Diageo India's "Micro-Enterprise Initiative" is taking a promising step towards empowering small-holder farmers, particularly women, by equipping them with the tools and knowledge to become self-sufficient micro-entrepreneurs. In this interview, Mr. Navdeep Singh Mehram, VP – CSR & Sustainability at Diageo India, sheds light on the initiative's potential for long-term impact, scalability, and its contribution to broader social and environmental goals. We delve into the program's design, partnerships, and plans for future expansion, exploring how this initiative can become a model for wider adoption and systemic change within the agricultural sector.
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Q. Starting with 100 farmers is great, but how can you ensure this initiative reaches more smallholder farmers across India in the long run? Can this model be adapted to other states or different crops?
A. The Micro-enterprise initiative is a step forward in our commitment to help small-holder farmers build economic and environment resilience as part of our Society 2030: Spirit of Progress ESG action plan. The pilot programme with 100 farmers provides us with a solid foundation to test, learn and make this initiative more sustainable and scalable in the future. We aim to further expand this programme by bringing additional 100 female farmers in the second year. In addition, our technology partner, S4S Technologyhas designed dehydrators that are versatile enough to handle a variety of crops, such as tomatoes, ginger, onions, garlic, and parsley. This flexibility enables us to tailor the program for small holder farmers and meet the demands of different areas. This model can be replicated for different states and crops with similar context.
Q. Beyond initial training and equipment, what measures will you take to help these women micro-entrepreneurs become financially independent in the long term? Can you offer market access support, fair pricing guarantees, or access to micro-finance?
A. As part of our Society 2030: Spirit of progress plan our aim is to help build economic resiliency within our local sourcing communities especially small-holder farmers. Therefore, our program adopts a multi-partner and multi-stakeholder approach to ensure long-term financial independence for our women micro-entrepreneurs. This includes:
- Financial support by providing one-time grant to partly cover the cost of thedehydrators. For the remaining cost, we've arranged financing options through government banks, with easy repayments through EMIs from their monthly processing fees.
- Market access by connecting women with fair-trade markets and ethical sourcing partners ensuring reliability in the future.
- Guaranteed fair pricing for micro-entrepreneurs when they sell their dried products to market partners, ensuring they get the value they deserve for their hard work.
- Income Opportunities at moderate levels of activityare expected in the rangeofRs. 35,000 to Rs. 100,000 annually.
- Responsible Lending throughtimely repayments (EMIs) helpsmicro-entrepreneurs build a positive credit history (CIBIL score) which helps in securing future financial opportunities.
This comprehensive approach aims to equip women with the resources and support needed to achieve long-term financial independence.
Q. How will you measure the program's impact beyond just income generation? Will you track things like food waste reduction, environmental benefits, access to nutrition, and overall livelihood improvement?
A. Our project goes beyond income generation and aims to create multi-dimensional impactas reflectedin our Society 2030 ESG action plan. The impact is accessed on the following parameters:
- Reduction in food waste: In Nashik, there is a significant crop loss especially tomato, garlic, and ginger due to limited storage space and processingcapacity. This project enables micro-enterprises to process unsold produce, thereby reducing crop loss, food waste and creating livelihoods.
- Environmental benefits: Equipment like solar-powered dehydrators is a sustainable alternative to traditional methods whichuse coal fossil-fuel and have an environmental impact.
- Improvement in livelihood:Besides income generation our program focuses on long-term well-being which is measured after two years of the program implementation through indicators like healthcare access, educational opportunities, and overall family well-being.This comprehensive approach allows us to assess the project's holistic impact on individuals, communities, and the environment, earning us a triple win.
Q. You're partnering with local organizations, but how can you further collaborate with government agencies, research institutions, and other stakeholders to address systemic challenges and advocate for policy changes in the agriculture sector?
A. The micro-enterprise initiative is aimed at driving real impact. It demonstrates our commitment to our Society 2030 goals and contributes to national priority as well as United Nation’s Sustainable Development Goal 12.3 which aims to halve per capita global food waste and reduce food losses along production and supply chains, including post-harvest losses.We believe addressing systemic changes requirescollaboration among stakeholders. For example, the micro-enterprise initiative taps into government programs such as priority lending to women-led micro-enterprises and SHGs to leverage existing frameworks and resources. Our on-ground NGO partnership with Savitribai Phule MahilaEkatmaSamaj Mandalstrengthens our efforts in community development and women empowerment. Our other partner S4S Technologies provides training, solar-powered dehydrators and last-mile connectivity to consumers in food supply chain.
