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Activity   Based

SHG



                   Dr. Ravindra Pastor
Existing    Identifying Beneficiaries



Livelihood     Activity
                   Training

    s             Production


Strategy           Market


                                         Paradigm Shift


                    Market
                    Scan



                    PPP

                Beneficiaries
              Skills upgradation
Production limitations
                                      Urban mkt requirement
   • Resource Crunch
   • Disbursed Producer               • Huge quantity
   • Low skill                        • Uniform quality
   • Old technology
   • Poor quality                     • Competitive price
   • Small quantities




Local/Rural market characteristics   Urban market characteristics
• Low purchasing power               • High purchasing power
• Low returns                        • High returns
• Poor connectivity                  • Good connectivity
Livelihood



              Market
     Better realization of produce
                                                   Resource
Qlty gds& srvices at reasonable price         Human-Natural-Others
                     -by Prod. Co.                 -by MPDPIP




                                Production
                           Pre. Prod. requirement
                                          -by VDC
                           Post Prod. requirement
                                       -by Prod. Co.
Producer/ Member Aggregation

                     T-SHG to Federation
             T-SHG
                                           Federation

 Common                      Value         Input/Output
Livelihood                                   linkages
 s Theme     T-SHG           Chain
                                          T-SHG support
                              Infra-         services,
                            structure
                                        Business Planning
             T-SHG




                                            Microfinance
                      Cluster                  Division
                       MF                   Bank Linkage,
                                          Insurance & Other
                     Committee            Financial Services
Community Institution Building
                                -- Process Flow

 Stage 1          Stage 2         Stage 3               Stage 4
Social           Asset          MACS                   Federation
Mobilization     Provision      (Mutual Added
                                Cooperative Society)
includes         thro’ T-SHGs                          Input and
                                Cluster                output
Targeting the    Funds from     Organization           linkages
Poor using       Department     (CO)
Genuine BPL      Funds/SGSY                            Value Chain
List;            /Convergenc                           Investment
                                MF                     Dept.
                 e              committee              Funds/SGSY
Formation of                                           Special
T-SHGs
(Thematic Self                                         Scale Up Loan
Help Group)                                            from
                                                       Commercial
                                                       Banks
End-to-end livelihood Solution


                    For Livelihood & institution building




                              Common Livelihood

                                 Theme SHG


                     Infrastructure &
                                              Market linkages

 Mutual Added            MF
                                                            Producers
Cooperate Society
                      Company extn. outlet
                                                            Company
•• Scales (huge quantity)
   Scales (huge quantity)
•• Uniform production & quality
   Uniform production & quality
•• Overcome all barrier (Infrastructure & economies of
   Overcome all barrier (Infrastructure & economies of
   scales)
   scales)
•• Placing village producers in a higher position in the
   Placing village producers in a higher position in the
   value chain
   value chain
•• Reduce supply chain on both ends (eliminating middle
   Reduce supply chain on both ends (eliminating middle
   men)
   men)
•• Better returns of investment (sustainability & Profit)
   Better returns of investment (sustainability & Profit)
Market Linkage

      Input supply thru dealership

      Marketing the produce thru PPP

Bank Linkage

      Production loan

      Consumption loan

      Insurance

Knowledge Linkage
      Extension services

      Tools & machineries
Board of Director


                                 Chairman


                         Chief Executive Officer



  Marketing                     Production                         Finance
  Manager                        Manager                           Manager

                     Subject Matter Specialist at
                          cluster of villages

                              Service Provider



Share holder   Share holder       Share holder      Share holder     Share holder
Operational Tiers


              Market

                       Market scan /Knowledge linkage/Bank
Corporate Office       linkage/Aggregation/Processing



     SMS at            Collection cum distribution/ Technology
                       Management
 village cluster


                       Extension / Hand holding support
Service Providers



                       Primary Production
  Share holders
Activity based Federation
              In Rewa Division
   17 Producer’s Companies,
              350 dairy Cooperatives,
                           450 MACS Seed Cooperatives
Thanks
ravi090@gmail.com

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Activity based shg & producer organization

  • 1. Activity Based SHG Dr. Ravindra Pastor
  • 2. Existing Identifying Beneficiaries Livelihood Activity Training s Production Strategy Market Paradigm Shift Market Scan PPP Beneficiaries Skills upgradation
  • 3. Production limitations Urban mkt requirement • Resource Crunch • Disbursed Producer • Huge quantity • Low skill • Uniform quality • Old technology • Poor quality • Competitive price • Small quantities Local/Rural market characteristics Urban market characteristics • Low purchasing power • High purchasing power • Low returns • High returns • Poor connectivity • Good connectivity
  • 4. Livelihood Market Better realization of produce Resource Qlty gds& srvices at reasonable price Human-Natural-Others -by Prod. Co. -by MPDPIP Production Pre. Prod. requirement -by VDC Post Prod. requirement -by Prod. Co.
  • 5. Producer/ Member Aggregation T-SHG to Federation T-SHG Federation Common Value Input/Output Livelihood linkages s Theme T-SHG Chain T-SHG support Infra- services, structure Business Planning T-SHG Microfinance Cluster Division MF Bank Linkage, Insurance & Other Committee Financial Services
  • 6. Community Institution Building -- Process Flow Stage 1 Stage 2 Stage 3 Stage 4 Social Asset MACS Federation Mobilization Provision (Mutual Added Cooperative Society) includes thro’ T-SHGs Input and Cluster output Targeting the Funds from Organization linkages Poor using Department (CO) Genuine BPL Funds/SGSY Value Chain List; /Convergenc Investment MF Dept. e committee Funds/SGSY Formation of Special T-SHGs (Thematic Self Scale Up Loan Help Group) from Commercial Banks
  • 7. End-to-end livelihood Solution For Livelihood & institution building Common Livelihood Theme SHG Infrastructure & Market linkages Mutual Added MF Producers Cooperate Society Company extn. outlet Company
  • 8. •• Scales (huge quantity) Scales (huge quantity) •• Uniform production & quality Uniform production & quality •• Overcome all barrier (Infrastructure & economies of Overcome all barrier (Infrastructure & economies of scales) scales) •• Placing village producers in a higher position in the Placing village producers in a higher position in the value chain value chain •• Reduce supply chain on both ends (eliminating middle Reduce supply chain on both ends (eliminating middle men) men) •• Better returns of investment (sustainability & Profit) Better returns of investment (sustainability & Profit)
  • 9. Market Linkage Input supply thru dealership Marketing the produce thru PPP Bank Linkage Production loan Consumption loan Insurance Knowledge Linkage Extension services Tools & machineries
  • 10. Board of Director Chairman Chief Executive Officer Marketing Production Finance Manager Manager Manager Subject Matter Specialist at cluster of villages Service Provider Share holder Share holder Share holder Share holder Share holder
  • 11. Operational Tiers Market Market scan /Knowledge linkage/Bank Corporate Office linkage/Aggregation/Processing SMS at Collection cum distribution/ Technology Management village cluster Extension / Hand holding support Service Providers Primary Production Share holders
  • 12. Activity based Federation In Rewa Division 17 Producer’s Companies, 350 dairy Cooperatives, 450 MACS Seed Cooperatives