IDEI AR 2018-19_V1

DR PS OF PROSPERITY ANNUAL REPORT 2018 - 2019

Contents 1.

From the desk of the CEO

05

2.

About Us

07

3.

Geography and Reach

09

4.

Our Approach

10

5.

Water Lifting Devices

12

6.

Water Application Devices

18

7.

Sustainable Agriculture

23

8.

Social Returns on Investment

30

9.

Financials

32

10.

Knowledge Partners

34

11.

Awards & Recognition

36

FROM THE CEO’s DESK What an incredible year it was! All year long we witnessed stories of change; of transformations for not just one or two people but so many families. These stories of removing income poverty contributes directly to realizing the vision of IDE-India, of reducing hunger, poverty and malnutrition. This makes me happiest!

This year I am proud to witness a palpable shift in the ownership manifested by our women farmers. As more and more women are getting interested in becoming entrepreneurs and taking on the challenge of augmenting family income, I see a longterm impact on the overall socio-economic patterns.

Such programs and interventions that provide relief to marginalized sections of the society is most gratifying for me and for all of us at IDE-India.

It has been heartening to see our own team members challenging themselves in thinking out of the box; making efforts in racking their brains to find better ways of reaching out to more small and marginal farm families.

Over time I have been reflecting on the great inherent power in partnerships, holding hands and working together. I am reminded of a quote by Hellen Keller, “alone we can do so little; together we can do so much”. IDE-India deeply values and appreciates its Micro, Small and Medium Enterprises partners. It also considers the respective governments as one of the critical partners, not monetarily though! By leveraging some of the government introduced schemes or programs, IDE-India has helped many farmers create even greater value in their lives, both economically and socially.

I would like to close by sharing that what you will read in the following pages is only because of the passionate people we are associated with, all our stakeholders and the teams that truly believe in and live the vision and mission of IDE-India.

Thank you so much for your support and love. We look forward to creating many more years of meaningful work that enables the small and marginal farmers to break the shackles of poverty.

Amitabha Sadangi Chief Executive Officer: IDE-India

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About Us International Development Enterprises (India), hereafter referred to as IDE-India, is a not-for-profit company working in India, focusing on enhancing the livelihood of small and marginal farmers in agriculture & allied sectors and enable prosperity. IDE-India is also a member of the ECOSOC (Economic and Social Council) of the United Nations.

As is widely acknowledged, one of the major reasons for prevalence of poverty is that the poor are not able to effectively participate in market mechanisms. IDE-India therefore decided to develop sustainable markets for the small and marginal smallholder farmers to participate in, with the least intervention from IDE-India side. IDE-India believes that small and marginal farmers are potential entrepreneurs and should not be treated as mere recipient of charity.

Such markets were developed from supply as well as from demand side. IDE-India adopted an innovative “Profit for Progress” methodology, creating and nurturing non-exclusive private sector supply chains engaged in the manufacture and distribution of the technologies/ products, at fair prices which incorporate a profit margin for the manufacturers, distributors, dealers and village-based mechanics/ installers. These supply chain members make their own monetary and other resource investments, while IDE-India only facilitates the process for them.

Adoption of these technologies/ products by over 1.5 Million small and marginal farmer households is a testimonial of the incredible success of the approach and the program.

IDE (INDIA) VISION To reduce income poverty, hunger and malnutrition among the rural poor.

IDE (INDIA) MISSION The organisation works with the mission to improve equitably the social, economic and environmental conditions of families in need with special emphasis on the rural poor, by identifying, developing and marketing affordable, appropriate and environmentally sustainable solutions through market forces.

IDE (INDIA) GOAL To enable prosperity in the lives of 5 million small and marginal farm families by 2030.

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Where We Work We are working with small and marginal farmers across the following states in India: Andhra Pradesh Assam Bihar Madhya Pradesh Odisha Uttar Pradesh Uttar Pradesh Bihar

Madhya Pradesh

Odisha Maharashtra

Andhra Pradesh

Tamil Nadu

Assam

We work in the abovementioned states directly with our own team, down till the grassroots level. The team creates awareness, is available to meet with and interact with the interested farmer households and provides hand-holding to each farmer household that adopts IDE- India promoted technologies and services.

IDE-India is also working in the states of Tamil Nadu and Maharashtra indirectly.

There are market players who after understanding IDE-India's model, expressed interest in furthering/ expanding the outreach by promoting technologies and products (tested, incubated by IDEIndia) in different districts of these states.

