E x p l o r i n g t h e E m p l o y m e n t P o t e n t i a l i n R u r a l a r e a s o f B u n d e l k h a n d r e g i o n , M a d h y a P r a d e s h

D A M O H D I S T R I C T R E P O R T 0 2 0 2

R E B M

E Atal Bihari Vajpayee Institute of Good Governance and C

E Policy Analysis D

During the course of the Study, the Project Team from IGG benefitted immensely by the inputs gathered during several interactions with:  The District Collectors  The Chief Executive Officers of Zila Panchayats  The district heads of the Departments of Agriculture, Horticulture, Animal Husbandry, Fisheries, District Industries Centre, Forests, Tribal Development.  District Project Managers and staff of State Rural Livelihoods Mission  Staff of Civil Society Organisations working on rural livelihoods in region, namely, ASA, CARD, Development Alternatives, Haritika, Mahila Chetna Manch, PRADAN, Samarthan, and SRIJAN and World Vision  Krishi Vigyan Kendras in the districts covered  District Development Managers of National Bank for Agriculture and Rural Development (NABARD)

The Project Team has also benefitted from the inputs from and interaction with the participants of three meetings with the district level heads of different departments and institutions organised by the District Collectors:  At Sagar on 16th October 2019  At on 17th October 2019  At on 29th January 2020

Disclaimer : During the course of the study, sizeable data was collected by the authors from various departments and official sources. In addition, a lot of historical information was obtained from the officers, community and other stakeholders through structured interviews and Focus Group Discussions. While the authors have taken due care to validate this data to the extent possible, not all of it could be verified or corroborated, and therefore, IGG cannot take responsibility for the accuracy of the same.

Exploring the Employment Potential in Rural Areas of Bundelkhand Region of

District Damoh

Atal Bihari Vajpayee Institute of Good Governance and Policy Analysis,

December 2020

© Atal Bihari Vajpayee Institute of Good Governance and Policy Analysis (IGG) Sushasan Bhawan Bhadbada Square, T. T. Nagar Bhopal, Madhya Pradesh, , 462003 www.aiggpa.mp.gov.in

This report is the property of IGG. We encourage dissemination of our work for non- commercial and non-exclusive purposes, so long as the source is properly acknowledged.

To be cited as: IGG; Exploring Potential of Employment in Rural Areas Bundelkhand Region of Madhya Pradesh – District Damoh; Bhopal, Atal Bihari Vajpayee Institute of Good Governance and Policy Analysis (IGG); December 2020.

This report is one of the outputs of the study commissioned by the Centre for NRM and Decentralised Governance, IGG on request of the Bundelkhand Development Authority (BDA) to assess the potential of enhancing employment in the Bundelkhand region of Madhya Pradesh. A separate report on the study of employment in urban areas is being published by IGG separately.

This report presents district-specific situation and potential of rural employment in district Damoh. It should be read together with the Main Report covering the entire study area of five districts in the Bundelkhand Region of Madhya Pradesh.

Conducted for: Bundelkhand Development Authority (BDA)

Project Guidance: Mr. R. Parasuram, Ex-Director General, IGG Mr. Mangesh Tyagi, Principal Advisor, Centre for NRM & Dec. Governance, IGG

Project Team: Dr. Anitha Govindaraj, Advisor, Centre for NRM & Decentralised Governance, IGG Mr. Yugandhar Mandavkar, Fellow, IGG Mr. Soumitra M. Peshave, Research Associate, IGG Mr. Dhananjay Singh Yadav, Research Associate, IGG Mr. Rohit Ranjan, Research Associate, IGG

Key Words: Rural employment, rural enterprises, group enterprises, cluster approach, resource based potential, Bundelkhand

Key Takeaways

Given the primarily agrarian nature of rural economy of District Damoh and high unemployment rate in the rural areas, especially among women, the strategy should focus on making agriculture more remunerative, so as to provide higher income to the labour force engaged in it. It is suggested to strengthen the agriculture and allied sectors with backward and forward linkages to address the twin problem of poverty and unemployment. Availability of productive forest lands with reasonable tree cover presents scope for promoting NTFP based livelihoods.

Main Recommendations

 Promotion of new sub-sectors and activities and to revamp the existing ones  Skill building to improve employability and productivity of rural youth  Capacity building of the entrepreneurs  Establishing systems and other reforms

1. Sub-sectors and Activities

1.1 Soil Water Conservation District Damoh has a limited irrigation coverage necessitating productivity interventions in dryland farming technology. Rainwater harvesting and efficiency in water use hold the key, thus prompting for integrated interventions on soil and water on watershed basis. It is recommended to increase the coverage of watershed project in the entire district.

1.2 Agriculture  Field Crops : It is recommended to promote pulses (red gram, black gram, lentil and Bengal gram) and oilseeds (mustard and sesame) on a larger scale. Black wheat has shown promising results and should be expanded to larger area.  Horticulture : Fruit crops recommended are citrus, papaya, sapota, mango, ber, and pomegranate. Vegetables (potato, onion and tomato) and spices like chillies, turmeric, cumin, coriander and carom seed (ajwain) can be grown in addition to the seasonal vegetables (like gourds, brinjal, cucurbits, etc). Red chilli clusters should be developed in all the blocks.  Backward linkages: Promotion of organic manures and plant growth promoters through SHGs and farmers groups is also recommended, esp in the existing and prospective vegetable clusters.  Agricultural implements : Custom Hiring Centres should be established to cater to the demands of such pump sets and large machinery, whereas the small implements should be provided to the farmers on subsidy. Appropriate tools and implements to reduce drudgery of women in agriculture is an expressed need of the farmers.  Forward Linkages : The district has sizable scope for promoting food processing units in form of rice mills, dal mills, oil mills, and processing units for turmeric and other local crops.

IGG (2020) Potential of Rural Employment in District Damoh Page i

1.3 Livestock and Dairy  There is a scope of strengthening dairy activity by supporting village level milk collection and cluster level chilling centres. SRLM is working on this area and is likely to launch few milk routes; it may be replicated in more clusters.  Goat and backyard poultry should be promoted among the landless households and among small and marginal farmers.  In both the cases, provision of healthcare services would greatly improve the profitability. Such services may be provided by the department through FPOs or SHGs (see 4.2 below). 1.4 NTFP Trade Collection, aggregation and trade of non-timber forest produce like Mahua, Amla, and Chironji can be promoted especially among the poor.

2. Skills and Capacity Building of Youth and Farmers

 It is recommended to build the skills and capacities of the farmers and youth in appropriate farming techniques.  It will require serious strengthening of extension services in agriculture and livestock at the farm level. It is recommended to engage CSOs to provide training and field level follow up on a massive scale, while the government departments and KVKs get prepared for this.  It is recommended to develop cadres of barefoot professionals for agriculture and for livestock healthcare in all blocks. It is possible to promote new FPOs and strengthen the existing ones for this extension and promotion of scientific agriculture.

3. Capacity Building on Entrepreneurship

It is suggested to build capacities of individual and group entrepreneurs in terms of enterprise- specific knowledge and skills on a limited scale in the next few years.

4. Establishing Systems and Sector Reforms

4.1 Agriculture extension This was found to be the weakest link in development of agriculture, livestock and allied sectors in the entire region. The Department of Agriculture should take urgent steps to correct this malady. Until the time the departments gears up to address this critical gap, it is recommended to engage competent CSOs to provide training, on-site technical support and field level handholding on a comprehensive scale.

4.2 Institutional credit Access to institutional credit is a common constraint in district . It is recommended to expand the borrower base through SHGs and FPOs under the recently launched Atmanirbhar Bharat programme of the government.

