, and were the result of the royal charters. These three banks received

the exclusive right to issue paper currency in 1861 with the Paper Currency Act, a

right they retained until the formation of the Reserve Bank of India. The

Presidency banks amalgamated on 27 January 1921, and the reorganized banking

entity took as its name: Imperial Bank of India. The Imperial Bank of India

remained a joint stock company Pursuant to the provisions of the State Bank of

India Act (1955), the Reserve Bank of India, which is India's central bank,

acquired a controlling interest in the Imperial Bank of India. On 30 April 1955, the

Imperial Bank of India became the State Bank of India.
http://en.wikipedia.org/wiki/Big_Four_(banks)#Indiahttp://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/Punjab_National_Bankhttp://en.wikipedia.org/wiki/HDFC_Bankhttp://en.wikipedia.org/wiki/Bank_of_Calcuttahttp://en.wikipedia.org/wiki/Bank_of_Bengalhttp://en.wikipedia.org/wiki/Bank_of_Bombayhttp://en.wikipedia.org/wiki/Bank_of_Bombayhttp://en.wikipedia.org/wiki/Bank_of_Madrashttp://en.wikipedia.org/wiki/Joint_stock_companyhttp://en.wikipedia.org/wiki/Joint_stock_companyhttp://en.wikipedia.org/wiki/Royal_charterhttp://en.wikipedia.org/wiki/Reserve_Bank_of_Indiahttp://en.wikipedia.org/wiki/Imperial_Bank_of_Indiahttp://en.wikipedia.org/wiki/Reserve_Bank_of_Indiahttp://en.wikipedia.org/wiki/Central_Bankhttp://en.wikipedia.org/wiki/File:SBI_Mumbai_Main_Branch.jpghttp://en.wikipedia.org/wiki/Big_Four_(banks)#Indiahttp://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/Punjab_National_Bankhttp://en.wikipedia.org/wiki/HDFC_Bankhttp://en.wikipedia.org/wiki/Bank_of_Calcuttahttp://en.wikipedia.org/wiki/Bank_of_Bengalhttp://en.wikipedia.org/wiki/Bank_of_Bombayhttp://en.wikipedia.org/wiki/Bank_of_Bombayhttp://en.wikipedia.org/wiki/Bank_of_Madrashttp://en.wikipedia.org/wiki/Joint_stock_companyhttp://en.wikipedia.org/wiki/Joint_stock_companyhttp://en.wikipedia.org/wiki/Royal_charterhttp://en.wikipedia.org/wiki/Reserve_Bank_of_Indiahttp://en.wikipedia.org/wiki/Imperial_Bank_of_Indiahttp://en.wikipedia.org/wiki/Reserve_Bank_of_Indiahttp://en.wikipedia.org/wiki/Central_Bank


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Associate banks

SBI has five associate banks:

State Bank of Bikaner & Jaipur

State Bank of Hyderabad

State Bank of Mysore

State Bank of Patiala

State Bank of Travancore

State Bank of Saurashtra - merged with SBI in 2008.

State Bank of Indore - merged with SBI in 2010.

Earliar SBI had only seven associate banks that, with SBI, constitute the State

Bank Group. All use the same logo of a blue keyhole and all the associates use the

"State Bank of" name, followed by the regional headquarters' name. Originally, the

then seven banks that became the associate banks belonged toprincely states until

the government nationalised them between October 1959 and May 1960. In tune

with the first Five Year Plan, emphasizing the development of rural India, the

government integrated these banks into the State Bank of India to expand its rural

outreach. There has been a proposal to merge all the associate banks into SBI to

create a "mega bank" and streamline operations.

The first step towards unification occurred on 13 August 2008 when State Bank of

Saurashtra merged with SBI, reducing the number of state banks from seven to six.

Then on 19 June 2009 the SBI board approved the merger of its subsidiary, State

Bank of Indore, with itself. SBI holds 98.3% in State Bank of Indore. (Individuals

