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35 | Creating viable business models for inclusive growth through the National Optical Fiber Network Model 2: e-Agriculture desktop & mobile app This model is led by a technology provider and involves an application developed by the technology provider in partnership with other players in the agri value chain, such as seed manufacturers, fertilizer companies, micro-finance providers etc. The application aggregates feeds on vital agricultural information (such as local weather forecasts, fertilizer requirement based on soil conditions, pest control, grain prices in local markets, seeds, etc.) and financing options, and delivers the same in rich content format over a desktop or a mobile. The e-Agriculture application can be made accessible by the technology provider at the local CSCs, where farmers can access it on the payment of a nominal fee. In addition, with some help from the VLE at the CSCs, the farmers can use the application for sending specific queries to experts. The farmers can also use their mobile phones to send specific queries via voice/SMS to the app. Basic information on weather, grain prices and farming tips can be shared with farmers in local language through text alerts. Proposition: Delivery of integrated information and expert advice through kiosks and mobile phone alerts Figure10: Business model for an integrated e-Agriculture app from a technology provider Source: KPMG analysis • Input –– Connectivity: Fiber connectivity through NOFN at CSCs –– Training and manpower: Initially, the technology provider may staff some resources at the kiosk. These staff members can train local resources to manage the app eventually • Cost –– Capital expenditure: Investment from the technology service provider includes app development cost. Computers, headsets, web cams and other fixed components are already available at the CSCs –– Operational expenditure: Includes salaries of staff/trainers, fee to CSC for use of their premises • Revenue stream: Nominal fees from farmers for accessing the kiosks. Revenue from advertisement placement on the app from agri companies such a traders, seed companies, fertilizer companies, etc.
Creating viable business models for inclusive growth through the National Optical Fiber Network | 36 • Government support: This is a commercially viable model requiring no financial support from the Government. However, soft support would be required for facilitating access to the CSC premises and increasing awareness about the service among the local populace. • Benefits –– Government: Improved farm productivity, increased income generation, equitable growth –– Farmers: Access to expert advice, increased knowledge on agricultural best practices helping increase in income –– VLEs: Increased footfall, more income • Critical success factors –– Relevant content development through partnership with a wide network of players from across the agriculture value chain –– Monetizing the ad-revenue model with the partners Recommendations • The Government can facilitate the provision of training to VLEs on the agricultural domain • Soft support to be provided by various State Agencies/PSUs in the agricultural domain in the form of content provisioning for these services • Private sector players to collaborate for integrated information delivery to farmers and build relevant e-commerce platforms and proactively use the same for direct procurement of agri-produce from the farmers • Involvement of Gram Panchayats will be key to facilitate access to CSCs and help increase awareness of these e-services among villagers Source: KPMG analysis