E CHOUPAL ITC PDF

The e-Choupal model has been specifically designed to tackle the challenges posed by the unique features of Indian agriculture, characterised by fragmented farms, weak infrastructure and the involvement of numerous intermediaries, among others. Such a market-led business model can enhance the competitiveness of Indian agriculture and trigger a virtuous cycle of higher productivity, higher incomes, enlarged capacity for farmer risk management, larger investments and higher quality and productivity. Further, a growth in rural incomes will also unleash the latent demand for industrial goods so necessary for the continued growth of the Indian economy. This will create another virtuous cycle propelling the economy into a higher growth trajectory.

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The e-Choupal model has been specifically designed to tackle the challenges posed by the unique features of Indian agriculture, characterised by fragmented farms, weak infrastructure and the involvement of numerous intermediaries, among others.

Such a market-led business model can enhance the competitiveness of Indian agriculture and trigger a virtuous cycle of higher productivity, higher incomes, enlarged capacity for farmer risk management, larger investments and higher quality and productivity.

Further, a growth in rural incomes will also unleash the latent demand for industrial goods so necessary for the continued growth of the Indian economy. This will create another virtuous cycle propelling the economy into a higher growth trajectory.

The aggregation of the demand for farm inputs from individual farmers gives them access to high quality inputs from established and reputed manufacturers at fair prices. Thereby it significantly reduces transaction costs. While the farmers benefit through enhanced farm productivity and higher farm gate prices, ITC benefits from the lower net cost of procurement despite offering better prices to the farmer having eliminated costs in the supply chain that do not add value. Several alternative and innovative solutions - some of them expensive - are being deployed to overcome these challenges e.

Power back-up through batteries charged by Solar panels, upgrading BSNL exchanges with RNS kits, installation of VSAT equipment, Mobile Choupals, local caching of static content on website to stream in the dynamic content more efficiently, 24x7 helpdesk etc. The active participation of farmers in this rural initiative has created a sense of ownership in the project among the farmers.

Backed by intensive research and knowledge, this initiative provides Agri-extension services which are qualitatively superior and involves pro-active handholding of farmers to ensure productivity gains.

The services are customised to meet local conditions, ensure timely availability of farm inputs including credit, and provide a cluster of farmer schools for capturing indigenous knowledge. This initiative, which has covered over 64, hectares, has a multiplier impact and reaches out to around 70, farmers. Please visit our site: www.

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What Connects a Corporate Giant, Farmers and We the Consumer? Meet ITC e-Choupal

Yet it is besieged by myriad challenges. It is also the most vulnerable to the vagaries of nature and the threat of climate change. Indeed, tens of millions of Indian farmers are suffering. In Narsingkheda village of Madhya Pradesh, however, a farmer has found an avenue to overcome these struggles. Everything changed for Singh in when the diversified conglomerate ITC introduced an e-Choupal to his village. To the uninitiated, an ITC e-Choupal is an internet kiosk in the home of a fellow villager. An innovative model embedded with social goals, the ITC e-Choupal empowers farmers and hopes to trigger higher productivity and income through a host of services related to know-how, best practices, timely and relevant weather information, a transparent discovery of prices, access to quality agri-inputs at competitive prices and so on.

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Online access enables farmers to obtain information on mandi prices, and good farming practices, and to place orders for agricultural inputs like seeds and fertilizers. This helps farmers improve the quality of their products, and helps in obtaining a better price. The sanchalak bears some operating cost but in return earns a service fee for the e-transactions done through his e-Choupal. The warehouse hub is managed by the same traditional middle-men, now called samyojaks, but with no exploitative power due to the reorganisation. These middlemen make up for the lack of infrastructure and fulfill critical jobs like cash disbursement, quantity aggregation and transportation. Since the introduction of e-Choupal services, farmers have seen a rise in their income levels because of a rise in yields, improvement in quality of output, and a fall in transaction costs.

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