ICRISAT
Happenings Newsletter
17 October 2014 No. 1645
Photo: Srujan Kumar
ICRISAT has been supporting farmer-owned enterprises to find a viable solution for the growing demand for quality seeds. A farmers’ federation in Tamil Nadu, India, ventured into seed production with the guidance of the ICRISAT’s ABI Program and farmers are experiencing additional incomes.
Using agribusiness incubators to develop seed entrepreneurs
T
he agribusiness incubation concept has been successfully demonstrated in setting up a farmermanaged seed enterprise. A farmers’ organisation in Tamil Nadu, India, has set up a professionally managed seed enterprise with mentoring and handholding by ICRISAT’s Agri-Business Incubation (ABI) Program. Apart from investing in the venture, ABI also provided support across the entire value chain from introducing seed varieties to help with branding, marketing and promotion activities. The Kazhi Kadaimadai Farmers Federation (KKFF) ventured into seed production in 2008 with funding assistance of Rs 0.75 million (US$12,283) under the ABI program. This support was for procuring seed
processing machinery. ABI also assisted KKFF in obtaining a corpus fund of Rs 0.2 million (US$ 3,275) for operations under the Technology Development Board’s (TDB) funding scheme of the Department of Science and Technology (DST), Government of India. Under ABI’s guidance and training KKFF operates like a company governed by farmers and managed by professionals like executive director, technical officer, accountant, etc., who are engaged and employed by the federation. Every farmer member of this federation now earns an additional income of Rs 12,500 to Rs 17,500 (US$ 201 to 283) per hectare while KKFF generates a net profit of Rs 0.6 million (US$ 9,826) from an annual turnover of over Rs 12 million (approx. US$ 200,000). to page 2 ...4