PLP 2016-17 -

Executive Summary Blessed with nature’s beauty, the district of Gumla is covered by dense forests, hills and rivers. It is situated in the southwest portion of state. The district was carved out of district on 18th May 1983. Previously it was a sub-division of old Ranchi district. The district lies between 22 35” to 23 33” north latitude and 84 40” to 85 1” east longitude.

Gumla derived its name from the occupation of the local inhabitants / tribes that was ‘rice processing’ (dhan-kutna) in Mundari. According to other legend its name is derived from the word ‘Gau-mela’ meaning cattle fair. Once upon a time cattle fair was organized every week on Tuesday. In rural areas, Nagpuri and Sadri people still call it ‘gomila’. Drawing a leaf from its origin efforts may be made to revive the rice processing activity and animal husbandary in the district.

It is a predominantly tribal district with tribal population constituting 69% of the total population. Even-though, majority of the population is dependent on agriculture for their livelihood, the level of farming is subsistance with major share under mono-cropping. The major crops cultivated in the district are paddy, maize and ragi in cereals, arhar and urad in pulses & groundnut, mustard and linseed in oilseeds. Agriculture is mostly rain fed as irrigation is not well developed in the district. Significant percentage of population depends upon forest produce like Mahua, Tamarind and Chirounji to support their economic activities. Allied activities like dairy, fisheries etc have not struck roots in the district for providing supplementary income to farmers. The agro-climatic conditions of Gumla favour growing a variety of vegetables, cultivation of fruit crops like mango, guava, litchi, jack fruit, custard apple, sweet lime, etc.

Paddy is the major crop as it contributes to a great extent to the district economy. As against a target of cultivation of paddy in 176000 ha. It was grown in 168453 ha producing an estimated 3889.58 MT of paddy during the year 2014-15. Productivity of paddy was 2309 kg./ha. The District Agriculture Department plans to cover 180000 ha during kharif 2015-16. It may be mentioned that out of total cultivable land of about 3.29 lakh hectares only about 22 thousand hectares has irrigation facility. Hence there is urgent need to expand the irrigation facility through minor irrigation projects, exploiting ground water resources and promotion of solar powered water pumps.

The Lead Bank of the district is Bank of . The district is having a total number of 72 branches of different Banks under formal credit delivery system. 15 Public Sector Commercial Banks have 40 branches, Jharkhand Gramin Bank has 18 branches and Gumla DCCB has 11 branches in the district while 3 private sector banks have one branch each which is primarily located near district headquarters. As on 31st March 2015 the Deposit and advances including priority and Non priority sector in the District is Rs.1412.48 crore and Rs.385.85 crore respectively registered CD ratio at 27.31% only. As regard to the achievement against the target fixed under annual credit plan for priority sector, the performance of the banks has not been so encouraging. The achievement in prority sector lending has declined from 60% in 2012-13 to about 44% during 2013-14 and has further declined to 36% during 2014-15. This declining trend must be reversed though coordinated efforts of all the stakeholders and the DLCC should lead the banks in this regard.

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PLP 2016-17 - Gumla

It is certain that MSME plays an important role in the economic growth of a district. But the ground reality is totally different in the district. During the last five years’ time span not a single unit in this sector has been set up or otherwise no entrepreneurs have been interested to invest in the district in the plea of law and order problem. The small and medium enterprise in service sector is an area which may be explored to increase credit flow in the area. Several initiatives have been taken by NABARD & R-SETI by providing capacity building/entrepreneurship development programme to the urban and rural youth of the district so that they could established themselves by setting up new units in the field of MSME sector. of Jharkhand has a rich natural and mineral resources . There are 23 Bauxite Mines and 68 Stone Mines in Gumla district . Besides these there is a good number of Bricks makers. In Gumla district the important minerals like Bauxite and laterite(Aluminium Ore) are found . Besides these china clay is also found in same part of district other mining activity like stone crusher, Brick Kiln and Stone Chip Mining lease are also available in different part of Gumla district. Palkot and Raidih blocks have huge potential of Lac cultivation in the forest area. To encourage commercial lac cultivation activity among the village people, we had been providing “Scientific Lac Production Training Programmes” to more than 210 Farmers of both the blocks through R-Seti, Gumla. We have also made some banking plan through which more than 20 JLG Groups would be financed by Bank of India and JGB Palkot and Raidih branch for setting up Lac Processing Unit in both the blocks.

SHG and Joint Liability Group (JLG) have been chosen as a thrust areas for 2016-17 in the district. In this direction, we have already formed and Saving Linked more than 911 WSHG Groups in the district and Credit Linked 108 Groups during this year. It is expected that 200 JLG would be formed by the Anchor and Support agencies in the district and necessary credit support would be provided by the concerned bank branches in the district.

