Organizing The Vegetable Cultivators and Formation of Primary Producer Group (PPG) / Primary Marketing Group (PMG)

ORGANIZING THE VEGETABLE CULTIVATORS AND
FORMATION OF PRIMARY PRODUCER GROUP (PPG)/

PRIMARY MARKETING GROUP (PMG)
A FIELD LEVEL EXPERIENCE OF PROMOTING PEOPLE INSTITUTION IN KORAPUT DISTRICT OF ORISSA
Development Practice Segment – I
In partial fulfillment of
Post Graduate Diploma in Development Management
(PGDDM)
SHYAMAL SANTRA
PDM VII
Tata- Dhan Academy, Madurai (TDA)

September, 2007
ORGANIZING THE VEGETABLE CULTIVATORS AND FORMATION OF PPG/PMG
ORGANIZING THE VEGETABLE CULTIVATORS AND

FORMATION OF PRIMARY PRODUCER GROUP (PPG)/
PRIMARY MARKETING GROUP (PMG)
A FIELD LEVEL EXPERIENCE OF PROMOTING PEOPLE INSTITUTION IN KORAPUT DISTRICT OF ORISSA
SHYAMAL SANTRA
2
Tata-Dhan Academy, Madurai (TDA)
ACKNOWLEDGMENT
I am grateful to all the people who have contributed in my DPS I. I am indebted to all the faculty members
of Tata-Dhan Academy who inspired me to working in a challenging situation which has increased my
confidence level. I am thankful to Shanthi Maduresean, DPS coordinator , for hand of support at the time
of need. My special thanks to Jena sir for his valuable and timely guidance during DPS.
I appreciate the valuable suggestions of Mr. Padhi,APD,DRDA,Koraput, Dr. Lalit Mahanti, Director,
KVK,Semiliguda, Mr. Dilip Das, ISRC,Pantangee and Mr. Singarayar, Programme Leader,DHAN Foundation.
I am grateful to my field guide Shaktiprava Maharana and all the Project Executives of DHAN in Koraput
region for their timely guidance and help during my DPS. I am thankful to all the staffs of DHAN,
Semiliguda specially to Haribabu with out whom I might not be able to stay in the village.
A special thanks goes to Kalanjiam members and all the people of Khudi and Hatpada panchayat without
whose support the DPS was not possible. My heartily regards to the members of Shree Krina Krishee Group
to from the first PPG in Koraput region.
Shyamal Santra
PDM-VII
3
CONTENTS
ACKNOWLEDGEMENT
EXECUTIVE SUMMARY
Chapter-I RESEARCH DESIGN 1-4
1.2.Methodology 1
1.3.Data Collection 3
Chapter-II - BLOCK PROFILE 5-14
2.1. Geographical Area 6
2.2.Households 6
2.3. Demographical Details 6
2.4. Literacy Rate 6
2.5.Educational Institute and Facilities 7
2.6.Occupation 8
2.7.Agro-Climatic Information
2.8.Transportation 13
2.9. Banks 13
2.10.Health 14
Chapter-III PANCHAYAT AND VILLAGE PROFILE 15-27
4
3.1.How to Reach 15
3.2.Demography 15
3.3.Literacy Rate 16
3.4.Education Institutes 16
3.5.Land Pattern 16
3.6.Cropping Pattern 17
3.7.other Facilities 17
3.8.People in the Study Villages: A Profile of Sample villages 17
3.9.Cash flow analysis 24
Chapter-IV FARMERS NEED ASSESSMENT 28-36
4.1.Uses of the product 28
4.2.Processing 28
4.3.Sources of irrigation water 29
4.4.Knowledge about Variety 29
4.5.Seed and fertilizer procurement 30
4.6.Unavailability of Formal Credit 30
4.7.Market Details 31
CHAPTER-V MARKETING STRATEGY : A NEW MODEL 37-48
5.1.The Structure 38
5.2.Functional Model of the Producer Company 39
5.3.Executive body 40
5
5.4.Institutional Framework 41
5.5.A way forward 43
5.6.Market linkage 44
5.7.SWOC Analysis 45
5.8.How to intervene 47
5.9.Time line 47
CHAPTER-VI EXPERIENCE FROM THE FIELD /PROCESS DOCUMENTATION 49
CHAPTER-VII LEARNINGS AND CHALLENGES 57
ANNEXURE
6
LIST OF TABLES
TITLE PAGE
Table no. 2.1: the panchayats in Semiliguda block 5
Table no. 2.2. Cultivable area of Semiliguda block 5
Table no. 2.3. information on villages and households 6
Table no.2.4.Details of M.D.M in Semiliguda Block 7
Table no. 2.5.workforce engaged in different occupations 8
Table 2.6. Blocks covered under different farming situations 8
Table 2.7. Identified Agro-Ecological Situations in Koraput district 9
Table no 2.8. Information on soil in Semiliguda Block 11
Table no 2.9. Principal crops of the block 11
Table no 2.10. Land utilization pattern of Koraput district and Semiliguda block (in ha.) 12
Table 2.11. irrigation in Koraput district and Semiliguda Block (in percent) 13
Table -2.12.Health institutions in Semiliguda block 14
Table no 3.1. Demographic details in Khudi and Hatpada panchayat 15
Table 3.2.Literacy rate in Khudi and Hatpada panchayat 16
Table no 3.3. Land pattern of Khudi and Hatpada panchayat 16
Table no.3.4.Profile of sample villages 18
Table no. 3.5.Distribution of households on the basis of caste in the sample Villages 19
Table no. 3.6.Sex ratio among sample villages 19
Table no 3.7.Literacy rate in the sample villages 20

7
Table no. 3.8.Livestock population in sample villages 21
Table no. 4.1. Irrigation source 29
Table no.4.2. Farmers place of marketing 31
Table no.4.3. Local market details 32
Table no. 4.4.Brake up of consumer price 34
8
LIST OF FIGURE
TITLE PAGE
Figure no. 5.1.working model for Farmers Association 37
Figure no. 5.2.Factional frame work for the primary producer company 39
Figure no. 5.3. Executive body of producer company 40
Figure no.5.4.Institutional frame for the producer company 42
9
Abbreviations
DPS – Development Practice Segment
SHG- Self Help Group
SBI- State Bank of India
KVK- Krishi Vigyan Kendra
DRDA – District Rural Development Agency
PRA – Participatory Rural Appraisal
PPG- Primary Producer Group
PMG- Primary Marketing Group
SC -Schedule Caste
ST - Schedule Tribe
NGO- Non Government Organization
DHAN- Development of Humane Action
ICDS – Integrated Child Development Scheme
GP- Gram Panchayat
HAL- Hindustan Aeronautics Limited
NALCO- National Alumina Company
NH- National Highway
FAQ-Frequently Asked Question
BPL-Below Poverty Line
10
FAQ
what is PPG?
A group of people engaged in same economic activity( production) come together in mutually
understanding for joint venture to make more profit.
What is PMG?
When a group of people engaged in marketing activity it called as PMG or Primary Marketing Group.
Whether a PPG can be PMG?
Yes. If the producer group marketing its product.
Can PPG can exist with out marketing activity?
No. Ultimately all production has to sell for recovering the investment and profit.
What is the core value of PPG/PMG?
Making more profit through ethical business and mutual understanding.
How it can help the poor and marginalized?
Poor are poor because they are unorganized. The organized manner give them strength to bargain with
the market player.
What is the next step of PPG/PMG?
Producer Company.
What's the relevance of P.C. In the current scenario?
Now the MNCs are entering in agriculture sector that can leads to monopoly in near future. Again the
profit will be go to one segment of people. Only P.C. Can protect the interest of the producers.
Why Koraput was selected?
It is one of the poorest district of the state orrisa. Most of the people of this area are ST. Although they
produce bulk amount of vegetable but for exploitative market system they don't get exact price. In
another way the underdevelopment of this can be solved only through economic empowerment.
What is Kauri system?
Kauri system is a traditional butter system followed by the tribes. In this system they sell their product
11
with out weight age. Basket is used as an unit.
Why Hatpada and Khudi panchayat was selected?
This area is famous for vegetable cultivation. Hatpada is the biggest vegetable market of the district.
What are the steps followed to formation of PPG?
I) discussion with location guide
II) Meeting with the Kalanjiam members and farmers to understand the situation.
III) Collection of secondary data and discussion with the government officials.
IV) PRA and need assessment.
V) Market study
VI) sharing the result to community, Government officials and field guide
VII) Concept Seeding
VIII) Farmers meeting
IX) Group formation
what was the most helpful to understanding the community?
Staying in village.
What was the main bearer?
Communication, food and language .
How to motivate people where language is barer?
Through key persons from the community and learning the local language .
Who seed the concept ?
During the meetings few people who were highly motivated was selected as key person. Separate
meeting was conducted for them to make clear the about the concept . They motivated others .
To form first PPG/PMG what was more necessary?
To create a frame work or model to sustain and expand the same.
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Executive Summary
Indian agriculture is entering in a new age with the entering of the MNCs into this sector through retail
outlet. India is the second largest vegetable producer in the world. But the whole agriculture market
including vegetable market is dominated by the middlemen that leads to exploitation. The marginal farmers
are more suffer from this existing system. The Koraput district is characterized by hilly areas, forests,
plateau and chains of mountains. There are many small streams and rivers. This district is one of the
poorest district of the state. The demography is composition of predominate by tribes, schedule caste
and others. The objective of DPS-I was to organize community. For that Kumar Khudi, Mali Khudi,Galaguda
( Khudi panchayat) and Mali Dusra(Hatpada panchayat) was selected on the basis of the population
cultivating vegetables and the existence of Kalanjiam. The inception document of the panchayat as well as
the block was prepare on the basis of data collected through PRA and and secondary data sources to
understand the situation. More than 85 percent people are live blow poverty line. The literacy rate is very
low. To understand the real situation and need of the farmers need assessment and market study was
conducted after meeting with the Kalanjiam members and the farmers of the villages. The need
assessment and market survey shows the pathetic situation of the farmers existing in this area. For need
assessment the sample size was 40 on the basis of land holding size which was 16 percent of the
vegetable cultivator in the study villages. The findings shows that most of the farmers ( 65 percent) are
dependent on rainfall that involves risks, only 2 percent of the sampled respondent has exact knowledge
about seed varieties, 98 percent farmers feel that they don't get quality seed although they payed high
price. The farmers faced problem in selling the product also. There are three local markets where the
farmers sells their product. In market the dominance of the middleman is the main problem. It is
surprising that even in 2007 there are no weight age system. They follow 'Kauri' system which is
exploitative. The vegetables are perishable good. It needs immediate marketing that also a problem to the
farmers as the markets are weekly market. Another problem is that the farmers have to travel a long
distance even by walking for marketing. The market study shows that if the end consumer pay 100 rupees
the farmers get only 30 rupees where as the middlemen get 70 rupees of it.
13
After the need assessment and market study the result was shared among the farmers in farmers
meetings and the suggestion was invited to solve the problems. The suggestion was also invited from the
government officials. At the same time some exposure visit was taken to the PPG promoted by KVK mainly
to understand their function. On the basis of the suggestion made by the farmers and the government
officials the model was developed that will be fit in the context and will fulfill the farmers needs. was
During the meeting with the farmers some highly motivated people were selected to seed the concept
among the farmers. For them separate meeting and camp was conducted to made them clear about the
concept. The concept and strategy was presented to the government officials, Project Executives ( of this
region) and programme leader of DHAN Foundation in a meeting. After discussing all the aspects Mali
Dusra village was selected to piloting the project on the basis of the strength of Kalanjiam and the interest
of the farmers. The local children performed a theater on the exploitation of the existing system and few
development films were screened in the village for awareness. Primarily 23 farmers came forward to form
first PPG and they selected office bearer and evolved bye-laws for smoothly functioning of the group. On
19th September the group was handle over to the location.
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CHAPTER I
RESEARCH DESIGN
The core purpose of DPS I was to understand the development issues of a particular area and organized
the community under the people institution to solve the issues by the people themselves through enabling
approach. Apart from that it also concentrated on the capacity building, training and other aspects of self
sustainability to establish a system that will be hold by community, own by the community and control by
the community. The basic of this development practice was to be with the community , learn from the
community and built on what they have. The outcome of the study is based on the experience in the field
and the data collected during the time.
1.1.Objectives
i) TO prepare a inception document of the Khudi and Hatpada panchayat of Semiliguda Block.
ii) To assess the needs of vegetable cultivators.
iii)To understand the existing market channel and different stakeholders.
iv)To understand the possible alternatives to maximize the profit of the farmers.
v)To organize the farmers to solve their needs.
1.2. Methodology
The core purpose of the DPS I was to prepare a inception document Of the Khudi panchayat and Hatpada
panchayat of the Semiliguda Block for the location office of DHAN Foundation to start Primary Producer
Group (PPG) /Primary Marketing Group(PMG). The duration of the study was from 4th of August to 20th
September. For that the different methodology was followed as describe in following.
1.2.3. Screening
For the study purpose the Semiliguda location of DHAN Foundation was selected. Semiliguda is one of the
block of Koraput district. Hare DHAN Foundation is working since last fourteen months. The block is
consist of 16 panchayat out of which in 10 panchayat the KCBP programme of DHAN Foundation is
15
implemented that covers nearly 1600 poor women through 110 group.
In this location in first phase the three panchayat (Sarisapodar,Hatpada and Khudi) were selected on the
basis of existence of Kalanjiam Group and practice of vegetable cultivation.
In second phase after visiting of all the Kalanjiam Groups two panchayat (Khudi and Hatpada) were
selected on the basis of the performance of the Kalanjiam Group and the number of Kalanjiam Group in
the particular panchayat village. In Sorisapodor panchayat Kalanjiam is existing in three villages only and
the groups are also very new and out of 9 group only 3 Groups is linked with the Bank.
After selection of the Khudi and Hatpada panchayat again it was necessary to select of some of the
villages in consideration of the limited study time and to piloting the project on experimental basis. To
select the village the main criteria was vegetable cultivator more than 55% household and the
performance of the group and more than one years group.
On this selection criteria four villages were selected from maintained two panchayat .
The finally selected villages were Kumar Khudi,Mali Khudi,Galaguda ( Khudi panchayat) and Mali Dusra (
Hatpada panchayat)
Sampling : For need assessment 40 farmers (10 from each) selected on the basis of land holding size.
Those who have less 2.5 acre of low land and engaged in vegetable cultivation were selected. Another 40
farmers were selected for cash flow analysis on the same criteria on the basis of agricultural practices .
1.2.4.Coverage
The study is located in four villages of Khudi and Hatpada panchayat of Semiliguda block of in the Koraput
district. . The panchayat are situated situated at distance of 20 km s. from Semiliguda, a major trading
center in the district and physical . In fact Semiliguda is on the
southern border, with mountains as natural boundaries between Orissa and Andra Pradesh. Four villages
have been selected for the study- three in Khudi panchayat located nearly 8 km. Distance from the road
side(NH43) and another one in Hatpada panchayat is about 12 km s. thus, representing less and more
remote villages respectively. The villages are located at a distance of 20 -35 km s. from Semiliguda.
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1.3.Data Collection
1.3.1.Secondary data
it was very necessary to understand the present situation and the past development of the area and the
block. To understand the various aspects of the panchayat like it's geographical area, demography, rainfall,
soil type, government institutions etc. several data was collected from different sources .
DHAN Office: the secondary sources like the details of Kalanjiam group, age of the group and no. of
members involved in agriculture activity were collected from DHAN location office.
Village panchayat Office: demographic details of the villages and total no. of farmers in different
village, land holding pattern,no. Of people below poverty line was collected from village panchayat
office.
Agriculture office, Koraput and Semiliguda: Details regarding the cropping pattern and the productivity.
Block office
KVK
1.3.2.Need for primary sources
the collected secondary data were only provide some numbers regarding the issues but it did not cover
the need of the farmers and the problems of the existing systems. So it was very necessary to collect the
primary data that will fulfil the need of the study.
1.3.3.Tools and Techniques used for the Study

