Tuesday, March 16, 2010

Research on “Mobile Phones for Agricultural Development in Sri Lanka”

With the exponential growth of mobile telephony in developing world, mainly in Asia, Africa
and Latin America, the mobile phone has become one of the best channels to reach the rural
farmers.

Here in Sri Lanka, already there are some mobile phone (telephone) based initiatives to provide
the agricultural and other related services. In this research some of the existing initiatives were
studied to understand the reasons for success/failure and new ways for improvements;

Following are three main initiatives studied;

1920 – Agrarian advisory service by Ministry of Agriculture

1919 – Government Information Centre, Telephone Service
GovSMS –SMS based Commodity Price Dissemination Service

The survey was conducted in Dambull (in Central Province of Sri Lanka) area with hundred
(100) vegetable and fruit farmers and covered many areas such as; Agricultural information
requirements of farmers, practical challenges, their existing information sources, their
perceptions and expectations with regard to mobile telephony in agriculture, technical aspects,
financial aspects, etc.

Thursday, December 24, 2009

Dialog tradenet - Agricultural Commodity Prices via Mobile Phones
 Minister of Trade, Marketing Development,
Cooperatives and Consumer Affairs, Bandula Gunawardena, is addressing gathering at the
launch on 22nd December 2009.

Dialog Telekom, a telecommunication company, together with Farmer Intelligence Services

[Govi Gnana Seva (GGS)] has launched a service to deliver spot and forward agricultural
commodity price information via mobile phones.

Dialog tradenet is a project initiated by the Dialog’s ICT4D team to go beyond the conventional
entertainment focused Value Added Services and make a meaningful relevance of ICT to the all
the segments of the society, especially to the Bottom of the Pyramid (BoP). So everyone will be
able to reap the dividends of ICT for their own socio-economic development.

Initially this will provide agri-produce price information from three Dedicated Economic Centres
in Sri Lanka (Dambulla, Meegoda and Narahenpita). The scope of tradenet will be gradually
expanded to industrial and service sectors also. GGS, as an organisation with the expertise on
agriculture markets has joined with a technology expert, Dialog to make this initiative a success,
by making it a win-win-win solution for all, including the poor farmers.

Among many other unique features, the usage of multiple channels/technologies to reach the
end-users has made the system Affordable, Available and Accessible to the all the levels of the
society including the BoP.

Call Centre : 977 (in local languages)

SMS : (in local languages)
Web : http://www.tradenet.dialog.lk/ (in local languages)
WAP : tradenetwap.dialog.lk
USSD : #977#

Moving farmers from subsistence agriculture to some level of agri-business will help them to
come out of poverty. But for those poor farmers to actively participate in agri-business we have
to create efficient agricultural markets with minimum information asymmetry
 http://www.tradenet.dialog.lk/login.aspx?lang=en-US
What is Dialog tradenet

Dialog tradenet is a convenient way to buy and sell goods and services in Sri Lanka from the convenience of your mobile phone or through the internet. To
get started all you need to do is register with us using your ‘MyAccount’ user name and password. Once you’ve logged in to Dialog tradenet you can either
advertise your goods and services for sale and/or post your requirements that you’re looking to purchase, it’s that simple. All posts are free of charge. Your
information posts will be then matched with other prospective buyer’s/seller’s information posts and you will be alerted via your mobile phone for a nominal
fee. Sign up now and experience the convenience of online trading.

A ‘buyer’ is a user such as a business or individual who wishes to buy a product or service based on information available to them through the Dialog
tradenet database

A ‘seller’ is a user such as a business or individual who wishes to sell a product or service by adding the related information on the Dialog tradenet database

How to access tradenet?

To access tradenet you have to use your MyAccount account’s user name and password. This is to ensure proper
authentication and privacy of your personal information at all times.

