Institutional Finance for Agriculture: With Reference to SPSR Nellore District in Andhrapradesh

In India the vital role of agriculture arises out of the position the grain sector occupies in the overall economy of the country. Agriculture is the largest sector of the economic activity and has crucial to play in the country‟s economic development by providing food and raw materials , employment to a large proportion of population, capital for its own development and surpluses for economic development. The problem of agricultural finance in India, like that of other developing countries, is both quantitative and qualitative. The district agriculture credit market is described by dualism. The main sources of farm credit are co-operatives, commercial Banks and Regional Rural Banks(APGB).With the presentation of single window system in the state in the state of Andhra Pradesh. The co-operative credit structure was rearranged in 1987.The present co-operative credit comprise of SPSR Nellore District Co-operative Central Bank(NDCCB) at district level, with its 21 branches managing with short term, medium term and long term credit of 79 PACS. The readiness of the credit plan and co-ordination of credit capacities at the district level is the duty of the syndicate bank i.e., the lead bank of the district.