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TERMS OF REFERENCB FOR EVALUATION OF KRISHI YANTRA

DHARE (FARM MACHINERY CUSTOM HIRE SERVICE CENTRES)
. SCHEME

INDEX

sl. Page No.

Content
No.
01
1 Studv Title
2 Department Implementing the Scheme 0l
a
J Background and Context 0l
05
4 Evaluation -Scope, Purpose and Objectives
-. 06
) Objectives of Evaluation
Evaluation Questions (Inclusive not exhaustive) 06
6

7 Evaluation MethodologY l0

& Deliverables and Time Schedule I2

l3
9. Qualities Expected from the Report
l0 Administrative Arrang ements l4
15
11. Cost and Schedule of Budget Release
15
12. Selection of Consultant Agency for Evaluation
15
r1 Contact Person for Further Details

A. Annexure t7 -19
TERMS OF REFERENCE FOR EVALUATION OF KRISHI YANTRA DHARE (FARM
MACHINERY CUSTOM HIRE SERVICE CENTRES) SCHEME

1. Study Title: Title of proposed study is 'iEvaluation of Krishi Yantra Dhare (Farm Machinery
Custom Hire Service Centres) Scheme in Karnataka State".

2. Department Implementing the Scheme:

Department of Agriculture

The programme is implemented through Charitable Trusts, Companies (Registered under

Section 25 of Companies Act, 1956)lOrganisationsA.,lon-Government Organisations
(NGO)/Registered Farmers Producers Organisations (FPOs) / Farm machineries
Manufacturer/Individuals who are currently running Custom Hire Service Centers as
franchisees provided they are registered as individual proprietor/s Firm (refened as Service
providers) on a PPP model.

3. Background and the context:

Indian agriculture is undergoing a gradual shift from dependence on human power and animal
power to mechanical power because increasing cost for upkeep of animal and growing scarcity
of human labour. Further, use of mechanical power has a direct bearing on the productivity of
crops apart from reducing the drudgery and facilitating timeliness of agricultural operations.
Thus there is a strong need for taking farm mechanization. Mechanization brings in timeliness
and precision to agricultural operations, greater field coverage over a short period, cost-
effectiveness, efficiency in use of resources and applied inputs, conservation of available soil
moisture under stress conditions and provision of adequate drainage of excess rain and
floodwaters. The increasing labour costs during the peak agricultural period has led to increase
in the cost of cultivation of small and marginal farmers. The major constraint in mechanization
is that small and marginal farmers cannot afford to purchase costly machinery and equipments.
Even maintaining a pair of bullocks too has become an expensive proposition. Since the
agricultural operations are time bound, Mechanization of farm activities is the need of hour to
increase production and productivity. Though subsidy is being provided for farm machinery,
due to prohibitive cost of farm machinery all farmers may not come forward to own them. In
this context, establishment of Krishi Yantra Dhare programme is a boon to farmers. Krishi
Yantra Dhare enables to overcome these constraints as they provide services of machinery on
hire basis to farmers in right time.

Hence, establishment of Custom Hire and Service Centre (CHSC) is a boon for farmers. Krishi
Yantra Dhare enables to overcome these constraints as they provide services of machinery on
hire basis to farmers in right time.

By keeping this in view, Krishi Yantra Dhare programme is being implemented from 2014-15
at hobli level with an objective of covering of all the hoblies in a phased manner. During,
20T4-15 & 2015-16, 175 centres and during 2016-17,139 centres have been established.
Totally 314 centres has been operational as on date. These centres have been established in the
 State through functional Charitable Trusts, Companies (Registered under
Section 25 of
CompaniesAct, 1956)lOrganisatignsA.{on-Government organisations (NGOy Registered
Farmers Producers Organizations (FPOs)/Fann machineries Manufacturers/Individuals
who
are currently running Custom Hire Service Centers as franchisees provided
they are registered
as individual proprietor/s Firm on a ppp *oO"t.

Objectives of the scheme/Programme:

1. To address the constraints in land preparation activities by providing efficient land

preparation Farm machinery and equipments on Custom Hire Service
basis.

2. To reduce sowing/transplanting window leading to consequent reduction in harvestine

window.

a
J. To ensure effective inter cultivation and other cultural operations.

4. To ensure effective harvesting with reduced harvest window leads to minimization of

harvesting losses.

