Market driven agricultural initiative through it enabled agri business centres in kerala state peethambran


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Market driven agricultural initiative through it enabled agri business centres in kerala state peethambran

  1. 1. Market Driven Agricultural Initiative through IT enabled Agri Business Centres in Kerala State C K Peethambaran Consultant, e-Krishi KERALA STATE IT MISSION INDIA e-Asia 2011 Dhaka, Bangladesh December 1-3, 2011.
  2. 2. KERALA <ul><li>100% Literacy </li></ul><ul><li>100% e-literacy </li></ul><ul><li>100% Teledensity(97.3) </li></ul><ul><li>Population : 31.8Million </li></ul><ul><li>Households :6.7 Million </li></ul><ul><li>Urban 5.0M </li></ul><ul><li>Rural 1.7 M </li></ul>
  3. 3. Farming Sector Green Revolution resulted in Better seeds,Better inputs,Better Agrotechniques,Better Extension Better Yield But are farmers satisfied ?
  4. 4. Agricultural supply chain in Kerala <ul><li>Unorganized, Unregulated, Middlemen dominated Market </li></ul><ul><li>No direct link between Farmers and whole sale traders </li></ul><ul><li>Loss in transit for perishable products :>40% </li></ul><ul><li>Price hike from end to end (with out processing) </li></ul><ul><li>Perishables:> 400% </li></ul><ul><li>Non perishables> 80-100% </li></ul><ul><li>Non perishables having organised market(eg Rubber) <40% </li></ul><ul><li>Not so commonly traded products(eg Med.plants) > 600% </li></ul>
  5. 5. Addresses the existing gap in Agri. Information flow and transaction management. The vision of the project :To establish a connected farmers community throughout Kerala who have access to information on Market Demand , Prices , Good Agricultural practices , Quality agricultural inputs supported by a technology enabled robust transaction platform that facilitates all their offline activities. Partners Kerala State IT Mission with the active support of Agriculture Department &Local Self Government Department
  6. 6. AN AKSHAYA CENTRE (Common Service Centre) <ul><li>5-10 PCs </li></ul><ul><li>BROAD BAND CONNECTIVITY </li></ul><ul><li>WEBCAM/SCANNER </li></ul><ul><li>PRINTERS </li></ul><ul><li>2 TRAINED STAFF </li></ul><ul><li>PPP Model </li></ul>ONE e-CENTRE covers about 2-4 sq. KMs serving 1,500 -3000 households
  7. 7. How e- Krishi is operated <ul><li>Upgraded selected Akshaya centers as E-Krishi centres </li></ul><ul><li>Involved Agricultural offices in field activities including data validation. </li></ul><ul><li>District Level Committee to monitor the work </li></ul><ul><li>Training of farmers and traders </li></ul><ul><li>Posting by buyers and sellers in the e-krishi site with the help of Akshaya </li></ul><ul><li>Tie-up with Business community through E-krishi web site </li></ul><ul><li>Informations on market price of commodities from different sites available in the site for comparison </li></ul><ul><li>Facility for forward posting and aggregation </li></ul>
  8. 8. E-Krishi Web Site
  9. 15. e-Krishi vs Local market a comparison Commodity Quantity Price in Rs Total sale value in Rs Profit/Loss by trading through e-krishi in Rs E-krishi Local Market E-krishi Local Market Banana 38000 kg 14 13 532000 494000 38000 Coconut 1,821,800Nos 3.9 3.5 7105020 6376300 728720 Paddy 4215 T 9.7 7.75 40885500 32666250 8219250 Arecanut 557200 Kg 14.7 14.9 818790 829930 -11140
  10. 20. <ul><li>Access to market </li></ul><ul><li>Access to schemes </li></ul><ul><li>Better aggregation </li></ul><ul><li>Better price to products </li></ul><ul><li>Reducing the role of middlemen </li></ul><ul><li>Increasing bargaining capacity </li></ul><ul><li>Availability of inputs at competitive price </li></ul><ul><li>Market for non traditional products </li></ul><ul><li>Awareness programmes </li></ul>Farmers BENEFITS
  11. 21. <ul><li>Assured supply of products </li></ul><ul><li>Better planning through forward posting </li></ul><ul><li>Products at competitive price </li></ul><ul><li>Benefits of virtual/physical aggregation </li></ul><ul><li>Availability of non conventional products </li></ul>Traders
  12. 22. <ul><li>Informed decision making on policy issues </li></ul><ul><li>Facilitates Integrated approach </li></ul><ul><li>Dissemination of agri based interventions becomes more structured, precise and customized </li></ul><ul><li>Faster and larger reach to stakeholders due to networking </li></ul>Government
  13. 23. Activities at e-Krishi center <ul><li>Farmers registration </li></ul><ul><li>Buyers registration </li></ul><ul><li>Orientation programmes </li></ul><ul><li>Farmer club formation </li></ul><ul><li>Transactions of commodity </li></ul><ul><li>Set up agricultural library in e-krishi centers </li></ul><ul><li>Market study </li></ul><ul><li>Yield data collection </li></ul><ul><li>Formation of collection centers </li></ul><ul><li>Management training programmes </li></ul><ul><li>Preparation of IEC materials </li></ul><ul><li>Documentations </li></ul>
  14. 24. <ul><li>Income generating Services @ e-Krishi Centre </li></ul><ul><li>Internet facility for posting </li></ul><ul><li>Market details </li></ul><ul><li>CD on agricultural topics </li></ul><ul><li>Ag. Library </li></ul><ul><li>E-pay </li></ul><ul><li>Govt. forms </li></ul><ul><li>Financial Services </li></ul><ul><li>Travel Bookings </li></ul><ul><li>Advanced IT courses </li></ul><ul><li>Data Entry </li></ul><ul><li>Reading materials </li></ul><ul><li>Agricultural programmes of the Lead Bank </li></ul>
  15. 25. HOW e-KRISHI HELPED FARMERS <ul><li>Pre e-KRISHI </li></ul><ul><li>Small holdings (<0.5Ha) </li></ul><ul><li>Saleable commodity in small quantities </li></ul><ul><li>Lack of interest by wholesalers to buy from farmers </li></ul><ul><li>No market for locally available commodities </li></ul><ul><li>Lack of information on saleable commodities </li></ul><ul><li>Transaction mainly through middlemen (who served as aggregating agents and link with big wholesalers) </li></ul><ul><li>Agricultural inputs purchased individually by farmers (high cost) </li></ul><ul><li>Post e-KRISHI </li></ul><ul><li>More visibility for local products </li></ul><ul><li>Newer markets for produce </li></ul><ul><li>Better market and price </li></ul><ul><li>Possibility of virtual aggregation - benefited traders </li></ul><ul><li>Forward posting –both for farmers and merchants- Better planning </li></ul><ul><li>Disintermediation of agricultural trade </li></ul><ul><li>Aggregation of input requirement –low cost per unit-wholesale price </li></ul><ul><li>Dynamic database of agricultural produce, farmers, merchants </li></ul>
  16. 31. THANK YOU
  17. 32. Problems faced Non availability of commodities Lack of storage facility Inability to honour Forward posting due to Fluctuation of market rate Lack of facilities for value addition Attitude towards agricultural projects (subsidy) Input supplies Fear of sales and income tax –convincing traders Language –portal only in English
  18. 33. <ul><li>Steps to overcome </li></ul><ul><li>Virtual Aggregation </li></ul><ul><li>Tie up with District Panchayat </li></ul><ul><li>Market training for farmers </li></ul><ul><li>Portal with bilingual facility </li></ul>