Transforming Agriculture In To Agriprenuership: A Case Study of Sitabai Mohite

Abstract

Sustainable agriculture is an important issue in India. A balance between People, Planet and Profit is necessary to create sustainable agriculture. Entrepreneurial qualities are important for farmers to maintain this balance in particular situation. Therefore a new branch of entrepreneurship is ie. Agriprenuership is existing. Agripreneur is defined as, an entrepreneur whose main business is an agriculture or agriculture-related. This paper focuses on promotion of agro business through entrepreneurship development, NABARD assistance & SHG which helps to understand the issues & opportunities. It involve the study of women agripreneur ie. Sitabai Mohite. [PUBLICATION ABSTRACT]

Headnote

Abstract

Sustainable agriculture is an important issue in India. A balance between People, Planet and Profit is necessary to create sustainable agriculture. Entrepreneurial qualities are important for farmers to maintain this balance in particular situation. Therefore a new branch of entrepreneurship is ie. Agriprenuership is existing. Agripreneur is defined as, an entrepreneur whose main business is an agriculture or agriculture-related. This paper focuses on promotion of agro business through entrepreneurship development, NABARD assistance & SHG which helps to understand the issues & opportunities. It involve the study of women agripreneur ie. Sitabai Mohite.

Keywords: Agriprenuers, Entrepreneurs, Agribusiness, Agriculture & Economic Development.

Indian Agriculture

The most critical creature in this world is man; this statement today we can use everywhere in our country due to the traditional & only one way of thought, a thought of Indian agriculture. This stereotype thought of a mere farmer must change with the Agri-prenuership. Our country is, undoubtedly, rich in natural resources. Despite these God-bestowed gifts, however, we've remained underdeveloped. Agriculture is the backbone of Indian Economy. About 65% of Indian population depends directly on agriculture and it accounts for around 22% of GDP. Agriculture derives its importance from the fact that it has vital supply and demand links with the manufacturing sector. During the past five years agriculture sector has witnessed spectacular advances in the production and productivity of food grains, oilseeds, commercial crops, fruits, vegetables, poultry and dairy. India has emerged as the second largest producer of fruits and vegetables in the world in addition to being the largest overseas exporter of cashews and spices. Further, India is the highest producer of milk in the world.

The growth of Indian agriculture post-independence and the country's attainment of self-sufficiency in food grains has been an impressive achievement, but it has come at a high ecological cost. Moreover, the challenge is far from over. The food demands of the present and future generations have yet to be met, while the limits of expansion of cultivated land have been reached. Finally, given that almost twothirds of the net sown area is rain-fed, Indian agriculture continues to be fundamentally dependent on the weather, and hence, highly vulnerable to climate change.

Agri-prenuership: An Introduction

Agriculture is not a profitable sector and industrialization holds the keys to the economic development and thus transferring the funds towards agriculture from Industries is the best way for development, & producing more Agri-prenuers. As agricultural entrepreneurs, or "agripreneurs," continue to develop and operate their business differently from the more conventional farming models, business planning becomes even more essential to achieving business sustainability.

Sustainable agriculture is an important issue in India. A balance between People, Planet and Profit is necessary to create a sustainable agriculture. Entrepreneurial qualities are important for farmers to find this balance for his particular situation. Therefore a new branch developed with Agr-Prenuers.

The objectives of Agriprenuers:

* Social and economic benefits: Economically-challenged agripreneurs are providing their families nutritious, fresh food that is affordable. It also helps getting to know each other as people.

* Net income: Agriprenuers are selling their products directly in the market & hence earn maximum money, without any intermediaries.

* Sustainability: Agripreneurs are learning and embracing sustainable farming methods, and becoming players in the agripreneurship system.

Institutional Assistance for Agriprenuers

National Bank for Agriculture and Rural Development (Nabard), in a bid to encourage credit offtake for the setting up of agri-clinics and agri-business centres and thereby help agripreneurs, has devised a special package. The proposed package, which is formulated in line with the UPA government's move to double the agri and rural credit in three years, envisages delinking margin money assistance from availment of refinance, reduction in service charge up to 2 per cent to give a fillip to the prospective agripreneurs, extending refinance assistance at 4 per cent and providing subsistence stipend of Rs 2,500 to Rs 3,000 per month to agri graduates. Nabard also proposes to co-finance the agri clinics and agri centres along with the commercial banks.

