53

CHAPTER - III

PROFILE OF THE STUDY AREA

3.1 Introduction

The physical survey of an area provides basic details of that particular region,

which further helps in understanding the socio-economic condition of people residing

over there. An attempt is made in this chapter to give a brief profile of the State of

Karnataka and the profile of the sample district chosen, i.e. Gadag District. This

chapter is presented in three sections. Section-I deals with the brief profile of the State

of Karnataka. Section-II presents the profile of the district chosen, with details of

climate, agriculture, industry, demographic features etc. and brief profile of selected

sample villages. Section- III deals with the profile of StreeShakti, a Karnataka State

Govt. Sponsored scheme and selected Microfinance Finance Institution (MFI) -

SKDRDP.

Section-I

3.2 Socio-Economic Profile of the Karnataka State in Brief

Karnataka is the 8th largest state in terms of area and 9th largest populated

state in southern India. For administrative purposes the state has been divided into

four Revenue Divisions, 49 sub-divisions, 30 districts, 177 taluks. ‘Bengaluru’is the

capital city and Kannada is an official language of the state. The state has semi-

tropical climate. The table below shows key demographic and geographic indicators

of the state.

54

Table –3.1

Geographic and Demographic Indicators of Karnataka - Year 2011

Source: gen-profile-state.pdf

Sl . No Indicators Unit Karnataka

1 Geographical Area Lakh Sq. Km 1.91

2 Length Kms (north-south) 760

3 Breadth Kms (east-west) 420

4 Population Crore 6.11

5 Urban to Total

Population

Percent 38.57

6 Rural to Total

Population

Percent 61.43

7 Population Growth

Rate

Percent 15.67

8 Sex-Ratio Females per 1000

males

968 females

9 Density of Population Population/Sq. Km 319

10 Literacy Rate Percent 75.60

11 Male Literacy Percent 82.85

12 Female Literacy Percent 68.13

13 Birth Rate Per 1000 Mid-year

Pop.

18.8

14 Death Rate Per 1000 Mid-year

Pop.

7.1

15 Rainfall Millie meter 500-4000

55

Economic Profile of the State

Karnataka is the Middle -Ranking State among 15 major States of India on a

variety of development indicators. The HDR of Karnataka is 10 among 19 major

States. The following tables show key economic indicators and basic economic

details of the state.

Table- 3.2

Economic Profile of the State

Sl.No Particulars Unit Year Karnataka

1 Primary Sector Percent 2011-12 17.20

2 Secondary Sector Percent 2011-12 26.50

3 Tertiary Sector Percent 2011-12 56.3

4 Growth Rate of

Economy

Percent 2007-12 8.0

5 Gross State

Domestic

Product[GSDP]

Rs. In

Crore

2012-13

Constant (2004-05)

Prices

303,444

Current Prices 527,492

6 Economic Growth

Rate as per GSDP

Percent 2012-13

Constant Prices 5.9

Current Prices 13.9

7 Per Capita Income Rupees 2012-13

Constant Prices 87,359

Current Prices 50,254

8 Average NSDP [Net

State Domestic

Product]

growth rate

Percent 2011-12 14.7

Source: gen-profile-state.pdf

56

Table 3.3

Micro Finance Profile of Karnataka

Source: Microfinance Map of India "The Bharat Micro Finance Report - 2013"

(http://www.sa-dhan.net/Sa-dhan-indian-map.htm)

Section-II

3.3 Brief Profile of the Gadag District.

Gadag, a culturally rich district located in the western part of northern

Karnataka. The district was formed on24-8-1997, splitting it from Dharwad District.

The Gadag District is bound by 6 districts namely Bagalkot on the north, the Koppal

on the east, the Bellary on the southeast, the Haveri on the southwest, the Dharwad on

Sl.No. Particulars Description

1 Total no. of MFIs operating in the

state

22

2 No. of MFIs having HQ in the state 12

3 Banks providing microfinance

services

56 (Public Banks=23,

Private

Banks=8,RRBs=4,DCCBs=21 )

4 Total No.of SHGs under SBLP 645695

5 Total savings - client outreach 9039730

6 Total SHG - savings with banks 115618.92 (in lakhs)

7 Total credit - client outreach 9488358

(MFIs=4178088, Banks=5310270)

8 Total portfolio outstanding 715092.28 (in lakhs)

9 No. of districts served by MFI 29

10 Out of which No. of poorest

districts

9

57

the west and the Belgaum on the northwest. Actually no river flows into the district,

Malaprabha River in the North and Tungabhadra in the South flows in the border of

district. (Karnataka: The Knowledge Hub of Asia).