who held the shares prior to its takeover by the government hold the balance of

1.77%.)
http://en.wikipedia.org/wiki/State_Bank_of_Bikaner_%26_Jaipurhttp://en.wikipedia.org/wiki/State_Bank_of_Hyderabadhttp://en.wikipedia.org/wiki/State_Bank_of_Mysorehttp://en.wikipedia.org/wiki/State_Bank_of_Patialahttp://en.wikipedia.org/wiki/State_Bank_of_Travancorehttp://en.wikipedia.org/wiki/State_Bank_of_Saurashtrahttp://en.wikipedia.org/wiki/State_Bank_of_Indorehttp://en.wikipedia.org/wiki/Indian_Princely_Stateshttp://en.wikipedia.org/wiki/State_Bank_of_Saurashtrahttp://en.wikipedia.org/wiki/State_Bank_of_Saurashtrahttp://en.wikipedia.org/wiki/State_Bank_of_Indorehttp://en.wikipedia.org/wiki/State_Bank_of_Indorehttp://en.wikipedia.org/wiki/State_Bank_of_Bikaner_%26_Jaipurhttp://en.wikipedia.org/wiki/State_Bank_of_Hyderabadhttp://en.wikipedia.org/wiki/State_Bank_of_Mysorehttp://en.wikipedia.org/wiki/State_Bank_of_Patialahttp://en.wikipedia.org/wiki/State_Bank_of_Travancorehttp://en.wikipedia.org/wiki/State_Bank_of_Saurashtrahttp://en.wikipedia.org/wiki/State_Bank_of_Indorehttp://en.wikipedia.org/wiki/Indian_Princely_Stateshttp://en.wikipedia.org/wiki/State_Bank_of_Saurashtrahttp://en.wikipedia.org/wiki/State_Bank_of_Saurashtrahttp://en.wikipedia.org/wiki/State_Bank_of_Indorehttp://en.wikipedia.org/wiki/State_Bank_of_Indore


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The acquisition of State Bank of Indore added 470 branches to SBI's existing

network of 12,448 and over 21,000 ATMs. Also, following the acquisition, SBI's

total assets will inch very close to the Rs 10-lakh crore mark. Total assets of SBI

and the State Bank of Indore stood at Rs 998,119 crore as on March 2009. The

process of merging of State Bank of Indore was completed by April 2010, and the

SBI Indore Branches started functioning as SBI branches on 26 August 2010.

IVR (Interactive Voice Recording)

State Bank of India Mumbai LHO.

Branches of SBI

State Bank of India has 131 foreign offices in 32 countries across the globe.

SBI has about 21,000 ATMs; and SBI group(including associate banks) has

about 45,000 ATMs.

SBI has 26,500 branches, including branches that belong to its associate

banks.

SBI includes 99345 oficces in our country.
http://en.wikipedia.org/wiki/State_Bank_of_Indorehttp://en.wikipedia.org/w/index.php?title=Mumbai_LHO&action=edit&redlink=1http://en.wikipedia.org/wiki/File:SBI_Mumbai_LHO.jpghttp://en.wikipedia.org/wiki/State_Bank_of_Indorehttp://en.wikipedia.org/w/index.php?title=Mumbai_LHO&action=edit&redlink=1


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CHAPTER-2

REVIEW OF LITERATURE

_____________________________________________1) Mittal, Arun, (2006),Advertising appeal is the method used to draw the

attention of consumers and to influence their feelings toward the product,

service, or cause. There are hundreds of different appeals that can be used as

the foundation for advertising messages. These are the central idea of an ad

which has been used to catch the attraction of customer by heart. The theme

of a commercial strikes a person in depth and forces him/her to act in the

desired manner. Generally advertising appeals are broken into two

categories: rational appeals and emotional appeals.

Uses of Appeals in Banking Services Advertising:

Name of

Bank

Broad

Category

Personal/Social Marketing

Approach

Theme/Punch Line

Union Bank

of India

Emotional

Appeal

Social/Parental

Affection

Security and Future

benefit

Because your dreams are

not only yours.

Royal Bank

of Scotland

Group

Emotional

Appeal

Personal/Style Differentiation In years a player comes

who change the way the

game is played.

HSBC Rational Practical Customization of

Service Offering

Not two people are the

same

IDBI Rational Practical Comprehensiveness

of Services offering

Banking for All

State Bank

of India

Emotional Personal/Reliability

Security

Supporting the

customers

With you all the way

2) Traditional service quality


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During the past few decades, the widely acknowledged importance of service

quality resulted in numerous attempts by researchers, practitioners and managers,

aimed at its conceptualization and measurement. However, this has been proven to

be a difficult task, causing long-lasting debates among those involved, mainly due

to the intangible nature of services and problems stemming from the simultaneous

production and consumption of a service (Carman, 1990). Despite this controversy,

it can be argued that there is a convergence towards the Parasuraman et al. (1988,

p. 16) view that customer perceived service quality, is a global judgment or atti-

tude, relating to the superiority of the service. Several measuring instruments have

been developed, aiming to capture and explain the service quality dimensions.

There is little doubt that, among these, SERVQUAL is the most popular, a fact

acknowledged even by its critics (e.g. Asubonteng et al., 1996). SERVQUAL has

been developed in a series of stages leading to consecutively more refined versions

(Parasuraman et al., 1985, 1988, 1991, 1994). In the most commonly used version

(Parasuraman et al., 1988),

service quality is calculated as the gap between customer expectations and

perceptions. The 22 items of this instrument are categorized into:

Reliability: The ability to perform the promised service dependably and

accurately.