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IDE-India Reach

DIRECT BENEFICIARIES

INDIRECT BENEFICIARIES

12,329

TREADLE PUMP FARMERS

57,946

487

DRIP SYSTEMS FARMERS

2,289

27,184

SUSTAINABLE AGRICULTURAL PRACTICES FARMERS

1,27,765

40,000

TOTAL

1,88,000

DIRECT BENEFICIARIES: Include all people who are experiencing a positive difference at the households level, as a result of receiving services, goods and resources directly from IDE-India or through a partner.

INDIRECT BENEFICIARIES: Includes all individuals who are not directly involved in project activities not receive direct services, good or resources from IDE-India but are still impacted in some way through our intervention.

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Our Approach “When the poor at the bottom of the pyramid (BOP) are treated as consumers, they can reap the benefits of respect, choice, and self-esteem and have an opportunity to climb out of poverty trap.” Proff. C. K. Prahlad, The fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits.IDE-India’s approach Market Based Approach or the Free Market Led Poverty Reduction and Rural Development Approach is to put income generating solutions (technologies/ services) into the hands of the small and marginal farmers. To facilitate this, IDE-India as facilitator stimulates local private sector comprising of manufacturers, distributors, retailers and installers to make available technologies/ services at affordable yet fair price to small and marginal farmers. Following this approach, IDE- India strives to make the technologies and services accessible to even the poorest farmer by address the following factors:

POVERTY

PACKAGING

Technologies/ solutions must be designed with the target market in mind- poor farmers with little capital who require a quick Return on Investment (ROI).

PRODUCT

All technologies must be packaged to meet small and marginal farmer requirements. Typically, technology and other farm inputs come in large packs that may not be suitable for use by the target group.

Technologies are field tested with small and marginal farmers and adapted to local conditions to ensure appropriateness, effectiveness and return on land and labor plus additional profit.

PLACE

PRICE

It is important to consider the accessibility of the marketplace where small and marginal farmers can learn about and purchase the technologies and services. Therefore IDEIndia focusses on village markets that are close to where the farmers Effective promotion strategy is live. central to creating a groundswell of demand leading to a force multiplier and wild fire impact.

Price is critical and therefore, all effort is made to produce products with low price points. Presence of multiple supply chain helps in increasing competition in free market, which ensures increase in quality and reduction of prices.

PROMOTION

It should be noted that IDE-India only facilitates the supply chain. IDE-India establishes a supply chain on the one hand by carefully selecting partners that invest their own resources (financially and others) and on the other hand generates awareness amongst the target group about the technology and services. The money spent on awareness creation is subsidized through donor grants. IDEIndia does not buy or sell any product nor does it make any financial investment or profit in the markets.

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1. WATER LIFTING DEVICES: IDE-India promotes water lifting devices called the Treadle Pump which are driven by human energy with a combination of lifting and pumping device. It is used in regions with high water table, up to about 28 feet. These are reliable and low on maintenance and lasts for 10 years. Use of water lifting devices replaces the use of diesel pumps thereby saving fuel and reducing carbon emission. Typically, it discharges about 3,500- 4,000 litres/ hour water (depending on body weight) and irrigates up to one acre of vegetable farm. There are three types of water lifting devices- Bamboo and the Surface Treadle Pump, Rope and Washer Pump and Concrete Pump. Different variants of the pump are promoted in different geographies but all work where water table is within 9 meters.

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KB BAMBOO TREADLE PUMP

KB SURFACE TREADLE PUMP

KB ROPE & WASHER PUMP

Foot operated reciprocating type positive displacement pump to draw water with open channel water delivery system from shallow tube wells.

A foot operated reciprocating type positive displacement pump to draw water with open channel water delivery system from surface water source like dug well, ponds, canal etc.

A human powered hand operated pump used to lift water from open water source with applied human power in between 40-100 watt.

12329 farm families were facilitated to adopt water lifting devices.

The state government- Government of Odisha is subsidizing the cost by 90 percent on the purchase of the treadle pump for poor people.

How ‘Small’ is Making a ‘Big Difference’!

Manorama Mahanta lives in Keonjhar district, of Odisha. Living with a family of five including two children, husband and mother in law, Manorama's family owns 3 acres of land. However, of this only one acre was irrigated and the remaining was lying fallow.