5. To ipncourage in-situ moisture conservation and to harness the residual moisture of

kharif season for Rabi Pulses and Oilseeds.

6. To enhance the production and productivity of the crops.

7. To provide services of Hi - Tech Farm Machinery services to small and marginal

farmers.

8. To run the centres throughout the year effectively, efficiently and profitably.

Contents/Unit Costs/ Quantum of the benefit etc.:

Based on the Agricultural density the Custom

Hire Centers are categoized into 2 slabs, that is Slab-l and Slab-2.The establishment period is
spread over for two years and the year wise activity is specified.

Slab-l. Rs.75.00 lakhs: Farm Machineries of Rs.75.00lakhs worth are proposed to be deployed in
each center' The Department of Agriculture proposes to establish 181 CHSCs during
the year 2017-
18 under Slab-1.

Slab-2. Rs.40.00 lakhs: Farm Machineries of Rs.40.00lakhs worth are proposed to be deployed
in
each center. In Malnad region (Dakshina Kannada, Udupi, IJttaraKannada, Kodagu,
Shimoga anc
Chikmagalur-6 Districts) and in the areas where monocropping system is common (Kolar
and
Chikballapur-2 Districts),wherein, Rs.75.00lakhs worth implements may not be required.
In these
Districts under Slab-2 the Department of Agriculture proposes to establish 69 CHSCs durine
the
year 2017-18.

ea revls 20*1 7: ! 8) : Of the specifi ed

total worth of the Farm Machineries, over for two years period, under Slab-1(Rs.75.00lakhs)
&
Slab-2(Rs.40.00lakhs) the Government contribution will be limited to an extent of 70o/o
and the
 remaining 30% contribution will be from the Service Providers. Financial Assistance pattern
spread over 2 years period is more specifically given below'

Table-l Financial Assistance Pattern (Rs. in Lakhs)

Slabs Total Amount GOK share Service Ratio (%) Remarks

per centre provider share

Slab - 1 75.00 s2.50 22.50 70:30 Spread over for 2

years

Slab - 2 40.00 28.00 12.00 70:30

Year wise particulars are as below

Year Govt. share Service provider share Total(Rs.in lakhs)

(Rs.in lakhs)
(Rs.in lakhs)

Slab - I (Rs.75.00lakhs)

Ist (2017-18) 41.25 11.25 52.50

IInd (2018-19) tL.25 11.25 22.50

Total 52.50 io"t l 22.s0 (30%) 75.00

Slab - II (Rs.40.00 lakhs)

Ist (2017-18) 22.00 6.00 28.00

IInd (2018-19) 6.00 6.00 12.00

Total 28.00 (70%) 12.00 (30%) 40.00

o It is proposed to provide Rs.l.50lakhs per centre as initial establishment grant (for

Admini strative/Offi ce expenses) b y the D epartment.
3
 For ongoing centres assistance will be given to purchase new or replacement of machinery. For
the centres with more than Rs.lOlakhs annual turnover Rs.5.00lakhs, for less than Rs.l0.00lakhs
annual tumover Rs.2.50lakhs per year will be given. This assistance will be given on the basis
of 50o/o Govemment assistance and rernaining 50% borne by the Service provider. This
assistance will be extended up to 3 years from the initial establishment.

o For the years 2014-15,2015-16 & 2016-17 the Govemment assistance was as follows.(Rs. in
Lakhs)

Table-2 Financial assistance (2014-15,2015-16 & 2016-17)

Year Govt. Share Service Provider Share Total

First Year 3750(7s%\ t2.s0(2s%) 50.00

Second Year 12.s0(s0%) 12.s0(s0%) 25.00

Total s0.00 25.00 75.00

Institutional Arrangements made for Implementation: Krishi Yantra Dhare (Custom Hire
Service Centres) programme was initiated during the year 2014-15, in order to make timely
availability of Farm Machinery for agricultural and post harvest operations on nominal rental basis.
Krishi Yantra Dharecentres in the State is established through functional Charitable Trusts,
Companies (Registered under Section 25 of Companies Act, 1956)/OrganisationsArlon Government
Organisations (NGO)/Registered Farmers Producers Organisations (FPOs)/Farm machineries
Manufacturers/Individuals who are currently running Custom Hire Service Centers as franchisees
provided they are registered as individual proprietor/s Firm is established in phased manner on a
PPP model.