IGG (2020) Potential of Rural Employment in District Damoh Page ii

The Opener

Employment creation assumes a great importance for policy makers and development administration as a natural response to the development challenges of Bundelkhand region. Rural Bundelkhand is characterised by poor resource endowment, recurrent droughts, poverty, and resultant migration. Low natural resource endowment, together with low rate of industrialisation and commerce, has resulted in low employment opportunities for the people.

Atal Bihari Vajpayee Institute of Good Governance and Policy Analysis (IGG) conducted a study on Exploring the Employment Potential in Bundelkhand Region of Madhya Pradesh. It was commissioned by the Bundelkhand Development Authority (BDA) towards the overall development of the region with focus on rural employment. It covered five districts of Bundelkhand region namely, Chhatarpur, Damoh, Panna, Sagar, and Tikamgarh and Niwari. Niwari is recently bifurcated from district Tikamgarh, but for this report Tikamgarh and Niwari are considered as one undivided district. The study was carried out with a combination of qualitative and quantitative methods using information gathered from both primary and secondary sources.

This report is a result of the hard work and persistent efforts of Dr Anitha Govindraj, Advisor and Mr Yugandhar Mandavkar, Fellow. Their efforts came to fruition as the study was industriously supported by the team of Research Associates Soumitra Peshawe, Dhananjay Singh Yadav and Rohit Ranjan. The work could not have been completed without the continuous encouragement and valuable guidance of Mr Mangesh Tyagi, Senior Advisor.

Several individuals and institutions provided useful insights into the phenomenon of rural employment and shared their experiences of various interventions. The Research Team of IGG is grateful to the District Collector, Mr Tarun Rathi, IAS and the CEO, Zila Panchayat, Mr Girish Mishra. Thanks are due to the heads of various departments and staff of KVK, SRLM, SRLM, DIC, KVIB, NABARD, etc. The Study greatly benefitted from the inputs provided by the primary stakeholders, namely, the women, youth and farmers, the Self Help Groups, Farmers Groups and FPOs, Agro-Service Centres, other entrepreneur groups and individual entrepreneurs, and the Gram Panchayat members and functionaries.

IGG (2020) Potential of Rural Employment in District Damoh Page iii

Abbreviations and Acronyms

APMC Agricultural Produce Marketing Committee (Mandi) ASA Action for Social Advancement, a CSO BDA Bundelkhand Development Authority BIWAL Bundelkhand Initiative for Water, Agriculture and Livelihood c. circa CARD Centre for Advanced Research and Development, a CSO CBO Community Based Organisation CEO Chief Executive Officer (often, of ZP) CSO Civil Society Organisation CSR Corporate Social Responsibility DA Development Alternatives, a CSO DC District Collector (DM, District Magistrate, in some countries) DDU-KVY Deen Dayal Upadhyay Kaushal Vikas Yojana DIC District Industries Centre DP&RD Department of Panchayat and Rural Development FFS Farmers' Field School FGD Focus Group Discussion FPO Farmers’ Producer Organisation GoI Government of India GoMP Government of Madhya Pradesh GP Gram Panchayat (a local governance unit) HUF Hindustan Unilever Foundation IGG Atal Bihari Vajpayee Institute of Good Governance and Policy Analysis IPCC Intergovernmental Panel on Climate Change ITI Industrial Training Institute KVIB Khadi and Village Industries Board (at State level) KVIC Khadi and Village Industries Commission (at National level) LEISA Low External Inputs Sustainable Agriculture LFPR Labour Force Participation Rate MNREGA Mahatma Gandhi National Rural Employment Guarantee Act MSL [above] Mean Sea Level MUDRA Micro Units Development and Refinance Agency (also, MUDRA Bank) NABARD National Bank for Agriculture and Rural Development NOC No Objection Certificate NSS National Sample Survey NTFP Non-Timber Forest Produce PFT Project Facilitation Team PMU Project Management Unit PSL Priority Sector Lending RRB Regional Rural Bank RSA Resource Support Agency RSETI Rural Self Employment Training Institute

IGG (2020) Potential of Rural Employment in District Damoh Page v SDG Sustainable Development Goals SHG Self Help Group SME Small and Micro Enterprise SRIJAN Self Reliant Initiatives through Joint Action, a CSO SRLM State Rural Livelihood Mission SWOT Strengths, Weaknesses, Opportunities and Threats TVI Traditional Village Industry viz. namely WPR Worker Population Ratio ZP Zila Panchayat

IGG (2020) Potential of Rural Employment in District Damoh Page vi Table of Content

Key Takeaways i The Opener iii Abbreviations and Acronyms v A Prefatory Note – District Damoh ix

Chapter 1 Natural Resources and Development Potential 1 1.1 Topography and Soils 1 1.2 Forests and Natural Vegetation 1 1.3 Climate and Rainfall 2 1.4 Land Resources 2 1.5 Water Resources 4 1.6 Agriculture and crops 5 1.7 Livestock Resources 6

Chapter 2 Human and Institutional Resources 9 2.1 Worker Population Ratio 9 2.2 Labour Force Participation Rate 9 2.3 Unemployment Rate 9 2.4 Disguised Unemployment 10 2.5 Migration 10 2.6 Quality of Human Resource 11 2.7 Employment in Industrial Sector 12 2.8 Institutional Credit 12

Chapter 3 Community Perspective on Achievements and Expectations 15 3.1 Summary of Successful Initiatives 15 3.2 Analysis of Successful Rural Enterprises 16 3.3 Needs and Aspirations of the Stakeholders 18 3.4 Suggestions Not Found Advisable or Feasible 23

Chapter 4 What does the future hold? The Recommendations 25 4.1 Sub-sectors and Activities 25 4.2 Skills and Capacity Building of Youth and Farmers 27 4.3 Capacity Building on Entrepreneurship 27 4.4 Establishing Systems and Sector Reforms 28

IGG (2020) Potential of Rural Employment in District Damoh Page vii

A Prefatory Note - District Damoh

About the Study

The study on potential of rural employment in the Bundelkhand region of Madhya Pradesh is ultimately meant to benefit the people of the region to tide over their livelihood deficits. It is thus focussing on the key issues of unemployment and its manifestation in rural areas through capturing the phenomenon from the viewpoint of the primary stakeholders, namely, SHGs, FPOs, farmers, youth, women, Gram Panchayat members and functionaries, and entrepreneurs.

Scope and Methodology

The study looked at the phenomenon of unemployment and development in the five districts from the perspective of the current status of employment among rural population, identification of potential sectors and strategies to increase employment opportunities and rural work force participation, and enterprise promotion. The study was carried out with a qualitative approach using combination of primary and secondary data sources to understand the present situation and to identify the potential areas of employment.

Structure of the Report

This district-wise report for Damoh is divided into the following four chapters covering:  Natural Resource endowment and development potential based on the available resources  Human and institutional resources, main occupations of people and present status of employment among rural population in the district  Perspective of community and other stakeholders and their experiences of enhancing employment and income  Recommendations for improving employment opportunities and promotion of the sub- sectors or enterprises identified for the district.

It is hoped that this report will help development agencies, project designers and policy makers in addressing unemployment in the districts and the region.

About the District

District Damoh lies between 23°09′ and 24°27′ North latitude and between 79°03′ and 79°57′ East longitude in the northern part of Madhya Pradesh. The shape of the district is irregular and elongated from North to South with projection in the East and West. District Damoh lies on the -Bundelkhand plateau, the south-eastern part of the great Vindhyan plateau, which stretches north of and parallel to the river Narmada. The District is bounded by district Chhatarpur in the North and northwest, district Sagar in the West, districts Narsimhapur and in the South and

IGG (2020) Potential of Rural Employment in District Damoh Page ix parts of Katni, Jabalpur and Panna in the East. The District is spread over an area of 7306 sq km is comprises 1290 villages (out of which 1239 are inhabited) and nine towns divided into seven Tehsils. There are seven Community Development Blocks in the District – (Batiagarh), Damoh, Hatta, Jabera, Patera, and Tendukheda (Fig:1).

