...Integrating a Value Chain Perspective in Small Scale Enterprise Development TRAINING SCHEDULE November 19-30, 2012 Rural development generally includes supporting local people’s livelihoods through income-generating activities and small-scale enterprises. Previous program experiences point to the importance of building local entrepreneurship capacity, establishing business organizations, and enabling access to key institutional support services. New challenges have emerged that influence success of these development efforts such as: 1) managing the impact of emerging markets on rural producers and consumers, 2) improving competitiveness and efficiency of small-scale enterprises, and 3) promoting equitable gender sensitive contributions and benefits among stakeholders including private sector. More recently, value chain approaches have been explored to bring more benefits to rural producers through better market links. Course Description The course focuses on integrating a value chain perspective in rural development, and how this conceptual and methodological framework can enhance program strategies for sustainable livelihoods, profitable small scale enterprises and socially responsive private sector. Learning content includes: basic principles and concepts of value chain development, practical methods and tools in integrating value chain perspective in rural development programming, and lessons learned from case studies on linking rural enterprises to dynamic value chains. The...
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...SOLUTION 3.BENEFITS 4.HUL-PROJECT SHAKTI PRESENTATION TRANSCRIPT 5.SUPPORT SHAKTI. 6.MARKET LINKAGE FOR RURAL PRODUCTS 7.INDUSTRY ROLE IN BUILDING MARKET LINKAGES 8.SCOPE AND OPPORTUNITIES 9.LITERATRURE REVIEW 10.CONCLUSION 11.REFERENCES AND BIBLIOGRAPHY Introduction Rural products of India are unique, innovative and have good utility and values. Large number of these rural products (like handicraft items, food products, embroidery, clothes & other products) sustains a significant segment of the population in the rural areas. Several attributes of rural products can be identified, for which, it has a demand in the market. Out of the lots, ‘ethnic origin’ and ‘indigenous design & appearance’ are two traits of rural products, attracting a premium in the market. But, contrary to this, the non-uniformity of rural products (from one another) and lack of its quality control measures has been creating a negative demand. Besides, the small sized and dispersed production units of these rural products hinder realization of the economies of scale in marketing and result in high transaction costs per unit of output. Niche-based products have no local market. Products in local use are also not marketed horizontally; they often first travel down to market through a long chain of intermediaries and then up to more difficult locations in the rural areas. In...
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...SHAKTI. 6.MARKET LINKAGE FOR RURAL PRODUCTS 7.INDUSTRY ROLE IN BUILDING MARKET LINKAGES 8.SCOPE AND OPPORTUNITIES 9.LITERATRURE REVIEW 10.CONCLUSION 11.REFERENCES AND BIBLIOGRAPHY Introduction Rural products of India are unique, innovative and have good utility and values. Large number of these rural products (like handicraft items, food products, embroidery, clothes & other products) sustains a significant segment of the population in the rural areas. Several attributes of rural products can be identified, for which, it has a demand in the market. Out of the lots, ‘ethnic origin’ and ‘indigenous design & appearance’ are two traits of rural products, attracting a premium in the market. But, contrary to this, the non-uniformity of rural products (from one another) and lack of its quality control measures has been creating a negative demand. Besides, the small sized and dispersed production units of these rural products hinder realization of the economies of scale in marketing and result in high transaction costs per unit of output. Niche-based products have no local market. Products in local use are also not marketed horizontally; they often first travel down to market through a long chain of intermediaries and then up to more difficult locations in the rural areas. In the process, the people in rural areas suffer from both low prices as producers and high prices as consumers. In this conflict, rural products loss its equilibrium...
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...were used for the development of small and meduim scale enterprise, which has been described as the springboard for sustainable development. In all emerging economies like Nigeria, the government has shown a great concern for the development of small and meduim scale enterprise because of the underlying socio economic factors plaguing the nation. some of the reasons include: the past policies failed to generate efficient self sustaining impetus needed to uplift the country to the ‘take-off’ stage of growth, the increased emphasis on self-reliant approach to the development and the recognition that dynamic and growing petty-business can contribute substantially to a wide range of developmental objectives. However, the full potential of the micro business in the development process have not been realized owing to numerous bottlenecks. In the light of this, the Central Bank of Nigeria (CBN) as part of its reform agenda, initiated Micro Finance Banks, a policy initiative aimed at bringing credit to the door step of the poor who do not have such access under the conventional financial system. The thrust of this project is to articulate the prospects of the micro finance banks towards boosting the performance thereby reducing the level of poverty and enhancing employment generation. Micro finance banking institution were conceived and came into been in December 2007. It was packaged to address the issue of cultivating appropriate modern banking habits in the rural area, through the...