If you already have a MyAccount login please enter your user name and password here to sign in. If you don’t have a
MyAccount login please click on sign up link to register. (Please return to this page once you have registered yourself
on MyAccount and have a login user name and password)

For any assistance on the registration process please contact 0777678678

Sri Lankan low income customers can use mobiles more for business: study
Mar 09, 2009 (LBO) - Sri Lankans low income customers of mobile communications, used phones least for business
related activities in the region, potentially opening up a new marketing opportunity for celcos, a new study has found.
The so-called bottom-of-the-pyramid (BOP) mobile customers in Bangladesh used phones most for business, financial
or work related activities a new study by the policy think tank, LirneAsia has found.

"Sri Lanka is at the lowest end where only 21 percent people said they used the phone daily for business related
transactions" said Harsha de Silva, lead economist of LIRNEasia said.

"Whereas in case of Bangladesh where we heard so about phones and using phones as ways of getting out of poverty.
And micro finance entrepreneur use was very high, whereas in Sri Lanka it was very low."

The LIRNEAsia mobile survey shows that 72 percent of BOP customers in Bangladesh use mobile phones daily for
business activities, the highest in South Asia.

In India it was 42 percent and in Pakistan it was 31. In East Asia Philippines BOP customers who used mobiles
regularly for business was 49 percent and in Thailand it was 32 percent.

In Sri Lanka the household income of customers that used mobiles phones for business was also higher at 183 US
dollars a month against 92 US dollars for those who did not.
"People who use phones for such activities have a higher income and people who don't have a lower income," said De
Silva.

"So it's fairly clear, people who use it seemed to be benefiting and people who don't seem not to be benefiting. I'm not
saying there is a causality. But I'm saying there is a correlation between the two."
Only 14 percent of the Bangaladeshi BOP households never used used mobile phones for any business related
communications.

. Most Sri Lankan users also saw the benefit of saving transport costs, but did not perceive benefits for using phones
for business.

"This probably presents an opportunity for marketing phones for business uses," says LirneAsia executive director
Rohan Samarajiva.

"In Sri Lanka most advertisements are directed at keeping in touch with people and family members."

As much as 70 percent of Sri Lanka BOP households surveyed said they never used fixed lines for business purposes.

In mobiles 50 percent of BOP households in Sri Lanka said they never used mobiles for any business related
communications.

BOP telecom users in Sri Lanka saw the largest perceived benefits for emergency communications and relationship
maintenance.

Bangladesh was the most optimistic on livelihood related benefits that can be derived from mobile phones ranging from
directly selling calls to third users to finding jobs and market prices,

Bangladeshi women entrepreneurs utilized the micro finance made available from the Grameen Bank to setup mobile
communications kiosks at rural villages that the public can use to make calls.

This was especially beneficial for those who could not afford a mobile phone, but could take a relatively cheap phone
call and save money on transport costs.

The study found that the disparity between urban and rural Sri Lanka was almost not existent.

Among urban BOP users, 54 percent said they did not use mobiles for business communications while 50 percent of
rural house holds surveyed also said they did not use mobiles for business purposes.

Farming Message:

Sri Lankan farmers can gain from mobile phone services: expert
Dec 14, 2009 (LBO) – Mobile phone message services like one deployed by the financial news agency Reuters to over
a million farmers in India, could help Sri Lankan farmers earn more for their produce, experts said.
Ranjit Pawar of Reuters Market Light, India said their SMS (short message service) in India provide farmers timely
information and helps eliminate middlemen.

"A farmer told me, 'If I had timely information I could have made 40 percent more money,' when we launched the short
message service in India," Pawar told a seminar on knowledge based economies.

It was organized by LIRNEasia, a regional think tank based in Colombo, Sri Lanka.

Reuters provides three to five SMS in the local language to Indian farmers who call to a toll free number and make a
request on what commodities their interested in, Pawar said.

It helps farmers get information like weather forecasts and the best time to harvest to get the best prices for their
produce.

The SMS service, offered free of charge at the 2007 test launch in the Indian state of Maharashtra, has now gone
commercial with farmers charged a monthly subscription fee.