Infrastructure is a critical input for development, as good infrastructure is essential for increased productivity of land, capital and labour infrastructure development has a key role to play in both economic growth and poverty reduction. Rural infrastructure including irrigation structures, rural roads, bridges, water supply, sanitation, rural energy, rural market years, education, health, communications, information technology, nurseries for production of quality seed and hatcheries for production of poultry chicks and fish seed, artificial insemination and other veterinary services, storage and marketing facilities, soil and water testing facilities etc is highly required in the district. NABARD has been supporting to the District Administration through assistance under our Rural Infrastructure Development Fund (RIDF). The district lacks in electirity, drinking water, health facilities, education related infrastructure where it has been infrastructure in irrigation. Thus, there is an immediate need to address the requirement of these sectors.

RBI’s RPCD vide its Circular No. RBI/2015-16 / 53 dated 1 July 2015 has come out with new revised guidelines for Priority Sector Lending- Targets and Classification. The Reserve Bank of India (RBI) has revamped priority sector lending (PSL) norms. Now, loans to sectors such as social infrastructure, renewable energy and medium enterprises will also be treated as PSL.

The State government is executing a major action plan for holistic development of most LWE affect pocket of the district named Banalat Action plan. It would involve interdepartmental coordination and convergence of all the state government scheme in 31 villages of Gumla

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PLP 2016-17 - Gumla

under 04 panchyats. The plan involves creating agriculture and rural infrastructure, financial inclusion, village and community development, and creation of physical infrastructure like roads, bridges, communication facility etc., and improving security machinery in the area. the total budget estimate for implementing the plan is expected to be around Rs. 219 crore.

Based on the above factors the PLP has been revised to bring forth the potential under prority sector in the district.

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PLP 2016-17 - Gumla

Broad Sector wise PLP projections - 2016-17

Sr. No. Particulars PLP Projections 2016-17 ( Rs lakh) A Farm Credit i Crop Production, Maintenance and Marketing 29425.75 ii Term Loan for agriculture and allied activities 6805.41 Sub Total 36231.16 B Agriculture Infrastructure 1343.02 C Ancillary activities 665.00 I Credit Potential for Agriculture (A+B+C) 38239.18 II Micro, Small and Medium Enterprises 8397.70 III Export Credit 0 IV Education 1275.00 V Housing 2400.00 VI Renewable Energy 209.66 VII Others 1037.50 VIII Social Infrastructure involving bank credit 581.92 Total Priority Sector (I to VIII) 52140.97

PLP Projections 2016-17 ( Rs lakh) 1037.50, 2% 0.00, 0% 581.92, 1% 209.66, 0% 2400.00, 5% Crop Production, Maintenance and Marketing 1275.00, 3% Term Loan for agriculture and allied activities Agriculture Infrastructure

Ancillary activities

Micro, Small and Medium Enterprises 8397.70, 16%

Export Credit

665.00, 1% 29425.75, 56% Education 1343.02, 3% Housing 6805.41, 13%

Renewable Energy

Others

Social Infrastructure involving bank credit

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PLP 2016-17 - Gumla

SUMMARY OF DETAILED SECTOR-WISE PLP PROJECTIONS - 2016-17

Sr. No. Particulars PLP Projections 2016-17 (Rs. Lakh) I Credit Potential for Agriculture A Farm Credit i Crop Production, Maintenance and Marketing 29425.75 ii Water Resources 1129.79 iii Farm Mechanisation 1715.17 iv Plantation and Horticulture (including sericulture) 968.34 v Forestry and Waste Land Development 139.131 vi Animal Husbandry – Dairy 1540.60 vii Animal Husbandry – Poultry 631.76 viii Animal Husbandry – Sheep, Goat, Piggery, etc. 444.71 ix Fisheries (Marine, Inland, Brackish water) 180.98 x Others – Bullock, Bullock cart, etc. 54.93 Sub Total 36231.16

B Agriculture Infrastructure Construction of storage facilities (Warehouses, Market yards, Godowns, Silos, i Cold storage units/ Cold storage chains) 922.50 ii Land development, Soil conservation, Watershed development 311.6196 Others (Tissue culture, Agri bio-technology, Seed production, Bio pesticides/ iii fertilizers, Vermin composting) 108.90 Sub Total 1343.02

C Ancillary activities i Food and Agro processing 629.00 Others (Loans to Cooperative Societies of farmers for disposing of their produce, Agri Clinics/ Agri Business Centres, Loans to PACS / FSS/ LAMPS, ii Loans to MFIs for on lending) 36.00 Sub Total 665.00 Total Agriculture 38239.18 II Micro, Small and Medium Enterprises i MSME – Working capital 839.75 ii MSME – Investment credit 6574.00 Total MSME 8397.70 III Export Credit 0.00 IV Education 1275.00 V Housing 2400.00 VI Renewable Energy 209.66 Others (Loans to SHGs/ JLGs, loans to distressed persons to prepay non- VII institutional lenders, PMJDY, loans to state sponsored organisations for SC/ST) 1037.50 VIII Social Infrastructure involving bank credit 581.92 Total Priority Sector 52140.97

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