MSc

A study was conducted in Trichur district to assess the impact of bank finance for minor irrigation in the district. The objectives were to find out the characteristics of the borrowing farmers, the improvements in farming practices, changes in yield rates and output and the income and employment generated by irrigation development with banks’ assistance.
Relevant data were collected from a sample of ninety eight beneficiaries of finance for minor irrigation of the Lead Bank, viz., the Canara Bank, by personal interview using a pre-structured schedule.
Majority of the beneficiaries belonged to forward casts and had a literacy of 89.23%. The average family size of the sample was 7. Seventy of them had holdings of size less than a hectare. All of them had fairly good family income, eventhough the income from farming was lower than Rs.5000/- per annum in as many as 32 cases. Consumption pattern of the beneficiaries showed them to be enjoying a reasonably good standard of living.
The cropping intensity of the sample increased from 122.74% to 134.91% following irrigation development. The area under coconut, arecanut and banana increased, while that under paddy decreased in all size classes following irrigation development. The dose of organic manure added to all the crops decreased in the post-investment period, whereas that of chemical fertilizers increased, eventhough it continued to be lower than the recommendations.
The production and productivity changes in coconut due to irrigation development were 24.07 per cent and 30.2 per cent respectively. There was an accompanying increase in income also. The farm business income, family labour income and net income from all the crops increased in the post-investment period. The employment generation of the scheme was, however, negative. The employment of hired human and bullock labour declined significantly in all the size groups of beneficiaries, while that of family labour and the use of machinery increased.
Majority of the pumpsets acquired were 3 H.P. pumpsets. This indicated considerable mismatch between area operated and H.P of the facility acquired. Delay in energization and drying up of the wells in summer made timely repayment difficult. However, there was no case of overdues among the sample. The loan was found to have generated sufficient repayment capacity in all the size groups of beneficiaries, eventhough it was not economically feasible in size groups I and II.