About 52 percent of the agricultural households in the country were estimated to be indebted. Among the major States, Andhra Pradesh had the highest share of indebted agricultural households in the country (92.9 percent) followed by Telengana (89.1 percent) and Tamil Nadu (82.5 percent), reveals a report by Situation Assessment Survey of Agricultural Households of the National Sample Survey Organisation (NSSO), conducted during July 2012 – June 2013.
In rural India, about 60 percent of the amount of outstanding loans taken by the agricultural households was taken from the institutional sources, which included Government (2.1 percent), Co-operative society (14.8 percent) and banks (42.9 percent).
Share of income of agricultural households from non-farm business in their average monthly income decreased with increase in land possession. Net investment in productive assets per agricultural household increased with increase in land size.
The survey aimed at capturing the condition of agricultural households in rural India in the context of policies and programmes of Government. It was designed to collect information on various aspects relating to farming and other socio-economic characteristics of agricultural households.