The district has good road and rail connectivity. Damoh city is connected by the Bina-Katni branch line of Central Railway. The district is traversed by first class roads which connect it with important towns like Bhopal, Jabalpur, Sagar, , Lalitpur, Chhattarpur and Panna.

Fig 1 : Location Map of District Damoh

District Damoh is divided into seven community development blocks and eleven tehsils (Batiyagarh, Damoh, Hatta, Jabera, Patera, Patharia and Tendukheda). As per census 2011, the total population of the district is 12,64,291 (297,603 households) living in 1229 inhabited villages belonging to 460 Gram Panchayats and nine towns.

IGG (2020) Potential of Rural Employment in District Damoh Page x Chapter 1 : Natural Resources and Development Potential

As the employment potential in a rural area depends on its resource endowment, it was studied comprehensively to assess the potential and limitations. The natural resources and its usage in district Damoh was studied with a view to increase the employment opportunities based on these resources. The resource based potential for improving employment in the district was analysed and presented in this chapter.

1.1 Topography and soils

Topographically, district Damoh is divided into three physiographic sub divisions, namely, , Vindhya scarps and Bundelkhend upland. The Vindhya scarp covers the entire Sonar valley and the southern plateau, excluding the main line of hills belonging to the Vindhyan range, which may be grouped with the rest of the southern hills. Except a few small streams joining the river Hiran, a tributary of the river Narmada, the whole district is drained into river Yamuna through the tributaries and feeders of the river Ken.

Soils : The major part of the district is covered by medium black fine clay soils. Alluvial types of grey to black clay loam soils occur on the banks of rivers Sonar and Bearma in the North and in the West. Sandy clay loam and sandy loam soils are found in most other parts. Small portion of skeletal soil formed due to the weathering of sandstone is observed near the foothills in the southern part of the district.

1.2 Forests and natural vegetation

District Damoh had about half of its area covered with thick forests, scrubs and grasslands a century ago, which has now reduced to 36%. The tropical dry deciduous type of forests have species like teak, Saja, Bija, Dhaora, Tendu, Tinsa, Jamun, Behera and Mahua as main tree species. Chironji, Ber, Palas, Dhawai and Lantana among the shrubs and Musyal, Kaila and Perbi are the grazing grasses found in the district.

1.3 Climate and Rainfall

District Damoh has a generally dry climate, with the hot weather beginning in March till the onset of the monsoon in June. The normal maximum temperature in the month of May is 42.0°C and minimum during the months of December to January is 9.7°C. The normal annual mean maximum and minimum temperatures are 32.6° and 18.9°C, respectively. The rainfall distribution pattern shows distinct dry and wet seasons, with 92.2 percent of the rain falling during the monsoon, between June to September. The average annual rainfall in various blocks of the district is above 1000 mm, ranging from 1008.3 mm for Banthyagarh block to 1277.5 mm in Jabera block. The district average, based on the last 41 years of data, is 1176.9 mm.

Table 1.1 : Monthly Rainfall Distribution Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual Seasonal 11.50 20.65 8.26 7.74 4.40 148.36 354.87 438.54 182.67 28.47 4.09 6.95 1,176.86 1,084.74

1.4 Land resources

District Damoh has good tree cover with about 36.7% of its geographic area as forest land (267,118 ha), as shown in Table 1.2 below. It has just about 41.8% of the land under agriculture, net sown area being 304,618 ha. The district has 39.2% of the net sown area under irrigation, nearly half of it being irrigated by wells. The proportion of irrigated area in district Damoh is slightly lower than the average for Bundelkhand region (46%) and far lower than the state average (59%). The district has 241,269 ha as double cropped area and 202,020 ha as single cropped area, with cropping intensity 166.3%. The cropping intensity is higher than the state average of 155.1% and the national average of 141.6%.

IGG (2020) Potential of Rural Employment in District Damoh Page 2 Table 1.2 : Land Use Pattern – District Damoh S No Land Use Area, ha As % 1 Forest Area 267,118 36.67% 2 Barren and Uncultivable 50,368 6.91% 3a Pastures 35,014 4.81% 3b Land under Misc Tree Crops 801 0.11% 4 Culturable Waste land 10,846 1.49% 5a Fallow land 9,038 1.24% 5b Current Fallow 6,530 0.90% 6 Net Area sown 304,618 41.81% 6a Rainfed land 185,074 60.76% 6b Total Area Irrigated 119,543 39.24% 6bi Canal Irrigation 12,953 10.84% 6bii Well Irrigation 58,908 49.28% 6biii Tank and lakes irrigation 2,535 2.12% 6biv Waterfall irrigation 3,966 3.32% 6bv Other sources 41,181 34.45% 7 Area under non-agriculture uses 44,251 6.07% Total 728,583 100.00%

Land Distribution The privately owned land in district Damoh is 389,641 ha belonging to 130,696 farming families (Table 1.3). The land distribution is more skewed compared to the other districts of Bundlekhnad. Marginal farmers and small farmers constitute nearly two-third of the families (42.9% and 22.1%, respectively), collectively owning about one-sixth (17.1%) of land; whereas the top one-sixth of the farmers own nearly two third of the cultivable land. This skewed pattern of landholding may not pose a serious problem in near future, but the interventions should be planned to ensure equity for the results to sustain in the long run.

Table 1.3 : Land Distribution Pattern Category No of Farmers As % Area, ha As % Marginal farmers 56,036 42.88% 24,806 6.37% Small farmers 28,860 22.08% 41,703 10.70% Semi medium farmers 24,093 18.43% 66,715 17.12% Medium farmers 17,074 13.06% 181,930 46.69% Large farmers 4,633 3.54% 74,487 19.12% Total 130,696 100.0% 389,641 100.0%

IGG (2020) Potential of Rural Employment in District Damoh Page 3 1.5 Water Resources

District Damoh has more than 300 traditional water bodies, built over a period of many centuries, for the use of local population for domestic and productive purposes. These tanks provide livelihoods to many families through irrigation and aquaculture - fisheries, water chestnut, lotus seed, etc. IGG has inventoried 218 of these tanks providing flow irrigation to 59,651 hectares of cropland every year. In addition, the recharge benefits help the farmers to irrigate between 30-50 thousand hectares of land depending on the rainfall distribution within the particular year.

Recently, Civil Society Organisations (CSOs) have launched Bundelkhand Initiative Water, Agriculture and Livelihoods (BIWAL) for repairing and rejuvenation of traditional water bodies and strengthening rural livelihoods in collaboration with the Department of Panchayat and Rural Development and Bundelkhand Development Authority (BDA). It is likely to improve water availability, thereby increasing the potential for aquaculture and irrigated agriculture.

A traditional tank in village Nandgay Khurd

Box 1.1 Potential Based on Land and Water Resources  Good and dependable rainfall  The area under forests is 36.7%, which has diverse and productive vegetation. It presents a high potential collection and trade of NTFP, in surrounding villages.  About 13.3% of geographic area is under pastures and wastelands as common land, presenting a scope for CPR based activities (such as small ruminants, cultivation of fodder or other herbs) for the landless and smallholder families.  District Damoh has limited scope for expanding agriculture due to low net sown area and low proportion of irrigated land. At the same time, cropping intensity is high. Thus, the focus should be on increasing the productivity of land and water, esp. in dryland farming, to increase employment.  Repair and rejuvenation of existing water bodies, including the traditional tanks, will improve water availability and help improve agriculture, aquaculture and livelihoods.

