JULY 2024 - SUMMARY
JULY 2024 - SUMMARY
JULY 2024 - SUMMARY
Deendayal Antyodaya Yojana-National Rural Livelihoods Mission (DAY-NRLM) is a major poverty eradication
program by India's Ministry of Rural Development. It has mobilized over 10 crore households into 91 lakh
Self-Help Groups (SHGs). These groups receive capital support for inter-loaning and connections to formal
financial institutions. With SHG mobilization and financial inclusion saturated, focus has shifted to
sustainable livelihoods. The Lakhpati Didis initiative aims for each household to earn ₹1 lakh annually,
supported by Integrated Farming Clusters. An Integrated Farming Cluster (IFC) consists of 2-3 adjoining
villages, covering 250-300 households. It supports diverse livelihoods (farm and non-farm) with strong
linkages, focusing on the poorest. The strategy includes asset creation, skilling, affordable credit, and
improved market and technology access.
Strategy
• The IFC targets areas with saturated social mobilization and financial inclusion, ensuring households
have consistent, profitable income sources year-round, protecting farmers from monsoon and market
price fluctuations.
• An end-to-end strategy is the value chain approach. The objective is to identify and address the critical
constraints in a coordinated way, thereby unlocking the potential of the value chain.
• The process comprises of: (i) Asset Creation for enhancing production and processing/value addition, (ii)
honing skills of producers to augment their productivity, (iii) ensuring access to credit at affordable rates
and (iv) facilitating access to market and improved technologies. In addition, wherever, a sizable
population exists, focus is also placed on small ruminant productivity enhancement, horticultural
diversification, and climate-resilient agriculture.
• The IFC clusters aggregate individual produce through Producers' Groups (PGs) at village or cluster levels,
reducing transaction costs. In larger areas, PGs federate into Producers Enterprises for processing,
packaging, and direct or partnered market linkages.
• To create enabling environment a tripartite MoU was signed between Indian Council of Agricultural
Research (ICAR), RCRC (Conglomerate of Civil Society Organizations), and DAY-NRLM in 2021 whereas
the ICAR is the technical partner, and RCRC through its multiple partners facilitates implementation. The
program was launched in December 2021 at Ranchi, Jharkhand.
• In the 1st phase, 400 such IFCs were allocated to 13 States supported under World Bank funded National
Rural Economic Transformation Project (NRETP) with a total duration of 3 years. The details of their
progress in terms of physical achievement are as under:
Mahila Kisans (Women farmers)- The Torch Bearers
• In IFCs, women farmers are central, participating as both farmers and entrepreneurs. The project
ensures their active involvement but requires societal mindset changes and increased awareness for
greater women participation.
Objectives
a. To provide end-to-end solution under various interventions
b. To enhance the income of rural Households at every level of intervention
C. To empower women through collective livelihood action
Implementation Framework
The grounding of IFC requires a step-by-step intervention in order to achieve desired goal and objective of
providing end-to-end solution with diversified livelihood activities at the household level. The framework
consists of:
• Identification of Geography: Identifying an IFC's geographical contour is crucial for accessibility,
common commodities, and social structure. Areas with significant livelihood asset creation potential
through MGNREGS and Ministry of Agriculture convergence are preferred.
• Identification of Households: Beneficiaries from existing SHGs involved in mission-sponsored farm
activities join IFC clusters. Women farmers must focus on agriculture or livestock, participate in Farmer
Field Schools, and be part of producer groups or companies.
• Commodity Identification: A study in the selected cluster assesses farmers' situations and agriculture
levels, identifying potential products for the IFC cluster. It targets 2-3 commodities, universal or easily
adopted, with good market potential, ensuring all households can adapt and benefit.
The components of Livelihood Service Centre based on the value chain gap analysis are as follows:
a. Input: The centre may serve as point of interaction for input activity such as seed, fertilisers, nursery,
demonstration plot, deworming, vaccination, etc. based on the need assessment and scoping of the
concerned households.
b. Processing: The Livelihood Resource Centre has Primary and Secondary Processing components,
contingent on commodity-specific business plans, community needs, and processing unit capacity utilization.
