Micro enterprise development and rural women enterpurinship by Parvani Sharma

MICRO ENTERPRISE

DEVELOPMENT AND RURAL

WOMEN ENTREPRENEURS

HIP: WAY FOR ECONOMIC

DEVELOPMENT

MICRO ENTERPRISE DEVELOPMENT AND

RURAL WOMEN ENTREPRENEURSHIP: WAY FOR ECONOMIC

DEVELOPMENT

“A woman is the full circle. Within her is the

power to create, nurture and transform".

Daine Mariechild

UN Universal Declaration of Human Rights

(1948)

Article 1. "All human beings are born free and equal in dignity and rights..''

Article 2: "Everyone has the right of life,liberty and security of person"

HISTORY OF INDIAN WOMEN• VEDIC ERA Women were at par with the men.

• MEDIEVAL ERA Condition of women deteriorated • MODERN ERAImproved status of women in society

Source :-Women in India cited from slideshare.com

GENDER COMPOSITION OF POPULATION

INDICATORS

2001 2011

Population (in million)

Proportion

(in %)

Population(in million)

Proportion(in %)

Rural:

Male 381.7 51.4 427.9 51.3

Female 360.9 48.6 405.1 54.5

Urban:

Male 150.6 52.6 195.8 57.9

Female 135.6 47.4 181.3 48.5

source :-censusindia.gov.in/2011-prov-results/.../india/Rural_Urban_2011

Although Women represent only 50% of the total

population, they contribute 75% to the develpoment of our Society, while men contribute

only 25%

Late Dr.Manibhai Desai

WOMEN AND FOOD :- SOME FACTS AND FIGURES

• Women are the main producers of the worl'd staple crops which provide 90% of the rural poor's food intake

• In south-east Asia, women provide up to 90% of labour for rice cultivation

• In sub-Saharan Africa,women produced up to 80% of basic food stuff both for household consumption and for sale

• Fewer than 10% of women farmers in India,Nepal and Thialand have their own land

• Women perform from 25 to 45% of agricultural field tasks in Colombia and Peru

• Women constitue 53% of the agricultural labour in Egypt

• Only 15% of the World's Agriculture Extension Agents are Women

source :- www.fao.org/gender/en/agrib4.-e.htm.

WOMEN AND FOOD :- SOME FACTS AND FIGURES

• Labour force participation rate of women is 22.7%,as comapre to males (51.6%)

• In rural India, agriculture and allied industrial sectors employ as much as 89.5% of the total female labour

• Extensive work loads with dual responsibility for farm and household production

• Work is getting harder and more time-consuming.

• Active role and extensive involvement in livestock production, forest resource use and fishery processing

• Contribute considerably to household income through farm and non-farm activities as well as through work as landless agricultural labourers

source : kurukshetra,2013

RURAL WOMEN IN FARM SECTOR

FEMINIZATION IN AGRICULTURE - concept emerged after migration of male member to urban sector for employment

FAO's State of Food and Agriculture Report 2010-11 reveals that that if women farmers had the same access to productive resources as men, they could increase yields on their farms by 20 to 30 percent, raising total agricultural output in developing countries by 2.5 to 4 percent, in turn reducing the number of hungry people in the world by 12 to 17 percent.

Source:-“State of Food and Agriculture” -2010-11

ACTIVITIES IN ACTIVITIES IN AGRICULTUREAGRICULTURE

Direct Direct agricultural agricultural

field field

supportive supportive activities activities

non-farm non-farm activities activities

source :- Rural Develpoment in India,pg-492

DIRECT AGRICULTURAL FIELD OPERATION

• Sowing • Transplantation• Hoeing • Weeding • Harvesting Operation

like :- Thershing,dehusking,

drying and Winnowing

source :- Rural Develpoment in India,pg-492

PREARATORY OR SUPPORTIVE ACTIVITIES

• Fetching water• watering plants • tending cattle• collecting fodder and

fuel• Preparing manure• Storing and

transporting seeds• Processing rice

Source :- Rural Develpoment in India,Page no-492

NON-FARM ACTIVITIES • Fishing • Collecting fruits and

vegetables • Dairy Products• Basket Making • Pottery and other small

business activites • Artisan activities Source :- Rural Develpoment in India,page-no 492

GLOOMY PICTURE OF RURAL WOMEN

Spend 3485 hours in 1 hectare of land

Denied from full legal status

Extension and training services are only

directed towards men

Out of 70%

of female labour

force only

10% have own land

ISSUSES OF RURAL WOMEN

Long hours and heavy work

Gender based wage differentials and invisibilty of work.

