Canara Bank RSTC Gurgaon

Agriculture Snap Test -222

Snap Test - 222

1. New farmer is the one who is availing of bank credit for the first time. Each Rural / SemiUrban branch has to finance at least _______________ each year. For the purpose of
identification of new farmers ________________ is to be obtained. Answer:
2. Piggery Farm without bacon processing shall be classified as (a) Manufacturing (b)
Service enterprise (c) Direct Agriculture-Farming activity (d) Indirect Agriculture (e)
Micro Finance Answer:
3. Bank has now proposed to have a focus on financial inclusion/ financial deepening by
bringing the existing credit products like GCCS, DIR, TFG Financing, etc. apart from
micro insurance & concessional transfer facilities under an Umbrella scheme called
_____________________ (a) Janashree Bima Yojana (b) Each one Reach one (c) Canara
Nayee-Disha (d) Micro credit Group (MCG). Answer:
4. In respect of Crop loans and other Agricultural related loans to whom Income Tax
provisions are not applicable, submission of Audited B/S need not be insisted for loans
amounts upto ________________ Answer:
5. Discretion has been given to the sanctioning authority to waive insurance cover for
assets charged to the Bank for agricultural loans/advances upto ___________ on the
merits of each case. Answer:
6. What is mixed farming: a) cultivating 2 crops simultaneously b) Cultivating in 2 types of
soils c) Cultivating crops and Allied Activities d) cultivating 2 crops in a year Ans:
7. Now, RBI has allowed the Authorized Dealers to grant rupee loans to NRIs except for the
following purposes: (a) Business of chit fund & Nidhi company (b) Construction of Farm
Houses (c) Agricultural or Plantation activities (d) Real Estate Business (e) All the
above.: Answer:
8. Manufacture of Bio fertilizer is to be classified as :_________________ (a) Direct
Agriculture (b) Indirect Agriculture (c) MSME - (Mfg /Industry) (d) MSME - (Services)
Answer:
9. Which of the following activities considered as MSME - Service? (a) Agri-Clinic and
Agri-Business (b) Renting of agricultural Machinery (Harvesting) (c) Training-cumincubator Centre (d) Seed Grading Services (e) All the above. Answer:
10. All loans under schematic lending (under agriculture, government sponsored schemes,
finance to SMEs etc) are coming under which of the following business lines? (a) Private
Banking (b) Commercial Banking (c) Retail banking (d) None of the above.. Answer:
11. It is an informal group of progressive and prompt paying borrowers. They disseminate the
information to the rural fraternity, about the various financial products and the principle
of development through credit; inculcate the habit of savings, better repayment ethics.
They also give information about the problems faced by the farmers, to the
Bank/NABARD/Government. They act as financial literacy centers in the villages. They
act as a bridge between the rural people and the Bank/NABARD/Government. RBI has
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Agriculture Snap Test -222
also permitted the Banks to engage them as Business Correspondents / Business
Facilitators. The description pertains to ________________. Answer:
12. Composite unit of Bacon Processing and Piggery Farm is to be classified as : (a) MSME
- (Mfg /Industry) (b) MSME - (Services) (c) Direct Agriculture (d) Indirect Agriculture
Answer:
13. The coverage under the RKBY Scheme in respect of loans granted for notified crops in
notified areas (as decided by the participating State Government/Union Territories) is
mandatory. RKBY is a risk mitigation product of _____________ (GIC/LIC/AIC/UIA)
Answer:
14. Additional interest subvention of ___% will be available in case of farmers who repay
loans promptly, thus rate of Interest for such farmers would come down to 4% p.a. for the
crop loans upto Rs.3 lakhs. Answer:
15. The scheme provides credit to persons belonging to economically disadvantaged
sections of the society. The loans can be sanctioned for smaller groups with 3-5
members in urban areas and 5-10 members in Rural and Semi urban areas. The finance
can be granted for starting/improving/expanding any type of income generating activity.
