Wel Come

Presented by:

1. Pravin Borse2. Preet Singh3. Priyanka Sinde4. Rahul Jaiswal5. Rahul Bhosle6. Rahul Surwase

Presentation On

Farmer’s club Programme

Outlines FCs.overview What is FCs.Programme Mission Role of FCs. NABARD’s support to FCs. NABARB’s to farmers’ training & development centres. Financial support by NABARD. Sustainability of farmers’ clubs Status of Farmer’ clubs

Farmer’s club overview

• Agriculture is the backbone of our India Economy.

• For sustained 4% grouth in agriculture need to improve productivity.

• For transmitting latest agriculture technique to the Farmers field

• Farmer’s club programme initiated by NABARD in 1982.

Mission

• Development in rural areas through credit, technology transfer, awareness and capacity building

What is Farmer’s club Programme

• NABARD encourages banks to promote Farmer’s club in rural areas under the farmer club programme ,earlier known as “vikas volunteer vahini (vvv) programme’’

• The Programme was launched by NABARD in November 1982 to propagate the five principles of “Development through Credit”.

Five principles of Farmer’s club

• The terms and conditions of credit must be fully respected

• Loan installments must be repaid in time and regularly so as to recycle credit.

• A part of the additional income created by credit must be saved

• Work must be done with skill so as to increase production and productivity

Continued……..

• Credit must be used in accordance with the most suitable methods of science and technology

What are Farmers’club

• Farmers’ Clubs are grassroot level informal forums of farmers. Such Clubs are organised by rural branches of banks with the support and financial assistance of NABARD for the mutual benefit of the banks concerned and the village farming community/rural people. other agencies like NGO, VAs, KVKs etc. are also now included as agencies included in the formation and promotions of FCs

Role of Farmers' clubs

• The broad objective of setting up Farmers’ Clubs would be to achieve prosperity for the farmers with overall agricultural development

• vision of Farmers’ Clubs has undergone a change and the role expected to be played by Farmers Club.

• Undertake collective purchase and distribution of inputs, production and marketing.

NABARD’s support to Farmer Clubs

NABARD’s policy support for Farmers’ Club Programme lays stress on linking technologies with farmers’ club members and also facilitating market access through the following mechanism:

Capacity building of members of Farmers’ Clubs including leadership training. Linkage with technology/markets Self Help Groups (SHGs)/Joint Liability Groups (JLGs) formation Forming Federations of Farmer’s Clubs/Producers’ Groups/Companies

Benefits of Farmers' Club to Bank Branch

The formation of Farmers’ Club lead to better Banker-Borrower relationship in the area. An Evaluation study of Farmers’ Club Programme (FCP) carried out by IIM, Lucknow has brought out the following advantages of FCs to bank branches:

Increase in deposits. Increase in the credit flow and diversification of

lending. Generation of new business avenues. Increase in the recoveries and decline in the non-

performing assets. Reduction in the transaction costs of financial

institutions/ Banks.

• Socio economic development of the village• A win-win situation both for the banker and

borrower• Besides benefit to banks, the Farmers’ Club

has also been instrumental in certain social welfare measures like free eye check-up camp, Animal Health Care Camp, Mass vaccination camp, community works like road, check-dams, afforestation, etc.

• Enhancement in bargaining power for bulk purchase of inputs and marketing of their produce

Other Benefits

Who can form Farmers' Clubs

All Institutional Agencies (Commercial Banks,

Cooperative Banks and Regional Rural Banks)

All grass root level organizations (NGOs, PRIs,

State Agricultural Universities, KVKs, Post

Offices etc.) are eligible to form Farmers’ Clubs

Membership• All villagers except willful defaulters can

become members of the club. • The club must make endeavour to raise their

own resources by way of contribution from members.

• Undertaking certain business services such as bulk procurement of inputs and collective marketing of agricultural produce.

• Agents for insurance and other services etc.

2005-06 2006-07 2007-08 2008-09 2009-100

10000

20000

30000

40000

50000

60000

1797622949

28226

38215

54805

Farmers' Clubs – (Cumulative No.)

Financial Support from NABARD.

S.No. Particulars Amount(Rs.)

1. Formation & Maintenance Expenses

2,000.00

2. Base Level Orientation Training Programme

5,000.00

3. Meet with Experts (2 programme in a year )

3,000.00

Total 10,000.00

Sustainability of Farmer’s clubs• Regular source of income and consistency in their

activities is the key to sustainability of FCs.

• creation of a corpus at the club level through measures such as

1) Service charge for SHG/JLG loans recommended to banks @0.5% and 1%.

2) Monthly savings (to be decided by the Club members.

3) Token membership fees (to be decided by members)

Status of Farmer' clubs

• During 2009-10, 16,590 Farmers’ Clubs have been formed taking the cumulative number of farmers’ Clubs to 54,805 as on 31st March 2010.

Conclusion

1) The farmers Club is the initiative of NABARD for transfer of technology amongst the farmers.

2) The Farmers Clubs can act as the catalytic agents for increasing production of the farmers.

3) The bankers should form maximum Farmers clubs .

Continued………

4) The NABARD gives financial support to farmers clubs.

5) The farmers clubs can undertake various activities for development of villages.

THANK YOU