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Promising a better tomorrow for Musahar community. Seva Musahar Krishi Products Private Limited. A producer owned retail company. Under the aegis of : Manav Seva Sansthan. Rationale. Direct farmers to consumer marketing – Why.
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Promising a better tomorrow for Musahar community SevaMusaharKrishi Products Private Limited A producer owned retail company Under the aegis of : ManavSevaSansthan
Rationale Direct farmers to consumer marketing – Why • Do away mandis – middle man oriented corrupt supply - rural – urban income disparity • Two – three middle man - that share the profit percentage - farmers are benefited the least • Eliminating middle man - immensely enhance the profit margins of these farmers
Current Scenario Farmer Sells his produce to the first intermediary (middlemen) Receives only 1/3 of the price paid by consumers Intermediaries Buys out produce at throw away prices from farmers adds profit margin and sells it to next intermediary Wholesaler They buy it from the mandi, add their profit margin – sell to retailer or sub wholesales Retailer Buys from Wholesaler, add profit margin and sell it to the consumer or sub retailer Consumer has little choice than to buy it at thr price stated by the retailer Ultimately paying 3to 4 times the actual price of the products Consumer At Profit At Loss
The company - SMKP • Incorporated under the Companies Act, 1956 • Corporate Identity Number : U01403UP2012PTC050394 • A shareholder based body • Small and marginal producer can acquire the share
Objectives • To re-engineer the product supply chain by directly connecting producers and the higher return market • Creating livelihood opportunity to ensure empowerment of the marginalized small and marginal producers • To secure development investments for holistic development of Musahars and the underprivileged
Brand Name • Allagro based and processed products from Musahar and non musahar families are marketed by the brand Name “RishiKrishi”
Business Model • LEISA method of farming practice • Market information including price over phone • Assured market and best price for their produce • Freedom from Middle men and brokers Small and marginal Farmer (Non Musahar) Farmer (Musahar) Collection Centers • Procurement of products • Grading, packing and Value addition - employment generation for musahar • Branding of products Transportation to Outlet • Family store model ( musahar, non musahar and FMCG products) • Assurance of quality and quantity at reasonable price Retail Outlet (currently managed by MSS) Consumer • Good quality and healthy products at best price Running Capital SMKP Financial support to Musahar CBOs for implementing village development plan Musahar CBOs
Process flow of operation Farmers Collection Centers Farmers First Grading & packaging Sales Outlet Second Grading and packaging Local Markets
Future Plans • Rural enterprise through food processing units • Creating & promoting a self brand (RishiKrishi) of packaged essential products (Turmeric powder, chili powder, papad, Jaggery, snacks etc) • Scaling up the SMKP outlet in major towns of Purvanchal region. • Business partnerships with institutions – hotels, residential schools, private hostels