Field Trip Presentation SOLAPUR GROUP. Group composition.

Field Trip Presentation

SOLAPUR GROUP

Group composition

Group as a whole

Solapur district at a glance• In the Decan Plateau• District with 11 blocks (40-110 villages)• 4th in size and 17th in population• 3.2 mil in population, 2.5 mil (rural)• Average annual rainfall: 550mm, highest 770mm• Soil type: thin soil layer, sloppy, undulating, poor water

holding capacity• In Sangola: 108 villages (42 dry), 125,000 people• Main crops: pomegranate, maize, sorghum, millet, grapes,

sugar cane• Water table: 200-250m, decreasing• Average land holding size: 1.5ha/family

Tipehali as an example

• Tipehali: 3,000 people (350hhs), 30 landless

• 4 shop owners, 5 in public admin

• One weekly market (haat) serves 10 –15 villages

• 2 Krishi Utpanna Bazarr Sammittee (auction markets)

Input/Ouput market

• Started in 1997

• 5-block coverage

• 4 staff (IDE Solapur director and 3 support staff)

IDE Solapur

Places visited

People met• Drip farmers• Drip distributors/dealers• Drip manufacturer• Agri. input dealers• Nursery• Commission agents• CBO• Transport agent• Packing box manufacturer

Situation before IDE• Migration (whole family as sugar cane cutters, 80-100km away,

6 months/year, school opportunity limited/neglected, gross 10K Rs/6 months)

• Limited and uneven rainfall• Limited pomegranate cultivation (up to 1997), area increased by

NGO/Gov’t projects - well deepening with introduction of ISI drip• Promotion of horticulture/pomegranate led to increased demand

for water• Poor irrigation and drinking water shortage (tankers)• E.g: 1997 shortage of water no harvest of pomegranate (PG)• Supply chain (Sanga commission agents available etc.)

available without drip systems

IDEI’s intervention• Promotion of AMIT (non-ISI), then easy drip• Establishment of AMIT supply network,

facilitation of market linkages• Capacity building (experience sharing) for

farmers and input supply chain

Constraints:•better cash crop PG higher water demand drip (ISI) affordability of ISI AMIT affordability of AMIT easy drip•Excessive use of pesticides

Drip users

• Crops under drip: PG, veggies, banana, sugar cane, chilies

• ISI: 20 yrs guarantee, expensive, better off farmers

• Non-ISI: half of the price of ISI• Bucket kit: for kitchen garden for own

consumption, less water requirements• Crisis adoption: less acreage production under

drip, buy water, flood irrigation drip (bucket kit, easy drip); well deepening and recharging

Story of “happy” Balu KarvandeBefore 1998• Had 160 PGs in 1993 from

gov’t with flood irrigation• Had 2 or 3 labors working• Prepared border to prevent

water run-off• Needed 3-4 hrs/day for

watering• PG yield: 25kg/plant (70

fruits)• Market: local• Migrated every year with

family, made 10K Rs in 6 months for the last 16 years

After 1998 since drip use• Added 260 more with ISI and

non-ISI• No additional labor required• Needs 1-2 hrs/day. Night

watering possible• Yield 40kg/plant (125 fruits),

better color (thanks to drip and/or more fertilization), price doubled

• Market: local and export• Stops migration

Story of “happy?” Balu Karvande

After 1998• Paid 80% of his loan from the LNGO (Rs.

16K)• Helped his brother with the wedding• Expanded PG areas up to 410 plants,

bought more drip for watering• Upgraded house, deepened well

! Took risky decision: buy water for PG just to keep them alive till next year

Supplychain

Story of a drip distributor

• Mr. Datta Thorat in Madha village• Ex-NGO worker before 2002, not successful in seeking

job• Then attended a training for assemblers/dealers took

the decision to participate in the distribution of drip• Learnt business know-how by himself by visiting other

assemblers/dealers as well as manufacturers• Products traded: non-ISI: 5%; easy drip 95%• Sells to 7 dealers (40-45%) and farmers (in and around

the villages, some 200km away)• Provides credit for 10% of farmers (25% of the total

amount)

Story of adripdistributor

• Service oriented (tries to provide good service, e.g: takes farmers to visit demonstration drip systems, and keeps all spare parts)

• Supplies: from Jalgaon (good quality, good price), order thru phone, delivery by truck/train

• Has business expansion plan (expects potential for business), is aware of increasing competitors, persuades manufactures not to sell to others

• Long-term vision to get into manufacturing business

• Trippled income (Rs 500K), built a new room

Mr. Prakash T. Mane from Tipehalli• A farmer himself, realized free time after crop harvest decided to

become a commission agent in 1999, thinking that he would sell his produce at a a better price and also could supply other inputs to farmers. Pomegranate growing was limited at that time.

• Business diversified: input supply (pesticides + easy drip), PG collection & commission agent

• PG collection process: trucks pick up PG from local producer at farm gate in bags (with name on) twice a week send to Delhi market thru transport agents.

• Payment process: get paid 15 days after produce sold in Delhi market thru banking wire, then pays farmers after deducting debts

• Export competitors purchase better quality PG directly from producers, gets angry but no reaction, since he also benefits as a farmer himself

• Irrigated areas doubled. 600K boxes in 2002 to Delhi, Bangalore and Mumbai Rs. 600K (Rs. 1/box)

Support/facilitation role

2. Infrastructure: roads, electricity, phone, banking system, industry (introduction of easy drip), education, commission agents, institution linkages, IDE, gov’t, CBO, haats, Krishi Utpanna bazarr samittees (auction market), transport, NGO support

1. Role of IDEI:• Promotion of drip (AMIT)• Capacity building for farmers and other market actors• Facilitation of market linkages• Networking among farmers and input/output

providers

Insights/suggestionsInsights:• basic infrastructure/facilities are very favorable; key roles

of commission agents + auction• value of crops, increasing demand for crop, monopoly of

crop (opportunities and risks)• biotechnology, vermicompost• present situation: farmers are under threats (weather

condition: missing rainfall)• low international market potential for the future• win-win chain: every actor is a winner, but could be

different this year due to water problem• positive role of IDE: impact on livelihood of farmers

Insights/suggestions

Suggestions:• stressing the importance of using drip in a right

way• reliability/replication of learnings• encouraging biotechnologies• no honey no money• Promotion of fruit processing• Promotion of crop diversification• Encouraging the participation of other local

institutions (e.g Sangha)

Dhanyavad!

Questions? Comments?