Final Livelihood Study Report of Mizoram PDF

Livelihood Based Agri Business and Market
Studies for North East Rural Livelihood

Project
Final report, Mizoram

April 2011
Submitted by
MART
A-32, 1st Floor,
Sector 17, Noida - 201 301
Tel: 0120-2512140, Fax: 0120-4273995
Website: www.martrural.com
Livelihood based Agri Business and Market Study in Mizoram
Acknowledgement
We take this opportunity to extend our thanks to Ministry of Development of North Eastern Region
(MDoNER) for giving us this opportunity to undertake this important livelihood study under North East
Rural Livelihood Project (NERLP).
We sincerely thank Mr. Alok Kumar Shrivastava, IAS, Project Director, NERLP and his entire team at
Guwahati for their constant guidance and unconditional support during the entire study period. A
number of meetings with him and his team at Guwahati and Delhi helped in smooth completion of the
assignment. We would again like to thank him for his and team support for facilitating the stakeholders’
workshops in states. NERLP feedback on draft report has helped us improve it suitably to make it a useful
project document.
We thank Mr. Biswajit Sen, Senior Rural Development Specialist and Mr. Nathan M. Belete, Senior Rural
Development Economist at World Bank for their constant support in ensuring completion of the study
particularly in finalizing the report templates and selecting 5 economic activities for value chain analysis
in the state. We would also like to thank Mr. Varun Singh, Social Development Specialist at World Bank
and Dr. Amarendra Singh for their valuable feedback on the study.
We are indebted to Shri. Lalremthanga, MCS, Director, RD, Government of Mizoram and Ms.
Ramdinliani, MCS, RD, Government of Mizoram for their support and coordination in making field work
meaningful and organizing very fruitful stakeholder consultations.
We sincerely thank all the stakeholders who spared their valuable time to provide us important
information and relevant documents. We particularly thank all the stakeholders present in the two highly
informative and participatory workshops conducted at Aizawl on 27th August 2010 and 11th February 2011
for their invaluable contributions and feedback in guiding and finalizing the study.
We would like to thank all the state level officials and Block Development Officers of Lunglei, Lungsen,
Thingsulthliah, Phullen blocks who not only facilitated our field visits but also earmarked competent
personnel to support us in the field work. Our thanks are due to Vanapa Society who provided support in
carrying out field work during the course of the study.
Last but not the least our heartfelt appreciation to villagers, SHG members, entrepreneurs, market
players, wholesalers and retailers, processing units at Aizawl, Lunglei and other markets who spared their
valuable time and shared invaluable information to provide credibility to the research and developing
implementable strategies.
MART Team
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Contents
Abbreviation ..................................................................................................................................................... 3
Executive Summary ....................................................................................................................................... 4
Chapter 1: Background and Methodology ...............................................................................................8
1.1. Background .........................................................................................................................................8
1.2. Objectives of the study ........................................................................................................................8
1.3. Approach of the study ......................................................................................................................... 9
1.4. Limitations of the study .....................................................................................................................11
Chapter 2: State Profile and Livelihood Issues ................................................................................... 12
2.1 Mizoram at a glance .......................................................................................................................... 12
2.2 Aizawl District ................................................................................................................................... 14
2.3 Lunglei District ................................................................................................................................. 15
2.4 Livelihood Issues .............................................................................................................................. 16
Chapter 3: Livelihood Profile .................................................................................................................... 21
3.1 Demographic Profile ......................................................................................................................... 21
3.2 Population Profile ............................................................................................................................. 21
3.3 Land Holding Pattern ....................................................................................................................... 22
3.4 Land based livelihoods ..................................................................................................................... 23
3.5 Livestock based livelihoods ............................................................................................................. 30
3.6 Service based livelihoods .................................................................................................................. 32
3.7 Non Timber Forest Produce (NTFP) based livelihood ................................................................... 33
3.8 Existing amenities and infrastructure in villages............................................................................ 37
3.9 Skill Status ......................................................................................................................................... 39
3.10 Credit Scenario ................................................................................................................................. 40
3.11 Village Level Markets ....................................................................................................................... 40
3.12 Marketing Infrastructure ................................................................................................................. 40
3.13 SHG information...............................................................................................................................42
Chapter 4: Value Chain Analysis ..............................................................................................................44
4.1 Selection of activities ........................................................................................................................44
4.2 Summary of suggested interventions for the shortlisted activities ................................................ 45
4.3 Turmeric (Curcuma longa) ...........................................................................................................49
4.4 Mandarin Orange (Citrus reticulata) ...........................................................................................58
4.5 Piggery .......................................................................................................................................... 68
4.6 Poultry ........................................................................................................................................... 78
4.7 Stick making (used for making incensed sticks) ........................................................................ 90
Annex – 1: List of persons met ..................................................................................................................96
Annex – 2: List of Secondary sources / References ...........................................................................99
Annex – 3: List of wild life trade prohibited under the Wild Life (Protection) Act, 1972 ....100
Annex – 4: Stakeholders’ Consultation Workshop .......................................................................... 101
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Abbreviation
APMC Agriculture Produce Market Committee

