“We aim to strengthen and deepen the rural economy”
NCDC is a leading development financing ...
Kindly elaborate on the role of NCDC in providing working capital to State Governments for marketing and agricultural inputs.
The rural economy is marked by disaggregated farming, marginal land holding patterns, traditional methods of farming without any access to organised markets for the farm products. The supply chain logistics are either inadequate or not being utilised in the manner desired for effective transportation mechanism for the perishable farm products.
NCDC supplements the efforts of the state governments by providing working capital assistance for Minimum Support Price (MSP) operations through Cooperative Marketing Federations and other Cooperative agencies. During the year 2019-20, Corporation released working capital assistance of Rs. 15180 crore. Cumulatively as on 31.03.2020, NCDC has disbursed Rs. 63892 crore as working capital for MSP operations.
To make available various inputs, farm equipment to small and marginal farmers, NCDC supports setting up of Custom Hiring Centre and Collective Farming and working capital for branding and marketing. Recently NCDC has sanctioned Rs. 628.23 crore to the Government of Uttarakhand for a mega project covering the entire state and Rs. 400.00 crore to the Government of West Bengal and Rs. 439.05 crore to the Government of Bihar for farm mechanization.