Document of FILE Copy The World Bank FOR OFFICIAL USE ONLY CONFIDENTIAL Report No. 1173-IN INDIA EASTERN REGION FOODGRAIN PRODUCTION REVIEW (WEST BENGAL) REPORT OF BRIEF REVIEW MISSION ON THE AGRICULTURE SECTOR May 1976 General Agriculture Division South Asia Projects Department This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS US$1.00 = Rupees (Rs) 8.75 Rs 1 = US$0.114 Rs 1 million = US$114,000 WEIGHTS AND MEASURES (Metric System) 1 kilogram (kg) = 2.20 pounds 1,000 kg = 1 metric ton = 0.98 long ton 1 meter (m) = 1.09 yards = 3.28 feet 1 kilometer (km) = 0.62 mile 1 hectare (ha) 10,000 m2 = 2.47 acres 2 I square kilometer (km ) = 100 ha = 0.39 square mile 1 cubic meter (m3 ) = 35.39 cubic feet ABBREVIATIONS AEO - Agricultural Extension Officer ARDC - Agricultural Refinance and Development Corporation CAD - Command Area Development CIFRI - Central Inland Fisheries Research Institute GOI - Government of India GOWB - Government of West Bengal LDB - Land Development Bank RBI - Reserve Bank of India VLW - Village Level Worker FOR OFFICIAL USE ONLY CONFIDENTIAL CROP SEASONS AND RICE CROPS Kharif Monsoon season, June-October. Rabi Dry season, November-March/April. Aus Rice Mostly broadcast sown in April-May and harvested in August-September. Aman rice Transplanted in July-August and harvested in November-December. Boro rice Irrigated dry season rice, transplanted in December-January and harvested in April-May. This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. INDIA EASTERN REGION FOODGRAIN REVIEW (WEST BENGAL) REPORT OF BRIEF REVIEW MISSION ON THE AGRICULTURE SECTOR TABLE OF CONTENTS Pages I. SUMMARY .. ............................ ....... i - ii II. INTRODUCTION ............................ ........ 1 III. GROWTH IN PRODUCTION AND INCOME ........................ 1 IV. PRICES FOR FOOD AND FARM PRODUCTS ...................... 2 V. FOOD PRODUCTION ...................................... 3 Grains ............................................... 3 Fish ....o........o................................... 4 VI. INPUT SUPPLY AND CREDIT ................................ 4 Input Supply .o..................................... 4 Credit ............................................... 5 Irrigation .......................................... 6 VII. FARM SIZE AND OWNERSHIP AND THE POVERTY LINE ........... 7 Cadastral Records o.........o............*.......... 7 Farm Size and the Poverty Line ....................... 8 VIII. EXTENSION AND RESEARCH ........................ . 9 IX. CONSTRAINTS ....................................... 10 X. ISSUES ..oe.......... .. ... o... . . .. . . . .. . ..... 12 XI. POSSIBLE IDA PROJECTS ....... o........................ 13 TABLES 1. State Income 2. Consumer Price Index 3. Wholesale Prices; Major Agricultural Commodities, 1970/71 to 1974/75 4. Wholesale Fish Prices, November 1974 and 1975 5. Major Crops: Acreage, Yield, Production, 1964/65 to 1974/75 6. Irrigated Area and Major Crops: Growth Rates 7. Fish Production in West Bengal 8. Consumption of N, P and K (1962/63 to 1974/75) 9. Size Distribution of Land Holdings 10. Total Cropped and Irrigated Area, 1960/61 to 1974/75 ANNEXES 1-6 INDIA EASTERN REGION FOODGRAIN REVIEW (WEST BENGAL) REPORT OF BRIEF REVIEW MISSION ON THE AGRICULTURE SECTOR I. SUMMARY i. This memorandum resulted.from a short mission to West Bengal by F. Lowenstein, Y. Elkana and P. Pohland (NDO). It briefly surveys the agriculture of the State, makes some recommendations concerning policy modi- fication and suggests some possible projects. ii. West Bengal is one of the most densely populated states in India. In 1973/74 its per capita income was estimated at Rs 649 (74 dollars) and at constant prices has not increased significantly since 1960. iii. Prices for food products have increased more rapidly than prices for other goods and services, while physical production for agriculture has lagged behind other sectors. Furthermore, quantitative growth in .output of agriculture (1.7% per annum) was slower than population growth (2.4% per annum). Because of extremely favorable weather in 1974/75, production of food crops was large and wholesale prices for food declined somewhat. Never- theless, the consumer price index for food in 1975 was above that of 1974 and larger output in this one season does not indicate a reversal of trend. iv. Because there is little arable land left to be developed in West Bengal, increasing food production depends upon raising yields per ha and increasing the intensity of land use. In the short run, progress toward these objectives could be accomplished by increasing the supply of water to farmers during the Rabi (dry) season, better water management, increasing the supply of fertilizer, improved seeds, and pesticides, and improving the technical knowledge of farmers. More efficient marketing might also help farmers to receive more for their output and encourage production. v. Although the Government of West Bengal (GOWB) has been successful in improving the administration of seasonal credit disbursed through coopera- tives, there is need for further improvement and expansion of the supply of seasonal credit. In addition, the longer term credit program needs improvement. vi. The extension service has recently been reorganized and greatly improved but even more improvement is needed. An expanded research program to supply technical know-how to the extension service is also needed. vii. In the longer run, cadastral reform, better analysis of the agricul- tural situation, better planning of programs and projects, more fish farming, command area development for existing major irrigation projects, completion of medium irrigation projects already started and development of additional medium irrigation and drainage projects are needed. vtLi. Fish production can and should be expanded in both fresh and brackish waters and the administration and management of the fishery program need much improvement. There is no extension service for fish farmers and input supply arrangements are practically non-existent. ix. The State's cadastral records are poor. In addition, farmers' holdings are small and highly fragmented. The average size of operational units in the State is about 1.79 ha, but these units are highly fragmented and each field averages about 0.23 ha. The land required to meet the poverty line standard of Rs 2,888 per family varies between 1.1 and 3.3 ha (on a net farm income basis), depending upon the cropping pattern and intensity of land use. However, only about 30% of the farms are 1 ha in size or larger. This situation makes the administration of projects and programs difficult. These difficulties cut across practically every program and project for agriculture, including minor irrigation, major and medium irrigation, credit programs, fish farming, etc. One urgent technical requirement is an effec- tive program to modernize these records. x. A list of suggested projects in order of priority is in para 51. Priority should be.given to Research and Extension and second, to.a second phase of the Agricultural Development project. However, implementation of the first phase of the Agricultural Development project (IDA Credit 541-IN) should be well underway before a second phase is attempted. II. INTRODUCTION 1. This memorandum resulted from a mission to West Bengal by F. Lowen- stein of about two (2) weeks in the last half of November. He was assisted by P. Pohland (NDO) and Y. Elkana, who spent about five (5) days with Mr. Lowen- stein. The memorandum is intended to briefly survey the agriculture of West Bengal, identify problems and constraints and identify projects for possible IDA financing. Discussions were held with the Government of West Bengal in March 1976. 2. The Eastern Region of India, for grain production purposes, includes Bihar, Orissa, West Bengal, Assam, Eastern Uttar Pradesh, and Eastern Madhya Pradesh. Foodgrain production in the first four states was 22 million tons in 1973/74, about 21% of grain output for the country. In this region, rice accounts for more than 50%.of the gross cropped area and about 75% of all food grain production. The region covers 60% of the country's rice area and 45% of its production, mostly rainfed. Only 30% of the rice area is irrigated. West Bengal produced 6-7 million tons of food grains (including pulses) in 1973/74, about 30% of the output of the Eastern region and 6% of the country's output on 5% of the area harvested for foodgrain. 3. The State of West Bengal is one of the most densely populated States in India. Pqpulation was estimated at 47.8 million in 1974 and the total area is 87,853 km (33,920 square2miles). Thus, there is an average population density of 544 people per km (1,409 per square mile). Furthermore, population has grown at about 2.4% p.a. since 1961 and estimates.for the early 1970's indicate no slowdown . About 17% lives in Calcutta, the largest city. Approximately 75% lives in rural areas and is primarily employed in, and dependent on, agriculture. 4. In 1973/74 State Income was estimated at about Rs 31,000 million ($3,500 million) at current price levels, or about Rs 649 ($74) per capita. In constant (1960) prices, per capita income was Rs 345 in 1973/74, compared with Rs 317 in 1960/61. In other words, real income per capita increased at a rate of less than 1% per annum. Because, such a large proportion of the population lives in rural areas and because of the scarcity of natural resources other than land and water, the viability of the agri- cultural sector is vital, if the grinding poverty indicated by these data is to be moderated. III. GROWTH IN PRODUCTION AND INCOME 5. Analysis of State income data at constant price levels provides some measure of physical output. These data showed that agricultural pro- duction only grew at 1.7% p.a. from 1960/61 to 1973/74, slower than population growth (about 2.4% p.a.). Output from other sectors increased at annual rate of about 3.6% p.a. (Table 1). The rapid growth in population and the demand created by a relatively faster growth in sectors other than agriculture, placed pressure on agricultural output which caused prices of agricultural -2- products to rise more rapidly than other prices (paras 5 and 6 below). Thus the terms of trade turned in favor of agriculture. IV. PRICES FOR FOOD AND FARM PRODUCTS 6. The consumer price index for Calcutta Center 1/ shows an average growth in prices for all commodities from 1960 to 1975 of about 6% per annum. However prices for food increased at a rate 7.3% and prices for other com- modities increased at a slower pace. If this 15 year period is divided into five year segments, the rate of price rises increased with each succeeding five-year period--reaching 9.6% per annum for food in 1970/75. Furthermore, the price increases for food were more rapid than for other commodities in each of the five-year periods (Table 2). 7. A look at the (wholesale) prices for major food commodities (paddy and rice, potatoes, wheat and fish) confirms the analysis shown above (para 6). Prices for paddy and rice increased at rate of about 15% per annum while prices for potatoes grew at an annual rate of almost 8% for 1971/75. The increase in fish prices was between these two extremes--about 10% per annum. Prices for wheat have only been collected for three years and the period is not long enough to permit a meaningful trend .analysis. Wheat prices in 1975 were about 32% above 1973. However, prices in 1975 were below those of 1974 (Table 3). 8. Because of favorable weather conditions, production of food crops increased sharply in 1974/75. As a result, wholesale prices for food crops were lower during the first 10 months of 1975 than during the same months of 1974. Wholesale prices for rice, wheat and potatoes were 14.1, 19.5 and 20.7% below 1974. However, the consumer price index for food for the first nine months of 1975 was 8.7% above that of the same months of 1974. 9. Comparison of price data for fish in November 1974 and 1975 indi- cate a general increase in wholesale prices for fish. These price increases ranged between 6.8 and 47.8% for four kinds of fish, while prices declined by 17.6% for one kind (Table 4). 10 The amelioration of price increases in 1975 for several food crops, because of fortuitous weather, should not be taken as a turn around in the long history of rising food prices. A continuation of rapidly rising food production and several more years of stable or declining prices for food would have to be recorded before such a conclusion would be warranted. 1/ Expenditure level Rs 201 to 350 per- month, 1960 = 100. -3- Grains 11. Production of foodgrain (wheat and rice) from 1964/65 to 1974/75 increased at a rate of about 3.5% p.a. Part of this growth was a sharp shift in level of production between 1967/68 and 1969/70 when foodgrain production increased almost 24%, perhaps a result of change in statistical reporting procedures. From 1964/65 to 1968/69 production increased at a rate of only 1.4% per annum and from 1968/69 to 1974/75 it rose by about 1.7% per annum (Tables 5 and 6). In 1974/75 foodgrain production reached .about 7.4 million tons. 12. Area devoted to foodgrain increased by about 2.3% per annum, with most of the increase coming in the 1968/69 to 1974/75 period. Wheat acre- age showed a spectacular rise of 24.5% per annum (1964/65 to 1974/75), but was only 8% of rice acreage in 1974/75. Rice area increase by about 1.5% per annum over the same period. In 1974/75 the harvested area for foodgrains was about 5.8 million has. 13. Average yields for foodgrain showed no significant change over the ten year period. However, wheat yields increased sharply from 1964/65 to 1968/69 but declined somewhat in later years (Table 6). Overall, rice yields showed little change, even though Boro yields showed sharp gains, particularly in the first four years of the period (Table 6). Even though the area devoted to Boro grew rapidly, it was only 6.7% of the area'harvested for Aman and Aus in 1974/75 and yields for Aman and Aus showed little change. 