RCDF DPIP

SUSTAINABLE LIVLIHOOD

A livelihood comprises the capabilities, assets (including both material and social resources) and activities required for a means of living. A livelihood is sustainable when it can cope with and recover from stresses and shocks and maintains or enhances its capabilities and assets both now and in the future, while not undermining the natural resource base

RCDF DPIP

RAJASTHAN STATE PROFILE

LARGEST STATE

10 %

AREA (3.4 LAC SQ KMS) OF THE COUNTRY

60 %

AREA COVERED BY DESERT

1 %

OF TOTAL SURFACE WATER RESOURCES POPULATION

5 %

(5.6 CR.) OF THE COUNTRY

RCDF DPIP

CATTLE WEALTH

•

MILCH BOVINES –

8 %

51 52 LAC CATTLE LAC BUFFALOS .

OF NATIONAL TOTAL.

MAJOR BREEDS :

•

CATTLE : RATHI, GIR, THARPARKAR, KANKREJ, NAGAURI

•

BUFFALO : MURRAH, MEHASANA, SURTI.

RCDF DPIP

MILK PRODUCTION

• •

ESTIMATED PRODUCTION (2003-04) 221 LAC KG/DAY ESTMATED SURPLUS – 88 LAC KG / DAY

•

CONTRIBUTES 9% OF TOTAL PRODUCTION OF INDIA.

•

PER CAPITA AVAILABILITY 360 GMS . (NATIONAL 220 GMS)

RCDF DPIP

DPIP

• Organise rural poor, there capacity building and empowerment • Activities  Income generating  Land based  Social infrastructure  Social services

RCDF DPIP

SOME FACTS

Income generating Activity 77 % of all activities Live stock 66 % of income generating Activities Dairy 55% of Live stock Activities

Transforming Rural Economy Through Partnership

WB-DPIP-RCDF

RCDF DPIP Rajasthan Cooperative Dairy Federation Ltd., Jaipur  Milk procurement & marketing No. 1 in North India  Avg. milk procurement (2006-07)  Avg. milk marketing (within Rajasthan)  Avg. milk marketing (outside Rajasthan)  Registered dairy cooperative societies (DCS)  Registered members  Registered women DCS  Registered women members  Payment to producers (2004-05) www.sarasmilkfed.coop

15.54 lakh litres/day 12.62 lakh litres/day 1.12 lakh litres/day 9,050 6.15 lakh 2,595 1.55 lakh Rs. 616 crore

RCDF DPIP

ORGANISATIONAL STRUCTURE

FEDERATION (PLANNING, MONITORING, MARKETING) UNION (MILK PROCESSINGA & INPUT SERVICES) DCS (PROCUREMENT & INPUT SERVICES AT MICRO LEVEL)

RCDF DPIP

INFRASTRUCTURE

MILK PLANTS MILK CHILLING CENTERS MILK POWDER PLANT UHT PLANTS CATTLE FEED PLANTS FODDER SEED PRODUCTION FARMS FROZEN SEMEN BANK EXOTIC NUCLEUS FARMS 3 1 1 14 (13.45 LAC LT/DAY) 15 (3.30 LAC LT/ DAY) 7 ( 60 MT PER DAY) 1 (50 TH LT/ DAY) 4 (600 MT / DAY)

RCDF DPIP

PRODUCT RANGE

MILK MILK PRODUCTS CATTLE FEED

RCDF DPIP

RCDF partnership under DPIP

 Promotion of Dairy Activity as an income generating activity for the rural poor on commercial viable lines with assured backward and forward linkages

RCDF DPIP

DPIP Districts and Concern Milk Unions

Milk union DPIP districts

Bharatpur Dholpur Churu Jaipur Churu Dausa Kota Swaimadhopur Udaipur Bikaner Baran & Jhalawar Tonk Rajasmand Dungargarh

RCDF DPIP

Role

• RCDF is working as facilitator & monitor and milk unions are implementer for the project

RCDF DPIP CIG formation Work flow Activity identification & Subproject formation DPIP orientation training Approval & fund release Skill training • • • • • • Asset

I Milch cattle & bull induction Production grant, chaff cutter, dairy equipment VFA, secretary training

II nd cattle induction Marketing linkage & DCS membership

RCDF DPIP

Implementation Modus Operandi

Milk Union

1.PRA, PLA &CIG formation 4.Sub project approval & Training

DPM

2.CIG approval 5.Fund release to CIG

CIG

3.Sub project formation 6.Sub project implementation

RCDF DPIP

Dairy Sub Project



Capabilities

– CBO (CIG ) formation – SHG working – Skill training – Informed choice of activity 

Asset

– Dairy Package  2 high quality milch cattle per member and a breeding bull per village  Cattle shed    Chaff cutter Working capital support Milk collection center equipment 

Activity

– Assured market linkage through DCS – Technical input ( animal health, breeding, cattle feed & fodder) availability at DCS – Financial support for automation of milk collection centre – 90% subsidy in DCS registration fee for BPL CIG members

RCDF DPIP

Dairy Sub Project



Sustainability- Stresses & Shocks

–Insurance support for cattle –Saras Suraksha Kawach: Life insurance for CIG member 

Enhancement & Organizational Development

–CIG linkage/ conversion into DCS –Bank linkages for further financial requirements –Dovetailing with other Dairy development & welfare scheme

RCDF DPIP

Advantage of Dairy Co-operative Society

  Assured marketing linkage.