Strategic decisions, like third-party oil extraction, require resolution at the centres.
c. Output: The planning of commodity-wise output activity is again dependent on its usage. The options at
this level for market-side interventions are Producer Groups, Traders, Producer Enterprises, etc. The other
intervention may include storage, primary value addition, etc.
d. Marketing Side Intervention: Three major categories of interventions possible are:
• Commodities with Limited Scope for Post-Harvest Value Addition: The intervention would be
limited to pre-production, production, and post-harvest- upgrading and sorting of the commodity.
May include drying wherever applicable. Investments may be required in the areas of sorting,
grading, and drying equipment to the drying yards.
• Commodities with a High Scope of Post-Harvest Value Addition: The intervention will also include
processing and packing in bulk and micro-packing. Investments required will be higher for
establishing processing facilities and packing facilities. The IFC project does not intend to promote
tertiary level processing.
• Livestock Value Addition: The investment will have to be made in establishing the traceability in
improving the health of the animals through vaccination and scientific rearing.
• Forming Producer Groups (PGs): The IFC project should collaborate with existing FPCs. Promote
backward and forward linkages with producer groups. Enroll farmers in the IFC, where PG members
participate in livelihood planning sessions to identify household economic activities and address
issues with project support.
An overview of innovations made for rural India over the past decade, supported by government sources
and recognised reports:
Low-Cost Drip Irrigation
• Innovation: Utilisation of discarded PVC pipes and plastic bottles for drip irrigation.
• Impact: 50% increase in water-use efficiency.
• Source: Ministry of Agriculture & Farmers Welfare, Pradhan Mantri Krishi Sinchai Yojana (PMKSY)
Report.
Bicycle-Powered Seed Planter
• Innovation: Modified bicycles for planting seeds efficiently.
• Impact: 40% reduction in labor costs.
• Source: National Innovation Foundation (NIF) - India.
Solar-Powered Grain Threshers
• Innovation: Use of solar energy to power threshing machines.
• Impact: 60% reduction in fuel costs.
• Source: Ministry of New and Renewable Energy.
Bio-Gas Plants Using Kitchen Waste
• Innovation: Conversion of organic kitchen waste into biogas for cooking.
• Impact: 30% reduction in LPG usage in pilot areas.
• Source: Ministry of New and Renewable Energy, National Biogas and Manure Management Programme
(NBMMP).
Solar Lanterns and Chargers
• Innovation: Affordable solar lanterns and mobile chargers.
• Impact: Improved lighting and communication for 100,000 households.
• Source: Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY).
Water and Sanitation
• Community-Based Water Purification Systems
• Innovation: Low-cost, community-operated water purifiers.
• Impact: Safe drinking water for 250,000 people.
Challenges
Grid Integration and Flexibility: Integrating variable renewable energy (VRE) like solar and wind into the
power grid poses challenges, especially in states rich in renewables such as Karnataka, Tamil Nadu, and
Gujarat. Grid stability issues due to variability require advanced management and flexibility solutions as India
aims for 450 GW of renewable capacity by 2030.
Financial Barriers: Financing is a critical barrier to widespread adoption of renewable energy in rural areas.
Despite declining technology costs, high initial capital investments remain a challenge. Initiatives like the PLI
scheme and efforts by IREDA provide some relief, but more accessible and affordable financing solutions are
needed.
Technological and Infrastructure Gaps: Rural areas often lack infrastructure to support advanced renewable
energy systems. Deploying decentralised renewable energy (DRE) solutions like mini-grids is hindered by
inadequate local infrastructure and the need for standardized, high-quality technology.
Policy and Regulatory Hurdles: While there are policies supporting renewable energy, inconsistencies and
regulatory hurdles can impede progress. For instance, Renewable Purchase Obligations (RPOs) mandate
increasing renewable energy percentages but need clearer implementation guidelines and enforcement
mechanisms across states.
Opportunities
Advancements in Energy Storage: Energy storage technologies, especially battery storage, are advancing
rapidly and becoming more cost-effective. Integrating battery storage can mitigate renewable source
variability, ensuring stable and reliable power supply. India aims for up to 200 GW of battery storage
capacity by 2040, potentially becoming a global leader in this field.
Expansion of DRE Solutions: Decentralised renewable energy solutions offer a viable path to electrify
remote rural areas. Mini-grids and solar home systems can provide reliable electricity to communities not
connected to the national grid. These solutions not only improve living standards but also create local
employment opportunities and foster economic development.
