(b) General Credit Facilities

 

            (i) Indebtedness, Rural and Urban:

 

             Indebtedness means the amount borrowed by the people from various sources for investment in the various fields. Rural indebtedness is the amount borrowed by the agriculturists from various sources.  This amount is to be used for the improvement in agriculture, for the purchase of improved agricultural implements, better seeds, fertilizers, etc.  But the amount, thus borrowed, is not generally used for the purpose for which it is borrowed.  The funds are utilised for unproductive purposes such as orthodox, customs heavy expenditure on ceremonial activities, weddings, festivals, etc.

 

            By urban indebtedness is meant the amount borrowed by the industrialists, traders and other business community.  Their business needs are met to some extent by the commercial banks and government agencies, but, for incurring non-productive expenditure, they have to resort to borrowing from the money-lenders.  Contrary to the indebtedness, the amount borrowed is generally utilised for the use in the respective establishments.

              

            Rate of Interest.-   There is no uniformity of rates of interest so far as private lending is concerned.  These vary from place to place and depend upon the borrowing and lending position of the parties concerned.  The rates of interest vary according to the means and the position of the borrower and the security offered.

_______________________________________________________________

               

3.       Report on the Working Class Family Living Survey, 1965-66, pp 109-119 (Publication No. 82, issued in 2968, by the Economic and Statistical Adviser to Government, Punjab, Chandigarh)

 

            The commercial banks in the district generally charge interest from 7 per cent to 13 per cent, according to the amount advanced and security offered.  The banks advance loans on the pledge of goods movable or immovable.  The movable goods are kept in the custody of the banks.  The average lending rate in the Central Co-operative Financial Institutions ranges in between 6 to 8 per cent, depending upon the nature and purpose of loans. The co-operative societies advance loans at the rate of interest ranging from 2 ˝ to 8 ˝ percent. Loans advanced, under the State Aid to Industries Act, 1935, carry interest from 2 ˝ to 6 ˝ percent.

 

            The indebtedness money-lenders charge interest varying from 12 to 25 percent.  The loans advanced by the unregistered money-lenders carry much higher rate of interest, usually ranging from 60 to 100 percent, per annum.  The indigenous bankers are either going out to the picture or they are trying to fall in line with the modern banking institutions.  There is hardly any case where usury is noticed these days.

 

            The interest is sometimes calculated in kind, too, in rural areas.  It is done only in case where loan is advance in kind.  Such interest varies from 25 to 50 percent on the loan advance in kind, i.e., is one quintal of wheat is advanced as loan, it will fetch one quintal 25 kilos or one quintal fifty kilos to the creditors, as the case may be.  Such loans are advanced by landlords, but this practice is by and by disappearing because of the coming up of co-operative institutions which extend financial assistance liberally to the rural areas.

 

            (ii) Role of Private Money-lenders and Financiers

 

            Money-lenders.-  Though the institution of private money-lending has lost its importance, yet it has not been completely eliminated.  It is regarded as a necessary agency where the modern banking has not developed.  The illiterate and conservative people, who have not been fully acquainted with the modern banking practices or have not brought themselves into the co-operative fold, still go to the doors of the private money-lenders.

 

            The money-lenders or the Banian still dominates the rural sector of the district economy.  His supremacy in the field of rural finance is still unchallenged.  The business of the money-lenders is generally a family concern.  His working capital is his own.  He grants loans against all kinds of securities such as gold, jewellery, land, promissory notes, hundis, etc.  He lends against personal credit of the borrowers.  He does not distinguish between short-term and long-term finance and also between the purposes of finance.  He follows indigenous methods of keeping he charges is out of proportion to the rate of interest charged by the other banking institutions.

 

            In the primitive agriculture society, the indigenous money-lender constituted the main and only source of finance to a large section of population.  He served in many ways the agriculturist who required money for the purchase of food and other necessaries of life, for social and religious ceremonies and for securing agriculture requisites such as seeds, bullock etc.  In times of drought and famine, agriculturists used to borrow heavily from the money-lender against the security of agricultural lands return the debts at harvest time.  These debts, not regularly repaid by the farmers, piled up through generation and created in succeeding years the problem of rural indebtedness.  In the absence of any adequate protection to the debtor in the form of State regulation the money-lender indulged in a number of malpractices and caused hardships to the debtors.  The Government had, therefore, to intervene to prevent money-lenders from indulging in malpractices.  The various Acts passed by the Government checked the activities of the money-lenders. The rise and growth of modern banking institutions also affected their business adversely.

