PLP 2016-17 District

EXECUTIVE SUMMARY a. Introduction

Morbi district is primarily an agricultural district with cotton, cumin and wheat as the predominant crops. The other major crops cultivated are bajra, wheat, sesamam, groundnut, etc.

The Potential Linked Credit Plan (PLP) for 2016-17 has been prepared aligning with the revised RBI guidelines on Priority Sector Lending. It estimates credit flow of ` 238703.00 lakh, of which, Crop Production sector has a major share of 54% at ` 129384.00 lakh. Term loan under agriculture is assessed at ` 56525.00 lakh accounting for about 30% of total agriculture and 24% of total Priority Sector. Under MSME, ` 39006.00 lakh has been assessed as potential forming 16% and balance at ` 13788.00 lakh has been estimated for other sectors like Exports, Education, Housing, etc. The activity-wise and block- wise assessment of potential is presented in Annexure I.

The PLP projection for 2016-17 is higher by ` 11936.60 lakh when compared to the PLP for the year 2015-16 representing an increase of about 5%. Further, the PLP projection is higher by similar amount when compared to the ACP target for the year 2015-16. b. Suggested action Points in respect of major sectors and infrastructure/non-credit inputs are as under:

(i) Crop Production, Maintenance and Marketing

Adoption of advanced technologies for the restoration of soil health, mechanisation, and cultivation of suitable remunerative crops, effective pest and disease management are essential to step up the agricultural production. Modern methods of cultivation like Fertigation for sugarcane, ‘precision farming’ for vegetables, ‘sprinkler irrigation’ for pulses etc need to be adopted for increasing production and productivity. Banks may adopt Rupay KCC as an effective credit delivery mechanism and educate the farmers to subscribe to crop insurance schemes.

(ii) Water Resources and Land Development

As monsoon continues to be erratic, need for greater focus lies in water resource management. Farmers need to be incentivised to save water by adopting suitable cropping pattern on their farms. There is a need for conserving soil moisture security so that “more crop per drop” can be achieved. (iii) Farm Mechanisation

Shortage of labour is a serious threat affecting the development of agriculture in the district. Enhanced credit flow for farm mechanisation should be ensured. Banks may increasingly adopt the strategy of JLG financing to enable SF/MF to purchase farm machineries and equipment.

(iv) Plantation and Horticulture

Horticulture crops could be encouraged as an alternative to the traditional cropping pattern in the district. Vegetables and Floriculture may be encouraged under modern methods like Green house/controlled conditions with bank credit. The Departments of Horticulture and Agriculture may popularise suitable horticulture crops for development in cultivable wastelands and saline/alkaline areas.

(v) Animal husbandry

Animal husbandry, particularly dairy is the most suitable subsidiary occupation. As dairy offers quick returns and near stable prices, banks may finance liberally ensuring tie-up arrangements with Dairy

1 PLP 2016-17 Morbi District farms/societies. Banks may also encourage farmers to take up calf rearing and fodder cultivation, as viable activities with financial assistance.

(vi) MSME

Banks should step up their lending to MSME sector including provision of adequate Working Capital assistance. Handloom Weavers and Handicrafts sectors in the district need to be adequately supported with bank credit. Banks may encourage artisan SHGs/JLGs from Handloom, Arts & crafts in these areas and also issue SCCs. c. Highlights of Developments, initiatives taken, achievements, specific prescriptions etc.

 NABARD’s initiative on Natural Resources Management with focus on Tribal development to give thrust to the identified sector/activity by enhancing term loan disbursements through a banking plan, implementation of area based scheme/s has been suggested as a coordinated effort of NABARD, Lead Bank, other banks, line departments and other important stake holders.  ‘WADI” model is holistic in approach, addressing production, processing and marketing of produce and other livelihood needs.  GoI has established the National Adaptation Fund on Climate Change (NAFCC) with a budget provision of ` 350 crores for the year 2015-16 and 2016-17. NABARD has been appointed as National Implementing Entity (NIE) responsible for implementation of adaptation projects under the Fund.  To ensure effective price protection to the farmer, National Agricultural Market being proposed can be a solution backed by adequate storage facilities.

d. Thrust areas for 2016-17 such as JLG/SHG financing, post–harvest infrastructure, food processing, Producer Organizations, Area Development Plans/Schemes, etc. as applicable to the district. e. Conclusion The major driver of private sector capital formation is investment credit. Immediate thrust is required to raise its share in the total agriculture credit. The document, has therefore, been prepared with emphasis on accelerating the pace of capital formation in agriculture and allied sectors. This goal can be achieved with the coordinated efforts of all the stakeholders.