Tangibles: The appearance of physical facilities, equipment, personnel and

communications materials.

Responsiveness: The willingness to help customers and to provide prompt

service.

Assurance: The knowledge and courtesy of employees and their ability to

convey trust and confidence.

Empathy: The provision of caring, individualised attention to customers.

3) Service quality and satisfaction


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There is very little doubt that there is a causal relationship between customer

perceived service quality and satisfaction. Nevertheless, there is an ongoing debate

in literature on the direction of Total Quality Management 227this relationship, i.e.

whether service quality influences satisfaction or vice versa. According to

Parasuraman et al. (1988), perceived service quality relates to long-term and global

evaluation of a service, whereas satisfaction is linked to evaluations of specific

service transactions. They pointed out those incidents of customer satisfaction from

their experiences with the provided service influence the perceptions of service

quality. On the other hand, other researchers (e.g. Cronin & Taylor, 1992; Spreng

&McKoy, 1996) have found that service quality is an antecedent of customer

satisfaction. Parasuraman et al. (1994) moderated this disagreement by attributing

the different perspectives on this issue to the global scope of perceived service

quality as opposed to the transaction-oriented nature of satisfaction. Research on

the relationship between quality and satisfaction in the internet services context is

again at its early stages. However, several scholars advocate that customer-

perceived internet service quality, either overall or specific dimensions,

significantly influences customer satisfaction (e.g. Jun et al., 2004; Lee & Lin,

2005; Long &McMellon, 2004; Van Iwaarden et al., 2003.


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RESEARCH METHODOLOGY

This chapter describes the research methodology adopted to achieve the objectivesof the study. It includes the scope of the study, research design, collection of data,

analysis of data and limitations of the study.

Scope of the study

The scope of the study is to get the first hand knowledge about the role of SBI in

granting role to agriculture sector. The scope is restricted to study the factors

affecting the perception and behaviour satisfaction of consumers while availing the

agriculture loan services in banks. This is done to avoid perceptual bias and for

providing objectivity to the study.

Research Design

The research design constitutes the blueprint for the collection, measurement and

analysis of data. It is the strategy for a study and the plan by which the strategy is

to be carried out.

Data Collection Methods

Primary Data

Primary data is that data which is collected for the first time. It is original in nature

in the shape of raw material. For the purpose of collection of primary data, a well

structured questionnaire was framed which was filled by the respondents. The

questionnaire comprises of close ended questions. In close ended questionsdichotomous, ranking, nominals scale, checklist questions and multiple choice

questions are used.


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Sampling design:

Sample size: 50 people who have taken any type of agriculture loan were

surveyed.,

Sampling Area: Ambala

Sampling technique: a probability sampling technique named stratified sampling

has been used in the research.

The Chief Objectives of this study are:

1. To find out the Role played by SBI in upliftment of farmers in

India.

2. The system and procedure of granting Loans to Farmers.

3. To analyze the benefits of Loans to Farmers

Limitations of the study

Sincere efforts have been made to collect authentic and reliable information from

respondents, however the report is subject to following limitations:

i. Some respondents were reluctant to give the information, so their responses

may be biased.

ii. Study was conducted in Ambala only. So the results of the study may not be

applicable in other areas.

iii. The factors which are taken in this research is not only the base to judge the

consumer behavior, some other psychological factors may slightly impact on

the same.


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CHAPTER-4

DATA ANALYSIS AND INTERPRETATION

4.1 Analysis of granting agriculture loan

Reply of Respondents No. of Respondents

Yes 50

No 20

(Source: Self prepared Questionnaire & Field Survey)

71%

29%

Yes

No

Interpretation:

Table 4.1 shows the analysis of granting agriculture loan. It shows that 71Percent

of Respondents were knowing about agriculture loan facilities. Only 29 Percent

respondents were not aware about loan facilities. It is reveals that majority of the

respondents were aware regarding agriculture loan facilities.


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4.2 Analysis about which financial institution or Bank people prefer


SBI 12

Co-operative Bank 8

Agricultural bank 20

Any other 10

24%

16%

40%

20%

SBI

Co-operative Bank

Agricultural bank

Any other

Interpretation

Agricultural banks are most preferred by the customers. The banks specialize for

the needs of the agricultural community and are usually based near their place.

After this SBI and associate banks are preferred because they also have tailor made

loans for them. Co-operative banks are also preferred due to their low rate of

interest.

