Archive for October, 2009
eFarm.in: Innovating the Indian Agri Supply Chain
“In a regular employment at an IT company, you get the money and glory, but the real human connection outside your cubicle is absent” tells Venkat, the 36 year old social entrepreneur from Chennai. He had worked at different IT companies for more than a decade; had a top branded resume; got paid of fat salary month after month; but an empty feeling was haunting him of not serving the purpose of his life. Though he was eager to skip off and turn to social work, the need to balance financial needs, career ambitions and inner craving kept nagging for a solution.
“Why not become a social entrepreneur by myself?” This question made Venky to start “Matchbox Solutions”, an organization to channelize the collective energy of people and bring constructive change to the social and economic environment.
Venkata Subramanian started eFarm – an Agriculture Supply Chain business in Jan 2008
Having completed B.Arch from IIT Kharagpur in the year 1995 Donnie Darko film Magnifique, Le video , the IT wave made him to get pushed into an IT career through campus placement. After a decade long stints at various IT companies, he quit his high paying job as a Program Manager with a leading Indian IT firm, to start off his own social enterprise “Matchbox Solutions” in June 2007. With his parents from media background, his Dad retired from All India Radio and Mom from Doordarshan, Venky’s futuristic view got its nod rather liberally. Though there were little tirades popping up at home then and there, the global recession snuffed them off, a relief for Venky!
Srivalli with experience in leading MNCs and having run two start-ups and fund raising NGOs joined Venky to shoulder operations, administration, etc., and finally became his life partner too. She is now the Co-founder & CEO of eFarm.
In India, agriculture and education are usually stamped as if they should be taken care by the government or by an NGO. A professionally driven organized agricultural supply chain is non-existent in India. Driven by the inspiration of “An average Indian farmer”, Venky plunged in to connect people through creative use of technology and establish a profitable social enterprise. The first match stick to come out of the Matchbox in Jan 2008 is a ‘Mumbai dabaawallah’ style business named “eFarm” which strives to solve the logistics/distribution/marketing challenges plaguing the agricultural supply chain business.
Customers who wish to seek fresh agri produce at a reasonable price are the main target users of eFarm, apart from food & hospitality providers, institutional buyers and exporters. They now have 500+ clients and “Word of Mouth” is the marketing strategy working best for him. He makes revenue out of 5 to 10% margins on the transactions made and hopes to reach Rs.2 Crore turnover in the next 2 years.
This Chennai based self funded venture now seeking out first round external funding is pepping up for an organic growth to other metros. Now a team of ten is taking care of the supply chain from agriculture to retailing. To avoid pitfalls and keep newbie errors at bay, their small focus group which comprises of key stakeholders of eFarm come together every month to validate the progress and ideas. Venky is on the path to form a trust / NGO to better coordinate the activities of SHG members.
Unlearning all those years of corporate ‘wisdom’ is a pain point for Venky who had taken a business which for him is anew. He needs to work at grass root level and have a constant eye on market trend, price swings and supply sources; Both farmers and end retailers want to quit their trade for better options owing to high risks and poor remunerations. Finding and motivating people to stick to this trade is an uphill task. To win over these challenges they are imparting training programs for the farmers on how to run a business, basic economics of a trade, etc., to make them more professional in their dealings. Venky does not prefer expecting the common folk to flock to a computer based solution, but vouches for the simplest of technologies to solve the needs of even the layman. His business has given him the lesson of not to approach the poor as if ‘I am trying to help you’ and he thumps that they are competent enough to figure out for their survival.
On brand building, he tells to Startupstory that “One’s service and value should speak for itself; my satisfied customer is my best salesman”. Promotion is happening through mobile vans, blogs and online discussion groups. Models like micro finance, self help groups and government agri agencies helps eFarm to reach wider audience.
Since agriculture is highly dependent on the environment, unforeseen situations are bound to adversely impact this business. Fact is that nearly 70% of India is directly dependent on agriculture, even a small improvement by innovative social entrepreneurs like Venky is bound to impact a wider audience and improve the efficiency of the Indian economy.
Office address: www.efarm.in No. 11 Loganathan Colony, Mylapore, Chennai - 600004 M: +91 9884761354 T: +91 44 43577236, 24450613 E: venky@matchboxsolutions.in
Google : http://groups.google.com/group/efarm
LinkedIn : http://www.linkedin.com “Agri India” Inferno
Video clips on 1.How eFarm works and 2. The supply chain trail
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