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Sector wise PLP Projections 2016-17 (` Lakh )

PLP Sr.No. Particulars Projections A Farm Credit (i) Crop Production, Maintenance and Marketing 129384.00 B Agri Term Loan (i) Agriculture and Allied Activities 34607.00 (ii) Agriculture Infrastructure 20701.00 (iii) Ancillary Activites 1217.00 Total Agri Term Loan 56525.00 Credit Potential for Agriculture (A+B) 185909.00 C Micro, Small and Medium Enterprises 39006.00 D Others (i) Export Credit 8000.00 (ii) Education 1050.00 (iii) Housing 3100.00 (iv) Renewable Energy 80.00 (v) Others 1250.00 (vi) Social Infrastructure involving bank credit 308.00 Total ‘Others’ 13788.00 Total Priority Sector (A to D) 238703.00

Others 6% MSME 16%

Crop loan 54% Agri. Term loan 24%

Crop loan Agri. Term loan MSME Others

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SUMMARY OF SECTOR/SUB-SECTORWISE PROJECTIONS 2016-17 ` lakh Sr. PLP projections Particulars No for 2016-17 I Credit Potential for Agriculture A Farm Credit i Crop Production, Maintenance and Marketing 129384.00 ii Water Resources 6941.00 iii Farm Mechanization 14094.00 iv Plantation & Horticulture (including sericulture) 2359.00 v Forestry & Waste Land Development 390.00 vi Animal Husbandry – Dairy 1145.00 vii Animal Husbandry - Poultry 487.00 viii Animal Husbandry – Sheep, Goat, Piggery, etc. 86.00 ix Fisheries (Marine, Inland, Brackish water) 143.00 x Others – Bullock, Bullock cart, etc. 8962.00 Sub Total 34607.00 B Agriculture Infrastructure Construction of storage facilities (Warehouses, Market yards, Godowns, Silos, 15245.00 i Cold storage units/Cold storage chains ii Land development, Soil conservation, watershed development 4065.00 Others (Tissue culture, Agri bio-technology, Seed Production, Bio 1391.00 iii pesticides/fertilizers, Vermin composting) Sub Total 20701.00 C Ancillary activities i Food and Agro processing 961.00 Others (Loans to Cooperative Societies of farmers for disposing of their produce, 256.00 ii Agri Clinics/Agri Business Centres, Loans to PACS/FSS/ LAMPS, Loans to MFIs for on lending) Sub Total 1217.00 Total Agriculture 185909.00 II Micro, Small and Medium Enterprises i MSME – Working Capital 9001.00 ii MSME – Investment credit 30005.00 Total MSME 39006.00 III Export Credit 8000.00 IV Education 1050.00 V Housing 3100.00 VI Renewable Energy 80.00 Others (Loans to SHGs/JLGs, loans to distressed persons to prepay non- 1250.00 VII institutional lenders, PMJDY, loans to state sponsored organisations for SC/ST VIII Social Infrastructure involving bank credit 308.00 Total Priority Sector 238703.00

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Map of Morbi District

Courtesy: www.mapsofindia.com

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DISTRICT PROFILE

1. Profile of the District:

Morbi is the nerve center of region having varied activities for livelihood. The district has been carved out of Morbi, , Maliya-Miyana and talukas of district, Halvad of and parts of Jodiya taluka of district. It has tracts of fertile land, a patch of desert and sizeable coastline. The district has farming and industrial activities as major economic activities. Agriculture labour force is from Godhra and Dahod districts of the state. The district has an area of 4871.50 sq km with population of 10.08 lakhs. There are 407 villages in 5 talukas viz. Halvad, Maliya, Morbi, Tankara and Wankaner. Morbi town is the district headquarter. The town has come to be identified for its ceramic industry. There are more than 400 units manufacturing various types of ceramic tiles and sanitary ware. Morbi is also known for the Ajanta brand of clocks. It has become a global brand of wall-clocks. Orpat, another well-known name in electrical goods, has its origin in Morbi.