The group mentioned here refers to: (a) Joint Liability group (b) Tenant farmer group (c)
Self Help Group (d) Micro credit group. Answer :
16. Which of the following is NOT true regarding MCGs? (a) Limit permitted per member is
Rs.50000/- and a maximum of Rs.500000/- per group. (b) Debt swapping facility to
group members is also permitted up to a maximum of Rs.25000/- within the overall
limit of Rs.50000/- per member. (c) For availing the Debt swap loan facility, the loan
taken from the money lender should be at least one year old. (d) No Margin need to be
brought in by the members in a group. (e) None of the above is incorrect. Answer:
17. Which of the following is NOT true regarding MCGs? (a) The loans given to the groups
are to be treated as clean loans. (b) Should be repaid in monthly/quarterly/half yearly
installments, with repayment holiday of three months in the beginning. (c) The maximum
repayment period that can be generally permitted is 48 months. (d) The terms of
repayment can be extended up to 60 months depending upon the income generation. (e)
None of the above is incorrect Answer:
18. Which of the following is NOT true regarding Janashree Bima Yojana Scheme ? (a)
Janashree Bima Yojana is a Death cum Disability insurance scheme by LIC of India. (b)
All the Credit Linked Women Self help Group members are eligible to be covered under
the scheme. (c) The premium payable is Rs.200/- per member per year. Members have to
pay a premium of Rs.100/- per year and the balance would be met by Govt. of India (d)
The policy is valid only for one year and hence requires renewal every year by paying the
premium. (e) None of the above is incorrect. Answer:
19. Under Janashree Bima Yojana compensation is available for Natural death upto
________________; & for Death due to accident ______________; Permanent
disability due to accident ___________ Answer:

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Agriculture Snap Test -222
20. The add-on benefit available in Janashree Bima Yojana Scheme is a scholarship of
Rs._____________ per annum, for two children of the JBY members, who are studying
in _________ to ________ standard. Answer:
21. Loans upto _____________ for purchase & distribution of inputs to allied activities such
as Cattle feed, poultry feed etc & Drip and Sprinkler irrigation dealers upto
_____________ per dealer can be classified as Indirect Agriculture. Answer:
22. The farmers having land holdings of __________ and less of dry land, tenant cultivators,
share croppers are only classified as small farmers. In respect of borrowers who do not
possess land (owned or leased) but are engaged in non land based activities allied to
agriculture such as dairy, poultry, piggery, etc and having income from all sources,
farmers with annual income of _________ or other farmers. Answer:
23. Adjusted Net Bank Credit denotes Gross Bank Credit plus Investments made by banks in
Non-SLR Bonds held in _____________ category. Answer:
24. For borrowers with 2 years satisfactory track record & where Charge is created under the
State Act as per Talwar Committee recommendations, branches can extend agricultural
loans without insisting on mortgage of landed property upto ______________ as Subceiling for any one loan segment-Crop loans/development/investment loan and
Rs._____________ as the overall ceiling. Answer:
25. Branch managers and AEOs are empowered to value the landed properties offered as
security for agriculture loans as mentioned below: Branch Managers- Agriculture loans