1.3.3.1.PRA Techniques
(i) Transect walk-It helped in get familiarity with the villagers and to understand the existing
situation.
(ii) Venn Diagramme: This tool provided information regarding the market and other agriculture
related information.
(iii) Seasonal Mapping- This tool provided information about the agricultural season and the time line of
various crops.
(iv) Focus Group Discussion- This tool provided the information on various issues like agriculture
situation and marketing and the problems what they are facing etc.
1.3.3.2.Personal Interview: - I conducted personal interview with the farmers, businessman and
Government officials. For need assessment and cash flow analysis semi structure interview schedule
was use
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CHAPTER II
BLOCK PROFILE
Semiliguda Block is situated nearly 22 Km. South of the district head quarter Koraput. The presence of
HAL and NALCO gives extra importance to Semiliguda,the block head quarters. The block Semiliguda
came into existence from 30-o6-1963. The block is enriched with forest and minerals that attracts the
people from outside. Semiliguda is surrounded by Patangi, Nabarangapur and Koraput. Semiliguda is
consist of 16 panchayat namely,
Table no. 2.1: the panchayats in Semiliguda block
1 Kunduli 5 Cherangul 9 Hataguda 13 Pitaguda
2 Mathai 6 Renga 10 Dudhari 14 Ghuthaput
3 Rajput 7 Sorisapadar 11 Dolaiguda 15 Subai
4 Sadam 8 Pakjholla 12 Kanti 16 Khudi
Source: Block Office, Semiliguda
2.1. Geographical Area:
The geographical area of this block is 932 .32 sq. km Having 94 revenue villages which consisting of 16
g.p. The total cultivable area of this block is 18,578 hects with the following classification .
Table no. 2.2. Cultivable area of Semiliguda block
Type of land Class I Class II Class III Total
Paddy 1309 hects 975 Heacts 861 Hects 3146 Hects
Dongar 2825 hects 5036 Hects 5200 Hects 13062 Hects
Source: Block office, Semiliguda
Nearly 38 percent of total geographical area is covered by the forest. Hill, forest,stream are the common
18
in this area as this is the part of eastern ghat. The highest pick of the state Deomali is situated in this
area.
2.2.Households
There are 85 villages with households in rural and urban areas of the block 25895. The details are given
in Table
Table no. 2.3. information on villages and households
Sl no. Block No of inhabited Uninhabited Total no. Households
village
1 Semiliguda 85 - 85 25895
2.3. Demographical Details
The area is predominantly occupied by the S.T. People. The life style of the people is entirely different than
the outsider and controlled by the traditional belief and value system. As per census of 2001, the block is
inhabited by 25895 households consisting 65015 peoples out of which SC-6922, ST-30910, OC-27183.
The block in dominate by SC/ST population. ST population is 46.6 percent in the block. The predominantly
tribes are Prajaer, Bonda,Dom .
2.4. Literacy Rate
Koraput is considered as one of the most illiterate district. In Semiliguda block the literacy rate is 36.2
percent percent as per 2001 census. Here the female literacy rate is very low in compare to male literacy.
The male literacy rate is 47.88 percent and female literacy rate is 24.81 percent. In comparison to the
district literacy rate 35.7 percent (male 47.2, female 24.3).
2.5.Educational Institute and Facilities
In this block there are total 115 primary schools and 9 upper primary schools and 12 P.S.Hs are
functioning in this block. Apart from that there are three ITI ,One engineering college and two general
college is running in this area. But the quality of education is still a question and the the functioning
educational institutions are not sufficient to meet the demand and the drop out is a common phenomena
19
of this area. Government has implementing many education programmes in this block like
M.D.M.,Sevasrama, girl hostel, D.P.AP. Etc. M.D.M. Is running in 116 schools in of this block and the are as
follows
Table no.2.4.Details of M.D.M in Semiliguda Block
SL.NO School no.
1 Primary schools 115
2 U.G.M.E. o6
3 J.E.L.C. 02
4 Sevasharama 08
Total 131
Source:Block office,Semiliguda
There are eleven Sevasharama are functioning in this block .
01) Chikapaar 02) Sunabeda 03) Marua 04) Sadam
05) Kanti 06) Rajput 07) Subai 08) Sudhiput
09) Ranti 10) Doliaguda 11) Rajpalma
Besides that there are five 40 seated Girls High School having 40 S.T. Girls are attached to the following
seveharams
1) Subai S/S 02) Chikapaar S/S 03) Sunabeda S/S 04) Sudhiput S/S
5) Rajpalma S/S
2.6.Occupation
The percentage of main workers to total population of the district is 41.08 percent and the percentage of
cultivators to total main workers is 48.15. The agricultural labourers constitute 31.26 percent of total main
workers. The information on workforce engaged in different occupation in Koraput district and semiliguda
block is given in following table (table no 2.5.)
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Table no. 2.5.workforce engaged in different occupations
Sl no. Name of block/district Agri worker Agri labourers Other Total
Cultivators worker
1. Semiliguda(block) 21,388 4,796 21,146 47,330
2. Koraput(district) 2,03,728 1,32,248 1,78,025 5,14,001
Source: DRDA,Koraput
apart from agricultural related worker a large no of people are engage on NTFP collection and the
existence of HAL and NALCO provide job opportunities to the unskilled labour.
2.7.Agro-Climatic Information
2.7.1.Agro climatic Devision
Ten blocks of Koraput district are covered under Eastern Ghat Highland zone while remaining four blocks
are covered under South Eastern Ghat zone. Based in variation in topography, soil type, availability of
irrigation and cropping patterns, each agro clamatic zone is further sub-divided into a number of agro-
ecological (farming) situations with a view to generating location specific technological details of such
farming situations are given below. Semiliguda comes under Eastern ghat high land Agro-climatic zone.
Table 2.6. Blocks covered under different farming situations
Agro-climatic zone Farming situation Block Covered
1. Eastern Ghat high land I

(Elevation 600-1000m above Koraput,Semiliguda,Pottangi,Lamtapu
MSL) r, Laxmipur Dasmantpur, Nandanpur,
II Narayanpatna, Bandhupur
(Elevation 300-600 m above
MSL) Kotpad
2. South -Eastern Ghat Zone III
(Elevation 150-300m
above MSL) Jeypore, Boriguma,
Medium rainfall Kundra, Boipariguda
High elevation
Source: Agriculture office, Koraput