Annual rainfall in Morbi was 852 mm during the year 2013-14 against an average annual rainfall of 673 mm during the years starting from 1983 to 2012. The geographical area reported in the district for land uitlisation is 481958 ha. The major crops grown in Kharif are Groundnut and Cotton and that in Rabi are Wheat and Cumin. During summer, Groundnut, Til and vegetables are the main crops. Chana, Garlic, Onion and Chilly are the other crops grown in the district. The district has a net sown area of 309369 ha against Gross Cropped Area of 329654 with cropping intensity of 107%. The net irrigated area (111661ha) constitute 36.06% of the net sown area (309369 ha).

2. Predominant activities in the district

Agriculture, agro industries, agro processing, dairy and dairy product processing, agriculture implements, handicrafts, automobile ancillaries viz. casting, foundry and engine parts and service sector activities are various predominant activities in the district.

3. Major commercial and horticulture crops Groundnut, cotton, wheat and cumin are the major commercial crops and Mango, Chiku, Lemon, Ber, Pomegranate are the major horticulture crops grown in the district.

(r) Emerging sectors in the district Morbi has long been a center for trade and industry. Morbi has many middle as well as big industrial houses operating from its vicinity. Among the big industrial houses located in Morbi, Ajanta Manufacturing Ltd of OREVA Group. Ceramic and Clock manufacturing industry are few ones. Moreover, these industries have also given rise to many ancillary industries such as packaging industry, export houses etc. Together, they have created a vibrant and sustainable economy in this region. Further the farmers in the newly formed district have shifted their cultivation to Cotton, Castor and Gumguwar and plantation of Pomogranate horticulture crops. With the Halvad block forming its 5th block there has been huge demand of construction of rural godowns as the production of Cotton, Castor, Groundnut and Onion is on the rise in the district. x) NABARD in Morbi district NABARD has completed 32 years of its existence in taking rural forward. During the past three decades, it has achieved several milestones and has played a vital role in our nation’s development. Every year, while presenting the budget, the Finance Minister has some interesting challenge in store for NABARD which earmarks the important role NABARD plays in boosting the rural economy. NABARD has gradually penetrated in to rural areas through its various developmental schemes. NABARD, through its various programmes, viz., RIDF, SHG-BLP scheme, JLG, assistance to Producers’ organization, formation of farmer clubs, preparation of Potential Linked Credit Plans (PLP), implementation of various subsidy schemes of Govt of India, etc. is relentlessly working towards agriculture and rural development