 

            Till recently, private money-lending was regarded as a hereditary profession. There was a separate class which was having money-lending as its regular profession.  The children of this class generally used to adopt the same profession in turn.  The passing of the Punjab Regulation of Accounts Act, 1930, affected the private money-lending business adversely.  Though the class of professional money-lending still exists, yet it has either left money-lending as a profession or has refined this profession in line with the modern practice of m0ney0lending.  Now the money-lenders are required to get themselves registered with the concerned Sub-Divisional Officer (Civil) and get a licence under the provisions of the Punjab Registration of Money-Lenders Act, 1938.  Besides, they are required to maintain regular accounts in the books prescribed under the Act.  The number of registered money-lenders in the district in 1972 was 5, besides a number of unregistered money-lenders.

 

            (iii) Government and Semi-Government Credit Agencies

 

            Till recently, the system of indigenous money-lending as a source of finance, both in rural and urban areas, was common.  But the development of Government/Semi Government credit agencies gave a death blow to it.  The Government/Semi Government agencies are: (i) The Punjab Financial Corporation.  It was established in1953 under the State Financial Corporation Act, 1951, with the object of providing medium and long-term loans to industrial concerns located in the Punjab State to the extent of Rs 20 lakhs in the case of a public limited company or a registered co-operative society and 10 lakhs in other case, at a rate of interest of 3 percent above the bank rate, with a minimum of 9 percent per annum.  This amount is repayable in 10 years.  The loans are advanced on the security of land, building, plant and machinery, by way of first registered mortgage, with a margin of 40 percent of the net assessed value.  In case of Government guarantee, the margin is reduced to 25 percent. ; (ii) The Khadi and Village Industries Commission.  It caters to the financial needs of the khadi and village industries for short-term loans. ; (iii) Joint Stock Banks ; and (iv)  Co-operative  banks.

 

            Financial assistance is also rendered by the State Department of Industries under the State Aid to Industries Act, 1935, for setting up new industrial units and for expansion/modernisation of existing units.  The Government also advances loans to the agriculturists of agricultural purpose such as purchase of fertilisers, seeds, cattle, tractors, agricultural implements, etc.

 

            The co-operative societies also advance loans against promissory notes.  After the nationalisation of 14 banks in July 1969, joint stock-banks have extended the loan facilities to the agriculturists, industrialists, traders and consumers against personal sureties, shares, agricultural commodities and other easily marketable.

 

            (iv) Joint-Stock Banks

 

            The banks registered under the Indian Companies Act, 1913, come under this head.  Organised on modern lines of joint-stock companies with limited liability, the joint-stock banks are usually referred to as commercial banks.

 

            The modern banking institutions in the country had a very chequered history.  The beginning of the 20th century was a turning point in their development. The Swadeshi movement gave a great fillip to the banking industry.  A good number of banks were started by enterprising Indian businessmen and capitalists.  However, there were several banking failures.  The first two decades of the 20th century were characterised by progress of banking as well as bank closures.  The World-Wars I (1914-18) and II (1939-45) brought acceleration progress.  During the thirties also there was a banking crises.  The passage of the Banking Companies Act, 1949, in the banking legislation in India.  This Act was amended from time to time.

 

            In the Gurdaspur District, in the beginning, there was at Gurdaspur a branch of the Doaba Bank Ltd., but it had a very short life. Thereafter, a branch of the People’s Bank of Northern India Ltd. was opened.  Though fro a sometime it had a good business, yet it also went into liquidation.  Batala had a branch of Sahukara Bank Ltd.  The Amrit Bank Ltd. with its Head Office at Amritsar, opened a branch at Gurdaspur in 1939 and another one at Batala.  The Batala branch was closed after about a year but another was opened at Dinanagar.  At that time, the Amrit Bank was the only commercial bank at Gurdaspur.  Later on, the Central Bank of India Ltd. And the Imperial Bank of India (now the State Bank of India) also opened their branches there, but these closed soon after.  After the lapse of some period, the Bharat Bank Ltd. and the Punjab National Bank Ltd. opened their branches at Gurdaspur (in 1944), Pathankot (in 1944) and Dinanagar, while the New Bank of India Ltd. opened its branch only at Gurdaspur.  The Bharat Bank Ltd. was amalgamated with the Punjab National Bank Ltd. and the New Bank of India went into liquidation. Thereafter, only the Punjab National Bank of India Ltd. and the Amrit Bank Ltd. remained at Dinanagar and Gurdaspur.  The State Bank of India opened its branch at Gurdaspur in 1952.  The Amrit Bank Ltd. was amalgamated with the State Bank of Patiala in 1968.