"Through this system farmers know the prices and come directly to the market for the sale," Pawar said.
In the last six months Reuters Market we have gone from three states to nine states with a subscription of a million
farmers, Pawar said.

This service helps eliminate 'middleman' who reduce farmers' margins and also helped reduced wastage of perishable
foods such as vegetables and fruits, he said.

"Farmers (in India) get as little as 25 percent of the value of their raw produce as against 40 to 45 percent in the US
and UK," Pawar said.

Sri Lankan economists told the LIRNEasia seminar that local farmers should emulate their counterparts in India and
use a mobile phone-based agri-business platform that can eliminate 'middleman' who eat into margins and push up end
buyer prices.

An information technology-based based electronic pricing board was set up in Dambulla, a town at the heart of key
farming regions in north-central Sri Lanka, 100 miles north of Colombo.

It was meant to smoothen erratic price movements but achieved mixed results.

Harsha De Silva, lead economist at LIRNEasia said about 1,500 trucks leave Dambulla daily with agricultural produce,
making it an important centre for farmers.

Before the ICT service was introduced getting prices proved difficult, with people having to visit around 100 plus stalls
to see what the best prices were.

"Here the transaction costs were high, so we wanted an information system to show the current prices."

People armed with personal digital assistants were deployed to collect data on prices which were then displayed on a
public information board on a real-time basis.

"It lets the farmer strategize his business and decide when to sell," De Silva said.

"The problem is when the prices are low they end up throwing the produce as it's not worth taking it to the market," De
Silva said. "For any market to run proper, markets have to be efficient."

In most developing countries integrating technology is a difficult as rural people have low information and
communication technology (ICT) literacy.

In India, farmers did not know how to download the information, so a 'push' service was given that made it easier for
them to download the operating software on to their mobile phones to activate the Reuters Market Light service, Pawar
said.

"We had to build everything end-to-end, the entire value chain," Pawar said. "We have telecom companies that are
partnering with us."

"The farmers came back saying they see the value in this service and don't mind paying a small fee to obtain the
service," Pawar said.

"That gave us the confidence to launch it commercially," Pawar said.

e-Sri Lanka: what is in it for Agriculture?
• Posted by Seuwandi Yapa on July 27, 2009 at 4:42am
• View Seuwandi Yapa's blog

ICTA is the implementing organization for the e-Sri Lanka Development Programme a national development initiative, with the
objective of using Information and Communication Technology (ICT) to foster social integration, peace, and economic growth. To
fulfill its mandate, ICTA has presently implemented several programs. The e-Society Development Initiative (e-SDI) is one of the
significant projects launched by the ICTA for facilitates and assists the agricultural sector of the country.

Goals and Purpose of the e-Society Development Programme

Sri Lanka has a population of 20.2 million (2008), 41.6% of which live on less than US$ 2 per day (1995 - 2000), (Central Bank
Statistics, 2008). With an estimated 70% of this population is lower income group living outside the metropolitan area and they are
predominantly rural. There has been growing concern that even as the reach of the Internet and wireless communication
technologies continue to expand at unprecedented rates around the world, it is not reaching the rural poor and other disadvantaged
communities. The e-Society Development Initiative (e-SDI), evolved from the e-Society Programme by ICTA, seeks to address this
situation.

The overall goal of the e-SDI is to

(1) Facilitate access to ICT amongst the most vulnerable groups in Sri Lanka,
(2) Assist in closing the development divide between urban and rural,
(3) Help integrate post-conflict regions,
(4) Promote greater local content in local language,
(5) Pilot innovative applications of ICT to improve quality of life of the target communities.

It draws upon the ‘e-Sri Lanka ICT Development Road Map’ in the formulation of its goals, specifically the vision of “taking the
dividends of ICT to every village, to every citizen, to every business and also transform the way Government works…”.