upto a limit _____________. AEOs / AEO promotee managers Agriculture loans upto
_____________ Answer.
26. Display of Hypothecation board need not be insisted for all agriculture loans upto a limit
of ________________ and all crop loans, KCCS, Kisan Suvidha, Canara Kisan OD,
irrespective of amount. Answer:
27. Agriculture extension activity: A budget of ___________ in respect of rural and semi
urban branches is permitted for a minimum of ________ activities in a year. Answer:
28. It has been decided that branches can finance upto _________ in their command area for
all Priority Sector Advances. For financing beyond, the branches have to obtain the
permission of Circle Office for branch sanctions. Answer
29. For Development Loans upto ________ obtention of bills / vouchers / receipts can be
waived, subject to obtention of a declaration from the borrower for having incurred the
expenditure + conducting post sanction visit within 15 days from the date of
disbursement for ensuring and confirming end use. Answer:
30. Expenses towards storing, processing of produce and expenditure incurred in holding like
godown charges, treatment of food grains to prevent pest/rodent attack of the agricultural
produce till marketing can be covered under the __________________ scheme. Answer:
31. Reimbursement as a mode of disbursement is to be permitted only in respect of
development loans under Agriculture. The reimbursement is to be permitted for expenses
incurred within __________. Maximum reimbursement of ______________ can be
permitted. Sanctioning authorities can permit reimbursement upto and inclusive of
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Agriculture Snap Test -222
_______________ out of the total sanctioned limit in case of agriculture development
loans where immovable assets are created / developed. Answer:
32. A loan granted for short duration crops will be treated as NPA, if the installment of
principal or interest thereon remains overdue for __________ seasons. A loan granted for
long duration crops will be treated as NPA, if the installment of principal or interest
thereon remains overdue for __________ season. Answer:
33. Which of the following is NOT true regarding KCCS? (a) Opening of SB A/c need not be
made a pre condition to grant KCC. (b) Time norms modified - within 15 days from
receipt of application. (c) Loan limit should not exceed 50% of value of the produce. (d)
No drawal in the account should remain outstanding for more than 12 months, except for
long duration crops. (For long duration crops it is 18 months.) (e) None of the above is
incorrect. Answer:
34. Sub-limit II of Kisan Credit Card Scheme shall be ___________ the annual net income
of the farmer subject to a maximum of _________. Answer:
35. Validity of Kisan Credit Card Scheme is _______________ subject to annual review.
Answer:
36. Agriculturists with ________ satisfactory dealings are eligible for Canara Kisan OD.
Answer:
37. Canara Kisan OD Limit: Maximum 3 times _________ (Gross / Net) annual income with
minimum Rs.100,000/- and Maximum of Rs._____________. Answer:
38. Canara Kisan OD Ceiling per acre mortgaged: _________ subject to 50% of value of
mortgaged landed property. Answer:
39. Under the Canara Kisan OD scheme, with in overall limit, upto __________ can be
permitted for repayment of outside debts by farmer. Answer:
40. RBI has given a mandate to ensure that at least __________ of agriculture credit flows to
tenant farmers / Oral lessees. Answer:
41. Finance To Tenant Farmers & Oral Lessees through JLGs: Total quantum of loan to the
group for raising of crops should be limited to @ _____________ per member. Exposure
per group for the purpose of raising of crops shall not exceed ____________ Answer:
42. A need was felt for an exclusive Credit Card Scheme for individual tenant farmers and
farmers without proper land records to bring in a larger number of disadvantaged sections
within the ambit of Financial Inclusion. The ____________________ has been
formulated with this objective. (a) KMCCS (b) Kisan Tatkal (c) TFG Credit Card (d)
Swarojgar Credit Card. Answer:
43. Agriculture Gold Loans: the ceiling on rate of advance now stands enhanced to
___________ per Gram of Net weight of the gold jewelleries pledged or ___________ of
the appraised value, whichever is lower. The above rate will be valid till ____________
or till advised otherwise earlier. Answer:
44. Security deposit from jewel appraisers to be insisted is _____________ Answer: .
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Agriculture Snap Test -222
45. Normal Provision on Standard Assets in case of Agriculture and MSE:
46. Which of the following is NOT true regarding Kisan Tatkal? (a) Minimum limit:
Rs.1000/- Maximum limit: Rs. 50000/- (b) The total amount of finance extended not to
exceed 50 % of the KCCS limit. (c) KT limit shall not exceed 25% of the estimated
annual income of the agriculturist within the above ceilings. (d) To be repaid within a
period of 3-5 years in half yearly/annual installments. (e) None of the above is incorrect.