 

            The number of banking officers at various places in the district, as on March 31, 1972, was as under:

 

 

 

No. of Banking Officers

 

 

Total

Located in rural area

Located in urban area

State Bank of India

..

7

2

5

State Bank of Patiala

..

1

..

1

Punjab National Bank

..

14

5

9

Other Commercial Banks

..

25

11

14

Co-operative Banks

..

22

10

12

Total

..

69

28

41

                                                                        (Statistical Abstract of Punjab, 1973) 

 

            The different leading joint-stock banks, which have their business in the district are given below:

 

1.      State Bank of India

2.      State Bank of Patiala

3.      Punjab National Bank

4.      Central Bank of India

5.      Allahabad Bank

6.      United Commercial Bank

7.      Bank of India

8.      The Punjab & Sindh Bank Ltd.

9.      The Lakshmi Commercial Bank Ltd.

10.  The New Bank of India Ltd.

11.  The Gurdaspur Central Co-operative Bank Ltd.

12.  The Batala Central Co-operative Bank Ltd.

13.  The Pathankot Central Co-operative Bank Ltd.

 

            The total deposits and bank credit in the district, as on June 30, 1972, amounted to Rs 2,302 lakhs and Rs 995 lakhs respectively.

 

            (v) Post Office Saving Bank Account

 

            The 1971-72, the number of deposited who opened new accounts with the post office saving bank in the district was 973.  The gross deposits in all the accounts, with all the post office saving bank in the district, as on March 31, 1972, amounted to Rs 3,76,08,000.

 

            (vi) Co-operative Credit

 

            The co-operative movement in the country may be have begun with the passing of the first Co-operative made steady progress till 1911, yet it was simple a credit movement as the Act permitted the formation of only credit societies, both urban and rural.  As the Act of 1904 was found deficient to meet the growing needs of the movement, a new Act was passed in 1912. This gave a fresh impetus to the movement institutions.

 

            The co-operative movement was introduced in the Gurdaspur District in 1906, when an Agricultural Co-operative Credit Society was registered in the village Bhaini Milwan (Tahsil Gurdaspur).  In the course of time, a number of co-operative societies came into being at various places in the district.  After the independence, the movement grained momentum with the passage of the Acts of 1954 and 1961.  On June 30,1972 there were 2,336 Co-operative Societies in the district of which 1,3,83 were Co-operative Credit Societies (1,238 agricultural and 145 non-agricultural).4  Besides, two Central Co-operatives Banks function at Gurdaspur and Batala, with branches at different places in the district.

 

            Co-operative Credit Societies.- A co-operative credit society (bank) can be started with ten or more persons, normally belonging to a village.  The value of each share is generally nominal, so as to allow even the poorest farmer to become a member. The members have unlimited liability, that is each member is fully responsible for the entire loss of the society in the event of its failure.

 

            The usual sources of short-term finance for the farmers were the money-lenders who charged high rates of interest and practiced fraudulent methods to deceive the ignorant and the illiterate cultivators.  The Punjab Registration of Money-Lenders Act, 1938, curtailed to some extent the power of Money-lenders.  But the organisation to co-operative societies aims at the elimination of the money-lenders as a class.

 

            On June 30, 1972, there were Co-operative Credit Societies (1,238 agricultural and 145 non-agricultural) in the district.  Their function is to mobilize saving to the members and to advance loans at reasonable rates of interest for productive purposes.   

 

            The details pertaining to the membership and the working of agricultural and Non- Agricultural C-operative Credit Societies functioning in the district during 1966-67 to 1971-72, are given in Appendices I and II at pages 203-204.

 

(c) Insurance and Small Savings

           

            Insurance.- The agencies doing insurance business play an important role in tapping a portion of the public savings in the form of insurance premia.  With the nationalisation of life insurance business in 1956, the Life Insurance Corporation of India has foremost and the largest single agency doing life insurance business in India.                    