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...IMPACT OF RURAL BANKING ON RURAL FARMERS IN UGANDA. CASE STUDY OF KABALE DISTRICT. BY NAMARA MARTHA 10/U/15158/EVE 210006079 A RESEARCH PROPOSAL SUBMITTED TO THE SCHOOL OF STATISTICS AND APPLIED ECONOMICS FOR THE PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF BACHELOR OF ACTUARIAL SCIENCE DEGREE OF MAKERERE UNIVERSITY. TABLE OF CONTENTS Contents CHAPTER ONE 4 INTRODUCTION 4 1.0 INTRODUCTION 4 1.1 BACKGROUND TO THE STUDY 4 1.2 STATEMENT OF THE PROBLEM 4 1.3 THE AIM OF THE STUDY. 5 1.4 OBJECTIVES OF THE STUDY 5 1.5 RESEARCH HYPOTHESIS 5 1.6 RESEARCH QUESTIONS 5 1.7 LIMITATION OF THE STUDY 6 1.8 ORGANIZATION OF STUDY 6 1.9 SIGNIFICANCE OF THE STUDY 6 CHAPTER TWO 7 2.0 LITERATURE REVIEW 7 2.1 STRUCTURE AND PERFORMANCE OF RURAL AND MICRO FINANCE INDUSTRY 7 2.2.0 RURAL AND COMMUNITY BANKS (RCBS) 9 2.2.1 SAVINGS & LOANS COMPANIES 10 2.3 NON-GOVERNMENTAL AND COMMUNITY-BASED ORGANIZATIONS 10 2.4 INFORMAL FINANCE 11 2.4.1 MONEYLENDERS 11 2.4.2 TRADERS 12 2.5 GOVERNMENT CREDIT PROGRAMS 12 2.5.1 INTEREST RATES 13 2.5.2 SECURITY 13 2.5.3 THE NEED FOR THE RURAL CREDIT 14...
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...Problems in developing small scale enterprises in Bangladesh There are a huge number of problems in the question of developing small scale enterprises in Bangladesh, which are discussed below: Individuality: Maximum small scale enterprises are owned by the individuals and an individual has obviously some limitation. Lower Per Capita Income: Per capita income of our people is low and for this reason our people are not being able to generate adequate capital to run the business efficiently. Unskilled Human Resources: Human resources of our country are not skilled this is a problem with developing small scale enterprises in Bangladesh. The economic environment of our country is not hundred percent suitable for operating the business another cause of the restrictions. Excessive import of foreign product: Excessive import of foreign product in our country is another reason cause when the people of the country will be mainly dependent on the imported product then the entrepreneurs will loose their interest to develop small scale enterprises. Political instability: Political instability of our country is another reason for developing the small scale enterprises rate slow. Political environment of our country is not suitable enough to run the efficient business in our society. Deterioration of Morality: Public moral is getting down means most of our people are loosing their moral and for this reason developing small scale enterprises in Bangladesh is not so easy like the other...
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...A REVIEW OF RURAL FINANCING IN INDIA SHUBHAM TRIVEDI & PRIYANKA SINGH MBA IB, UPES DEHRADUN ABSTRACT Talking about the Today Scenario, Financial Institutions are focusing on the improving system for Finance in Rural Areas. As on the day when Narendra Modi's Government came on the rule, it has already focused on increasing the number of branches of Commercial Banks in rural areas in order to provide better financial services to the people residing in such areas. Moreover the interest rate of financing in rural areas should be kept low as in comparison to that financing in urban areas and moreover the time period should be increased. As we can see that previously Agriculture was one of the main sources of income of people but now the fact has changed. As people are migrating to urban areas in search of jobs where they could get more amount of money in order to fulfill their basic necessities. This is because we can consider due to changing weather conditions in India as production level has gone down due to less rain. Thus in order to encourage growing of agricultural products, the Government should take initiative in increasing the finance in order to cope up these different situations that the country is facing. Now the State Government of Uttar Pradesh has taken the initiative. As this year due to heavy rains in most parts of Uttar Pradesh, the crops were destroyed and moreover the farmers were at loss and thus even resulted in...
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...for Agriculture and Rural Development (NABARD) is an apex development bank in India having headquarters based in Mumbai (Maharashtra)[3] and other branches are all over the country. The Committee to Review Arrangements for Institutional Credit for Agriculture and Rural Development (CRAFICARD), set up by the Reserve Bank of India (RBI) under the Chairmanship of Shri B. Sivaraman, conceived and recommended the establishment of the National Bank for Agriculture and Rural Development (NABARD). It was established on 12 July 1982 by a special act by the parliament and its main focus was to uplift rural India by increasing the credit flow for elevation of agriculture & rural non farm sector and completed its 25 years on 12 July 2007.[4] It has been accredited with "matters concerning policy, planning and operations in the field of credit for agriculture and other economic activities in rural areas in India". RBI sold its stake in NABARD to the Government of India, which now holds 99% stake.[5] NABARD is active in developing financial inclusion policy and is a member of the Alliance for Financial Inclusion History NABARD was established on the recommendations of Shivaraman Committee, by an act of Parliament on 12 July 1982 to implement the National Bank for Agriculture and Rural Development Act 1981. It replaced the Agricultural Credit Department (ACD) and Rural Planning and Credit Cell (RPCC) of Reserve Bank of India, and Agricultural Refinance and Development Corporation (ARDC). It...