IGG (2020) Potential of Rural Employment in District Damoh Page 4 1.6 Agriculture and crops

The principal crops grown in district Damoh include Bengal gram, paddy, wheat, black gram, soybean and lentil (Table 1.4). The area under cereals, pulses and oilseeds is 33.1%, 56.4% and 11.2% of the gross cropped area, resp. Vegetables are grown on 4,682 ha (0.90%) and spices, mostly onion, is grown on 1,201 ha (0.23% of gross cropped area).

Table 1.4 : Main Crops and their Productivity As % Average State India Area, S No Crop of Yield, Average, Average, ha GCA kg/ha kg/ha kg/ha 1 Kharif crops

1.1 Paddy 71,018 11.20% 2,027 1,737 2,342 1.2 Sorghum 1,378 0.22% 2,181 1,747 1,013 1.3 Maize 4,429 0.70% 1,916 2,255 2,300 1.4 Black gram 63,379 10.00% 687 438 572 1.5 Red gram 32,794 5.17% 849 807 785 1.6 Sesame 2,372 0.37% 575 489 375+ 1.7 Soybean 52,411 8.27% 724 1,065 1,042 2 Rabi crops

2.1 Wheat 95,628 15.08% 2,757 2,860 3,047 2.2 Bengal gram 177,990 28.07% 935 1,009 942 2.3 Lentil (Masoor) 20,267 3.20% 795 1,111 1,205 2.4 Mustard 2,622 0.41% 973 1,111 1,205 2.5 Groundnut 1,055 0.17% 1,220 1,641 1,444 3 Vegetables 4,682 0.74%

4 Spices 1,201 0.19%

The area under main crops is as per the follows:  Kharif cereals 76,825 ha (12.12% of the gross sown area)  Kharif pulses 96,173 ha (15.17% of the gross sown area)  Kharif oilseeds, mostly soybean, 54,783 ha (8.64% of the gross sown area)  Rabi cereals 95,628 ha (15.08% of the gross sown area)  Rabi pulses 1,98,257 ha (31.27% of the gross sown area)

IGG (2020) Potential of Rural Employment in District Damoh Page 5  Rabi oilseeds 3,677 ha (0.57% of the gross sown area)  Vegetables 4,682 ha (0.74% of gross cultivated area)  Spices 1,201 ha (0.19% of gross cultivated area)

Agricultural Implements

Availability or access to improved agricultural implements or equipment is one of the key factors contributing to farm productivity. Present availability was compared with the net sown area to check the adequacy (Table 1.5). It was found that the level of farm mechanisation is moderately low, and the availability of farm implements needs to be increased in order to achieve the goal of increasing farm productivity. It also indicates good scope for custom hiring centres (CHCs) to serve the needs of the farmers. Table 1.5 : Agricultural Implements

Suggested Coverage S No Equipment Number ratio (ha/ unit) (ha/unit) 1 Wooden plough 26,942 11.31 5 2 Iron plough/ MB plough 11,207 27.18 20 3 Bullock cart 8,239 36.97 15 4 Diesel pump sets 9,336 21.47 5 Electric pump sets 26,332 7.61 5 6 Tractors 5,335 37.57 30

1.7 Livestock

IGG (2020) Potential of Rural Employment in District Damoh Page 6 Total livestock population in the district is 7.86 lakh out indicating prominent role of livestock in the rural economy. Out of these, cattle constitute 3.05 lakh and buffaloes 0.74 lakh. Goats compose the small ruminants accounting for 0.88 lakh. The district has 0.46 lakh poultry birds under farm rearing method. The carrying capacity of the district indicates a very high potential for promoting all kinds of livestock, especially buffalo with farmers having access to water and fodder and goats in case of the landless and the small and marginal farmers. Backyard poultry and fisheries also present a high potential for increasing income of the poor families.

Box 1.2 Potential for Agriculture and Livestock Production

 High crop yields of red gram, lentil, black gram and Bengal gram presents scope for developing clusters for pulses cultivation and processing. District Damoh presents a high potential for further increasing sesame production.  The district has untapped potential for fruit and vegetable cultivation  The district has very high scope for buffalo, goats based on the carrying capacity of land. There is high scope for backyard poultry especially for the landless and the small and marginal farmers.

IGG (2020) Potential of Rural Employment in District Damoh Page 7

Chapter 2. Human and Institutional Resources

2.1 Worker Population Ratio

The Worker Population Ratio (WPR), defined as the number of persons employed as a proportion of total population, for rural area of Damoh is 56.5% for male, which is far lower than the State and national averages (80.1% and 75.2%, respectively) and 37.9% for females, which is close to the state average (37.3%), but higher than the national average (25.5%). The Worker Population Ratio for the rural district (both men and women put together) is 47.6%, which is close to the State average (47.1%), but lower than the national average (53.9%).

2.2 Labour Force Assessment

Total rural population of district Damoh in age group 15-59 is estimated to be 666,444 which is 65.7% of total rural population (Table 2.1). The Labour Force Participation Rate for the rural area of Damoh is 89.96% for male, which is higher than the State and national averages (73.0% and 78.0%, respectively) and 64.2% for females, which is far higher than the State and the national average (21.5% and 31.7%, respectively). This indicates that a large number of rural women are looking for employment opportunities, and also indicating that more persons are available for employment or work in the district.

Table 2.1 : Workforce Assessment for Rural Chhatarpur Category Male Female Total Total main workers 227,730 85,203 312,933 Total marginal workers 71,774 97,819 169,953 Total Workers 299,504 183,022 482,526 Total Population 530,471 483,197 1,013,668 Worker Population Ratio 56.46 37.88 47.60 Population in age group 15+ 343,072 323,372 666,444 Labour Force Participation Rate 89.96% 64.22% 77.47% Unemployment rate 2.95% 11.86% 6.54%

2.3 Unemployment Rate

Unemployment Rate for rural population in district Damoh was found to be 2.95% for men, which is higher than the State average (2.1%), but close to the national average (2.9%). Unemployment rate for rural women was found to be 11.9%, which is far higher than the State and the national average (6.4% and 4.7%, respectively).

IGG (2020) Potential of Rural Employment in District Damoh Page 9 2.4 Disguised Unemployment

A rapid assessment of disguised employment in agriculture was carried out using available secondary data (Table 2.2). Total manpower requirement was computed based on the cropping pattern and was compared with the present reported employment.

Table 2.2 : Manpower Requirement in Agriculture

Per ha labour Manpower S No Crops Area, ha requirement requirement 1 Single cropped area 80 202,020 16,161,600 2 Double cropped area 160 241,269 38,603,040 3 Area under horticulture 200 61 12,200 4 Area under vegetables 150 3,682 552,300 5 Area under spices 120 1,201 144,120 Total person days required 55,473,260 Total persons required Assuming 180 workdays 308,185

As against this, there are 363,157 persons reportedly engaged as full-time (main workers) and 146,424 persons as part-time (marginal workers) as cultivators and agricultural labourers. Put together, they are contributing 7.85 crore persondays of work in agriculture, as against the requirement of 5.36 crore persondays, indicating about 147% of disguised unemployment in agriculture sector in district Chhatarpur. Fresh analysis is, however, is suggested based on the recent data incorporating the return flow of migrant labour post Covid-19 pandemic.