BDA Bamboo Development Agency
MDoNER Ministry of Development for North Eastern Region
DRDA District Rural Development Agency
FGD Focus Group Discussion
GNP Gross National Product
GoM Government of Mizoram
Kg Kilogram
MAMCO Mizoram Agricultural Marketing Corporation Ltd.
MART A leading livelihood and marketing consultancy agency
MFI Micro Finance Institution
MIFCO Mizoram Food and Allied Corporation
MT Metric Ton
NABARD National Bank for Agriculture and Rural Development
NERCRMP North Eastern Region Community Resource Management Project for Upland Areas
NERLP North East Rural Livelihood Project
NREGA National Rural Employment Guarantee Act
NREGS National Rural Employment Guarantee Scheme
NSDP Net State Domestic Product
PIGFED Mizoram Pig Producer Co operative Federation Ltd.
RBI Reserve Bank of India
ROI Return on Investment
Rs Rupees
SGSY Swarnjayanti Gram Swarozgar Yojana
SHG Self Help Group
Tin Local measurement unit for area and production in Mizoram
VC Village Council
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Executive Summary
 The North East Rural Livelihood Project (NERLP) of the Ministry of Development of North Eastern
Region (MDoNER), Government of India, aims to address rural poverty in the region through
creation of sustainable livelihood for the rural poor, particularly for women. The project has
commissioned ‘Livelihood Based Agri Business and Market study’ in Mizoram, Nagaland, Sikkim and
Tripura.
 MART, a leading livelihoods and marketing consultancy, was selected to conduct the study in all four
states. MART signed a MoU with MDoNER and closely coordinated with Project Director, NERLP
based at Guwahati for finalizing study design, planning fieldwork and information to key state
stakeholders for smooth conduct of the fieldwork.
 The primary objective of the study was to assess economic opportunities in both farm and non-farm
activities in the project area.
 MART used 3M approach for the study that looks at the overall livelihood ecosystem incorporating
understanding of villagers, market players and enablers to analyze the livelihood scenario in the state.
 The study followed an 8-step approach involving secondary literature review, stakeholders’
consultation, preliminary field visits, village and market survey, writing draft report and final report
after receiving feedback from NERLP and the World Bank. Under the agreed methodology MART
covered 10 villages with the support of RDD, Mizoram and conducted FGDs and individual interviews
with villagers, state and district officials. Market study involved interviews with traders, transporters,
and Government and private processing units.
 According to Economic Survey, Mizoram 2008-09, about 37,384 households in the rural areas are
estimated to be poverty household in 2004 (Below Poverty Line household).
 Agriculture occupies a very important place in the economy of Mizoram. As per Economic
Classification of Workers, 2001 Census, 60.6 per cent of the total workers are engaged in agricultural
activities mostly by practicing Jhum (shifting) cultivation. Meanwhile, the share of agriculture alone
in Gross State Domestic Product (NSDP) is projected to be hardly 7 percent at current price during
2008-09. According to Agricultural Census 2005-06 there was an estimated 97223 nos. of operational
holdings and the area operated was estimated at 1,16,645 hectares as against 93,298 hectares in 1990-
91 agricultural census. Marginal and small holding together alone constituted 83.5 per cent of the
total holdings during 2005-06.
 In spite of the fact that rice being the staple food and the most important crop occupying the largest
share in terms of area and production, Mizoram is still not self-sufficient in rice production. The total
paddy production till today could hardly meet the total consumption requirement of rice for a year.
Moreover, agricultural production consist mainly of kharif crops, the contribution of rabi crops to the
total production is almost negligible, it accounts for only about 8 per cent of the total production
 Key trends that will impact the livelihoods scenario in the state are land fragmentation leading to
shifting cropping patterns with more focus on horticulture and cash crops, better communication,
road connectivity, booming service sectors offering employment opportunities, more private sector
participation and impetus to state economy by opening business corridors with Bangladesh.