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2.7.2.Agro-ecological Situation
For the purpose of strategic planning Koraput district has been sub-divided into seven agro-ecological
situation mainly basing on the agro-climatic zone, elevation, rainfall and command area. The details of
such AES are given in Table no2.7.
Table 2.7. Identified Agro-Ecological Situations in Koraput district
Sl ACZ Name of AES Area in % of Blocks covered
no. 000 ha geographica
l area of the
district
1. Eastern Ghat a.High elevation, high rainfall 183.16 27.2 Koraput,Dasmantpur,Nangda
High Land & non-command npur
Zone b. High elevation medium 25.80 3.8
rainfall non command Potangi,
c. High elevation low rainfall Semiliguda,Lamtapur
& non-command 129.07 19.2
d. medium elevation, medium
rainfall non command 38.01 5.6
e. Low elevation medium Laxmipur
rainfall command
2. South f. High elevation,medium 43.54 6.5 Narayanpatna , Bandhugaon
eastern ghat rainfall command 114.25 16.9
zone g. High elevation medium 138.65 20.6 Koraput,Jeypore
rainfall non command Kundra & Baipariguda
Source: District Agriculture office, Koraput
2.7.3.Climate
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The Climate of the block is warm and humid with average maximum and minimum temperature of
30.6ºC and 17.03ºC, respectively. April & May are the hottest months and December, January are the
coldest month. The average relative humidity recorded in the morning & evening are 51.7 percent and
26.6percent , respectively. Average daily evaporation is about 3 mm in the block.
2.7.4.Rain-fall
The normal rainfall of the block is 1401.8 mm. In comparison to other parts of district it is low. The
normal rainfall of the district is 1521.8mm in 82 rainy days against the state average of 1502.6 mm and 73
rainy days. June to September are usual monsoon months where 79 percent of rainfall is record in about
61 days. Most of the rainfall is received by the block during month of June, July and August. Though
rainfall is better in comparison to other block but the channels for proper utilisation of available rainfall are
assent.
2.7.5.Forest
Generally tribal people are mostly forest dwellers. Forests shape their life and economy. It provided them
their prime necessities such as fuel fruits and fodder for their domestic animal. 34,200 hector of land
covered by forest in this block which is 36.67 percent of to total geographical area.
2.7.6.Soil
The soils of the block are mostly red, mixed red and yellow. The texture is sandy loam to sandy clay loam.
As per soil test the soils are acidic and poor in fertility status. They are highly eroded, rich in iron and
aluminum and are usually deficient in Boron and Zinc. Soil acidity and iron toxicity are problems of most of
the places. Information on soil of Semiliguda block of is given in the following table(Table No 2.8.)
Table no 2.8. Information on soil in Semiliguda Block
23
Sl no. Name of the Red or mixed Alluvial Soil Problematic soil Deficiency of
block red & yellow( (Area in 000 (Iron toxicity) micro-nutrients
area in 000 ha.)
ha.)
1. Semiliguda 9.31 - - Bo,Zn
(block)
Source: Agriculture office, Semiliguda
2.7.7.Agriculture
Agriculture is the back bone of the economy of the district as well as the block . Rice is the major crop of
the district which occupies 39 percent and 18 percent of cropped area during Kharif & Rabi, respectively.
The other important crops of the block are ragi, small millets, maize, vegetables, horse-gram and niger.
Although cultivated in smaller area, crops like cotton, sugarcane, ginger and turmeric have been regarded
as important cash crops in the block. The principal crops in terms of coverage and importance are as
follows :
Table no 2.9. Principal crops of the block
Sl no. Crops Kharif Ravi

1. Cereals Rice Rice
Ragi maize
Maize
2. Pulses Black gram Horse gram

Arhar Gram
3. Oilseeds cas for Field pea
sweet potatoes Niger

4. vegetables bringal Mustard
Tomato, Beans, cole
5. Fibers Mesta, cotton crops
6. -
Spices Ginger, Termaric ,chillie Chillie, Garlic, onion
7.
Other crops Sugarcane ,Tobacco -
Source: RRTS,OUTA,Sunabeda
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2.7.8.Land Utilization
Koraput district has a reported geographical area of 7.897 lakh ha out of which only 28.43 percent is net
sown area. The area under forest is 24 percent of geographical area which includes reserved forests,
protected forest and unclassified forest. The land utilization pattern of Koraput district and Semiliguda
block is given in Table 2.10.
Table no 2.10. Land utilization pattern of Koraput district and Semiliguda block (in ha.)
sl. Name of Forest Misc. Perman Cultureb Land Barren & Current Other Net area
no. the area tree ent le waste put to cultivated fallow fallow shown
district/blo crops pasture land non use land
ck grazing agri.
land
1. Semiliguda 337 708 323 478 3774 13875 2667 834 9315
block
2. Koraput(di
strict) 44783 18052 13887 13687 46476 123776 77038 17897 224523
2.7.9.Irrigation :
Koraput district has got 35 percent of the net sown area under different sources of irrigation. Upper Kolab
Project is the major irrigation project of the district which provides irrigation to 37.29 lakh ha. in Jeypore,
Kotpad, Boriguma and Kundra blocks. Very low lands called Jhola lands which are wide, situated at valley
bottoms are irrigated with perennial flow of water. Of the total 35 percent land under irrigation, 17 percent
from major source, 2 percent from minor source, 1 percent from lift irrigation source. 0.6 percent from
wells and 14 percetn from other sources are irrigated. In Semiliguda block 46.6 percent of net shown
25
area is irrigated . There are no major irrigation scheme in this block. Only 4.37 percent of the total area
irrigated though different source like flow and lift(1.02 percent), wells(0.01 percent) .
The irrigation potential of the district and Semiliguda is given in in the table 2.11.
Table 2.11. irrigation in Koraput district and Semiliguda Block (in percent)
Sl no. Name of Major Minor (flow & Wells Others Total % of net shown area
block/district Source lift) irrigated
1. Semiliguda block - 1.02 0.01 3.31 4.34 46.6
2. Koraput district 37.29 7.82 1.32 32.14 78.57 35.0
2.8.Transportation
Transport facility in this block is under develop mainly because of hilly area. The length of GP road is 89
km. And total length of samiti road is 103.64 km. Although there are newly built roads under Pradhan
Mantri Sadak Yogna but there are no transport facility because running of vehicle is not profitable.. The
NH-43 cross through the block and the government as well private bus for Nandapur, Patangi and Koraput
are running through this route but again the frequency is the problem. The people of every G.P are
dependent on Jeeps and tracker for this village is not so frequent even they have to pay high for hiring
Jeep or tracker. Some panchayat which are situated interior pockets has no transports facility and face
more problem than those are connected with road. Some village even so interior is that, one has to walk
through mountain and cross the river. But the tribal people do not feel that it is their problem because they
are habituated to walk for a long distance.
2.9. Banks
The Similiguda block has three Nationalised and two Regional Rural Banks. The three Commercial banks
are SBI, Allahabad bank and Bank of India which are located at Sunabeda. Besides it Koraput Panchabati
Grameen bank (KPG) and Koraput central co-operative bank (KCCB) has been working for the last one
decade. KPG is working in micro finance of SHG model. Micro finance Ltd. is also working at this block.
2.10.Health Facility
26
The block is having 5 PHC, one Ayurvedic dispensaries and two allopathic dispensaries along with one Red
Cross centres. Although malaria, diarrhoea and TB are most commonly occurring diseases in this area but
lack of quality health care and education among these people do not attract the attention of local
administration. Even most of them are not aware of the free services provided to them by government
PHCs. Still now people believe on traditional healer and herbal medicine of forest.
Table -2.12.Health institutions in Similiguda block
PHC Ayurvedic Allopathic Red cross Total
5 1 2 1 9
Source- ICDS office, Semiliguda
27
CHAPTER -III
PANCHAYAT AND VILLAGE PROFILE

Both the study panchayat are located in the side of NH43. 10-12 KM. away from the block head quarter
Semiliguda. The panchayat are situated in different side of the NH43. Khudi panchayat is consist of 14
villages out of which 6 villages are revenue village and others are hamlet. The Hatpada panchayat is
consist of 12 villages out of which number of revenue village is 5 and others are hamlets. The panchayat
are located at the border of the Semiliguda block and Patangi block.
3.1.How to Reach
Both the panchayat are located about 35-40 kilometres away from the district headquarters Koraput. Vizag
is 5 hours journey from Hatpada by bus. Hatpada is main point of communication facility for both the
panchayats.To reach Hatpada by bus from Semiliguda a bus going to Vizag is to be taken but the
number of bus is very limited. Most popular mode of transport is Jeep or commander.
3.2.Demography
Total population of the Khudi and Hatpada panchayat are are 1306 and 1539 respectively. Out of which 69
percent and 57 percent of the total population is belongs to S.T. Community. The sex ratio is quite high in
both the panchayat than national average. The sex ratio in Khudi and Hatpada Panchromatic is 1125 and
1004 respectively.
Table no 3.1. Demographic details in Khudi and Hatpada panchayat
Name of Community wise population Total Sex ratio
panchayat ST Percent SC Percent Others Percent population
Khudi 901 69 236 18 169 13 1306 1125
Hatpada 908 57 304 19 384 24 1593 1004
Source: panchayat office, Khudi and Hatpada
3.3.Literacy Rate
28
In terms of literacy both the panchayat are far behind from the outside. Literacy drop out are very common
in this area. The literacy rate is 16 percent and 15.5 percent respectively in Khudi and Hatpada
panchayat. Although the the female population is higher than male population but in terms of literacy the
female illiteracy is higher than the other counter part. Although the primary education is free for tribal s
and government also provide veriious supports for the tribal girls. But the girls are send to schools only up
to they are matured enough to do the households works. The child are also go to the field for work with
their parents.
Table 3.2.Literacy rate in Khudi and Hatpada panchayat
Name of panchayat Literacy rate Male literacy rate(%) Female literacy rate
Khudi 16 19 13
Hatpada 15.5 17 14
Source: panchayat office,Khudi and Hatpada
3.4.Education Institutes
There are 12 primary school in Khudi panchayat and in Hatpada panchayat the number is 8. there are no
high school in Khudi panchayat and only one in Hatpada. The children are used to go to Kunali for school.
The awerness among the people regarding education is quite low. Now government and some NGOs are
putting effort to bring awareness.
3.4.Land Pattern
Total land of Khudi and Hatpada panchayat is 947 and 898 ha. ha respectively. The distribution of the
land is as in the following table.
Table no 3.3. Land pattern of Khudi and Hatpada panchayat
Name of the Paddy Paddy Paddy Total Dongar Donga Dongar Total Total
panchayat (I) (II) (III) paddy (I) r(II) (III) dongar land
land land
Khudi 83 93 53 229 120 223 375 718 947
Hatpada 74 78 64 217 192 246 243 681 898

29
3.5.Cropping Pattern
In this area major crops are paddy,ragi,niger etc. As the land is downward sloppy and water can't be
stagnant in upper area and irrigation is the main problem for this kind of land. Agriculture is primary
occupation and it is mostly rain fed. In Rabi season only all the major crops are cultivated. In Khariff
season, vegetables are cultivated,brinjal etc. Mostly paddy is grown in settled land. In upper dongar they
grow gram and millets. People do people on the hills by cuttings forest this land does not give much yield.
Ragi is the staple food over here which is cultivated here.
3.6.other Facilities
There are 19 tube wells in Khudi panchayat and 27 in Hatpada . The local market of this area is situated in
Hatpada. Only five villages of Khudi panchayat is electrified in case of Hatpada the number is seven. One
PPG is functioning functioning in Khudi panchayat promoted by KVK.
3.7.People in the Study Villages: A Profile of Sample villages
The study is located in four villages of Khudi and Hatpada panchayat of Semiliguda block of in the Koraput
district. . The panchayat are situated situated at distance of 20 kms. from Semiliguda, a major trading
center in the district and physical . In fact Semiliguda is on the southern border, with mountains as
natural boundaries between Orissa and Andra Pradesh.
Four villages have been selected for the study- three in Khudi panchayat located nearly 8 km. Distance
from the road side(NH43) and another one in Hatpada panchayat is about 12 kms. thus, representing
less and more remote villages respectively. The villages are located at a distance of 20 -35 kms. from
Semiliguda. Table no3.4. presents some of the basic information about the villages covered by the study.
During the field work collecting village level information especially, for land use, has been a major hurdle
because of the inadequacy and/or non-transparency of land records in the study area and less knowledge
about this matter among people.
30
Table no.3.4.Profile of sample villages
Indicator Kumar Khudi Mali Khudi Dusra Galaguda
Total HHS 62 102 174 67
Total population 353 632 835 268
Total Area 643.05 NA 1073.61 NA
% of SC population 19.0 23.2 11.5 NA
% of ST population 80.4 NA 74.8 84.6
Household size 5.7 6.2 4.8 4.0
Sex ratio 990 996 1014 1009
% of worker Male 55.5 NA 60.1 60.9
Female 57.2 NA 27.9 65.5
Nearest Market Place Hatpada 7-8 Km. Hatpada 8-10Km. Hatpada 12-14 Km. Hatpada 3-4 Km.
/distance
School facility No Yes (Primary) Yes(Primary) Yes(Primary)
Health Facility ICDS services of No ANM service ICDS service at ICDS service at village
village level ANM village level level
visit
Drinking water Hand pump Deep tube well Tube well Deep tube well
Electricity No Yes Yes Yes
Transport facility No No Yes( commander) No
Distance from road 7-8 Km. 8-10Km. 12-14 Km. 3-4 Km.
panchayat No Yes No No
Wage rate Male 40 30-40 40 35-40
31
Female 30-35 25-35 30 30-35
Source : panchayat Office and Discussion with people
Note: (1) The information is based on PRAs and discussion conducted in the study villages; it may not
reflect data on the official records.
This table presents a detailed profile of the study villages selected for primary survey carried out during
august , 2007 in the study villages.
3.7.1.Population and Social Groups
Most of the people of the study area are belongs to S.T. Communities. The sample households comprise
of 58.5 per cent scheduled tribes (ST); 28.9 per cent scheduled castes (SC); and 12.6 per cent belonging
to other communities. The proportion of ST is significantly higher in Sindhiguda with 92 per cent of the
households belonging to this category.
Table no. 3.5.Distribution of households on the basis of caste in the sample Villages
Name of Caste
the village ST SC Others Total

