Nabard estimates agri-credit flow of Rs 50k crore in FY15

Envisages a growth of around 20% over last year

Bullish on the growth potential of the agriculture sector in the state, the National Bank for Agriculture and Rural Development (Nabard), Gujarat has prepared a potential linked plan of Rs 76,475 crore for priority sector, projecting Rs 50,007 crore for agriculture credit flow in the state during 2014-15, envisaging a growth of around 20 per cent over last year.

M K Mudgal, chief general manager, Nabard, Gujarat regional office, said, "Agriculture credit potential has been pegged at Rs 50,007 crore for 2014-15, a growth of 20 per cent over last year, comprising Rs 35,889 crore for crop loans, and Rs 14,108 crore for agricultural term loans. Potential for storage and market yards has been assessed at Rs 2,134 crore envisaging a growth of 56 per cent because this sector provides ample opportunities in agri-surplus state like Gujarat."

He also referred to agro processing, dairy and horticulture as other high potential sectors in the state. Last year around 2,755 godowns were added in the state adding 300,000 tonnes of additional storage capacity, Mudgal informed.

Nabard has sanctioned a loan of more than Rs 14,000 crore to the state government under the Rural Infrastructure Development Fund (RIDF) on cumulative basis. Only recently, Nabard sanctioned an outlay of Rs 3,300 crore to the Gujarat government under RIDF, the highest ever under the scheme.