Table-3.4

Basic Details of Gadag District

Sl.

No

Indicators Units Gadag District

1 Geographic Location North Latitude

and East

Longitude

15 25' 0"

75 37' 0"

2 Temperature Celsius 37.3 (Max), 16.5 (Min)

3 Average Rainfall Millie meter 668

4 Geographical Area Kilometres 4,656

5 District Headquarters - Gadag

6 Division - Belgaum

7 Taluks Numbers 5 namely, Gadag-Betgeri,

Ron, Shirhatti, Nargund and

Mundargi.

8 Population Numbers 1,065,235( 2011 census)

9 Population Density Population/Sq.

Km

229 (2011 census)

10 Gram Panchayats Numbers 106

11 Villages in Gadag district Numbers 346

12 Literacy Rate Percent 75.12%

13 Per capita Annual Income Rupees 19,409

Source: District profile- Gadag. Census of India District-code for Gadag: 561

58

Table-3.5

Topographical Information of Taluks in Gadag District

Sl.No Particulars Gadag Ron Nargund Mundaragi Shirahatti Total

1 Area

(Sq.Kms) 1097 1291 435 884 949 4656

2 GramPanc

ayat 25 30 12 15 24 106

3 Hoblis (No.) 02 03 02 02 02 11

4 CMC/TMC/T 02 03 01 01 02 09

5 Total

Villages 64 93 35 58 87 337

6 Uninhabited

Villages 03 - 01 04 - 08

7 Geographical

Area

(hectares)

109751 129091 43562 88398 94913 465715

8 Agricultural

Area

(hectares)

103805 119330 41250 65822 74250 404457

9 Non-

Agricultural

Area

(hectares))

4197 9485 2312 4930 7720 28644

10 Forest

Area

(hectares)

1749 276 - 17646 12943 32614

Source: District profile- Gadag

59

Table-3.6

Ranking of the Gadag District in the State as per census 2011

Sl.no Particulars Rank obtained

1 Ranking by sex Ratio 15th

2 Ranking by Population density 20th

3 Ranking by Literacy 13th

4 Ranking by Female literacy 17th

5 Ranking by male Literacy 10th

6 Ranking by Population size 27th

Sources: Census of India (2011) provisional population totals Karnataka.

Table-3.7

The Demographic Features of the Gadag District:

Sl.No Description Units 2011 2001

1 Actual Population Numbers 1,064,570 971,835

2 Male Numbers 537,147 493,533

3 Female Numbers 527,423 478,302

4 Population Growth Percent 9.54 13.13

6 Density of

population

Population/Sq.

Km 229 209

7 Proportion to

Karnataka

Population

Percent

1.74 1.84

8 Sex Ratio Per 1000 male 982 969

9 Child Sex Ratio 0-6 Age 947 952

10 Average Literacy Percent 75.12 66.11

11 Total Child

Population

0-6 Age 132,442 137,835

12 Male Population 0-6 Age 68,025 70,627

60

13 Female Population 0-6 Age 64,417 67,208

14 Literates Numbers 700,177 551,362

15 Male Literates

Numbers 397,178

(84.66%) 335,442(79.32%)

16 Female Literates

Numbers and

percent

302,999

(65.44%)

215,920

(52.52%)

17 Child Proportion

(0-6 Age)

Percent 12.44 14.18

18 Boys Proportion

(0-6 Age)

Percent 12.66 14.31

19 Girls Proportion

(0-6 Age)

Percent 12.21 14.05

Sources: Census of India (2011) provisional population totals Karnataka

Figure- 3.1

Rural Urban Population in Gadag District

0

100000

200000

300000

400000

500000

600000

700000

Rural Urban

347585 189562

337676 189747

685261 379309

Male Female Total

61

Figure- 3.2

Rural Urban Literacy Rate in Gadag District

Table - 3.8

Taluk Wise Area and Population

Source: Gadag District at a Glance-2012-13

0

50000

100000

150000

200000

250000

300000

350000

400000

450000

Male Literacy Female Literacy Total Literacy

250701

178972

429673

146477 124027

270504

Rural Urban

Taluk Wise Area and population As per 2011 census

Sl.

No.

Talukas Geographi

cal area

(in sq.

km.)

