Issue Of Crop Loans During 2004-05 During the year,a target of Rs.1037.69 crores was fixed by the Registrar of Coop.Societies for issue of Crop Loans.The DCCBs/PACBs issued crop loans to the tune of Rs 1080.48 Crores thus exceeding the target fixed for the year.With a view to facilitating the achievement of this target,TNSC Bank sanctioned credit limits under ST(SAO) for a purpose of issue of crop loans to the tune of Rs.1010.50 crores during the year 2004-05.This includes a special /critical refinance lilmit of Rs .64.00 crores to 5 section 11(1) Non-complaint Banks,which were facing severe funds constraints.  Refinance provided by the Apex Bank for issue of Crop Loans by DCCBs/PACBs reached an all time high of Rs.928.58 crores during the year under review.Outstandings (refinance) under issue of Crop Loans which stood at Rs.484.12 crores as at the end of 31.03.2004 went upto Rs.826.87 crores as at the end of 31.03.2005 registering a substantial increase in the refinance for Crop Loans by the Apex Bank. For this purpose,the Apex Bank secured a refinance limit of Rs.710.00 crores for financing Seasonal Agricultural Operations during the year 2004-05 and availed refinance from NABARD to the maximum extent of Rs.435.00 crores during the year. Reschedulement of ST Loans outstanding as on 31.03.2004 The Government of Tamil Nadu as per G.O.Ms.No.319,Cooperation, Food and Consumer Protection Department dated 15.09.2004 ordered reschedulement of St Crop Loans outstanding as on 31.03.2004 together with interest into a Term Loan repayable in 5 years including an initial moratorium of two years.Accordingly,Crop Loans availed by members of Primary Agricultural Cooperative Banks to the extent of Rs.1537.68 crores together with overdue interest,were rescheduled into 5 years Term Loan throughout the State for the benefit of agculturists during the year 2004-05. With a view to facilitating the reschedulment of Loans by the PACBs and DCCBs,the Apex Bank sanctioned credit limits under liquidity refinance support to all the DCCBs in the State aggregating Rs.446.35 crores at 5.25%.Members were sanctioned reschedulement Loans with a lower interest at 9% p.a. For this purpose,the Apex Bank also availed refinance from NABARD to the extent of Rs.446.32 crores.Further,the Bank has sent proposals to NABARD for a further limit of Rs.128.82 crores for the same purpose (Liquidity Reference Support from NABARD). Rate of Interest on Crop Loans Considering the overall drought situtation that prevailed in the State continuously for the past three years,the rate of interest on Crop Loans which was at 12% p.a. has been reduced to 9%p.a. with effect from 30.07.2004. The reduction of interest by 3% to the borrowers has been done with a view to making the cost of Crop Loans cheaper.