According to Nabard, softloan assistance for margin money is available at present in respect of prospective borrowers who are not in a position to bring in the required margin money. However the condition stipulated is that the margin money assistance is available only when refinance is availed from Nabard by the financing banks.

Nabard proposes to take up the matter relating to providing the assistance for giving subsistence stipend to agripreneurs. Sources said that the Government of India would be urged to earmark at least Rs 1-2 crore for this purpose during the current fiscal. At present there is no subsistence stipend available to agripreneurs and the provision of Rs 2,500-Rs 3,000 per month for three to four months would enable agri graduates to study the area, identify the requirements of the farmers.

Nabard sources said that at present the scheme for the setting up of agri-clinics and agri-business centres is centrally sponsored and jointly implemented by the Government of India, small farmers agribusiness consortium, National Institute of Agricultural Extension Management and Nabard.

Agri-prenuership a Value Addition

The Entrepreneurship 'Pyramid' in India (in terms of sectors and numbers of people engaged) is made up of the following:

Level 1: Agriculture and other activities: Crop production, Plantation, Forestry, Livestock, Fishing, Mining and Quarrying.

Level 2: Trading services: Wholesale and retail trade; Hotels and restaurants

Level 3: Old economy or traditional sectors: Manufacturing, Electricity, Gas and Water supply

Level 4: Emerging sectors (including knowledge intensive sectors): IT, Finance, Insurance and Business services, Construction, Community, Social & Personal Services, Supply Chain, Transport- Storage- communications etc.

The poor economic condition of the farmers, fragmented land holding, lack of local manufacturing & repairing facility, poor rural transport facility coupled with inaccessible farm/field, uncertain power supply and undulating topography are some of the inherent constraints of the state in the path of farm mechanization. However, seeing the agrarian nature of the society loaded with acute socio-political problems - root cause of many of which seem to be unemployment, agricultural development through appropriate farm mechanization is essential for the state. Concluding the Level1 comes to Level 4 & Vice-versa. If the Agriculture will treat as Industry or if the farmers would work like entrepreneurs, we can re-positioned the Level of Pyramid

Methodology

The Objectives of this study are

* How the agri business can be transformed in to agripreneurship?

* How the lady has developed herself as an agripreneur?

* And to study the skills of Sitabai as an agripreneur.

Data collection: The research is based on the primary data as well as secondary data.

The real success story of Sitabai Mohite from rural part of Jalna District will elaborate the need of more agriprenuers for the overall economic development of India. The primary data has been collected with face to face communication with Sitabai.

Success Story of Sitabai Mohite: A Case Study As An Agriprenuers

Background

Women entrepreneurs in rural areas suffer from a lack of education, training and advisory services. This won't allow them to upgrade their entrepreneurial skills. But a strong desire to do something is an inbuilt quality of entrepreneurial women. She is capable for value addition in both family as well as social life. With the advent of media and exposure women can identify her own traits, rights and also the opportunities available.

With this background we are trying to find out the skills, opportunities, challenges Sitabai Mihite faced for her agripreneurial venture and established herself..

Mrs. Sitabai Rambhau Mohite is an illiterate poor farm woman from village Ghodegaon Tq. Dist. Jalna. She holds 1.6 ha. (4 Acre) of land. Before starting nursery, she was working as farm labour for wages and cultivating land with the help of family members. Her husband underwent training on Nursery management & vermicompost preparation at KVK, Jalna during 1995-96.

The Role of Government Machineries:

Sitabai & her husband are associated with KVK through Krishi Vigyan Mandal from 1995- 96. She worked at KVK farm for a year and half as a labor. During this work period she developed herself in technical aspects in agriculture and skills required.