Green Hydrogen: Green hydrogen offers India a chance to diversify its energy mix. Produced from renewable
sources, it can power sectors like transportation and industry. The National Hydrogen Mission aims to
position India as a global green hydrogen hub, fostering innovation and investment in this burgeoning sector.
Policy and Institutional Support: India's renewable energy policy is advancing with initiatives like the
National Solar Mission, PM-KUSUM, and incentives like PLI to scale up projects and build a skilled green
workforce.
International Collaboration: India's global leadership in IRENA and the G20 Energy Transitions Working
Group attracts investments and promotes best practices, aiding the renewable energy transition through
collaborative efforts. India faces challenges in achieving fully renewable-powered rural areas, but innovation,
economic growth, and sustainable development opportunities are vast. Strategic policies, technology, and
global cooperation can pave the way.
Adoption
India's internet presence is now 20% higher in rural areas than urban areas. Smartphones, UPI, and
government schemes like the Pradhan Mantri Gramin Digital Saksharta Abhiyan have boosted access, while
various organizations provide skill training and health awareness through technology.
Some sectors enabling rural populations with opportunities through digitisation: -
Education
The Indian edtech market is expanding in rural areas with free digital e-learning platforms like Diksha and E-
Pathshala. These platforms offer educational resources, interactive lessons, and e-books in multiple Indian
languages, promoting inclusive education.
Agriculture
Around 70% of India's rural households depend on agriculture. Agritech startups and government apps like
Karnataka's e-Sahamathi provide solutions such as soil testing, microfinance, and weather updates. These
platforms enable farmers to share crop information and directly sell to retailers, allowing them to negotiate
fair prices for their produce.
Economic Empowerment
The e-Shram portal by the Ministry of Labour and Employment serves as a digital hub for unorganised
workers, offering job access and social security like pensions through the Shramik Card. This initiative
integrates rural India into economic activities, leveraging the JAM trinity for enhanced connectivity and
inclusion.
Women Empowerment
The government empowers rural women with loans, subsidies, and technology. NaMo Drone Didi trains
women to pilot drones for agricultural tasks, acknowledging their significant role in the workforce. Digital
platforms bridge knowledge gaps and enhance efficiency in farming, enabling direct market access for fair
trade without intermediaries.
Challenges
Like all sincere attempts to provide facilities there are certain challenges in the process:
• A persistent challenge is the last-mile connectivity in remote and rural areas, where infrastructure
development is more challenging due to geographical and logistical constraints.
• The affordability factor for internet and digital devices remains a barrier for certain sections of society,
limiting their access to the benefits of digital technologies.
• Empirical studies focused on rural areas are scarce, limiting understanding of digital information access
and technology innovation among rural populations.
• Existing research predominantly concentrates on urban areas or provides a broader overview of the
digital landscape in the country.
• There is a need for comprehensive frameworks that can systematically analyse the factors influencing
the adoption and utilisation of digital information and technological innovation in rural areas.
To tackle these challenges, collaboration among government, private sector, and civil society is crucial.
Priorities include investing in digital infrastructure, expanding internet connectivity, and enhancing digital
literacy and skills development programs to sustain Digital India in rural areas.
Conclusion
Government-led digitalization efforts have improved connectivity in rural India, bridging gaps and enabling
access to digital services and information. This has transformed rural areas into digitally empowered
societies with accessible wireless internet and e-services.
The Bharat Net project aims to enhance rural development by linking villages with high-speed broadband,
boosting efficiency, cutting costs, and broadening access to crucial services. BSNL issued a tender for Bharat
Net III to upgrade 164,000-gram panchayats and connect 47,000 using a ring topology model. Initiatives such
as PMGDISHA have boosted digital literacy in rural areas, empowering residents to use digital tools for
personal and professional advancement. India's adherence to global service standards has attracted
international investments, drove economic modernization and enhancing export capabilities.
Entrepreneurial Innovations
• Innovation-driven entrepreneurship fuels rural development through agri-tech startups and enterprises,
creating jobs and economic growth. Government initiatives like Start-up India and MUDRA loans support
rural entrepreneurs, while social enterprises tackle local challenges with impactful solutions like
Ninjacart, connecting farmers' produce with retailers and restaurants.
