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RURAL DEVELOPMENT - NCERT

99 RURAL DEVELOPMENT After studying this chapter, the learners will understand RURAL DEVELOPMENT and the major issues associated with it appreciate how crucial the DEVELOPMENT of RURAL areas is for India s overalldevelopment understand the critical role of credit and marketing systems in ruraldevelopment learn about the importance of diversification of productive activities tosustain livelihoods understand the significance of organic farming in ECONOMIC INTRODUCTIONIn Chapter 4, we studied how povertywas a major challenge facing India. Wealso came to know that the majorityof the poor live in RURAL areas wherethey do not have access to the basicnecessities of is the major source oflivelihood in the RURAL sector. MahatmaGandhi once said that the real progressof India did not mean simply the growthand expansion of industrial urbancentres but mainly the DEVELOPMENT ofthe villages.

integrated into the overall rural social and community development. Since some kind of collateral is required, vast proportion of poor rural households were automatically out of the credit network. The SHGs promote thrift in small proportions by a minimum contribution from each member. From the pooled money, credit is given to the

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