Population Total no. of households Decinial

growth rate

(in %) Male Female Total Urban Rural Total

1 Gadag 1097 184572 182686 367258 40955 36684 77639 10.41

2 Mundera

gi

884 66856 65041 131897 4930 21694 26624 13.20

3 Naragund 435 51276 49347 100623 7433 12639 20072 8.37

4 Ron 1291 132566 131557 264123 14547 38801 53338 6.45

5 Shirahatti 949 101877 98792 200669 11449 29964 41413 9.54

62

3.3.1Agriculture profile

Gadag is predominantly an agriculture-based district and cultivable land is the

backbone of its economy. The average extent of land available per capita is 0.48

hectares. According to the latest land utilization statistics, out of the total geographical

area 75.87 per cent is the net area sown. Agriculture contributes about 65.5 percent of

the income of the district.

District has two agro climatic zones -the North Dry Zone and North

Transitional Zone. District has both black soil and red sandy soil so the crops of

different kind can be grown. Good infrastructure for agriculture marketing is

available. The district has a moderate rainfall pattern in major parts, to grow

short/long duration crops and for adopting mixed and inters cropping.

Table – 3.9

Basic details of the Agriculture in the district.

Sl.No Particulars Units Gadag

Area under cultivation Hectares 3,86,500

1 Irrigated area Percent 19

2 Agro climatic classification Zone 3, 8

4 Land use Hectares -

5 Total Geographical area Hectares 465.7

6 Forest area Hectares 32.6

7 Net area sown Hectares 380.1

8 Area sown more than once Hectares 165.8

9 Gross cropped area Hectares 545.9

10 Net irrigated area Hectares 69.5

11 Gross irrigated area Hectares 78.8

12 Rain fed area Hectares 310.6

13 Land available per capita Hectares 0.48

Source: Gadag District at a Glance-2012-13

63

Major Crops

The major food crops are jowar, wheat, maize and pulses while the

important commercial crops are groundnut, chillies, onion and cotton. The

major horticultural crops grown in the district are pomegranate, chickoo and

flower. Sericulture activity, though made a beginning, is yet to pick up in the district.

The district has a semi-arid climate, which favours the growth of seasonal

crops like maize, sorghum, green gram, groundnut, sunflower, onion, and chilli during

kharif season, and cotton, rabi, jowar, bengal gram, and wheat during the rabi season.

Table – 3.10

Distribution of area under Major Crops

Sl. No Major crops Area in

percentage

1 Sunflower 23%

2 Greengram 23%

3 Groundnut 13%

4 Bengalgram 11%

5 Cotton 30%

6 Major exportable items Nil

Source: District profile- Gadag

Table – 3.11 Landholding pattern (No of farmers)

Sl.no Farmers Type Total

Number

1 Marginal farmers 25452

2 Small farmers 53785

3 Semi Medium farmers 43240

4 Medium farmers 23226

5 Large farmers

3873

Source: District Profile –Gadag

64

Gadag is considered as one of drought prone district in the state out of 22

districts during 2013-14 by the state. Rona and Naragund are identified as drought

prone taluks in the district. And government declared immediate actions to be taken to

meet the emergency needs. (Proceedings of government of Karnataka)

3.3.2 Horticulture profile

Major Fruits:Mango, Sapota, Banana, Grapes, Pomegranate

Vegetable Crops: Tomato, Onion, Brinjal, Chilli

Plantation Crops: Coconut, Oil Palm

Medicinal & Aromatic: Amla, Ashwagandha, Citronella, & Lemongrass

Table 3.12

Area under Major Horticulture Crops (in percentage)

Sl .No Horticultural Crops Area

1 Vegetables 61%

2 Spice 31%

3 Fruits 5%

4 Plantation 2%

5 Flowers 1%

Source: District Profile -Gadag

Figure- 3.3

Area under Major Horticulture Crops

61%

31%

5% 2% 1%

1 Vegetables

2 spice

3 fruits

4 plantation

5 flowers

65

3.3.3 Industrial profile

Gadag is a major industrial centre next to Hubli – DharwadKanaginahal was

the place in Gadag where ‘the first cooperative moment in Asia’ took birth a century

ago. This led to the development of textile mills, oil seeds, technical and engineering

colleges. The small scale industries in Gadag constituted about 1.9 percent of the total

units in Karnataka. Of these, nearly 40% are located in rural areas has against the state

proportion of about 38%.Falling in line with the state, food and food processing

industry provides the highest employment in the district followed by textiles, printing,

metal products, machine tools, furniture and paper products. Gadag is also known for

Wind power GenerationGadag has an ideal ecosystem for Tourism, the district has

one of the oldest ‘Bird Sanctuaries’District has six potential locations for exploration

of gold.

Small Scale Industry

There are 7550 small scale industries in the district with an investment of Rs.