 

                4.  Statistical Abstract of Punjab, 1972, p. 405

 

            Prior to the formation of Life Insurance Corporation of India in 1956, there were several insures transacting life insurance business all over India, including the district of Gurdaspur.  Though there was no insurer having its registered office in the district, yet the life insurance business was being done by the done by the agents of the different companies.

 

            The life Insurance Corporation of India opened its first branch office at Gurdaspur on September 1,1956, to cater to the insurance needs of the people.  Later on, other branches were opened at Batala and Pathankot on March 21, 1960, and March 30, 1960, respectively, to cover the whole of the district.  To expand the business to the rural areas, the Life Insurance Corporation appointed Development Officers and agents for doing business on its behalf.  The number of Development Officers agents in the different branches of the Life Insurance Corporation in the district, as on March 31, 1972, was 29 and 468, respectively.

 

            The Life Insurance Corporation advances loans to the holders and government and semi-government concern.  It charges 6 percent and 7 ˝ percent rate of interest against polices and houses, respectively.

 

            The following statement shows the business secured by the Life Insurance Corporation of India in the district 1966-67 to 1971-72:

_____________________________________________________________________________________________

Business secured by the Life Insurance Corporation of India in Gurdaspur district, 1966-67 to 1971-72

 

Name of Branch

 

Year

 

1966-67

1967-68

1968-69

1969-70

 

No. of Policies

Amount (Rs)

No. of Policies

Amount (Rs)

No. of Policies

Amount (Rs)

No. of Policies

Amount (Rs)

Gurdaspur

..

1,211

68,39,000

1,373

81,30,000

1,343

1,01,40,000

1,410

1,23,41,000

Pathankot

..

1,579

93,56,000

1,750

1,26,20,000

1,349

1,00,81,000

1,496

1,40,13,000

Batala

..

893

68,70,000

1,170

89,68,000

987

95,15,000

1,034

1,03,24,000

Total

..

3,683

2,30,65,000

4,293

2,97,18,000

3,679

2,97,36,000

3,940

3,71,78,000

 

 

 

 

 

 

 

 

 

 

 

 

1970-71

1971-72

 

 

 

 

 

 

No. of Policies

Amount (Rs)

No. of Policies

Amount (Rs)

 

 

 

 

 

 

1,482

1,28,70,000

1,968

198,24,000

 

 

 

 

 

 

1,582

1,64,34,000

1,724

1,91,47,750

 

 

 

 

 

 

904

1,19,04,000

1,260

1,38,66,500

 

 

 

 

 

 

3,968

4,12,08,000

4,952

5,28,38,250

 

 

 

 

                                                                                (Source: Divisional Manager Life Insurance  Corporation of India, Divisional, Jullundur)

            Before the nationalisation of the general insurance companies on January 1,973, the Life Insurance Corporation has also started the general insurance business on January 1,1964, in addition to the life insurance.  On January1, 1973, the general insurance companies were also nationalised and an apex body, known as the General Insurance Corporation, came into existence.  Under the General Insurance Corporation, four general insurance companies, viz. the Oriental Fire and General Insurance Company Lt., the New India Assurance Company Ltd., the National Insurance Company Ltd. and the United India Fire and General Insurance Company Ltd., are working.

 

            The general insurance policies of every type are issued for only one year and are renewable every year.  The risks covered under the general insurance are ebroadly of three types, viz. fire, marine (tranportation of goods) and miscellaneous insurance.  Under the miscellaneous insurance, there are about 20 to 25 types of insurances including motor and all other types of insurances like fidelity guarantee, aviation insuranmce, burglary, personal accidents, etc.  Besides the above, cattle insurance has also been introduced from 1974.  It is also proposed to introduce crop insurance on experimental basis.

 

            Small Savings. – Small Savings Scheme has been devised by the Government of India mainly with a view to mobilise public savings and to raise funds for financing development projects and at the same time to encourage the habit of thrift among the people.  out of the money invested by the people in small savings, two-third is available to the State Government as interest bearing loan from the Government of India which is used for development activities within the State/

 

            The scheme dates back to the World War I (1914-1918), when the Government of India introduced the postal cash certificates for the first time.  During the World War II (1939-1945), the Government of India started in 1943 the Post Office National Savings Certificates Scheme with a view to withdraw excess purchasing power of the people, generated on account of increased war expenditure and also to check the inflationary spiral created by war conditions.  After the independence (1947), the Government of India introduced a wide range of securities under the Small Savings Scheme at attractive rates of interest, as it saw great potentialities for developing them to finance its diverse activities, including the schemes under the Five-Year Plans.