14. Yields of wheat and Boro rice have been consistently higher than yields of Aman and Aus rice. Raising grain yields will, therefore, depend on the following three alternatives: (i) Expanding the area planted to Boro rice and irrigated 1/ wheat; (ii) Better use of existing technology for kharif and rabi crops; and (iii) Developing a breakthrough in technology for kharif paddy which will lead to higher yields. The expansion of the area in rabi crops (alternative.(i)) means expansion of water resources and more efficient water control during the rabi season. Boro rice and irrigated wheat have assured water supply and less risk. There- fore, farmers are more willing to invest in purchased inputs for these crops. The first alternative would also cause larger employment and higher farm incomes. It might ameliorate, but certainly not stop, migration from rural to 1/ In recent years, about 1/3 of the area sown to wheat was irrigated. - 4 - urban areas. The second alternative would cause higher yields, larger pro- duction and higher farm incomes but would have little effect on employment in agriculture. The third alternative has relatively long gestation, but would have beneficial effects on output, yields and farm incomes. Fish 16. Production of fish in West Bengal has increased at a rate of about 7-8% p.a. since 1965. Inland fisheries accounted for 95% of the fish production in the State in 1974 (Table 7), probably because Bengalies strongly prefer fresh water fish. Data on arrival of fish in Calcutta for the first nine months of, 1975 show that about 55% was imported, mostly from other states and a small proportion from Bangladesh. The steady rise in prices for fish (Table 3 and para 7) indicates that demand for fish.has been rising faster than the supply over the past ten years. 17. The resources available for fishery development are large. West Bengal has about 650,000 ha of inland bodies of water and 200,000 ha of brackish water, suitable for fisheries. The State also has access to about 40,000 square miles (10.4 million ha) of marine fisheries. 18. The technology for developing high yielding fish farming in both fresh and brackish waters has been developed by the Central Inland Fisheries Research Institute (CIFRI) at Barrackpore. According to CIFRI yields of 2,500 kg/ha in fresh water tanks and 1,500 kg/ha in brackish water bheris (enclosures) under farm conditions are probable, about half of those obtained by research stations. Prices received by fish farmers for carp and 'hilsa now average Rs 4 to 5/kg. So gross income per ha would be about Rs 11,250/ha for fresh water and Rs 6,750/ha for fresh and brackish water fisheries, respec- tively. Capital costs for fresh water tanks in 1975 were estimated at about Rs 15,000/ha and operating costs at about Rs 5,000/ha. For brackish water bheris in 1973 prices, capital costs were estimated at about Rs 19,500/ha and operating costs at about Rs 2,970/ha. VI. INPUT SUPPLY AND CREDIT Input Supply 19. Data on fertilizer consumption indicates a growth in nutrient use (tons of N, P, and K) of about 5.7% per annum from 1964/65' to 1974/75, reaching 126,900 tons in 1974/75 (Table 8). Far more nitrogen was used than either phosphorus or potash. Despite rapid growth in the consumption of the latter two nutrients, hitrogen appears likely to maintain its prominence. The growth in.potash consumption appears to have occurred between 1964/65 and 1971/72. Since the latter year there have been annual variations but little change in level. Consumption of nitrogen and phosphorus showed steady growth throughout the period. -5- 20. Consumption of N averaged about 11.2 kg/ha for the entire cropped area of the state in 1974/75, compared with an average of 10.8 kg/ha for the country. Average consumption in Punjab Haryana and Tamil Nadu was above that of West Bengal and the country, averaging 36.7 kg, 13.1 kg and 19.6 kg per ha, respectively. 21. Officially, the State Government, through the extension service, estimates input and credit requirements and makes arrangements for adequate supplies (Annex 1). Fertilizer and seeds are distributed to farmers through cooperatives, Agro-Service Centers, and private dealers. Pesticides are mainly distributed by private dealers but cooperatives and Agro-Service Centers are beginning to distribute pesticides and Government proposes to handle pesticides in the future as it now handles fertilizer and seeds. 22. Unfortunately, actual practices differ considerably from those described officially (para 21 and Annex 1). In the absence of any reliable field data at the village/block level, the AEO (Agricultural Extension Officer) prepares an assessment of inputs required. He concerns himself almost exclusively with fertilizers. His data are based on previous year's off-take and adjusted to a somewhat higher target and forwarded to the district level. At the district level (the Principal Agricultural. Officer (PAO), or the District Agricultural Officer (DAO)), aggregate the block,data and adjust them downwards to compensate for over-ambitious ex- pectations. The same happens at the State and Central level, so that in the end, GOI sanctions roughly half of the original gross requirements. Matters become worse when net requirements at specific locations are estimated. Data are simply not available and communication and coordina- tion among the agencies at various levels are not well developed. The esti- mation of input requirements is based on unreliable estimates and results in shortages at some locations and over-supplies at others. Action is needed which will improve the entire systems for estimating input requirements and supplying inputs to farmers. Credit 23. Institutional credit to farmers in West Bengal is provided by commercial banks and cooperatives. The cooperatives are divided into Primary Agricultural Credit Societies (PACS) for short and medium term loans, and Land Development Banks for longer term loans. About 35% and 65% of institutional credit is provided by the commercial banks and cooperatives, respectively. 24. The PACS have shown remarkable progress in recent years. Outstanding loans increased from Rs 41.4 million in 1971/72 to Rs 202.6 million in 1974/75. Over the some period the percentage of outstanding short term loans repaid increased from 21 to 75%. Plans for the future call for an annual lending volume of Rs 597.5 million by 1977/78 and an increase in collections to 90% (Annex 2). The performance of the PACs in West Bengal in recent years was better than in other Eastern States, but much improvement is still needed (Annex 3). The growth in credit (short, medium and long term),needs to be sharply accelerated if food output is to increase at a faster rate than in the past. - 6 - 25. The volume of medium and long term loans made by Land Development Banks (LDBs) more than doubled from 1972/73 to 1974/75, but were'still at a relatively low level in the latter year, Rs 20.9 million (US$2.4 million). Collections rose from 42% of demand.in 1972/73 to 75% in 1974/75. In the past the activity of the LDBs was hampered by an excessively security oriented lending system, absence of up-to-date cadastral records and little apprecia- tion of the importance and potential of the system. Modification of the LDB lending criteria, and improvements in operating personnel are beginning to show results, but more growth in volume and more improvement in collections are needed. 26. In 1973 only 1.2% of the cultivating households were members of LDB's. LDB.owned funds 1/ totaled only Rs 14.8 million ($1.7 million) 1/ and debentures floated during 1971/72-1973/74 were Rs 25.6 million. The . utilization of ARDC resources has also been small As would be expected from these data, the number of cultivators financed by the LDB's and the value of loans have been small. ..Recently, new leadership has instituted plans to in- crease the volume of lending of the LDBs (Annex 2). LDBs have the responsi- bility for .financing minor irrigation expansion and irrigation expansion is one of the basic requirements for increasing agricultural output in West Bengal. It is, therefore, essential that the lending programs of the LDBs be sharply expanded. Irrigation 27. From 1964/65 to 1974/75 the irrigated area.in the state increased by about 5% per annum, reaching about 2.2 million has in 1974/75, about 28% of the cropped area. Of this total, 42% was supplied by Government canals and 58% from other sources-groundwater, river lifts, and small tanks (Tables 6 and 10). During the mid 1960's the minor irrigation area declined at about 2.4% per annum but since 1968/69 it has increased rapidly - .about 8% per annum, because of installation of privately owned tube wells. 28. The West Bengal Agricultural Development Project (IDA Credit 541-IN) provides for minor irrigation development in six districts. Water resources are available for additional development and are one of the key factors in increasing food production in the State. Water resources for increasing surface irrigation (government'canals) are also available and some plans have been developed by the Irrigation Department (nnex 4). However, Command Area Development (CAD) in existing projects is at a low level and first priority for major surface iirigation development probably should be given to CAD on existing projects. 29. Some plans have also been developed for medium irrigation and drain- age schemes (Annex 5), but no CAD is included in these schemes. A few of these schemes have been started and they should be completed before new ones are undertaken.. GOI-IDA are now developing guidelines for: such schemes, including 1/ Paid up share capital plus reserves. Taken from "Report of the Commit- tee on Cooperative Fund Development Credit," RBI, October 1975. -7- delivery of water to farmers' fields. If these guidelines are finalized, it may be possible to implement medium sized irrigation and drainage schemes with IDA assistance more rapidly than has been possible in the past. 30. Since the quantity of unutilized arable land is severely limited, one of the essential elements for increasing food production in West Bengal is multiple cropping through increasing the supply of water during the rabi season. If water is supplied, Bengali farmers would increase cropping inten- sity sharply; many would grow three crops a year. VII. FARM SIZE AND OWNERSHIP AND THE POVERTY LINE Cadastral Records 31. Cadastral records in West Bengal are not up to date. Sample surveys indicate that there are about 5 million owned farm holdings in the state and about 70% of these are under 1 ha (Table 9). However, farms of 1 ha or less cover only about 18% of the farm area (see para 35). 32. Since farms are relatively small and fragmented (para 34)., the assignment of water rights, the management of tubewells and river lifts, and the management of tanks for irrigation and fish farming cannot be readily handled unless ownership and tenancy arrangements are clearly defined. A massive effort would be needed to bring these records up to date. 33. Cadastral records are now being brought up to date in 9 of 17 dis- tricts but it will take 4 to 5 years to complete the job. The job is compli- cated by the requirements that all land holdings in excess of the legal ceilings be acquired by Government by June 30, 1976. Each family is permit- ted a holding of 7 has. All landlords are to be abolished. It is difficult to see how the abolishment of tennancy can be executed in view of the weak cadastral records. Furthermore, many of the landlord-tenant arrangements are informal or oral agreements, for which no written records exist. Perhaps, as much as 20% of the cultivated area is cropped under unrecorded .tenancy arrangements, including sharecropping. 34. Lastly, the land holdings in West Bengal are highly fragmented. The average parcel (cultivated field) is about 1/4 ha. Such small fields complicate the problems of water distribution, financial viability of private- ly owned tubwells, creditworthiness for purchasing inputs, and the marketing of output. Farm Size and the Poverty Line 35. On an ownership basis the average farm size is about 0.9 ha (2.2 acres). I/ After adjusting for tenancy, the average operational unit is about 1/ This estimate includes owned land only and does not adjust farm holdings for tenancy arrangements. 1.79 ha (4.4 acres). -There are seven to eight parcels per holding (Table 9). Thus, the average cultivated field is about 0.23 (0.6 acre). The poverty line in India is Rs 525 per -capita ($60) or Rs 2,888 per family (5.5 people per family). I/ The land required to attain a gross income at the poverty line under various cropping patterns,.2/ assuming average yields for the State for each crop, are shown below: Intensity of Cropping Pattern Land Use Land Needed (%) (ha) Aman and Boro Paddy 200 0.6 Aman Paddy and Wheat 200 0.7 Aman Paddy and Potatoes 200 1.1 Aus Paddy, Jute, Aman Paddy and Wheat 190 .8 Aman Paddy only 100 2.0 Rough estimates of the cost of production on these farms were made and then the land needed to produce net income at the poverty line was estimated. The land requirements to meet this criteria ranged between 1.1 and 3.3 ha (with one crop of Aman Paddy), depending on the cropping pattern. 