Health problems

Lack of knowledge of Human right

Illiteracy

Why to empower rural women

• 48.6% of the Rural women are contributing towards Agriculture as main occupation

(source-kurukshetra ,2013)

• Rural women, as opposed to women in urban settings, face inequality at much higher rates, and in all spheres of life

• Rural women and girls have restricted mobility, access to education, access to health facilities, and lower decision-making power

Source:-The Asian Foundation,Women's Empowerment in India An Analytical Overview

Women must be directed to solve their own problems their own ways.Our Indian women are as capable of doing as any in the world.

                                                      Swamy Vivekananda

ENTREPRENURSHIP IS LIVING A FEW YEARS OF YOUR LIFE LIKE MOST

PEOPLE WON'T. SO THAT YOU CAN SPEND THE

REST OF YOUR LIFE LIKE MOST PEOPLE CAN'T

THE EVOLUTION OF ENTREPRENEURSHIP

• Concept was first established in 1700s A.D

• French word entreprendre- “to undertake”.

• No single definition of entrepreneur exists but still some scholar gave their concept

ENTREPRENEURSHIP

• A process of action an entrepreneur undertakes to establish his enterprise.

• Peter Drucker Entrepreneurship is defined as ‘a systematic innovation, which consists in the purposeful and organized search for changes,and it is the systematic analysis of the opportunities such changes might offer for economic and social innovation.’

entrepreneur• An entrepreneur is a person who starts an

enterprise

• Richard Cantillon: An entrepreneur is a person who pays a certain price for a product to resell it at an uncertain price, thereby making decisions about obtaining and using the resources while consequently admitting the risk of enterprise.

ENTERPRISE• An enterprise is the business

organization that is formed and which provides goods and services, creates jobs, contributes to national income, exports and over all economic development.

TYPE OF ENTERPRISE

Micro enterprise Small enterprise

Medium enterprise

AREAS OF MICRO-ENTERPRISE

• Micro Enterprise development related to Agriculture and allied agricultural activities

• Micro-Enterprise development related to livestock management activities

• Micro – Enterprise development related to household based operations

Source :- eSS Student papers Sathiabama/Women Empowerment,April 2010

AGRICULTURE AND ALLIED AGRICULTURE ACTIVITIES

• Cultivation of organic vegetables

• Growing seasonal fruits

• Florists

• Mushroom growing

• Bee-keeping

• Value Addition like:-

•Dehydration of fruits and vegetables

•Pickles

•Chutney & Jam ...etc.

LIVESTOCK MANAGMENT

Dairy Farming

Poultry Farm

Domestic animals Feed Production

Production of cow dung cakes through animal wastes

HOUSE-HOLD BASED OPERATION

Knitting

Stitching

Weaving

Embroidery

BakeryFlour Milling

ACHIEVEMENT THROUGH MICRO ENTERPRISE A

C

H

I

E

V

E

M

E

N

T

Increarse in family income

Assured employment

Improved status of family in the society

Gaining self-confidence

Increase in GDP

“Agriculture is locomotive of our economy and a

prosperous rural economy based on agriculture

will ultimately make the nation prosperous “

Sardar Vallabhbhai Patel

Source :- Agri. Entrepreneurship Sustainable livelihood by Mayank Mehta

AGRICULTURE IN INDIAN SCENARIO

India an “Agriculture Gaint.” Geographically 7th largest country. 3rd largest economy. 4th largest agriculture sector. 2nd in total agriculture output. Largest producer of milk, spices, cashew nut, coconut, tea, etc. Largest cattle population(193 million). 2nd largest producer of rice, wheat, sugarcane, groundnut & inland fish

& 3rd largest producer of tobacco. India home to 10% of world’s fruit production & 1st rank in

production of banana & sapota.