Answer:
47. Sanctioning Authority may waive Insurance cover on fish crops and bund structures in
respect of Working Capital limits for Inland Fisheries Projects subject to the following:
(a) Obtention of a corpus Fund as collateral at the rate of 3% of the limit (b) If the
limit/loan is secured by way of Immovable Properties for minimum of 100% of the
exposure (c) Experience of the borrower in the line of Inland fisheries for 3 years and
above (d) Satisfactory past dealings of the borrower for more than 3 years (e) All the
above. Answer:
48. Loans granted for construction of own storage facilities like godowns, silos etc for storing
own produce should be classified under (a) farm development loans (b) Farm House (c)
Rural Godowns (d) Canara Kisan OD. Answer:
49. State as to whether the following is True or false? Loans to farmers for construction of
farm houses exclusively used for residential purposes should not be classified under
agriculture. Answer:
50. The maximum amount of Loan to farmers for construction of farm houses (which are
structures that apart from being dwelling houses for farmers shall necessarily include
storage room / sheds for livestock & located on or adjacent to the Farm) is
Rs.______________ at Housing Loan, Rate of Interest. Answer:
51. Obtention of ________ (A // B // D // H // R) Register extraction (original) issued by RTO
along with the application from the prospective buyer borrowers is made mandatory for
all types of loans against the security (Primary/collateral) of used vehicles viz. LHV (both
priority and non priority including staff), Canara Mobile etc. Answer: .
52. AL DIR Branch target: _______ loans per year per branch. Answer:
53. ___________ of DIR loans should be routed through Rural & Semi Urban branches. Not
less than ___________ of the total DRI advances should go to SC / ST borrowers.
Answer :
54. State as to whether the following is True or false regarding the eligibility sanctioning of
AL DIR loans? The borrower need not own any land or the size of the land holding
should not exceed one acre of irrigated land or 2.5 acres of unirrigated land. Answer: .
55. Eligibility for sanctioning AL DIR loans: Annual family income should be less than
___________ in rural; _____________ in semi-urban & _______________ in Urban
areas. . Answer:
56. Eligibility for loans for purchase of Tractor alone or Tractor + Trailer: The applicant
should have at least __________ of perennially irrigated land or __________ of dry land
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so as to ensure sufficient work of at least 1000 to 1200 hours per year including a
minimum of 500 hours of work on the farmers own land. Answer:
57. Disbursement of Tractor / Power Tiller loans: Branches to retain _______ % of the value
of the quotation (wherever registration with RTO authorities is required) payable to the
dealers till the RC Book is received duly noting our lien. Answer :
58. Pumpset / Minor Irrigation Loans: Disbursement for electrical pump sets, _________%
of the cost of pump sets + accessories including the margin should be disbursed directly
to the dealer. The balance __________ % is to be paid only after the installation of the
complete pumping system and obtaining the certificate from the dealer as per
Annexure-13 of the MoI + letter guaranteeing the satisfactory performance of the pump
set after energization. Answer:
59. Pump set / Minor Irrigation Loans: Disbursement for oil engines ___________ %
payments to the dealer towards pump sets and accessories should be made after
ensuring that the same have been supplied to the borrower and obtaining the certificate
guaranteeing the satisfactory performance of the pump from the dealer. Answer:
60. Tractor / Power Tiller loans: Our lien should be noted in the RC Book within ________
of disbursement & RC book copy should be obtained. Answer:
61. A cap of ______ farm machinery loans per branch per year is fixed for branches where
the outstanding Farm Machinery portfolio is less than 50. After reaching the cap of 50
farm machinery loans, the branches to seek prior clearance from CO. Answer:
62. The branches with outstanding farm machinery portfolio of more than 50 loans or
recovery is less than ________ under the relative portfolio, have to obtain prior clearance
from CO for every block of 5 farm machinery loans proposed. Answer:
63. Which of the following statements are true regarding financing of pre-owned tractors? (a)
Tractor should not be more than 3 years old. (b) Loan Quantum: Not more than 60% of
the value of the tractor as per valuation report or sale consideration whichever is less. (c)
Repayment: Maximum 5 years in half yearly / yearly instalments. (d) All the above are
true. Answer:
64. Scoring matrix should be used to assess the eligibility & is applicable for both new and
second hand tractors. If a farmer scores __________ and below, such cases are to be
rejected. Answer:
65. High yielding milch cattle is one which is yielding not less than _________ litres per day.
Answer:
66. Under dairy loans bank can finance initial feed cost for a period of _________ at the rate
of ___________ Kgs per animal for the first batch of animals. Answer:
67. The normal economic life of a milch buffalo is __________ lactations and that of a cow is
__________ lactations. Milch animals should be bought at the __________ or
__________ lactation stage. Answer:
68. Which of the following is / are NOT true regarding the Scheme of Debt swapping for
farmers? (a) Farmers who have raised loans from non-institutional sources are eligible.
