Impact of Institutions on Economy of Farmers-A Case Study of Mulkanoor Co-operative Rural Bank and Marketing Society in Telangana

This paper has examined the impact of Mulkanoor Co-operative Society on the economy of farmers in Bheemadevarapally mandal of Karimnagar district in the state of Telangana. The study has revealed that membership and share capital of the Society have shown an increasing growth rate. Among various types of loans advanced by the Mulkanoor Cooperative Society, crop loan or short-term loan accounted for a major share of 61.89 per cent, followed by normal loans (31.04%). The loan recovery performance of the Society has revealed more than 90 per cent recovery of total loans advanced to its members. Apart from providing loans, the Mulkanoor Cooperative Society through its production, marketing and consumer services, was able to generate more profits and emerged as a self-sustained cooperative society. The Society also provides welfare services to its members in various manners like providing life insurance, incentives to students under Jansree Bhima Yojana. All these measures have resulted in developing a sense of belongingness and commitment among the members for the growth the Society which is one of the major reasons for the success of the Society. The cropping intensity and returns per rupee investment on crops grown by the sample farmers have also been found high among the beneficiary farmers compared to non-beneficiary farmers of the Society.