36. Higher yields'per'ha would reduce.the land requirements for exceed- ing the poverty line income. Analysis contained in the "Appraisal of West Bengal Agricultural Development Project, India" (IBRD Report No. 463a-IN) indicates that such income could be obtained from about one ha, provided that improved practices and the necessary inputs were used. 37. The Small Farmers Development Agency (SFDA) provides for subsidies to farmers with holdings of two ha or less. 3/ Subsidies of 25% are paid for improvements, such as wells, for small farmers. The SFDA program now covers 8-districts and there are 50,000 farmers covered in each district. Thus, the program now covers about 400,000 farmers out of 4.2 million with holdings below 2 ha, but roughly 3.4 million of these have holdings below I ha. 38. Since about'one ha is required to reach the poverty line, when using improved practices and multiple cropping, expansion of the SFDA program probably should be carefully examined. Temporary subsidies might be justified, as a means to stimulate the development of facilities for large productivity for-farms which cduld become viable but assistance to farms which are smaller than 1 ha may not be viable. However, such subsidies should be limited and should not be a permanent institution. I/ IBRD estimates. 2/ Cropping patterns are largely determined by soil types, availability of various farm inputs, and relative net returns to farmers. 3/ Program for SFAD also includes program for landless laborers and marginal farmers. VIII. EXTENSION AND RESEARCH 39. Extension in West Bengal has recently been reorganized. On July 4, 1975, reorganization of the extension service was ordered in the 6 districts covered by IDA Credit 541-IN. About a month later, GOWB reorganized the extension service for the entire state, 17 districts. The major components of the reorganization are as follows: (a) A single line of command under the Department of Agriculture. About 5,000 village level workers (VLWs), who concentrate only on agricultural production duties, work under the Extension Service. VLWs are supervised by the Agricultural Exten- sion Officers (AEOs), who are under sub-divisional officers (SAOs), who are under the Principal Agricultural Officer (PAO) or District Agricultural Officer (DAO). A Joint Director of Agriculture, responsible for all agricultural programs in several districts, reports directly to the Director. All other agricultural workers who had been working on separate schemes, are now incorporated within the one extension service. (b) Each VLW is responsible for an area in which there are 800- 1,200 farm families. Once every two weeks, the VLW visits a given unit. Aided by contact farmers and through inten- sive work with them, the VLW may actually reach a sizable proportion of "his" entire farming population at two-week intervals. (c) At two week intervals, an intensive training program supplies the VLWs with the knowledge, skills, techniques and materials for his work in the following two weeks. Only salient vital practices for major crops are covered. At present, only practices involving low cost inputs are covered in these training sessions. (d) Every three months VLWs receive a one-week training session, which covers basic subject-matter with subject-matter specialists, PAOs, DAOs and researchers. (e) AEOs train once a month under the guidance of SAOs, PAOs, and DAOs, aided by research people. (f) Range level conferences are to be held at least twice a year where AEOs, SAOs, PAOs, DAOs, and other district level officers, together with researchers, will have an opportunity to discuss and decide upon extension policies and recommend- ations. - 10 - 40. In the past data on agricultural production and input require- ments were developed by the extension service. The extension service has now been reorganized and concentrates its efforts on providing technical information and guidance to farmers (para 36). Other provisions will be needed to gather essential data for planning purposes and for managing the supply of farm inputs. 41. The planning system at the state level should be strengthened so that plans for input supply and distribution, credit supply, water development and management, etc. can be more efficiently tailored to the needs of farmers and the state's agricultural sector as a whole. Such an objective will require improvement in the data gathering and analysis functions of-GOWB over that which has existed in the past. In view of the reorganization of.the extension service, explained above, this need should be given high priority. 42. Both State and GOI initiated research in agriculture is carried out in West Bengal by the research arm of the Directorate of Agriculture and by the Agricultural University of Kalyani. Research of the Directorate of Agriculture is carried out in a variety of.research stations and sub- stations, mostly organized quite a few years ago on a crop basis. Work is directed, guided and coordinated by a joint Director of Agriculture for research. Planning is done yearly, and coordinated yearly in Delhi with ICAR as to the-Central Government's various research and development pro- grams. The latter forms a large part of the total research program. 43. The Directorate of Agriculture appears to be doing research on prac- tical problems. However, because of the specialized nature of the stations, it is doubtful that they can give proper weight to research according to changing priorities.- There appears to be some involvement of the extension staff in applied research, in that AEOs have responsibility.for the block seed farms. 44. The University of Agriculture and Veterinary Science was created September 1, 1974 by integrating the Faculty of Agriculture of Kalyani Univer- sity and the Bengal Veterinary College of Calcutta. The University now has about 485 ha of land scattered throughout the State but the majority of this land is at its headquarters at Kalyani. Like most other states in India, it was envisaged that this University will take full responsibility for basic agricultural research in West Bengal, but that the Department of Agriculture would continue to be responsible for adaptive trials and perhaps applied research. IX. CONSTRAINTS 45. The discussion above has indicated most of the constraints which are limiting larger food production in West Bengal. However, specific list- ing will help delineate the steps which should be taken in the near future. 46. The quantity of new land which can be brought under cultivation is severely limited. Therefore, expansion of food output in West Bengal is dependent on further multiple-cropping and raising yields per ha. 47. Intensification of land use is restricted by water availability. There are large untapped water resources in West Bengal and the water that is now available could be used more efficiently. 48. Increasing yields is largely dependent upon larger use of farm inputs, such as fertilizer and seeds, expansion of seasonal credit, and more effective extension and research. A start has been made on reorganizing the extension service and as a result it is now much more effective than in the past. Also, there is a research base which is practically oriented. However both of these efforts need strengthening. 49. Better input supply is partially dependent on (a) national poli- cies, (b) developing a more efficient distribution system, (c) pricing poli- cies for inputs and (d) effective credit programs. Items (a) to (c) need much work and development of some of the institutions provided under IDA Credit 541-IN would help. Some progress in improving item (d) has been made, parti- cularly with respect to cooperative credit. Additional coverage and more funds are needed, particularly for intermediate and longer term credit., In this respect, local money lenders are officially outlawed but enforcement of such a law is difficult. This is particularly so when alternative sources of funds cannot be developed. The strengthening of PACS's and the LDB's prob- ably should take first priority. However, there are some alternatives other than cooperative societies, such as, the use of group loans to overcome small farm sizes, construction of public tubewells which could be used by sharecroppers and tenants, sale of water from wells owned by larger farmers to sharecroppers and tenants, and the financing of an entire village by a commercial bank. 50. Marketing of output may also be a constraint. However, most marketing is done through the private sector and much of it is associated with credit supply. Thus alternative marketing and credit facilities would be needed to improve the marketing system. Careful consideration should be given to two alternative marketing systems. (a) A supervised private system to keep grading and weighing honest and associated with widespread market news dis- semination to improve farmers' bargaiining power; or (b) a government-run marketing system. Neither system should be attempted without careful investigation and pilot trials. 51. Fish farming in fresh and brackish waters shows much promise and the basic knowledge for fish farming is known in India. Its development - 12 - is inhibited by'poor cadastral and,physical survey records so that manage- ment of tanks is mot difficult; poor public administration of tanks, practically no extension service for fish farming, and shortages in inputs of seed fish, fertilizer, credit, etc. 52. Poor cadastal records inhibit the implementation of many pro- grams and projects. Improvement of these records would facilitate the achievement of higher productivity. X. GENERAL PROBLEMS 53. The general propblems which are to be resolved in overcoming these constraints, together with mission recommendations are: (i) How can the cadastal records be improved so as to facili- tate investments to improve the productivity of farms? Mission recommendation - GOWB should institute a program with a specific time table and a specific plan of action to update the State's cadastral records. (ii) How can medium and long-term credit be expanded to help increase food production in West Bengal? Mission recommendation - GOWB should work closely with GOI to expand lending and improve the administration of LDB's. (iii) How can realistic.longer-term food production targets and plans for input requirements to satisfy these targets be developed? Mission recommendation - GOWB should develop a planning organization for agriculture. This organiza- tion should base its projections on sound analysis of past experience and realistic estimates of future improvements. (iv) How can adequate data and analysis concerning area, yield, crop production, input use and prices for agricultural pro- ducts and farm inputs be obtained? Mission recommendation - With the reorganization of the extension staff, data collection and analysis will no longer be done by the Extension Service. The Department of Agriculture should organize a statistical collection and analysis.unit. This unit would need adequate and competent staff and would provide the data 'on which future plans and programs would-be based. (v) Can fish production be expanded? Mission recommendation - the Department of Fisheries should develop special plans for ex- panding fish farming, including adequate supplies of inputs and a competent extension service for fish farmers. Programs designed to stimulate fish production should be coordinated with cadastral and physical surveys of fresh water and brackish water fisheries. (vi) How can surface irrigation be made more effective? Mis- sion recommendation - the Irrigation Department should develop plans and programs for improving CAD on existing schemes, should include CAD development in all propo- sals for new schemes, and should complete medium irrigation and drainage schemes already started. (vii) How can the output of small farmers be increased? Mission recommendation - care should be taken in developing poli- cies for future action so that they help all farmers who cultivate one ha or more; coordination between programs for water supply and management, seasonal input supply, supply of credit and marketing of output should be included in these programs. XI. POSSIBLE PROJECTS 54. Possible projects include a wide range of activities. Most of them would help all farmers in the area which they cover, including farmers who cultivate as little as I ha. Several projects are listed below in order of priority: (a) Research and extension - development of additional extension training and wider coverage and expansion of research acti- vities which yield quick, practical benefits to farmers. (b) Phase II, Agricultural Development - additional minor irriga- tion, seasonal credit, input supply facilities and organization, marketing of output, and additional multiple cropping. (c) Fish farming in fresh and brackish waters - cadastral and physical surveys of tanks, construction of new tanks and bheris, production of seed fish, fishery extension service, fishery marketing facilities, credit facilities for medium and seasonal loans, and increasing other input supplies - for possibly 20 to 30,000 has. (d) Command area development for existing major irrigation - such a project would take several years to complete and. would not be as fast in gestation as those listed above. (e) Medium irrigation projects - The Irrigation Department has plans for 21 new medium irrigation projects covering 28,000 has. 1/ It would take two to six years' to complete 1/ All these projects utilize the flow of tributaries of the Damodar River which is not a tributary of the Ganges. each project and the cost of all the projects is estimated at Rs 147.9 million ($16.9 million). None of the plans include CAD and construction to IDA standards would,include CAD development and, therefore, be more expensive. (f) Drainage projects - The Irrigation Department also has plans for 13 new drainage and flood control projects, covering 1,676.8 square miles (434,000 has). The estimated cost is Rs 128.5 million ($14.7 million). The estimated time for completion is 1 to 4 years per project. ANNEXES These Annexes are documents obtained in West Bengal as raw material for the Sector Memorandum on Agriculture of that State. ANNEX 1: Assessment of Requirements