10481.23 Lakh employing 26725 people.

Table – 3.13

Investment and Employment in Small Scale Industries in the District

Sl.No Year Units Investments

(Lakh) Employment

1 2004-05 160 599 682

2 2005-06 201 431 756

3 2006-07 205 458 642

4 2007-08 221 244 961

5 2008-09 220 397 1.405

6 2009-10 240 441 1,250

Source: (Karnataka: The Knowledge Hub of Asia)

66

Table – 3.14

Type of Small Scale Industries in the District

Source: MSME-Development Institute, Hubli (Ministry of MSME, Govt. of India,)

Sl. No Type of Industry Number of

Units

Investment

(Lakh Rs.) Employment

1 Agro based 998 1573.97 4392

2 Soda water 67 117.56 331

3 Cotton textile 530 297.97 3165

4

Woollen, silk &

artificial Thread

based clothes.

48 540.05 743

5 Jute & jute based - - -

6

Ready-made

garments &

embroidery

356 87.57 1056

7 Wood/wooden based

furniture 418 236.52 1470

8 Paper & paper

products 127 496.81 673

9 Leather based 342 40.99 952

10 Chemical/Chemical

based 146 69.10 578

11 Rubber, Plastic &

petro based 65 193.76 250

12 Mineral based 53 116.54 244

13 Metal based (Steel

Fab) 42 54.93 187

14 Engineering units 98 105.91 413

15

Electrical machinery

and transport

equipment

21 526 43

16 Repairing & serving 209 116.06 695

17 Others 141 392.91 697

18 Kachori Making - - -

Total 3661 4966.65 15889

67

Large Scale Industries / Public Sector undertakings

1) The Gadag Co-operative Textile Mill Ltd., Hulkoti

2) The Farmer Co-operative Spinning Mill Ltd., Hulkoti

3) The Farmer Co-operative Oil Mill Ltd., Binkadakatti

4) Sri SomeshwarFarmers’ Co-operative Spinning Mill Ltd., Laxmeshwar

5) The Vijayanagar Sugar Factory Pvt. Ltd., Gangapur, Mundargi

3.3.4 Banking profile

Gadag district has nationalized, private and co-operative banks, actively

working. As on Jan 15, 2015 there are 45 NEFT, RTGS, enabled computerized bank

branches in Gadag district.

Table -3.15

Bank Branches in Gadag District.

Source: MSME-Development Institute, Hubli (Ministry of MSME, Govt. of

India,)

3.3.5 Microfinance Institutions in the District

MFIs belong to non-bank ‘other formal’ financial institutions, providing

services to people at the distal end of the access continuum. There are many MFIs

operate in the district among them important are listed below along with their brief

profile.

Sl no Agency Number of branches as on (2010)

1 Commercial Bank 59

2 Rural Bank 42

3 Co-Operative bank 07

4 PLDB 04

68

Table – 3.16

Micro Finance Institutions (MFIs) Operating in Gadag District

Source: Microfinance Map of India "The Bharat Micro Finance Report - 2013"

http://www.sa-dhan.net/Sa-dhan-indian-map.htm

Sl.

no Organisation HQ state

No of

District

operating

Operations

in States

Client

Outreach

Loan

Portfolio(in

lakhs)

1

Sri

KshetraDharmasthala

Rural Development

Project (SKDRDP)

Karnataka 08 Karnataka 2,314,075 2,08,205.55

2 Agricultural Science

Foundation

Karnataka

01 Karnataka

11,600

684.95

3 Janodaya Public

Trust

Karnataka

11

Karnataka

9,988

699.63

4

Ujjivan Financial

Services Private

Limited

Karnataka

42

Karnataka

& 10 more

states

1,006,052 1,12,599.73

5

IDF Financial

Services Private

Limited

Karnataka

O9

Karnataka

89,430 5,969.29

6 SKS Microfinance

Pvt Ltd

Andhra

pradesh 213

ANDHRA

PRADESH,

Karnataka

and 16 other

states

4,308,300 1,49,040.78

7 AsmithaMicrofin Ltd Andhra

pradesh 120

ANDHRA

PRADESH,

Karnataka

and 11 other

states

958,935 107,105.76

69

3.3.6 Infrastructure

According to the Suvarna Karnataka Development Corridor, a steel zone has

been proposed for Gadag district 3808 acres of land have been identified for

investment opportunities in Janti, Shirur, Petalur, Telagi & Merundi villages of

Mundaragi taluk. Gadag has nearby ports in Karwar and Mangalore for import and

export trade around the year.