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...Chapter 3 SMEs IN INDIA: ISSUES AND POSSIBILITIES IN TIMES OF GLOBALISATION Keshab Das Abstract With an impressive history of small firm development policy, in post-Independence India SMEs dominate the industrial scenario through its contribution to generation of employment and income as also tackling the problem of regional disparities. Given the imperatives of globalization, although in certain sectors strong external orientation could be observed even by the early 1980s, it is since 1991 that the small firm policy (and since late 2006, for the MSMEs, including the ‘medium’ for the first time) in India has been keenly pursuing policies that emphasize the importance of internationalization, trade and inter-dependence in the spheres of innovation, learning, market and business strategies. An examination of the performance of the small enterprises has been attempted here, underscoring the. unimpressive performance and composition of exports and the widespread efforts at SME cluster promotion without a sound regional development perspective. Despite an elaborate and dynamic policy framework, the progress of Indian SMEs continues to be hindered by some of the basic constraints as poor credit availability, low levels of technology (hence, low product quality and limited exportability) and inadequate or no basic infrastructure, both physical and economic. It is too early to assess the impact and effectiveness of a plethora of new policy measures, announced very recently. Through a...
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...Report No. - IN INDIA Scaling-up Access to Finance for India’s Rural Poor September 6, 2004 FINANCE AND PRIVATE SECTOR DEVELOPMENT UNIT South Asia Region Document of the World Bank TABLE OF CONTENTS EXECUTIVE SUMMARY I. INTRODUCTION 2 India’s Rural Finance Landscape 4 What are the financial needs of the rural poor? 4 Rural finance service providers 5 II. ACCESS TO RURAL FINANCE IN INDIA: THE EVIDENCE 8 Supply Side Indicators of Access to Finance 8 Access to Rural Finance: Evidence from the Demand Side 12 Access to savings/deposit accounts 14 Payments Services – Limited use, high cash economy 15 Access to Credit 15 Access to Insurance 17 The Importance of Informal Finance 17 III. WHAT CONSTRAINS ACCESS TO FINANCE FOR INDIA’S RURAL POOR? 19 Why Banks Are Reluctant To Lend to Rural Clients 19 Lack of credit information. 20 The tyranny of collateral 20 Weak legal framework and enforcement issues. 21 Government policy 21 Why Do Small, Rural Borrowers Find Rural Banks Unattractive? 26 Absence of flexible products and services 26 Transactions costs 26 Collateral 27 IV. RECENT EFFORTS IN INDIA TO IMPROVE RURAL ACCESS TO FINANCE: THE ROLE OF FORMAL—INFORMAL LINKAGES AND NEW PRODUCTS 28 SHG-bank Linkage Approach: Linking Commercial Banks to Grassroots Borrowers 28 How Effective Has SHG Bank Linkage Been in Targeting the Poor? 30 Impact on vulnerability of poor households...
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...company’s Millennium Plan an ambitious blueprint outlining the company’s growth strategies for the 21st century. The Millennium Plan was a part of the company’s renewed emphasis on business focus and operational efficiencies. Additionally, a core aspect of the Plan was to identify and nurture businesses of the future. Over 150 new businesses were proposed before the list was narrowed down to nine. These included a foray into drinking water, a plan for network-based marketing (along the lines of Amway) and an entry into retailing herbal therapy products and services through a chain of therapy centers. Perhaps the most interesting, though, was an initiative called Shakti, which aimed to extend the reach of HLL’s products to the 742 million rural consumers in 637,000 villages at the base of the economic pyramid, a market not well-served by HLL at the time. NO T On August...