 

            Small Savings is a Centrally sponsored scheme, controlled by the Ministry of Finance (Department of Economic Affairs), Government of India.  The National Savings Commissioner, Government of India, with his headquarters at Nagpur, heads the National Savings Organisation and looks after the small savings work in the country.  Under his direct control, there are Regional Directors, National Savings, posted in the different States.  In the Punjab, the Regional Director, National Savings, is posted at Chandigarh.  He has under him four Assistant Regional Directors, National Savings, at Amritsar, Jullundur, Ludhiana and Chandigarh.  In each district, there is a District Savings Officer, National Savings Scheme.  In some of the important districts, however, there are two District Savings Officers.  In Gurdaspur District, there is one District Savings Officer.  All these officers are under the direct control of the National Savings Commissioner.

 

            The Directorates of Small Savings have been set up in the States in order to have batter co-ordination between the Central Organisation and the State Governments.  The Director, Small Savings, Punjab, Chandigarh, is the head of the State Government Small Savings Department.  At the district level, thee District Savings Officer is the co-ordinating agency between the Central Organisation and the district authorities.  He provides necessary assistance to the district authorities in the promotion and growth of the movement.

 

            The number of agents, who canvassed and propagated for the Small Savings Scheme on commission basis in the Gurdaspur District, as on March 31,1972, was 36.

 

            The gross and net investments under the Small Savings Scheme since its inception in the district are given below : 

 

Year

 

Gross Investments (Rs)

Net Investments (Rs)

1968-69

..

2,65,34,000

2,40,000

1969-70

..

3,33,13,000

46,13,000

1970-71

..

3,85,81,000

58,89,000

1971-72

..

4,15,25,000

54,35,000

                                                (Source : District Savings Officer,  Gurdaspur)

 

 

(d)   Currency and Coinage

 

            With a view to bring about some uniformity with the currencies of other countries and also to make accounts keeping more easy and understandable, the new decimal coinage system was introduced in India in April 1957.  The old rupee was divided into half a rupee (Delhi of Athani), one fourth of a rupee (Pauli or Choani) one eighth of a rupee (Dvani), one sixteenth of a rupee (anna).  The rupee had 32 takkas and 64 paisas.  Now a rupee consists of 100 paise, with different coins of the denominations of 1, 2, 3, 5, 10, 20, 25, and 50 paise.  Currency notes are issued in the denominations of 1, 2, 5, 10, 20, 100 and 1,0005  rupees.  The decimal coinage completely replaced the old prevalent coinage with effect from April 1, 1964.  Naya paisa, named in the beginning, is now called paisa.  On the withdrawal of the ole coinage from circulation, the prefix naya became redundant and was dropped with effect from June 1, 1964.

 

            In the initial stages of the introduction of the new currency, the public in general and the rural masses in particular experienced some difficulty over the conversion of the old currency into the new one.  However, the wide-spread propanganda and publicity through the press, the platform and the radio, etc., by the officials and non-officials made the new system popular and understandable among the general public.  The decimal coinage system has made the accountancy and book-keeping much easier, quicker and simpler.  It has also facilitated the internal as well as external trade and foreign exchange.

 

(B)  Trade and Commerce

 

            Agriculture is the mainstay of the people of the district and the majority of the population depends directly or indirectly on it for livelihood.  Paddy is the bumper crop of the district and it is produced on commercial scale.

 

            Pathankot and Batala are the most important centres of trades and commerce in the district.  The major items of exports from the district are industrial machinic goods (chiefly machine tools and agricultural implements), paddy and timber. Industrial products are sent out mostly from Batala and Dhariwal, whereas timber is exported from Pathankot.  Pathankot is the premier marker for timber which comes from the forests of Jammu and Kashmir, Chamba and Kangra.  The Dhariwal Mills obtain wool from Kulu, Manali, Jammu and Kashmir and Sonepat and also from Australia and New Zealand.  The principal industrial exports items from the Gurdaspur District are machine tools, woollen fabrics, lathes and bandsaw auto-parts, engineering goods and textile goods.  These valued Rs 16.10 lakhs in 1971-72 and Rs 27.25 lakhs in 1972-73.