Relevance to Agriculture
Sri Lanka’s economy has traditionally relied heavily on the agricultural sector. Although its contribution to the GDP has declined over
the years and accounts for just over 11%, agriculture is still the most important source of employment in rural areas. Even today
32.7% of the employed persons in the country are engaged in agriculture (Central Bank Statistics, 2008). However the sector has
had to face many challenges in recent times – irregular weather patterns brought on by climate change, declining soil fertility, and
decrease in land available for cultivation resulting from growing urbanization. Furthermore globalization of world markets has led to
more and more imported goods coming into the country at very competitive prices. Consumers have also become more discerning
and farmers are increasingly called upon to conform to higher quality standards.

The vast developments that have taken place in the field of Information and Communication Technologies have had its impact on
the Agricultural Sector and it is now recognized that ICT has a major role to play in enhancing food security and supporting rural
livelihoods.

Implications for the Agriculture Sector

e-Society Program has its competency and capacity to play a major role in taking the dividends of ICT to significant numbers of
people who lived in rural areas and whose livelihood depend on agriculture. Timely information on pest and disease could save an
entire crop; information on new techniques of farming and new crop varieties can lead to increased production and improved quality;
real time market information can enable the farmer to make informed decisions which could lead to improved incomes.

The e-SDI served to create significant interest amongst grassroots organizations as well as organizations which serve the
grassroots. 132 projects have being implemented at the grassroots by community based organization 22 have focused on delivering
agriculture related services to the community. These projects have objectives ranging from providing real time market information to
documenting and digitizing traditional techniques of agriculture. For instance, a project launched by Wana Arana in Padeniya sought
to build a data base and create awareness on the traditional varieties of rice.

Projects launched through the financial support of Partnership Assistance Program (PAP) served to create localized content in local
language, develop new and innovative platforms for disseminating this content and developing farmer capacity and capabilities in
using Information Communication Technologies. Six of the 32 projects initiated under the Partnership Assistance Programme
address needs of the Agricultural Sector.
ICT4Agriculture in Practice
The following are some of the most successful and innovative projects initiated through the ICT Agency’s e-Society Program. All
following projects were launched with the grant approved through the Partnership Assiatance Program (PAP).

Improving Productivity of Diary Based Activities at the Grassroots:

A Project by Dambadeniya Development Foundation
This project targets dairy farmers in Alawwa and Narammala in the Kurunegala District. The need for this intervention stems from
the fact that Dairy farming systems are probably among the most complex of the agricultural production systems. Whereas in most
other systems, inputs and outputs occur a few times per year and they relate to one or two products, the dairy system is one in
which inputs and outputs are continuous: e.g. milk, births, deaths, sales or purchases of animals and animal feed. To maximize on
returns the farmer needs to make informed decisions almost on a continuous basis and this he can do only if he access to this
information in a timely manner. Moreover this information needs to be available to him in his language. The technology that is used
to deliver this information to him needs to be simple and effective.
Taking these factors into consideration the project has focused on the following key activities:
• Creating a data base of relevant information in local language
• Development of an SMS enabled platform.
• Giving access to the data base through short codes and creating awareness amongst farmers on short codes to be used for
specific information needs.
• The SMS will not only enable the farmer to access the needed information but it can also trigger an alert to veterinarians and other
service providers in the area. e.g. the farmer can send a short code SMS requesting a visit from an extension officer in response to
which the system will automatically generate an SMS to the extension officer with the farmer’s details.
• Setting up a network of CDMA/Mobile phones with solar phone chargers to cater to areas without electricity connection. The
purchase of mobile phones is made possible through the Foundation’s microfinance arm.
• Setting up a network of computers with touch screens in public places to enable those without a mobile/ CDMA connection to
access the system. These computers will also enable easy access to information on important topics, including best practices in
dairy farming.

Web Based Agricultural Wikipedia and e-Learning System:

A project by Audio Visual Centre, Department of Agriculture
A web based Wikipedia and a web based e-learning system has been established (http://www.goviya.lk) to facilitate farmer training.
The Wikipedia contains specific information related to all major local crops and is enriched with audio, video and flash animation.
This content will be further developed and expanded with knowledge and information added, edited, changed or deleted on a
continuing basis. It is expected that with time it would develop into a comprehensive compilation of agricultural and agriculture
related information.

