Collective marketing ppt
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This document discusses a collective marketing model to help small and marginal farmers in India. It provides three key benefits: [1] It empowers farmers to collectively achieve economies of scale and better negotiate in the market. [2] It links farmers directly to mainstream markets through public-private partnerships. [3] It builds farmers' capacity but does not get directly involved in buying and selling, focusing on demonstrating scalability and maximizing farmer returns with minimal investment. The approach maps marketable surpluses, provides group orientation and capacity building, establishes marketing infrastructure, and facilitates market linkages and profit sharing between farmers and traders. Initial efforts in two districts of Odisha expanded to six districts, benefiting over 3,000
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Collective marketing ppt
- 1. Creating Sustainable Livelihoods for the Poor Collective Marketing Model
- 2. Background – Small & Marginal Farmers Small landholding, < 2 hectares (80%) Marketing challenges Limited marketable surplus Dependency on local intermediaries Lack of value addition Lack of market information Lack of access to terminal market and organised private players Lack of access to formal finance Minimal reach of organized private retail chains Collective Marketing
- 3. The Product Pyramid Finished Town / City Semi Finished Town Minimum Value Addition Village Raw Produce Raw Produce Collective Marketing
- 4. Value Chain Value Value Addition Addition Distant Market Distant Market 5% 5% Nearby Market Nearby Market 5% 5% Local Value Add Local Value Add Processing 5 -10% 5 -10% Processing Group Working Group Working 10 – 15 % 10 – 15 % Capital Loan Capital Loan Collectivization Collectivization Raw Produce Raw Produce Collective Marketing
- 5. MART Solution A market led approach to sustainable livelihood promotion Empower the small farmer through collectivization to achieve economies of scale and better negotiate the market Link farmers to mainstream market Focus on public-private-community-partnership Facilitate and build capacity of farmers - but not get involved in buying and selling Demonstrate scalability Maximize return to farmer with minimum additional investment Collective Marketing
- 6. Coverage Initiated in most backward Districts of Orissa Particulars Started in Expanded to Districts 2 6 Coverage (districts) Balangir, Nuapada + Kalahandi, Koraput, Gajpati, Kandhamal No of Villages 20 500 No of SHG members 200 3000 Turn over (Rs) 5 Lacs 200 lacs Products Minor Millets, Cotton, Vegetables, Niger, Cow pea, Onion, Madhuca indica, Cashew, Tamarind, Mango jelly Buchania Langan local variety), Vegetables, Hill broom… Collective Marketing
- 7. Approach to Collective Marketing Map produce having marketable surplus Map produce having marketable surplus Group Group Market Market Market Market Orientation Orientation Infrastructure Infrastructure Linkage Linkage • Concept Sharing • Concept Sharing • Drying • Drying • Search market • Search market • Build Capacity • Build Capacity Platform Platform • Negotiate with • Negotiate with • Systems in place • Systems in place • Weighing • Weighing trader trader • Business plan • Business plan Scale Scale • Linkage • Linkage • Financial linkage • Financial linkage • Logistics • Logistics • Profit sharing • Profit sharing • Procurement • Procurement • Quality check • Quality check Planning for the next produce Planning for the next produce Collective Marketing
- 8. Collective Marketing – The Preparatory Process Training Sensitization Sensitization Exposure Collective Marketing
- 9. Collective Marketing – The Produce Process Harvesting Collection Drying Desheling Collective Marketing
- 10. Collective Marketing – The Handling Process Storage Weighing Packing Negotiation with Trader Collective Marketing
- 11. Collective Marketing – The Selling Process Sales Event Lifting of Product Receiving Money from Trader Marketing of Hill Broom Collective Marketing
- 12. Overall Benefits of Intervention Higher value for produce Better negotiating power in market Better understanding of market dynamics Marketing infrastructure created Collective Marketing
- 13. Thank You!