Paddy Storage in Rural Godowns in Tungabhandra Project Area in Karnataka — A Mode of Economic and Food Security

The paper has studied the impact of Gramin Bhandaran Yojna (Rural Storage Scheme) launched in 2001 to create storage capacity in the rural areas for farm produces, agricultural inputs, etc. and prevention of distress by introducing a pledged loan plan. The study conducted in the Tungabhandra Project area in Karnataka is based on the primary information collected on paddy storage from 90 farmers, both users and non-users of the scheme, for the years 2009–10 and 2010–11. The study has revealed that user-farmers were able to get 9–13 per cent higher price for their produce by holding it for about four months in these godowns and avoiding distress sale. The construction godowns has become a source of income also. The enhanced income has helped in raising the living standards of farmers and augmenting their household asset base, farm implements, farm buildings, livestock asset and other consumer goods. The study has identified the constraints being faced by the farmers in utilization of this facility.