HHs Percent HHs Percent HHs Percent All Percent
Kumar 50 80.64 9 14.51 3 4.83 62 100
Khudi
Mali Khudi 85 83.33 13 12.74 4 3.92 102 100
Dusra 128 73.56 29 22.48 17 9.77 174 100
Gelaguda 39 58.20 17 25.37 11 16.41 67 100
All 302 73.93 68 18.77 35 8.73 405 100
Source: PRA and discussion with villagers
3.7.2.Sex Ratio:
In all, the sample villages have more female population than the male population. The sex ratio (female:
male) for the population in sample villages is 999.75 which is quite higher than national ratio 933.
Although it varies village to village. The higher sex ratio may be inactive of good social practices and
32
traditional beliefs.
Table no. 3.6.Sex ratio among sample villages
Sl no. Name of the village Sex ratio
1 Kumar Khudi 993
2 Mali Khudi 1003
3 Dusra 1006
4 Galaguda 997
5 All 999.75
Source: Panchayet office,Khudi and Hatpada
3.7.3. Literacy
Literacy rate in these villages is very less. The literacy rate is varies from 13 percent to 22 percent.
Interestingly, three villages out of four sample village have primary schools with in the village. Hence ,
having school in the village is no guarantee for its actual functioning as teachers are seldom there to teach.
During my 48 days staying in village the primary school of Bondaguda village as open ony six days
including 15th august.
Table no 3.7.Literacy rate in the sample villages
Name of the village Literacy rate

Male Female All
Kumar Khudi 24 13 18.5
Mali Khudi 16 11 13.5
Dusra 19 17 18
33
Galaguda 26 18 22
Source: the panchayat office,Khudi and Hatpada
3.7.4.Livestock
Livestock is an important part of the traditional livelihood system in this region. This is reflected by the
fact over 88 per cent of the households owned livestock. This varies from 82.5 percent per cent in
Galaguda to 96 per cent in Marla. Of the total4336 livestock, 930 are cows, 846 are bullocks, 719
buffaloes and rest are small animals including sheep and goat. This suggests that on an average each
livestock owning household has more than one cow/buffalo .
However,the asset is losing its strength as means of coping mechanism due to deforestation in the area .
This is reflected by the fact that the people reported decline in livestock population during the past 10
years. A number of factors are responsible for declining number of livestock population such as: cashew
nut plantation by the government ; lack of support services; selling out to fulfill family requirements etc.
Table no. 3.8.Livestock population in sample villages
Village Total livestock Avg. no. of livestock per households
Cow Buf. Bul. others All Cow Buf. Bul. others All
Kumar 105 87 105 242 539 1.7 1.4 1.7 3.9 8.7
Khudi
Mali 204 102 204 571 1081 2.0 1.0 2.0 5.6 10.6
Khudi
Dusra 400 383 383 679 1845 2.3 2.2 2.2 3.9 10.6
Galagud 221 147 154 349 871 3.3 2.2 2.3 5.2 13
34
All 930 719 846 1841 4336 2.3 1.7 2.08 4.8 10.7
Source : Livestock census, 2007
Note: the report is not yet published. The data was collected from the person who is collecting data.
3.7.5. The Markets
The weekly markets "haats" are tradition all over rural India but none so colorful and traditional as in this
part of Orissa. These markets are held around the districts and occur once or twice a week to serve the
local villages. Hatpada 'haat' is on every Tuesday and Friday. Semiliguda haat is on Sunday. It is used by
all the people of the surrounding area. Little has changed in most of these markets with the times.Some
villagers walking even more than 15 kilometers or more to reach the market with their product to sell
and to buy the necessary goods. These 'haats' are used as the medium of news exchange with the others
and outsiders.
3.7.6. Social Control and Traditional Panchayat
Traditionally the governance of the villages was in the hands of the village council. The place of the
village Council is consider as the place of the earth goddess "Jakhri". Each village has a traditional head
called "Saunta" who presides over the meetings attended by the "Jani" the religious leaders, head's of all
households and some important leaders of the Community. The jurisdiction of the "Saunta", is confined to
all kinds of social offenses. The "Barik" acts as the messenger in these meetings.
Since the tribal people believe in customary laws and go by their own codes they generally avoid referring
cases to the police station. But with the modernization and the active interference of the non tribal
people, the customary law is losing its significance and increasing number of cases are now being
registered with the police and the local courts. Like, during my DPS there was a problem related to land
dispute and the whole villagers of Dusra moved to police station.
3.7.7.Status of Women
In this area the tribal women enjoy freedom and widow remarriage and divorce (not in court) are
acceptable. The birth of girl child is welcomed in the tribal household but ironically the womenfolk are
35
overburdened with work. The exception of this area is that in this area the bride groom offer money to the
girls family. But the women are not allowed to participate in the decision making process of the
community, consequently resulting in women having an inferior status in the social hierarchy.
3.7.8.Health Facilities:
The study villages are situated in remote and inaccessible area away from the government run health
services. The P.H.C is situated at the block headquarter. The health ANMS being mostly outsiders, visit the
villages once in a while. The people depend on Bejunis (Traditional and faith healers) and villages quacks
for treatment.
There are few hand pumps which are totally inadequate. The defunct hand pumps force them to fetch
water from hill streams and open wells which are unhygienic.
3.7.9.Food Habits
Ragi (Millet) is the staple food. Peja, a gruel prepared from millet serves the purpose of the morning tiffin
and lunch. The whole days starvation in only by drinking sago palm juice (salap). The night meal is the
only complete meal consisting of rice and vegetables.
Liquor has socio-religious significance in the tribal life. Therefore, liquor is consumed by them irrespective
of age and sex.
3.7.10. The people and Agriculture
Shift cultivation, popularly known as Podu cultivation used to be practiced previously. Most of the villagers
have own land. The life of the individual and family dependent on agricultural activities and they consider
it as part of culture.They believe that good output in on the hand of God. So they appease gods through
a complex of rituals. They believe that the fertility of seed grain is happen by the blessing of gods and
sprinkled blood of sacrificial animals. They practice verious retuals through out the year. The year of the
tribal calendar includes the following months.
36
Baisak(June-July) Ousa (October-November) Pusa (February-March)
Ladi(July-August) Dusra (November-December) Magha (March-April)
Asar (August-September) Diyali (December-January) Faguna (April-May)
Bandapani (September-October) Pandar (January-February) Chait (May-June)
3.7.11.Cropping Pattern
Major crops grown in the village are paddy, jowar, redgram , maize, green gram etc. Jowar is the staple
food of the people and it is grown exclusively for household consumption. After meeting the household
requirement the remaining jowar produce is sold in the market. Next to jowar the other important crop
grown widely, by every farmer is redgram. It is also grown for household consumption and for sale in the
market. Redgram is sown along with jowar as a mixed crop. The places where water is available the
people cultivate paddy and vegetable.
Vegetable cultivation is one of the most important occupations in this area . They produce two times in the
year in the month of Feb and March they cultivated and sow the seed. They get vegetable in the month of
May, June and July. Again they sow the seed during the month of August- September and cultivate
vegetables yeild in the month of November-December.
3.8.Cash flow analysis /acre
37
3.8.1.Cauliflower
Sl. No. Particular No. of Qt (kg Cost No of labour Wage Total

operatio /lit.)
n
M F M F
1 Ploughing 5 10 30 1500
2 Harrowing 5 - - -- - - - -
Waste
3 collection 50 25 1250
4 Sowimg 1 5 25 125
5 Seed 250 gm. 10000 10000
Fertilizer Potus -10 Potus
applicatio bag @350
n Gr,-5 bag Gr.@550
DAP-5 DAP
bag @300
Urea- 5 Urea @
bag
6 500 10 30 10550
Planning
7 for field 5 30 150
8 Hoeing 15 10 30 25 700
Fertilizer Sufala 4 @ 700
applocatio bag
9 n 4 30 2920
10 Irrigaton 2500
11 Spraying 1/week 3000
12 Total 32695
Output : Approximate 275 kauri on an average Rs. 160 = 44,000
Time: 3 month
38
3.8.2. Chillie

operation /lit.) (Rs.)
M F M F
Ploughin
1 g 8 32 30 960
Harrowin
2 g 1 10 30 300
Sowimg
3 1 5 5 30 25 275
Seed 750 gm.
4 3750 3750
applicatio bag @350
n Gr,-4 bag Gr.@550
DAP-4 DAP
bag @300
Urea- 5 Urea @
bag
5 500 8 30 7890
Planning
6 for field 1 5 30 150
Hoeing
7 2 12 30 360
Fertilizer DAP 3 DAP
applocati bag @300
on urea 4 Urea @
bag
Sufala I
500
bag Sufala
8 @700 4 30 4020
Irrigaton
9 5200
Spraying 10 novad @425
10 5 50 4500
11 Total 27405
Output : Approximate 300 kauri on an average Rs. 250 = Rs. 75000

Duration: 75 days
39
3.8.3. Ginger

operatio /lit.)
n
M F M F
Ploughing
1 3 6 30 540
Waste
3 collection 1 16 25 400
Sowimg
4 1 10 4 30 25 400
Seed 10 Qt.
5 15000 15000
applicatio bag @350
n Gr,-4 bag Gr.@550
DAP-2 DAP
bag @300
Urea- 1 Urea @
bag
6 500 15 30 4450
Planning
7 for field 3 90 30 2700
Hoeing
8 2 10 30 600
Spraying
11 2000 2 50 2100
Total
12 26190
Output : Approximate 40 quintal @ 1500 = Rs.60000
Time: I year
40
3.8.4.Potato
Sl . No Particulars No of Qt (kg/lit) Cost No of labour Wage Total

operati
on M F M F
1 Ploughing 2 16 50 800
2 Waste 1 40 30 1200
collection
3 Sowing by 1 10 40 400
seed drill
4 Seed 300 3000
5 Fertilizer 1 Potash-60 420 2 40 1340
application Gromour- 840
140
6 Planning of 1 8 4 40 30 440
field
7 Hoeing 1 16 40 640
8 Fertilizer 1 Urea -50 550 4 30 670
application
9 Spraying 400 1 30 430
10 Harvesting 12 30 360
11 Total 9280
Production : 100 Kauri on an average rate of Rs. 120= 12000.