The family was surviving on some cultivation done on one acre of land and their work as daily wage laborer. She was cultivating paddy during the kharif season and few vegetables during the late summer/ rabi season. The irrigation device was tenda. She would also sometimes go along with her husband to work on daily wage basis. They were earning about INR 10-12, 000 annually largely from work as laborers. Manorama was desperate to change the condition of her family but failed miserably at finding any solution. All her options were crushed because lack of sufficient resources and she would fall back into deep despair and hopelessness.

In the middle of this deep crisis, Manorama came across movies screening through video van and heard very positive things, talking about how farmer lives were getting transformed. Intrigued by its features and cost, Manorama found and watched treadle pump in use. She waited and heard other people asking questions and felt most of her questions were answered. She started to dream at that very moment and visualized her-self-operating the pump with ease.

The thought of pumping water using legs and zero arm fatigue was especially very lucrative. She could not wait to discuss with the husband, manage to bring together the required money to buy the pump. They together bought the pump from nearby dealer and started cultivating vegetables in a small part of her small field. From growing eggplant, cabbage and leafy vegetables during the summer, she has taken to cultivating high yielding varieties of more vegetables such as cucumber, cowpea, cabbage, maize, cauliflower, radish, tomato, chilli, potato, eggplant, onion, garlic and leafy vegetables throughout the year.

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The transition from a highly fatiguing hand operated irrigation device to foot operated treadle pump has transformed their way of agriculture, they have increased the land under agriculture.

As a result of increased production now Manorama and her husband together go either using their bi-cycle or using a shared auto to little far markets in Keonjhar district to sell their produce at higher prices. Seeing the quality and quantity of her produce the traders have started to come them for purchasing their vegetables.

Their income has increased

by INR 55,000/-.

Manorama is very wise in the way she manages the disposable income- she has made a concrete house, purchasing bi-cycle, and other items. Both husband and wife have opened an account in a reputed bank.

They have stopped working as a daily wage earner.

Through its work IDE-India has impacted the lives of million of small and marginal far mers like Manorama, there are several such success stories.

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Click on the pictures to view our films

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2. WATER APPLICATION DEVICES: These include range of devices including drip irrigation and sprinkler systems. The technologies are significantly low in cost when compared with commercially available systems, which removes the entry barriers for their adoption. They operate at very low pressure and require 60-70 percent less water when compared with traditional irrigation system.

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DRUM KIT

BUCKET KIT

INCOME MAXIMISER

A pre-assembled, pre-packaged drip irrigation kit to grow multinutritional vegetables for home consumption

A pre-assembled, pre-packaged drip irrigation kit to grow multinutritional vegetables for home consumption

Is a variant of the bucket kit, replacing the bucket with a low cost 20 Ltr double layered plastic bag.

CUSTOMISED SYSTEMS

MICRO SPRINKLER

IMPACT SPRINKLER

Low-cost drip irrigation system using thin walled lay flat tubes as laterals

A pre-assembled, pre-packaged drip irrigation kit for crop cultivation (mainly vegetables) for family consumption & earning

A low-cost, low-energy impact sprinkler specially designed to operate at low pressures

487

farm families were facilitated to adopt water application devices.

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Youth Speaks Up “I never imagined or dreamt that I would be able to do farming in my field. Few years ago, I drowned in debts; to eat one meal a day became a nightmare. My land came in for auction and I struggled beyond my ability for a secured income. But, today I dream for better fortune, assured income in farming with low-cost drip” Saravanan, 27 years old owns two acres of land. Life has never been a bed of roses for him from his childhood.

The water in the well was not enough for flood irrigation.

After losing his father during the teens, he dropped out from school and started work to support his mother and sister. He worked as an electrician under a building contractor on a daily basis for INR 60 which was not a secured job. Moreover, he had to travel long way to different places for work. His mother and sister went for household works with big farmers for cleaning their cattle shed; rearing and other small household works through which they were making little more than INR 100 per day.

Though, the family strove very hard to earn money the income was irregular and insufficient to meet out their basics. As a result, they were pushed to borrow money from a local money lender by pledging his land.

Finally, he was trapped into the hands of the local money lender who was pressurizing Saravanan for the money and the interest that he had borrowed.

A family friend, an old-time affordable drip user, encouraged Saravanan to irrigate his land with the available resources wisely by using low cost drip irrigation systems. Saravanan followed the advice and pulled out all his savings he had to install low-cost drip systems. Initially he irrigated only one acre of land by planting tapioca, which is the major seasonal and cash crop in the area. In his first harvest the yield was fabulous where he made a profit of INR 25, 000. Saravanan was amazed!