and Management of Inputs - Fertilizer, Seeds, Pesticides and Credit ANNEX 2: Cooperative Credit ANNEX 3: Institutional Finance in Agricultural Development ANNEX 4: Proposed Major Irrigation Schemes ANNEX 5: Proposed Medium Irrigation.and Drainage INDIA EASTERN REGION FOODGRAIN REVIEW (WEST BENGAL) Table 1: STATE INCOHE In Constant Prices (1960 Price Levels) In Current Price Agriculture Other Total Agriculture Other Total Rupees Proportion Rupees Proportion Rupees Rupees Proportion Rupees Proportion Rupees (Crores) of Total (Crores) of Total (Crores) (Crores) of Total (Crores) of Total (Crores) 1960/61 380.16 34.3 726.77 65.7 1,106.93 380.16 34.3 726.77 65.7 1,106.93 1961/62 371.64 33.7 729.70 66.3 1,101.34 418.49 35.6 756.70 64.4 1,175.19 1962/63 345.51 30.2 796.80 69.8 1,142.31 413.52 33.2 831.59 66.8 1,24.511 1963/64 392.58 31.4 858.99 68.6 1,251.57 516.o 36.1 914.57 63.9 1,430.97 1964/65 427.11 32.1 904.41 67.9 1,331.52 578.71 37.3 971.36 62.7 1,550.07 1965/66 358.13 27.4 950.46 72.6 1,308.59 582.56 36.2 1,027.43 63.8 1,610.29 1966/67 357.75 27.2 959.28 72.8 1,317.03 704.22 39.5 1,080.11 60.5 1,784.33 1967/68 385.07 28.1 986.37 71.9 1,371.k4 912.53 44.7 1,129.83 55.3 2,02.36 1968/69 390.90 27.7 1,018.64 72.3 1,k09.54 888.63 43.1 1,172.9 56.9 2,061.53 1969/70 437.71 29.8 1,029.15 70.2 1,466.86 960.21 43.1 1,268.61 56.9 2,228.82 1970/71 45o.60 30.4 1,030.83 69.6 1,481.3 1,072.34 44.7 1,328.79 55.3 2,401.13 1971/72 483.92 30.9 1,082.38 69.1 1,566.30 1,203.92 46.0 1,A12.33 54.0 2,616.25 1972/73 417.49 26.6 1,152.57 73.4 1,570.06 1,106.59 42.1 1,522.69 57.9 2,629.28 1973/74 440.26 26.7 1,208.47 73.3 1,648.73 1,477.30 47.6 1,626.15 52.4 3,103.45 Annual Growth Rate 1.7 3.6 3.1 10.4 6.0 7.75 Source: Government of West Bengal. IND) [A ASTERN REGION FOODGRAIN REVIEW (WEST BENGAL) 7 Table 2: CONSUMER PRICE INDEX CALCUTTA CENTER, EXPENDITURE LEVEL OF RS 201 TO 350 PER MONTH (1960 100) Year Food All Combined 1960 100.0 100.0 1961 103.3 103.1 1962 .108.3 106.6 1963 114.1 114.2 1964 118.8 117.6 1965 129.6 125.3 1966 147.5 136.9 1967 169.5 151.0 1968 180.2 159.1 1969 182.4 162.5 1970 195.0 169.8 1971 197.8 174.0 1972 203.7 181.5 1973 225.4 198.0 1974 285.6 248.7 1975 300.3 258.4 Growth Rates p.a. 1960 to 1975 .7.4 6.3 1960 to 1965 5.0 4.6 1965 to 1970 7.8 6.0 1970 to 1975 9.6 9.3 Source: Bureau of Applied &onomics and Statistics. INDIA EASTERN RESION FOODGRAIV REVIEW (WEST BENGAL) Table 3: WHOLESALE PRICES: MAJOR AGRICULTURAL COMMODITIES, 1970/71 TO 1974/75 (Re per Quintal) lear Pad Rice Wheat Potato Fish Jute WPITI 0=100) 1971 79.70 138.43 n.a. 62.192/ 223.67 125.82 1972 85.46 150.65 n.a. 66.97 232.17 146.81 1973 105.92 186.26 120.25 89.43 276.33 142.46 1974 149.23 248.29 193.42 90.66 30.25 133.40 1975 134.821/ 227.77L 158.34 83.643/ 32k.09- 150.ho1 Annual Growth Rates 1971/75 () 16.1 15.0 - 9.0 10.1 2.7 1/ 10 months 2/ Year starting in April / 7 months I/ 9 months Source: Directorate of Agriculture, Marketing Branch, Government of West Bengal. INDIA EASTERN REGION FOODGRAIN REVIEW (WEST BENGAL) Table 4: WHOLESALE FISH PRICES, NOVEMBER 1974 AND 1975 (Rs per kg) Variety 1974 1975 Change Indian Major Carps 8.50 9.08 6.82 Lates Calcaripas 7.00 8.33 19.00 Hilsa 6.00 8.87 47.80 Peanous Monodon 17.00 14.00 -17.60 Macrobachiun 9.27 10.16 9.60 Rosenbergii Source: Department of Cooperation and Fisheries. INDIA Paze 1 of 2 EASTERN REGION FOODGRAIN REVIEW (WEST BENGAL) Table 5: MAJOR CROPS: ACREAGE, YIELD, PRODUCTION, 1964/65 TO 1974/75 (1) Rice Aus Aman Boro Total Rice Acreage Yield Production Acreage Yield Production Acreage Yield Production Acreage Yield Production '000 has KT97F '000 tons '000ha gJEi '000 tons '000 has KjTha '000 tons '000 has KgiE '000 tons 1964/65 611.5 985 602.4 4,036.8 1,271 5,131.0 22.5 1,204 27.1 4,670.8 1,233 5,760.5 1965/66 587.1 815 478.3 4,033.5 1,105 4,455.7 30.0 1,247 37.4 4,650.6 1,069 h,971. 1966/67 650.8 814 529.9 3,970.2 1,072 4,254.3 27.6 1,449 40.0 4,648.6 1,038 4,824.2 1967/68 737.7 819 604.0 3,921.8 1,146 4,493.6 54.7 2,020 110.5 4,714.2 1,105 5,208.1 1968/69 860.8 846 728.1 3,886.9 1,243 .4,829.9 90.8 2,444 221.9 4,838.5 1,195 5,779.9 1969/70 798.4 813 648.8 4,117.6 1,236 5,089.7 106.3 2,979 316.7 5,022.3 1,206 6,055.2 1970/71 799.2 1,139 910.0 3,969.9 1,183 4,694.7 186.5 2,871 535.4 4,955.6 1,239 6,140.1 1971/72 799.8 1,208 966.4 3,887.4 1,185 4,608.0 304.2 3,070 934.0 4,991.4 1,304 6,508.64 1972/73 824.8 965 795.7 3,981.7 1,052 4,190.7 262.9 2,773 728.9 5,069.4 1,127 5,715.3 1973/74 841.7 827 696.1 4,048.0 1,081 4,373.9 325.1 2,243 729.2 5,214.8 1,112 5,799.2 1974/75 972.0 899 874.2 4,107.1 1,172 4,812.8 340.4 2,516 856.4 5,419.5 1,207 6,543.4 Source: Department of Agriculture and Community Development. INDIA EASTERN REGION FOODGRAIN REVIEW Page 2 of 2 (WEST BENGAL) Table 5: MAJOR CROPS: ACREAGE, YIELD, PRODUCTION, 1964/65 TO 1974/75 (2) Wheat (3) Potato (4) Oilseeds (5) Pulses (6) Jute Acreage Yield Production Acreage Yield Production Acreage Yield Production Acreage Yield Production Acreage Yield Production '000 has Kg/ha '000 tons '000 has Kg/ha '000 tons '000 has Kg/ha '000 tons '000 has Kg/ha '000 tons '000 has Kg/ha '000 tons 1964/65 40.8 684 27.9 71.0 1,122, 796.5 155.8 315 49.1 787.0 515 405.3 456.6 7,984 3,645.9 1965/66 41.2 825 34.0 82.1 1,047 859.7 148.8 398 59.2 771.0 568 438.3 403.6 5,558 2,243.4 1966/67 55.4 821 45.5 75.8 847 642.0 156.9 416 65.2 787.0 534 420.6 423.4 6,791 2,875.4 1967/68 79.0 900 71.1 78.5 819 642.6 164.1 334 54.8 704.6 520 366.1 496.0 7,770 3,853.8 1968/69 128.0 2,095 268.1 70.9 1,209 857.5 170.3 475 80.9 747.4 599 447.9 268.7 8,709 2,340.1 1969/70 206.8 2,329 481.7 59.6 1,020 607.6 157.4 400 62.9 704.7 517 364.6 437.5 7,768 3,398.5 1970/71 360.2 2,410 868.1 65.1 1,428 929.7 168.0 352 59.1 669.5 564 377.3 407.1 6,592 2,683.6 1971/72 422.4 2,181 921.2 72.8 1,456 1,059.9 182.2 345 62.8 597.1 531 317.0 461.1 7,524 3,469.1 1972/73 368.2 1,869- 688.0 75.7 1,253 948.8 149.9 425 63.7 545.6 521 284.8 367.3 7,384 2,712.3 1973/74 330.1 1,905 628.8 80.5 1,199 965.3 197.3 341 67.2 659.7 530 349.6 418.5 8,777 3,673.0 1974/75 421.8 1,984 836.8 86.0 1,576 1,354.9 196.6 390 76.7 682.3 550 375.5 370.2 7,044 2,607.8 Source: Department of Agriculture and Community Development. INDIA EASTERN REGION FOODGRAIN REVIEW (West Bengal) Table 6: IRRIGATED AREA AND MAJOR CROPS: GROWTH RATES: AREA, YIELD AND PRODUCTION, 1964/65 TO 1974/75 AND 1968/69 TO 1974/75 (Percentage per annum) 1964/65 to 1968/69 1968/69 to 1974/75 1964/65 to 1974/75 Area Yield Production Area Yield Production Area Yield Production Rice Aus 9.9 -3.2 6.6 1.9 0 1.9 4.1 1.1 5.2 Aman -1.0 - .1 -1.2 .5 -1.9 -1.5 .1 - .5 -- .4 Boro 46.1 21.9 84.1 22.4 -1.8 19.4 30.2 7.2 31.8 All Rice .9 - .4 .5 1.6 - .8 .8 1.5 .6 2.1 Wheat -37.9 32.5 99.6 13.5 -2.9 10.0 2h.5 10.0 27.5 Potatoes - .5 - .5 -1.3 4.9 3.6 . 8.7 .6 4.4 5.4 Oil Seeds 2.8 6.8 10.1 2.9 -2.7 0 2.3 .2 2.3 Pulses -1.9 2.2 .3 -2.2 -1.1 -3.3 -2.5 0 -2.5 Jute -6.7 5.1 -3.3 2.1 -1.0 1.7 -1.1 .9 - .1 Wheat and Rice 1.3 .1 1.5 2.3 - .5 1.7 2.3 1.2 3.5 Irrigated Area 1964/65-1973/74 1968/69-1973/74 1964/65-1968/69 Government Canals 5.0 5.1 5.0 Other 3.6 8.4 -2.4 Total, 4.2 6.9 .5 Gross Area All Crops 1.4 1.5 .4 Source: Mission estimates. INDIA EASTEHN REGION FOODOGRAIN REVIEW (West Bengal) Table 7: FISH PRODUCTION IN WEST BENGAL (Tons) Year Inland Fish Marine Fish Total 1965 127,116 6,122 133,238 1966 127,116 4,898 132,014 1967 150,000 9,476 159,476 1968 212,000 9,400 221,400 1969 233,000 7,000 240,000 1970 228,000 8,000 236,000 1971 238,000 8,000 246,000 1972 239,000 9,000 248,000 1973 240,000 10,000 250,000 1974 245,000 12,000 257,000 Annual Growth Rates (%) 7.9 6.3 7.8 Source: Department of Cooperation and Fisheries. INDIA EASTERN REGION FOODGRAIN REVIEW (West Bengal) Table 8: CONSUMPTION OF N, P AND K (1962/63 TO 1974/75) 1 (Tons) Year N P K Total 1962-63 10,502 7,468 3,849 21,819 1963-64 14,964 8,177 2,763 25,904 1964-65 20,149 9,000 3,152 32,301 1965-66 27,111 11,093 3,290 41,494 1966-67 29,000 9,000 5,000 43,000 1967-68 29,454 7,824 7,000 44,278 1968-69 31,814 14,193 7,500 53,507 1969-70 33,8kk 20,891 10,732 55,467 1970-71 46,675 12,392 13,759 72,826 1971-72 55,840 17,546 21,763 95,149 1972-73 / 55,419 16,412 23,163 94,994 1973-74 54,003 18,412 26,893 99,308 1974-75 .84,000 21,600 21,300 126,900 Annual Growth Rate 12.27 8.67 21.06 5.74 1/ Data do not include the quantity utilized for plantation crops. 2/ From 1972, consumption years are calculated from February 1. Source: Department of Agriculture and Community Development. INDIA EASTERN REGION FOODGRAIN REVIEW., (WEST BENGAL) - Table 9: SIZE DISTRIBUTION OF LAND HOLDINGS Ho21 212/Arai 1/ 2/ 1/ 2/ No. of Owned Holdings. -% 2of Holdings In Area Owned %of Area in Arca Leased out %-Area Owned No.- Parcels Average Area Size Class Acres 000 ' Size Class 000 Acres Size Class 000 Acres Which is Leased Per Holding Per Parcel Acres Up to - 0.49 2;133 43.41 186 1.63 4 2.15 2.21 0.12 0.50 - 0.99 380 7.73 282. 2.48 16 5.67 3.86 0.18 1.00 - 2.49 890 18.11 1,528 13.43 111 7.26 6.15 0.26 2.50 - 4.99 820 16.81 2,955 25.97 288 9.75 8.33 0.42 5.00 - 7.49 346 7.04 2,092 18.39 78 3.73 9.27 0.63 7.50 - 9.99 136 2.77 1,186 10.42 58 4.89 11.57 0.70 10.00 - 12.49 83 1.69 908 7.98 26 2.86 11.05 0.95 12.50 - 14.99 45 0.92 618 '5.43 31 5.02 13.47 0.96 15.00 - 19.99 36 0.73 628 5.52 85 13.54 14.02 1.16 20.00 - 24.99 27 0.55 611 5.37 63 10,31 18.96 0.99 25.00 - 29.99 8 0.16 205 1.80 31 15.12 13.96 1.65 30.00 - 49.99 4 0.08 150 1.32 15 10:00 22.52 1.63 50.00 and Above - 0.00 29 0.26 15 51.72 21.76 2.92 TOTAL 4,914 100.00 11,378 100.00 821 7.22 7.78 0.57 Average Average Average 1/ Calculated 2/ Source: The national sample survey- Number 14 tables with notes on some aspects of land holdings in rural areas; September 1961-July 1962 - Goverument of India 1968. INDIA EASTERN REGION FOODqRAIN REVIEW (est Bengal) Table 10: TOTAL CROPPED AND IRRIGATED AREA, 1960/61 TO 1974/75 Cropped Area Irrigated Area Government ODher Year Geographic Harvested Canals Sources Total - - - - - - - - - - - - - ('000 has) - - - - - - - - - - - - 1964/65 5,568.7 6,653.1 545.4 932.9 1,478.3 1965/66 5,525.2 6,566.2 580.9 900.3 1,481.2 1966/67 5,500.6 6,607.2 614.0 869.7 1,483.7 1967/68 5,541.6 6,686.1 629.3 859.5 1,488.8 1968/69 (Geographic 6,715.7 668.2 846.1 1,514.31./ area has 1969/70 not expanded 7,108.5 708.0 838.7 1,546.71/ 1970/71 much) 7,170.0 762.5 856.9 1,619.4- 1971/72 7,270.8 763.2?/ 952.011 .1,720.22/ 1972/73 7,092.2 764.0 1,047.0 1,811.01/ 1973/74 7,462.4 882.8 1,234.72/ 2,117.52. 1974/75 914.2 1,269.92/ 2,184.12 1/ Provisional. 2/ Estimated by interpolation. 7 Potential. Source: Department of Agriculture and Community Development. ANNEX I Page 1 ASSESSMENT OF REQUIREMENT AND MANAGEMENT OF INPUTS - FERTILIZER, SEEDS, PESTICIDES AND CREDIT 1. The,jurisdiction of each VLW is divided into 8 units. The VLW visits each unit on fixed day. During his visit, he communicates ideas about improved practices and also in making crop production plan by each farmer. 2. The VLW maintains a diary where particulars about area under different crops, availability of irrigation water, number of farming families, economic status of farmers and other relevant information is recorded. 3. During discussions with the farmers, the VLW gets a clear idea about crop production -programme of all farmers within his jurisdiction sufficiently ahead of the cropping season. On the basis of these particulars, the VLW assesses total requirements for seeds, fertilizer, credits, pesticides and other inputs. Each VLW submits this assessed requirement to the A.E.O. 4. The A.E.O. examines and verifies the assessment made by the VLWs by contact with a number of contact farmers. The A.E.O. then makes an assessment of total requirement of all inputs for the entire Block. The A.E.O. then submits the requirement of the Block to the District Level Officer. 5. The District Level Officer (P.A.0. or D.A.O.) makes contact with district level offices of Irrigation, Electricity Board and other Departments Specialists and Research Officers in making final assessment of requirement of inputs for the, entire district.. 6. .The requirement of inputs for the entire district is thus prepared from the ground level and finalized after examination at different levels. 7. At the State Level, meetings are held where officers of the Depart- ments of Agriculture, Cooperation and Irrigation and Electricity Board part- icipate. Availability of irrigation water from canals of the river valley projects is determined in such meetings. 8. State Level Conference is held where officers at the headquarters and officers at the District and Range Level discuss about requirement of all inputs. On the basis of such discussions, the total requirement of inputs for the State is finalized. 9. In the Departmental Conference as mentioned above, availability of seeds, fertilizers and pesticides with the farmers and in the Govt. channels such as Govt. farms, cooperatives, Agro-Industries Corporation are assessed. ANNEX I Page 2 10. Targets of production of important crops like rice, jute, pulses, oilseeds, wheat, potato are also fixed in such State Level Conference. Usually higher target than what was assessed by the respective districts are fixed so that efforts are directed at all level for achieving larger production. 11. On the basis of targets, gross requirement of all inputs is calcu- lated. The net short-fall of inputs is estimated after considering gross requirement and total availability of inputs from local resources. 