Source: Dte. of Economics & Statistics

AGRI-PRENUER • “He, who is in the business of agriculture,”

Agri.-enterprise

AGRI-ENTERPRISE • An Agri.-enterprise is any business in the

agricultural industry, which includes production of agriculture, food, natural fiber, the environment and natural resources.

WOMEN ENTREPRENEUR

• Woman or group of women who initiate, organise and run a business enterprise.

• Government of India- Women entrepreneurs as owing and controlling an enterprise with a woman having a minimum financial interest of 51% of the capital and giving atleast 51% of the employment generated in the enterprise to women.

Policy measure announced in Parliament on 06.08.1991,the definition of ‘Women Enterprises’ is as follows:

A small scale industrial unit or industry –related service or business enterprise, managed by one or more women entrepreneurs in a concern, in which they will individually or jointly have a share capital of not less than 51% as shareholders of the private limited company members of co-operative society".

WOMEN ENTERPRISE

Source:-Asian Journal of Business and Economics Volume 2, No.2.2 Quarter II 2012 ISSN: 2231-3699

CHARACTERISTICS OF WOMEN AS ENTREPRENEURS

• Imaginative

• Attribute to work hard

• Profit earning capacity

• Risk Taker

• Leadership

WHY WOMEN BECOME ENTREPRENEURS

PULL FACTORS

• An urge to do something new Liking for business

• Recognition, importance and social status. • Economic independence • To Build confidence • Developing risk-taking ability • Gain greater freedom and mobility

RELATED STUDIES S.NO NAME OF THE

AUTHOR YEAR TOPIC OF

RESEARCH RESULT

1.  Singh and Gupta

1984 Potential women entrepreneurs. their profile, vision and motivation

Economic   gain,keeping one busy. Fulfillment of one's ambition ,Wanted to become independent

2. Shah 1990 Fostering Women Entrepreneurship

Economic needs or pressures; utilization of  own experience and education; family’s interest and support; availability of free time and finance and desire to become independent and personal ego satisfaction.

3. Azad 1989 Development of Entrepreneurship among Indian Women

Economic compulsion, use of knowledge and skills need for achievement. Success of others and frustration in present occupation

Source :A study by Amudha Rural Women Owned Micro Enterprises: A Stepping Stone for Promoting Enterprises

• Death of bread winner

• Sudden fall in family income

• Permanent inadequacy in income of the family

• The category of push factors forms a negligiblepercentage of women entrepreneurs.

PUSH FACTORS

KEY CHANGES OF WOMEN

ENTREPRENURES

• Women entreprenures of the 50's• Women entreprenures of the 60's• Women entreprenures of the 70's• Women entreprenures of the 80's• Women entreprenures of the 90'

• Women entreprenures of the 21st

Source:-project on Women entreprenurship in India

STATISTICAL DATA OF WOMEN ENTREPRENURS IN THE WORLD

S.NO COUNTRY PERCENTAGE(%)

1 INDIA(1990-91) 22.3

2. INDIA(2000-01) 31.6

3. USA 45

4. UK 43

5. INDONESIA 40

SOURCE :-WIKIPEDIA

IMPORTANCE OF WOMEN ENTREPRENUER

• A good share of the population.

• Traditionally outside the domain of economic activities.

• Seen as part of economic and social development

• Economic status of women is now accepted as an indicator of a society’s stage of development.

source :- Entreprenuer in India, slideshare.com

THE INDIAN APPROACH3Es

3Ps

3kssource :- Entreprenuer in India, slideshare.com

TRAITS OF WOMEN ENTREPRENUER

• Accept challenges• Adventurous• Ambitious • Enthusiastic • Determination to excel• Hard work• Skillful • Patience • Intelligent• Motivator

source :- Entreprenuer in India, slideshare.com

SUCCESS STORy FROM SHG'S

NUTRIMIX POWDER (NUTRITION POWDER) MANUFACTURING -

INITIATED BY SHG

Source :- eSS Student papers Sathiabama/Women EmpowermentApril 2010

PROJECTS RUNNING FOR

WOMEN

INTERNATIONAL PROJECTS

S.NO NAME OF THE PROJECT

AREA ENTREPRISE

1. Tanzania Women Entrepreneurs

Designed by SIDO and UNIDO under sponsorship of the Austrian government,1993

To promote women's entrepreneurship development in the food processing subsector through the improvement of existing micro enterprises managed by women, and the encouragement of new ventures with a potential to grow into SMEs.