Her husband Mr. Rambhau Mohite inspired her to establish Nursery and Vermicompost Unit on one acre borrowed land at village Sindhi Kalegaon, 4 K.M. away from Jalna, on Mantha Road. While working in nursery; she gained the skills of nursery management. She learned about independent thinking and decision making regarding nursery. Throuh nursery business the earning was Rs.4000- 5000/- per month.

Why do Women Take-up Employment?

Push Factors:

Death of bread winner

Sudden fall in family income

Permanent inadequacy in income of the family

Pull Factors

1. Women's desire to evaluate their talent

2. To utilize their free time or education

3. Need and perception of Women¡'s Liberation, Equity etc.

4. To gain recognition, importance and social status.

In case study of Sitabai Mohite we found that she has considered push factors to help the family for removing permanent inadequacy in income of the family.

New Business or Strategy

While working in nursery her entrepreneurial mind was not allowing her to keep quiet. She has eager to do something more. As we all know the Rome was not built in a day; the success story of Sitabai Mohite goes on the same line. She attended monthly seminars of Mahila Krishi Vigyan Mandal organised at KVK, Jalna, during September 2004 to October 2005 on food processing. During this seminar she developed interest in fruit processing. She specifically developed interest in Amala and developed herself technically from KVK, Jalna.

Product Selection

Amala is an important fruit crop indigenous to Indian sub-continent, which can be grown successfully in dry and neglected regions. The area under Amala has been expanding rapidly in the last couple of years. The growing popularity for alternate medicines, health foods and herbal products are enhancing the requirement for Amala fruit. The raw fruit, due to its high acidic nature and astringent taste, is unacceptable to consumers. The chemical composition of Amala fruits is influenced by environmental factors. Amala fruit is highly nutritive with a great medicinal use and the richest source of vitamin C.

The pulp of fresh fruit contains 200-900 mg of vitamin C. Taking in to consideration all these factors Sitabai selected and developed interest in Anola.

Product Line

In year 2004-05 she processed one quintal Amala in Amala candy & juice earning net profit of Rs.10,000/- This response encouraged her to process 3 quintal Amala to Amala Candy, Supari, Murabba, Powder, Tooth Powder, and Remedial Cream on Toe Cracks at her home during year 2005-06 and earned net profit 30,000/-.

Marketing Strategy & the Market Mapping:

Sitabai put lots of efforts for marketing these products.

For marketing she booked stalls at different Kissan Melas, Exhibitions, fairs, and gatherings in whole Marathwada region. She utilizes the efforts of whole family & encashed the relations of family.

The Power of SHG To Make The Agri-Entreprenuers

Thirty-two-year-old Sitabai Mohite of Ghodegaon belongs to one such bachat gat. For Mohite, managing a family of two children and a husband with a small patch of land was a daily struggle. But things changed for the better as this hardworking lady started her own business of Amala (Indian gooseberry) products with just Rs.200. In two years, Mohite, along with her 10 friends, is a success story. Mohite's small savings group is supplying Amala products to several retail outlets in Maharashtra. Now whole family is working along with her and financial position has considerably improved. Sitabai and her group make products like candy, hair oil, soap and pickles from Amala and supply the same to retailers. Women in her group says, "Mohite has hardly studied till 4th Standard but is now adepts at keeping accounts". She has applied for a loan from the Bank of Baroda and does organic farming too.

Competencies of Sitabai Mohite: A Successful Women Agripreneur

Innovative & Natural Product Selection

The case study shows that Sitabai Mohite is having innovative ideas for selecting product, its marketing, promotions & controlling the business.

Interpersonal Skills

The study also throws light on how Sitabai Mohite uses her interpersonal skills as she en-cashed the family relations as well as social contact for the growth of the business.

Risk taking capacity

She is having good amount of risk taking ability as Sitabai Mohite had started the business just with RS.200/- & also she put her efforts on the unknown areas like Agri-prenuers.

Learning & adaptability

Sitabai Mohite is having the greatest ability i.e. adaptability. Due to her very nature of learning anything new, she is adaptable & moulds herself as per the situation in the day to day business practices.

