Agriculture is the most important sector of an economy. Rather, it would not be wrong to claim that agriculture forms the backbone of the Indian economy. Agriculture includes the rearing of livestock, agro-based processing, cultivation of crops, fishing and forestry. Going through the facts, 75% of the population of Punjab depends directly on agriculture to earn a living. Keeping in mind the same, various strategies and programs have been directed towards replacement of the traditional and inefficient techniques, by the Punjab Government. One such project includes the Kisan Card Scheme, which was initiated in the year 1998-99 for the effective functioning of the most basic and most widespread form of human activity in the state.
What is Kisan Card scheme?
Under the Kisan card scheme, all the farmers are eligible to get financial assistance for the agriculture related activities in order to meet the short-term credit requirements for the cultivation of annual, perennial and seasonal crops. However, the loan is sanctioned in accordance to the ownership of land i.e. Rs. 1 lakh per acre, in the form of revolving credit. The amount of the loan released for one season is to be adjusted within 2 months from the date of harvest of the crop.
We have come a long way since independence. Punjab has achieved self-sufficiency in the food grain production and has made eloquent progress in agricultural science and technologies. The Kisan credit scheme has facilitated the farmers towards an easy access to loan from various commercial banks as well.
The main features of the Kisan Card Scheme include:
1. All farmers are eligible for the scheme.
2. The loan shall be sanctioned according to the ownership of land by the farmer.
3. Post-harvest requirements of the farmers is at 10% of the limit fixed subject to a maximum of Rs. 25000/- per farmer.
4. The card is renewable, owing to a validity of 3 years.
5. The withdrawals in the account shall be confined to the seasonal sub-limit fixed for the respective season.
6. Insurance coverage will be made for notified crops, under notified areas keeping in view the guidelines of the National Agricultural Insurance scheme.
7. The main proposal of the scheme includes:
|
Scheme |
Unit cost |
Repayment Period |
| Kisan credit card scheme Agriculture & allied activities |
upto 3 lakh |
5 years |
| Kisan credit card scheme Agriculture & allied activities |
3 lakh to 10 lakh |
7 years |
| Kisan credit card scheme Agriculture & allied activities |
10 lakh to 18 lakh |
10 years |
| Kisan credit card scheme Non farm sector |
upto 3 lakh |
5 years |
| Kisan credit card scheme Non farm sector |
3 lakh to 10 lakh |
7 years |
| Kisan credit card scheme Non farm sector |
10 lakh to 18 lakh |
10 years |
As a whole, The Kisan credit scheme has played a pivotal role in targeting the eradication of money lenders and other exploitation of the farmers. Such comprehensive and coordinated efforts of the Punjab government, are directing the economy towards economic prosperity in the rural areas and agrarian transformation.
Progressive Punjab 