 Mizoram shares long and porous International Borders with Myanmar and Bangladesh. People of
similar ethnicity inhabiting the Border areas on both sides of the International divide continue to
sustain their requirements through conducting mutually beneficial trade, albeit informal. A
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sustainable economic upliftment of the people living along the borders, which are in most cases,
located in far flung remote areas, would requires putting in place an organized system of trade, such
as Border Haat (Common Village Market), border trade and preferably normal trade in due course of
time.
 The hallmark of rural community is their engagement in multiple livelihood activities to sustain
family needs. Along with subsistence agriculture with an exception of few cash crops namely turmeric,
ginger etc. rural community earns regular income from selling various NTFPs to the local markets.
Selling of processed food items including juice concentrates is a common sight in the haats.
 Households grow a range of crops, predominantly paddy and horticulture crops. Agriculture is rain
fed and the there exists one cultivation season wherein farmers engage in mixed farming. Farmers
procure inputs individually locally from government and private players on as-and-when-required
basis when demand is high and supply is low resulting in higher inputs costs.
 Farmers use traditional and different package of practices even within one village. Majority of farmers
sell agriculture produce in raw form to traders within the village and in nearby towns and realize
different prices depending upon supply and demand situation. Creation of proper storage facilities
including cold storage facility in nearby vicinity can help farmers realize better returns.
 The state of Mizoram is a net importer of most agriculture products. Agriculture in the state has the
potential to develop but is constrained not just by the terrain but by a lack of development of
irrigation, limited use of modern inputs, higher inputs costs, improper use of package of practices, low
productivity, and inadequate access to agricultural extension and markets. There is tremendous
potential for the expansion of horticulture and plantation crops throughout the year. Organizing poor
for collective sourcing of inputs and marketing, adoption of better package of practices, simple value
addition such as sorting, grading and cleaning, marketing information, and direct linkage with
wholesalers, and handholding field support can help poor farmers realize higher returns from the
agriculture.
 Livestock rearing is done throughout the year in the state mainly as supplementary source of income.
Apart from Piggery, back yard poultry which are the predominant activities done by villagers, fishery,
sericulture are also being practiced in certain areas of the state. Most villagers rear local breeds only.
Inputs for most livestock activities are available locally within the village. Fish seed is available
through fishery department. Majority of farmers sell livestock produce to traders within the village
and in nearby towns.
 There is a good potential to promote livestock activities in the state as state is a net importer of
livestock and its by-products. The livestock sector is characterized by overall low livestock
productivity, traditional rearing practices, high inputs costs (prohibitive in the case of dairy),
marketing information and inadequate availability of extension services. Organizing poor for
collective sourcing of inputs and marketing, adoption of better animal management and rearing
practices, marketing information, and field based handholding support can help poor villagers realize
higher returns from livestock activities.
 Villagers are engaged in a number of non-farm activities such as agriculture labour, stitching,
electrician, insurance agent, hotel, army, embroidery, knitting, school teacher, and carpenter etc.
Most of activities in service sector provide employment outside the village and require them to
migrate. Women have acquired skills in stitching, embroidery, and knitting but only a few are able to
earn livelihood out of them from these activities due to limited local demand. Imparting skills for
automobile repair, mobile repair, cobblers that has local demand can offer livelihood to rural youths.
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Service sector opportunities such as banking, insurance, health, hospitality, and communication offer