2.5 Migration

Damoh presents very limited direct and indirect employment opportunities within the district, and therefore, people migrate to the urban clusters in the surrounding districts and industrial hubs. Among the skilled and semi-skilled youth, migration occurs primarily to areas such as Bhopal, Rewa, Satna and Jabalpur. Availability of passenger trains at regular intervals allows people living close to the railway line to work in other districts while continuing to live in their own villages. While exact estimates of migration are not available, the administration is in the process of preparing a database of migrant workers who returned due to the Covid-19 induced economic lockdown and fallout. It would help in future in scientific planning of any livelihood interventions.

High unemployment rate among rural men and women in district Damoh partly explains the poverty and underdevelopment situation. Further, high unemployment rate coupled with high worker population ratio among women, calls for corrective measures.

IGG (2020) Potential of Rural Employment in District Damoh Page 10 2.6 Quality of Human Resources

2.6.1 Education and skills

Analysis of educational situation in the year 2016-17 in district Damoh indicates that less than 13% of students pursued studies beyond Higher Secondary Certificate1. Interestingly, 83.58% of persons completing their education during the reference years have registered with Employment Exchange, indicating high level of awareness and reflects need.

Table 2.3 : Educated Youth in the district S No Qualification Men Women Total As% 1 SSC 24,741 27,133 51,874 50.75% 2 HSC 19,643 17,527 37,170 36.37% 3 Graduates & above 4,665 7,071 11,736 11.48% 4 Technical 1,248 179 1,427 1.40% Total 50,297 51,910 102,207 100.0%

5 Registered with EE NA NA 85,422

As% NA NA 83.58%

2.6.2 Educational Institutions

The capacity of educational institutions and skill development facilities is limited in district Damoh. The number of high schools is 8.07 per lakh population at the end of the year 2015-16, which is lower than the State ratio of 10.77. Similarly, the number of higher secondary schools is only 8.31 per one lakh population, which is lower than the State ratio of 11.0 per one lakh population. The district has one engineering college with intake capacity of 420, one polytechnic with 300 seats and five ITIs with 500 seats. Two more ITIs/ITCs are planned in the district.

Table 2.4 : Educational Institutions in the District S No Level Units Boys Girls Total 1 Primary Schools 630 31,115 33,064 64,179 2 Secondary Schools 80 6,374 5,931 12,305 3 High Schools 90 24,308 24,598 48,906 4 Higher Secondary 8 4,665 7,071 11,736 5 College 5 1,248 179 1,427 6 ITIs & other Technical 7 NA NA 1,220 Total 820 67,710 70,843 139,773

1 Caution should be exercised while interpreting this data, as gender segregated data is not available beyond 2012- 13. Further, data presented in the District Statistical Handbook does not match with that published by the MP State Socio Economic Indicators for 2014 to 2016. Data from DISE is not available for these years.

IGG (2020) Potential of Rural Employment in District Damoh Page 11

2.7 Employment in Industrial Sector

District Damoh has no major industries except two large scale cement plants, which employ 1816 workers. The district has about 7672 registered units in small scale industries with an estimated investment of Rs 30 crore and employing about 18,258 persons. A number of small scale industries based on oilseed milling, handloom weaving and dyeing, manufacture of bell-metal vessels and pottery, are found in the district. Small and micro industries sector employs only 0.09% of the workforce in the district (Table 2.5). Each registered unit employs nearly 1.4 person on an average. It ranges from 1.0 person per unit for leather based industry to 3.5 per unit in case of paper and paper products based industry. The ratio is 1.28 persons per agro-based unit.

Table 2.5 : Status of Industries in SME Sector (2015-16)

S Number Investment Employment Type of Industry No of Units (Lakh Rs) (persons) 1 Agro based 69 13.93 88 2 Ready-made garments & embroidery 65 5.34 102 3 Wood/wooden based furniture 74 0.83 78 4 Paper & Paper products 2 7.06 7 5 Leather based 7 0.09 7 6 Mineral based 13 2.78 7 7 Metal based (Steel Fab.) 4 0.7 6 8 Engineering units 13 1.16 25 9 Electrical machinery & transport equipment 8 0.51 14 10 Repairing & servicing 62 7.26 106 11 Others 84 93.28 124 Total 401 132.94 564

2.8 Institutional Credit

The loan disbursement data for the financial institutions (all banks) in district for the last three years indicate that the credit flows have been close to 50% of the targets, except for the crop loans, where it was more than 70%. Interestingly, cooperative banks in the district outperform all other credit institutions in terms of disbursement. During the last three years, crop loans accounted for 82.3% of the priority sector lending and total agricultural lending was around 90%. The district has a low per hectare credit disbursement ratio, amounting to an average of Rs 11000 per hectare of sown area, indicating the gap or unmet demand.

 Credit flows show erratic pattern over the years and across the types of institutions, thus raising the potential of micro-finance.  Thin spread of credit societies also suggests scope for micro finance.

IGG (2020) Potential of Rural Employment in District Damoh Page 12

Table 2.6 : Loan Disbursement by Financial Institutions Bank FY 2015-16 FY 2016-17 FY 2017-18 Average As % Commercial Banks 15,990,100 15,100,300 17,673,900 16,254,767 77.0% RRB 3,290,500 3,930,100 3,415,700 3,545,433 16.8% Coop Banks 1,645,800 1,030,400 1,258,400 1,311,533 6.2% Total 20,926,400 20,060,800 22,348,000 21,111,733 100.0% Crop Loan 11,159,700 11,549,600 14,014,700 12,241,333 58.0% Agri Term Loan 4,578,300 3,872,800 4,049,600 4,166,900 19.7% Other Priority Sector 3,882,600 3,205,500 2,845,800 3,311,300 15.7% Non Agricultural Loan 1,305,800 1,432,900 1,437,800 1,392,167 6.6% Total PSL 20,926,400 20,060,800 22,347,900 21,111,700 100.0%

2.9 In summary...

The resource based potential for increasing employment in rural areas of district Damoh can be summarised in the following table.

Table 2.6 : Summary of Resource Based Potential S No Sectors and What can be promoted Reason Segments 1 Agriculture  Pulses (red gram, black gram,  Familiar technology Bengal gram and lentil) as  Favourable agro-climatic dryland crops conditions 2 Fruits and vegetables  Betel leaves  Good irrigation potential  Fruits and vegetables 3 Forest based  NTFP collection and trade -  Sizable forest land Mahua, Amla, Chironji  Productive vegetation 4 Backward linkages in  Implements and machinery hire  Simple methods to agriculture  Seed production and trade enhance productivity  Organic manures and growth  Successful seed plants promoters  CHCs may be promoted 5 Forward linkages in  Aggregation, storage and  Sporadic examples agriculture transport  Main missing link  Processing of turmeric  Mini rice and oil mills 6 Livestock  Buffalo rearing in clusters  For the poor  Backyard poultry and goats for  Familiar technology smallholders and landless  Ready market 7 Aquaculture  Fisheries in perennial tanks  Ready market

The above inferences corroborate closely with the needs and aspirations expressed by various stakeholders in the district. The findings from the interaction with various stakeholders are presented in the following chapter.

IGG (2020) Potential of Rural Employment in District Damoh Page 13

Chapter 3. Community Perspective on Achievements and Expectations

Perspective of the primary stakeholders was captured through Focus Group Discussions (FGDs) with farmers, youth, Self Help Groups (SHGs) and Farmer Producer Organisations (FPOs), as well as semi-structured interviews with the officials from concerned departments, public institutions, Civil Society Organisations and individual entrepreneurs. Several interactions were held with the community and officials during the course of the study to gather their past experiences, opinions and suggestions on sub-sectors and activities for increasing rural employment.

Information was collected on local initiatives by individual entrepreneurs, SHGs and FPOs, on promotion and facilitation work done by Civil Society Organisations (CSOs) and others. During these interactions, some noteworthy and successful initiatives got identified, which were studied in detail. A summary of these experiences is presented at the beginning of this section, followed by the perspectives of these stakeholders on their needs and expectations along with their suggestions for improving employment scenario and opportunities in rural parts of District Damoh.