Hobli level survey is conducted by the Service provider within the proposed jurisdiction of
each of the CHSCs. The selection of implements is based on farmers'need and prevailing cropping
system. District Implements Committee headed by Chief Executive Officer, ZlllaPanchyath will
frnalize the implements and also fix the nominal hiring charges for equipments shelved in the
CHSC Centres.
 Table-3 District Level Committee

Chief Executive Offi c er, Zllla P anchayaJ Chairman

2 District Joint Director of Agriculture Vice Chairman

J President of District KrishikS amaj Member

4 Assistant Director of Agriculture (SMS) Member Secretary and

District Nodal Officer

5 ADAs of all Taluks Member

6 2 Progressive Farmers/Krishi Prashasthi Awardee. Member

1 Leading Farm Machinary Manufacturer in the District Member

8 Representative of Krishi Yantra Dhare service provider Member

9 Representative of University of Agricultural Sciences Member

Monitoring Arrangements : After getting approval from District level Committee for number and
type/models of equipments and their hiring charges which are shelved in the Krishi Yantra Dhare
Centres by the Service Provider, requisite verification/monitoring will be done by the Department
officials for the equipments shelved in the Krishi Yantra Dhare Centres.

Further, Service Provider should submit the Annual Utilization Certificate for all the financial
transactions of the CHSC through Department officers and Service Provider should submit Audited
statement every year to Assistant Director of Agriculture, Deputy Director of Agriculture, Joint
Director of Agriculture of the districts and office of Commissioner of Agriculture at state level.

4 Evaluation -Scope, purpose and objectives

The study covers all the 335 centres operating in the State. The study covers the services provided
and utilised under the Krishi Yantra Dhare Scheme implemented during 2014-15,2015-16 & 20T6-
17 in the entire state of Karnataka by all the Service providers. The purpose of evaluation of the
scheme is to bring out the extent of spread and utilisation of the scheme, quality standard of services
provided and of the equipments shelved in the CHSC centres and customer satisfaction with the
services and to find out the impact on production and productivity of farmers under different
cropping systems.
5. Objectives of Evaluation:

. To assess the awareness about the scheme among the small and marginal farmers.

o To study the effect of Krishi Yantra Dhare (CHSC) scheme on the Agriculture on the
production and productivity of the crops in Karnataka state.

. To study the extent to which the scheme obiectives are achieved.

o To study the effectiveness of services of Hi - Tech Farm Machinery services provided to

small and marginal farmers and others by different service providers.

o To examine the reach of services to different categories of farmers across the

districts/divisions.

o To assess the cost reduction in different farm operations and to analyse the economics of
farming due to implementation of this scheme based on practical experiences of farmers
through estimation of cost benefit ratio across the cropping systems in different regions.

o To study whether the constraints in land preparation, inter cultivation and all the other
agricultural activities by providing efficient and Hi-Tech Farm machinery and equipments
on Custom Hire Service basis are addressed.

. To examine the extent of extension support provided by the Service Providers to the
farmers, and customer satisfaction with quality of support service and equipments.

o To document the best practices in operation of these centres.

o To make the demand analysis of Farm Machinery and other Hi-Tech equipments on
Custom Hire basis through implementation of Krishi Yantra Dhare Programme.

o To suggest measures for making the scheme/Programme for more effective and beneficial
to all the farmers at right time.

6. Evaluation Questions (Inclusive not exhaustive):

Beneficiary

l. What is the level of awareness about the scheme across the categories of farmers and across
the divisions/districts in the State? Review the efforts of govemment and Service providers
in this direction.

2. What is the effective coverage of Krishi Yantra Dhare (CHSC) in Karnataka State? Examine
the geographical spread of these Centres and their implications. What is the contribution of
service providers to this coverage?
3. Study whether the constraints in land preparation, inter cultivation and
all the other
and equipments
agricultural activities by providing efficient and Hi-Tech Farm machinery
on Custom Hire Service basis aie addressed'.

districts, whether
4. What is the demand pattern for Krishi Yantra Dhare(CHSC) in different
the pattern varies across the crop zones? Examine the reasons for
variations in it'

5. Are the prescribed quality standards of farm machinery shelved in Krishi Yantra Dhare
one given in the
(CHSC) centres well maintained? Make a check list according to the
centres. Note the gaps and
annexure and assess the farm equipments available across the
excess supPlies.