 

            The major items of import into the district are salt, coal, gunny bags, kerosene, cloth, iron and steel.

 

(a)   Course of Trade

 

            The usual course of trade in agricultural produce in the district is from the producer to the consumer via the middleman.  There is no direct link between the producer and the consumer.  The main types of middlemen are wholesalers, retailers and commission agents or arhtias.  The individual growers being their surplus agricultural produce for sale to a nearby mandi (marker) and the dealers sell it to the  traders who send it by road and rail to other mandis.  The village traders also collect agricultural commidities from different cultivators and take them to the arhtias for sale.

 

            The purchasers of the grain market gather at the shop of kutcha arhtia, and then the sale of the commodities is started in open auction, under the supervision of the auctioneers appointed by the marker committee, through the commission agents turn by turn.  Such sales are daily conducted during the hours fixed for this purpose.  Kutcha arhtias, who sell the commodities, on behalf of the cultivators, receive commission on fixed rates permissible under the bye-laws of the marker committee.  The delivery of the goods is made at the shop of the kutcha arhtia and the purchaser himself arranges for their carriage to his premises at his own cost.  The kutcha arhtia pays the sale price to the seller immediately after the transaction is completed.

 

            This procedure is usually considered favourable because the cultivators and the village traders get reasonable prices for their commodities when sold in open auction, whereas in villages in the absence of competition, the cultivators do not get fair price their commodities.

 

            There are eleven grain markets in the district at Gurdaspur, Batala, Dinanagar, Pathankot, Dhariwal, Qadian, Kalanaur, Fatehgarh Churian, Dera Baba Nanak, Srigobindpur and Sarna.  Of these, Batala is the biggest wholesale business centre where large quantities of paddy, wheat, massar and oil-seeds are marketed.

 

(b)   Trade Centres

            (i)  Regulated and Unregulated Markets. –To save the cultivator from the evils of unhealthy market practices and to ensure a fair price for his produce, the State Government passed the Punjab Agricultural Produce Markets Act in 1939.  The Act provides for the regulation of markets through market committees which represent growers, commission agents and traders, local bodies and the State Government.  The market committees standardise various market practices and charges and enforce the use of standard weights, thus ensuring a fair deal to the cultivators.

 

            The regulated markets play an important role in helping the sale of commodities at the most fair and reasonable prices.  The cultivator is now much safeguarded against the underhand and illegal practices which previously used to be adopted by the traders (beoparis) and other intermediaries.  The charges and deductions are quite reasonable, uniform and well standardized.

 

            In the regulated markets, all the commodities brought by the growers, village traders, etc., are sold in open auction in the presence of most of the dealers, under the supervision of the auctioneers appointed by the market committee.  Auction is held during the market hours at each shop, turn by turn.  When the auction is over, a receipt showing the weight, rate and net price after making necessary deductions is issued to the cultivator, who, later on, on showing the same, receives payment from the arhtias.

 

            There are six regulated markets in the district at Gurdaspur, Batala, Dinanagar, Pathankot, Dhariwal and Qadian.  The main commodities for which transactions usually take place in the different markets are given below :

 

Batala

..

Paddy, wheat, gur/shakkar, maize and barley.

Qadian

..

Paddy, wheat, gur/shakkar, and maize.

Dhariwal

..

Paddy and wheat.

Gurdaspur

..

Paddy, wheat, barley, maize and gram

Dinanagar

..

Paddy, wheat, barley and maize

Pathankot

..

Wheat, potatoes, paddy, maize, gram and gur/shakkar.

 

 

            There is no unregulated market in the district as the whole of the Punjab State has been brought under the regulated markets.

 

(ii)  Fairs, Melas and Other Rural Marketing Centres

 

            Fairs and Melas. – There are numerous places in the district where fairs and melas are held.  The important fairs are : Chola Saheb (held at Dera Baba Nanak), Baisakhi (held at Dera Baba Nanak and Talabpur Pindori), Shivratri (held at Kalanaur and Talwandi), Basant (held at Batala at the Samadhi of Sati Lakshmi, wife of Veer Haqiqat Rai), and Guru Nanak Dev’s marriage (held at Batala).  Of these, the fairs of Chola Saheb held on Phagan 20 (in March) and Baisakhi (in Aprial) held at Dera Baba Nanak are the biggest and attract a large number of visitors from far and wide.  The religious, seasonal and recreational fairs and festivals held in the district are mentioned in Chapter III ‘People’.

