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A SWITCH-‐Asia Project CARE Bangladesh
Promo&ng Sustainable Consump&on and Produc&on of
Jute Diversified Products (JDPs)
Mahbub Ullah Team Leader
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About CARE
A leading humanitarian organiza&on figh&ng global poverty
• Founded in 1945 • Operates in 70 countries • 1000 projects • 14,500 staff Over 95% naBonals • 50 million plus beneficiaries each year
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Vision of CARE
We seek a world of hope, tolerance and social jusBce, where poverty has been overcome and people live in dignity and security
CARE InternaBonal will be global force and a partner of choice within worldwide movement dedicated to ending poverty
We will be known everywhere for our unshakable commitment to the dignity of people
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Mission of CARE
Strengthening capacity for self-‐help
Providing economic opportunity
Delivering relief in emergencies
Influencing policy decisions at all levels
Addressing discriminaBon in all its forms
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CARE Bangladesh Overview
• Started operaBon in Bangladesh in 1949 • Working in Poorest districts (One third of geography) • Close to a Million poor beneficiaries
Programs • Economic Development • EducaBon • Violence against Women/ Women Empowerment • Food Security • Water and SanitaBon • Health and HIV awareness
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Project at a Glance
• ImplementaBon dates: 01 Mar 2013 – 30 July 2016 • Name of beneficiary of grant contract: CARE France • Total Budget: 2 222 170 EUR • Donor: European Commission • Four Partner NGOs: 1. Debi Chowdhurani Palli Unnayan Kendra (DCPUK) 2. Eco Social Development OrganizaBon (ESDO) 3. UTTARAN 4. Sheba Manab Kallyan Kendra (SMKK)
Regional Coverage
• Northwest: Rangpur & Kurigram • Southwest: Satkhira & Jessore
SWITCH Asia -‐ Jute Value Chain Project CARE Bangladesh
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Target groups
§ Farmer 16,000 smallholding farmers from poorest communiBes in respecBve project sites; § Jute Diversified product (JDP) workers 2,000 marginalized workers engaged in JDP producBon who have potenBals; § Organic ferGlizers producers 60 smallholding marginalized women as producers and sellers of organic ferBlizers; § SMEs: 20 small and medium-‐sized entrepreneurs (SMEs) § 3 jute mills.
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Project Achievements
Jute Producers' Level • MobilizaGon and OrientaGon for Jute Producer Groups:
10,000 farmers were brought under the project and 400 producer groups were formed in 2013. They, therefore, received orientaBons on project objecBves and acBviBes. In 2nd year of the project, another 6,000 farmers were mobilized in 240 new groups.
• CompilaGon of Jute Producers' Database: Database profiling of targeted 16,000 jute producers were completed and
compiled covering their livelihoods and other socio-‐economic state of affairs.
• Trainings for Jute Producer Groups and Group Leaders: Training on environment friendly jute culBvaBon, refng and harvesBng techniques were facilitated to the producers' groups. AddiBon to this, value chain facilitaBon trainings were also been received by the respecBve producer group leaders.
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• Linkage with Village Community Groups: 40 linkage workshops with CARE Bangladesh's village community groups and these producer's groups were held.
• Savings Strategy for Jute Producer Groups: 344 jute producer and JDP worker groups have a savings of BDT 1,674,914 (€18,205) up to December 2014 and this process is being conBnued.
Organic Fer&lizer Producers' Level • Develop Local Level Organic FerGlizer Growers: 60 women organic ferBlizer growers had been trained in the project areas and they were now producing organic ferBlizer for jute culBvaBon. Organic ferBlizer growers earned BDT 27,850 (€290) by selling their produced organic ferBlizer.
+
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+ Market Linkage Ini&a&ves
• Establish Linkages with Private and Public Agro-‐dealers and Extension Service Providers: 12 workshops were being conducted, so far, at the project locaBons.
• Develop Mutually Beneficial Market Linkages Between Producer Groups and Jute Mills: 12 meeBngs were held in August 2014 with private sector, where representaBves from private sector jute millers and local jute traders amended to develop and strengthen the linkage between jute producer groups, local traders/intermediaries and jute mills.
Farmers directly sold 9,000 Kg jute fibers and thus received an increased price of BDT 12,390 (€129) than prevailing local market price.
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+ JDP Workers and Linkage with the SMEs
• Mobilize JDP Workers and Linkage with SMEs: 80 JDP worker groups were formed and 2,000 jute diversified product (JDP) workers were orientated. Two months long basic trainings on producBon of JDPs provided to these JDP workers to produce bemer jute diversified products (JDPs). There are some avenues to align them with the SMEs i.e., employment generaBon, execuBon of work orders of JDPs and supply of jute accessories.
