Rural EntrepreneurshipEntrepreneurship Management

Rural entrepreneurship means rural industrialization.

Industrialization can not originate (or) sustain without entrepreneurship

whether rural (or) urban.

Rural entrepreneurship is the only solution to rural poverty and

backwardness.

• IntroductionDefinition

Unfair Trade Policy•Rural Industries

• Rural industries are generally associated with agriculture. • According to khadi and village industries commission (KVIC),

‘village industry (or) a rural industry means industry located in rural areas, population of which doesn’t exceed 10000 (or) such figure which produces any goods (or) renders any services with (or) without use of power and in which the fixed capital investment perhead of an artisan (or) a worker doesn’t exceed 1000 rupees’.

• As per the modified definition, an industry located in rural area, village (or) town with a population of 20000 and below and an investment of RS.3 crores in (plant and machinery, land and building) is classified as village industry.

•Rural Industries

•Rural IndustriesExamples

• Very low investment.• Low gestation period.• Use of traditional skills.• Decentralized production system.• Products are rather essential mass consumer goods (or)

handicrafts.• Use of locally available raw-material (in a few cases).• Cater to limited markets.• Products are becoming popular in foreign markets for their

unique nature and aesthetic nature.

A rural industry has following features:•Features of Rural Industries

Potential Sectors•Rural Entrepreneurship

Training Projects

Agriculture

Micro-Finance

FMCG

Women Empowerment

Crafts and Arts

Training projects are most probably the most beneficial Entrepreneurship projects ever been for the those people.

Training could be given on any basis; it could be agricultural or marketing or new techniques and even lean methods can be taught to the people to enhance their growth in any sector.

HP’s photo training and Drishtee’s training projects have by far been the most successful projects and have led to an increase in the industrial growth of Rural Industries.

Training Projects•Potential Sectors

•Rural Training VentureTraining Centers

Considering social entrepreneurship, Women empowerment is an ever favorite topic.

Marginalization of women is also a potential sector which requires as much attention as Women empowerment today.

This sector is ever developing as most of the cottage and small-scale industries are dependent on women.

As for today’s scenario - More the working women, merrier the economy.

Women Empowerment•Potential Sectors

•Rural EntrepreneurshipWomen Empowerment Programs

All of us are very familiar with AMUL – a cooperative that is now the leader in dairy products.

AMUL emerged to be one of the most successful entrepreneurship venture so far in the FMCG industry.

Considering the details, products like ‘shakkar’(brown sugar), cane, edible food products and dairy products can also formulate a project similar to that of AMUL and help in the growth of the Rural sector.

Consumer Brands• Potential Sectors

•Rural Entrepreneurship Consumer Brands

Micro-Finance implies small finances particular to small needs of people in the rural sector.

This is potentially a very favorable sector considering the needs of Rural sectors which range from tractors to purchase of seeds and household products.

Microfinance service provides loans for all type of needs and requirements; the loan price starts from Rs. 2000.

SKS is one such organization operating in India which provides micro-finance options for Rural Areas.

Microfinance•Potential Sectors

MicroFinance•Rural Entrepreneurship

One of the most undeveloped sector of rural industries is Art and Crafts.

There are numerous artisans and guilds working in rural areas that never get recognized.

A new concept can be developed for the upliftment of such artisans and craftsmen and must be given recognition and Fair-trade value for their works.

Crafts and Arts•Potential Sectors

•Rural EntrepreneurshipArts and Crafts

One of the most recognized rural sector is agriculture.

The government comes up with new plans almost every year to help farmers increase their yield.

AGRISNET, AgRIS, AGMARKNET, SeedNet and eKrishi are the most popular programs guided towards people empowerment in rural areas in the field of agriculture.

This can be seen with the view that most rural entrepreneurs realize that Agriculture is probably the most ROI friendly sector.

Agriculture•Potential Sectors

Agriculture•Rural Entrepreneurship

• SOME ENTREPRENEURSHIP VENTURES IN RURAL INDIA

Rural Entrepreneurship

Drishtee is a social enterprise focused exclusively on rural

India.

Like most great ideas, Drishtee was born

from the passionate belief in professional

solutions. The founders understood

all too well the shortcomings of

existing solutions to reach the people at

the base of the pyramid and the difficulties and

frustrations they inspired.

Rather than to accept these challenges, they

developed a better way to reach the

people at the helm of exclusion.

Drishtee•Rural Entrepreneurship Ventures

Kiosk Concept•Drishtee

Microfinance is an effective tool

that can help reduce poverty

and spread economic

opportunity by giving poor

people access to financial services, such as credit and

insurance.

SKS distributes small loans that

begin at Rs. 2,000 to Rs. 12,000

(about $44-$260) to poor women so they can start

and expand simple businesses and increase their

incomes.

Their micro-enterprises range from raising cows and goats in order to sell their milk,

to opening a village tea stall.

SKS Microfinance•Rural Entrepreneurship Ventures

SKS uses the group

lending model

where poor women

guarantee each other’s

loans.

Borrowers undergo financial literacy

training and must pass a test before

they are allowed to

take out loans.

Re-payment rates on our collateral-free loans are more than 99%

because of this

systematic process.

SKS also offers micro-insurance to the poor as

well as financing for other goods and services that can help

them combat poverty.

SKS Microfinance•Rural Entrepreneurship Ventures

Attractive Rates•SKS MicroFinance

• 1. Providing information to farmers on inputs so that they get alerted on quantity on the input and its supply chain.

• 2. Providing information of Govt. schemes implemented in the state.

• 3. Providing recommendations based on soil test results and reduce indiscriminate use of fertilizers soil health.

• 4. Updates farmers on latest technology in Agriculture sector for improved productivity and quality farmers.

AGRISNET services and it's goal :

AGRISNET•Rural Entrepreneurship Ventures

•AGRISNET

As a step towards globalization of agriculture, the Directorate

of Marketing & Inspection (OMI) has embarked upon an

ICT project: NICNET based Agricultural Marketing

Information System Network (AGMARKNET)" in the country,

during the Ninth Plan, for linking all important APMCS (Agricultural Produce Market

Committees), State Agricultural marketing Boards /

Directorates and OMI regional offices located throughout the

country, for effective information exchange on

market prices NIC implements this project on a turn-key basis.

AGMARKNET•Rural Entrepreneurship Ventures

•AGMARKENT

Thank You!Pulkit SharmaDFT - VI