Agriculture sector throughout the world is experiencing rapid technological advancements in its attempt to meet ever rising food requirement. Modern farming now requires use of sophisticated seeds, fertilizers, pesticides and mechanised instruments increasing the capital requirement in farming operations. As a result small hold farmers are often unable to upgrade their farming systems due to financial constraints unlike large scale farm owners. This widens the productivity gap between the small and large scale farm owners. In this video Sharad Bangari from MSCexplains the financial needs of the small hold farmers, limitations of small hold farmers in obtaining institutional credit and the interventions necessary to move them out of this productivity trap.

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