He immediately repaid the interest amount of the principal amount completely. Now Sarvanan's mother is not working anymore and the family's dream of self-sufficiency especially for food was getting fulfilled. Saravanan is planning to bring another acre of his land under drip and to cultivate more crops.

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Click on the pictures to view our films

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Sustainable Agriculture IDE-India recognizes that technology driven agriculture is just one of the ingredients needed to achieve sustainable rural livelihoods. Higher crop yields, reduced soil erosion, effective use of integrated fertilizer and pest management, for example by themselves are not enough. In order to identify different aspects IDE-India has conducted a constraint analysis.

The key constraints that emerged are illustrated and explained as below: Constraints may occur at one of three levels in the commodity chains within which smallholders operate: The input market - the enterprises and organizations that provide the goods, services, and information required for agricultural production.

The on farm - the household production unit that consumes inputs to cultivate crops for self-consumption and for sale to output markets.

The output market - the enterprises and organizations that provide the goods, services, and information required to move the small farm production from field to consumers at economically rewarding prices.

Constraints faced by smallholders typically fall into one or more of the following categories:

Technology - the technologies required to increase smallholder productivity, deliver the necessary inputs, and move outputs to markets.

Finance - micro credit needs of smallholders and capital needs of enterprises that serve the smallholder market.

Capacity: The knowledge, skills and expertise of smallholders and the enterprises that serve them.

Information - timely and accurate market information to aid in decision making including crop prices, market opportunities, product standards, regulations, etc.

Policy - the policy environment within which smallholders and small enterprises operate, and

Infrastructure - the physical and institutional infrastructure that facilitates market access and communication.

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A thorough analysis of constraints at each market level and in each constraint category will normally result in a long and daunting list of market constraints. In order to limit and focus the potential areas of intervention, constraints are prioritized to identify the “key logs in the logjam” that can unleash growth potential for large numbers of smallholders.

Such leverage points may be found by identifying nodes in the value chain where a small number of firms act as intermediaries for large numbers of smallholders, or by taking advantage of geographic clustering of similar enterprises or production systems, or by identifying policy levers that will remove constraints for many market actors at once.

Constraints are ranked and prioritized based on the potential impact on smallholder income and the number of smallholders affected. Based on the understanding of the constraints, IDE-India proposed to implement the model basis the following illustration:

CROP PORTFOLIO PLANNING

Cash needs

Increase cropping intensity spread risk Provide long term security

Long term security & stability

Border plantations/trees/ horticulture

Existing Crop Immediate

Selecting 2 existing crops Document best practices Identify cost reduction measures Build a campaign to promote

Micrro credit and farmer level & Capital needs of enterprises that serve small farmers

Identify farmers & what percentage they can pay Introduce small loans with flexible repayment schedules Identify technology & input providers as the point of delivery

New high value crops medium term

Identify new value crops Introduce through a campaign Reduce risk by multi cropping & facilitating by back arrangements (wherever possible) Eventually document best practiices & promote them

To promote sustainable agricultural products and practices Young agricultural Entrepreneurs and Champion Women Entrepreneurs (CWE) were identified, trained and established. During the year, 53 new CWE were established. (CWE) have been established till date who have in turn reached out about 27,184 farmers.

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Could there be a Better Story than Mine?

Nalin Mallik lives in Khajuripada block of Kandhamal district. There are eight family members living with her, this includes four brothers, one of whom is married with a wife and three children. Nalin herself is un-married but considers three nephews as her own children. As the family size had increased they were struggling to increase the land under vegetable cultivation. Using the tenda (traditional irrigation device), Nalin and her brothers were irrigating only 0.65acres of the total 1.5 acre land. They were cultivating paddy during the monsoon and four vegetables during the rest of the year using tenda. But increased financial and food demands of the family had started to build pressure on Nalin. Seeing her nephews unable to afford books and other education material was pulling Nalin and other family members down.

Nalin first learnt about the vegetable nurseries and bio-fertilizers and bio-pesticides from fellow CWE. She was already engaging in nursery cultivation albeit on a very small scale for her own self in the backyard. Seeing it as an opportunity to enhance her income, Nalin decided to expand her nursery and made enquiries about the crops she should start off with. CWE explained to her the advantages of expanding the nursery and establishing the sustainable agricultural products units. In order to irrigate the land she bought a treadle pump and started her journey of becoming a CWE.