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District Profile Appendix -C District Morbi State - Division - Saurashtra 1. PHYSICAL & ADMINISTRATIVE 2. SOIL & CLIMATE Total Geographical Area (Sq.km) 6090 Agro-climatic Zone Agro climatic zone No 6 No. of Sub Divisions 2 No. of Blocks 5 Climate Dry , Sub Humid No. of Villages (Inhabited) 407 Soil Type Black & Loamy,Salty, Rocky, Shallow Sandy loam No. of Panchayats 330 3. LAND UTILISATION [ha]** 4. RAINFALL & GROUND WATER Total Area Reported 481958 Normal 2011-12 2012-13 2013-14 Forest Land 26058 Rainfall [in mm] 673 Actual 537 342 852 Area Net Available for 111661 Variation from Normal (-)136 (-)231 (+)221 Permanent Pasture and Grazing 39819 Availability of Ground Net annual recharge Net annual draft Balance Land under Miscellaneous Tree Water [Ham] 51107.86 32538.9 18568.96 Crops Cultivable Wasteland 37453 5. DISTRIBUTION OF LAND HOLDING Current Fallow 12924 Holding Area Classification of Holding Other Fallow 480 Nos. % to Total ha. % to Total Net Sown Area 309369 <= 1 ha na na na na Total or Gross Cropped Area 329654 >1 to <=2 ha na na na na Area Cultivated More than Once >2 ha na na na na Cropping Inensity [GCA/NSA] 107 Total na na na na 6. WORKERS PROFILE [in '000]* 7. DEMOGRAPHIC PROFILE [in '000] Cultivators 91 Category Total Male Female Rural Urban Of the above, Small/Marginal 40 Population(Census 960 495 465 602 358 Agricultural Labourers 51 Scheduled Caste(Cens 66 34 32 21 20 Workers engaged in Household 2 Scheduled Tribe(Cens 5 3 2 4 1 Workers engaged in Allied Agro- 30 Literate(Census 2011) 640 366 274 384 256 Other workers 65 BPL(Census 2011) 375 192 182 235 140 8. HOUSEHOLDS [in '000] 9. HOUSEHOLD AMENITIES [Nos. in '000 Households] Total Households 187 Having brick/stone/concrete houses na Having electricity na Rural Households 115 Having source of drinking water na Having independent na BPL Households 73 Having access to banking services na Having radio/TV sets na 10. VILLAGE-LEVEL INFRASTRUCTURE 11. INFRASTRUCTURE RELATING TO HEALTH & SANITATION [Nos] Villages Electrified na Anganwadis na Dispensaries na Villages having Agriculture Power na Primary Health Centres na Hospitals na Villages having Post Offices na Primary Health Sub-Centres na Hospital Beds na Villages having Banking Facilities na 12. INFRASTRUCTURE & SUPPORT SERVICES FOR AGRICULTURE Villages having Primary Schools na Fertiliser/Seed/Pesticide Outlets na Agriculture na Villages having Primary Health na Total N/P/K Consumption [MT] na Pumpsets Energised na Villages having Potable Water na Certified Seeds Supplied [MT] na Agro Service Centres na Villages connected with Paved na Pesticides Consumed [MT] na Soil Testing Centres na 13. IRRIGATION COVERAGE [Ha] Agriculture Tractors [Nos] na Plantation nurseries na Total Area Available for Irrigation na Power Tillers [Nos] na Farmers' Clubs [Nos] na Irrigation Potential Created na Threshers/Cutters [Nos] na Krishi Vigyan na Net Irrigated Area(Total area na 14. INFRASTRUCTURE FOR STORAGE, TRANSPORT & MARKETING Area irrigated by Canals / na Rural/Urban Mandi/Haat [Nos] na Wholesale Market [Nos] na Area irrigated by Wells na Length of Pucca Road [Km] na Godown [Nos] na Area irrigated by Tanks na Length of Railway Line [Km] na Godown Capacity[MT] na Area irrigated by Other Sources na Public Transport Vehicle [Nos] na Cold Storage [Nos] 7 Irrigation Potential Utilized na Goods Transport Vehicle [Nos] na Cold Store na 15. AGRO-PROCESSING UNITS 16. AREA, PRODUCTION & YIELD OF MAJOR CROPS Type of Processing No of units Cap.[MT 2012-13 2013-14* Avg. Yield Crop Food na na Area (ha) Prod. (MT) Area (ha) Prod. (MT) [kg/ha] Sugarcane na na Castor na na 3000 11100 370 Fruit na na Bajra(Pearl Millet) na na 1420 1775 125 Spices (Masala na na Wheat na na 10465 41860 400 Dry-fruit na na Sesamam na na 6000 3240 54 Cotton na na Cumin na na 24000 24000 100 Milk na na Groundnut na na 540 10200 1889 Meat na na Cotton na na 43170 224280 520 Animal feed na na Production of Cotton(lint), Jute, Mesta & Sanhemp are in Bales(177.8 kg per bale in India) 17. ANIMAL POPULATION AS PER 18. INFRASTRUCTURE FOR DEVELOPMENT OF ALLIED ACTIVITIES Catego Total Male Female Veterinary Hospitals/Dispensaries 48 Animal Markets [Nos] na Cattle - 3062 2736 326 Disease Diagnostic Centres [Nos] na Milk Collection Centres na Cattle - 152714 53251 99463 Artificial Insemination Centers na Fishermen Societies na Buffalo 189325 21755 167570 Animal Breeding Farms [Nos] na Fish seed farms [Nos] na Sheep - 1047 674 373 Animal Husbandry Tng Centres na Fish Markets [Nos] na Sheep - 16557 10762 5795 Dairy Cooperative Societies [Nos] na Poultry hatcheries na Goat 70831 10256 60575 Improved Fodder Farms [Nos] na Slaughter houses [Nos] na Pig - na na na 19. MILK, FISH, EGG PRODUCTION & THEIR PER CAPITA AVAILABILITY Pig - na na na Fish Production [MT] na Per cap avail. na Horse/ 434 105 329 Egg Production [Lakh Nos] na Per cap avail. na Poultry na na na Milk Production ['000 MT] na Per cap avail. na Poultry 7032 na na Meat Production [MT] na Per cap avail. na Sources Item Nos. 1, 6, 7, 9 & 10 - Census 2011; Item Nos. 2, 3, 5, 12, 13 & 14 - Dept. of Agr/Dir. of Eco. & Stat.; Item No. 4 - Dept. (if not of Agr./Water Resources; Item No. 8 - BPL Survey 2002; Item No. 15 - District Ind Centre/Dir. of Eco. & Stat.; Item No. 16 - mentio 7 PLP 2016-17 Morbi District

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