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LinkingTechnologytoFarmers:ITCeChoupalExperience

PresentationbySSivakumar

SASKI&infoDev BBLSeminar@WorldBank

SeminarSeriesonICTinAgriculture

Washington,27March2007

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ContextofIndianAgriculture

Excellentresources:

Plentyofarableland

Rich&diverseagro-climaticzones

Strongresearchsystem

Large&growingmarkets

VeryresourcefulFarmer:

Worksveryhard(wholefamilyisonthefarm)

Takesrisk(onweather,markets) Isinnovative(adaptingtechnology,managingrisk)

Yet,mostofthefarmersarepoor

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becauseof

Smallsize(Average600,000habitations)

Impactsaccesstoreal-timeinformation

Heterogeneity(agro-ecologicalconditions,knowledge,

investment&risk-takingability)

Highneedforcustomisation

Fragmentedagribusinessindustry

Poorverticalcoordination,notmuchvalueaddition

Weakinfrastructure(Physical,Social,Institutional)

Impactsaccesstomarkets,hightransactioncosts,

increasesrisk(yields,prices)

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Demandsoftheglobalising trade

1. Transitionfromsupply-driventodemand-drivenvaluechains

Qualityaspercustomerneeds(&changingdiets)

Traceabilitytofarms&farmpractices(SPS,TBT)

2. CompetitivenessinPrice/Valueequation Increasedfarmyields

Lowertransactioncostsalongthechain

Furtheraccentuatingtheneedfor

Customisedknowledge

Real-time&relevantinformation

Accesstoqualityinputsatcompetitiveprices

Effectiveverticalcoordinationofthevaluechain

EfficientPricediscovery&riskmanagement

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CapabilitiesofICT

Real-timemulticasting

Seamlessworkflow

Storage&retrievalofdata

Broadbandconnectivity Convergenceofmultimedia

Unbundling&rebundlingthe

componentsofatransaction Collaboration&verticalcoordination

Virtualaggregation

Decouplingback-endfromfront-end

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LeveragingICT:ITCeChoupalIllustration-1

Thetraditionalmandi systemforsaleVideo

Pressuretosellduetosunkcostoftransportation

eChoupalPriceDiscoveryVideo

eChoupalPriceDiscoveryPartIIVideo

That unbundled the price information from sales

transaction, leveraging the real-time multicasting

abilityofInternet,andempoweredthefarmertodecide

onwhen&wheretosell

And reduced the transaction costs too (byavoiding

multiplehandlingthatisnecessaryinmandi system)

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FarminputtransactionVideo

Againempoweringthefarmer,thistimebybundling

Whattouse(knowledge)Whentouse(information)

Supplychain(transaction)

Throughcollaborativeworkflowacrossentities Decouplingsourceofinformation&knowledgewith

delivery

LeveragingICT:ITCeChoupalIllustration-2

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Webcastingofbestpracticesvideos,andFAQs

accesstoknowledgewithease

Interactionacrossvillagesthroughchatting&emails

Helps in knowledge sharing among themselves

andbringsmeaningtotheeprefixtochoupal

LeveragingICT:ITCeChoupalIllustration-3

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One-to-oneinteractiveability ofInternet,togetherwithrelevanttestingfacilities(soil/water/virus)

deliverscustomizedfarmingsolutions

LeveragingICT:ITCeChoupalIllustration-4

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Broadbandconnectivity

Forremotediagnosticofcrops

Andinteractiveextension

LeveragingICT:ITCeChoupalIllustration-5

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InSummary,

ICTIngredientsofITCeChoupal1. Deliver real-time information and customised

knowledge to improve farmers decision makingabilitytoalignfarmoutputwithmarketdemands,and

toimproveproductivity

2. Aggregate demand like a virtual producerscooperative and access high quality farm inputs atlowercost

3. Actasadirectmarketingchannelwithmoreefficientpricediscoveryandlowertransactioncostsinoutputmarketing

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Non-ICTingredientsofITCeChoupal

Self sufficient infrastructure (power, bandwidth,

training)

Communityaccesstocommoninfrastructurethrough

Sanchalak(afarmerfromwithinthevillage)

Resourcing of the investments by capturing latent

valuefromthemarket(farmerdoesnthavetopayfor

accessinginformation/knowledge)

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ITCeChoupalFootprintToday

6,400 eChoupals

38,000 villages4 million farmers

13 commodities

2 million tonsUS$ 400 million

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ChoupalSaagar

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Hypermarket@ChoupalSaagarbrings

world-classshoppingexperiencetoruralIndia

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WithawiderangeofProductCategories

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Hygienic, Affordable Food Court

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Fuel Station

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High Quality Health Services

Tele link to HospitalsFor Specialist advice

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Diagnostic Lab to conduct basic tests..

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Soil Testing laboratory for customised farm inputs

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AndMore

Banking&ATM

Insurance

Photography TractorServicingWorkshop

Pharmacy

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NextGenAgri ServicesleveragingICT

Residuemanagement Soilmanagement

Cropgrowthstage Standmanagement

Weedmanagement Cropvigor

FarmersEmpowered With

Actionable Information

Diseasemanagement Insectmanagement

Nutrientmanagement Moisturemanagement

Harvestmanagement YieldEstimation

LandsatSPOTAerial

1CentralProcessingFacility

PRIMARY & SECONDARY SYSTEMS

Information Service

2

Soil Brightness

Moisture

Crop Cover

Chlorophyll

Soil Residue

Weeds

Crop Vigor

Yield Prediction

INFO PRODUCTS

People & Tools

Servers

Agriculture InformationManagement System

eChoupal

AIMS

3

RURAL DELIVERY PLATFORM

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ThankYou

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