Vol. II: Shaping Information and Communication ... - IMA,ZLW & IfU
Vol. II: Shaping Information and Communication ... - IMA,ZLW & IfU
Vol. II: Shaping Information and Communication ... - IMA,ZLW & IfU
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2.12 CASE STUDY # 12: The e-Choupal Initiative<br />
Background & Context<br />
With the changing terms of trade, the Indian farmer with low risk taking ability, low<br />
investment capacity coupled with low productivity <strong>and</strong> weak market orientation is fast<br />
becoming globally non-competitive. To enhance the competitiveness of Indian agriculture <strong>and</strong><br />
trigger a virtuous cycle of higher productivity, higher incomes, enlarged capacity for farmer<br />
risk management, larger investments, <strong>and</strong> higher quality <strong>and</strong> productivity within the given<br />
constraints confronting the sector; a market-led business model, under the br<strong>and</strong> name of “e-<br />
Choupal” was conceived.<br />
e-Choupal leverages <strong>Information</strong> Technology to virtually cluster all the value chain<br />
participants, delivering the same benefits as vertical integration does in mature agricultural<br />
economies. The International Business Division of ITC, a company that is one of India’s<br />
largest exporters of agricultural commodities, with considerable business interests in the<br />
hospitality industry, information technology, <strong>and</strong> specialty as well as lifestyle products, is<br />
implementing this initiative.<br />
Project Description<br />
Launched in June 2000, ‘e-Choupal’ has already grown to become one of the largest<br />
initiatives among all Internet-based interventions mounted by the corporate sector in rural<br />
India. 'e-Choupal' services today reach out to more than half a million farmers growing a<br />
range of crops as mentioned earlier: soybean, coffee, wheat, rice, pulses, <strong>and</strong> shrimp, in some<br />
4,500 villages through 770 kiosks across four states [Madhya Pradesh, Karnataka, Andhra<br />
Pradesh <strong>and</strong> Uttar Pradesh].<br />
To overcome the problems primarily of infrastructure inadequacies, including power supply,<br />
telecom connectivity <strong>and</strong> b<strong>and</strong>width encountered while setting up <strong>and</strong> managing these ‘e-<br />
Choupals’ several alternative <strong>and</strong> innovative solutions [some of them quite expensive] are<br />
being deployed. For example power back-up through batteries charged by solar panels,<br />
upgrading BSNL exchanges with RNS kits, installation of VSAT equipment, Mobile<br />
Choupals, local caching of static content on website to stream in the dynamic content more<br />
efficiently, 24x7 helpdesks etc.