The Gazetteers Department

Bhir is predominantly an agricultural district. The state grants financial assistance to the needy agriculturists in the form of tagai loans under various legislative measures. Two such measures viz., the Land Improvement Loans Act of 1883 and the Agriculturists' Loans Act of 1884, today govern the state's financial aid to the agriculturists. The former Act is broadly concerned with long-term finance and the latter with short-term one. Loans under the Land Improvement Loans Act of 1883 are granted for construction of wells and tanks, for preparation of land for irrigation, for drainage, reclamation and for other improvements in land. Loans under the other Act are granted to holders of arable land for purchase of seed, fodder, cattle, agricultural stock, and implements required for other agricultural purposes. They are granted also for rebuilding houses destroyed by calamities, maintenance of cultivators and other related purposes. Similar Acts were in operation in Bhir district even when it was a part of the ex-Hyderabad State.

The loans under these acts are advanced on the security of moveable property. Personal security is accepted, only if the solvency of the agriculturist is assured. When the amount of loan is large, the security of immovable property is almost invariably demanded.

The following table gives the amounts advanced under tagai loans during the years 1962-63 and 1963-64.

TABLE No. 11

Tagai Loans advanced in Bhir district in 1962-63 and 1963-64.

Year	Agency	For Wells		For other land improvements		For bullocks		Total
(1)	(2)	(3)		(4)		(5)		(6)
		Rs.	p.	Rs.	p.	Rs.	p.	Rs.	p.
1962-63	Revenue authority	27,342	00	2,618	96	5,35,760	00	5,65,720	00
1963-64	Do	39,050	00	9,592	58	5,89,949	78	6,38,592	36
1962-63	Block-extension authority	2,20,765	00	1,34,035	00	--		3,54,800	00
1963-64	Do.	3,93,350	00	1,34,000	00	--		5,27,350	00
1962-63	Land development bank	31,92,050	00	5,27,650	00	--		37,19,700	00
1963-64	Do.	6,35,828	58	9,34,125	00	--		15,69,953	58
1962-63	Central co-operative bank	--		3,39,885	00	--		3,39,885	00
1963-64	Do.	--		10,61,400	00	--		10,61,400	00
1962-63	Total	34,40,157	00	10,04,188	96	5,35,760	00	49,80,105	96
1963-64		10,68,228	58	21,39,117	58	5,89,949	78	37,97,295	94

No data regarding the grant o£ tagai to the agriculturists in Bhir district prior to 1941 is available. The accompanying tables give details about the same for three years viz., 1941, 1951 and 1961. The tables show that during this period government's financial assistance under the Land Improvement Loans Act of 1883 and the Agriculturists' Loans Act of 1884 was on the in-crease. The increase was more marked after the commencement of the Planning period in India when agriculture was accorded top priority in the Development Programme. The number of applications for tagai also increased during this period. However, the number of persons applying for loans was small in relation to the total population engaged in agriculture in the district. The tables further reveal the inadequacy of funds made available in relation to the total demand for tagai. There could also be marked the irregularities in the repayment of tagai by the borrowers with the result that the outstandings have gone on mounting. The main reasons for this are: (1) improper use of the funds obtained by the agriculturists, (2) concessions granted by government in regard to repayment, and (3) the gradually rising prices. Irregularity in the repayment of tagai adds to the difficulties of the government in granting the tagai on an increasing scale.

The loans were granted for well-digging, for purchase of seed and fodder and for purchase of draught animals. The time-lag between the date of applications for loans and the date of sanction in the majority of cases was less than three months and in some it was less than a month.