2. INFO-LADY Umme Salma, Bangladesh ICT-enterprise carried by women

3. WEFOG(WomenEntrepreneurs, Financing Opportunities for Growth)

Canada, August-2011 To help women especially the immigarnts (new comers)

4. Rural Entrepreneur Access Project (REAP)

2005 Aid with sustainable income and helps women to “graduate” from extreme poverty by giving them the tools they need to start small businesses in their communities.

NATIONAL PROJECTS

S.NO NAME OF THE

PROJECTsAREA ENTREPRISE

1. Eco-friendly Rural Development through Women’s Entrepreneurship

Wardha District, Maharashtra,supported by IDRF and Magan Sangrahalaya Samiti

Manufacture organic hand-made products like herbal candles,mosquitoes repallents

2. GCCI Project, Goa,Pannaji Deep Lakshmi, opened resturant in Canacona with self-help group Mallika

3. Shakti Started by HUL, in district Nalgonda,Andhra Pradesh,2000

Provide training to the women to open their venture and get financial help

4. Anmol Mahila Dugad Samiti

Self help group from Amritpur Kalan in collaboration with NDRI

Paneer, gulabjamun, whey-based drinks, desi ghee, and butter

S.NO NAME OF THE

PROJECTsAREA ENTERPRISE

5. Exhibition for women under promotional package for micro and small enterprise approved by CCEA under Marketing Support

Launched during 11th -5 year plan

Participation of women entrepreneurs in international exhibiton to enhance the export from such units.

6. Toptomato.in Sneha roy and Sananda Misra Banglore , 2012

Online Grossery store started by Sneha Roy and Sananda Misra

7. ICAR-NAIP Project Banglore, in collaboration with AWAKE ,‘Value Chain Commercialization of Maize’

MAIZY promoted by AWAKE like :- Rava Flour, Vermicelli, Papads and Noodles.

8. RIP (Rural Industrial Programme )project

Koppal and Gulbarga district, Karnataka in collaboration with AWAKE

Provide skill develpoment to women for the promotion of small-scale industries in that area

9. Project Sukanya Aparna Banerjee, Retain Entreprise in Kolkata,2005

Pickles, spices, soft toys, decorative items, and artifacts

STATE-LEVEL PROJECTS

S.NO NAME OF THE

PROJECTsAREA ENTREPRISE

1. Seed Capital Fund Scheme (SCFS)

Initaited by JKEDI, supported SKEWPY

Provide training to women regarding development of skills

2. SKEWPY(Sher-e-KashmirEmployment & Welfare Programme for the Youth)

5th December, 2009 To provide financial help to those who are facing the problem of unemployment

3. Grameen Bank Project J&K,October,2011

Owned by the poor borrowers of the bank who are mostly women & works exclusively for them, provide loan for setting up of micro-entreprise

4. Rajiv Gandhi Udyami Mitra Project

11th- 5 year plan, J&K

A call Center for Micro,small and medium enterprises and its aim is to provide handholding support and assistance to the potential entrepreneurs

PROGRAMMES FOR RURAL

WOMEN

S.NO RURAL DEVELPOMENT PROGRAMME

YEAR OF PROGRAMME

OBJECTIVES

1. Development of Women and Children in Rural

Areas (DWCRA)

1982 Suitable opportunities of self-employment to the women belonging to the rural families who are living below the poverty line.

