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e-choupal

E-CHOUPAL
Presented by
Chitra K
Harish V Kanna
Madan L
WHAT IS e-choupal
About
• Developed by ITC agri-business division
• Brainchild of S Sivakumar
• Promoted by Y. C. Deveshwar, Chairman, ITC
• Launched in June 2000
• largest Internet-based initiative in rural India
• Benefits 4 million farmers in 40000 villages
SUPPLY CHAIN BEFORE E-CHOUPAL INITIATIVE
DEMERITS OF PRIOR SYSTEM
STRUCTURE OF E-CHOUPAL
CHARACTERISTICS OF e-choupal
• Customer centric.
• Used for many commodities and multiple
transactions.
• Easily scalable.
• Uses local talent and local people and develops
local leaders.
• Extended to local as well as global procurers.
• Nurtures local entrepreneurs .
• Uses all the existing institutions and legal
frameworks .
INITIAL PROBLEMS FACED BY e-choupal
• Infrastructural inadequacies

• Power supply

• Telecom connectivity and bandwidth

• Challenge of imparting web skills


PROBLEMS IN AGRICULTURAL SECTOR

• Loss of productivity through soil erosion

• Out-model farm practices and inferior inputs

• Loss and disruption of farm incomes

• Inadequate access to primary education and

healthcare.
ITC BUSINESS MODEL
• Choupal: A Hindi word meaning village
gathering place
• Mandi: A government mandated market-yard
where farmers sell their crops
• Sanchalak: The village farmer who runs the e-
Choupal and acts as ITC’s representative in the
village
• Samyojak: The commission agent in his role as
a collaborator
MODEL E-CHOUPAL NAGAR
DISTRIBUTION
INB INSP WEI
SUPPLY CHAIN POST RE-ENGINEERING
ECTI GHI HU
OU
PRI ON NG B
ND
CIN AND AND LOG
LOG GRA PAY
G ISTI
ISTI DIN MEN
CS
CS G T
ITC GAINS
600
300
500
250 100

Costs (Rs./ Metric Ton)


400 250
200
Costs(Rs./ MetricTon)

300
150 70 75
200 100
100 70 0
50 10
100
85
0
50 50
0 0
0 Mandi e-Choupal

Mandi e-Choupal
Commission Handling and Transit Losses
Handling and Transit Losses Labor Costs
Labor Costs Bagging and Weighing
Bagging and Weighing Transportation Transportation
CORE INFORMATION AND COMMUNICATION NEEDS

• Weather
• Pricing
• News
• Customized Quality Solutions
• Intelligent Product Deployment
• Best practices
PARTNERS
FUTURE PLANS
• PROMOTING ECO-TOURISM, ECOMEDICINE,
TRADITIONAL CRAFTS
• JOINED HANDS WITH MONSTER JOBS TO
PROVIDE JOBS FOR RURAL YOUTH
• ENSURE PRODUCT QUALITY

• DEVELOP RURAL MARKET TO PROMOTE OTHER


PRODUCTS
AWARDS
• United Nations Industrial Development
Organisation (UNIDO) Award 2008
• Stockholm Challenge 2006
• Innovation for India Award 2006
• The Corporate Social Responsibility Award
2004
THANK YOU….

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