The system is structured with predefined levels of rights and privileges. For instance the login page of this Wikipedia can only be
edited by the Administrator while the Cyber Units Agriculture Instructors (AIs) will have their own pages which constitute the
community portal. These pages can be edited by the agricultural instructors as well as farmer and their family members.

The Wikipedia is coupled with an e-learning system with multiple levels of administration privileges depending on the user - the
administrator, the Course Facilitators and the student. The unique feature of this project is the concept of interlinking of the e-
learning system with a community driven dynamic agricultural data base – the Agricultural Wikipedia. Farmers enrich the site with
their own ideas, and practical experiences. It is then open to other farmers who can learn from it or improve on it or edit it as they
think fit. The end result would be an effective, tested knowledge pool.

www.goviya.lk
www.goviya.lk/agri_learning

Nava Goviya:
A project by CIC Agrochemicals Ltd.
This project focuses on 5 districts – Anuradhapura, Matale, Badulla, Moneragala and Kandy. It seeks to improve agricultural
productivity and product quality through a modern online agriculture knowledge learning portal and is developed both in Sinhala and
Tamil Languages. The curriculum is specially designed with inputs from agricultural professionals. It provides modern farming
knowledge on crop selection, land use planning, pests and fertilizer control, farming management, harvesting, post harvest
technologies and food processing. It also addresses the development of farming business skills like market reach, banking and
commodity exporting. The content is enriched with case studies and made attractive and user friendly with video, animation and
graphics.
This content encourages sustainable agriculture, recycling of natural wastes, use of appropriate technology, planned use of
fertilizers and chemicals to enable better yields combined with increasing soil fertility and an improved environment.

SMS Enabled Commodity Trade Matching Portal:

A project by Sarvodaya - Fusion
This project leverages on the convergence of Mobile Phones and an Online Trading Platform to improve the rural commodity trading
environment.

The SMS enabled Commodity Trade Matching Portal contains details of requests from buyers for bulk purchases of various crops
as well as details of sellers who have on offer various produce. Sellers and buyers can send their requests and offers to this portal
via coded SMSs. When a seller and buyer are matched by commodity and district, the system will generate SMSs to both parties
with contact information in order to facilitate the actual transaction.

A daily summary of requirements is also sent via SMS to all parties registered with the portal. This gives them a clear understanding
of the market situation. All the main activities and reports in the portal are available to buyers and sellers via SMS but if they so wish
they can also log on to the site to view the trading activity.

The initial pilot of this project has been launched in Kandy and Nuwara Eliya districts.

Crop Price Tracker:

The ICT Agency of Sri Lanka, ICTA developed the Crop Price Tracker (CPT), as a means of supporting farmers in making informed
decisions with regard to choice of crop at the time of cultivation, when to harvest and at what prices to market their crops. It can also
help traders in making decision with regard to sales and purchases; agricultural economists in analyzing market trends and making
projections; the general public in understanding day to day fluctuations in market prices.

The CPT has at is back end a data base on crop prices updated directly from commercial centres. The system provides for
uploading of prices from multiple locations. Currently prices are being uploaded from the Dambulla Economic Centre and it is
expected to be expanded to include the Meegoda Economic Centre as well. The CPT is accessible from the website of the
Department of Agriculture. (http://www.agridept.gov.lk/marketingInfo.php)

Some of the key features of the CPT are as follows:

• Presents real time market prices
• Graphical representation of crop prices depicting trends over a period of time
• An SMS gateway which enables the retrieval of prices via short code messages sent through a mobile phone.
• Prices can be uploaded from multiple locations
• The site is enabled in all three languages
• Report generation – daily, monthly, annually
• Price fluctuation of a given crop over a period of time can be displayed graphically and concurrently with four other crops.

Extracted from a project overview by

Chitranganie Mubarak,
Programme Head,
Information Communication Technology Agency of Sri Lanka