AR 2019-20 by Ankita Khare

ANNUAL REPORT 2019 - 2020 1

Contents 1.

From the CEO’s Desk

About Us

Geography and Reach

Our Approach

Water Lifting Devices

Water Application Devices

Sustainable Agriculture

Social Returns on Investment

Financials

10.

Knowledge Partners

11.

Awards & Recognition

FROM THE CEO’s DESK “Every time you tear a leaf off a calendar, you present a new place for new ideas and progress”, Charles Kettering. I am so happy to present to all of you our annual report for the year 2019-20. Despite several bumps, visiting the fields and conducting meetings with farmers, has been one of the highlights of this year. After long discussions, debates, identifying high value and low maintenance crops, nailing down the critical needs from the entire spectrum of challenges- ranging from irrigation to seeds to markets could be counted as but few achievements of the year. Impact of climate change have started to show up in different regions now. In my observation, unusually large number of cyclones, depleting water tables, extreme temperatures are few patterns that exemplify undesirable changes. As a result, there are geographies which now require promotion of use of water application devices, unlike before, so we promoted. The required supply chains were established and work started. Our efforts to provide relief to small and marginal farm families continue unabated. In order to expand its work IDE-India continues to implement the market-based approach on the one hand and leverage government schemes and programs on the other. This allows for a synergistic engagement and open up possibilities of bringing about a systemic and sustainable change. Inside the report you can read more about the progress we have made in each of our programs. We at IDE-India are confident that through economically and environmentally sustainable development the lives of small and marginal farmers, of their families will be permanently enriched.

Amitabha Sadangi Chief Executive Officer: IDE-India

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. It is a member of the ECOSOC (Economic and Social Council) of the United Nations. Since inception, IDE-India has focused on working with small and marginal farmers and developed affordable solutions, especially irrigation technologies. These solutions have reduced the dependence of these small and marginal farmers on “water lords” and made small plots more productive.

Building on its fundamental belief system, that this bottom of pyramid population is not a mere- poor recipient of charity, instead farmer entrepreneurs waiting to unleash their potential, IDE-India has always applied markets as delivery channel for all its solutions. A customer base of more than 1.5 million farm household, validates that development and delivery of need based, affordable solutions has enabled these farmer households to become entrepreneurs. They are breaking free from poverty and establishing a new trajectory of sustainable income, prosperity, and growth.

Vision To reduce income poverty, hunger and malnutrition among the rural poor.

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.

Goal To enable prosperity in the lives of 5 million small and marginal farm families by 2030.

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 Bihar

Madhya Pradesh

Odisha Maharashtra

Andhra Pradesh

Tamil Nadu

Assam

Uttar Pradesh 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. Private sector is taking forward the mission of providing affordable irrigation solutions to the small and marginal farmers. They follow the market-based approach and delivery the solutions.

IDE-INDIA: REACH BENEFICIARIES

DIRECT

INDIRECT

Treadle Pump Farmer

13,330

62,651

Drip Systems Farmers

4,874

22,908

Sustainable Agricultural Practices Farmers

12,221

57,439

TOTAL

30,425

1,42,998

DIRECT BENEFICIARIES:

INDIRECT BENEFICIARY:

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.

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.

OUR APPROACH 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 that local private sector comprising of manufacturers, distributors, retailers and installers to

Following this approach, IDE- India strives to make the technologies and services accessible to even the poorest farmer by address the following factors:

Poverty 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 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.

Price 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 ensued increase in quality and reduction of prices.

Promotion Effective promotion strategy is central to creating a groundswell of demand leading to a force multiplier and wild fire impact.

Place 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 IDE- India focusses on village markets that are close to where the farmers live.

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 10

make available technologies/ services available at affordable yet fair to supply chain members to the small and marginal farmers.

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

about the technology and services. The money spent on awareness creation is subsidized through donor grants. IDE-India does not buy or sell any product nor does it make any financial investment or profit in the markets.

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

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.

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.

13,330

farm families were facilitated to adopt water lifting devices.

litres/ hour water (depending on body weight) and irrigated up to one acre of vegetable farm.

This includes those promoted under the state government- Government of Odisha's subsidy scheme in which 90 percent subsidy is offered on the purchase of the treadle pump for small and marginal farmers.

A SUDDEN CHANGE OF FORTUNE BREEDS PROSPERITY the mood in Manik's home, their misery seemed never ending.

