FORMATION OF SELF HELP GROUPS
“RAITHA SHAKTI GROUPS” (RSG)
The land area available for cultivation is
limited and is under the pressure of population growth. The
viability of small and marginal agricultural holdings has always been a major
issue in Karnataka’s Agriculture. Agriculture
Census-2005-06 shows that there are 75.81 lakh land holdings in the State, out
of which 56.69 lakh are in marginal and small category. Farm
holdings in the State are increasing in number, but decreasing in size. Thus,
between 1970-71 and 2005-06, the number of holdings in the state has increased
from 35.51 lakhs to 75.81 lakhs, and the average farm size has come down to 1.63
ha from 3.2 ha. which is much below the economic size of 2.56 hectares for
Karnataka.
The increased number of small holdings makes it necessary to focus
on them as the future harbingers of change and instruments of growth. Experts
in the field have time and again suggested group farming approach (cluster
farming or farmers’ consortia, etc.,) to overcome the constraint of the small
size of agricultural holdings. The
state must reorient its agricultural extension strategy to promote a ‘group
farming approach’ at the village level to overcome this problem.
In each village groups of farmers numbering between 10‑20 willing
to take-up cultivation of similar crops (or activities like poultry farming,
goat rearing etc.,) should be formed and trained to act as a group in accessing
credit, technology, inputs and marketing services. Individuals in the group may adopt the group approach for one
or two common crops grown by them even if each of them cultivates several crops.
Thus, there could be groundnut
groups, mango groups, vegetable groups, floriculture groups; poultry
farmers’ groups etc., depending upon which activities in a village can benefit
the farmers most by adopting the group approach.
Each group can be
attached to a credit institution like a bank branch or a cooperative society
which will assess and meet the credit needs of the group depending upon the
common crops or activities of the group. The
group can also access insurance services for their common crops to protect them
against risks of crop failure. The group approach will enable farmers to access
professional / technical services of consultants as it will be viable for them
to pay for such services collectively. Extension services of the Departments of
Agriculture, Animal Husbandry, Sericulture, etc. can be provided more easily to
groups with common crops or activities instead of addressing individual farmers
separately. Also groups of farmers
can purchase or hire on custom hiring basis agricultural machinery and equipment
required for their common crops.
Each farmers’ group
can have a tie-up with a marketing firm through contract farming or can market
their produce on their own by accessing transport, storage, and packaging
services collectively. Farmers’ groups will be able to designate more literate
and knowledgeable members among them to perform tasks like book keeping, and
negotiation of contracts. This will
eliminate the exploitative role played by several middlemen in the supply of
credit and inputs and marketing of produce. While acting in a group, farmers are
better equipped to face various risks and this will greatly help in reducing
distress on the part of farmers. Groups
can also mobilize individual farmers for various socially beneficial activities
like shramadan, cultural programmes,
village festivals etc. which would increase a sense of ‘self
worth’ among members making them less prone to depressions.
Rashtriya Krishi Vikas Yojana also endorses Special schemes for beneficiaries of land
reforms under which project based assistance will be given in the stream one
funds. Assistance will be available for improving the net minimum income of
this category of beneficiaries. Beneficiaries of land reforms are usually small
and marginal farmers. Making their agriculture viable will be possible only when
capital investments on land development, irrigation, high technology
infrastructure in emerging areas such as floriculture, horticulture, seed
production, etc are made. Specific projects for groups of such beneficiaries can
be taken up with provision for common infrastructure.
In addition, it also insists Strengthening
of Market Infrastructure and marketing development where in assistance
for setting up of cold storages, cold chains, godowns, formation of farmer’s
SHGs, setting up collection centre etc.
The State Government has
also organized over 1.20 lakh number of women’s groups successfully over the
last few years. With encouragement
and support from the NABARD many financial institutions are organizing Self Help
Groups of Women and BPL households to help them avail of micro finance
facilities. This has contributed
greatly to the empowerment of women in the rural areas.
The Department of Agriculture plans to adopt the policy of
promoting farmers’ groups on a large scale in all the villages of Karnataka to
obtain for the farmers with small holdings the benefits of medium and large
scale farming.
This is likely to revolutionize agriculture in Karnataka by empowering
farmers to access credit, technology and inputs on more favourable terms and to
act strongly in marketing their produce for obtaining more remunerative prices.
As
a suitable incentive for the formation and the operation of farmers’ group,
each farmers’ group is proposed to be given an initial working capital
/ Seed Money of Rs.10,000/‑ subject
to their contributing amount of Rs.10,000 towards the initial capital.
In return, the Department will start distributing all its subsidy
oriented programmes through these groups.
Budget requirement
As there are 75.81 lakh
farm holdings in Karnataka, out o which 56.69 lakh are small and marginal and to
group them into Raitha Shakti Groups of 15-20 farmers each there would be around
2.85 lakh groups. If, an amount of
Rs.10,000 per group is provided as seed money then the budget required would be
around Rs.285 Crore. To operationalize the scheme of Raitha Shakti Groups a budget of Rs.57 Crore for each year will be
needed, with this all the 56.69 lakh farm holdings can be brought into Raitha
Shakti Groups in next five years.