The effect of microfinance on dairy sector for uplifting backward sector in Kerala
Poverty in India is widespread with the nation estimated to have one third of world's poor. Micro finance as a powerful tool and a novel concept emerged for eradication poverty at the grass roots through financial inclusion, economic and social development and attaining self –sufficiency. Micro Finance is an important factor which can lead to the rise in the standard of living of poor families if it is utilized in an effective manner. Micro finance enters in all areas as and sectors including the dairy sector in Kerala. Dairy development gained acceleration in the state of Kerala with the inclusion of the State under the 2nd phase of the Operation Flood programme in 1983 and the North Kerala Dairy Project (NKDP) in 1990. Most of the farmers in the dairy sector are poor and difficulty to find capital of their own. Micro finance is one of the sources of capital for the farmers. This paper attempts to examine the effect of microfinance on dairy sector for overcoming poverty by analysing the primary data obtained through an interview with 150 members of different districts of Kerala, India as well as secondary data.