For various types of loans, the interest rates are satisfactory for most of the

respondents. 24% of the respondents that the interests rates are higher in

comparison to other lenders like agriculture or co-operative banks.


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4.3 Analysis of from where get information about Agricultural loans


Televisions 3

Radios 4

Public meetings 28

Newspapers 7

Any Other 8

6%8%

56%

14%

16%

Televisions

Radios

Public meetings

Newspapers

Any Other

Interpretation

Public meetings like panchayats, meting with friends peers and fellow farmers and

camps like loan mela etc are the best source of information for the consumers.

Newspapers is better source of information than radio and television about the

loans.

4.4 Analysis of for how much loan you applied for


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1-5 Lacs 28

5-10 Lacs 16

10 Lacs and above 6

56%32%

12%

1-5 Lacs

5-10 Lacs

10 Lacs and above

Interpretation

In most of the cases, a loan of 1-5 lacs is applied by the consumers. There are very

few takers of loans above Rs 10 lacs.


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4.5 Analysis of reason for Loan


Farming tools (thresher, tractor etc) 33

Seeds 5

Pesticides, Fertilizers, etc 8

Any other 4

66%

10%

16%

8%

Farming tools (thresher, tractor

etc)

Seeds

Pesticides, Fertilizers, etc

Any other

Interpretation

In most of the cases, a loan is taken to buy farming tools like thresher , tractor etc.


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4.6 Analysis of satisfaction with the procedure of the bank in granting loan


Yes 39

No 11

78%

22%

Yes

No

Interpretation

39 of the total 50 respondents were satisfied with the procedure of bank loan.


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4.7 Analysis of satisfaction with the behavior of employees


Yes 36

No 14

72%

28%

Yes

No

Interpretation

36 of the total 50 respondents were satisfied with the behaviour of bank

employees. The bank employees are generally courteous to the respondents.


45/57

4.8 Analysis of liking with the ambience of the bank


Yes 13

No 37

26%

74%

Yes

No

Interpretation

37 of the total 50 respondents were satisfied with the ambience of bank


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4.9 Analysis of problems encountered in receiving loan.


No 22

Yes

i) Documentation problems

ii) Guarantee problems

iii) Any Other

28

18

8

2

56%

44%Yes

No

Interpretation

28 of the total 50 respondents encountered problems while taking loan. In most of

these cases, documentation was a major problem since the farmers are generally

not very literate and hardly maintain documents.


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4.10 Analysis of if loan brought charges in farming technique


Yes 46

No 4

92%

8%

Yes

No

Interpretation

After taking loans, the farmer community is able to improve their farming

techniques as responded by 92% of the respondents.


48/57

4.11 Analysis of satisfaction over the fact that S.B.I. takes 8.5-12.5% of interest

rate on agricultural loan.


Yes 38

No 12

76%

24%

Yes

No

Interpretation

The S.B.I. rating regarding agriculture loans is satisfactory, Only 12% of the

respondents were not satisfied by the bank.


49/57

4.12 Liking of taking agricultural loan again


Yes 50

No 0

100%

0%

Yes

No

Interpretation

All the respondents had a positive feedback about taking a loan again and there

was not even a single respondent who replied in negative to the question.


50/57

4.13 Analysis of rating of SBI


Highly Satisfied 8

Satisfied 20

Neutral 16

Dissatisfied 4

Highly Dissatisfied 2

Interpretation



16%

40%

32%

8%

4%

Highly Satisfied

Satisfied

Neutral

Dissatisfied

Highly Dissatisfied


51/57

FINDINGS AND SUGGESTIONS

Agricultural banks are most preferred by the customers. The banks specialize for

the needs of the agricultural community and are usually based near their place.

After this SBI and associate banks are preferred because they also have tailor made

loans for them. Co-operative banks are also preferred due to their low rate of

interest.

Public meetings like panchayats, meting with friends peers and fellow farmers and

camps like loan mela etc are the best source of information for the consumers.

Newspapers is better source of information than radio and television about the

loans.

In most of the cases, a loan of 1-5 lacs is applied by the consumers. There are very

few takers of loans above Rs 10 lacs.

After taking loans, the farmer community is able to improve their farming

techniques as responded by 92% of the respondents.

For various types of loans, the interest rates are satisfactory for most of the

respondents. 24% of the respondents that the interests rates are higher in

comparison to other lenders like agriculture or co-operative banks.

All the respondents had a positive feedback about taking a loan again and there

was not even a single respondent who replied in negative to the question.




52/57

CONCLUSION

Banks play an important role in the improvement in agriculture sector. It is a duty

of government and banks to support the agriculture sector.