“In my grandparents' time, my parents' time, and even my time, we had this idea to take water from the canal for our crops. Irrigating my land was a major constraint. With the hike in fuel prices, we were not being able to make ends meet using the diesel pump. Hiring costly diesel pumps only added to our woes. For long I had a feeling that there was no way to escape from this economic hardship. But after learning about treadle pump, life has changed for the better. Now, I can grow multiple crops, providing food and income to my family. My wife can easily operate this light weight treadle pump, decreasing the labour required to fetch water. Today, my children go to school and we eat vegetables every day,” says a contented Manik Das, farmer from Assam. Till just a few years back, Manik was at his wits' end trying to eke out a decent living. Growing just the monsoon crop on his less than a hectare patch of land, he was earning barely enough to feed his family of six. After buying just enough food to keep his family from starving, there was nothing left for medicine, new clothes for his children or savings. While apathy is the appropriate word to describe

It was during one of his visits to the market, that he came upon a demonstration of human powered pump lifting water. He learnt from IDE-India staff that this device is suitable for pumping water to crops. Manik admiring the shiny red treadle pump realised that this could be a reliable irrigation system to grow crops all year round rather than wait for the monsoon. He knows that if he doesn't find a solution to irrigate his less than a hectare plot of land in the coming days, he and his family will lose everything. Later in the day, he eagerly described to his wife about pump. Borrowing money from a local moneylender, he got one for himself. And the results were dramatic: ridged gourd, cucumber, ladies finger, onion, chilli and pumpkin – the farmer irrigated all these crops with the treadle pump. Manik was overjoyed as the yield was tremendous. The bountiful harvest generated higher income for the farmer – the seasonal farm income rose from INR 5,000) to INR 25,000 in first year. The farmer enthusiastically said that this little device is not just a water pump, but the source of sustenance for him and his family. The magic of irrigation boosting productivity through better nourished crops, and through additional crops in dry seasons of the year transformed Manik's days of despair into optimism. Family nutrition has become a lot more adequate. There is additional food for household consumption and for market distribution as well. He has purchased livestock and has started to reconstruct his house. He plans to purchase land to cultivate more crops. He has opened an account with a local bank and has invested in an insurance policy securing the future of his two sons and two daughters.

REELS

The Cliff Edge

Deep Down on to Surface

Red Horse

My Hands are at Rest 17

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.

DRUM KIT

BUCKET KIT

INCOME MAXIMISER

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

4,874

farm families were facilitated to adopt water application devices.

CHOOSING RIGHT TECHNOLOGY IS THE KEY TO AGRICULTURE the crops dried up due to sparse water. Ground water level depleted at a much faster rate and the crops turned to look alike of black ashes. He acquired a heavy loss and Mani could not repay the loan. With huge debt of Rs.2 lakhs one meal a day became difficult. With no option left, Mani started off as labour again. To meet the financial pressures, this time his wife also joined him. Both of them tried hard to support themselves.

“Cotton used to be one of the toughest crops to cultivate with more expenses and less profit with the water scarcity problem and adverse climatic conditions it has always been a battle to get a proper yield and income”: Says Mani Salem, whose district is a prone to drought. Mani owns two acres of land in Sirivachiyur, inhabited village. Ever since his upbringing he engaged himself as daily labour. Over the years he worked hard and bought two acres of land. The ground water level was inadequate, which decreased every year. He tried to increase the depth but never succeeded. Consequently, cultivated cotton; considering available resource. On loan from local money lender managed the preliminary plantation expenditures. With everything seemingly in place he started off with the cultivation and was happy with the progress in first few months, but then

Mani's wife on a casual talk with the co- worker became aware of buy- back arrangements with a cotton factory. She shared the information with her husband but Mani was reluctant to reinvest in agriculture. Upon his wife's insistence Mani met with the factory officials who in turn recommended drip system to cultivate cotton. This was new for Mani and so he made enquires in the local market and discovered very high cost of product and dropped the idea of purchasing. But Mani's wife pursued him. Incidentally, she met with a friend owner of plumbing shop and enquired about low-cost drip system. Negotiating her husband's apprehension about a low cost system would definitely be low on quality as well and so not worth it, his wife insisted on one trial. At last, Mani tried and installed low cost drip system. The results were unbelievable for Mani as the growth of the plant was tremendous and the best part was that very little weeding was required. Mani saved money in labour, fertilizer and weeding too. The yield was approximately 800kg/acre. The factory officials offered better price more than Rs.50,000 for the enriched growth. The revenue was implausible which helped Mani to educate his children. He moved his son from government school to an English medium school. He also signed a contract with the factory for five years and extended low cost drip for another once acre. Mani confesses he started smiling after using low cost drip.

