Agricultural Finance: From Crops to Land, Water and Infrastructure

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There are also special loans to finance the purchase of agricultural machinery such as tractors, harvesters and trucks. Construction of biogas plants and irrigation systems as well as the purchase of agricultural land may also be financed through special types of agricultural finance.

How to increase the income of farmers - 3 Step Process to Increasing the income of farmers

Here is some information about the kind of agricultural credit and loans provided by public sector banks in India. State Bank of India presents a wide range of financial schemes for agriculturalists. All rights reserved. Last Updated till December 9, Irrigation systems generally did not include water regulation structures.

Less than 5 percent of the irrigated area was equipped with improved on-farm irrigation systems, leading to low efficiencies at the farm level. Management of irrigation infrastructure was also weak. In general, the Sierra WUOs were financially and technically weak, with low water tariffs and collection rates. Consequently, planning or daily management of water distribution and irrigation services were negligible or nonexistent.

Loans Types - Loan -Agriculture - Citizens: National Portal of India

Poor maintenance contributed to the gradual degradation of the infrastructure and poor water delivery performance, thus limiting water quantity, frequency, and reliability at the field level. Problems of low quantity, uniformity, frequency, and reliability of irrigation delivery to crops thus often persisted, even in irrigated areas. Many areas of the Sierra, required improvements in irrigation infrastructure and management to increase the value of agricultural production and to foster production of higher-value crops for internal and export markets.

The goal of the Peru Sierra Irrigation Subsector Project was to increase and improve agricultural performance in the Sierra by improving irrigation technology, thus providing farmers with enough water to secure traditional harvests and, over time, to shift to higher export-value crops. The Peru Sierra Irrigation Subsector Project made a significant contribution to increasing agricultural production and productivity in targeted areas of the Peruvian Sierra.

It was successful in increasing irrigation water flow and frequency 28 percent on average and irrigation efficiency 72 percent compared to 22 percent. Improved irrigation led to crop intensification in the project- intervened areas, ranging between percent and percent, with many farmers switching to higher-market-value crops.

As a result, an important percentage of these farmers, in almost all Water Use Organizations, changed to high-value crops.

[PDF] Agricultural Finance: From Crops to Land, Water and Infrastructure Full Collection

Through the Bank-supported Irrigation Subsector Projects I and II in the coastal areas, the Bank developed and implemented a successful approach to improving irrigation performance, including a successful Irrigation Water Rights Formalization Program. A Project Steering Committee provided high-level guidance, oversight, and control to the project, including overseeing implementation.

WUOs were directly involved in collective irrigation subproject identification, selection, design, financing, and execution and supervision, as well as being responsible for collecting water fees and operating and maintaining the collective irrigation systems. They were also responsible for formulating and implementing business plans. ALAs controlled and enforced compliance with the terms and conditions of water rights and the collection of water use fees. Target beneficiaries were farmers practicing irrigation, with good access to markets and capacity to produce higher-value crops.


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