Q. Could technology play a role in enhancing the program? Can you explore using digital platforms for market linkages, skill development, or financial inclusion, perhaps in collaboration with technology startups or NGOs?
A. Technology is the very bedrock of this program and by integrating digital tools, we have not only streamlined operations but also opened new avenues for growth and empowerment through sustainable supply chain.As our technical partner S4S technologies has provided us withsolar-powered dehydrators. These innovative eco-friendly machines empower the women micro-entrepreneurs to process crops efficiently andin a sustainable manner. In addition, women entrepreneurs have direct access to S4S technical team to troubleshoot any issues or concerns with the solar dehydrators.Tostreamline financial subsidy process for the micro-entrepreneurs, S4S Team has integrated digital tools to:
- Provide assistance and create awareness about linking the Aadhaar cards to mobile devices to gain access to bank loans and government schemes.
- Integrating digital payment systems for all transactions and transfers of payments for better financialmanagement and transparency for the participants.
Q. Beyond empowering women farmers, how will you ensure the program benefits their families and communities, promoting broader gender equality and inclusive development?
A. Our program aims to create ripple effects that extend beyond empowering women farmers, fostering benefits for their families, communities, and broader social change:
- Improved family well-being: Increased income for women participants often translates to: Better access to healthcare for their families, enhanced educational opportunities for children, Improved nutrition and overall quality of life.
- Positive role models: Women becoming successful micro-entrepreneurs creates powerful role models. This can inspire young girls and women within the community and shift broader community perceptions about women's economic potential.
- Community development: When women earn and have decision-making power, they are more likely to invest in their communities, contributing to local economic growth and well-being; fostering a growth of women-owned businesses.
By creating a sustainable, financially empowering model and supporting women micro-entrepreneurs, we contribute to a more inclusive, equitable, and prosperous future for both individuals and communities at large.This is in line with Diageo India's agenda to help build inclusive communities, marking a step forward towards a more equitable society.
Q. Can you document and share learnings from this initiative with other companies, investors, and stakeholders to encourage wider adoption of similar sustainable and community-driven models?
A. We firmly believe in knowledge sharing to inspire wider adoption of similar models through documentation and dissemination of our learnings, activities, and outcomes. We aim to make these insights accessible through publicly available reports/ case studies/videos, to foster collaboration and drive innovation, for a broader impact. In addition, we disclose the impact learnings at various event forums CII/FICCI etc.
Q. Can you explore processing different types of surplus produce or developing value-added products beyond sun-drying to create more diverse income opportunities for farmers?
A. Our technology partner, S4S technologies has designed dehydrators that are versatile enough to handle a variety of cash crops, such as tomatoes, ginger, onions, garlic, and parsley. While we do recognize the potential for value-added products, we will continue to focus on initiatives within the purview of our Society 2030 ESG action plan to drive real change for small-holder farmers.
Q. Considering your global sustainability goals, how will this initiative fit into your long-term commitment to supporting smallholder farmers and tackling food waste globally?
A. As part of pioneering grain-to-glass sustainability, our global goal is to support 1,50,000 smallholder farmers by 2030 with agricultural skills and resources to build economic and environmental resilience.This initiative is a step forward to support smallholder farmers, tackling food waste andbuilding inclusive communities in India. Through this initiative we will empower small holder women farmers build economic resiliency by providing themwith the training, financial support, and market access, to ensure sustainable livelihoods. In addition, the program leverages solar powered dehydratorsto significantly reduce post-harvest losses for targeted crops, minimize food waste and promote resource efficiency.
Q. Looking ahead, how do you envision scaling and replicating this transformative model beyond the initial scope? Are there plans to explore innovative partnerships, technological advancements, or policy advocacy initiatives to drive even greater systemic change and long-term sustainability?
A. We plan to expand the initiative in India by scaling and replicatingthe modelwithinthe region and potentially other regions we operate in while openly sharing learnings to facilitate adoption.
