Reflecting a transition in the agricultural landscape of south Kerala, spearheaded by farmer collectives, farmers are voluntarily taking up entrepreneurship to propel them into higher earnings.
Dhanya JS, a 42-year-old dairy farmer is known as a food entrepreneur in her Ayira village of Parassala town in the Thiruvananthapuram district of Kerala. Starting with one tapioca product just a year ago, Dhanya now makes nearly 20 value-added products employing four full-time hands.
Her journey as an entrepreneur began when she casually walked into the Farmer Producer Organisation (FPO) office one day to enquire about poultry farming. Crediting her success to the strong support of the FPO, Dhanya says, “The enterprise has brought in a positive change in the quality of my life. My dream is to make it big as an entrepreneur with a full-fledged business unit.”
Meanwhile, when Russel Raj returned from the Gulf, he was forced to take up odd jobs to make a living. Belonging to a farmer family in Ambulikonam village of Karode panchayat in Thiruvananthapuram, he soon hit upon the idea of a mushroom unit.
Along with fostering entrepreneurship, Sahasradalam aimed to diversify the agri-based marketplace through a range of value-added products, which have a longer shelf-life and offer higher returns.
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He says, “Several times, I thought of giving up, but the FPO’s support held me back. We had to create awareness around the properties of mushrooms, which are rich in nutrients and low in calories. Mushrooms can also be used to make delicacies including payasam and cutlet.”
These farmer accounts reflect a transition happening in the agricultural landscape of south Kerala. Farmers are increasingly taking the entrepreneurial route through varied agri, allied and non-farm businesses to enhance incomes and improve their overall quality of life. Led by farmer collectives, they are voluntarily taking up entrepreneurship as a parallel activity to propel them into a higher income bracket.
What started as an experiment anchored by a cluster-based business organisation (CBBO) called the Centre for Innovation in Science and Social Action (CISSA) in the capital district of Thiruvananthapuram, the project ‘Sahasradalam’ is scripting several successes among small and marginal farmers.
It is noteworthy that this shift from farmer to entrepreneurship has the blessings and backing of multiple stakeholders. The project created organic collaborations between the Government of India schemes, the Industries and Agricultural Departments of the Government of Kerala, and the banking sectors.
It was in February 2024 that CISSA collectivised shareholder farmers belonging to nine FPOs under the Small Farmers Agribusiness Consortium (SFAC) in rural parts of Thiruvananthapuram and conducted entrepreneurship workshops as well.
Also read: ‘More than my food business, it’s about uplifting my community’
These workshops were attended by officials from the State Industry, Agriculture, Animal Husbandry departments, bank officials, and experts from CISSA. Various schemes such as PM Formalisation of Micro Food Processing Enterprises (PMFME); Prime Minister’s Employment Generation Programme; Agriculture Infrastructure Fund (AIF) and State Horticulture Mission (SHM) were explained, along with loans available to farmers. Farmers’ doubts were cleared within the workshop.
Minister of State V. Muraleedharan formally launched the project at Nedumangad, Thiruvananthapuram on March 6, 2024. As many as 349 enterprises were sanctioned loans at the inaugural function.
Dr Sureshkumar C, General Secretary, CISSA and the brain behind Sahasradalam, says, “Sahasram in Sanskrit means thousand. Our aim is to create 1000 enterprises. The project aims to create a thriving ecosystem where small businesses can flourish, contributing to the broader goal of economic prosperity among farmers.”
After the workshops, the FPOs took over. The chairpersons, directors and CEOs individually contacted each potential farmer-entrepreneur to discuss their project and prepare project reports. The reports were then submitted to the bank with the support of officials from the Kerala Industries Department. The FPOs handheld the farmers and provided all technical advice regarding technology, machinery and marketing plans, and supported them until their units were established.
Says Shri S Ramachandran, State Coordinator, Sahasradalam, “Once we understood that the farmers were keen on entrepreneurship, we leveraged all available Central and State Government schemes to provide access to funds and the necessary know-how.”
Adds Dr Sureshkumar, “Along with fostering entrepreneurship, Sahasradalam aimed to diversify the agri-based marketplace through a range of value-added products, which have a longer shelf-life and offer higher returns. While the quantum of support may seem small from a macro perspective, it is proving to be transformative in the lives of rural farmers.”
“The project Sahasradalam has shown promising initial results with the setting up of 600 individual and group enterprises covering food, agri-allied sectors and non-farm enterprises across nine block panchayats of the capital district. Loan amounts varying from Rs 50,000 to Rs 15 lakhs have been provided to farmers to set up their enterprises. Of the farmers who have set up enterprises, 80% have reported an increase in income to the tune of Rs 2000 to 25,000 per month,” says Dr Sureshkumar.
“Along with the tangible increase in income and assets, we are able to see a definitive improvement in the quality of lives of the farmers. It is heartening to note that 50% of the enterprises have been set up by women,” he adds.
The success of the initiative has led to its replicability in the neighbouring districts of Kollam and Pathanamthitta where over 350 and 200 farmers respectively have turned entrepreneurs.
Also read: Women reap success with rice seed business in Odisha
Rema Sundar is a development sector professional.
The lead image at the top shows Krishnamma of Parapparamukal village of Thiruvananthapuram with her poultry unit. (Photo courtesy of CISSA)
