rural entrepreneurship

By:

Paari.P (09mba-a34)

Sakthivelu .M.A(09mba-a43)

Sanjay.K (09mba-a44)

Any development is not possible without taking the rural masses into account. Thus innovations affecting the rural population are at the heart of any developmental process in India .

There has not been satisfactory improvement in the rural sector, problems such as the middlemen standing between the farmers and the market and making away with the profits. This can be stopped by encouraging entrepreneurship in rural areas.

Rural entrepreneurship is, in essence, that entrepreneurship which ensures value addition to rural resources in rural areas engaging largely rural human resources.

This means that finished products are produced in rural areas out of resources obtained in rural areas by largely rural people.

What’s Rural Entrepreneurship?

Types of Rural Entrepreneurship :

Rural entrepreneurial activity can be broadly classified in 4 types:

i)Individual Entrepreneurship - It is basically called proprietary i.e. single ownership of the enterprise.

ii)Group Entrepreneurship - It mainly covers partnership, private limited company and public limited company.

iii) Cluster Formation - It covers NGOs*, VOs*, CBOs*, SHGs* and even networking of these groups. These also cover formal and non-formal association of a group of individuals on the basis of caste, occupation, income, etc.

iv) Cooperatives - It is an autonomous association of persons united voluntarily for a common objective. An entrepreneur has to decide on a particular type of entrepreneurship based on the various options available.

“Rural innovations” not only improve the

productivity and efficiency of local farmers &

rural areas, but also have significant

environmental and social impact by

developing eco friendly “appropriate”

solutions to local problems. Rural

innovations and appropriate technologies are

being created for viable and sustainable micro

ventures.

Domains of Rural Entrepreneurship:1.Food Processing2.Dehydrated Fruits and Vegetables 3.Fruit Based Beverages 4.Mushrooms 5.Chikki Industry 6.Poultry Industry 7.Cottage and Handicrafts Industry 8.Oil Industry 9.Pottery 10.Repair of Phone/Mobile Phone, Electronic and Electrical goods11.Rural Tourism 12.Entertainment 13.Modern Industries

Innovations of Rural India Rural innovations and appropriate technologies are being

created for viable and sustainable micro ventures.

In India there are about 6.3 million villages contribute 60% of

national income.

Unemployment is the main problem in Rural India.

A small innovation in the rural area would catch up the most of the

population and would facilitate to produce competitive products and

increase the income of rural people.

Entrepreneur has the ability to perceive latest economic

opportunities and device innovative strategies to increase the demand

for their goods.

Azim Premji: People who produce innovative technologies

to customers; they will definitely succeed.

TCS Ramadorai and Bill Gates opine that

entrepreneurs are people who do things differently and by sheer

perseverance they build the enterprise to a greater height.

Some Personalities on Innovation & Entrepreneurship:

Success Full Rural Innovations:

Milk & Fruit Based Beverages: A washing machine converted to lassi

maker.

Handicrafts Industry: Old clothes given new lives as curtains &

cushion covers. Paper & Areca Nut Plates, Clay made Idols and allied

items….

Pottery Industry: An ingenious refrigerator made entirely from

terracotta (clay) that keeps water cool and fruits, vegetables and milk fresh

for days — and yet doesn't use a single watt of electricity.

Modern Industries: A rural Business Process Outsourcing

company

Pottery Industry:

Mr. Manshuk Lal Raghavji Bhai Prajapati from the Village Wankaner Dis. Rajkot. (Gujarat).

www.mitticool.net

Cont…….

Started as a supervisor in roof tiles Manufacturer Company of Gujarat. At the year 1989 started making Tavdi (TAWA) from the TARAQUTA MUD Then in 1997 launched MITTI COOL WATER FILTER successfully After in 2002 launched  MITTI COOL REFRIGRATOR . In 2004 MITTI COOL REFRIGRATOR got award from National and State RURAL DEVELOPMENT  institutions. Now he get orders from abroad and peoples like to use his natural Refrigerator / Filter. Says: “My aim is to provide all luxurious things to country wide peoples who cant imagine to afford electronic goods”.

It is manufactured and marketed by J Support Industries, a Kerala-based

company headed by Mr. Joy John.

This portable machine has a vacuum handle, which is used to create the

necessary suction power to draw milk out & the most hygienic and easy manner.

Makes the whole process of milking absolutely simple and safe for the cattle.

JS MILKER (Manual Milking Device)

Milk & Dairy Industry:

Mr. Karrupaiah, of Process Ekuipment, a S.S.I in Pollachi,

has developed the coconut-dehusking machine.