REELS

Convent School Eduction

Green Cap of Cheer

Claws of a Tigress

Where There is a Will There is a Way 23

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 selfconsumption 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.

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

IDE-India has adopted the model of training local farmers and establishing a cadre of trained young people and women for delivery of this program. This will help build sustainability in the program. During the year, 49 new CWE were established. They have in turn reached out about 12, 221 farmers. 26

CHANGING FORTUNE

Kalpana a CWE, was raising vegetable seedlings only during monsoon on a small part of her field for herself. On her one acre of land she was cultivating paddy and few vegetables. Income from these sources and work as daily wage earners helped the family sustain themselves. One day, Kalpana was sitting and cursing her life for not getting work as causal labourer and that day, when she came across a farmer training. During the training, IDEIndia staff was giving a demonstration on treadle pump (TP). She was impressed and excited as there was an open well near her field. Kalpana gathered all her savings and bought the TP. Kalpana started to cultivate more vegetables facilitated by IDE-India staffs where they discussed the aspect of entrepreneurship. By attending

training program, she learnt about scientific method of nursery raising and management of both seedlings and saplings. She learnt about crop selection and varieties for different seasons. Simultaneously, TP facilitated her in irrigating the nursery and cultivated land with less effort which encouraged her to expand the area of nursery and cultivated land round the year. She started to cultivate high yielding varieties of tomato, eggplant, cabbage, cauliflower, chilli and drum stickPKM-1, papaya-red lady and lalpuri, banana-G-9 during Kharif, Rabi and Summer season. Use of sustainable agricultural products such as plant nutrient, bio fertilizer and bio pesticide helped her reduce the cost of cultivation.

COST OF CULTIVATION AND INCOME BEFORE & AFTER USING SAP PRODUCT Before

A er

Name of the Crop Cost of Crop INR

Income from the crop (INR) Name of the Crop Cost of Crop INR

Income from the crop (INR)

Paddy

1600

8,400 Paddy

750

9,250

Okra

650

2,040 Okra

300

3,200

Ridge Gourd

400

1,300 Ridge Gourd

150

1,100

Cowpea

450

1,540 Cowpea

250

3,750

Pumpkin

300

1,080 Pumpkin

100

1,800

Tomato

2, 250

750 Tomato

950

2,100

Eggplant

1, 500

970 Eggplant

800

7,200

Cauliﬂower

700

6,500

Cabbage

550

4,500

Chilli

400

3,300

Pointed Gourd Total

7,150

16,080

350

4,750

5,300

47, 450

Her addi onal Income per annum from Nursery before and a er Before

A er

Name of the Seedlings and Saplings Income from crop (INR) Name of the Seedlings and Saplings

Income from Crop (INR)

Egg Plant

360

Egg Plant

950

Tomato

240

Tomato

840

Cabbage

850

Cabbage

1,290

Cauliﬂower

960

Chilli

840

Drum S ck

1,040

Cauliﬂower

1,360

Drum s ck

2,000

Banana

5,000

Papaya

3,000

Total

3,450

15,280

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.

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:

659 Million litres

822 Million kWh

Diesel Savings

Electricity Savings

2.4 Million tCO2 Eq.

INR 145 Billion

Carbon Emission reduction

Water Savings

Farmer Income Generated

Employment

Income

INR

624.5 Million

1.17 Million

31.3 Billion

8.1 Million

person days

On Farm

Installation

On Farm

Installation

0.65 Million

0.02 Million

65.7 Million

15.4 Million

person days

Manufacturing

Retailer

Manufacturing

Retailer

*SROI is calculated cumulatively. 32

6.2 Billion litres

FINANCIAL EXCERPTS

KNOWLEDGE PARTNERS

AWARDS AND RECOGNITIONS

Templeton Freedom Prize for Social Entrepreneurship – 2005

Skoll Award – 2005

Ashden Award for Sustainable Energy – 2006

Clinton Global Initiative – 2008

Ashden Award for Sustainable Energy – 2006

Who's Who Historical Society-2004

2000 Outstanding Intellectuals of The 21st Century

Tech Awards - 2004, 2010 & 2016

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

The World Technology Awards

IPE CSR Corporate Governance Awards – 2012

Zayed Future Energy Prize 2010

Plasticon Award 2012

Best Industrial Innovation

Accolades: Prof. M. S. Swaminathan

Best Contribution to Society

Accolades: Bill Gates

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