• MoU signing for strengthening areas of cooperaGon with local level SMEs : This project has signed 3 Memorandum of Understanding (MoU) with 3 SMEs in the North-‐West region and 1 MoU signed with 1 SME in the South-‐West region with an aim to contribute the export compeBBveness of the SMEs through promoBon of environment friendly jute diversified products (JDPs).
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Jute producers receiving training on modern culGvaGon techniques and methods
Linkage development workshop between local level agro-‐dealers and extension service providers
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Market linkages between the jute producers and jute millers
The JDP workers are receiving basic training The jute diversified product (JDP) workers
Jute Diversified Product (JDP) workers receiving basic training
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Prospec&ve Areas of Coopera&on with the SMEs:
• SMEs: They will produce jute diversified products (JDPs) in their producBon houses to cater the demand of local, naBonal and internaBonal markets (as you know that SWITCH Project would like to select 20 SMEs in this context).
• Training: The SMEs may provide training to our Jute Diversified Products (JDP) Workers.
• Buy jute fiber: The SMEs can buy jute fiber produced by the farmer under SWITCH Project to produce JDPs.
• Buy Accessories & JDPs: The SMEs can buy Accessories and JDPs produced by the JDP Workers under SWITCH Project.
• Order Placement: Aoer training, the SMEs may place order to the JDP Workers under SWITCH Project to cater the demand of domesBc and export markets;
• Employment: Aoer training, the SMEs may provide employment to the JDP Workers under SWITCH Project;
• Compliance: Foster compliance issues with posiBve outlook aligned with social objecBves of the project;
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• Order • InspecBon • Sample • Inquiry
Buyers (DomesBc/InternaBonal)
• CoordinaBon • Follow-‐up • Disseminate Inquiries
CARE Bangladesh Switch Asia-‐JVC Project
(CBHQ Staff &POs) + PNGOs • InternaBonal Market (Export)
• Local & NaBonal Market
• JDPs
SMEs (Site Based &
Greater Dhaka )
Jute Diversified Products (JDPs) -‐Business Model
SMEs/ JDP Workers (Accessories/ Inputs/JDPs)
Farmers (Fiber)
Jute Millers (Yarn/Fabric)
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+ Studies and Publica&ons
• Project Brochure: 1,000 project brochures were published and distributed among the Donor, CARE management and Partner NGO level for disseminaBon.
• Development and PrinGng of Training Modules and Flip Charts: 700 sets of flip chart on “Modern Jute CulBvaBon, Refng and HarvesBng Techniques” were printed and distributed on the field level to conduct trainings on it.
• Baseline study: The baseline assessment report of the project has been completed.
• Organic FerGlizer Manual: Organic ferBlizer producBon manual has been developed.
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Picture of Project Reports and PublicaGons
Published Stories in the SWITCH-‐Asia Website (www.switch-‐asia.eu) : 1. Stories from the ground: Empowering Bangladeshi women through SCP 2. Direct linkages between jute producers and millers improve livelihood of
Bangladeshi farmers.
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Ac&vi&es/Strategy This project is working from bomom level to top level of the jute value chain
where acBviBes start from culBvaBon of jute to producBon of JDPs and ends with linkage with the export market. Thus farmers are the most targeted and JDP workers are the second major stakeholders of this project. The project brought the business enterprises to link with these stakeholders for developing their livelihood and also enhancing the market of eco-‐friendly jute diversified products (JDPs).
Market engagement strategy: The acBon is employing value chain based market engagement strategy to empower the poor (with a specific focus on women) and maximise producBon and income from the jute value chain.
The market engagement strategy has been chosen to promote changes in value chains that generate posiBve, sustained impacts in terms of producBvity, income, employment, and access to services. The methods are to create market opportuniBes, market linkages, strengthen support services, product upgrading and promoBon of enabling business environment.
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Value chain and value addi&on approach: Linkages and trust building among the different actors of the value chain are promoted to improve supply chain and business development services in the areas of knowledge, skills and technologies to boost the producBvity. Business network and partnership are central to develop capaciBes of the SMEs in improving their quality and producBvity. CARE is partnering and collaboraBng with numbers of private sector and business stakeholders who will cooperate for technical support for value addiBon and market linkage. Gender Equality and Women’s Empowerment: Gender equality and women’s empowerment will be one of the key approach not only to engage women in the JDP's, but also have a voice for socio-‐economic emancipaBon, with effecBve engagement in jute sector.