2. Mahila Samridhi Yojana

1993 Encourage the rural women to deposit in Post Office Saving Account.

3. Swarna Jayanti Gram Swarozgar Yojana

1999 For eliminating rural poverty and unemployment and promoting self-employment.

4. Council for Advancement of People's

Actions and Rural Technology (CAPART)

1986 Provide funds to voluntary agencies working for rural women's

S.NO RURAL DEVELPOMENT PROGRAMME

YEAR OF PROGRAMME

OBJECTIVES

5 Rahistriya Mahila Kosh March.1993 Facilitate credit support or micro-finance to poor women to start income generating activities such as dairy, agriculture, shop,bee- keeping, vending, handicrafts etc

6. TRYSEM(Training Rural Youth For Self Employment)

April,1994 Is to train rural youth from the target group of families in skills so as to enable them to take up self/wage employment

7 Indira Mahila Yojana mearged into Swayamsiddha Programme

1994 Empower women, both socially and economically, by ensuring their direct access to resource through a sustained process of mobilisationand convergence of all the on-going sectoral programmes.

S.NO RURAL DEVELPOMENT PROGRAMME

YEAR OF PROGRAMME OBJECTIVES

8. National Equity Fund (NEF) Scheme

15th Februrary, 2002 To provide equity type support to entrepreneurs for the setting up of new projects in tiny/ small scale sector

9. Small Industries Cluster Development Programme (SICDP)’

October 2007 renamed as Micro & Small EnterprisesCluster Development Programmes (MSE-CDP)

Support the sustainability and growth of MSEs by addressing common issues such as improvement of technology, skills and quality, market access,

access to capital, etc

10. Integerated Rural Develpoment Programme

1978 Self-employment program intended to raise the income-generation capacity of target groups among the poor

PROGRAMMES RUNNING IN JAMMU &

kASHMIR

S.NO RURAL DEVELPOMENT PROGRAMME

YEAR OF PROGRAMME OBJECTIVES

1. Himayat 2012 To empower the youth of J&K by providing employment opportunities through vocational training programs

2. Udaan 2012 Will provide skills and consequently employment to 8000 youth from Jammu and Kashmir per annum over a 5 year period in key high growth sectors.

3. Jammu & Kashmir Self Employment Scheme (JKSES)

1st April 1999 Aims at establishing large number of small units and help entrepreneurs to open individuals or joint ventures/Groups

S.NO RURAL DEVELPOMENT PROGRAMME

YEAR OF PROGRAMME OBJECTIVES

4. Nehru Yuva Kendra Scheme

1972, but in 1987,all Kendras were re-organized and termed as Nehru Yuva Kendra Sangathan(NYKS)

Training for unemployed youth and women in the Jammu and Kashmir Region.

5. PMEGP Prime Minster's Employment GenrationProgramme, merged after 2 programmes i.e.PMRY &REGP

Generation of employment opportunities through establishment of micro enterprises in rural as well as urban areas.

6. JK Bank Saral Finance Scheme

On occassion of 75th year plan The scheme has been tailored as a simple and hassle-free credit dispensation for small businessmen/traders/vendors in the state.

WOMEN ENTREPRENUERER ASSOCIATION IN

INDIA

S.NO ASSOCIATIONs YEAR OF ESTABLISHMENT

OBJECTIVES

1. Federation of Indian Women Entrepreneurs

(FIWE)

National-level organization, founded

in 1993

To foster the Economic Empowerment of Women, particularly the SME segment, by helping them to become successful entrepreneurs

2. Consortium of Women Entrepreneurs(CWEI)

Was registered in 1996 as a civil society nonprofit organization in New Delhi

Entrepreneurship & Skill Development trainings (ESDP), financial inclusion and support services are being provided to set up micro enterprises amongst women minorities, SC and tribals in various states in the country.

3. Association of Lady Entrepreneursof Andhra

Pradesh

December 1993 To foster women entrepreneurship with a focus on creativity, financial sustainability, and social impact

S.NO ASSOCIATION YEAR OF ESTABLISHMENT

OBJECTIVES

4. Women Entrepreneursof

Karnataka (AWAKE)

Non-Governmental Organization, 1983

Empowering Women through Entrepreneurship for Economic Development

5. Self-Employed Women's Association (SEWA)

Trade union registered in 1972

To organise women workers for full employment,means employment whereby workers obtain work security, income security, food security and social security

6. Women Entrepreneurs

Promotion Association (WEPA)

Chennai Empowering women especially priority sector in health, education,self-employment in way of conducting exhibition camps and counseling and training.