In the picture: Nalin with her brother

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She increased the area under nursery to 120 m2 from her backyard and started growing high yielding hybrid varieties of seedlings like tomato, chilli, egg plant, cabbage and saplings of drum stick, papaya and banana during kharif, rabi and summer season. As taught to her, she also established vermiwash, bio fertilizer and bio pesticide units for her nursery and field.

COST OF CULTIVATION AND INCOME BEFORE & AFTER USING SAP PRODUCT BEFORE Name of the Crop

Cost of Crop INR

Paddy

AFTER Income from the crop (INR)

18,000

28,800

Cabbage

750

6,000

Brinjal

350

Beans Tomato

Total

Name of the Crop

Income from the crop (INR)

12,000

29,000

Cabbage

550

10,000

2,400

Brinjal

250

9,000

200

500

Beans

150

2,500

350

2,400

Tomato

200

8,500

Potato

950

17,500

Chilli

300

3,000

Radish

250

3,250

Leafy vegetables

100

3,000

19,650

Paddy

Cost of Crop INR

40,100

14,750

85,750

Nalin was in close contact with the CWE and never hesitated to ask questions if she faced any problem. Based on the encouragement derived from her Nalin went out and spoke to other farmers about her new enterprise. She talked about the advantages to using seedlings and how they mitigate risk when compared with using seeds. She is learning and will surely expand her business.

HER ADDITIONAL INCOME PER ANNUM FROM NURSERY BEFORE AND AFTER BEFORE Name of the Seedlings Income from crop and Saplings (INR) Egg Plant 560 Tomato 480 Cabbage 620 Chilli 590

Total

2,250

AFTER Name of the Seedlings and Saplings Egg Plant Tomato Cabbage Chilli Drum stick Banana Papaya

Income from Crop (INR) 950 900 1,280 1,030 980 1,045 8,300 14,485

Nalin is delighted as she can now meet with all educational needs of her nephews. She has already renovated parts of her house by constructing two concrete walls with a roof and plans to renovate her entire house as she will generate more income. She has bought a pair of bullock, bicycles, watch and agricultural equipment. She is happy.

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NOTE: Under each of the above-mentioned program, farmer outreach/ adoption is mentioned. Each of the numbers of farmer house hold are mutually exclusive. To exemplify, farmers who adopt treadle pump or drip irrigation system do cultivate vegetable crops and so do farmers who fall under the Sustainable Agriculture program, however each of the numbers mentioned are exclusive of each other.

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Social Returns on Investment The start-up's receiving investments from social investors measure returns on investment along three parametersprimarily along Social Returns on Investment, followed by Environment Returns on Investment, followed by Financial Returns on Investment. This has been the trend for more than one decade. Now even the Indian stock market comes with Environment Returns on Investment which meets triple calculation.

We emphasis that neither we nor our donor community gets any financial returns, but the stakeholders namely, associated micro, small and medium enterprises get financial returns on investment directly or indirectly through employment generation, increased productivity and income. We monetize all the impact and present it below for better clarity.

Critical SROI that IDEI measures are as follows:

657 Million litres

Employment

Diesel Savings

817 Million kWh

624 Million

1.1 Million

person days

person days

On Farm

Installation

Electricity Savings

6.1 Billion litres

0.6 Million

0.02 Million

person days

person days

Manufacturing

Retailer

Water Savings

Income 2.4 Million tCO2 Eq. Carbon Emission reduction

INR 145 Billion

Farmer Income Generated

*SROI is calculated cumulatively.

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31 Billion

8 Million

On Farm

Installation

64.5 Million

15.1 Million

Manufacturing

Retailer

Financial Excerpts

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Knowledge Partners

Awards and Recognitions

Skoll Award – 2005

Templeton Freedom Prize for Social Entrepreneurship – 2005

Skoll Award – 2005

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Ashden Award for Sustainable Energy – 2006

Clinton Global Initiative – 2008

Clinton Global Initiative – 2008

Ashden Award for Sustainable Energy – 2006

Who's Who Historical Society-2004

2000 Outstanding Intellectuals of The 21st Century

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Tech Awards - 2004, 2010 & 2016

Best Industrial Innovation

Ranked 75th on the World’s Top Best 100 NGOs

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The World Technology Awards

IPE CSR Corporate Governance Awards – 2012

Best Contribution to Society

Accolades: Bill Gates

Plasticon Award 2012

Zayed Future Energy Prize 2010

Accolades: Prof. M. S. Swaminathan

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International Development Enterprises (India) Plot No.10, Local Shopping Centre, Adjacent Bal Bhavan International School Sector-12, Dwarka, New Delhi - 110078