Tribal Communities in Jharkhand Set to Revolutionize NTFP Sector Through FPO Collaboration

In a significant effort to enhance the economic prospects of tribal communities, two Farmer Producer Organizations (FPOs) in Gumla district, Jharkhand, are set to transform the Non-Timber Forest Products (NTFP) sector. A recent learning exchange visit to Udyam Utthan Samiti in Kamdara, Gumla, has provided these FPOs with innovative strategies for the collection, processing, and marketing of NTFPs.

The Jharkhand team, led by Erose Kujur, included two CEOs from the FPOs and two representatives from Caritas India. This delegation visited the women-owned Udyam Utthan Samiti to gain firsthand experience in community-owned NTFP operations. The visit aimed to understand the intricacies of the NTFP business and implement strategies to strengthen the existing FPOs, which were established with NABARD’s support.

Facilitated by Delhi-based NGO Udyogini and supported by SFURTI under MSME, the visit showcases successful models of value addition for products like Tamarind, Lac, and Char. The visit aimed to understand the intricacies of the NTFP business and implement strategies to strengthen the existing FPOs, which were established with NABARD’s support. These FPOs are already engaged in NTFP collectivization and sales, contributing significantly to local livelihoods.

The exchange has provided invaluable insights into effective NTFP management and marketing. The visiting team is better equipped to enhance their FPOs’ operations and create more sustainable income opportunities for the tribal communities.

NTFPs are crucial in tribal economies, contributing 20% to 40% of annual household incomes. In India, over 50 million people depend on NTFPs for subsistence and cash income, according to a 2011 Planning Commission report. These forest products offer a reliable income source, especially during adverse climatic conditions like droughts.

The Caritas India-NABARD collaboration has been instrumental in promoting these FPOs in Palkot Block, Gumla District. Their primary focus is mobilizing farmers for collectivization and marketing, aiming to enhance competitiveness in emerging market opportunities. Key operations of these FPOs include collectivization and marketing of NTFPs, supply of agricultural inputs, providing training and networking opportunities, and offering financial and technical advice.

The success of Udyam Utthan Samiti, which involves over 1,200 women producers across more than 20 villages, is an inspiring model for these FPOs. It demonstrates how organized NTFP collection and processing efforts can create sustainable livelihoods and reduce distress migration.

This initiative aligns with India’s sustainable development goals, showcasing how traditional forest-based livelihoods can be integrated with modern market mechanisms. As these FPOs implement their newly acquired knowledge, the impact is expected to ripple across Jharkhand’s tribal communities, potentially sparking an economic revolution.

The collaboration between Caritas India, NABARD, and local FPOs represents a replicable model for India’s tribal regions. It highlights the potential of NTFPs to transform rural economies while promoting forest conservation and sustainable practices. As the project progresses, it is anticipated to boost local economies, empower women, reduce migration, and preserve traditional knowledge of forest resources. The success of this initiative could pave the way for similar programs across India’s tribal belt, marking a significant step towards inclusive and sustainable rural development.