3.3.7 Education & Health

The district had 795 primary schools with total student strength of 144068.

There were 248 high schools with 51175 students and 83 pre university colleges with

18,183 students. The district had 47 General education colleges with 7412 students, 5

polytechnics with 2272 students and 3 engineering colleges with 2895 students. There

are 4 B.A.M.S. colleges with 505 students. The district had 22 libraries and 106 gram

panchayat Libraries. The district had 9 allopathic hospitals, 19 hospital with Indian

medicine system (Ayurvedic hospital) 3 Homoeopathic Dispensaries. There were122

private hospital including nursing homes with 707 beds. The district had 37 primary

health centers, 6 primary health units, 15 dispensaries of Indian medicines and 3

family welfare centers and 185 sub centers.

3.3.8 Work force Participation

The work force participation is an important indicator of economic growth. It

reflects the level of overall economic activity in a particular region or area. The

persons in the age group of 15-59 are considered as workers or work force. The

following tables provide the taluk wise information of labor force in the district.

70

Table – 3.17

Taluk Wise Classification of workers

Classification of workers

SL.

NO.

Talukas

Main workers

Marginal workers

Non-workers

Male Female Total Male Female Total Male Female total

1 Gadag 95423 41781 137204 10728 13684 24412 78421 127221 205642

2 Mundargi 35324 19427 54271 3845 7147 10992 27687 38467 66154

3 Naragund 26637 12160 38797 2973 6205 9178 21666 30982 52648

4 Ron 68298 38531 106829 6414 10320 16734 57854 82706 140560

5 Shirahatti 56045 29465 85870 4365 6560 10955 41107 62737 103844

Source: Gadag District at a glance – 2012-13

71

Table- 3.18

Taluk Wise Classification of Labourers

Classification of labourers

Sl

No. Taluka

Agricultural

cultivators Agricultural labourers

Non-agricultural

labourers

Male Female Total Male Female Total Male Female total

1 Gadag 21974 6669 28643 17908 19883 37791 78421 127221 205642

2 Mundargi 14014 4136 18150 10913 12172 23085 27687 38467 66154

3 Naragund 12860 3863 16723 5990 6273 12263 21666 30982 52648

4 Ron 26081 8670 34751 19756 23813 43569 57854 82706 140560

5 Shirahatti 17556 5093 22649 21016 19669 40685 41107 62737 103844

Source: Gadag District at a glance – 2012-13

3.3.9 Brief Profile of Selected Sample Villages in Gadag District

The following tables provide information about the socio economic profile and

SHG details of the selected sample villages.

72

Table- 3.19

Profile of Selected Sample Villages in Gadag

Sl.

No

Name of selected villages in GadagTaluk

Variables Adavisomapura Antur Asundi Binkadakatti Harti Hombal Hulkoti Nagavi

1 No. of

households 784 580 837 757 859 1813 2376 700

2 Total

population 3758 2716 3862 3302 4005 8092 11075 3475

3 % of females 47.92% 49.74% 49.94% 50.21% 50.16% 50.06% 48.41% 39.79%

4 % of SC 3.27% 5.96% 11.91% 7.2% 12.1% 9.62% 11.9% 15.30%

5 % of ST 8.56% 10.75% 5.1% 0.87% 8.86% 7.006% 5.32% 6.15%

6 Literacy rate

(in percent) 63.87 % 72.07% 85.17% 87.83% 72.61% 75.92% 82.23% 67.75%

7 Cultivators 442 400 452 476 652 1180 675 442

8 Agri-labourers 548 653 414 527 739 2060 1242 738

Source: Gadag District: Census 2011 data

73

Table- 3.20

Profile of Selected Sample Villages in Ron Taluk

Name of selected villages in Ron Taluk

SL

NO. Variables Sudi Holealur Belavanki Abbigeri Jakkali Itagi Menasagi Rajur

1 No. of

households 1224 1733 1060 1799 1006 955 907 972

2 Total

population 5976 8095 4839 8608 4878 4533 4474 5484

3 % of females 49.14% 50.03% 48.58% 50.08% 49.03% 51.64% 49.07% 48.46%

4 % of SC 25.43% 11.62% 9.11% 14.70% 10.76% 18.75% 13.29% 23.12%

5 % of ST 3.59% 12.64% 5.94% 8.21% 9.64% 1.32% 0.87% 6.58%

6 Literacy rate (in

percent) 80.07% 81.13% 71.41% 75.34% 80.43% 78.32% 69.90% 68.89%

7 Cultivators 401 261 1048 1203 509 883 732 521

8 Agri-labourers 703 NA 1184 2179 759 986 1051 1448

Source: Gadag District: Census 2011 data

74

Table- 3.21

SHG details of sample villages in Gadag Taluk

Sl.