12. Regarding fertilizer, the entire requirement is passed on to the Govt. of India who after assessing the National Agricultural Programme and the availability of fertilizer from indigenous and external sources fix up the statewise quota and allot the fertilizer to the State Govt. direct. The State receives that alloted amount through the Food Corporation of India (imported fertilizer) and Fertilizer Corporation of India, Hindustan Steel Limited and other indigenous producers under the instructions of the Central Govt. This fertilizer is channelized mainly through cooperatives and Agro- Service Centres to reach cultivators at the lowest level. The A.E.O.s are informed of the supply position to their Blocks and they are the ultimate authority to arrange proper application of fertilizers by advising the cultivators and tagging them to the Sale Depots. 13. Regarding seeds, the State Govt. sits with the National Seed Corporation and Terai Development Corporation to arrange for the supply of the short-fall assessed at the State Level Conference already mentioned. These quality seeds are supplied to the farmers again through the coopera- tives and Agro-Service Centres as in the case of fertilizer. The A.E.O. is to supervise the final distribution of the same to the cultivators. 14. So far pesticides is concerned, the State Govt. has not yet been able to have controlled distribution channel as in the case of fertilizer and seeds. It is still handled mainly by the private dealers though cooperatives, and Agro-Service Centres are purchasing stocks and supplying the same at the village level. The Govt. proposes to manage pesticide dis- tribution also soon. 15. Since the credit available from the institutional sources including Banks and Cooperatives are very little compared to the needs of the cultiva- tors, the Govt. tries to muster up all the resources available with every institution and the Govt. and percolate it to the cultivators. The channel is mainly cooperative and Commercial Banks. Here also it is the A.E.O. who has to take the leading part to assure supply of credit to the cultiva- tors by keeping close contacts with the Cooperatives and the Banks functioning at the Block level. ANNEX 1 Page 3 16. In short, the entire assessment of the requirement,and resources and the management of the inputs are done at the Block level under the super- vision of the A.E.O. on the basis of the informations supplied to him by the VLWs and his personal field level experiences under the guidance of the State Level Officers of various departments including those of Co-operation, Irrig- ation, Agri-Engineering, etc. Source: Department of Agriculture and Community Development ANNEX 2 Page 1 COOPERATIVE CREDIT Secretary Department of Cooperation Government of West Bengal Calcutta, 13/9/75 1/ My dear We in Cooperation Department feel very much encouraged that the Commissioners and District Magistrates have made it their important concern to build up the cooperative movement within their own jurisdictions. We have occasion to seek their support earlier (Cooperation Department letters No. 18(15)- Coop. dated 4.1.74 and 2928(14)-Coop. dated 9.8.74 and no. 9401(387) dated 22.8.74 from Commissioner for Agriculture & Community Development. It is our firm belief that cooperatives, as effective instruments of socio-econo- mic change, can render three fold service to the submerged sections of the community by 1978, particularly small and marginal farmers and consumers: this has been given top priority in the Prime Minister's 20-point Economic Programme. 2. Short term credit An Annexure 'A' is a statement of perspective agricultural credit programme for the period from 1974-75 to 1977-78. It sets out the actuals for 1973-74 and 1974-75 and the projections for the 3 years 1975-78. It should be pos- sible for every district to reach the three-fold increase if the three pre- requisites (90% recovery, membership and deposit,expansion) can be fulfilled. The recovery of cooperative dues will start from November '75 onwards and now is the time to draw up the list of old defaulters and get distraint.orders ready for implementation against them soon after harvest. A detailed action programme on this has been already sent to Assistant Registrars of Coopera- tive Societies, Commissioners and District Magistrats are requested to check up with the Assistant Registrars of Cooperative Societies and Managers of Central Cooperative Banks progress in this regard. 3. Expansion of membership and deposits. Annexure 'B' sets out the perspective programme for expansion of membership to increase the Statewide coverage from the existing 30% to the desired 60%. Annexure 'C' sets out the perspective deposit mobilisation programme from the existing Rs 23 crores to Rs 35 crores. These cannot be achieved unless the confidence of the farmers and depositors in the cooperative banks in- creases considerably; efficient management and adequate publicity and proof of good service are necessary for this purpose. In 1977-78, it is expected that about Rs 35 crores out of the programmed lending of Rs 60 crores', will come from Reserve Bank, which however insists upon the three major .criteria - excellent recovery, expanded membership and an excellent crop production plan for them and excellent deposit mobilisation. Could you kindly review this continuously? 1/ Letter from Shri P.V. Shenoi ANNEX 2 Page 2 4. Long-term credit for minor irrigation. This is a sphere where our State has remained very backward. While the dis- bursement in an average district is Rs 28.5 lakhs per annum in Haryana, it is only about Rs 13 lakhs in our State; the average need could be an annual Rs 200 lakhs per district. (i.e. 2500 shallow tubewells per district per annum irrigating 25,000 acres). A perspective plan based on present capa- bilities is attached as Appendix 4. The rules regarding security have been modified to make even 2-acre farmers eligible for a shallow tubewell- loan, though we want water to be used for 10 acres from that tubewell. 5. The pre-requisites are (a) excellent recovery of dues, (b) large scale publicity to promote flow of large number of applications, preferably on area basis, (c) quick certification from ground water availability angle, (d) quick supply of .electricity, (e) quick clearance of title to the land offered for security at the Registration Office, (f) quick clearance of mutation -cases, (g) expeditious disbursement of loans, (h) efficient veri- fication 'of the use-of loan funds. Could you kindly review the progress of these steps for promoting minor irrigation in your jurisdiction? 6. Cooperative Consumer movement Appendix 5.gives a picture of the performance of the wholesale consumer societies in 1973-74 and 1974-75. While quite a few have been able to improve their performance and make profits, the movement has not reached a take-off point. Considering the prices of goods, at least 40% cumulative increase in sales each year can only b .e considered satisfactory. The pre- requisites for.success are - (a) efficient management, leading to progres- sive-reduction in cost .per rupee of sale, (b) efficient purchase and inven- tory policy to maximise turnover of sales and to minimise carry-over of stocks, (c). salesmanship for increasing sales including an efficient sales incentive plan, (d) constant vigil about requirement of public and response thereto, .(e) a sound balance between public service (i.e., sale of commodi- ties of mass consumption but with little margin) and profitability (i.e. sale of profitable items), (f) avoidance of factors leading to losses (e.g. strict and timely verification of stocks,and fixation of responsibil- ity for shortages, prohibition of credit sales etc.). We would be grateful if you could kindly review the above factors from time to time. Do let me know the result of your reviews and also any action that may be needed ..... the Department to achieve the desired results. Yours sincerely, (P. V. Shenoi) To Shri _ ANNEX 2 Page 3 No. 885(18)/1(8)-Coop Copy for favour of information to: 1) Chief Secretary to the Government of West Bengal. 2) Commissioner for Agriculture & Community Development. 3) Employment Commissioner, West Bengal. 4) Special Financial Commissioner, Govt. of West Bengal. 5) Secretary to Chief Minister, West Bengal. 6) Secretary, State Planning Board. 7) Joint Secretary, Rural Development Department, Krishi Bhavan, New Delhi. (Sri M.K. Mukherjee) 8) Addl. Secretary, Department of Cooperation & Civil Supplies, Govt. of India, New Delhi. Calcutta Secretary to the The 13 September 1975. Government of West Bengal. Ss/-1391975 ANNEX 2 Appendix 1 Perspective Lending Programme for the period from 1974-75 to 1977-78 Name of Coop. Credit Need Credit ser- Credit programme for the year Bank/Units assessed by vices rend- 1974-75 1975-76 1967-77 1977-78 Study Team -ered in Rs. in 1973-74 crores Rs. in lakhs ------------Rs in lakhs----------- 1. Darjeeling 0.64 16.36 42.00 50.00 60.00 70.00 2. Jalpaiguri 3.64 26.89 65.00 120.00 160.00 200.00. 3. Malda 4.34 34.05 60.00 120.00 160.00 200.00 4. Hooghly 3.88 72.16 100.00 200.00 275.00 350.00 5. Balurghat 70.15 ) 5.02 -) 180.00 240.00- 300.00 425.00 6. Baigumj . 59.67 ) 7. Nadia 3.64 162.00 175.000 275.00 350.00 425.00 8. Murshidabad .6.39 66.82 120.00 200.00 275.00 350.00 9. Howrah 1.45 24.96 40.00 90.00 120.00 150.00 10. 24-Pargs(N) ) 49.00 100.00 180.00 250.00 325.00 10.40 ) 11. 24-Pargs(S) ) 42.00 100.00 180.00 250.00 350.00 12. Cooch Behar 3.45 40.78 60.00 120.00 160.00 2Q0.00 13. Burdwan 8.55. 147.35 225.00 375.00 550.00 800.00 14. Birbhum 5.58 -62.80 150.00 230.00 320.00 380.00 15. Bankura 5.71 47.78 80.00 160.00 220.00 300.00 16. Purulia 4.08 18.99 50.00 90.00 120.00 180.00 17. Midnapur K.B.B. ) 212.62 350.00 450.00 525.00 600.00 18. Tamluk- Ghatal ) 11.74 180.41 250.00 350.00 400.00 450.00 19. Mugberia ) 36.34 50.00 90.00 100.00 120.00 20. Balaegeria) 16.16 25.00 60.00 80.00 100.00 Total 78.51 1387.29 2222.00 3580.00 4675.00 5975.00 ANNEX 2 Appendix 2 Perspective Membership - Expansion - Programme for the period from 1974-75 to 1977-78 (Figures in lakhs) Name of Total No. Number Expect- Expect- Expect- Expect- Bank/Units of Agril. of mem- ed mem- ed mem- ed mem- ed mem- familiess bers as bership bership bership bership in the on on on on on area 30-6-74 30-6-75 30-6-76 30-6-77 30-6-78 Darjeeling .23 .15 .18 .19 .20 .21 Jalpaiguri 1.50 .31 .43 .50 .80 1.05 Malda 2.30 .51 .59 1.05 1.40 1.70 Balurghat 2.25 .70 .90 1.20 1.40 1.65 Raiganj (Dist. West Dinajpur) Nadia 2.69 .75 .90 1.20 1.50 1.75 Murshidabad 4.20 .49 .60 1.25 1.90 2.30 Howrah 2.41 .26 .35 1.00 1.40 1.70 Hooghly 3.40 .45 .48 .75 1.00 1.30 Bankura 3.00 .54 .68 .92 1.20 1.50 Purulia 2.50 .55 .70 .90 2.30 2.40 Midnapur KBB 4.45 2.25 2.50 2.65 2.90 3.10 Tamluk Ghatal 2.24 .95 1.05 1.20 1.35 1.50 Mugberia ) 1.87 .31 .35 .40 .45 .52 Balageria ) .19 .23 .28 .35 .45 Birbhum 2.85 .85 1.05 1.35 1.55 1.90 Burdwan ) 3.61 1.14 1.40 1.75 2.00 2.25 Kalna Katwa ) 24-Parganas(N) 3.66 .61 .80 1.20 1.60 2.00 24-Parganas(s) 4.34 .98 1.86 1.35 1.60 2.20 Cooch Behar 1.80 .68 .70 .95 1.00 1.30 Total 49.30 12.67 15.05 20.99 24.80 29.78 Percentage of coverage 26% 30% 42% 50% 60% ANNEX 2 Appendix 3 Perspective Deposit Mobilisation Programme for the period from 1974-75 to 1977-78 (Bank - wise) Name of the Bank 1974-75 1975-76 1976-77 1977-78 Unit ---------------Rs. in lakhs---------- 1. 24-Pargs. (North) 70 85 100 130 2. 24-Pargs., (South) 110 130 150 185 3. Howrah 65 80 100 125 4. Nadia 100 125 150 185 5. Murshidabad 50 65 90 110 6. Hooghly 125 160 200 250 7. Burdwan 370 465 550 665 8. Birbhum 55 70 90 115 9. Bankura 105 130 150 185 10. Purulia 35 50 65 85 11. Midnapur K.B.B. 275 360 430 540 12.,Tamluk-Ghatal 110 150 190 240 13.: Mugberia 100 125 150 185 14. Balageria. 15 25 30 35 15. Malda 45 60 75 .90 16. Balurghat ) 60 80 100 125 17. Raiganj ) 35 50 60 75 18. Jalpaiguri 25 40 50 65 19. Cooch Behar. 25 40 50 65 20. Darjeeling 8 10 12 15 1783 2300 2802 3470 Rs. in crores Rs. 18.00 23.00 28.00 35.00 kNNEX 2 .ppendix 4 Tentative Yearwise Target of Investment of Long Term Loan by the Land Development Banks during the Fifth Five Year Plan Period in West Bengal 1. Name of the Primary 1974-75 1975-76 1976-77 1977-78 1978-79 Total o. Land Dev.Bank/Branch -------------------R in lakhs------------------- 1. North 24-Parganas 20 25 25 30 40 140 2. 24-Parganas District 30 15 15 20 20 100 3. Burdwan 22 20 40 45 50 177 4. Katwa-Kalna 12 15 20 25 33 105 5. Birbhum 20 20 25 30 35 130 6. Rampurhat 5 10 15 20 25 75 7. Howrah 15 20 22 25 35 117 8. Hooghly 25 30 35 40 50 180 9. Arambagh 10 15 30 35 45 135 0. Bankura 35 45 55 65 80 280 1. Nadia 60 85 90 115 150 500 2. Midnapore 45 50 55 70, 90 310 3. Jhargram 15 20 20 25 35 115 4. Contai 20 25 30 35 45 155 5. Tamluk 10 12 15 20 30 87 6. Ghatal 5 8 12 15 20 60 7. Balurghat 10 15 20 25 35 105 8. Raiganj 15 30 35 45 55 180 9. Jalpaiguri 20 25 27 32 40 144 0. Alipurdual 15 15 20 25 25 100 1. Cooch behar 15 20 25 30 40 130 2. Malda 20 25 30 35 45 155 3. Derjeeling Branch 18 17 20 20 25 100 4. Purulia Branch 18 20 22 25 35 120 5. Murshidabad 15 30 55 70 80 250 6. Kandi 5 5 10 12 18 50 Total 500 617 768 934 1181 4000 ANNEX 2 Appendix 5 Statement shouing the picture of Wholeiale Consumaers' Co-operative 'ocieties of West Bengal Working capital Profit or Loss Name of the Wholesalet M a m b e r a h I Sale_ in (1akhes in lakha (in lakhs) 73-T4a 7br N M 4f5 73-74 74-75 11-71 rh-7 - 74.-75 Calcutta Wholesale 1699', 1699 157.85 237.02 95.20 94.95 (-)3.01 (-)1.h7 Siliguri Wholesale 6C 68 9.80 20.50 8.70 8.70 (-)0.64 (-)0.10 West Dinajpur Wholesale 421 427 - 40.00 0.75 1.97 - (+)0.81 Serampore 252 253 100.79 12o.48 5.91 7.54 (+)0.16 (+)o*58 Ptraia 1212 2224 18.05 30.10 4.22 8.71 (+)0.24 (+)0.25 North Suburban 5 52 - 267*73 Not yet 11.50 1.50 (-)I.0 Not yet * available available National Wholesale Cons. 36 36 129.60 169.50 6.26 7.50 (-)0.15 ()0.09 Coop. Socy. Ltd. Krishnanagar Wholesale 133 138 62.13 75.50 7.55 8.09 .