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(b) Farm should be situated within 16 Kms radius of the Branch. (c) Loan upto the extent
of indebtedness, provided it is within 150% of the Gross annual income subject to a
maximum Limit of Rs. 50,000/-. (d) The amount should have been borrowed for some
productive purpose. Answer:.
69. Loan scheme for Purchase of Agricultural Lands: Total Land Holdings after Purchase of
Land, should not exceed ___________ acres irrigated or ________ acres of non-irrigated
land. Answer:
70. State as to whether the following is True or false regarding the purpose of the loan
scheme for Purchase of Agricultural Lands: Purchase of land can be considered for
Purchase, develop & cultivation of agriculture / waste / fallow lands // diversifying into
allied activities. Answer:
71. The maximum quantum of Sericulture loan for cultivation of mulberry, rearing of silk
worms, construction of rearing house and purchase of rearing equipment/wire
mesh/disease free layings (DFL) is Rs. _________ lacs. Answer:
72. Since GCCS is an important financial inclusion tool, it has been decided to levy only
_____________ % of Processing Charges, Folio charges, Notice Charges, and Inspection
charges. Answer:
73. Under GCCS scheme the maximum loan quantum is __________ % of net annual income
of entire household with maximum _____________Answer:
74. Farmers' clubs are to be rated for graduation of farmers' clubs to federation/producers'
groups/companies. To rate the farmers club as GOOD it should score above:
__________ Answer:
75. Term loan benchmark parameters in respect of Direct and Indirect Agriculture like Cold
storage / Rural godowns / Yards / Warehouses / Agro processing units/ Agri Clinics/
Agriculture Business/ Customer service units: Internal Rate of Return is ___________and
above from estimated weighted average cost of funds in case of cold storage/ rural
godown/ yards/ warehouses. Answer:
76. Term loan benchmark parameters in respect of Direct and Indirect Agriculture like Cold
storage / Rural godowns / Yards / Warehouses / Agro processing units/ Agri Clinics/
Agriculture Business/ Customer service units: D/E ratio 3:1 upto _____________
{Beyond 3 :1 only for TL _________ (above / upto) Rs. 10 Lacs}. Promoters
Contribution Minimum of 15 % of project cost. Answer:
77. The __________ scheme envisages finance for construction of new cold storages,
expansion of existing units and modernization /rehabilitation of existing cold storage
units with the element of subsidy. Answer:
78. Revised Guidelines - Capital Investment Subsidy Scheme (For Construction / Renovation
/ Expansion Of Rural Godown - Grameena Bhandara Yojana .
Subsidy
Farmers
Non farmers
Women farmers
As a % of capital cost
25%
15%
33.33%
Max subsidy
Rs 46.87 lacs Rs 28.12 lacs
??

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Agriculture Snap Test -222
Answer:
79. Subsidy Grant available for eligible food processing industries undertaking Technology
upgradation / expansion / modernization / establishment etc. from Ministry of Food
Processing Industries, Government of India @ 25% (Max. _____________) of the cost of
Plant & Machinery and Technical Civil Works (TCW) in General areas and 33%
(Max.___________ ) in difficult areas will be available as subsidy Answer:
80. Under the Scheme for financing Commission Agents functioning in rural / semi-urban
areas against book debts / receivables towards supply of agricultural inputs to farmers,
maximum quantum of loan is ____________Answer:
81. _________________ are envisaged to provide expert advice and services to farmers on
technology, cropping practices, protection from pests and diseases, market trends, prices
of various crops in the markets and also clinical services for animal health, etc., which
would enhance productivity of crops/ animals and increased income to farmers. Answer:
82. Ceiling on AC & ABC Project: __________ per graduate with max.____________ per
group of 5 graduates. Answer:
83. There is no restriction on number of farmers clubs to be formed per branch. But, all the
Semi urban / Rural branches to ensure formation of at least _______________ where
there are no existing farmers' club. Answer:
84. Farmers club: The sharing of these expenses at 50:50 has been discontinued &
NABARD would be giving a uniform assistance of Rs.______________ per year per
club, for three years for the minimum and mandatory expenses. Answer:
85. Our Bank will pay ___________ per club per year, for the fourth and fifth years & would
be permitted by DM/AGM of the COs. Answer:
86. ______________ has set up a fund called FTTF. (Farmers Technology Transfer funds)
The fund will extend the support in the form of grant, soft loan, equity like support or a
blend of the same, as may be decided on the merits of each case. Answer:
87. Restructuring of Agriculture Gold Loans: Deferment of outstanding liability upto a
maximum period of __________, linked to expected cash flow from activity for which
the loan was permitted. The interest shall be serviced during the deferment period.
