How do small farmers arrange their capital?
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Most small farmers have to borrow money to arrange for the capital. They borrow from large farmers or the village moneylenders or the traders who supply various inputs for cultivation. The rate of interest on such loans is very high and these farmers are in greet stress to repay the loans taken.
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They are thus able to arrange for the capital needed. (ii) In contrast, the small farmers have to borrow money to arrange for the capital. They borrow from large farmers or the village moneylenders or the traders who supply various inputs for cultivation.
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