(+)1.32 (+)1.50 Jalpaiguri 3071 3027 13978 27,82 9.64 10.35 (-)0.25 (+)0.10 Jadavpur - 217 119 28.4.5 43.83 4.22 5.82 (+)0.ho (+)1.99 Hovrab 76 81 75.U Not yet 23.66 24.66 (-)0.53 Not yet available . available Dirgapur 257 257 16.00 26.03 6.3 6.42 (+)0.13 (+)0.40 Coochbehar 3636 3766 17.76 35.07 4.90 4*32. (+)0.07 (+)0.19 Nabadwip 20 62.38 55.42 4.96 4.77 (+)0.04 (+)0.16 Basirhat "41.9 449 33.58 47.02 5.72 6.33. (+)0.06 (+)0.46 Birbhum t 1115 Not yet 27.82 Not yet 4.0 5.20 (+)0.56 Not yet available available available Barrackpur 39 39 10.33 268.98 10.95 13.51 (+)0.13 (+)0.25 Barasat 150 150 76.01 74.00 3.35 3.43 (+)0.05 (+)0.42 K. P.,K. 147 Not yet 368.00 Not yet Not yet Not yet (+)0.02 Not yet available available available available available Behala" 158 162 55.35 97.16 18.61 20.22 (+)0.17 (+)0.23 ashidabad 36 h6 98.08 155.40 8.96 10.99 (+)0.04 (+)0.46 Kbaragpur 57 62 51.76 76.05 16.30 :14.89 (+)0.96 (+)1.65 Cbuchara 556 172.01 213.25 11.90 15.78 (+)0.38 (+)0.1 Burdwan 183 317 83.07 108.49 16.81 17.87 (+)0.73 (+)1.15 Malda 1673 1678 29.17 Not yet 3.51 Not yet (+)0.79 Not yet available available available Bankura 29 29 173.26 220.18 28.81 , 33.21 (+)0.16 (+)0.79 *The Societies are however understood to have earned profit during the year. ANNEX 3 Page 1 INSTITUTIONAL FINANCE IN AGRICULTURAL DEVELOPMENT 1/ The Eastern and North-Eastern Region I. Role of Co-operative Credit System An attempt is made in this article to review the agricultural credit situation in the Eastern and North-Eastern region. The basic' features of this entire region pervading and influencing all economic activities in it, may be referred to at the outset. Firstly, the pressure of population on land in this region was high. The size of holding per cultivator in it was only about half of that in the rest of the country. Secondly, agricultural credit dispensed by all the institutional credit agencies in this region and outstanding at the end of June 1973 per unit of cropped area was less than half of that for the country as a whole. Thirdly, the share of the principal institutional agencies dispensing agricultural credit in this region, namely, the primary agricultural credit societies, the land development banks and the commercial banks, was 52 per cent, 35 per cent and 13 per cent, respectively, of their combined total outstanding agricultural loans at the end of June 1973. Fourthly, the various indicators of the performance of these agencies point to a stag- nation or a very slow rate of growth of agricultural credit in this region as compared to that in the rest of the country. Finally, the constraints were mainly structural or organizational and not financial. The new rural banks which the government has decided to establish espe- cially for meeting the credit requirements of small and marginal farmers, agricultural labourers and rural artisans can learn some lessons from the experience of the existing institutional agricultural credit agencies so as not to succumb to the same weaknesses which have plagued,these agencies. I shall begin by referring to the agricultural economy of this region and then discuss the role of the three institutional agencies. Basic Features: West Bengal, Bihar, Orissa and Andaman & Nicobar Islands comprised the eastern region of the country; and Assam, Meghalaya, Nagaland, Manipur, Tripura, Arunachal and Mizoram, the north-eastern region. For the sake of convenience I shall refer to both these regions as the Eastern Region. This region occupied about 18 per cent of the country's geographical area but it supported 26 per cent of its total population and nearly 28 percent of its rural population. The net area sown per cultivator in this region was only 1/ Paper prepared by A.N. Choksi, Reserve Bank of India, Calcutta. ANNEX 3 Page 2 I shall begin by referring to the agricultural economy of this region and then discuss the role of the three institutional agencies. Basic Features: West Bengal, Bihar, Orissa and Andaman & Nicobar Islands comprised the eastern region of the country; and Assam, Meghalaya, Nagaland, Manipur, Tripura, Arunachal and Mizoram, the north-eastern region. For the sake of convenience I shall,refer to both these regions as the Eastern Region. This region occupied about 18 per cent of-the country's geographical area but it supported 26 per cent of its total population and nearly 28 percent of its rural population. The net area sown per cultivator in this region was only 0.9 hectare as against 1.9 hectares in the rest of the country. One-third of the country's Scheduled Castes and Scheduled Tribes lived in this region. Agriculturally, this region was well-endowed; the annual average rainfall in it was 80 inches as compared to 42 inches in the rest of the country. Just over 18 per cent of the irrigated area in the country was in this region. Even so, most of the States of this region ranked at the. bottom among the twenty States of the country arranged in the.descending order of the income per capita in 1967-8. Orissa ranked the lowest with a per capita income.of Rs 325, Nagaland was nineteenth, Bihar eighteenth, Tripura seventeenth and Manipur sixteenth; West Bengal ranked twelfth, thanks to the Calcutta metropolitan area's industrial and commercial activity,and Assam ninth, pushed up to this rank mainly by about '750 tea gardens.producing tea worth about Rs 180 crores every year. This panoramic view of the region's agricultural economy conceals many variations but leaves .no .doubt about its abysmal rural poverty and a large volume.of under and unemployment in it, creating socio-economic tensions. The question is: how and' to what extent did the institutional agencies contribute .to the agricultural development of this region? Principal Credit Agencies: Before referring to the operations of these agencies, let me give you a brief outline of their organizational set-up. The co-operatives ope- rated two types of credit systems, each through a different set of institu- tions. One set of institutions provided short and medium-term agricultural credit mainly for working capital requirements and acquisition or replacement of certain types of assets. The other set of institutions purveyed long-term agricultural credit for developmental purposes such as construction of wells, purchase of agricultural machinery, laying of plantations and orchards, etc. The commercial banks combined the function of providing short, medium and long-term credit. The short-term co-operative credit system was federal in character with the primary agricultural credit society at the base, the central co- operative bank generally at the district level and the State co-operative bank at the apex of the structure at the State level. The long-term credit ANNEX 3 Page 3 system as sometimes two-tiered and sometimes unitary in character. The two- tiered system comprised the primary land development bank at the base covering several development bank at the State level. The unitary system comprised a single central land development bank at the State level with branches at the sub-divisional or lower levels. Assam, Orissa and West Bengal had a federal structure whereas Bihar and Tripura had a unitary structure. In Andaman & Nicobar, Manipur, Meghalaya and Nagaland, there was only a single system of co-operative credit, purveying both short-term and long-term credit. In Arunachal and Mizoram there were no co-operative financing banks. I shall confine my observations to the operations and the perform- ance of only the field-level units of each agency, leaving out the super- structure. In view of the crucial role and importance of the primary societies, I shall refer to them first and dwell a little longer on their performance than on that of other agencies. Coverage of Primary Agricultural Credit Societies The main indicators of their performance are: the amount of loans issued by them per hectare of gross cropped area and the proportion of cul- tivators in an area financed by them. Their total number and loan disburse- ments have also some significance as they give an idea of the scope and size of their operations. Their ability to pay their way determines their via- bility; and their recovery performance reflects the state of their health. I shall refer to these aspects to the extent necessary for an appreciation of their role in the agricultural development of this region. In 1972-3, 27,787 active primary societies provided agricultural credit in about four-fifths of the villages of this region in which lived about two-thirds of its-rural population. Thus, about one-third of the rural population of this region was not effectively served by any primary society; in the rest of the country the proportion of such population was 17 per cent. Only one-tenth of the cultivators of the region borrowed from them during the year. In the rest of the country, one in every five cul- tivators borrowed from these societies. Other agencies financed an insig- nificant proportion of cultivators. Institutional agencies, therefore, catered to the needs of a very small segment of the rural population, particularly in this region. The bulk of the small and subsistence farmers, agricultural labourers and rural artisans were outside their purview. Loan issued: We may now take a look at the loan business of these societies. The amount of loans issued by them in the eastern region increased from Rs 33 crores in 1966-7 to Rs 39 crores in 1972-3, a rise of only 21 per cent in six years. In the rest of the country, it increased from Rs 332 crores to ,Rs 733 crores or by 121 per cent, over the same period. Consequently, the share of the Eastern Region in the loans issued by these societies in the whole country declined from 9 per cent to 5 per cent over this period. Amidst this stagnation in the eastern region at least one State, namely, West Bengal had forged ahead. The loans issued by_ so_eties.in this State increased ANNEX 3 Page 4 from Rs 5 crores to an est[mated R 21 crores within three yvnrs ending 1974-5, showing an increase of over 400 per cent. The case of West Bengal, therefore, deserves special attention. Before examining it, however, we may take a quick look at what was happening in the other States of this region. In Assam the functioning of the primary societies had practically come to a standstill over the past several years. In Bihar, the loans issued by them increased only marginally. In Orissa, there was some in- crease. In other States they fluctuated without any sustained increase. As the cropped area varied from State to State a comparison may be made between States in terms of loans issued per unit of such area. On this basis, they amounted to Rs 13 per hectare of gross cropped area in this region and Rs 55 per hectare in the rest of the country in 1972-3. In Assam, they amounted to Rs 4 per hectare; in Bihar, Rs 12; in Orissa, Rs 19; in Manipur, Rs 15; in Tripura Rs 21; and in Nagaland only Re. 1. In West Bengal, however, they increased from Rs 7 per hectare in 1971-2 to an estimated Rs 30 per hectare in 1974-5. Reasons for Poor Performance: The small volume of credit provided by primary societies in the eastern region as compared to that in the rest of the country was mainly due to their structural weaknesses and poor recovery performance. Moreover, the cropping pattern in the region, heavily weighted in favour of paddy, was also partly responsible for it. For instance, the level of fertilizer appli- cation in this region was only 9.3 kgs of plant nutrients per hectare as compared to 16.5 kgs in the country as a whole, in 1972-3. The role of agri- cultural extension in diversifying the cropping pattern and in promoting the use of fertilizers, therefore, cannot be over-estimated in future plans for improving the performance of these societies. Structural Weaknesses: The main structural weakness of the societies in the region which impeded the flow of credit to the cultivators was their small and uneconomic size. Most of the societies could not afford and did not have, a trained, adequately paid, full-time secretary. The average amont of loans issued per active society in this region was Rs 19,491 in 1972-3 as 'against Rs 76,918 in the rest of the country. In order to be economically self- supporting a loan business of about Rs 2 lakhs is essential. The proportion of societies having paid secretaries in this region was 29.4.per cent and that of those making a profit, 48.1 per cent. In the rest of the country 72 per cent of the societies had paid secretaries and 65 percent worked at a profit. Weak and anemic societies do not attract new membership. They also lack the initiative and enterprise required to canvass for larger membership. Consequently, their loan operations tend to be restricted. ANNEX 3 Page 5 Recovery: Moreover, a large number of societies were disqualified from borrowing on account of their failure to repay their dues. In the eastern region, 18.6 per cent of the societies were dormant, that is, they did not issue any loans; in the rest of the country 10.6 per cent were dormant. Dormancy was mainly due to large overdues in both cases. The percentage of the rural population deprived of the services of a primary society on account of dormancy alone was 9.1 in the eastern region. The already small base of membership of primary societies, therefore, suffered a further shrinkage on account of theeir poor recovery performance. In Assam only 10.5 per cent of the demand was recovered in 1972-3. In Bihar and Orissa, recovery was 38 per cent and 32 per cent, respectively. In Manipur, Meghalaya, Nagaland and Tripura recovery ranged between 17 per cent and 33 per cent. In the eastern region as a whole the percentage of recovery to demand at the end of June 1973 was 38 as against 66 in the rest of the country. In West Bengal, however, a dramatic improvement occurred in the recovery of their dues by the primary agricultural credit societies, the percentage of recovery to demand rising.steadily from 22 to 70 over the three-year period ending 1974-5. This achievement was all the more striking as it was accompanied