SOCIO–ECONOMIC CONDITIONS OF FARMERS: A STUDY OF RURAL PUNJAB

Abstract

This study aims at impact of socio-economic characteristics of farmers on access to agricultural financing. Data have been collected using a structured questionnaire. Findings suggest that the amount of agricultural credit that can be borrowed by the farmers is significantly affected by their age, marital status, education, number of dependents farm status, farm size, and education level, income from farming. The present research is based upon primary and secondary data. The socio-economic features of the 400 sampled farmers have bearing on the use of inputs such as seeds, fertilizers, labor charges, insecticides, pesticides etc., and in turn on economic surplus or deficit, investment pattern, amount borrowed, sources of borrowings and the utilization of credit. The attributes of the sampled farmer borrowers guide them to utilize the borrowed farm credit. The conscious farmer borrowers behave properly and therefore, utilize the loan for that purpose only as is mentioned in their loan applications. On the other hand, less conscious farmer borrowers behave indifferently and therefore, divert the farm credit for unproductive purposes. Such attributes of the sampled farmers has been brought to light through the study of socio economic factors of the borrowers. To achieve this specific objective of study the primary data has been collected from 400 sample farmers and has been analyzed. The results of research paper are thus, based on the primary data which has been duly analyzed. The 400 sample farmers are a good mixture of 46 (11.5 per cent) marginal farmers, 104 (26 per cent) small farmers, 127 (31.75 per cent) semi-medium farmers, 96 (24 per cent) medium farmers and 27(6.75 percent) large farmers.