No

Name of

village

Total No.

of SHG

Groups

Total No.

of SC

Groups

Total

No. of

ST

Groups

Total

No. of

OBC

Groups

APL BPL

1 Advisomapur 69 12 5 32 38 809

2 Antur 105 2 9 8 46 1218

3 Asundi 65 0 0 49 05 791

4 Binkadakatti 60 2 1 2 03 432

5 Hombal 91 6 5 15 182 1057

6 Hulkoti 96 4 2 88 46 867

7 Nagavi 91 20 8 1 147 1063

8 Harti 69 4 3 9 60 812

Source: panchatantra.kar.nic.in

Table- 3.22

SHG details of sample villages in Rona Taluk

Sl.

No

Name of

village

Total No.

of SHG

Groups

Total No.

of SC

Groups

Total

No. of

ST

Groups

Total

No. of

OBC

Groups

APL BPL

1 Abbigeri 53 3 2 1 62 546

2 Belavanaki 76 3 2 23 62 868

3 Holealur 68 13 1 3 59 725

4 Itagi 49 5 0 5 5 557

5 Jakkali 110 6 9 0 30 1291

6 Menasagi 65 8 0 0 182 564

7 Rajuru 64 5 4 0 1 706

8 Sudi 87 21 6 7 41 960

Source: panchatantra.kar.nic.in

75

Section- III

This section of the study deals with the brief introduction, objectives and

working of Stree Shakti scheme and SKDRDP in Provision of Microfinance through

Bank- Linkage for Women empowerment.

3.4.1 Brief Profile of Stree Shakti Scheme

A Women Empowerment Scheme, Launched by the Government of Karnataka.

The strategy adopted for the programmes in the areas of women development

involves the empowerment of women through education and awareness generation

and greater emphasis on vocational training and employment so as to enable them to

enter the mainstream of economic development as equal partners.

The department implements programmes in the areas of employment,

training for women, awareness generation and gender sensitization. The emphasis is

on helping women to become self-sufficient and economically independent with the

help of training and income generating activities so as to enhance their earning

capacity and to bring up their status in life.

The department aims at the economic development and integration of

women into the main stream of society and also as individuals with a right to human

dignity. Besides expanding the on-going programmes, the department has evolved

some innovative schemes such as "Stree Shakthi" for empowerment of women and

"Santhwana" for providing assistance to victims of various atrocities in the society.

Details of Stree Shakthi Scheme-

The programme was launched by the government of Karnataka during 2000-

01 and it is being implemented throughout the state to empower rural women and

make them self-reliant. Stree Shakthi Groups are formed at the village level to

inculcate the savings habit in the members empowering the women economically.

About 15 to 20 women members who are from below poverty line families,

landless agricultural labourers, SC/ST women join together. StreeShakthi Groups

are formed through Anaganwadi workers and taluk federations. At present there are

1.40lakhs groups functioning in the state approximately 21 lakhs women members are

organized.

76

Table- 3.23

Progress under StreeShakti Scheme

Sl. No Years Expenditure (Rs. In Lakh) Achievement (No.)

1 2009-10 832.93 49989

2 2010-11 97083 86359

3 2011-12 795.36 54145

4 2012-13 1040.48 20904

5 2013-14 663.26 30076

Source: Economic Survey of Karnataka 2013-14

Aims and Objectives:

1. To strengthen the process of economic development of rural women and create a

conducive environment for social change.

2. To form a self-help group based on thrift and credit principles which builds self-

reliance and enable women to have greater access and control over resources.

3. To increase the income levels of rural women by engaging them in; Income

generating activities and creating financial stability.

Savings and Inter Loaning:

Stree shakthi group members have saved Rs.1118.05 crores since inception.

120155 groups have availed bank loans to the extent of Rs.1305.97 crores and have

done internal lending of Rs. 3215.88 crores to take up various income generating

activities.