Awards & Accolades

Mrs. Sitabai Mohite honored with Maharastra Udyogini Awards in 2009 (Rural area Winner). This award is given by MITCON Consultancy & Engineering Services Ltd., It is pioneer in the field of Entrepreneurship Development for last 29 years. MITCON is committed to facilitate enterprise creation in the state of Maharashtra & Goa through variety of development interventions like training, counseling, and consultancy & information dissemination. Sakal and MITCON have jointly instituted the Maharashtra Udyogini Award from 2007 to honor and recognized the efforts and merits of women entrepreneurs in the State of Maharashtra & Goa.

For her contribution and success she was identified by State Department of Agriculture & in December 2005 got awarded as "Virangana Savitribai Fule fellowship award-2005" at New Delhi in presence of Smt. Sheela Dixit, Chief, Delhi & Mr. Arjunsingh, Resource Minister. She also got awarded in different exhibitions like Pariwartan, Parbhani, Latur, Pune etc. for her work. As an impact of this, her family's living standard & social standard is improved. Now-a-days she gives lectures on women empowerment & organic farming to rural women in Jalna District. One more feather in her cap is that now she is President of Jalana Chamber of Commerce.

Conclusion

After study of this case we can understand that, if the agriculturist of India concentrate on the efforts taken by Sitabai Mohite definitely may get change in their life & can make their life successful, meaningful & resourceful. We can find following benefits of transformations of entrepreneurs to agriprenuers:

1. Agri-prenuership plays important role: In India, agripreneurship is one of the key areas which could provide a major boost to the economic growth of the country. Majority of agripreneurs are facing problems regarding financial constraints.

2. Youth participation: Agripreneurship offers a great potential in terms of contribution to the economic growth. However they face vital challenges that are obstructing their free growth. A major part of their problems pertain to the financial services. Hence youth participation should increase to avoid the issue of unemployment.

3. Social status through Agriprenuership: The value of the food and the value of local production and distribution get increased. Farmers are proud to be growing delicious and nutritious organic vegetables and beyond organic poultry for local consumption whereas customers of the vegetables are happy in the knowledge that their families are being well-nourished.

Hence India now needs the Power of Agripreneur like Sitabai Mohite to make the super power economy in coming years.

References

References

Government Websites:

* http://mahanhm.gov.in/static_pages/cl&pb&inno/Marathwada_Final.pdf

* http://www.mssmabad.org/Krishi%20Vigyan%20Kendra%20main1.html

* Small Farmers' Agri-Business Consortium URL: http://www.sfacindia.com/Innovations.pdf

* http://www.knowledgecommission.gov.in/downloads/documents/ NKC_Entrepreneurship.pdf

* http://www.ficci-b2b.com/sector-overview-pdf/Sector-agri.pdf

e-News papers:

i 26 Jul 2004 ... Financial express latest business and finance news: Nabard's Package For Agripreneurs.URL: http://www.financialexpress.com/news/nabards-package-foragripreneurs/ 111175/

e-articles /Journal:

* 12 June 2008, V. Vijayalakshmi, IANS ¡§Women's self-help groups shore up farm communities¡ URL: http://twocircles.net/2008jun11/womens_self_help_groups_shore_farm_communities.html

* Mohd. Zubair Ahmad, FMS, Shri Ram Murti Smarak College of Engg & Technology, Bareilly, International Journal of Business Derivatives (IJBD Vol:1 No:1 ISSN 2248 - 924X ) URL: http://www.ijbd.org/mohd_zubair_ahmad.pdf

ii de Wolf, P.L., Schoorlemmer, H.B., Smit, A.B. and de Lauwere, C.C. 2004. ANALYSIS AND DEVELOPMENT OF ENTREPRENEURSHIP IN AGRICULTURE. Acta Hort. (ISHS) 655:199-208 http://www.actahort.org/books/655/655_25.htm

Research Consultancy Firm:

* http://www.ima-india.com/1ndian-agriculture-challenges.pdf

* http://www.actahort.org/books/655/655_25.htm