Time: 90 days
Inference: This cash flow analysis is for one acre of land. But n this area the farmers are marginal. They
own very less land and in that land they go for mix-cropping. Another matter is that they farmers don't
calculate the labour cost. Generally all the family members work together in field.
41
CHAPTER IV
FARMERS NEEDS ASSESSMENT

This chapter is about the existing cultivation situation and the problems of the farmers that they face every
day. The findings are based on the informations collected through difference tools like interview
schedule,informal and formal group discussion,focus group discussion ctc. The findings were share with
the farmers in village meeting and on the basis of the result open suggestion were invited to solve the
problem and to maximize the profit of the farmers by themselves.
4.1.Uses of the product
The farmers share they go for vegetable cultivation for sales purpose. They production of also meet their
self consumption and a very little amount are used to offer to their relatives. The problem was faced during
the data collection that the farmers don't measure how much they use for self consumption and offering
to their relatives. From the total cultivation only 2 percent of the total production were used for self
consumption and other 98 percent are used for sales purpose.
It shows that the vegetable cultivators are mostly go for vegetable cultivation for profit making and for that
market pays a key role.
4.2.Processing
processing is a important step to maximize the profit. Processing can give five time profit to the farmers
than they get in raw material selling. But in these area the farmers don't know about the processing and
they don't have any existing indigenous or local processing technology. The farmers sell their product
(100%)directly to the market.
Here the small intervention can maximize the profit of the farmers like the area is famous for turmeric and
zinger that can easily process and sell to the market after package. One k.g. Of turmeric is RS. 5/ K.G. In
local market where as the turmeric powder is sell in RS. 70/ kg. In local and outside market. From one kg.
Of turmeric it can produce 300 gm. Powder that cost nearly 21 rupee .It needs technological knowledge
and initial investment. But the farmers are unknown about it.
42
4.3.Sources of irrigation water
Irrigation is the most important element that determined the crop success and productivity. In the sample
farmers most of the farmers 65 percent are depend on rainfall, 20 percent are depend on river or
canal,15 percent are depend on pond for irrigation water. There are no facility of canal irrigation and bore
well irrigation.
Table no. 4.1. Irrigation source
Source of irrigation No. of farmers Percent
Bore well 0 0
River/stream 6 15
Canal 8 20
Rain fed 26 65
Pond 0
Total 40 100
Source: Sample Survey
The dependency on rain water determinant the insecurity of irrigation facility and if the rain is not
adequate the productivity will be affected. It also a barrier for cultivation through out the. When the
farmers get sufficient rain then only they go for vegetable cultivation even during the cultivation season
the weather affects the success. Those who use irrigation water from stream or river they also face
kind of problem. Because the water in river and the stream also depended on rain.
4.4.Knowledge about Variety
The knowledge about the variety of the seed is very important to get better outcome or productivity.
Because the productivity and quality is fully based on the variety and of the seed. But the farmers don't
have adequate knowledge about the seed variety. Here the literacy rate plays a key role. Only 19 percent
of sample farmers are literate. This plays a key role because to read the seed variety also need minimum
literacy. Only 24 percent of farmer were able to speak about the seed variety that too they can tell that
43
they are cultivating hybrid seed or ingenious seed. Only 2 percent of the sampled farmers were able to tell
the exact name of the seed that they are using.
4.5.Seed and fertilizer procurement
seed is the main input for any agricultural activity. In this area the farmers buy there seeds from the local
market Hatpada. They generally buy seeds at haat on Sunday. Retailers are the main source of seed. They
sell the seeds to the farmers. As most of the farmers are illiterate and they don't have adiquite knowledge
about the seed verity the retailers exploit them. A effort was made to understand the market channel of
seed channel and the to prepare a data base of the name of main seed supler companies. The seed
companies are based on the various parts of the country like Maharashtra, Delhi, Utter Pradesh,Hariyana,
Andhrapradesh, West Bengal and inside the state Bhubaneswar,Beharampore etc. the another seed chanel
is state seed corporation but that channel is not functioning well. The companies have their state
distributor and district distributor through which the agents get the seed and they sell it to the retailers.
The retailers don't have any license to sell the seeds. The general practice of seed market is that the
farmer ask to the retailer to give seed of a certain amount and the retailers sell the seed to the farmer with
out any voucher, brand even sometime with out any weight. The main problem related to the seed
expressed by the farmers are high rate of the seed, quality assurance and weight. 90 percent of the
sample farmers expressed that high rate of the seed is problem that increase the input cost more that the
unavailability of money is yet a problem.58 percent farmers feel that they don't get exact weight where
as 98 percent of the farmer fell that the quality assurance the main problem. During the interaction they
express the possibility to get seed from DHAN.
4.6.Unavailability of Formal Credit availability of formal credit system is yet a problem among the
farmers. Vegetable cultivation need more investment in initial days as input. The farmers go to the money
lenders for borrowing n interest rate of Rs.5%-10% /per month. The another system is existing in the
study area that the farmers also get input materials like seeds,fertilizer from the retailer. But for that they
have to pay more. If the rate is Rs. 70 for cash payment , in credit they have to pay Rs. 100 when the
production will start.

44
4.7.Market Details
4.7.1.Market Place: the farmers are dependent on the local markets in the near by areas,locally known
as 'haat' where the farmers sell their product and purchase the inputs and other necessary households
needs. The farmers of these area access the local Hatpada market,Semiliguda market which is nearly 25
km. And sunabeda market that is nearly 35 km. From the area and Koraput . The of market and mode of
transport varies from market to marker. The table no. 4.2. describes the details about the markets. All the
farmers(100%) go to Hatpada market whereas 25 percent farmer go to both Hatpada and Semiliguda
market and 15 percent go to the above three market and only one farmer (0.025 percent) go the
district head querter market Koraput.
Table no.4.2. Farmers place of marketing
Name of market People visit Percent
Hatpada 40 100
Hatpada +Semiliguda 10 25
Hatpada+Semiliguda +Sunabeda 6 15
Hatpada+Semiliguda +Sunabeda 1 0.25
+Koraput
Source: Sample Survey
4.7.2.Type of Marketing
all the farmers go for single marketing they don't go for joint or group marketing. Each farmer go to
market with his/her product and sell it. Only the village named Bondaguda go for group marketing only for
zinger. In this village all the farmers gather their zinger and call businessman from outsider. During my
DPS they sell 70 quintal of zinger in a single day jointly at the rate of RS. 25/per kg. Where as the market
price in haat is Rs.16/per kg.
4.7.3.Medium of Transportation :
transportation is the main problem to access the market. The whole area is surrounded by hills that creates
main barrier for good transport facility. Although in some villages there are road facility but there are
45
notransport facility. To go to Hatpada market the farmers use bi-cycle other wise they go to market by
walk. 40 percent of farmer don't have bicycle where as others use cycle as mode of transport to carry
their production to the market. Those who visit to Semiliguda ,Sunadeda and Koraput they use
commander or jeep for transportation. The table no . 4.3.depicts the details about the market and its
dates.
Table no.4.3. Local market details
Hatpada Semiliguda Sunabeda Koraput
Day Tuesday, Friday Sunday Sunday Daily
Distance With in 7 km. 25 km. 35 km. 70km.
Mode of transport Walk, bi-cycle Tempo, Tempo, Bus, tempo
commander commander
Transport cost - Rs. 20/Kauri Rs.30-35/Kauri Rs. 55-65/Kauri
Outsourcing Visakhapatnam's, Visakhapattanam, Mainly local buyers, No information
Koraput, Cuttak, Koraput, Cuttak, Koraput, Cuttak,
Bhubaneswar, Bhubaneswar, Bhubaneswar,
Beharampur Beharampur,Raipur Beharampur
Source: Market Study
4.7.4.Difficulties in Market
The current market structure in the study area is totally controlled by the businessman and middleman.
The most of the volume are sell to viaz ,vigayanagaram (Andhrapradesh),Raipur(Chattishgargh).
Two major activities were undertaken in preparation for the study which involved interaction with farmers
to understand the types of products that they are selling and to understand to whom they are selling .
After that I build rapport through farmers and local people with the middlemen, seed seller and fertilizer
retailer to understand the market chain and the market size. The second activity was a supply side study
to understand the input market of agriculture .
46
4.7.4.1.Lack of Space: 63 percent of the farmer express that space in the market is a problem for them.
In the market the middlemen occupied the space for trading. But the farmers don't have any space in the
market and the middle man don't allow the farmer to spend time in a place so the farmers are forces to
sell their product as soon as possible.
4.7.4.2.Kaudi system: traditional Kaudi system are followed in this area. In Kaudi system the farmers
don't weight their production. Two basket called a Kaudi is counted as a unit. As there are no weight
system the farmers get less price for their product. The middle man buy the vegetable in Kaudi system and
sell it in outside in k.g. One Kaudi cucumber that the farmers sell at the rate of Rs.40 which is nearly
50kg. In Semiliguda block market cucumber cost Rs.10/per kilo gramme in retail market but the farmers
are not allowed to sell in retail market.
4.7.4.3.Market information : The farmers don't have any market information. They don't know the price
of the same product in outside market. An effort was made to under stand the medium of market
information about the price of the product before selling. 70 (28)percent of the farmers shared that they
get the information about his/her product from the middlemen,25 (10)percent farmers shared that they
ask or watch his near by farmers about the rate where as the other 5(2) percent farmer try to fix the rate
of their production by their own.
85(34) percent of sampled farmers fell that the adequate information about the input and out put material
help them.
4.7.4.4. Businessman Committee : The middleman and the businessman have their own committee
where they meet and discuss among themselves about various issues including price. Before starting they
come together and fixed the approximate rate for that day for each vegetable. That definitely effect the
market price.
4.7.4.5.Weekly market: the local Hatpada market is a weekly market but the vegetables are perishable
good that need quick marketing with in one day. But the farmers are unable to market their product
because of lack of market. Only one day market also lead to loss of product as some of the vegetable
need early marketing. 85(34) percent farmer expressed the problem related to weekly market.
4.7.4.6.Storage facility
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The farmers don't have any storage facility. Most of the vegetables are perishable it needs immediate
storage and it helps to increase the profit of the farmers. But here the farmers don't have any storage
facility that's why they sell their production immediately .
4.7.5.Market channel :
Three market Hatpada, Semiliguda and Sunabeda were selected to understand the existing market
channel.
Channel 1: the producers or farmers directly sell to the consumer or to the local people.
Channel II: The farmers sell the vegetables to the middleman and the middleman sell to the last consumer.
Channel III: The farmers sell the vegetables to businessman mainly outsider (vizag, Bhubaneswar, Cattak,
Raipur etc.) and the businessmen sell it to the small businessman or retailer who sell it to the consumer.
Channel IV: The farmers directly sell to the businessman. The product reach to the consumer through
retailer mostly middleman.
1. 4.7.5.1.Break up of consumer price
The following table indicates the brake up of the consumer price. The study was taken on bean in local
market(Hatpada) and to the end consumer in Semiliguda. It was found that if the cost of beans at
Hatpada is Rs. 6 means the selling price to the middleman. The price of the bean to the end consumer is
Rs. 20 after passing the channels. It shows that if the price is Rs. 100 at the end consumer the producer
get Rs. 30 another 70 percent of the price goes to the middleman.
Table no. 4.4.Brake up of consumer price
Particulars Price (Rs.) Margin Percentage
Farmer 6 6 30
Middle man Transport cost 20 14 70
Profit
Consumer 20 20 100
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Source: Market survey
4.7.5.2.Market Size, Segmentation and Trade Structure
From the interaction with the people it was clear that villagers from 65 (approximately) are use Hatpada
market to avail their daily necessities. People from Khudi,Psoriasis and Kundali panchayat and Potangi
block dependent on this haat. For Semiliguda and Sunabeda its more bigger. During the interaction with a
seed seller he was sharing that in a single day (in haat) he sell seeds of Rs. 8000/ on an average . There
are totally 18 seed seller in Hatpada market. So only seed market is nearly (8000*18)= Rs. 144000 in a
day in a local market again it has a big fertilizer market. Interaction was made with the local haat
committee to understand the outgoing market. They told that on an average 20 middum size truck (15
ton) vegetable go out in a single haat.
4.7.5.3.Distribution channels:
In all the three markets the distribution channels of input materials comprise, distributors, wholesalers,
agents and retailers. The retail points functions in open markets that the only buying points for the
farmers.
4.7.5.4.Pricing: Prices are determined by the level of supply and demand and prices of the same product
may vary from location to location and from one retail point to the other. There are even price differences
for the same items in different markets. (see anaxture )
4.7.5.5.Custom Duties: For business both the farmers and businessman has to pay to the haat
committee, the businessman has the fixed place to sell and buy. They pay Rs. 500/annum to the haat
committee. Where as the farmers don't have any fixed place to sell their product. They has to pay Rs.
2/Kuri/per day. There is no fixed time for the farmers to occupy the place. As soon as possible they have to
sell their product and the businessman are not allow the farmers to occupy a particular place for the whole
year.
4.7.5.6.Distress sell : the produce is usually seasonal, is perishable and has a low shelf life. In addition,
the tribal farmers neither have the knowledge and skills nor access to information regarding value addition
options. As a result, given its perishable nature, the farmers often resort to distress sales receiving very
low prices. For example, for cucumber during the peak harvest time the farmers only got Rs. 0.75- 1
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where as at the same time the market price in outside is Rs.10/per kg. The price of the different product
in the local market and in end point in the out side were collected that shows the gaps between two.
4.7.5.7.Distance: the farmers have to traverse long distances by foot (they live several kilometers in the
interior hills) to reach the nearest market They have also limited options for selling their produce. They
depend mainly on the trader particularly on the weekly market days. This means that in the interim period
they are not able to pick the vegetables which also another cause of less pricing.
50
CHAPTER -V
MARKETING STRATEGY : A NEW MODEL