SBI takes a lot of initiative in providing loan facilities to the sector. Various

schemes are available for the farmers at very attractive interest rates.

Agricultural banks, which are especially meant for the purpose of extending loans

to the farmers are preferred over other options. Still SBI is able to have a mark.

The employees are generous in behaviour and have goof\d rapport with the

farmers, thereby have the confidence of the farmers. The farmers face some

difficulties over the issue of loan documentation.

Bad debts deter the banks in providing loans to farmers.


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BIBLIOGRAPHY

1. Pal Debdatta & Sapre Amey, How have Government Policies Driven Rural

Credit in India: A Brief Empirical Analysis, 1969-2009, IIMA, India, Research

and Publications, W.P.N 2010-12-02, December 2010, pp. 1-15.

2. Lekhi RK & Singh Joginder Agricultural Economics- An Indian Perspective,

Kalyani Publishers, New Delhi, 2010, pp.248-297.

3. Dutt Ruddar & Sundharam KPM, Indian Economy, S. Chand & Company

Ltd, New Delhi, 2009, pp. 490-519, 577-609.

4. Pratoyogita Darpan, Exam Oriented Series 1, Indian Economy, 2007-08, pp. 94-

95.

5. Golait Ramesh, Current Issues in Agriculture Credit in India: An Assessment,

Reserve Bank of India, Occasional Papers, Vol. 28, No.1, Summer 2007, pp.

79-89.

6. Sriram MS Productivity of Rural Credit: A Review of Issues and Some Recent

Literature, IIMA, Research & Publications, W.P.No.2007-06-01, June 2007,

pp. 1-20.

7. Kaur Janmeet & Kiranvir, Regional Rural Banks and Credit Flow to

Agriculture, in R. K. Uppal & Rimpi Kaur (ed.), Banking in the New

Millennium- Issues, Challenges and Strategies, Mahamaya Publishing House,

New Delhi, 2007, pp. 90-102.

8. Mohan Rakesh, Agricultural Credit in India- Status, Issues and Future

Agenda, Economic and Political Weekly, Vol. XLI, No. 11, March 18-24,

2006, pp. 1013-1023.


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9. Gulati Ashok & Bathla Seema, Institutional Credit to Indian Agriculture:

Defaults and Policy Options, National Bank for Agriculture and Rural

Development Mumbai, Occasional Paper 23, 2002, pp. 1-55.

10.RBI, Report on Currency and Finance, 2006-08, Reserve Bank of India,

Mumbai

11.RBI, Report on Trends and Progress of Banking in India, 2008-09, Reserve

Bank of India, Mumbai.

12.RBI, Statistical Tables Relating to Banks in India, 2008-09, Reserve Bank of

India, Mumbai.

13.RBI, Handbook of Statistics on Indian Economy, 2009-10, Reserve Bank of

India, Mumbai.

14.Government of India, Economic Survey of India, 2009-10, New Delhi.

15.www.sbi.com

16.www.google.com

17.www.wikipedia.com

18.Business World

19.Business Today
http://www.sbi.com/http://www.google.com/http://www.wikipedia.com/http://www.sbi.com/http://www.google.com/http://www.wikipedia.com/


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QUESTIONNAIRE

Q.1 Have you ever taken agricultural loan?

Yes

NoQ.2 From which financial institution or Bank?

SBI

Co-operative Bank

Agricultural bank

Any otherQ.3 How do you get information about Agricultural loans?

Televisions

Radios

Public meetings

Newspapers

Any OtherQ.4 for how much loan do you applied for?

1-5 Lacs

5-10 Lacs

10 Lacs and aboveQ.5 The reason for Loan

Farming tools (thresher, tractor etc)

Seeds

Pesticides, Fertilizers, etc

Any otherQ.6 Are you satisfied with the procedure of the bank in granting loan?

Yes

No

Q.7 Are you satisfied with the behavior of employees?

Yes

NoQ.8 Do you like the ambience of the bank?

Yes

NoQ.9 have you encountered any problem in receiving loan.?

No 22Yes

iv) Documentation problemsv) Guarantee problemsvi) Any Other

28

18

8

2


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Q.10 Dos loan benefits bring charges in your farming technique?

Yes

NoQ.11 S.B.I. takes 8.5-12.5% of interest rate on agricultural loan, are you satisfied with this?

Yes

No

Q.12 Would you like to take agricultural loan next time?

Yes

No

Q.13 How many times do you taken loan

1

2

3

Many

NeverQ.14 How will you rate SBI

Highly Satisfied

Satisfied

Neutral

Dissatisfied

Highly Dissatisfied


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Agri Clu Tura Lloan

Documents