opportunities in nearby towns areas and youths can be trained to tap these opportunities.
 There are number of activities that project can promote among the poor that includes ginger
cultivation, passion fruit cultivation, birds eye chilli cultivation, orange cultivation, pig rearing,
poultry rearing. However, five activities namely mandarin orange cultivation, turmeric cultivation, pig
rearing, poultry (both broiler and layer) rearing, stick making (for the purpose of making incensed
sticks) have been shortlisted in consultation with PD, NERLP and the World Bank staff for a detail
value chain analysis using criteria such as interest and capacity of poor, possibility of engaging large
number of poor, project mandate, market demand and gestation period. Value chain analysis has led
to identification of specific opportunities for poor for which intervention strategies and economics
have been prepared.
 The internal supply for above-mentioned 5 potential products in the state is less compared to their
demand and therefore, these can be promoted to bridge the gap on the one hand and provide
sustained incomes to the community on the other. All five products are feasible from technical,
market and economic point of view. The key constraints involved in value chain products are high
costs of inputs as most of these are sourced from either outside the state or from well established
distant towns within the state, poor quality of seeds and inputs, use of traditional practices and lack of
extension services, low productivity levels, and low affinity among farmers for collective action on
input sourcing and marketing of outputs.
 The activities to be performed by the project to successfully initiate livelihood interventions involves
selection of right beneficiaries, proper social mobilization and institution building of poor, share and
customize activity business plan with the community, organize skill enhancement and business
knowledge trainings, organize market exposure visits, establish backward and forward linkages with
resource agencies, facilitate market linkages, and strengthen existing SHGs.
 Generally, SHG formation has been done by the Block Development Office, RDD, GoM. Most of the
groups are claim to associated with one or other IGA predominantly either piggery or petty shop
(variety stores). However, the scale of activity is mostly backyard and not per se an enterprise that
provides regular income.
 SHGs lack proper documentation and work with a limited outlook. Handholding SHGs to overcome a
range of issues may be a good investment by the project particularly in availing banking facilities.
While many SHGs have not been able to get a loan, erratic loan repayment status came out as a single
most important bottleneck in establishing their creditworthiness.
 Right selection of activities for the SHGs is important. A bottom up approach allowing SHGs to select
activities after careful consideration may be integrated. Strengthening SHGs will be an important task
for the project wherein Capacity Building on various issues including micro finance, enterprise
promotion can be thoughtfully integrated in the project mandate. Resource NGOs can be tapped for
building the capacities of SHGs so that they are able to initiate manage and sustain the interventions.
 Project need to put in place a cadre of marketing professionals at head quarter office at Guwahati,
state level and at the district level. The roles and responsibilities at each level be need to be defined
clearly; head office and state level staff is responsible for developing marketing plan, forging
convergence and partnership, linkages with wholesalers, small and medium level enterprises and
corporate players. District level staff is responsible for executing the plan at village level. There would
also be the need to develop village level marketing para-professionals to handhold community on day-
to-day basis. The project should build the capacity of staff at every level through capacity building and
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exposure visits to successful initiatives in other parts of India. Project would also be required to hire
services of specialist marketing agency to provide guidance and handholding support to marketing its
staff.
 Following table captures the investment required to undertake suggested interventions for the 5
economic activities
Produce / Intervention Size of activity suggested Key Resource / Sector