3.1 Summary of Successful Initiatives

During the course of the study, several interactions were held with the community and officials of development administration and government departments to understand their efforts for creating rural employment. These initiatives were analysed on their approaches, results and potential for their replication and scaling up. This section of the report summarises the specific experiences and key lessons from these initiatives.

Table 3.1 : Characteristics of Initiatives Studied S No Entrepreneur Nature of Activity Key characteristics A Agri-Inputs Supply 1 Potato initiative by Govind Scientific cultivation of  Technology support Seeds and Crops Producer potato  Collective marketing Company Ltd 2 Damoh Krishi Chetna FPC Agri inputs supply,  Package of practices scientific cultivation of  Technical and financial pulses guidance B Aggregation and Trade 1 Jabera Krishak FPC Seeds and agricultural  Contractual supply inputs supply  Cluster based approach 2 SHGs in Damoh Black wheat  Pilot level initiative C Micro-Industry 1 Sanitary Napkin Unit Manufacture of sanitary  Linking with institutional napkins markets 2 SHGs in Damoh Bundeli honey  Collection and trade

IGG (2020) Potential of Rural Employment in District Damoh Page 15

3.2 Analysis of Successful Rural Enterprises

Presented below are the specific experiences of the farmers and entrepreneurs in the district, along with the lessons from these initiatives for promoting rural employment in the long run.

3.2.1 Potato Initiative by Govind Seeds and Crops Producer Company Limited

Govind Seeds and Crops Producer Company Limited was established in February 2006 under special project promoted by a CSO for production and marketing of certified seeds. It obtained a license for trading in inputs and commodities and set up a shop in village Baraat of Pathariya block. The company had a membership of 3037 members, out of which were active in seed production and potato cultivation. The company aggregated and marketed it. Its turnover rose to Rs25 lakh by 2012. However, they started facing problems of cash flow since 2011 and gradually limited their operations. They are trying to mobilise support for working capital and for expansion.

3.2.2 Pulses Promotion by Damoh Krishi Chetna Producer Company

Organic formulations can boost income of farmers

Smallholder farmers from Patharia block came together to increase their income and to access to inputs and services and formed Damoh Krishi Chetna Producers Organisations and registered it in March 2013. They were guided and supported by Mahila Chetna Manch, a CSO, under a special programme of Small Farmers Agribusiness Consortium (SFAC). Over 1600 farmers from 29 villages of Pathariya block became members and started cultivating pulses like peas, Bengal gram

IGG (2020) Potential of Rural Employment in District Damoh Page 16 and lentil. Mahila Chetana Manch provided technical guidance on soil fertility and production enhancement of pulse crop and facilitated linkages with government departments to provide agriculture inputs supply. Convergence with government schemes related to pulse production, National Food Security Mission and A3P (pulse seed, fertiliser, pesticides) were some of the key factors in increasing income of the farmers.

3.2.3 Aggregation and Trade by Jabera Krishak Producer Co Ltd

Jabera Krishak Producer Company Limited was established with 1000 members under a special project of Small Farmers Agribusiness Consortium (SFAC) in April 2015. It is engaged in the seed production, commodity trading and sell of agriculture inputs. The members at present produce both breeder seeds and truthful seeds of paddy, black gram, green gram and Bengal gram. They discontinued the soybean seed production some time ago. The company gets technical guidance from PRADAN, a CSO, and India Gramin Services.

3.2.4 Sanitary Napkin Repackaging Unit under SRLM

The State Rural Livelihoods Mission in Damoh promoted manufacturing of sanitary pads through a federation of Self Help Groups in Patera block under NRLM. They buy the cotton wool and raw material in bulk from Delhi or Mumbai and manufacture the sanitary pads in three different sizes. The machinery for manufacturing and packaging was provided on subsidy under SRLM scheme, and the working capital was obtained on bank load.

For the first two years, majority of the production was sold through the schools. But, last year the government decided to provide sanitary napkins through schemes to schools at subsidised rates. As a result, the sales of the units have dropped, and the production had to be curtailed severely. At present, the unit has about 2,000 unsold packets as inventory. The federation and SRLM are trying to tap markets in the towns as also on website marketing.

IGG (2020) Potential of Rural Employment in District Damoh Page 17

3.2.5 Seeds Processing Unit by Nowgoan Agriculture Producer Company Ltd

Nowgoan Agriculture Producer Company Ltd was established to help the farmers to produce certified seeds and to supply agricultural inputs to the farmers. It was established under District Poverty Initiatives Programme (DPIP) with a shareholding membership of 1184 farmers. The company started with supply of agricultural inputs, mainly seeds and fertilisers, to the farmers in the cluster of about twelve villages, with initial grant of Rs 25 lakh from DPIP. Soon they started aggregating certified seeds from seed growing farmers, which became their main economic activity. They established a facility for seed sorting and grading, certification and packaging of black gram, green gram, red gram, groundnut, wheat, Bengal gram, pea, etc. Presently, they are supplying seeds to various seed companies.

3.3 Needs and Aspirations of the Primary Stakeholders

Interactions during the field study reflected the perspectives of the community and their institutions on rural employment as well as their needs and aspirations. These were gathered through Focus Group Discussions with farmers, youth, Self Help Groups and Farmer Producer Organisations, and through semi-structured interviews with the officials from concerned line departments, public institutions and individual entrepreneurs. In this section are presented their experiences, needs, perception of scope and expectations expressed by these stakeholders, along with their suggestions for improving employment scenario and opportunities in rural parts of district Damoh.

3.3.1 Women’s SHGs

The Self Help Groups (SHGs) interviewed during the study were formed under various programmes like DPIP (2002-08), Poorest Areas Civil Society or PACS (2005-08), Tejaswini (2007-13), SGSY (1999-2011), etc. Most of these SHGs got subsequently covered under the NRLM or NABARD

IGG (2020) Potential of Rural Employment in District Damoh Page 18 programmes and continued to function. Savings and internal lending are the main activities of Self Help Groups, where the members borrow mainly for agricultural inputs, educational expenses, some priorities and any emergency consumption needs.

Few SHGs covered under the study promoted income generating activities and entrepreneurship among members. Over the years, their members received training from different agencies on activities like food processing, chalk making, incense sticks making, vegetable cultivation, soap and phenyl making, etc. But, these were one-off events which were not followed with any other support like technology, credit, marketing, etc.

SHGs helped build entrepreneurship among women

IGG (2020) Potential of Rural Employment in District Damoh Page 19 Expectations : The members of these groups requested training, technical guidance and marketing support for tailoring, goat rearing, poultry and dairy activity. A few women wanted to start trading in Mahua and Chironji, and wanted license from the Forest Department for the same. Almost all women showed interest in apiculture and starting honey trade.

Black Wheat – A New Option 4.3.2 Aspirations of the Farmers

Most farmers are actively engaged in rearing livestock and cultivation of rainfed field crops. Only a few farmers have been cultivating fruits and vegetables. Most farmers are aware of benefits of horticulture, and have worked in the watershed project village in the neighbourhood. They wanted to start watershed project in their villages.