Revolving Fund:

To help SHGs to take up income generating activities, the department has

contributed an amount of Rs.-5,000/- as revolving fund to add to the corpus of each

group which is used for taking up income generating activities. So far 1, 13,478

SHGs have been given this revolving fund

77

Training:

Training to members of women SHGs constitutes an important component in

Stree Shakthi Programme. The first phase of training for 11 lakh members was taken

up to orient SHG members about the Stree Shakthi Programme. In the second phase

training in gender issues, leadership qualities, communication skills were taken up. In

the third phase training in book keeping, credit management and social issues were

taken up. So far 92,709 groups have been trained in credit management, 97,213

groups have been trained in book keeping and 94,819 groups have been trained in

social issues. In co-ordination with NABARD and MYRADA a capacity building

training programme for Supervisors of Women and Child Development Department

was conducted. Total cost of the training programme is Rs.6.00 Lakhs. 50% of the

training cost is borne by the Department and 50% by NABARD.

Training in Fashion Designing was given to 30 members from Streeshakthi

groups through National Institute of Fashion Technology.

Credit Linkages to SHGs:

As at the end of March 99,969 groups were eligible for credit linkage

with banks and also to take up income generating activities. So far 90,182 groups

have been credit linked and given financial assistance to the extent of Rs. 496.13

crores.

Income Generating Activities:

74,896 SHGs have taken up various IGA programmes available in other

Government Departments namely, Animal Husbandry, NirmithiKendras etc., A few

of these groups have been given training and technical support under Giriraja

Scheme of Animal Husbandry Department. The department has also assisted the

SHGs to procure Giriraja birds. So far 14,718 groups have taken up this activity and

invested Rs.3.81 lakhs towards purchase of Giriraja birds. Different activities taken up

are as follows;

1. Dairying

2. Production and sale of ready-made garments

3. Blanket marketing

78

4. Marketing of seeds and manure

5. Production and sale of

a. Papad

b. Sambar Powder

c. Agarbathi etc.

6. Production and sale of composite manure.

7. Production and sale of soap and detergent.

Table- 3.24

Details of SHGs promoted under streeshakti scheme in Gadag District

Sl.No Name of

taluk Gadag Rona Shirahatti Mundaragi Naragund

1 Total no. Of

SHGs 675 875 737 708 431

2

No. Of

SHGs taking

up Economic

activities

612 712 576 574 224

3

Total savings

of the SHG

member

391.12

lakhs

425.64

lakhs

330.19

lakhs

297.15

lakhs

226.39

lakhs

4

Total amount

of Internal

loan

generated by

SHG

member

546.13

lakhs

575.94

lakhs

445.23

lakhs

427.74

lakhs

198.89

lakhs

5

Total amount

of Bank loan

obtained by

the members

475.58

lakhs

591.77

lakhs

390.11

lakhs

430.61

lakhs

443.35

lakhs

6

Amount of

Repayment

of bank Loan

135.47

lakhs

198.78

lakhs

116.65

lakhs

137.58

lakhs

328.17

lakhs

Source: (CDPO Office, Gadag District)

79

Table- 3.25

Total number of SHGs in Gadag District

Sl.No Taluk

name

No. of

GPs

No. of

Unemployed

Members

No. of

SHGs with

Complete

details

No. of

SHGs with

Incomplete

details

No. of

confirmed

SHGs

1 Gadag 25 757 1668 46 1197

2 Mundaragi 15 770 1214 33 1206

3 Naragund 12 891 848 1 155

4 Ron 30 841 1491 26 1396

5 Shirahatti 24 744 1305 12 397

Total 106 4003 6526 118 4351

Source: panchatantra.kar.nic.in

3.4.2 Brief Profile of Shri Kshetra Dharmasthala Rural Development

Project (SKDRDP) MFI

SKDRDP, which has started in 1982 as a charitable trust to provide livelihood

support programmes to the poor and marginalised in various parts of Karnataka. It is

located in Dharmasthala, a temple village in the state of Karnataka, Dr.Veerendra

Heggade, who heads the management of SKDRDP. The organisation commenced

microfinance operations in 1996 , following SHG model wherein groups of 15-20

members are collectively responsible for repayment of loans sanctioned to each

member .The trust focuses on women and marginalised farmers to make them

financially self-sustainable. Consequently the organisation partnered with banks to

provide SHG-bank credit linkage facilities to SHG members. Every SHG has a leader

and all the SHGs in a village are organised into a federation, headed by a president.

The SHGs meet periodically to mobilise savings, deliver credit, and collect

repayments. MFI trains SHGs on maintenance of required documentation, book-

keeping, and the conduct of meetings and allied affairs. SKDRDP is one of India’s top

five MFIs in terms of loans outstanding and client base.

