E-CHOUPAL

Prepared By:Chandrakanta Parida

Roll No.-06MBA 3rd Sem.

SAMBALPUR UNIVERSITY

INTRODUCTION• The e-choupal is a concept which is applicable to

any agricultural & allied activity in rural India.Developed by ITC agri-business divisionBrainchild of S Sivakumar.Promoted by Y.C Deveshwar, chairman ITC

Launched in 2000.Benefits 4 million farmers in 40000 villages.

Farm linkages in 14 states.

e-CHOUPAL CONCEPT

e-choupal is a Hindi word which means “village meeting place” . Market is a meeting place where vendors and customers come together to do transactions. e-choupal is a virtual market place where farmers can transact directly with a processor and can realize better price for their produce.

The idea of creating and leveraging an electronic market place came from the brainstorming session done by senior executives of ITC.

Conti… An initiative of ITC Limited to link directly

with rural farmers via the Internet for procurement of agricultural & aquaculture products like soybeans, wheat, coffee, and prawns.

The programme involves the installation of computers with Internet access in rural areas of India to offer farmers up-to-date marketing and agricultural information.

Effects of e-Choupal

• ITC Limited has provided computers and Internet access in rural areas across several agricultural regions of the country, where the farmers can directly negotiate the sale of their produce with ITC Limited.

Conti…Online access enables farmers to obtain

information on mandi prices, and good farming practices, and to place orders for agricultural inputs like seeds and fertilizers.

Each ITC Limited kiosk having Internet access is run by a sanchalak — a trained farmer.  

The computer is housed in the sanchalak's house and is linked to the Internet 

CHARACTERSTICS OF ITC e- CHOUPAL

Customer centric.Used for many commodities and multiple

transactions.Uses local talent and local people and

develops local leaders.Extended to local as well as global procures

Nurtures local entrepreneursUnique CRM programme in commodity

exports

SYSTEMS OF e-CHOUPALCHOUPAL SAGARSANCHALAKFARMERSITCSAMYOJAKPC and INTERNET

04/08/2023

7 Rules E-Choupal

1. Strong Leadership

2. Integrate into Business Model

3. Align Type& Amount

4. Manage theTension

5. Netralize Antibodies

6. Recognize Networks

7. Rewards & Incentives

Source: Making Innovation Work (Davila, Epstein, Shelton)

2

1 3 5 7

4

6

e-CHOUPAL SUPPLY CHAINFarmer

Sanchalak

Product and Service Providers

Information and Prices

Payments, Labor, Transportation and Storage

0.5%

WORKING MODEL

Sanchalak

Information

Information to Farmer

Input

Output

Sell Output

Kiosks

Weather

Pricing

World Market Price

Education

News

Best Practices

Others

Q & A

INFORMATION AVAILABLE(e-CHOUPAL)

BENEFITS OF e-CHOUPALOn time Information Payment on DeliveryTransportation Costs are reimbursedNo MalpracticesReduction in transportation cycleReduction in wastage and spillageLower Cost of Inputs for Farmer as well

as ITCSupply SecuritySave of US$6(Rs 270) per metric tonne

GENERAL PRODUCTS OF ITC e- CHOUPALProcessed Fruits (Mango, Guava, Papaya

etc.)Food Grains (Rice, Wheat and Pulses)Feed Ingredients (Soya bean )Edible Nut (Groundnut)Coffee & Spices Marine Products (Shrimps and Prawns )

SOCIAL IMPACT OF e-CHOUPAL

E-CHOUPAL

Farmers

ITCGovernment

Society

•Better Returns•Education•Social Security

•Lower Cost of Inputs•Better Relations•Supply Security•Improvement in

Productivity•Reduction in Disparity•Reduction in Hoarding & Blackmarketing

•Lower cost of products•Social Stability•Check Migration to Cities

CURRENT NETWORK SIZE E-Choupal cover 10 states where 40,000

villages. Have 6500 e-choupals and around 4 million

farmers have been empowered.Its future planning is intend scale up to

20,000 e-choupal covering 100,000 villages in 15 states.