Main Challenges: The farmers highlighted the following as the main issues affecting them.  Limited availability of water during Rabi season  Poor availability of seeds and fertilisers at showing time and high price  Decreasing yield of soybean for the last few years, without any obvious reason

Expectations: The farmers gave the following suggestions to improve their livelihoods  Rainwater harvesting and watershed development  Cultivation of betel leaf  Cultivation of black wheat  Cultivation of fruit crops (citrus, papaya, sapota, mango, ber,

pomegranate)  Cultivation of vegetables (potato, onion and tomato) and spices like chillies, turmeric, cumin, coriander and carom seed (ajwain)  Technical guidance from Agriculture Department or KVK on cultivation of these crops

IGG (2020) Potential of Rural Employment in District Damoh Page 20 4.3.3 Aspirations of the Youth Youth in the villages covered under the study are mostly engaged in agriculture, either on own farm or as agricultural labour on others land. Most of them have studied up to middle school, but could not continue education as there were no high schools in the vicinity.

Key issues/ constraints : The youth highlighted the following issues during the interaction. • Most youth were familiar with agriculture and wanted to continue working in farming. • They did not have any information on schemes. No beneficiaries of any such schemes like DDU-KVY, RSETI, Mudra, SRLM, DIC, etc. could be found in these villages • They wanted information and guidance on schemes of dairy, poultry and seed treatment plant. They wanted to produce certified seeds in their farms.

Expectations : The youth did not express any expectations on the job employment prospects, but specifically sought help and guidance on the following aspects. • Processing and grading unit for seeds • Dal mill and oil mills • Processing of turmeric • Support for irrigation pumpsets and well digging

4.2.4 Gram Panchayat Members During the Focus Groups Discussions with the members and functionaries of the Gram Panchayats, prevailing situation of employment and income generation opportunities in the villages were discussed, and the Gram Panchayat’s efforts to address the issues of rural unemployment.

Main issues/ constraints : The Gram Panchayat representatives were well aware of MNREGA provisions, but had limited information on the government schemes on agriculture. The members claimed to have been actively pursuing various welfare and development schemes of the government, especially on housing, drinking water and cattle camps. They share their concerns and demands as per the follows.  They needed more information on PM Mahila Kisan Yojana and PM Sinchai Yojana  They did not get any benefits under PM Fasal Bima Yojana  Their demands or proposals for works under MNREGA do not get approved at the Block level; instead, the Block authorities determine the works to be implemented in the village  Work generation through MGNREGA remains limited to non-productive and non-welfare infrastructure like cement concrete roads, wastewater drains, cremation sites, etc.

Expectations : The Panchayat members sought help on the following aspects. • Use of MNREGA for soil and water conservation • Loans for entrepreneurs and subsidies under schemes • Skill building of rural youth on repairing of agriculture equipment • Setting up of seed processing and grading plant in a cluster of 10-20 villages

IGG (2020) Potential of Rural Employment in District Damoh Page 21 Summary

The community as well as officials suggested a number of sub-sector interventions and activities as potential choice for generating rural employment and getting better prices for their produce. The farmers and the youth in district Damoh also expressed the need for improving the returns from agriculture and livestock. These are summarised below.

Table 3.2 : Consolidated Needs and Expectations of Stakeholders S No Sub-sectors and What the Past experience Feasible options Activities stakeholders want 1 Soil and water  Farm bunds  Familiar with the  Integrated work conservation  Farm pond work in watershed on watershed basis  Gully plugs projects 2 Agricultural  Technical guidance  Extension support  Extension services productivity  Breeder seeds almost non-existent  Farmers Field  Seed plant School approach 3 Horticulture  Sapota, citrus, ber,  Carried out on  Suitable for the mango, small scale local soil and pomegranate sporadically climatic  Turmeric, potato,  Bundeli Honey conditions tomato, chilli,  Apiculture carom seed (ajwain), 4 Forest based  NTFP collection  Conventionally  Sizable forest and trade –Mahua, done in forest land Amla, Chironji and fringe areas  Productive honey vegetation 5 Backward  Supply of seeds,  Few successful  Need to relook at linkages to save fertilisers, organic initiatives working FPOs and SHGs in farmers’ costs manures and inputs for long time new role 6 Custom hiring  Agricultural  Few custom hiring  Can be promoted centres implements on rent centres operate through FPOs 7 Forward linkages  Crop specific  FPOs have shown  Technical for remunerative clusters for pulses. the success in few guidance agriculture  Food processing - enterprises  Working capital dal, oil, turmeric,  Initial set up etc 8 Women’s micro-  Tailoring, dal mill,  Successful history  Cluster based enterprises masala making of few small scale approach  Working capital interventions  Micro finance

IGG (2020) Potential of Rural Employment in District Damoh Page 22

3.4 Some Suggestions not Found Advisable/ Feasible

During the interactions, some stakeholders made suggestions based on their observations or information from other locations. Not all of those suggestions were found feasible. Few examples are cited below, which could be avoided in the district.  Commercial crops like citronella, eucalyptus, Aloe vera, may be avoided because of uncertain demand and total absence of local demand or consumption. Pilot scale demonstrations may, however, be taken by KVK and others.  Tailoring for women and adolescent girls was proposed. However, it cannot run as a commercial activity due to low demand in rural areas.  Warehouses and cold storages for vegetables and fruits were requested by few farmers and the GP members. However, fruits and vegetables are highly perishable; not all types can be stored in cold storage. Further, many cold storages are running in red because of inability to use its capacity round the year. Erratic power supply is another constraint in its operation.

Based on the above, specific recommendations to increase the potential for rural employment in district Damoh are presented in the next chapter.

IGG (2020) Potential of Rural Employment in District Damoh Page 23

Chapter 4. What does the future hold? The Recommendations

The rural economy of District Damoh, like the rest of the Bundelkahnd region, is primarily agrarian, with more than two-third of the rural workforce engaged in agriculture. Given the high unemployment rate in the rural areas, especially among women, the strategy should focus on making agriculture more remunerative, so as to provide higher income to the labour force engaged in it. It is possible to strengthen the agriculture and allied sectors with backward and forward linkages to address the twin problem of poverty and unemployment. Availability of productive forest lands with reasonable tree cover presents scope for promoting NTFP based livelihoods.

Based on the findings of the study on increasing potential of rural employment in the district, the following measures could be taken up. These recommendations are divided in four categories.  Promotion of new sub-sectors and activities and to revamp the existing ones  Skill building to improve employability and productivity of rural youth  Capacity building of the entrepreneurs  Establishing systems and other reforms

4.1 Sub-sectors and Activities

4.1.1 Soil Water Conservation District Damoh has a limited irrigation coverage necessitating productivity interventions in dryland farming technology. Rainwater harvesting and efficiency in water use hold the key, thus prompting for integrated interventions on soil and water on watershed basis. It is recommended to increase the coverage of watershed project in the entire district.

4.1.2 Agriculture This is the largest area of interventions, which has the highest potential for remunerative employment.  Field Crops : Agro-climatic conditions in District Damoh and skill base of the farmers presents a good potential for scaling up pulses and oilseeds. It is recommended to promote pulses (red gram, black gram, lentil and Bengal gram) and oilseeds (mustard and sesame) on a larger scale, whereas wheat and soybean should be discouraged because of their low returns and high risk involved. Black wheat has shown promising results and should be expanded to larger area.  Horticulture : At present, fruit crops and vegetables are grown on less than 2% of the net sown area. There is large untapped potential of growing fruits and vegetable in the district, in view of transport infrastructure and access to markets.  Fruit crops recommended are citrus, papaya, sapota, mango, ber, and pomegranate. Vegetables (potato, onion and tomato) and spices like chillies, turmeric, cumin, coriander and carom seed

IGG (2020) Potential of Rural Employment in District Damoh Page 25 (ajwain) can be grown in addition to the seasonal vegetables (like gourds, brinjal, cucurbits, etc). Red chilli clusters should be developed in all the blocks of the district.  Backward linkages: Timely availability of seeds and fertilisers at affordable prices is a major challenge in the rural areas, especially those villages away from towns. Extension services and working capital support should be provided to existing FPOs to undertake it as a backward linkage. Promotion of organic manures and plant growth promoters through SHGs and farmers groups is also recommended, especially in the existing and prospective vegetable clusters.  Agricultural implements : There is a need for promoting simple implements like mould board ploughs, seed-cum-fertiliser drills, cultivators and harrows, which can significantly improve the productivity in agriculture. Given the poor state of electricity supply in the district, there is a good scope for promoting portable solar based pumpsets for irrigation under Atmanirbhar Bharat initiative. Custom Hiring Centres should be established to cater to the demands of such pump sets and large machinery, whereas the small implements should be provided to the farmers on subsidy. Appropriate tools and implements to reduce drudgery of women in agriculture is an expressed need of the farmers.  Forward Linkages : The district has sizable scope for promoting food processing units in form of rice mills, dal mills, oil mills, and processing units for turmeric and other local crops. Thses could be promoted on cluster basis.