by an increasingly larger turnover of loans. The recovery of long-term loans in West Bengal also showed a paral- lel, impressive improvement, its percentage rising from 40 to 75. Reasons for default: While searching for the reasons which led to chronic defaults in the eastern region generally, along-side of those for a marked improvement in recovery in West Bengal, some basic points emerge. The fact that most of the societies in this region were small, uneconomic and poorly managed did not help in the matter of recovery. But the surprising thing is that in West Bengal too the societies were weak. In 1972-3, the average amount of loans issued was only Rs 20,982 per society in it, the proportion of societies having paid secretaries was only 21 per cent and the proportion of societies working at a profit was 56 per cent. The primary societies in West Bengal were,'therefore, far from the accepted norms and standards of viability. Further, the strength of the staff of central co-operative banks and of the State Government assisting the societies in recovery was no greater and was indeed smaller in West Bengal than that in some of the other States in the eastern region. The principal reason for the commendable improvement in the recovery performance of co-operatives in West Bengal was, therefore, an appreciation of the importance of inculcating discipline in the matter of lending and recovery of loans particularly on the part of the lending institutions and the State government. ANNEX 3 Page 6 Observations: To sum up, the,poor performance of primary societies in the eastern region was due to (i) their small, uneconomic size and poor manage- ment, (ii) lack of adequate extension effort to propagate the use of fertil- izers, etc. and (iii) an inadequate appreciation of the need for discipline in the matter of lending and recovery of loans. An improvement in the recovery performance is possible within a short period, as the experience of West Bengal has shown. This improvement alone enabled it to quadruple the flow of credit through primary societies in a matter of three years. The powerful lever of improved recovery performance can, therefore, be operated by the other States in this region to lift the societies out-of stagnation. -In the second part of this article, I shall refer to the role of the land development banks and the commercial banks. The combined impact of all the three agencies on the rural and the agricultural population is summed up towards the end. A few observations on the emerging 'situation and the ways and means of coping with it are offered in this context. II. Role of Primary Land Development Banks and Commercial Banks: If short-term agricultural credit is the stimulator of agricultural production, facilitating the use of modern inputs and improved techniques, because it raises the level of productivity of land itself, on a long-term sustained basis. What the arrangements for providing long-term agricultural credit were and how effectively they were working, therefore, demand atten- tion. Provision of long-term credit in this entire region was mainly the responsibility of 187 primary land development banks or branches of. central land -development baks at the end of June 1973. Each of these units had to serve, on an average, as many as 93,840 cultivators. However, only 36,470 cultivators benefitted from all the 187 banks or branches,in the entire eastern region in 1972-3, a bare 0.2 per cent of the total number of cultivators of the region. In the rest of the country 4,37,667 cultivators,, or 0.6 per cent of the total number of cultivators, were financed by 1291 primary banks or branches. I may recall here that one in every ten cultiva- tors in the eastern region and one in every five in the rest of the country borrowed.from the primary societies. Although the number of cultivators financed by these banks was very small, the amount advanced by them per borrower was large. In the eastern region it ws Rs 4384 as compared to only Rs 211 in respect of primary societies; for the rest of the country, it ws Rs 3783 and Rs 655 respectively. In terms of total amount, the long-term credit provided by the land develop- ment banks in the eastern region during 1972-73 was Rs 16 crores and that out- standing at the end of that year was Rs 56 crores. These amounts represented 9 per cent and 7 per cent of the respective totals for the country as a whole. ANNEX 3 Page 7 Among the various States in the eastern region Bihar and Orissa ac- counted for 60 per cent and 29 per cent, respectively, of the total outstanding loans of the co-operative land development banks in the entire region at the end of 1972-3. In West Bengal, the structure was hampered by an excessively security-oriented lending system, absence of up-to-date land records and a general lack of appreciation of the developmental potentialities of the system, until recently. Minor irrigation development was the main purpose for which loans were issued by land development banks. About 80 per cent of their loans in 1972-3 in the eastern region as well as in the rest of the country were for this purpose; the remaining loans were mainly for the purchase of farm implements and machinery. Finally, in the matter of recovery, the long-term credit structure was slightly better off than the short-term one in the eastern region, the percentage of recovery to demand being 50 in its case as against 38 in the case of the primary societies in 1972-3. Constraints on Credit Availability: I may refer here to the question of availability of resources to. the institutional credit agencies for carrying out their loaning programmes. There was no constraint in the availability of funds to the short-term or to the long-term co-operative credit structure in the eastern region. This was illustrated by the fact that only about 66 per cent of the short-term credit limits and about 25 per cent of the medium-term credit limits sanctioned by the Reserve Bank of India to the banks in this region were utilised in a recent year. Similarly, in the field of long-term credit, the West Bengal Central Land Development Bank, for instance, was assured of a support of Rs 2 crores for its ordinary debentures during 1974-75 by the Reserve Bank of India but it raised only Rs 1.3 crores. The Agricultural Refinance Corporation had sanctioned 34 schemes to the West Bengal Central Land Devel- opment Bank involving an outlay of Rs 5.2 crores; of this, a sum amounting to Rs 2.7 crores was to be utilized during 1974-75 but an amount of only Rs 70 lakhs was utilised. The utilization of resources available for long-term credit in the other States of this region was equally low, with the exception of Bihar. Normally, the resources which the land development banks can raise by way of debentures are subject.to some restrictions depending on their recovery performance. Primary banks or branches,which recover 75 per cent of their dues or, with some government support, 65 per cent of their dues, are free from any restrictions; so is all lending to small farmers in the Small Farmers' Development Agency areas. Even in other cases, lending is permitted upto a certain proportion of lending in the previous year if the recovery is at least 40 per cent of the demand. To sum up, the real constraint in the expansion of short-term or long-term credit is not one of resources but of organization. Inso far as long-term credit is concerned, the State Governments have to ensure that land records, including mutations, are brought up-to-date; and that verification of title by the financing banks does not prove to be too ANNEX 3 Page 8 cumbersome. Of. course, we have to think of a system in which mortgage of land is entirely done away with. A committee appointed by the Reserve Bank has, it fact, made such a recommendation and the Bank is going into this question in consultation with all the concerned agencies. The banks, on their part, should have adequate and trained staff, commensurate with the size of the programmes they are to implement. The technical departments of the State Government, particularly the Agricultural Department,.have to help the weaker banks in the eastern region, in the formulation of viable area development projects. Finally, the State Governments should not provide an unhealthy competition to the financing banks by advancing loans directly to the cultivators on terms more favourable than those of the banks. This practice is still widespread. It undermines the morale of the institutional credit agencies without significantly augmenting the flow of credit to the farmers on.account of the limited budgetary resources of the States. III. Commercial Banks: I;will make a brief reference to the important role of the.commer- cial .banks. Their entry.in the field of agricultural financing on a sizeable scale is of relativelyrecent origin. Prior to nationalisation, their in- terest in agricultural financing was largely confined to financing of plant- ations, often,owned by joint .stock companies. This interest has continued. I shall, however, confine mayself to their performance in the direct finan- cing of agriculture, leaving out their traditional field of plantation finance. The most striking feature of the operations of the commercial banks since nationalization is the rapid expansion of their branch net-work, which has more -than doubled. The eastern region, however, had only about 13 per cent of thecommercial bank branches, numbering 2100. These branches wefe more or less evenly distributed among rural, semi-urban and urban areas, each claiming about one-third of the total, in the country as a whole as well as in the eastern region. A branch of a commercial bank in the country covered, on an average, a population of 33,000 at the end of December 1.973 but, in the eastern region it covered a population of 68,000. Before referring,to the performance of commercial banks let me add that the ratio of advances to deposits of these banks in the north-eastern region .was 36 per cent, in the eastern region it was 62 per cent and, in the country as a whole, it was 69.6 per cent, at the end of June 1973.. It is clear, .therefore, that availability of resources was not a constraint on the commercial banks in financing agriculture in this region. Insofar as the eastern region was concerned the commercial banks had financed about 1.21 lakh accounts at the end of June 1973 against whom Rs 20.5 crores,were outstanding under direct finance to agriculture, forming 8 per cent of the total agricultural advances of the commercial banks in the country. ANNEX 3 Pnge 9 Commercial bank credit to agriculture in the eastern region was concentrated in West Bengal and Bihar, which together accounted for about 88 per cent of their outstanding loans in this region at the end of June 1973. Summary Assessment: I will assess the results of the combined operations of the co- operatives and of the commercial banks in the eastern region in financing agriculture, based on data pertaining to the period ending June 1973, as State-wise data for all the three agencies are not available for a more' recent period (Please see statement). Firstly, the total outstanding agricultural loans of all the three institutional agencies in the whole country amounted to Rs 2099 crores, of which Rs 159 crores or 7.6 per cent were in the eastern region. Not more than 9 per cent of outstanding loans of any individual agency were in the eastern region. Secondly, of Rs 159 crores outstanding in the eastern region, the share of the primary societies was 51.6 per cent, that of land development banks 35.2 per cent and of commercial banks, 13.2 per cent. For the..country, these percentages were 46.6, 40.9 and 12.5, showing a slightly greater emphasis on long-term credit than in the eastern region. Thirdly, the amount of outstanding loans of all the three insti- tutional agencies in the eastern region was Rs 88 per cultivator or-Rs 53 per hectare as compared to Rs 268 per cultivator or Rs 128 per hectare in the country as a whole. Finally, the institutional agencies had financed about 11 per cent of the cultivators in the eastern region as compared to 19 per cent Concluding Remarks: The main feature of the agricultural credit situation in the eastern region emerging from the foregoing analysis is one of inadequacy in relation to the overall magnitude of credit requirements and of under- development in relation to the rest of the country. The inadequacy and under-development were due to organizational weaknesses rather than to financial constraints. In this context, the decision to set up rural banks marks a new departure in the field of institutional agricultural credit. As the new rural banks will not be hamstrung by the costly over- heads of the commercial banks or by the lack of discipline of the co- operatives, they offer a new hope to the men of small means in the rural areas. The problems which the rural banks will face are the same as those faced by the existing institutional agricultural credit agencies, whether the rural banks lend directly to the cultivators or through the Farmers' Service Societies. The most important among these problems are: small, uneconomic and poorly managed primary units, lack of coor- dination with and an inadequate support from the agricultural extension agencies and, poor recovery performance. They-will have to strive hard not ANNEX 3 Page 10 to succumb to these malaies. They will also face some additional problems of which two may be important, namely, coordination or integration with the existing credit agencies and, evolution of norms and standards for financing agricultural labourers and rural artisans who have generally remained outside the purview of the existing credit agencies. The success of these rural banks,will depend on the organizational acumen and innovation which they