 

            The fairs and festivals which have some trade significance are mentioned in Appendix III at pages 205-207.

 

            Cattle Fairs. – These are held in the district every month at Batala, Gurdaspur, Dinanagar, Dera Baba Nanak and Fatehgarh Churian, on different dates.  Of these, that held at Batala is the most important.  The cattle fairs serve a very useful purpose by bringing the breeders and buyers in direct touch.  These are also a source of income to the Government which charges fee on the sale/purchase of cattle and other animals.

 

(c)    Co-operation in Trade

            Co-operative Marketing. – Marking represents not only the sale of produce in the mandi, but also include all the stages and processes it has to undergo in order to reach the consumer.  It, in fact, represents the whole pipe line between the producer’s field and the consumer’s store room.  Marketing process, therefore, starts in the field, where commodities of good quality may be produced in order to get a better price.

 

            In the sale of his produce, the cultivator has always remained weak bargainer.  The malpractices in mandis, including under weighments, delayed payments, unauthorised deducations, etc., are proverbially damaging to the growers.  Moreover, absence of storage arrangements and lack of funds compel the farmers to sell their produce immediately after the harvest.  To combat the difficulties and to bring fair return to the cultivators, co-operative marketing societies have been organized.

 

            At the district headquarters, there is a District Wholesale Co-operative Marketing and Supply Society at Gurdaspur.  It was registered on September 30, 1953.  Though it does not undertake trading operation like the private arhtias, yet it assists the consumers in supplying certain consumers goods like sugar, kerosene, soaps, etc., and also other requirements of the agriculturists like fertilizers, implements, seeds, insecticidies, etc.  Besides, the following are the registered co-operative marketing societies in the district :-

 

 

 

Name of Society

 

Date of Registration

1.

The Pathankot Co-operative Marketing-cum-processing Society Ltd., Pathankot

..

19-4-1951

2.

The Batala Co-operative Marketing-cum-Processing Society Ltd., Batala

..   

6-2-1954

3.

The Dhariwal, Co-operative Marketing-cum-Processing Society Ltd., Dhariwal

..

16-1-1957

4.

The Gurdaspur, Co-operative Marketing-cum-Processing Society Ltd., Gurdaspur

..

23-7-1958

5.

The Dera Baba Nanak, Co-operative Marketing-cum-Processing Society Ltd., Dera Baba Nanak

..

13-5-1959

6.

The Dinanagar, Co-operative Marketing-cum-Processing Society Ltd., Dinanagar

..

21-11-1959

7.

The Fatehgarh Churian, Co-operative Marketing-cum-Processing Society Ltd., Fatehgarh Churian

..

21-12-1962

8.

The Quadian, Co-operative Marketing-cum-Processing Society Ltd., Quadian

..

25-6-1965

 

 

            The co-operative marketing societies have the primary co-operative credit societies, formed amongst the agriculturists in the rural areas, and also the individuals, as their affiliated members, who contribute shares and market their produce through the society.  These societies are duly registered under the Punjab Co-operative Societies Act, 1954.  The markets, other than the co-operative markets, are registered under the Punjab Agricultural Produce Markets Act, 1939, and are managed by the market committees duly constituted under the said Act.

 

            The Central Co-operative Banks are the main financing agencies for the co-operative marketing societies.  These societies, like other trading groups and agencies, undertake the marketing operation.  The difference between the two is that the co-operative marketing societies are not allowed to enter into outright purchase, whereas the oother trading groups and agencies do so.  The profit earnmed by the other trading groups and agencies goes directly into the pockets of the individual traders whereas it is shared by all the members of the co-operative societies. Besides this, the latter also receive rebates on the basis of commission paid by them and it is a great attraction and lurement to them.  The growers find full satisfaction so far as the rates, weightment and other dealings with the societies are concerned.  A number of godowns have been constructed by the co-operative marketing societies-both in rural and urban areas-wheree storage facilities are provided to the members.  The number of godowns owned by these societies in the district, as on Jund 30, 1972, was 33.  These godowns help in collecting the produce of the cultivators in villages and arranging for its transportation to the nearest marketing society.  The storage charges in these godowns are quite nominal.

 

            The work done by the co-operative marketing societies in the district, during 1966-67 to 1971-72, is shown in Appendix IV at page 208.

 

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