Case Studies

sectors > Agricultural Productivity
Banking on Linkage
CHATTISGARH

THE INITIATIVE

  • Supporting Cooperative Federations in serving farmers better

THE BENEFICIARIES

  • Farmers of Chhattisgar

THE CHALLENGE

  • Farmers had to travel long distances to sell paddy
  • Delayed payments and distress sale by farmers in mandis
  • Exploitation of farmers by the organised market

THE SOLUTION

  • NABARD sanctioned credit facility to Chhattisgarh State Cooperative Marketing Federation Ltd (CSCMFL)
  • Paddy procurement software was linked to Core Banking Solution which allowed direct transfer of sale proceeds into the farmers’ accounts

THE IMPACT

  • CSCMFL able to procure paddy from about 10 lakh farmers at fair prices
  • Improved credit recovery for cooperative banks