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Replica&on strategy Developing Environment Friendly Jute Cul&va&on, Re[ng and Harves&ng: Developed group of jute producers – male and female and provided training on modern jute culBvaBon, refng and harvesBng. A leader is selected from each group, and developed their leadership capacity. Value chain facilitaBon training is provided for building capacity which lead them to conduct monthly meeBngs on jute culBvaBon, refng and harvesBng.
Establishing Linkage with Input Suppliers: CollaboraBon with the public and private input suppliers is made i.e. Department of Agriculture Extension, Bangladesh Jute Research InsBtute and the local seed dealers are linked with the jute producer groups to ensure quality seeds from the respecBve stakeholders. The public insBtuBons are encouraged to develop capacity of farmers for indenBfying quality seeds and producBon of local seeds to meet their own demand and sell their excess seeds to other producers and also to develop capacity in producing organic ferBlizer for eco-‐friendly producBon.
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+ Establishing Linkage with Jute Mills: The jute producer groups are linked with the jute mills for gefng bemer market price through selling their produced fibers directly to the jute mills. The market price controlled by the market intermediaries are now in pressure to buy the fibers in a compeBBve market price from the jute farmers of the project area. Training on Organic Fer&lizer Produc&on: The project has trained up poor women to produce organic ferBlizer. They are using kitchen garbage and camle manure in producing the organic ferBlizer. Savings for Access to Capital: Self help savings is pracBced and managed by the groups themselves for realizing their short term capital needs. Developing Skills in JDP Produc&on: Mobilizing poor and extreme poor semi-‐skilled men and women workers into groups through training on jute products development provided by the SMEs who are skilled in making jute diversified products. The skilled workers will be linked with the SMEs for their employment to produce eco friendly jute diversified products.
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+ Strengthening SMEs Capaci&es: SelecBng the SMEs with JDP producBon capaciBes for strengthening their capaciBes to handle foreign buyers, orders, market-‐driven levels of producBon and compliance standards. Their capaciBes will be enriched in export-‐oriented enterprise development, business management and acquire producBon order of JDPs from internaBonal buyers. Policy Uptake: Undertaking promoBon campaign with the stakeholders to promote JDPs naBonally and internaBonally and review of policy barriers, recommendaBons for developing favorable policies for JDP producBon and exports of jute diversified products (JDPs).
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Best prac&ces § Linkage development – In 2014, farmers in South-‐West region have directly
sold their fibres of around 9,000 kilogram to Ahyan Jute Mills and received BDT 12,390 (€129) more than local market price.
§ Produc&on and u&liza&on of organic produc&on – under thus project 60 poor women are being trained in producing organic ferBlizer, which they are using in their fields that actually minimizing use of chemical ferBlizer. In 2014, these producers have already earned BDT 27,850 (€290) by selling their produced ferBlizer.
§ Jute seed produc&on -‐ Farmers are now producing jute seeds for their use.
§ Line sowing -‐ In 2014, for the first Bme, 860 farmers of this project pracBced line sowing. This pracBce has brought posiBve impact among the pracBBoners and other farmers. Per hector line sowing saves BDT 99 from seed cost, BDT 2,766 from labor cost and produces 321 kgs of more fibers and 173 kgs of more jute sBcks.
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Challenges § Seeds
A major challenge for jute culBvaBon is shortage of quality jute seeds which mainly met by imported Indian seeds.
Adequate supply of water Water problem is also being regarded one of the major challenges for jute culBvaBon. In some places jute plants are over flowed with flood which causes dying of plants.
Scarcity of water – On the other hand, in some places farmers can’t conduct proper refng due to water shortage which causes low quality of fiber. Both in the North and South region, in some places, availability of water for reJng is severely scarced.
§ Linkage with the jute millers Direct linkage of jute millers with the farmers has become a challenge due to influence of middlemen traders.
§ Lack of knowledge to produce JDPs and markeGng strategy Lack of knowledge on jute diversified products (JDPs) of the SMEs and their low capability to produce JDPs are challenges for meeBng the demand of quality JDPs for naBonal and internaBonal market.
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Addressing these challenges with proper knowledge, skills & technology will encourage the producBon and consumpBon of JDPs.
§ Water Logging – 6 unions in South-‐West region have water logging situaBon.