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...Rural demand for, and consumption of, consumer products is set to explode. The challenge for most companies is to be able to offer appropriate products in an affordable way in relatively remote locations. It is our view that India will soon see an inflexion point in rural consumption.1 Mr. K.B. Dadiseth, Hindustan Lever Limited Chairman On August 30, 2004, Hindustan Lever Limited’s (HLL) share price on the Bombay Stock Exchange touched Rs.100.5 (US$ 2.28) - a new low for one of the largest Indian companies by market value (see Exhibit 1). In its Q2 2004 results, HLL’s bottom line had fallen by 43% due to price pressures in its mainstay detergents business. Procter & Gamble, its long-time nemesis, had unveiled a series of price cuts on its leading detergent brands, Ariel and Tide, forcing HLL to respond. As a consequence, operating profit margins, which had peaked in 2002 at 19.6%, declined to 14%.2 Furthermore, although the mergers, restructuring, and operating changes that HLL underwent in the 1990s had helped profits grow through 2003, the company’s top-line growth had remained more or less stagnant over the past few years, causing some analysts to re-align their portfolios. In fact, since 1999 revenues at HLL had remained nearly constant, an outcome stockholders had not welcomed. With this lack of growth, increasing attention was directed to the company’s Millennium Plan - an ambitious blueprint outlining the company’s growth strategies for the 21st century....
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...RURAL BANKING IN UGANDA: IT’S IMPACT ON RURAL FARMERS (A CASE OF UNYAMA) BY HENRY EGYEYU Reg N0: 07/U/456/BAK/PS MAY, 2012 DECLARATION I Henry Egyeyu, hereby declare that this research report is my original work and to the best of my knowledge, has never been published and submitted for the award of any degree in any University or Institution before. Sign ……………………………………………….. Date ……………………………………………... Henry Egyeyu Reg No: 07/U/456/BAK/PS APPROVAL This research papers under the topic “Rural Banking in Uganda: It’s Impact on Rural Farmers” Has been under my supervision and is now ready for submission with my approval. Sign: ……………………………………… Date: …………………………………. Mr. Ambrose Eger Supervisor DEDICATION To the memory of my late grandfather Daniel Egyeyu Whose love & enthusiasm for academia first kindled mine? ACKNOWLEDGEMENT Achievement often sets off a chain reaction. Those who earn awards in various disciplines in their careers inspire us in turn to strive and excel with hard work and deeds of succession. That has been true of the process of writing this dissertation I am grateful for the motivation of Geoffrey Epolu at guluuniversity@AR.com whose question, “Do you want to graduate?” first got me started. Paul Onyango Delewa, lecturer at Gulu University, read the first script and encouraged me to go on with the dissertation. Ambrose Eger as he had always done before, made sure that what I researched communicated my...
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...natural water systems deliberately for more than a single use. In many rural and urban areas, domestic water networks are used for small-scale productive activities. Similarly, irrigation systems are often de facto providing large amounts of water within their command areas that facilitate access to water for many other uses through recharge of surface streams and groundwater. Lastly aquatic systems (wetlands including rice-based systems) provide many critical productive and ecosystem services to nearby populations (World Water Council, 2009). A recent analysis of large irrigation systems has shown that the vast majority (more than 90%) of irrigation schemes are being used for a range of uses that go well beyond the production of crops for which they were designed (Renault, 2008). Fortunately, a multiple-use services (MUS) concept continues to emerge as an increasingly effective alternative approach to providing water services for the full range of uses, aiming to meet people’s multiple water needs in an integrated manner. MUS can be understood as a participatory, integrated and poverty-reduction focused approach in poor rural and peri-urban areas, which takes people’s multiple water needs as a starting point for providing integrated services, moving beyond the conventional sectoral barriers of the domestic and productive sectors (Smits et al, 2008). Objectives of MUS The main objective of the MUS approach is to try and meet the full range of people’s water needs. These include...
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...THE WILLIAM DAVIDSON INSTITUTE 06 November 2006 case 1-428-604 Rural demand for, and consumption of, consumer products is set to explode. The challenge for most companies is to be able to offer appropriate products in an affordable way in relatively remote locations. It is our view that India will soon see an inflexion point in rural consumption.1 Mr. K.B. Dadiseth, Hindustan Lever Limited Chairman About Hindustan Lever Limited Hindustan Lever Limited began operating in India in 1888 with the distribution of its “Made in England” Sunlight detergent. In 1931, when India was still a British colony, Hindustan Vanaspati Limited was formed as a 100% subsidiary of Unilever in India. It primarily sold soaps, detergents, and other household products to a select group of affluent consumers, such as British government employees and the Indian elite. In Research Assistant Maulin Vakil and Professor Ted London of the University of Michigan developed this case. They thank Vijay Sharma and Rohithari Rajan of Hindustan Lever for their assistance.© 2008, Ted London. DO In fact, since 1999 revenues at HLL had remained nearly constant, an outcome stockholders had not welcomed. With this lack of growth, increasing attention was directed to the company’s Millennium Plan an ambitious blueprint outlining the company’s growth strategies for the 21st century. The Millennium Plan was a part of the company’s renewed emphasis on business focus and operational efficiencies. Additionally...
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