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A Friend of Farmers

Place: Nangavalli

District: Salem

State: Tamil Nadu

Intervention:
Salem District Farmers’ Club Federation (SDFCF), a collective of NABARD-promoted farmers’ club (FC) in Periyasorakai Village in Nangavalli block, works for the welfare of small and marginal farmers through the formation of Joint Liability Groups (MG), Common Interest Groups and Self-Help Groups (SHG) in Salem district. It promotes the practices of community-supported farming to grow vegetables and organic cotton among the small and marginal farmers. To support farmers in improving their livelihood activities, SDFCF approached Primary Agriculture Co-operative Societies (PACS) and nationalized banks for a community-supported farming system, but failed to get the required support. It then approached NABFINS, which provided a loan of?1.66 crore to 40 JLGs, 5 FCs, and 7 SHGs. The loan amount has mainly been used for purchasing milch-animals and farming inputs like organic manure, bio-pesticide, and seeds. This has resulted in a considerable increase in milk production. SDFCF is now planning to install a mini milk-chilling plant, a cold storage, and a seed bank for their farmers. The financial support provided by NABARD on a project mode and assistance provides by NABFINS for the purchase of milch-animals would help the beneficiaries reach a higher income level. Highlights Financial Assistance Provided: Z 1.66 crore loan availed by 40 JLGs, 5 FCs, and 7 SHGs

Major Use of Loan: Purchase of milch-animals and farming inputs Result of Loan: Considerable increase in milk production – from 500 to 1,000 liters per day

Result of Loan: Considerable increase in milk production – from 500 to 1,000 liters per day