Availability of Technical Inputs (no loss no profit basis)  Animal Health Care     Veterinary Medicine Vaccination Deworming    Balanced Cattle Feed.

Mineral mixture.

Urea molasses Lick Bricks.

RCDF DPIP

Advantage of Dairy Co-operative Society

Breeding facilities :   Natural A.I.

  Fodder seed distribution Insurance 

Saras Suraksha Kawach for milk producers/CIG members.

Unique Insurance coverage to the CIG member in which RCDF, Milk Union and DCS contributes the premium.

 Cattle Insurance  Skill up-gradation opportunity time to time, throughout life.

RCDF DPIP

Added Advantage

 Regular Bonus distribution to DCS members.

 D.C.S pays additional price difference to milk producers from its own profit.

 Milk Union also pays price difference by its own profit to D.C.S.

 Equal opportunity to participate / become elected member/ Chairman of D.C.S. / Dairy Union Management Committee through co-operative setup.

 Enjoy all Co-operative rights at par with D.C.S members.

RCDF DPIP

Business Profitability



Additional income of Rs. 1,400-1,600 per month to each CIG member



Payback period: 2.5-3 years



Internal rate of return: 30%



Profitability index: 2.4 (@ DF of 10%)

RCDF DPIP

Investment & Return



No. of groups



Investment



Total milk production



Quantity of marketable milk quantity



Payment to producers 3,500 Rs. 210 cr 6 lakh litres/day 4 lakh litres/day Rs 44 lakh/day

RCDF DPIP

Impact Of The Intervention

1

Economic Impact

• 3,500 CIG linkages with milk cooperative procurement and marketing system • A rise of Rs 1,400-1,600 per month in income levels of CIG members • 2,500 dairy CIGs working as SHGs • Rs 2.3 crore savings by dairy CIGs

RCDF DPIP

Impact Of The Intervention

2

Social Impact

• Improved socio-economic status • Participation in cooperative set up and decision-making • Opportunity for leadership • Participation in local government • Linkage with other schemes • Effect on health and education, especially the girl child • Nutritional intake

RCDF DPIP

Dovetail

• • • • IDDP CMP Bulk Milk Cooler IL& FS

RCDF DPIP

Progress

• Dairy CIG formed • CIG subproject sanctioned • CIG fund released • Asset acquisition First cattle Second cattle 1701 1485 1289 1199 524

4 5 6 SN 1 2 3 RCDF DPIP Cast wise (%) Bifurcation District Dausa Tonk Baran Dungargarh Dholpur Rajsamand 29 24 24 SC 20 18 22 0 0 10 ST 40 17 23 OBC 21 57 49 49 47 47 GEN 19 8 6 22 28 19

RCDF DPIP

Sub-Project

• Av time taken for preparation • Av time taken for sanction • Av time taken for group contribution • Av time taken in transfer of funds • Av time taken for acquisition of assets 15 Days 15 Days 60 Days 45 Days 30 Days

RCDF DPIP

CIG performance

% of groups earning a net income

• Rs. 15000 or more per month • Rs. 10000-15000 per month • Rs. 5000-10000 per month 43 33 24

% group linked to the market 75

RCDF DPIP % Member lost assets • Through sale • Through death 0.20 % 2.50 %

Insurance

• No. of groups insured • No. of claims filed • No. of claims disbursed 1199 501 326

(65%)

RCDF DPIP Capacity Building of CIG

• Orientation training • Skill Building training • VFA training 66 % 87 % 38 %

RCDF DPIP

Results so far

…

..

• Av 35000 Kg per day Milk procurement from DPIP Dairy CIG.

• Av Rs 3.85 Lac PD payment to Dairy CIG members.

RCDF DPIP CIG Ram Ji Gita Kishore Jai Santoshi Ma Khushbu Tonk Success Stories District Dausa Rajsamand Baran Dholpur Specialty DCS, Income Rs 25000/- PM, Saving Rs1.9 Lac DCS, Women, Income Rs 29000/-PM, Saving Rs 62000, IL Rs 36000 DCS, Income Rs 29000/- PM, Saving Rs 60000, IL 35000 Women, Income Rs 30000/- PM, Saving Rs 32000/-, IL 15000 CIG chairman elected as Chairman DCS, Income Rs 17000/- PM

RCDF DPIP

Lesson learnt

• Group dynamics - SHG pattern working • Cluster approach • Partner role, support & responsibility • Infrastructure availability • Input support • Milch Cattle induction

RCDF DPIP

What Next

• District Mapping • Identification of Required Intervention • District Plan & Strategy • Alignment with Natural Resource Base

RCDF DPIP

Vision 2007

 Increased procurement by 50,000 litres per district per day in all DPIP districts  1,500 of functional & profitable DCS (20 per cent of RCDF total DCS)