Examine the impact of Krishi Yantra Dhare (CHSC) scheme on the

Agriculture in terms of
6.
production and productivity of the crops in Karnataka state' Bring out
any changes in
social groups' gender
cropping patterns among the sample farmers' Assess it across regions,
and Slab-I & Slab- II Centres,

j. to purchase of
It is observed that small and marginal farmers are partly involved in debt due
whether any reduction in
farm machinery and maintenance of bullocks. Under the situation
personal debt is observed in the sample cases?

g. Examine the implementation of the scheme through different categories

of service providers
and make a comparative analysis of their performance across the
districts'

across different the

g. Examine the reach of services to different categories of farmers
groups? What are the
districts/divisions. Are there any deviations across the districts, farmer
reasons for the same?

utilisation of the facilities by women farmers across different regions

and
10. Examine the
the facilities?
social groups. Do they_face any difficulties in accessing and utilising
in
1 1. Assess whether the small and marginal farmers, women face denial or discrimination
and service
getting access to the machinery? What are their perspectives across regions
providers?

What is the average waiting period? Find out any possibility of conglomeration
among
12.
service providers to reduce the transaction costs and waiting time'
&
13. Assess the impact of the scheme in detail based on following indicators across Slab-I
Slab II
 .I

Table 4: Indicators

Indicators Before After Observations

from control
goup

1 Increase in density of
tractors/ farm machinery

ll Maintenance of time
schedule of Agricultural
operations.

rii Yo Coverage of crops

iv Reduction in harvest post

harvest losses

v Area under different crops

VI Production from different

crops.

vii Operational costs- activity

wise

viii Production per ha.

Ix Income per ha.

X CB ratio

xii Efficiency in utilization of

inouts

Any other

14. Assess the level of satisfaction of the farmers about the scheme. Use the citizen report cards
to capture the level of satisfaction. What is the opinion of different stakeholders and the
community about the scheme? Get the feedback through focus group discussions.

15. Are the services provided by the service providers to farmers satisfactory? Whether demand
for different types of machinery is adequately addressed?
 Service Providers

16. Analyse the operational costs and efficiency of different service providers in Slab-I
and

Slab-II? Are there any variations in it across the agencies and within an agency across the
districts? Examine the sustainability of the centres.

17. Whether the farmers pay service charges regularly? Assess their opinion regarding service
charges for different categories of farm equipments.

18. What is the operational status of farm machinery? Whether repairs are taken up regularly?
Make the assessment based on physical verification in sample Centres. Whether there is
adequate space for storing the farm machinery?

19. Is there any Sub optimal asset capacity utilisation due to crop specific requiranents in
different centres? What measures are adopted to address the same?

20. Whether local survey is conducted to identify the equipments required in CHSC? How
the

district level committees are functioning across the districts? Review the effectiveness of
monitorine mechanism under the scheme.

21. Analys
' opinion of different service providers about their involvement in the scheme
,i"
"
and about the implementation of the scheme. Whether the fund flow and support from the
Government is timely, regular and adequate? Whether service charges are adequate for
covering the costs? What are the difficulties in running the centres and starting the new
centres?

General Issues

22.There is an assumption that increased farm mechanization will lead to unemployment.

Examine the impact on employment in the study area. What is the impact on environment
and water conservation due to the operation of the scheme and also on the fodder due to
declining use of bullocks.

23.The pattern of service providers is from different categories. How far the PPP model is
successful and in what mode? Develop patterns of effective partnerships.

24. Document the best practices and success stories in the field. Identify the factors that
have

contributed to success of any centres. Are there any failure cases? Identify the factors for the
same.

25. Whether the scheme to be continued? If so whether any changes are required in
implementation model?
7. Evaluation MethodologY

Table-S Methodology

Type of data Source of informatron Method and Tools

Method of data
collection
Beneficiaries, non- Survey, Observations
l. Quantitative data Citizenreport cards
beneficiaries.

Beneficiaries, non-
Primary data FGD,
beneficiaries.

2. Qualitative data

State level, district level,

IDI-interview
schedules
taluk level, hobli level
and service providers.