4.1.2 Livestock and Dairy : Livestock is an integral part of farming in the entire Bundelkhand. In rainfed areas, livestock provides a buffer against climate induced stresses, and is an integral part of the farming system. Many dairy units have been operating for years, but the experience has been mixed. The milk collection at the district union had been very low – around 2000 litres to

IGG (2020) Potential of Rural Employment in District Damoh Page 26 5000 litres. SRLM is working on this area and is likely to launch few milk routes; it may be replicated in more clusters.  Goat and backyard poultry should be promoted among the landless households and among small and marginal farmers.  In both the cases, provision of healthcare services would greatly improve the profitability. Such services may be provided by the department through FPOs or SHGs (see 4.2 below).

4.1.3 NTFP Trade District Damoh has large forest area with productive vegetation. Collection, aggregation and trade of non-timber forest produce like Mahua, Amla and Chironji present very high potential in villages close to the forests. It may be promoted through the SHGs or Forest Protection Committees. Collection of wild hone presents very good scope.

5.1.4 Other Enterprises Several consumer products based on agriculture and allied sectors, like powdered spices, apparels (tailoring), incense sticks, etc can be marketed in the numerous local markets (haats) and the towns in the district. At present, these activities are being carried out as individual and group activities on a limited scale. There is a need to consolidate these efforts and support cluster level SHGs or FPOs to strengthen retail marketing.

4.2 Skills and Capacity Building of Youth and Farmers

One of the factors for low agricultural productivity and growth in district Damoh is the lack of consistency and timeliness in extension services, as it has affected transfer of technology and promotion of remunerative horticultural crops. It is recommended to build the skills and capacities of the farmers and youth in appropriate farming techniques for on-farm and off-farm activities. It is recommended to engage CSOs to provide training and field level follow up on a massive scale, while the government departments and KVKs get prepared for this challenge to deliver the services at the farm level through regular T&V or FFS approach.

It is recommended to develop cadres of barefoot professionals for agriculture and for livestock healthcare in all blocks. It is possible to promote new FPOs and strengthen the existing ones for this extension and promotion of scientific agriculture.

4.3 Capacity Building on Entrepreneurship

District Damoh presented an example of novel initiatives on rural entrepreneurship coupled with short life span of enterprises. All the examples of rural entrepreneurship or rural income generating activities, presented as case studies in section 4.2 earlier, presented a sudden success and subsequent decline in productivity or profitability. It is partly due to limited transfer of skills and competence to the rural entrepreneurs, highlighting the need to build capacities of both individual

IGG (2020) Potential of Rural Employment in District Damoh Page 27 and group entrepreneurs in terms of enterprise-specific knowledge and skills, including that of mobilising technical and financial support available in the district and outside. Therefore, strengthening of groups - SHGs, FPOs, FPCs, etc – is recommended with long term development perspective.

A word of caution is in order here - managerial and marketing skills should be built in entrepreneur groups (SHGs, FPOs, etc), but attempts to teach every farmer and every woman and every entrepreneur to become an accountant and a manager and a salesperson and a trader and a marketer should be religiously avoided. It must be understood that these skills are diverse, and the acumens are not omnipresent in every individual. And, therefore, only relevant skills should be built in different members of the groups.

4.4 Establishing Systems and Sector Reforms

4.4.1 Agriculture Extension This was found to be the weakest link in development of agriculture, livestock and allied sectors in the entire region, and specifically the district of Damoh. It was noticed that the department functionaries visited the villages mainly to fill up scheme forms, and never visited the fields to advise the farmers during the crop season. The Department of Agriculture should take urgent steps to correct this malady. It is recommended to engage competent CSOs to provide training, on-site technical support and field level handholding on a comprehensive scale, until the time the departments equip themselves to address this critical gap.

4.4.2 Outreach of Schemes The youth and farmers exhibited limited information of development schemes of the government, and in spite of the claims by the Gram Panchayats, the communication was not effective in delivering the message. It is recommended to reach out to the rural community and all potential beneficiaries of relevant schemes with regular outreach programmes. Outreach should be made a performance monitoring parameter for the GP Secretary. SRLM should be entrusted with this responsibility in the villages covered under SRLM. In other areas, CSOs should be engaged to implement regular outreach programme. It is recommended to include the outreach parameter in the Village Score Card of the Gram Panchayats.

4.4.3 Institutional credit Access to institutional credit, as is the case in other districts in Bundelkhand region, is a constraint experienced by farmers and entrepreneurs in district Damoh. It is possible to expand the borrower base through SHGs and FPOs under the recently launched Atmanirbhar Bharat programme of the government. The District Lead Bank and NABARD can take initiative in this direction together with DRDA and SRLM.

IGG (2020) Potential of Rural Employment in District Damoh Page 28 4.4.4 Cluster approach Cluster approach is recommended in most of the initiatives recommended above, as mentioned in Table 16 on the activities suggested by the primary stakeholders. It should be implemented with a long term perspective, with clearly defined outcomes for each blocks of the next five years. Support on appropriate technology, marketing and institutional credit should be made available through a single window. NRLM and DRDA should be entrusted with the responsibility of setting up these single windows, one for each cluster.

4.5 Summary of Recommendations

The main recommendations to increase the employment potential in rural areas of district Damoh are summarised below in the following table (Table 4.1).

Table 4.1: Recommendations on Key Sub-sector Activities

Sub-sectors Allied Activities Support Services

Soil water conservation :  Farm bunds and farm ponds  Integrated watershed Comprehensive approach for  Gully control and slope management erosion control and rainwater stabilisation harvesting

NTFP collection and trade :  Working capital to SHGs or  Aggregation and marketing Amla, Chironji, Mahua, honey JFMCs through JFMCs or SHGs  Licensing by Forest Dept

Main crops: Focus on pulses  Soil water conservation on  Promoting farmers groups (red gram, black gram, lentil and watershed basis  Technology support in terms of Bengal gram), while discouraging  Supply of seeds, manures, on-site guidance and extension wheat and soybean fertilisers and pesticides.  Collective marketing through  Custom hiring centre of critical FPOs or SHGs farm implements  Capacity building

Fruits and vegetable: Citrus  Technical guidnace  Same as above. sapota, ber, mango, papaya,  Alternative marketing channels  Farmers’ groups for inputs pomegranate, turmeric, potato, supply and marketing tomato, chilli, carom seed

Livestock : Goat and backyard  Livestock healthcare services  Cadre of barefoot technologists poultry for the poor

Forward linkages : Tailoring,  Technology support  Training and capacity building, Dal mill, oil mill, Masala  Working capital especially on marketing (processing of spices)  Cluster based Women’s  Market linking through fairs micro-enterprises set up suggested for scale economies

IGG (2020) Potential of Rural Employment in District Damoh Page 29