From the need assessment and the market study it was clear that the intervention in market can give
possible solution to the farmers. Only the direct making by farmers can give them higher share of the final
price paid by the consumer. After the market study and needs assessment the result of the study were
share with the farmers in farmers meetings and open discussion were made to find out the possible
alternatives to maximize the farmers profit. The core of all the discussion was that the farmers fell that
only good input materials with affordable price and direct seeing can maxize their profit. Even the request
was came to open input material like seeds, fertilizer, pesticide shop by DHAN Foundation. On the basis of
the suggestions the following working model was develop for market intervention. As Reliance is already
working here so now the PPG has to face problem from Resilience also.
Figure no. 4.1.working model for Farmers Association
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in this model the basic is the groups at village level. The groups will be come together to form cluster at
panchayat level . And in apex level all the cluster will be organized as Farmers Association at block level.
This association will be register as a producer company for profit making. The groups will be share holder
of that company. Here forming a company is necessary because the concept of PPG is totally for business.
4.1.The Structure
4.1.1.The group: At primary level the farmers group will be promoted at village. There should be only
one group in a village otherwise the production will be less. For marketing intervention it needs mass
production. In PPG there should not be any financial transaction. Here the purpose of the group is
marketing so it will focused only in marketing and agricultural development. Through PPG the members will
will discuss about the agricultural practices and they will buy inputs as well as they will sell the product
through the producer company. The primary groups(micro finance group) will provide the financial support
for the PPG. The group members will select office bearer and village committee among themselves. The
group will be directly linked with the government department mainly to tap the support alloted by
government. As the Association is registered as profit making company it can't avail all the facilities from
government. But the groups as SHG it can easily tap the government facilities.
4.1.2.Cluster : cluster will be promoted in the panchayat level mainly to easily functioning and it will work
as link between Association and Groups.
4.1.3.Farmers Association: the farmers association will be apex institution consist of groups. The
groups will be the members of the association. The association will be registered as producer company. It
will share holder of KTL. The association will give market linkage to all the groups. It will also go for joint
collaboration with with research institutes to avail the new changes in agriculture sector. It will buy the inp
uts from the company or whole seller like seeds, fertilizer, pesticide etc. In marginal profit and in less
than existing market price. It will also take initiatives for capacity building among the farmers.
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4.2.Functional Model of the Producer Company
Figure no. 4.2.Factional frame work for the primary producer company
53
The association or the producer company will buy the inputs from the market in cheaper price. As per the
requirement of the members at the group . The inputs will be stock in the distribution center that will be
distributed to the group members through cluster for easy distribution. The cluster will also collect the
order from the groups. Again the vegetable produced by the farmers will be grading in the village level by
the village committee with the farmers and it will be collected in collection center. The company will
market the product . Value addition to the raw product will give much profit to the farmers. In such cases
the group will do value addition and it will be sell through the same channel by establishing own brand
name. For the whole transaction the company or association will take minimum profit mainly for cost
coverage.
4.3.Executive body
Figure no. ........... Executive body
P&M Advisory Body

Committee

Welfare
Selling Purchasing P.R. Facilitating
The executive body will be headed by chief executive body who will be the top of the executive work.
There will one planning and monitoring committee consist representative DHAN Foundation and eminent
personality from the locality and from the farmers will be member of the committee. Eminent scientists,
eminent personalities from different field will be the member of the advisory body.
The whole company will be divided into two section Financial and welfare. Again the financial section will
be divided into four specific department headed by anchor person.