Data from the On selected indicators

Secondary relevant for the
department, annual Department, district and
data evaluation
Reports taluka levels.

Sampling MethodologY

The Scheme has two slabs-Slab -l are big size centres covering diverse cropping zones and Slab-ll
covers small centres in mono cropping zones. The scheme is implemented in PPP mode hence the
role of service provider is also important in implementation and the impact of the scheme. Further
the requirement of farm machinery differs across the different agro climatic zones. Hence this
factor
also needs to be considered in the study.

o The sample consists of 105 centres covering all the divisions and service providers in the
State.

o In addition two best performing centres at Sirwara and Arabhavi to be taken up as case
studies.

o Care to be taken to cover all the 10 agro climatic zones in the State.

o From each Centre a final sample of 35 beneficiaries covering all the categories/ groups of
small and marginal and other farmers (SC, ST, OBC, women and others) will be drawn for
the study. The total number of beneficiaries in the final sample is 3750 farmers.

o Control sample of lo/o (max 50) farmers randomly across different service providers'
operating areas.

o The Total sample is 3800 beneficiaries.

 o Random Sample Selection to be done at KEA

-' The distribution of the Centres across the service providers is indicated in the following table.

Table -6 Division/district wise and Seryice provider wise distribution of the sample

S1. No Service providers Centres

I SKDRD 46 (12Slab-D

2 ISAP 03

J VST l8 (3Slab-I)

4 John t2

5 Kala 08

6 MM l8

total 105 +2*:107

*case studies

Table-7 Agro Climatic Zone wise distribution of the sample

Slab-I

Sl.No. Zones Talukas Talukas in sample

I North Eastern 07 05
Transition Zone
2. North Eastern Dry 11 07
Zone
a
J. Northern Dry Zone 35 22
4. Central Dry zone t7 l1
5. Eastern Dry zone 24 t5
6. Southem Drv Zone 19 I2
7. Southem l3 08
Transition zone
8. Northern t4 09
Transition zone
Total 90
 Slab-Il

Hilly Zone

Table 8 : Qualitative data

20 FGD's in l0 ago- Beneficiaries, public representatives,

climatic zones covering all progressive farmers
SHG members,
and knowledge persons in the
the Service providers. Village/Hobli.

Total of 110 IDI's need to IDI should cover all.stakeholders

be done.
- Dept officials State &
district level, service providers at all centers (l per
centre).
5 at State level.

8. Deliverables and time schedule

The Department of Agriculture and KEA will provide

the necessary information pertaining to
study and also co-operate with the consultant organization the
in completing the assignment task within
the stipulated time period. The concerned district and
taluk officials will be instructed by the
Department of Agriculture for providing the required
informati on/dataat the taluk and Gp levels.
It is expected to complete the present study in 6 months
time line, excluding the time taken for
approvals at KEA.

Table-9 Timelines and deliverables:

a. Inception Report I month after signing the agreement

c. Field Data Collection J monrns oate oI work plan Approval
d. Draft report submission r monrn aner tleld Data Collection
e. Final report dissemination & I ryronrn afier Dratt report submission
presentation

Total duration o months

9. Qualities expected from the Report

The evaluation report should generally confirm to the United Nations Evaluation Guidelines
(LINEG) "Standards for Evaluation in the UN System" and "Ethical Standards of Evaluations".

The report should present a comprehensile review of the Scheme/ programme in terms of the
content, implementation process, adequacy, information and access to beneficiaries.

The Report should provide a scientific assessment of the impact of the Krishi Yantradhare scheme
on the agricultural production and productivity in agriculture focusing on small and marginal
farmers.

The qualitative data should be used in unbiased manner to support or for further analysis of the
reflections from the quantitative data. The analysis should provide adequate space for assessing the
variations across the regions and social categories. Case studies to be presented to bring out the
realities at the household level.

The report should come out with specific recommendations based on adequate field evidence for
any modifications in the programme design, content, implementing procedures, and any other
modifications to bring out midcourse corrections to improve the access and impact of the
Scheme/Programme.