Answer:
88. Evaluation of restructuring proposals for agricultural loans exceeding Rs. 25 Lakhs: The
projected DSCR should not be less than ___________. IRR should be atleast 2% above
the rate of interest applicable to restructured loan accounts. The Current Ratio should not
be less than ___________ wherever applicable. Answer:
89. As per our Advances Restructuring Policy for restructuring agriculture Investment
Loans like Pump set loan, Farm Machinery Loan etc. which of the following is permitted?
(a) Rescheduling without changing the existing tenor with one year moratorium +
Ballooning (graded) repayment (b) Rescheduling the repayment period by one to 3 years
with a holiday of one year (c) Option (a) or (b) subject to recovering the loan within the
economic life period of the asset. Answer:
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90. All agriculture term loans above _______________ are to be appraised by Agriculture
Consultancy Services as to the technical feasibility and economic viability. Answer: .
91. Which of the following is/are the conditions for granting of fresh credit facilities (upto Rs.50000/- (by
respective sanctioning authorities) to OTS beneficiaries who are non-wilful defaulters? (a) Purpose can
only be to agricultural and allied activities or to weaker section for undertaking all gainful activities (b)
Party should have repaid at least 10% of the principal amount of the previous loan before permitting
concession / compromise (c) Only after 3 months from the date of clearance of the dues under OTS. (d)
Fresh loans may be considered as far as possible in joint names viz., along with the spouse or along with
the eldest members in the family (in the absence of spouse) to ensure family responsibility (e) All the
above. Answer:

92. Bank can take action under SARFAESI Act in respect of all NPA accounts except in the
following cases: (a) Claim / liability below Rs.1.00 lac (b) Security interest (mortgage) created in
agricultural land* (c) Pledge of movables within the meaning of Section 172 of Indian Contract
Act (d) In case where the amount due is less than twenty percent of the principal amount
and
interest thereon. (e) All the above. (*) High Court of AP held that, if a land is ordinarily used for
the purposes of agriculture, it would be agricultural land and if it is not so used, it would not be
agricultural land for the purpose of taking action under SARFAESI Act irrespective of whether
revenue / municipal records mentions it as agriculture land or not. Answer:

93. 7 crore loan to corporate. amount to be classified under indirect agriculture. Answer94. Rural area under SGSY means:
95. Subsidy available to SHG under SGSY is restricted to 50% of the project cost with
maximum of Rs. ____ within per member entitlement of Rs ____.
96. To arrive figures in rural areas for Consumer Price Index, whose assistance is decided to
take:
97. The max distance criteria for the operation of the Banking correspondent for rural , urban
, semi urban areas is _____ Ans
98. In Sugar cane loans, wherever tie up arrangement with Sugarmills, loan upto Rs._______
can be given without insisting mortgage under KCCS/Investment/Development Loans:
Ans:
99. Time norm for sanction of KCC loan branch sanctions : Ans
100. The insurance premium for providing Life Insurance cover(PAIS) to KCC holders is
Rs.-------. Of this, the bank and borrower contribute in the ratio of -------Ans101. ______________ (Moriculture / Mariculture) is a specialized branch of aquaculture
involving the cultivation of marine organisms for food and other products in the open
ocean, an enclosed section of the ocean, or in tanks, ponds or raceways which are filled
with seawater. Answer:
102.

Debt Swapping Farmers Target:

***
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