New Delhi: More than 50 per cent of the families engaged in farm activities were indebted in 2012-13 crop year (July-June), a survey said.

"About 52 per cent of the agricultural households in the country were estimated to be indebted. Among the major states, Andhra Pradesh had the highest share of indebted agricultural households in the country at 92.9 per cent," the farm survey by Ministry of Statistics and Programme Implementation said.

Andhra Pradesh was followed by Telangana at 89.1 per cent and Tamil Nadu at 82.5 per cent.  In rural India, about 60 per cent of the loans were taken from institutional sources including banks (42.9 per cent), co-operative society (14.8 per cent) and government (2.1 per cent).

However, share of monthly income of these households from non-farm business fell with increase in land possession. Though net investment in productive assets per agricultural household increased with increase in land size. Amongst others, it was found that a very small segment of the agricultural households utilised crop insurance.

"Lack of awareness was the most reported reason by the agricultural households for not insuring their crops during the agricultural year July 2012-June 2013," it said. About 0.1 per cent of rural households were landless and about 93 per cent possessed some type of land. The survey said about 78.5 per cent households did not possess any land outside the village they were living.

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