Structure of the report

The following are the points- only inclusive and not exhaustive- which need to be mandatorily
followed in the preparation of evaluation report:

By the very look of the evaluation report it should be evident that the study that of Agriculture
Department and Karnataka Evaluation Authority (KEA) which has been done by the Evaluation
Consultant Organization. The report should be complete and logically organized in a clear but
simple language. Besides c.'onfirming to the qualities covered in the Terms of Reference, report
should be arranged in the following order:

Preliminary Part

o Title and Opening Page

o Index

o List of acronyms and abbreviations

o Executive Summary- A section that describes the program, purpose and scope of
evaluation, research design and methodology, key findings, constraints and
recommendations.

1. Background- A section that briefly covers the history or genesis of the sector under
which the programme/scheme being evaluated covered. It should give recent fact sheets
taken from reliable and published sources and review of the progress of the scheme at

13
 I

Taluka/District level.

2. objectives and performance of

the program - This section
the program and the physical includes the stated objectives
and- financial achievements of
period of evaluation' It should of the selected program in the
cover the description or the
and method of selection of targetgroup, aim of the program
beneficiaries and the physical
and financial achievements.
3. Review of riterature/past evaruation
reports and their findings.
4. Evaluation Methodology - This
shourd incrude research
design, sampre design
questionnaire design and pilot
test, data co,ection and quality
and size,
assurance pran.
5. Limitations/constraints in
the evaluation study.

6. Case Studies & Best practices

7. Findings of the evaluation

study.

8. Recommendations that flow from the evaluation.

Annexure_

a. Sanctioned Terms of Reference

of the studv.
b. Survey tools and questionnaires

c. List of persons with addresses

personally interviewed.

d' Place' date and number of persons

covered by Focus Group Discussion
(if applicable).
e' Table showing details of major
deviations, non-conformities,
digressions of the program.
10. Administrative arrangements

The core team should comprise

of the following technical members
exhaustive) should possess requisite (list is inclusive but not
qualification and J*f".i"n""
as stated below:

Table -10: Team to carry out

the studv
Principal PostGraduateinffi 05 years of exp-rience in fielC
Investigator rrevetopment with first class
/ph.D in
the subject preferable.
1" Core team rvreunanlcayltectncal
member Du()uro alSO poSSeSS a
mlnlmum of three (3) years
of
experience in allied sector
2no Core team r uDr \rrauuare ln statlstics/ MCA
member with J ysars expenence in data
knowledge of Statistical analvsis
analysis
 11. Cost and Schedule of Budget release:
J The Output based budget release will be as follows-

1. The first instalment of Consultation fee amounting to 30o/o of the total fee shall be
payable as advance to the Consultant after the approval of the inception report, but
only on execution of a bank guarantee of a scheduled nationaljzed bank, valid for a
period of at least 12 months from the date of issuance of advance.

2' The second instalment of Consultation fee amounting to STo/oof the total fee shall
be payable to the consultant after the approval of the Draft report.

3. The third and final instalment of Consultation fee amounting to 20o/o of the total fee
shall be payable to the Consultant after the receipt of the hard and soft copies of the
final report in such format and number as prescribed in the agreement, along with all
original documents containing primary and secondary data, processed data outputs,
study report and soft copies of all literature used in the final report.

Taxes will be deducted from each payment, as per rates in force. In addition, the evaluatins
agency/consultant is expected to pay service tax at their end.

12. Selection of Consultant Agency for Evaluation:

The selection of evaluation agency should be finalized as per provisions of KTPP Act and rules
without compromising on the quality.

13. Contact person for further details:

L Mr.Anoop.K.G.
Mobile no. # 8277929814
Joint Director of Agriculture (Farm Mechanization section)
Commi ssionerate of Agriculture,

Sheshadri Road, Bengaluru - 01.

2. Dr.M.A.Girish,
Mobile no. # 8277929831
Deputy Director of Agriculture (Farm Mechanization & Micro irrigation)
Commi ssionerate of Agriculture,
Sheshadri Road, Bengaluru - 01.
 3. Smt.Veena.M.K.
Mobile no. # 8277929993
Agricultural officer (Farm Mechanization & tirticro irrigation
Seiction)
Commissionerate of Agriculture,
Sheshadri Road, Bengaluru
- 01.

?Ya,"\,u
Chief Evaluation Offi cer
Qo-to^t%-
ToR Prepireb by
Karnataka Evaluation Authoritv

(Dr. Chaya Degaonkar)

Consultant Evaluation. KEA

Bengaluru

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