54
The departments are selling which will taken care of all the sale related transaction. Selling and finding
new markets, dealing with businessman for sell will be its work. On the other hand purchasing department
will be responsible for the supply of input materials. The public relation department will take order from
the businessman as well as from the farmers. The facilitating department will work mainly for capacity
building for the staff as well as for the farmers. It will be responsible for technological intervention, value
addition etc. The welfare department will work mainly for civic intervention. The profit earn from the
operation will be spend for the education, health, insurance etc. for the farmers and their family members.
4.4.Institutional Framework
Figure no. ........ institutional frame for the producer company
55
4.4.1.village level : the group member will select one president, one secretory and one treasure and
one village committee among themselves. The office bearer will be responsible for group's work where as
the village committee will taken care of other things like grading of the product etc. At village level the
associate will be engage for conducting of meetings, distribution and collection of the product. The
company will also provide training to the associate and the village committee members regarding quality
management.
4.4.2.Cluster level :
At panchayat level the groups will form cluster. The office bearer from each group and the village
committee members will be members of cluster. From administrative side one supervisor will be there who
will be responsible for the works at cluster level.
4.4.3.Board of directors :
The company will be headed by the board of directors . They will be representatives of the the farmers.
They will own the whole company on behalf the farmers groups. The number of the board of directors will
vary on the basis of situation and outreach. In general body meeting the farmers will decide the number.
Few members will be selected by the cluster committees where as the others will be selected directly from
the groups in general body meeting. The ratio will be 2:3. The board members will be selected for thee
years. The members will be responsible to the group members for their wok.
4.4.4.Chief executive officer:
The chief executive officer will be the head of the company for its function. The CEO will co ordinate all
the departments he/she will be responsible for whole operation and strategic management of the
company. He will be appointed responsible to the board of directors.
4.4.5.Anchor of the division: Each devision will be headed by the anchor person of the division. He/she
will work under the CEO. He /she will be responsible for the easy and smooth function of the devision.
4.5.A way forward
Making available of all agri-inputs of all leading brands: Only quality input can ensure the good output or
yield. The farmers don't get the good inputs like seed, fertilizer etc. Good inputs in reasonable price will
56
help the farmers. In existing system the farmers paid high price but they don't get quality input. Quality
input from leading brand will help. The association can buy the input materials at a bulk amount that will
be lower price than local market.
Creating awareness and quality training for the farmers: As vegetable cultivation is new to the tribal they
don't have adequate knowledge about the vegetable cultivation. The farmers needs assessment also
indicates the lack of knowledge about the seed variety and other necessary related things. It needs
capacity building by the experts and peer group learning for the farmers.
4.5.1.Increasing higher productivity and value addition: Value addition to the product will increased
income of the farmers. But it needs training to the farmers and proper marketing strategy.
4.5.2.Traditional way storage facility : Vegetable is perishable. It needs marketing of the product as
soon as possible. This effect the market price and the income of the farmers. The semi-perishable product
like ginger, turmeric can store for few months. But in this area the farmers don't have any storage facility.
The high investment is the main constrain to establish cold store (around 3 crore). So it will be better to
train the farmers about the traditional storage facility. Mr. Dilip Das told about such a store that can store
ginger for six month. This kind of opportunities has to be explore.
4.5.3.Right technical advice and direct meeting with technical experts: In this area the farmers
dependent on the traditional system and practices. Even they don't have knowledge about bore well. They
don't have any knowledge about the advance technology. The technological advancement will increase the
productivity.
4.5.4.Market information center: The market information center with advance telecommunication
communication center will help the farmers to get information regarding the input as well as their
product in outside. This will help them to bargain with the businessman. This centers can also use to
weather forecasting, government programme and other farmer related information.
4.5.5.Creating proper demand and marketing tie-up: The ultimate success is lies on the proper
marketing. The company/association should search for outside market and it should go for marketing tie-
up with businessmen and other stake holder for proper and assured marketing throughout the year.
57
Educating and helping for crop insurance, weather insurance and cattle insurance for risk reduction. The
company or association can go fro tie-up ASKMI, people mutuals and other insurance companies to avail
the insurance products to its members.
4.5.6.Making formal credit facility for farmers: Availability and accessibility of formal financial
services to the farmers is still a problem. Klanjiam will provide timely loan to its members.
4.5.7.Making soil testing and water analysis
4.5.8.Training in integrated pest management and organic farming.
4.6.Market linkage
I) set a place to collect all the production from members and sell to big businessman. It will cut the
profit earn by the middleman.
II) Set up own selling center in market to direct selling to the customer. Now Reliance and other
corporates are coming to this business. They collect the product from the farmers and sell it to the
consumer. It can be possible by the farmers themselves also.
III) The land less Kalanjiam members can take the product from the farmers and the can sell it in the
local market mainly at HAL and NALCO. For this they don't have to invest much. They can take
vegetable from the farmers at pay back at evening after whole day business. That will help them to
get income and on other hand the farmers will get more price.
IV) Now Reliance is venturing in this area and other parts of the country. The company can go for
agreement with Reliance to market its product.
V) The company can establish its own brand for processed and packaged items.
4.7.SWOC Analysis
58
4.7.1.Strength
I) Existence of Kalanjiam will be give back up in formation of the farmers groups. The Kalanjiam members
are well known about the organization and they are also organized. It will help to start at initial stage.
II) The farmers have the traditional knowledge about how to cultivate. May they need some capacity
building but they have the initial internal strength,skills and knowledge.
III) In this area the farmers predominately cultivate vegetable . The Hatpada market is the biggest
vegetable market in the undivided Koraput district. This bulk amount of production is necessary for
sustainability.
IV)HAL and NALCO is situated in this area with in 20 km distance. Nearly 40000 employee is staying in
both the townships. This is a big local market. The vegetables for HAL and NALCO comes from the local
area only through middleman. This market can be captured easily.
v) Vizag and Vijaynagaram is situated with in 150 km. The businessman from this two city come to this
area to buy the vegetable. The farmers themselves can easily sell their product directly in this city.
VI) The farmers of this area produce different varieties of vegetable. All kinds of vegetables are
available in this area. Even the rare varieties can also found here.
VII) For transport and marketing good communication facility mainly road facility is very much
important. The NH 43 cross Hatpada. Through this road the product can be transported to vigaz in
Andra Pradesh and Raipur in Chattishgarh.
4.7.2.weakness
I) Economically backwardness of the whole area is the main problem. The people even don't get food
properly throughout the year.
II) Most of the farmers dependent on rain water. The success of the cultivating is dependent on the
monsoon. This dependency effect the productivity also.
III) The villages are situated in scattered manner and the area is hilly area. Although NH 43 cross ed the
area but the communication facility at village level is under develop. Even in some of the villages there are
no road facility.
59
IV) The farmers are marginal farmers. For hilly area most of the lands are not cultivatable.
4.7.3.Opportunities
I) KVK is working in this area. They are also forming farmers groups. The KVK produce seeds for
government, provide training to the farmers and engaged in research. The authority is much interested to
this kind of work. Even they are ready to provide support like seeds, capacity building etc.
II) The farmers are aware about their problem. Even in some places the farmers were tried to be united.
But they were failure. The farmers are very much interested to form group.
III) In this area the farmers are unaware about the value addition. There are a ample opportunity to value
addition to the product.
4.7.4.Challenges
I) in formation of PPG the main competition will come from businessmen. This is a business activity.
So in marketing intervention the businessman will create barrier. The most important thing is that
the system should be able to give assurance to the farmers that they can sell their product to the
association for a long time.
II) Now Reliance is venturing in this area. Reliance has already opened its outlet in Jeypore and it is
trying to get raw materials from this area. So the association have to face competition from
Reliance also. As Reliance have financial capability it can easily dominant and change the market
scenario.
III) Maintaining the quality is a big challenge. If the farmers produce the same vegetable also the
quality will vary. In that case maintaining the quality is a challenge.
IV) The vegetable market demand season wise. With the changing market demand the price also
varies. Balancing the both needs professional skills.
V) Vegetable are perishable good. It can't storage even for two days. It needs quick marketing
through vive rent market channel.
60
4.8.How to intervene
At first select form one group for experiment. The intervention can be started from input supply.
Because marketing needs manpower and the competition with businessman can effect the spirit of the
group. In this phase the group will be form as model group . The focus will be on capacity building and
solidarity building among the members. After experimental phase the model can be replicated in others
villages. It needs some specialized persons who will be only handled the PPG and it should not be run
with MF activities any time.
4.9.Time line
6 month : experimental phase: only one group will be from for experiment. The market information and
possible collaborators will be short listed. If possible the negotiation can be take place.
6-1 years: more group will be from. May be few cluster can be formed. The distribution center will be
open and the whole input supply will be provided. MOU can be sign with the input supplier and other
stake holders.
1-2 year: more no of group will be formed and marketing intervention will be took place.
2-3 years: the association will be formed and the main focus will be on capacity building and value
addition.
3-4 year: establishment of new brands and diversification to other products.
4-5 years: civic intervention like health facility, education ct. will be piloted.
61
CHAPTER -VI
EXPERIENCE FROM THE FIELD /PROCESS DOCUMENTATION
After a whole night journey from Bhubaneshwar we reached in Koraput at 11 am. Some body told in the
train “you can expect when you will reach,it's Koraput”. This is my first time i am visiting this place
although Kartik is with me and he has some experience about this place because he is from orissa and he
came to Boriguma for his first field work. But i have contain knowledge about Koraput through the book,
news and more than that through the discussion in our classroom. Like the outsider for me Koraput is a
place where the tribals live, a place which is under develop, a place which is home of malaria and other
deceases,a place with highest infant mortality rate all over India and a place of corruption. During my
journey one new event was add with this, now the naxalites are very active in this area. Any way the
natural beauty of this area is very attractive. I love forest and hill, it gives me relaxation where we can lost
ourselves in the creation of the nature. Here there is no disturbance from outside, no noise and only one
person and his/her inner mind. A good place for self reflection. But in some places the entire forest is
vanished only few trees are standing with fear and the past examples. This area can be developed as
tourist place but who will take initiatives. After reaching the railway station we hired a auto to reached the
Kora put location of DHAN Foundation. The condition of the road is the symbolism of underdevelopment.
Next day morning I came back to the office. Today shakti , Rameshwari and Goutam is going to attained
the regional meeting in Hyderabad.
1st step understanding the context and existing agriculture practices:
To start anything its very necessary to understand the existing system. My objective is to establish PPG
here so, I have to understand the agriculture practice and the people's perspective. what they think about
it. I start to interact with the group members. I started with the group members because they are well
known about DHAN and they are also engaged in agricultural work. But the problem is that I don't know
their language. Even they don't speak in Oriya language which I can understand. Haribabu can't
62
understand Hindi properly. I can't speak Oriya properly. What can I do? Previously in my both field work I
went to west Bengal where I didn't face any problem . Then I tried to find out the persons in the village
who knows Hindi. There are three persons in this village who can speak Hindi. I met with Damo, a boy
studying at 10th standard. I told him I will pay you please you teach me Oriya. Then it came my routine of
every evening and Damo became my teacher. He brings books of lower classes and teach me how to
speak and how to read. It was my evening work and in day time I start to interact with the members. I
fixed the 10 days time boundary for that. From morning it became my routine me and Haribabu will start
at 6: 30 because the members will go for their work at before we have to reach. I take three panchayat
so it was very problematic because the cycle is only transportation mode and in middle we have to cross
hills. With the help of Haribabu I fixed the date with the members during cluster meeting and I follow
that. In this area the farmers go to early morning and again they come back nearly 11 am. To take food.
Again they will come back at afternoon. So I targeted this time. I was determined that at morning I will
cover one village , one village at noon and one village at afternoon where I will all the groups of that
village. I prepare my food early morning or I took food of previous day and start at morning and we will
return at evening. But Haribabu faced more problem for me. He has one child in his home who is only 22
days but he is roaming with me. Through this process I was able to cover 18 villages with in eight days.
It take more time because of rainy season. From this interaction I came to know about the basic
information about the villages, the status of Kalanjiam, major crops and little bit about the problems. It
was clear from the interaction that the female don't have adequate knowledge about the land holding and
the market. It needs to interact with the male members of the family .
2nd step : selection of village and PRA
After interaction with the members I discuss with Shakti madam with the primary information about the
villages. Then I select four village Kumar Khudi,Mali Khudi ,Galaguda and Mali Dusra .on the basis of the
no. of vegetable cultivator . After that I conducted PRA in two villages Kumar Khudi, Mali Khudi. I left
Mali Dusra because the village is nearly 15 km. Distance and its comes under Hatpada panchayat where as
the others comes under Khudi panchayat.
First day I went to conduct PRA in Kumar Khudi at morning but it was late I didn't get any people to
63
conduct PRA. Next day I conducted PRA at night but another problem was rain so I conducted PRA in
paper only ten person participated. Next day I conducted PRA in Galaguda at early morning. Again the
people didn't participated much because of time.
From the Venn diagram me I came to know about the markets but the people were unable to tell about
the government offices as they don't access it and illiteracy is the main problem. Through the seasonal
mapping I came to know about the seasonal variation and the change in price of vegetable cultivation.
3rd step : interaction with Government officials and collection of secondary data:
my fear came true and I got fever. Then I came to the office and Shakti madam suggest me to go to
doctor. But in Semiliguda I didn't find any M.B.B.S. So I visited to quack. I able to met with the doctor
after one hour waiting because the patients are waiting for a long time. The condition reflects the
condition of the medical system here. The doctor suggested for blood cheeking and it was confirm malaria
and typhoid. I have stay in the office for five days to take injection. This days helps me to meet with the
government officials. From the village I can't come because of transportation problem.
One night I stayed with Kartik at Koraput office. Next day me and Kartik visited to tribal museum. It's a
great experience for me to understand the history of Koraput and the changes in life style of the tribal s.
Then I visited to ATMA but the director was not in office he is in field . The other officials tell me to come
next day.
I decided to build rapport with any higher government officer who will help me to reach to the others.
Otherwise it's very difficult to contact each and everybody . It will more time and they mayn't provide me
the data. So I approach to APD of DRDA . I directly entered in his room and introduced myself and tell
my purpose. He is a nice person and know about the work of DHAN in Koraput. He show me the ways to
conduct the study and gave his mobile number as well as mobile numbers of all the officers related to
the agricultural offices and advised me to visit to the OUAT and Krishi Vigyan Kendra . Then I
approaches to the other offices . I called through phone and obviously told that Mr. Pari reffer yours
name. So they easily helps them. When I met with Dr. Lalit Mahanti , Director,KVK I came to know that
KVK is forming primary producer group, they form only one group in three panchayat and they provide
free seeds, free pesticide , training and all kinds of support to the farmers for three years but they give
64
market linkage to the farmers. He advised me that for the profitability of the farmers its very necessary to
establish market channel. But here I face a odd moment when Dr. Panda, Genetic Scientist asked me about
the seed variety I was unable to answer his question. Then I met with the other govt. officers to avail data
and to understand the present situation. Few of them became very interested as this is first kind of in this
area by any NGO. When I visited to ATMA next time the director became surprise because in his eleven
years of service I am the first person who asked him to provide some materials for education of the
farmers. He give a lot of books, I distributed to the farmers but the problem was, they were unable to read
it. So, I had to arrange a camp for the farmers only to read the books. Kishore helps me a lot . He was my
resource person to read and make it understand to the farmers. He is a graduate and from the local
community. So he translated it to Kubi language.
4th step: Farmers need assessment:
The secondary data that I collected were only numbers. And for few data the relevancy were also
questionable. Like, the data related to the crop variety that I collected on 18th august and provide
information up to 14th august shows that what ever the agriculture department has targeted is achieved in
this years. Even in some cases it was more than the target. It became very necessary to conduct a
farmers needs assessment to understand the exact reality and the problems of the farmers. I prepared a
interview schedule with the help of my location guide and one formate was also prepare for cash follow
analysis. After preparation of interview schedule it was test with two respondent in my nearby
household . Mainly to test the relevancy of the question. Then I sit with Haribabu and Shaymbabu
another associate from the same village mainly to trained and familiar with the questioner because I don't
know the local language they have to ask the question to the farmers. Next day ( 28 august) was the date
of cluster meeting . at morning we ( me and Haribabu) start to conduct the interview but haribabu
were unable to ask the question properly because it was written in English . Although previous day we
were discuss but he was unable to recall . And I was also unable to make him understand because of
language barrier. So we stop for that day. Really I feel very bad because the people were wait for us
even they did not go for work. I was very angry on Haribabu. Shakti came a little latter to attained cluster
meeting she translated the questionnaire in Oriya and Haribabu wrote it. At that moment I understood
65
that I was unable to tell the exact meaning in oriya. It was my falt. That night again we sit together. This
time I call ShyamSundar the ex-employee of IWDA. He knows Hindi and he has more than nine years of
experience in this area. He translated the question ire to Haribabu and also gave some tips how to ask the
question. Next day again we start to conduct interview. I requested ShyamSundar to visit with us mainly
to ask the question to the people. From that Haribabu and I will learn. It was a nice experience to be with
him. The people were very positive. Another positive thing was ShamSundar was us. Local people know
him as a worker of IWDA when he is telling about DHAN people were interested more. The main problem
I faced during the interview was the time. Generally we visited at early morning or in evening. At night we
had a cross the hills through forest area. Everyday the people use to come to my residence because in the
forests are dangerous because of wild animals. After few days I was familiar with the questions then I
started to ask the questions. The main problem was the people don't know how much land they have. As
in this area there are no weight system. It was very typical to calculate the production. Another problem
was that the people go for mix cropping in a little land. It was very problematic to calculate the cash flow
analysis. But the interview schedule provided me an opportunity to go to door step to the people., to sit
with them and listen from them. Apart from the questions I came to know about the those realities
which were remain unheard to the outsider. The story of the hills, the old days, the sorrows and joy of
the people. Every day they offer me tea. They requested me to vegetables. Even they offer me land to
built house .
5th step market study
it was very necessary to take a market study to understand the local market channels. I visited all the
local markets with the farmers. It helps me to understand the real situation. The middle man were also
feel free to answer my question as they thought that I am a relative of the farmer. Sanjeeb a associate
helps me a lot. I had to collect the information related to seed channel. But the farmers don't know the
companies name as they buy it open. So I approach the sweeper of the market to get the pack of the
seeds that the businessman through after sell the seed from this method I was able to collect the name
thirty four seed companies name that supply the seed in the area. To understand I brought different
kinds of vegetables from Sunabeda and Semiliguda market as last consumer to understand the gaps
66
between the farmers selling price and the consumers price.
6th step meeting with farmers and crosschecking
After conduction of market study I conduct meeting with farmers mainly to crosscheck the collected data
and to understand the feeling of the farmers about the issues. During the meeting the alternatives were
generated to solve the problems. Totally I conducted five meetings. Four meetings in four study
villages and one joint meetings. All the meetings were conducted at night as in day time all the farmers
goes for work. I decided not to disturb their daily work. During the meeting I didn't tell any thing apart
from the study result. After sharing the study result I only asked them are this are all affect you. All were
agree . Then in next step I asked them if this are the problem what would be the solution. This method
helps me a lot to create a demand among the farmers to solve the problems.
7th step exposure visit and formation of new model of farmers association :
shakti conuct with other locations of DHAN in Andra Pradesh to send me for exposure visit. But there
are no such PPG that can help me. But it was very important for me to understand the function of PPG.
KVK has some PPGs in these area. So I conducted to Dr. Lalit Mahanti. . He allow me to visit to the PPG
promoted by KVK in Doleaguda village. This year this PPG has selected for state level prize. So I interacted
e with the Sarpanch of the village. He is also a member of the PPG. Here the KVK provide all the inputs
along with the training for farmers free of cost. So I decide that this model will not be suitable for the
farmers because we can't provide them anything free of cost. I meet with the farmers. Dr. Mahanti and
others from KVK emphasis on the market channels . They told that the marketing is the main problem for
the KVK also. They advised to built a channel that will helps the farmers both in marketing as well as
in production. They also agree to provide necessary supports. That encourage me to develop a model of
farmers association that will take care of the farmers interest as well as counter MNCs entering in
vegetable marketing like Reliance. But here the problem is that DHAN is not so strong in this area and the
promotion of a federation is a long way to go. On this background I started to think a model with out
Federation. The MODE course was my base and the alternatives shows me the way.
67
Concept seeding
keeping the model in mind I started to motive the people to come together. During my meeting with the
farmers I built personal relationship with few of the villagers. I targeted them and discuss with them
about the concept of group to solve the problems that already shared and expressed by the farmers.
They started to tell the farmers about the groups to their neighbors and in all the villages the farmers
were ready to from groups. But again I faced another problem. The main aim of this groups are market
linkage that needs specialized human resource. But now the location don't have adequate human capital.
The location is facing different kinds of problem. With in 14 months two PE has left there job, the location
don't have inception document for KCB P, quality check is not completed for most of the groups, only
two or three of the 110 groups has linked with bank. Shakti madam is facing many problems after
joining because of pending works. More than that this area don't have transport facility which is the basic
and first requirement of the activity like PPG.
Selection of village
At that time Mr. Shiharai programme leader,DHAN visiting the location for some official purpose. Shakti
Madam arrange a midterm presentation for me and Kartik in presence of Mr. Shingrai , all the PE of
Koraput region,Shree Dilip Das, Director International Spice Research Centre. After the meeting the
decission was taken to formation of only one group to experiment PPG for future six months as pilot
phase.
I discuss with Shakti madam and select Mali Dusra as first village to implement PPG on the basis of the
strength of Kalanjiam and the willingness of the farmers. The another cause to select Mali Dusra is that
some of the farmers are already doing doing vegetable business.
After selecting Mali Dusra again I conduct meeting with the farmers. Although I fixed the time and time no
one as participated in the meeting. I was frustrated and I alone was waiting for the farmers from
morning to afternoon. But no one returned from the field. There were some problem in the field and the
whole village were moved to police station. I told to the kalanjiam members to arrange a meeting next
day. Next day on 17th septeember Haribabu has to go to hospital so I became alone. I conducted the
meeting and the farmers were ready to form group. They discussed and set buy laws for the group and
68
selected office bearer for the group and they formed the first PPG in Koraput location.
First group meeting:
next day(18th September) at 8 a.m. Clock the first meeting of the Shree Krishna Group were conducted.
All the members contributed their entry fees and discuss about the present situation. One member Nilam
Guntha produce good cabbage he describe the best practices that he follows to the others. I got some
agriculture related books from ATMA and it was distributed among the farmers but they were unable to
read. So I called Kishore to read the books and describe it in local language as the books were written in
orriya language and the people speak in Kui Language.
Handed over the group:
on the same day the group was handed over to the location to sustain it and create it a example for
others to form more PPG/PMG in this area.
69
CHAPTER VII
LEARNING AND CHALLENGES