S.NO ASSOCIATION YEAR OF ESTABLISHMENT

OBJECTIVES

7. The Marketing Organisation of

Women Enterprises (MOOWES)

Chennai Help micro level Women Entrepreneurs in marketing their products and to motivate and train aspiring women to become entrepreneurs and economically independent by conducting exhibitions and sale of women entrepreneurs products and through seminars, workshops, Training and counselling.

8. SAARC Chamber Women

Entrepreneurship Council

March 29, 2001 in Colombo,Sri Lanka

Developing and promoting women entrepreneurs in the South Asian region

FAMOUS WOMEN

ENTREPRENUER

Indira Nooyi• Current Chairperson and Chief Executive Officer of

PepsiCo

• She was awarded the Padma Bhushan in 2007.

Jyoti Naik• President of famous Lijjat Papad

• Started with a modest loan of Rs 80, the cooperative now has annual sales exceeding Rs 301 crore(6.50 billion)

• Headquartered in Mumbai and has 67 branches and 35 divisions all over IndiaHad given employment to 42,000 women uptil 2005

PUSHPA MAURYA• In 2009 with the collbaboration between UNDP India andIKEA Foundation and the name of the Centre was kept as Swaayam Ksheer

• Manager of the milk Chilling Centre,in the village of Chak Padri in the state of Uttar Pardesh

• Centre collects milk from 56 villages and supplies on average 2000 litres of milk a day to the state’s milk grid.

Ela Bhatt• Founder of SEWA,1972 • Awarded the Padmashri, the Padmabhushan as well as the Ramon Magsaysay Award• Assists the women to buy solar bulbs with loans from SEWA and sell or rent them to families in the villages and towns of Bihar.

CHETNA GALA SINHA• Founder of Mann Deshi Mahila Sahakari Bank,established in 1994

• Completely operated by women and serves women customers• Collaboration with HSBC, Mann Deshi Bank established the Udyogini Business School in 2007• Providing vocational training and financial training to these young women to enable them to become entrepreneurs

Rifat Mushtaq• Establishing a matchbox manufacturing unit

• Runs a cardboard box manufacturing unit and a printing press in the industrial area of Zakura, Kashmir

• Gets an impressive annual return of 5 to 6 billion

CONSTRAINT FACED BY WOMEN

• Dual responisibilties of women

• Illiteracy among Rural women

• Less risk bearing Capacity

• Need for training and Develpoment

• Male dominated society

RELATED STUDIES • Kumari, et. al.(2010) conducted work in the rural areas,

the results of the study indicate lack of supportive network, financial and marketing problems were the major problem areas for rural women entrepreneurs and major de-motivator for other women to initiate entrepreneurial activity.

• Srinivasan (2009) conducted study in Microfinance and the SHG bank linkage programme.The study revealed that poor quality of information about microfinance that is available to people renders their decision making and conservatives.

SWOT ANALYSIS • S- Positive attitude among rural women towards morden

technology,training facilities through KVK

• W- Inadequate facility,less literacy rate

• O- Support from NABARD and facilities by other bank

• T- Still remain marginalize,financial dependence on men

Source:- Indain Farming,2009,page no-40-41

CONCLUSION • Play a role of catalyst in social and economic development of country like

India

• Can do wonders by their effectual and competent involvement in entrepreneurial activities.

• Are having basic indigenous knowledge, skill, potential and resources to establish and manage enterprise

• For ages together they have been confined to a secondary role and confined to the homes and now the time has come to become self-reliant, self-respecting enterprising people.

• In a better position where in women participation in the field of entrepreneurship are increasing at a considerable rate.

• More effective steps are needed to provide entrepreneurial awareness, orientation and skill development programs to women

• Women entrepreneur networks are major sources of knowledge and are increasingly recognized as a valuable tool for its development and promotion.

• Will motivate other rural women to engage in micro entrepreneurship with the right assistance

• Can strengthen their capacities besides adding to the family income and national productivity.

ALONE WE CAN DO SO LITTLE;TOGETHER WE

CAN DO SO MUCH

BYHELLEN KELLER