The project will be implemented in four districts of Jharkhand with 6000 resource poor farmers in sustainable way with community ownership through enterprise development at grass root level. The districts are Gumla, Simdega, Khunti, and And W. Singhbhum. In total 120-130 villages will be selected from these 12 blocks, covering approximately 50 farmers per village. Out of 6000 selected farmers, 120 producer/Livelihood groups will be formed; thereby each group will have 50 members for doing the activities effectively. Though detailed systematic sub-sector studies will be conducted and based on scientific triangulation, 02 subsectors e.g. tamarind & lac will be selected for which comprehensive value chain studies will be done. The study will be the guideline for efficient implementation of the value chains. Hence detailed market study and business and operational plans will be developed prior to actual implementation. The value chains will be implemented on cluster approach for better effectiveness of the programme. Value chain analysis looks at every step a business goes through, from raw materials to the eventual end-user. The goal is to deliver maximum value for the least possible total cost. Value chain development is an increasingly popular approach to develop. - Inclusive markets by improving the access of the poor to markets. - Facilitating a better functioning of markets by promoting the flow of knowledge & resource to small enterprises and poor producers. - Empower small businesses to sell to more stable, higher volume or higher value markets.

Project Objectives:

This study intended to serve as a base to work in the selected sub sectors and value chains thereof to increase the supplementary income of the rural poor.

Subsector study: specific objective:

i) To identify the potential subsectors in the context of Jharkhand.

ii) To understand the most suitable subsectors addressing poverty reduction, women’s unemployment and drudgery reduction.

iii) To understand the area and possibilities of up scaling and value addition.

iv) To know the role of various line department and private players in operation of sub sectors.

v) To understand the market scenario of various produces.

Value chain exercise: Specific Objectives:

i) To develop a subsector value chain map; identify the major players across the VC

ii) To identify the constraints and opportunities faced by various VC players at different levels.

iii) To identify the competitive advantages of the subsector players- market access, technology/ product development, management/organization, input supply (raw materials), finance, policy, operating environment/ infrastructure, trade regime, etc.

iv) To make an appraisal of potential function, operator, and enterprises related to specific sub-sector in a particular cluster/area.

Intervention Area:

District Block
Khunti Khunti
Khunti Rania
Simdega Jaldega
Simdega Bano
Simdega Thetaitangar
Giridih Bengabad
W.Singhbhum Manoharpur
W.Singhbhum Goilkera
Gumla Bharno
Gumla Dumri
Gumla Sisai
Gumla Bishunpur

Non Timber Forest Produce


Value Chain Approach

The MKSP-AAP Project has a focus on intervening in 3 sub-sectors namely Agriculture, Minor-forest Produce (MFP) and Livestock. Under MFP sub-sector the focus is primarily on Lac and Tamarind, similarly in Livestock the interventions would be around Backyard Poultry, Goat and Duck. The project has a mandate to do value chain intervention around these some of the key products around these sub-sectors. The Value Chain Approach would help in identifying the existing gaps in the market hence working on those gaps in order to make the chain more equitable in terms of profit distribution and building the capacities of the producers to graduate and take up higher degree roles in the chain for better returns. A total of 5 Value Chains have been identified with the help of scientific methods of data analysis and validation with the help of an International Agency. The products for the purpose of study are namely Lac, Tamarind, Backyard Poultry, Goat and Potato. The studies have been initiated and are in the last stage for further analysis and developing strategies around the gaps identified. After the completion of the studies, based on the findings an Intervention Plan would be developed keeping in view the potential of the interventions. It is expected that around each Value Chain some enterprises would be developed which could be managed by the community institutions. However, all these interventions would be designed in an institutional framework which would revolve around a Farmers Producer Organization. The idea is to develop a local value chain within the identified commodities and provide a better market access to the poor producers. The value chain approach would not only provide a better access for the produce of the farmers but would also help in procuring the right quality seeds and inputs in a right price and time. It would ensure that the producers have the appropriate technology and capacities to work as per the market demands. The gaps in terms of capacities and knowledge would also be a part of the value chain approach. This set-up will create institution like Producer Groups at the village level which would work with the Farmers Producer Organization (FPO) at the Block or District level. The FPO would establish the relevant enterprises which would add value to the commodities/produces and finally help the producers with a better share of consumer rupees. This approach will also help in developing the local economy in terms of investments and market penetration.

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