Learning :
Start with poor people's realities
invest to built their capacities
respect the social norms
Don't try to change overnight
built on what they have .
Challenges
Language: The people of this area speak in Kui language. Even the associates also don't know the
language. It created barrier in front of me,specially the women. Because they can't understand Oriya.
Even I learn Oriya but it did not help me much.
Rainy season: The time when I was engage in DPS that time iwas rainny season. It effect the work.
Communication: As the area is hilly area communication is a great chhallenge. Where I stayed that
village Bondaguda is surrounded by hilly area. To go to the other villages I had to cross two hill.
Food : I had to prepare my food. The food practices is entirely different. They don't take oil. Another
matter was that the villagers were not agree to allow me to take food with their families even if I pay
also. Because they feel that I will not be happy to take their food.
Simplicity: The people tribal are very simple. They are not bother about materialistic things. Even they
don't know what land size. It was very problematic to collect data from the. During interview they replied
70
differently.
BYE-LAWS
Name of the group: Shree Krishna Krishak Group
Date of formation: 17th November,2007
I) Only the farmers can be the member of the group.
II) There should not be any financial transaction in the group.
III) The group will work to provide input and output market facility to its members.
IV) All the members have equal rights.
V) No person from outside (non-members) can take part in decision making.
VI) All the members will take responsibilities to maintain the quality of the input and production.
VII) There should not be any transaction with out bills.
VIII) The meeting should be conducted among the members at least once in a month.
IX) All the discussion and resolution in the meeting will be recorded in minutes books.
X) The members will select three office bearers (president, secretory and treasurer).
XI) There should not be voting at any point of time to select the office bearers.
71
BLOCK PROFILE
Name o the block Semiliguda
No of Sarpach 16
No. of VLW 9
Date of establishment 30-06-1963
Total geographical area 932.32 wq. km.
No of GP 16
Total population 65015
ST 30910
SC 6922
Others 27183
Irrigated land Rabi: 4022 ha Kharif: 5030 ha
Total cultivated land 18532 ha
Total area of abada Togaya Anabadi land 1007 ha
No of high schools Privare -05 Govt.:02 Total : 7
No of ME school ME school:2 UP school : 4
Total no of UGME school 2
Total no of UP school 06
Total no of LP school 100
72
No of sevasharam UP TRW 2
Total no of sevasharama LP TRW 10
Total no of PHC /Addl PHC/dispensary PHC 5
Total no of Ayurvadic dispensary 1
Total no of allopathic dispensary 3
Minor irrigation project 8
Total length of GP road 89 kms
Total length of samilti road 103.64 kms
Total no of revenue village 94
Total no of hamlets 157
Total no of co-operatives LAMP at Kundali
Total no of retail centers 84
No of commercial bank 3
Regional rural bank 2
Total no of dug well 102
Total no of tube wells 378
Total no sanitary wells 41
Source : block office, semiliguda
73
Data base of the companies (input market)
Name of the company Head office Local whole seller
NUNHEMS INDIA PVT.LTD Braham Kumari Ashram ,Pataudi road, 10-1-127/1,Masab Tank
Bilaspur,Gurgaon Hydrabad -500028
Tel: +91 124 3051400 Tel: +91-40-23324040/4242
e-mail;
nunhems.gurgaon@nunhems.co
SUNGRO SEEDS LIMITED III Floor, SUNGRO CHAMBER,B.N.
Block
Local Shopping center,Shalimar
Bugh,Delhi-88
Ph.-011-27471117
e-mail: ceo@sungroseed.com
web site: www.sungroseeds.com
Dhanuka Agritech Limited Dhanuka House,Joshi Road,Karol Bugh
,New Delhi-05
Ph. no.; +91 11 23518982/83/85
e-mail ; headoffice@dhanuka.com
web site: www.dhanuka.co
TULASHI SEEDS PVT.LTD. TULASI HOUSE,6-4-6,Arundelpet
4/5,Guntur-522002
Ph. : 0863-2321374
e-mail: seeds@tulsigroup.com
74
Excel Crop Care Limited 184/87,S.V. Road,
Jogeshwari,Mumbai-400103
web site: www.escelcropcare.com
Coir Board Coir House,Ernakulam,Cochin-682016
Ph. no.: +91-484-2351954,2351807
e-mail: coir@md2.vsnl.net.in
website: www.coirboard.gov.in,
www.coirboard.nic.in
SPICES BOARD INDIA PB No. 2277,Cochin 682025 Indian spice broad
Ph. no: 91484 2333606 ,2333610 potangi
e-mail:
pub@indianspices.com,spicesboar
d@vsnl.com
www.indiansopices.com
Bharat 15 Floor,Vikram Place,New Delhi
www.bharatgroup.co.in
e-mail: info@bharatgroup.co.in
NATIONAL SEEDS Beej Bhawan,Pusa, New Delhi-110012
CORPORATION LTD. Ph.no: 25842383,25843357
(A Govt. of India Undertaking) e-mail: nsc@vsnl.com
website: www.indiaseeds.com
75
Manisha Agri Biotech Pvt. Ltd. 215 & 312,Amrutha Estates, Lingapur Raipur
complex, Himayatnagar, Hydrabad -
029
Ph. no: 040-66789981,66789891
e-mail:
manishabiotech@yahoo.com
Road net work in Koraput district
Road Kilometers
National high way 157
State high ways 195
R and B 430
RWD 1023
PS Road 860
Gram Panchayat Road 4973
Forest 210
76
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ORGANIZING THE VEGETABLE CULTIVATORS AND

FORMATION OF PRIMARY PRODUCER GROUP (PPG)/

Development Practice Segment – I

Tata- Dhan Academy, Madurai (TDA)

ORGANIZING THE VEGETABLE CULTIVATORS AND

A FIELD LEVEL EXPERIENCE OF PROMOTING PEOPLE INSTITUTION IN KORAPUT DISTRICT OF ORISSA

to from the first PPG in Koraput region.

Chapter-I RESEARCH DESIGN 1-4

Chapter-II - BLOCK PROFILE 5-14

2.1. Geographical Area 6

2.3. Demographical Details 6

2.4. Literacy Rate 6

2.5.Educational Institute and Facilities 7

Chapter-III PANCHAYAT AND VILLAGE PROFILE 15-27

3.8.People in the Study Villages: A Profile of Sample villages 17

3.9.Cash flow analysis 24

Chapter-IV FARMERS NEED ASSESSMENT 28-36

4.1.Uses of the product 28

4.3.Sources of irrigation water 29

4.4.Knowledge about Variety 29

4.5.Seed and fertilizer procurement 30

4.6.Unavailability of Formal Credit 30

CHAPTER-V MARKETING STRATEGY : A NEW MODEL 37-48

5.2.Functional Model of the Producer Company 39

5.5.A way forward 43

CHAPTER-VI EXPERIENCE FROM THE FIELD /PROCESS DOCUMENTATION 49

CHAPTER-VII LEARNINGS AND CHALLENGES 57

Table no. 2.1: the panchayats in Semiliguda block 5

Table no. 2.2. Cultivable area of Semiliguda block 5

Table no. 2.3. information on villages and households 6

Table no.2.4.Details of M.D.M in Semiliguda Block 7

Table no. 2.5.workforce engaged in different occupations 8

Table 2.6. Blocks covered under different farming situations 8

Table 2.7. Identified Agro-Ecological Situations in Koraput district 9

Table no 2.8. Information on soil in Semiliguda Block 11

Table no 2.9. Principal crops of the block 11

Table -2.12.Health institutions in Semiliguda block 14

Table no 3.1. Demographic details in Khudi and Hatpada panchayat 15

Table 3.2.Literacy rate in Khudi and Hatpada panchayat 16

Table no 3.3. Land pattern of Khudi and Hatpada panchayat 16

Table no.3.4.Profile of sample villages 18

Table no. 3.6.Sex ratio among sample villages 19

Table no 3.7.Literacy rate in the sample villages 20

Table no. 3.8.Livestock population in sample villages 21

Table no. 4.1. Irrigation source 29

Table no.4.2. Farmers place of marketing 31

Table no.4.3. Local market details 32

Table no. 4.4.Brake up of consumer price 34

Figure no. 5.1.working model for Farmers Association 37

Figure no. 5.3. Executive body of producer company 40

Figure no.5.4.Institutional frame for the producer company 42

DPS – Development Practice Segment

SHG- Self Help Group

SBI- State Bank of India

KVK- Krishi Vigyan Kendra

DRDA – District Rural Development Agency

PRA – Participatory Rural Appraisal

PPG- Primary Producer Group

PMG- Primary Marketing Group

NGO- Non Government Organization

DHAN- Development of Humane Action

ICDS – Integrated Child Development Scheme

GP- Gram Panchayat