“Melghat Haat”: Empowering Local Markets and Artisans
Introduction
The Melghat region, situated in the Amravati district, comprises two main talukas: Dharani and Chikhaldara. These areas, characterized by a significant tribal population, are part of the NITI Aayog's Aspirational Block Programme. Melghat is famous for its Tiger Reserve, while Chikhaldara is a renowned hill station and the only coffee-growing region in the state. The area's predominantly hilly terrain offers scenic views but also presents a challenging landscape. This geographical setting greatly impacts the lifestyle and health conditions of the local population.
Problem Statement
Chikhaldara and Dharni talukas within the Amravati district collectively constitute the renowned region of Melghat. This area is widely acclaimed in Maharashtra for its distinctive features, including abundant forest resources, the rich Korku culture, a designated tiger reserve, organic farming practices, and the production of unique forest products.Given that Melghat is an extremely remote and predominantly tribal area, employment opportunities are significantly limited. This is evident in the migration patterns observed among tribal communities from Melghat to urban centers that offer better prospects for employment. Despite the scarcity of employment options, Melghat boasts a number of Self-Help Groups (SHGs) actively engaged in the production of various high-quality, locally crafted goods. Regrettably, these SHGs often struggle to secure fair prices for their products due to a lack of exposure to broader markets. At the local level, there is a notable absence of marketing platforms that could facilitate the sale of products from these Melghat-based SHGs. Consequently, despite the organic nature of these products, the lack of adequate presentation diminishes their economic value and restricts the ability of SHGs in Melghat to realize the full economic potential of their endeavors.
Melghat Haat : A Vocal For Local Initiative
To support the "Vocal for Local" initiative and generate job opportunities in the Melghat area, the administration has inaugurated a marketplace named "Melghat Haat." This venue is dedicated to showcasing and promoting distinctive local products crafted exclusively by Self-Help Groups (SHGs). This platform features a variety of items including sawa, kutki, sorghum, mung, assorted pulses, different pickles, papad, tikhat, turmeric, triphal powder, honey, coffee, and numerous bamboo-based products, all produced by Women Self-Help Groups. The products at Melghat Haat are showcased and sold by the women staff of the CMRC, each item tagged with a unique barcode for billing purposes.
Strategy Implemented for Melghat Haat
Selection of Self-Help Groups: Out of 1,000 SHGs, 60 were selected based on their unique use of minor millets and other products.
Training and Empowerment: Training was conducted by Mahila Arthik Vikas Mahamandal (MAVIM), with each group receiving an empowerment grant of 10,000 rupees.
Exhibition Organization: An exhibition was held at the Chikhaldara taluka in a preliminary format to showcase products and assess market interest.
Market Insight Gathering: The event offered valuable insights into prevailing market rates for the showcased products incorporated a sales center modeled after a mall-style setup. Extensive stakeholder meetings were conducted with local businesses, focusing on fostering Business-to-Business (B2B) sales.
Pricing Strategy: After determining market rates, purchasing rates for the self-help group products were aligned with market prices.The selling prices were strategically set below the prevailing market prices to attract consumers.
Infrastructure Support: A godown was established to support operations, equipped with systems for cleaning, grading, labeling, and packaging.
Promotional Activities: To enhance visibility and reach a wider audience, strategic promotions and publicity efforts have been initiated through social media platforms market penetration and sustainable growth.
IMPACT OF “Melghat Haat”
Employment Impact: Approximately 600 women across 60 SHGs gained direct employment through the initiative.
Pulse Sales Forecast:
- Average price set at Rs. 50 per kg for pulses.
- Daily sales volume estimated at 200 kg.
- Anticipated annual sales total 70,000 kg of pulses, yielding Rs. 35 lakhs.
- Projected annual profit margin of 6 %, resulting in an income of Rs. 4,00,000.
Overall Business Performance:
- Total sales volume across all businesses reached 3.51 crore units.
- A minimum annual profit of 9% is expected, generating an income of Rs. 25 lakhs.
Higher Cost : Melghat Haat has made a significant impact by offering higher rates to Self-Help Groups (SHGs) than the market average. Additionally, the reduction in logistic costs has enhanced the overall efficiency and profitability for these groups, contributing positively to the local economy.
Fund Mobilization
Total Costing of Melghat haat was of 2.50 cr which was funded through District Planning Committee's Scheme.
Monitoring & Evaluation
Key Learning & Takeaways
Empowerment through Employment: The initiative has successfully provided direct employment to nearly 600 women across 60 Self-Help Groups (SHGs), demonstrating the significant role of social enterprises in enhancing women's economic independence.
Effective Market Analysis: Preliminary exhibitions and market analysis have been crucial in understanding consumer behavior and determining competitive pricing strategies that attract customers while ensuring sustainability.
One Stop Market Place : Melghat Haat was instrumental to showcase the rich & unique products from Melghat region , the platform has given SHG’s & tribals unique opportunity to showcase their talent.
Substantial Sales Volume: The anticipated annual sales of 70,000 kg in pulses alone, with a monetary yield of Rs. 35 lakhs, highlights the robust demand for local products promoted through the initiative.
Profitability: With a consistent profit margin across various product categories, the initiative forecasts a minimum annual profit of 9% from overall sales, reflecting the financial viability of supporting local businesses.
Community Engagement: The initiative has fostered a strong sense of community and cooperation among the women involved, highlighting the social benefits beyond mere economic gains.
Scalability and Replicability:The success of Melghat Haat offers a replicable model for other regions, suggesting that similar initiatives can be scaled and adapted to different contexts to support local artisans and producers.
https://drive.google.com/file/d/1CDZs5zN11KNKctJJnvuxqehCrZyKl1WK/view?usp=drive_link
https://drive.google.com/file/d/1CDZs5zN11KNKctJJnvuxqehCrZyKl1WK/view?usp=drive_link
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