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Agrahichasi FPO’s Transformative Journey

Agrahichasi FPO: A Model for Sustainable Agricultural Development

Background:
The Agrahichasi Farmer Producer Organization was established in the Golamunda Block of Kalahandi District, Odisha, as a direct response to the hardships faced by the local farming community. For decades, farmers in the region relied on rain-fed paddy cultivation during the
Kharif season due to the lack of irrigation facilities. This limited their agricultural output, forcing many to migrate to other states in search of better livelihood opportunities. While a few progressive farmers experimented with vegetable cultivation – growing tomatoes, chili, and bitter gourd on small plots – their efforts were hindered by distress sales, disorganized marketing practices, and a lack of technical expertise in advanced farming methods. These persistent challenges underscored the need for an organized and collaborative approach to improving agriculture in the region.

Intervention:
Recognizing the dire need for change, NABARD initiated the formation of the Agrahichasi FPO in December 2022 under the Central Sector Scheme for the Formation and Promotion of 10,000 FPOs. 

Partnering with the Mahashakti Foundation as a Cluster-Based Business Organization, the initiative adopted a cluster-focused strategy to support the cultivation of high-demand crops such as tomatoes, bitter gourd, and chilies. The farmers were provided with extensive training on modern agricultural practices, post-harvest management, and market engagement strategies. Additionally, licenses for the distribution of essential agricultural inputs such as seeds, fertilizers, and pesticides were obtained, ensuring that farmers had access to quality resources at their doorstep.

The intervention also prioritized building market linkages to secure fair prices for farmers’ produce. With financial backing from NABARD, which sanctioned ₹18 lakh to cover management costs, the FPO expanded its reach across 23 villages in 8 Gram Panchayats, attracting 260 shareholders. Through the sustained guidance of Mahashakti Foundation and district-level experts, the FPO not only bolstered local agricultural practices but also established trade relationships extending beyond Odisha to states like Chhattisgarh, Andhra Pradesh, and Jharkhand.

Impact:
The establishment of the Agrahichasi FPO has profoundly transformed the agricultural landscape of Golamunda. The turnover of the FPO saw a meteoric rise, growing from ₹11.03 lakh in 2023-24 to ₹73 lakh by the end of 2024. This dramatic increase in revenue reflects the improved production and sales infrastructure developed under the FPO’;s guidance. Farmers reported a 50% increase in income, significantly reducing migration rates as agriculture became a more viable livelihood option. The expanded scale of vegetable cultivation also generated employment opportunities, with farmers hiring local laborers to meet the demands of increased productivity. Women’s participation in the FPO strengthened their socio-economic standing, promoting inclusivity within the community. Training programs and exposure visits supported by government schemes and Krishi Vigyan Kendras further equipped farmers with cutting-edge agricultural techniques, fostering a culture of continuous learning and improvement.

PM Narendra Modi's “Mann Ki Baat”

The Agrahichasi FPO gained national recognition when Honorable Prime Minister Narendra Modi highlighted its success in his “Mann Ki Baat” program. He praised the farmers’ resilience and how the FPO transformed Kalahandi from a migration-prone region to a thriving vegetable hub. The PM lauded their achievements in modern farming and their role in making the region a supplier of vegetables across multiple states.

Agrahichasi FFPO has transformed Kalahandi into a thriving vegetable hub, overcoming challenges of limited water and resources. Once marked by migration, the region now boasts over 200 farmers, including 45 women, cultivating 200 acres of tomatoes and 150 acres of bitter gourd. With an annual turnover exceeding ₹1.5 crore, their produce reaches markets across Odisha and neighboring states. This success, driven by modern farming techniques and teamwork, highlights how determination and collective effort can bring transformative change. As they expand into potato and onion farming, these farmers continue to innovate and inspire.”

Shri Narendra Modi
Prime Minister, India

Way Forward:
Looking ahead, the Agrahichasi FPO aims to expand its operations and impact. The organization plans to increase its membership base to 750 farmers by the end of the fiscal year, emphasizing inclusivity and wider community participation. Diversification is a key focus, with plans to introduce potato and onion cultivation, leveraging modern technologies to ensure higher yields. The FPO is also exploring opportunities to enhance its market presence through improved infrastructure, such as storage and distribution facilities, and by forming partnerships with digital marketing platforms. With a target turnover of over ₹1.5 crore annually, the FPO aspires to solidify its position as a leading agricultural collective in the region.

Conclusion:
The journey of Agrahichasi Producer Company Limited is a testament to the power of collective
action and innovation in rural development. With robust institutional support and an unwavering
commitment to growth, Agrahichasi FPO is poised to continue making a lasting impact on the
lives of farmers in Kalahandi and beyond.

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© 2024 Mahashakti Foundation. All Rights Reserved || Developed by CBSPL.

© 2024 Mahashakti Foundation. All Rights Reserved || Developed by CBSPL.

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