bring to bear upon these problems so as to tackle them more effectively than the other agencies have done. ANNEX 3 Institutional Agricultural Credit in Eastern and North-Eastern Regions Page 11 North-Eastern Region (D) Eastern Region (E) Total of All India I t m Assam Manipur Tripura Total Bihar Orissa West Total North-Eastern Bengal and Eastern Regions (A) (2 (3 (4 (5) (6) (7 ( 2) (10) (11) (A) 1. IWans ousatanding at the end of June 1973 PACS 6.85 0.50 1.28 8.63 2519 29.58 18.93 73.70 82,33 978.77 (Re in crores) LDB 0.62 - 0.04 0.66 33.56 16.27 5.54 55.37 56.03 693.89 Com.Banks 0.63 - 0.03 0.66 8.16 1.70 9.84 19.70 20.36 262.08 (1) Total Amount Total 8.10 0.50 1.35 9.95 66.91 47.55 34.31 148.77 158.72 1934.74 (ii) Share of each Agency PACS 84.57 100.00 94.81 86.74 37.65 62.21 55.17 49.54 51.87 50.59 In same State LDB 7.65 - 2.96 6.63 50.16 34.22 16.15 37.22 35.30 35.86 (in per cent) Com.Banks 7.78 - 2.23 6.63 12.19 3.57 28.68 13.24 12.83 13.55 (tit) Share of each State PACS 0.70 0.05 0.13 0.88 2.57 3.02 1.93 7.53 8.41 100.00 in all India LDB 0.09 - 0.01 0.10 4.84 2.34 0.80 7,98 8.08 100.00 (in per cent) Com.Banks 0.24 - 0.01 0.25 3.11 0.65 3.76 7.52 7.77 100.00 (B) Total 0.42 0.03 0.07 0.52 3.46 2.46 1.77 7.69 8.21 100.00 (iv) Per cultivator (Ra) PACS 28 20 54 30 33 88 48 49 46 125 LDB 3 - 2 2 44 48 14 37 32 89 Com.Banks 3 20 1 2 11 5 25 13 i 33 Total 34 40 57 34 88 141 87 99 89 247 (v) Per hectare (Re) PACS 25 27 38 26 23 35 27 28 28 60 Gross cropped area (C) LDE 2 - 1 2 30 19 8 21 18 42 Com.Banks 2 - 1 2 7 2 14 7 7 16 Total 29 27 40 30 60 56 49 56 53 118 II. Number financed PACS 24 15 21 60 1009 407 379 1795 1855 13047 (in thousand) (A) LDB - - - 24 9 3 36 36 474 (i) Total Number Com.Banks 7 1 1 9 32 15 63 110 119 1275 Total 31 16 22 69 1065 431 445 1941 2010 14796 (it) Share of each agency PACS 77.42 93.75 95.45 66.96 94.74 94.43 85.17 92.48 92.29 88.18 in same State LDB - - - * 2.25 2.09 0.67 1.85 1.79 3.20 (in'per cent) Com.Banks 22.58 0.25 0.55 13.04 3.01 3.48 14.16 5.67 5.92 8.62 (it) Share of each State PACS 0.18 0.11 0.16 0.45 7.73 3.13 2.90 13.76 14.21 100.00 in All India LOB - - * - 5.06 1.90 0.63 7.59 7.59 100.00 (in per cent) Com.Banks 0.55 0.08 0.08 0.71 2.51 1.17 4.94 8.62 9.33 100.00 (iv) As percentage of PACS 1.00 6.02 8.94 2.07 13.31 12.08 9.58 12.04 10.42 16.69 cultivators in LDB - - - - 0.32 0.27 0.08 0.24 0.20 0.61 the State Com.Banks 0.29 0.40 0.42 0.31 0.42 0.45 1.59 0.74 0.67 1.63 Total 1.29 6.42 9.36 2.38 14.05 12.80 11.25 13.02 11.29 18.93 PACS * Primary Agricultural Credit Societies LDB - Land Development Banks Com. Banks - Commercial Banks Sources: (A) - Statistical statements relating to Co-operative Movement in India 1972-73 - Reserve Bank of India, Basic Statistical Returns - Vol. II - Reserve Bank of India. Number financed represents the number of borrowing members during 1972-3 in case of P.A.C.S, and No. of accounts in respect of direct loans to agriculture outstanding as on 6/30/73 in the case of commercial banks. In the case of L.D.Ba for states having unitary structure, figures relate to the stete-tevel lend development banks and for states having a federal structure, to the primary level land development banks. (B) - Data relating to number of cultivators have been taken from Census 1971. (C) - Page 32, Indian Agriculture in Brief - Twelfth Edition - Directorate of Economics and Statiatica. (D) - In Meghaa, the outstanding direct loans to agriculture of comercial banks on 6/30/73 was R 11 lakhe against 1792 accounts; the oan per hectare was Re 7/-; in Nagaland, it was the Re 61,000 of which P.A.C.S. share was 29,000/- and com. bank's share was Re 32,000/- against five accounts; loan outstanding per hectare at P.A.C.S. and com.bank level was 0e.0.29 and Re.0.32 res- pectively, i.e., Re.0.61 in total; in Nizoram loan outstanding at P.A.C.S. level was Ra 14000.00 only. (E) - In Andaman & Nicobar Islands total outstanding loan at P.A.C.S. level was Rs S.48 lakhs. ANNEX 4 Page 1 . * PROPOSED MAJOR IRRIGATION SCHEMES Si. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. Irrigation Schemes 1. Teesta Barrage Project 6972.00 Aman paddy- 4.90 lacs The scheme com- in Districts Jalpaiguri 1st ac. prises of constn.. Coochbehar, Darjeeling, sub- Rabi'crops 1.50 " of Barrages across Malda & West Dinajpur stage Aus paddy 1.80 " rivers Teesta and of 1st Jute 0.80 " Mahananda and net stage Sugar cane 0.38 " work of canal 9.38 lacs system ac 2. Acquisition of Reser- 716.00 Kharif 1/ 50,000 acs 1000 sq. miles will voir land at Maitbon Rabi 225,000 " be free from flood- & Panchet in the States ing during very high of Bihar and West Bengal flood in,the Damodar Valley. Acquisition of 28 sq. miles. Maithon level bet- ween RL 495 ft. to 500 ft. and Panchet from RL 425 to 445.ft. Additional provision of 5 lacs ac. ft. of water for rabi and Boro by encroachment into flood storage. 3. Upper Kang sabati in 2500.00 Kharif - 150,000 acs. Constn. of a rolled the Districts of Bank- Rabi 50,000 " filled earthen dam ura and Purulia with a spillway capacity of 1.25 lakh cusecs. Catch- ment area - 490 sq. miles. 4. Pump Irrigation scheme 753.00 Kharif 59,000 acs. Installation of in Gazol area Dist. Rabi 26,400 " Pump houses and Malda Pre- canal system. monsoon 14,600 " 100,000 acs. *Source: Irrigation and Waterways Department 1/ Supplemental irrigation only. ANNEX 4 Page 2 S1. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. 5. Darakeswar Reservoir 1000.00 Rabi - 60,000 acs. Construction of an Project in District Kharif 40,000 earthen dam over Bankura River Darakeswar in the border of Dist. Bankura and Purulia. 6. Construction of low 600.00 Rabi/Boro 200 numbers level regulators on Irrigation in different streams 40,000 acs. for boro Irrigation Total for Irrigation Schemes: Rs. 125.41 crores Embankment & Drainage Schemes 1. Improvement of Lower 3414.00 Flood protection Resectioning of Drainage Damodar Areas in 1000 sq. miles in Channels, embankments Districts Hooghly and Lower Damodar area, and construction of Howrah 75% of which will sluices be cultivable 2. Ghea Kunti Basin 649.00 Removal of Drain- Re-sectioning of drainage Drainage Scheme, age congestion channels and construction District Hooghly to an area of 358 of sluices and regulators. sq. miles 3. Sluices in Sundar- 500.00 Removal of Drain- Constn. of - bans Dist. 24- age Congestion to 322 nos. - 1 vented Parganas an area of 540 82 nos. - 2 vented sq. miles, 18 nos - 3 vented 422 nos. sluices and excavation of intake & outfall channels. 4. Sluices in Dist. 125.15 Removal of Drain- Constn. of sluices and Midnapore age Congestion excavation of outfall to an area of channels, need 12 large 129.30 sq. miles, sluices. 80% of which will be cultivable 5. Kendua Basin Dr. 159.00 Removal of Drain- Re-excavation of Purana Scheme District age congestion to Khal and other tributa- Howrah an area of 66 sq. ries & construction of miles, 90% of an outfall sluice, very which will be large cultivable ANNEX 4 Page 3 Si. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. 6. Subarnarekha Embkt. 125.00 Removal of Drainage Construction of 34 scheme in Dist. Congestion to an miles long flood em- Midnapore area of 911 sq. mls. bankment along the flood protection for left bank of river 50% of area which is Subarnarekha includ- cultivable ing protective works and construction of drainage sluices. Total for Drainage Schemes: Rs 49.72,crores Grand Total: Rs. 175.13 crores. ANNEX 5 Page 1 PROPOSED MEDIUM IRRIGATION SCHEMES AND DRAINAGE 1/* Amounts in Rs. lakhs. Benefits in thousand hectares (unless otherwise stated) S1. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. 1 2 3 4 5 IRRIGATION SCHEMES 1. Sali Diversion schemes 74.80 2.20 Construction of a diver- in P.S. Barjora diet. sion weir, excavation of (Bankura) 2/ irrigation canal systems including construction of ancillary works. (Kharif irrigation only). 2. Sali Reservoir Scheme 30.89 0.81 Construction of an earthen in P.S. Gungajalghati, dist, dam, spillway, bead regu- Bankura 2/ lator, excavation of an irrigation canal system, and other connected works (Kharif and Rabi). 3. Barabhum Irrigation 74.39 2.70 - do - Scheme in P.S. Barabazar, dist. Purulia 2/ 4, Taragonia Irrigation Scheme in P.S. Para, district Purulia 2/ 36.83 0.90 Construction of an earthen dam, spillway, head regula- tor, excavation of an irri- gation canal system with other ancillary works (Kharif and Rabi) 5. Parga Irrigation Scheme in P.S. Jhalda, dist. 41.62 0.91 Construction of earthen dam, Purulia 2/ spillway, head regulator, excavation of an irrigation channel system and other connected works (Kharif and Rabi). 1/ In areas with little groundwater resources. 2/ Started in 1975. *Source: Irrigation and Waterways Department. ANNEX 5 Page 2 Si. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. 2 3 4 5 6. Moutorjore Irrigation 40.29 1.07 Construction of an earth Scheme in P.S. Raghu- dam with spillway, Head nathpur, dist. Regulator and excavation, Purulia 2/ an irrigation canal sys- tem including construction of other ancillary works (Kharif & Rabi) 7. Salda Irrigation Scheme 43.18 0.92 - do - in P. S. Jhalda, dist. Purulia 8. Beko Irrigation Scheme 64.28 1.58 Construction of earthen dam, in.P.S. Kashipur, dist. spillway, head regulators, Purulia excavation of irrigation channel systems including other connected works (kharif & Rabi irrigation). 9. Patloi Irrigation Scheme 89.98 2.14 - do - in P.S. Hura, dist. Purulia 10. Tatko Irrigation Scheme in P.S. Bandoyan, dist. 97.85 2.76 Construction of earthen Purulia dam, spillway, head regula- tor and excavation of irri- gation channel system with other ancillary works (Kharif and Rabi) 11. Extension of Bandhu Ir- rigation Scheme in P.S. Arsa, dist. 28.71 0.62 - do - Purulia 12. Ramchandrapur Irriga- tion Scheme in P.S. Santuri, dist. 62.38 1.66 Construction of an earthen dam, Purulia spillway, head regulator, ex- cavation of irrigation channel system including construction of other ancillary works (Kharif and Rabi) 2/ Started in 1975. ANNEX 5 Page 3 Si. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. 2 3 4 5 13. Golamarajore Irriga- 51.93 1.00 Construction of earthen tion Scheme in P.S. dam, spillway, head Purulia, dist. regulator, excavation of Purulia irrigation channel system including other ancillary works (kharif and rabi) 14. Hanumata Irrigation 83.34 2.75 Construction of an earthen Scheme in P.S. Bala- dam, spillway, head re- rampur, dist. gulator. excavation of Purulia irrigation canal system including constn. of other ancillary works. (kharif and rabi). 15. Lipaniajore Irrigation Scheme in P.S. Para., dist. Purulia 73.08 1.57 - do - 16. Narayanpur-Sona river 75.83 1.60 - do - Irrigation Scheme in P.S. Barabazar, dist. Purulia 17. Irrigation Scheme on a 25.53 0.36 - do - tributary of river Kumari between villages Penchara and Patapahari in P.S. Manbazar, dist. Purulia 18. Dimu Irrigation 25.61 0.47 Construction of a rolled Scheme in P.S. filled earth dam with spill- Jhalda, dist. way head regulator and Purulia excavation of an irrigation canal system including construction of ancillary work (Kharif and Rabi) ANNEX 5 Page 4 Si. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. 1 2 3 4 5 19. Khairabera Irrigation 46.72 0.85 Construction of earthen Scheme in P.S. dam, spillway, head re- Bagmundi, dist. gulator, excavation of an -Purulia irrigation canal system including construction of ancillary works (kharif and rabi) 20. Futiary Irrigation 53.07 0.60 - do - Scheme in P.S. Hura, dist. Purulia , 21. Turga Irrigation 48.06 0.32 - do - Scheme in P.S. Bagmundi, dist. Purulia Total 1,198.37 ANNKX 5 Page 5 DRAINAGE AND FLOOD CONTROL SCHEMES Si. Estimated Benefitted Salient Feature No. Name of scheme cost in Area lakhs Rs. 2 3 4 5 22. Remodelling of Baliag- 93.80 87.70 The scheme consists of re- hye Drain for improve- sq. sectioning of Baliaghye ment of drainage conges- miles main drain & providing tion in Barachowka Basin additional ventage in the dist. Midnapur outfall sluice. 23. Kalaichandi Khal 47.80 6.07 The scheme envisages re- Drainage Scheme, dist. excavation of Kalaichandi Midnapur Khal, construction of a weir across the Khal and construction of 14 miles flood embankment. 24. Kherai-Buxi Khal Drain- 186.00 8.10 Resectioning of Kherai Khal, age Scheme, dist. Buxi Khal, and construction Midnapur of flood embankment in- cluding construction of a number of drainage sluices. 25. Contai Basin Drainage 64.35 10.81 Excavation of Drainage chan- Scheme Phase II, dist. nel and construction of a Midnapur number of sluices and regula- tors. 26. Drainage Scheme for 34.36 6.40 Re-sectioning of drainage Contai Block-III dist. channel system and construc- Midnapur tion of sluices. 27. Drainage Scheme in 96.86 84.00 Excavation of drainage chan- Chapra Area, dist. sq. miles nels from Saraswati Khal to Nadia river Churni and construction of an outfall sluice. 28. Remodeling of Embank- 92.56 165.00 Re-sectioning and strengthening ments under Kandi sq. miles of existing embankments in Irrigation Sub-Division Kandi Area. including construction of sluices, dist. Murshidabad ANNEX 5 Page 6 Si. Estimated Benefitted Salient Feature No. Name of scheme ' cost in Area. lakhs Rs. 1 2 3 4 5 29. Balarampur Khal Drain- 70.00 24.00 Re-sectioning of drainage age Scheme, dist. sq. miles channel systems and con- 24-Parganas struction of sluices. 30. Construction of embank- 40.00 20.00 The scheme consists of construc- ment on the right sq. miles tion and remodelling/strength- bank of river Ajoy, dist. ening of embankment along the Burdwan right bank of river Ajoy in diferent sections. Total 725.73 Grand Total 1,924.10
Группа Всемирного банка · Pre-2003 Economic or Sector Report
India - Eastern Region Foodgrain Production Review (West Bengal) : Report of Brief Review Mission on the Agriculture Sector
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