The machine can dehusk 500-coconuts/ hour of size of dia

120 mm to 250 mm.

The machine requires 3 semi-skilled people to operate and

achieve the above efficiency. The machine operates on a 1.5

HP single-phase motor, weighs 175 kg and is provided with

forward and reverse switch.

The machine's design has been registered with the Patent

Office, Chennai.

Cottage Industry:

COCONUT DEHUSKER

Bio Asthira: is one of the products made by Sri K M Chellamuthu,

an agri labourer of Oonjalur village in Erode district, Tamilnadu.

The Varsha Rain Gun: Innovated by Sri Anna Saheb, a 70-year old

sugarcane farmer of Sadalga village in Belgaum district of Karnataka.

Other Rural Innovations:

Modern Industries:

DesiCrew a rural Business Process Outsourcing company by

IIT-MADRAS, which sets up IT-enabled service centers in rural areas to employ

and train local people to meet the back-office demands of regional clients.

Elecsha:

Is a completely battery driven Electric cycle rickshaw modifying the

rickshaw by making it a 3-gear .

It has the potential to provide attractive alternative to petrol & diesel

powered three wheelers.

Cost - An estimate cost would be about Rs.50, 000- Rs 60,000

Conclusion: It’s true that India lives in her villages. Rural entrepreneurship is the answer to removal of rural poverty in India. The problem is that most of the rural youth do not think of entrepreneurship as the career option. Therefore, the rural youth need to be motivated to take up entrepreneurship as a career, with training and sustaining support systems providing all necessary assistance. Innovation and entrepreneurship is not only about making it big, but also a journey of self realization – Of one’s hidden talents, learning potential and strength.

KADAKNATH POULTRY REARING

Smt. Keena wife of Shri Nanu of Mendal village, District Jhabua, Madhya Pradesh was landless and survived on wage labour, with her husband and two daughters.  The family would migrate in search of wage labour, to nearby villages for almost seven months each year.

In  March 2005, Keena  returned  to her village -- participate in a village meeting for Self Help Groups organized by the  Assistant Development Officer (ADO) along with eleven other women of her village ---A year after forming the SHG, members decided to initiate some activities to generate income for the family--- However, considering the low saving level within the group,

Keena obtained a bank loan of Rs.44,000/- with a 50% subsidy through the Integrated Tribal Development Project facilitated by the Madhya Pradesh Rural Livelihoods Project (MPRLP).

With her  past experience and interest in rearing local poultry birds, Keena decided to rear Kadaknath, an indigenous poultry breed  of Jhabua District(m.p) constructed a shed measuring 22*12 feet – 200 birds of 15-20 days old pre-vaccinated chicks @ Rs 15 per chick.

Her venture resulted in a profit of more than Rs 37000/- in a year enabling her to return the loan of Rs. 11,000/- to the bank in 2007. Most birds are sold by Keena for Rs 300 each as they reach 5-6 months of age and weigh between 1-1 ½ Kg.

The Kadaknath poultry rearing unit emerged as a good source of income for Keena to meet both her household financial needs as also provide a source of nutrition for herself and her family. The mortality rate was brought down to 10% through her practical skills .

“There is no need for the family to migrate in search of wage labour anymore”, contends Keena. She is a happy woman who has set an example for other tribal families to emulate.

STRENGTH:

Her self confidence and self interest paved the way to her success.

Innovative ideas help in her growth. Her family support and practical management skills.Innovative marketing strategy

OPPURTUNITES::

Availability of market.Opportunities to expand furtherDemand for the birds meat and eggs

WEAKNESS

Success in her project remains uncertain.Financial constraint.

THREATS

Risk of drought.Threat of epidemic diseases.Drastic climatic changes.Growth of other competitors.Threat to new entrants.

Referance:1.1.http://www.nif.org.in/bd/douknowhttp://www.nif.org.in/bd/douknow

2.2.http://www.rinovations.org/Innovations/data-bankhttp://www.rinovations.org/Innovations/data-bank

3.3.http://www.innovationsofindia.com/http://www.innovationsofindia.com/

list_of_innovations/elecsha.htmlist_of_innovations/elecsha.htm

4.4.http://www.indianmba.com/Faculty_Column/http://www.indianmba.com/Faculty_Column/

FC995/fc995.htmlFC995/fc995.html

5.5.http://www.rajdst.gov.in/http://www.rajdst.gov.in/

entrepreneurship_development_divnew.htmentrepreneurship_development_divnew.htm

ed;w.....p

Think & react….!