GROUP

2
 NAME REG.NO.


 Tanmay Gangwar 091202064



 Abhilash G 091202084


 Shanawaz Thota 091202115



 Pratham Hegde 091202073



 Anamika P. Kanoi 091202047


 Introduction
 In the year 2000 e-choupal was introduced.


 It was an initiative taken by the ITC group



 It eliminated the middlemen and gave justice

to farmers for their produce.


 It used digital technology to spread

knowledge among the farmers

 e Choupal is an initiative of
ITC Limited (a large multi
business conglomerate in India)
to link directly with rural
farmers for procurement of
agricultural produce like
soybeans, wheat, coffee.

eChoupal was conceived to tackle the

challenges posed by the unique features
of Indian agriculture, characterized by
fragmented farms, weak infrastructure and
the involvement of numerous
intermediaries
  e-choupal was born in 2000 with determination to
capture more of the soybean crop, which it turns
into oil to sell in India and into animal feed to
export.


 ITC then had to buy from the traders or markets,

with little quality control and high transaction
costs.

 The idea of the e-choupals allowed the company to
buy more directly from farmers.
 e-choupals allow farmers to check prices the night
before, and then decide whether they want to sell
directly to the company the next day.

Q.1.Discuss the business benefits of e-choupal


initiative
 Business benefits
 Increase in turnover because of the
Sanchalak`s activities.

 Increase in the quality of the produce(soya
bean) as a result of various amenities
provided by ITC.

 It paved way for the to sell various other
sundries such as gas lanterns, soya bean oil
etc

  Low cost incurred in logistics management as a
result of involvement of sanchalaks and
samyojaks.

 Leverages public image and corporate citizenship.

 Competitive pricing due to full control over the
produce.


 Direct buying reduced the chance of the produce

being adulterated with impurities.

 It helped in gaining information from the direct
source (experience of the farmers) which was an
added advantage for the company


Q.2. What are the changes that are brought in the


supply chain through e-choupal?

Changes in the supply chain
 Elimination of middlemen

 Web technology brought price discovery to the
village level

 Farmers could schedule their buying and
selling

 Introduction of selling outside the mandi

One stop shop:
selling the goods at ITC processing facility.


 Adoption of ITC hubs

  Role of sanchalak:
◦ Control samples for quality comparison.
 “Best material price” for “best quality beans”


 Role of samyojaks :
The commission agents (CA) are entitled with the
new name as ‘‘samyojak’’.
They comprised major responsibilities like

 i) Setting up the e choupals.

 ii) Facilitating ITC’s purchasing transactions
 iii) Helping with ITC’s selling transaction.

Q . 3 . Identify the Key Components of ITC - e
choupal implementation that lead to its
success
 Key Components
 Weather Page


 e choupal weather page communicates accurate

information of a regional weather. By this farmer
gets a localized forecast.


 This knowledge made a lot of difference in timing

of various farm operation such as applications of
herbicides & fertilizers.


 It also provide information of proper time of

harvesting.


 e choupal gets its localized weather forecast form

Meteorological Department.
 BEST PRACTICE PAGE


 This page provides information about what other

farmer with similar land & crop volume is doing or
what kind of method they are using for their
cultivation in other part of the country.

 This knowledge help farmers to understand the gap
between their method & other farmer’s method.

 It also helps farmer to prepare soil before sowing. It
also tells how to space the seeds.
 MARKET INFORMATION


 This page provide link to



Ø World demand
Ø World production
Ø Mandi trading volume
Ø Mandi price list
Ø
Ø
 Q&A Forum


Ø Here panel of experts answers various different

questions of farmers on different issue.


Ø The question from all of currently operating e

choupal were stored in central database so farmer
in other location would be able to access
information & use it.
Ø
Ø
 NEWS PAGE


Ø News on government decision on subsidies.

Ø
Ø Changes in minimum support price.
Ø
Ø
Ø
Q.4. Identify key strategic intentions of the


initiative.
  To improve its revenue standing in its
International Business Division (IBD) which was
lagging behind compared to other divisions of
ITC.


 To educate the farmers on different methods of

harvesting & selling their agriculture goods.

 To overcome the unfair trade practices in Indian
agriculture sector which was affecting both
farmer (seller) & ITC(buyer).

 The main intention was providing farmers with
various tools which will make them realize that
selling directly to ITC is better than selling
their harvest to mandi.