• AgriTourism and Home Stays are innovations attracting urbanites to experience rural life with urban
amenities. Villagers in Madhya Pradesh's Orchha, Ujjain, Maihar, Amarkantak, and Dewas districts
receive hospitality training from Bhopal's Hotel Management Institute. Chhattisgarh develops wedding
destinations in Bastar and Surguja, with Jabra village in Dhamtari attracting foreign tourists. Uttarakhand
promotes quality homestays with Rural Business Incubator support and government subsidies.
• Custom Hiring Centres (CHC) nationwide are an entrepreneurial innovation linking youth with
agricultural machine owners to supply equipment to farmers for monetary gain. CHCs bring advanced
technology to farmers, reduce agricultural labor, boost production efficiency, and create rural jobs.
Drones are also widely used in agriculture for monitoring crops, surveys, and precise input application,
with some firms offering custom hiring services to farmers.
Digital Innovations
• The digital revolution has bridged the urban-rural gap in India, driven by initiatives like Digital India. E-
governance, digital payments, and online education now empower rural residents with accessible
information and opportunities.
• Mobile banking and fintech solutions like Unified Payments Interface (UPI) have revolutionised financial
inclusion, making banking services accessible to the unbanked population. This has not only facilitated
savings and investments but also fostered entrepreneurial activities.
• The Central Government emphasizes digital inclusion to drive rural innovation, notably through the 5G
Intelligent Village initiative. Villages like Dharmaj (Gujarat), Ramgarh (Uttar Pradesh), and others
nationwide will benefit from advanced 5G technology for community development initiatives.
• The Meghdoot and Damini Apps from the Ministry of Earth Sciences innovate the agriculture sector.
Meghdoot provides accurate weather updates, and Damini prevents casualties from lightning strikes.
Institutional Innovations
• In addition to sectoral innovations, institutional innovations like Farmer Producer Organisations (FPOs)
provide comprehensive support to small farmers, from inputs to marketing. Self Help Groups (SHGs)
address common challenges through mutual aid. The GS Nirnay app facilitates transparent Gram Sabha
proceedings, supporting rural governance initiatives.
• Sarpanch Samvad, developed by the Quality Council of India, enhances Gram Sabha efficiency by
enabling nationwide sharing of best practices among Sarpanchs and Panchayats. The water budget audit
in Khargone district, Madhya Pradesh, ensures thorough water resource management, recording water
allocation, usage, and conservation efforts.
• Currently piloted in Rasagangli, Chiklavas, and Gadgyam of Jhirnya district, this scheme plans to expand
to 600 villages this year. It collects data on water inflow, usage, and wastage to guide the construction of
water conservation structures like contour bunds, boulder checks, check dams, stop dams, and ponds.
Kerala previously pioneered water budgeting to manage agricultural, horticultural, gardening, and
plantation activities effectively during summer water crises.
Conclusion
• The convergence of innovative technologies, government initiatives, and community
participation is driving holistic rural development in India. These innovations address traditional
challenges and create new growth opportunities. By fostering innovation and scalable solutions,
India can ensure its rural population thrives, supporting its journey to becoming a global
economic powerhouse. The future of rural India is bright, and with sustained efforts, it will shine
even brighter.
The dairy sector has incorporated technology and automation in the following ways:
• Automated Milking Systems: Automated milking systems have revolutionized dairy farm management.
Robotic milking equipment uses sensors to determine when cows are ready, attach milking equipment,
and track milk flow, reducing labor costs and time, thus improving milk output and herd management.
Robotic milking systems use sensors and cameras to identify cows, locate teats, and attach milking
equipment. The technology monitors milk yield, quality, milking frequency, and cow behaviour in real-
time.
• Data-Driven Decision-Making: Modern dairy farms rely on technology to collect and analyse data across
operations, including monitoring cattle health and welfare through wearables and sensors. This data-
driven approach enables timely detection and treatment of issues, resulting in healthier, more
productive cows and increased milk production. Data collection is crucial, but processing and analysis are
key for valuable insights. These decisions impact risk management, resource allocation, marketing
strategies, and product development.
• Precision Feeding: Precision feeding, an advanced livestock nutrition approach, customizes diets with
specialized technology to optimize animal nutrition, particularly in dairy farming. Automated systems
adjust feed amounts based on each cow's needs, reducing waste and enhancing milk production and
overall herd health.
• Sustainable Practices: Dairy producers are increasingly adopting sustainable practices using technology
and automation to reduce environmental impact. Smart barns and automated irrigation systems
conserve water and energy, while manure management technologies convert waste into biogas, further
lowering environmental footprint.