80

Table-3.26

General details of SKDRDP

Name of the MFI Shri Kshetra Dharmasthala Rural Development Project

Year of Establishment 1982 (microfinance operations commenced in 1996)

Legal Status Registered under the Indian Trusts Act, 1881

Trustee Dr. D VeerendraHeggade

Corporate Office Dhamasthala, Dakshina Kannada District, Karnataka

Operating State(s) Karnataka, Kerala

Lending model Self-Help Group (SHG)

Number of Branches 124

Loan outstanding Rs.18.92 billion as on September 30, 2013

Loan disbursed Rs. 2323 crs in 2013-2014

Loan Portfolio Rs. 3200 crs 2013-2014

Geographical reach 23 district of Karnataka

Villages covered 20,842

SHGs No. 245,000

Members 2,866,000

Client outreach 30 lakh

Products & Services

Offered

Micro Credit, Micro Pension, Health & Sanitation,

Insurance, Water, Education

Source: CRISIL MFI Grading, Directory of Microfinance Institutions (MFIs)

in India

81

Table- 3.27

Product Portfolio of SKDRDP

Loan Purpose Maximum

size

Repayment

(months)

Interest

rate

First loan

Income –generating activities

(IGA)(eligibility on

completion of 3 months of

saving)

10,000 18 18.00

Revolving

fund

Consumption (education,

marriage, purchase of

household products,

&repayment of other loans)

25,000 36 18.00

Livelihood

loan Agriculture , IGA 30,000 48 18.00

Infrastructure

loan

Purchase of farm asset and

construction of (wells, bore

wells, tanks) and land

improvement

30,000 60 18.00

Swagruha Construction/repair of house 1,00,000 120 12.5

SRI loan

Sanctioned with NABARD

for paddy cultivation and

purchase of farm equipment

10,000 6 9.00

Source: CRISIL MFI Grading.

Table- 3.28

Total number of SHGs promoted by SKDRDP in Gadag District

Sl.No Name of

Taluk No. of SHGs

1 Gadag 2793

2 Ron 2593

3 Shirahatti +

Mundaragi 2508

Total 7894

Source: Head office SKDRDP, Gadag.

82

Credit Sanctioning Process.

Member’s credit application are screened by their SHG and federation, and

then forwarded to SKDRDP, which grades the group on a four point scale. An SHG

that scores two points or more become eligible for credit, while the others need to

undertake further training. SKDRDP borrows from commercial banks and disburses

the funds to the SHGs for onward lending to members, at a diminishing interest rate

of 10-18 percent. SKDRDP charges 1.00 percent as processing fees except for the

subsidised loan. Member’s cumulative loans cannot exceed 30 times his/her savings

(for IGA) and 20 times the savings (for non-IGA).Life cover is mandatory for loans

above Rs.50, 000.

3.5) LIST OF MICROFINANCE INSTITUTIONS IN KARNATAKA.

1. ASK Hulkoti

2. Asmitha

3. BASIX

4. BSS

5. Chaitanya

6. FFPL

7. GFSPL

8. GMASS PRAWARDA

9. IDF

10. Janalakshmi

11. Kaveri Credit

12. Navachetna

13. Nirantara

14. NKRDS

15. PRAK FOUND

16. Rores Micro Entrepreneur Development Trust

17. Samasta

18. Samuha

19. Sanghmitra

20. Spandana

21. SKDRDP

22. SKS

23. Ujjivan

24. UrsSeva Trust

All the institutions, except Sanghmitra, are AKMI members.

(Source: AKMI Final Report.)

83

Map showing the study area of the Gadag district

84

85

References

AKMI, Report on Independent Study of Microfinance released in 2010,

indiamicrofinance.com/akmi-report-kolar-microfinance.html

Child Development Programme Office, Gadag.

Child Development Programme Office, Ron, Gadag District.

CRISIL MFI Grading, http://www.skdrdpindia.org/downloads/SKDRDP_

CRISIL%20 Grading%20report%202014.pdf.

District profile- Gadag. Census of India District-code for Gadag: 561

Economic Survey of Karnataka 2013-14 www.isec.ac.in/karnataka-development.htm /

/Gadag District statistical office Report, pp 1-16.

Gadag District at a Glance-2012-13/

Gadag district profile, KVK, Hulkoti. /

/Microfinance Map of India "The Bharat Micro Finance Report - 2013" http://www.sa-

dhan.net/Sa-dhan-indian-map.htm //

Stree Shakti Programme in Karnataka, Women and Child Development Department

http://dwcdkar.gov.in/index.php?Option=com_content&view=article&id=266&I

temid=115&lang=en

Internet sources

https://en.wikipedia.org/wiki/Gadag_District

www.mapsofindia.com › Maps › Karnataka › Districts

gen-profile-state.pdf

gadag.nic.in