Here’s a quick review of some of the learning questions we covered in our August Big Picture meeting and some comments on how we might continue to explore each area
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Learning Goal | What we’ve learned | Next steps |
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What type of FPO are we focused on for the funding platform? On Track | We are focused on FPOs that have been established for 5+ years and have established roles and governance. They are able to consistently pay their salaries, and they work with a resource institution who can help them refine their business plan. They have women representation in their member base and leadership. | Sai is responsible to reflect on these characteristics of FPOs as we move forward with pilots #2 and #3 and build a future pipeline. |
What are the most important roles within the farmer organization for the funding platform to be successful? Needs Attention | We are seeing that sometimes that most important role of ‘data collector’ is the CEO of the FO, but sometimes there also needs to be data validation and data re-organization. | We don’t have clarity on this yet. We should hold an internal conversation to see what we have learned and what our point of view is on the most important roles and how it affect product design. |
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What is a low-lift but insightful format for applications Needs Attention | The in-person workshop with the FO and resource organization has allowed our team to get smart on submitted ideas and FO investibility quickly. However this isn’t a scalable model when we want to evaluate hundreds of ideas each week. | Should we assume that workshops will be required for the foreseeable future or is there another path? ashok would love your thoughts here. Having workshop helps in -Building trust with each other -Quick verification of documents -Encouarges open discussions like strenghth/ areas for improvements -Facilitation helps to identify appropriate business proposition Downside -Expensive ( Not so expensive if regional teams manage workshops) -Time consuming Alternate -Video Ask ( Sai Amrita Das (Unlicensed) )-Do we have updates? |
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Asset distribution Needs Attention | We have set up a model for Odisha that will change in the future. Ashu Sikri (Unlicensed) - can you elaborate on how this will change going forward and what the next steps are? - Odisha model is that DGF funds DGT which purchases asset and makes available to FPO via collaboration agreement. - Assets purchased via foreign grants cannot be transferred per FCRA - There are a lot of subsidy programs (Mission Shakti, AIF, PMFME) which reduce the cost of capital for assets to as low as 7% annually | - Need to revisit what are solving for? Designing a new financial product (eg, a flexible repayment instrument) is a heavy lift and may be too much to take on if our primary goal is to incentivize digitization. If we do go this route, need to find an implementing partner (Samunnati?). Another approach is that we serve as BC if the goal is to tap existing funding sources. In that model, can we creatively use capital as FLDG or interest subvention? Ashu Sikri (Unlicensed) to setup a call with Program and Strategy team on this during week of Aug 29. |
Data gathering and use On track | Tetyana Zelenska (Unlicensed) and sanjeev (Unlicensed) will be meeting with the pilot team to make sure that we are measuring what we initially sketched in a sustainable manner. | |
Linking to funders On track | Not a ton done here yet. | alesha (Unlicensed) and Shalu Umapathy (Unlicensed) will be working on this by hosting a series of roundtables for feedback and building a target list of funders to formally approach |
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Farmer impact Did farmers and the FO see financial benefits? On track | In process. As we collect metrics in the coming weeks, we will be answering this for Odisha | |
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Digitization use case Was there a clear incentive to digitize FO data? Needs attention. TBD. | Ashu Sikri (Unlicensed) what are your thoughts on where we will land here? Amrita Das (Unlicensed) please add in case I missed anything
| One opportunity is to tap onto zero-interest loans and grants from Mission Shakti / OLM . Eligibility requirements include maintaining proper governance records so data can play a role here . |
Data customer benefit
| TBD - we have identified several data customers as we have moved forward with the pilot. In the business case, there isn’t a huge financial benefit for farmers, which is why we are leaning towards government programs as a key data customer that unlocks direct funding for FOs. Ashu Sikri (Unlicensed) anything to add here? As per the planning for next season , FPO is planning to get loan from some financial institution if getting money from the Govt org takes time . | Opportunity with Reliance; what data should we share with them so FO can help member farmers sell their ~1,600 tons of tomatoes which will be ready in October?
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