§ Carried over Seed – Due to lack of supply chain management seed importaBon is not Bme-‐bounding based on the needs of the farmers, thus most of the seed found in the market are carried over seed.
§ Crop diversifica&on -‐ Due to high crop diversificaBon and higher producBon cost jute farmers moved to produce other crops.
§ Price difference – Price difference between the top grade and lower grade fibre are more-‐or-‐less 100 taka per mound (40 kg), which someBmes de-‐moBvate the jute farmers towards produce bemer graded jute.
§ Alterna&ve technology – In general, farmers are not interested in adopBng alternaBve techniques and technologies, i.e. – line sawing method of producBon, ribbon refng method for fiber extracBon etc.
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§ Climate change effect – Due to global climate change effect the seasonality and intensity of rain are changing, which affecBng other agro-‐ecological condiBons for jute producBon. § Labor availability and higher cost – Due to growing inter-‐sectoral migraBon, availability of agricultural labor for jute is creaBng challenge. Besides, unit labor cost has also been increased significantly. § Storage facili&es at farmers level – Due to socio-‐economic scanBness most of the farmers are incapacitate and have limited knowledge on storage § Access to financial services – Farmers have limited knowledge on banking rules and regulaBons for processing loans to the Banks
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Project Impact
ü Increased Jute Cul&va&on Area
In 2013, the producers had culBvated jute in 2,034.21 hectors of land. In 2014, they had culBvated jute in 2,111.5 hectors, which is 77.29 hectors more.
ü Increased Fiber Produc&on
The farmers of this project have produced 4,000 metric tons of fiber in 2014 which is about 797 metric tons more than previous year producBon ( 3,203 metric tons)
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ü Increased Carbon Dioxide Absorp&on
In 2014, under this project 2,111.5 hectors of land were used for jute culBvaBon which is 77.29 hectors more than previous year. 31,672.5 tons of Carbon dioxide has been absorbed by culBvaBng jute which is 1,159.35 tons more than 2013 (30,513.15 tons).
ü Line Sowing In 2014, for the 1st Bme, 860 farmers of this project pracBced line sowing. This pracBce has brought posiBve impact among the pracBBoners and other farmers .Per hector line sowing saves BDT 99 from seed cost, BDT 2,766 from labor cost and produces 321 kgs of more fibers and 173 kgs of more jute sBcks.
Project Impact
Year Land Carbon dioxide absorp&on
2013 2,034.21 hectors 30,513.15 tons
2014 2,111.5 hectors 31,672.5 tons
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Environmental Benefits 1. Clean development mechanism (CDM) Environmental benefits of jute are immense that has already been recognized by the global leaders in context of clean development mechanism (CDM) under Kyoto Protocol. Jute growing period is around 120 days. One hectre of jute plants can absorb 15 mt of CO² and liberate 11 mt of O² which is equivalent to consumpBon of CO² exhaust from 20 cars a year. 2. Jute pulp papers saving trees Jute pulp papers can save trees to be cut off to make paper & paperboard.
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3. Replacement scope of harmful plasGc bags made of PP, HDPE,
LDPE, LLDPE The global demand for shopping bags is more than 500 billion pieces a year. Jute made shopping bags can easily replace harmful plasBc bags made of PP, HDPE, LDPE, LLDPE and other harmful chemicals. The low weight and small size of plasBc bags ooen escape waste management and end up in the marine environment as their eventual decay can take hundreds of years. An esBmated 46,000 pieces of plasBc are floaBng in every square kilometer of ocean worldwide. Most distressing fact is that seabirds and mammals die from ingesBon of these plasBcs.
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Roadmap for Jute:
RecommendaGons
As jute is a generic product, some ground work is necessary to enable its key stakeholders to sustain in the compeBBve market, i.e. Farmers, Entrepreneurs, Mills and Business developers. Some steps can be considered as menBoned below:
1. Adequate storage faciliBes for fiber
2. Inputs/Supply of seeds to the producers just in Bme
3. Easy loan facility and market access
4. BMRE 5. DiversificaBon (from convenBonal to diversified products): Jute bags,
Rugs, Home texBles, Geo-‐texBles, Handicraos, Composites, Fashion accessories, Floor coverings, Footwear, ParBcle board, Pulp & Paper, Apparel etc.
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6. ImplementaBon of mandatory jute packaging act 2013
7. Expand internaBonal market
8. Minimum support price (MSP)
9. Micro credit
10. R&D: Establishment and modernizaBon of exisBng research insBtutes
11. Awareness buildup through ATL, BTL & TTL markeBng
Thank you!
