NGOs help push rural FMCG sales

Groups are not required to deposit any safety amount.

A group of NGOs have volunteered to create self-employment opportunities for women and unemployed youth in rural areas.

These NGOs include Doorbin, Chuanpur Nari Kalyan Samiti, Haribati Pragati Krishak Sangha, Triupati Cooperative Horticulture Development Society Ltd, Kaliaganj Gramin Jagaran Committee in West Bengal , Dahikhai, Yuva Sangh, Sarvodaya Vikas Samity, and Chetak Club in Orissa; AIM in Chhattisgarh; Myrada, Vikasana, and Vikasa in Karnataka; DRDA in Andra Pradesh, Durbin, Chuanpur Nari Kalyan Samity, Raipara Milan Sangh, AUCURD, Lok Kalyan Parishad, Murshidabad Zila Peoples Educational Society in West Bengal, ANGANWaDI Workers (Govt) in Indore, Devas and Khandwa of Madhya Pradesh, DRDA in Maharashtra, and ASOMI AIESEUJ SAMITY in Assam.

The NGOs organise villagers into self-help groups (SHGs) whose members get earning opportunities through Emami's Self Employment Scheme and Hindustan Lever's Shakti Project. This scheme also aims to generate employment among rural youth and women.

The NGOs actively create awareness among women and unemployed youth in rural areas to form groups of 10 or more and allot them for door-to-door sales of Emami or Hindustan Lever products in rural markets.

Under Emami's Self Employment Scheme and Hindustan Lever's Shakti Project, the groups are granted dealership to sell products of these companies through mobile or fixed shops or engage in door-to-door sales.

"On an average, each group manages to sell products worth Rs 30-40,000 a month. The groups earn close to two and a half percent of the value of goods sold under Hindustan Lever," informed Sufi Reza, coordinator of Doorbin, one of the NGOs generating employment opportunities in rural areas.

For sale worth Rs 4,000, Emami assures the groups income of Rs 1,000.

"The programme is completely voluntary and involves active self-help groups and NGOs," confirmed Aditya Agarwal, director, Emami Ltd.

Under the initiative, the groups are not required to deposit any safety amount with Emami or Hindustan Lever.

Women are also encouraged to set up small village shops (SVS) in villages which do not have permanent Emami shops.

The groups operate on their own and the companies take back the unsold products.

The NGOs provide training to these self-help groups so that they can be good salespeople.

The NGOs also maintain the financial accounts for the self-help groups so that there are no disputes on financial grounds.

Many NGOs have become sub-distributors by investing money and supplying products to these groups.

Some of the groups face financial constraints and are therefore helped and encouraged to seek loans from rural developmental banks.

Nabard (National Bank for Agriculture and Rural Development) not only supports the self-help groups financially but is also active in training them and organising awareness campaigns for the groups.