Harvesting Debts: Unravelling The Socioeconomic Impact Of Farmer's Indebtedness

Abstract

Rural indebtedness has continuously been a serious social and economic problem in India. The problem of farmers' indebtedness is a significant obstacle in the present agricultural scenario of India. The farmers' indebtedness has a multifaceted and crucial effect on agricultural sustainability and rural development. The current paper seeks to clarify the socioeconomic consequences of farmers' indebtedness, offering an understanding of the challenges they face and the broader repercussions for society. The main aim of the study is to examine the variables that contribute to farmers' indebtedness and then evaluate the socioeconomic repercussions of agricultural debt. The data for studying the farmers' indebtedness and its causative factors are acquired from a comprehensive survey performed on 385 homes of farmers. The results present the need to tackle the multiple variables that contribute to farmers' debt and the wide-ranging social consequences it has. The results include more analysis on the projected farm income, the consequences of agricultural trade liberalization on farmers' debt and suicide rates, and the obstacles affecting farm finances. The study strongly indicates the need for effective implementation of crop insurance systems and diligent monitoring of loan use.