• Inventory and Supply Chain Management: Effective resource management is critical for dairy farm
profitability. Inventory management software tracks feed, medicine, and supplies to prevent shortages
or overstocking, optimizing herd health and ensuring efficient milk collection and processing.
• The Future of Dairy Farm Management: Dairy farm management is advancing with artificial intelligence
and robotics. These technologies handle tasks like sorting cows, cleaning barns, and even feeding with
autonomous trucks. AI predicts health issues and behaviour in cows for proactive care.
• Digitalisation: Digitalization marks a critical next step for the dairy industry, enhancing efficiency and
addressing current challenges. Areas like AI-driven predictive analysis, robotic milking, and livestock
management are already seeing digital transformation, with more growth expected.
• Cognitive Health & Dairy: Since the pandemic began, concerns about declining cognitive health have
risen. Individuals struggling with work-life balance, like homemakers, health professionals, and stressed
students, are turning to functional meals, with dairy companies innovating in this area.
• Dairy-based Sports and Nutrition: Sports drinks, originally designed for athletes, provide hydration and
energy but often contain sugar and additives. With growing health concerns, consumers prefer healthier
options like milk, which offers essential nutrients including calcium, vitamin D, carbs, and electrolytes.
Conclusion
• Technology and automation have revolutionized dairy farm management, making operations more
efficient, economical, and sustainable. Automated milking systems, data-driven decision-making,
precision feeding, and sustainable practices are key advancements driving this change. Technological
advancements have enhanced every aspect of dairy farm management, optimizing nutrition through
precision feeding, enabling informed decisions with data-driven analytics, and improving efficiency and
cow welfare with automated milking systems.
• Technology's impact on dairy farm management is pivotal for future development, benefiting consumers
and producers by enabling sustainable, high-quality dairy products.
Healthcare
• In rural areas, accessing quality healthcare is a challenge as most skilled professionals prefer urban
settings. Digital innovations like e-Sanjeevani, India's national telemedicine service, have transformed
rural healthcare, with over 241 million consultations conducted since its launch in 2019, benefiting
primarily women and senior citizens.
• C-DAC, Mohali, in collaboration with MoHFW, India, developed e-Sanjeevani since 2018. It's tailored for
over 1,55,000 Ayushman Arogya Mandir across India, using a Hub-Spokes model. At Health & Wellness
Centres, community health officers facilitate teleconsultations with specialists in hubs at higher-level
health facilities or medical colleges.
Education
• Urban-rural education disparities deepen social inequality, favouring urban children with better school
and extracurricular choices. Internet access and educational apps have levelled opportunities, especially
during the pandemic, enabling rural children to access world-class resources easily, aided by cheaper
data and digital devices.
• AI integration enables personalized learning environments. Mobile apps, internet courses, and
interactive platforms enhanced by AI algorithms offer accessible, high-quality educational materials. AI's
expansive capabilities reduce costs, easing financial burdens associated with traditional teaching
methods.
Agriculture
• Around 70% of rural households rely on agriculture for livelihood. Challenges such as climate change,
pest outbreaks, and limited access to insurance and market information worsen income disparities
among farmers. Technological advancements offer potential for profitable and sustainable agricultural
practices.
• Drones have revolutionized agriculture with precision spraying, crop monitoring, and soil assessment. AI-
equipped drones enhance irrigation efficiency by detecting moisture levels. The Indian government
subsidizes drone purchases, covering up to 50% (Rs. 5.00 lakhs) for certain farmers and 40% (Rs. 4.00
lakhs) for others.
• Farm insurance digitization has expedited claim processing. Mobile apps linked to crop insurance enable
farmers to access coverage details, calculate premiums, and report losses. Initiatives like WINDS improve
weather data collection, aiding insurance accuracy. Apps like Kisan Call Centre provide agricultural
information and market updates.
Conclusion
Innovation in rural India has contributed significantly towards the sustainable development goals (SDGs) and
is well aligned with the Prime Minister's vision of Collective Efforts, and Inclusive Growth. However, since
most of the life-easing innovations are mounted on digital platforms, robust digital infrastructure is essential
to sustain the growth and development in rural India. It is also vital to be cautious about the urban bias
among large firms which could be detrimental to the idea of rural inclusiveness.