Product Suggested Support Agency
Unit of activity Funds required
(Rs.)
Turmeric Turmeric cultivation using 1 ha 34380 Horticulture department and

improved practices and MAMCO
Collective marketing for
better returns in both the
districts
Mandarin Cultivation using better 1 acre 267020 Horticulture department and

Orange practices and collective MIFCO
marketing for better returns
in both the districts
Piggery Pig rearing for both piglet 6 fatteners and 2 140553 AH & Vety. Department
(piglets, pork) and pork sales in both the sows
districts
Poultry Poultry (Meat) in both the 250 chicks for 296363 AH & Vety. Department
(Broiler-Meat districts broiler
and Layer-
Poultry 250 chicks for 317613 AH & Vety. Department
Eggs)
(Egg) in both the districts layer
Sticks (used Stick (batti) making in both 27 quintals 19380 Bamboo Development Agency
for making the districts
incensed
sticks)
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Chapter 1: Background and Methodology
1.1. Background
The North East Rural Livelihood Project (NERLP) of the Ministry of Development of North Eastern
Region (DONER), Government of India, aims to address rural poverty in the region through creation of
sustainable livelihood for the rural poor, particularly for women. The project has commissioned
‘Livelihood Based Agri Business and Market study’ in Mizoram, Nagaland, Sikkim and Tripura.
MART, a leading livelihoods and marketing consultancy, was selected to conduct the study. MART held
discussions with DONER team at New Delhi and signed a MoU. MART placed a two member team for
each state to coordinate the study. MART maintained close coordination with Project Director, NERLP
based at Guwahati to facilitate the study.
1.2. Objectives of the study
The primary objective of the study is to assess economic opportunities in both farm and non-farm
activities in the project area. NERLP assumes that intensive and innovative use of these local
opportunities can result in enhanced livelihood opportunities and incomes for the communities. The
study evaluates livelihoods and opportunities on the basis of the following two components:
1.1.1 Infrastructure, resources and support services
 Identify major livelihood occupations of the rural community, categorize them according to
geographical, ecological and watershed clusters and assess their viability based on local resources,
infrastructure, support services, technology, policy environment and potential for growth.
 Suggest strategies to enhance income and nutritional security from the existing livelihoods
through improved productivity, access to inputs and markets, capacity building, and collective
action in marketing to achieve economic scale.
 Provide guidance in agriculture and horticulture development, changing demand and supply
scenario, projection of future trends to ensure that farmers are able to face the challenge of
negotiating on an equitable basis with market players.
1.2.2 Value chain analysis
 Shortlist major high growth subsectors and commodities for value chain analysis where the
project can intervene to benefit the poor.
 Prepare value chain map for key products/commodities/services reflecting economic return at
every stage, product movement from the rural producers to the final consumers.
 Identify major players in technology, markets, finance, and inputs contributing to value chain,
and explore partnership possibilities with them.
 Identify infrastructure availability and institutional arrangements for input supply and output
marketing.
 Identify constraints and institutional obstacles, social process, vulnerabilities and risks
hampering benefits to the poor along the value chain.
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 Identify critical investment needs in the value chain that can accrue better income to the poor.
 Prepare techno economic feasibility guideline for setting up small, viable and sustainable
processing units to impart value addition and longer shelf-life to-farm products.
1.3. Approach of the study
Activities Key Steps Outputs
 Reviewed of project literature and  Developed better understanding of the

reports Step 1 study and project states
 Studied livelihoods initiatives such as Pre study  Finalised study design and plan
NERCRMP in north east states. preparation  Project Director sent intimation to state
 Studied secondary reports rural development office regarding MART
 Met World Bank and Project Director, field visit and coordination support
NERLP at New Delhi to discuss study
design
 Met state nodal officer at Aizawl  List of key stakeholders finalised for
 Meeting with DRDA and line Step 2 meeting
department officers Initiation meeting  Feedback on livelihood constraints and
 Shared study approach and at state and opportunities in the state
methodology district level  Finalized approach and methodology
 Understand NERLP objectives
 Interacted with key stakeholders from  Shortlisted 10-12 major products for
line departments such as agriculture, Step 3 promoting in the state and value chain
horticulture, animal husbandry, Fieldwork -1 analysis
resource agencies, and key market (Interactions with  Prepared list of stakeholders and value
players key stakeholders) chain players and service providers
 Visited five villages in two project  Finalized plan for Fieldwork-2
districts
 Generated list of livelihood activities
 Met with World Bank staff and Project  Finalised five products i.e. piggery, poultry,
Director, NERLP at New Delhi to share Step 4 mandarin orange, turmeric and stick
observations and experience of Initiation Report making (used for making incensed stick
fieldwork-1 making) for value chain analysis
 Discussion to finalise products for  Submitted initiation report containing
taking up value chain analysis livelihood profile and issues, overall
approach and methodology, and field visit
plan
 Finalized field visit plans  Completed livelihood survey in villages and

 Placed field teams Step 5 markets
 Visited 10 villages in two districts and Fieldwork -2  Collected information for value chain
interviewed producers/farmers (Interactions in analysis of 5 products by meeting value
 Met market players in wholesale and villages and chain players
retail markets at Aizawl and project markets)
districts
 Met line-department officials
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 Livelihood analysis  Draft report as per study objectives and

 Value chain analysis for 5 products Step 6 feedback of World Bank and PD, NERLP
 Data analysis Draft Report
 Report writing
 Share draft report through power point  Agreed feedback of stakeholders on the
presentation to World Bank, MDoNER Step 7 draft report
staff and other stakeholders as Stakeholders  Content for final report finalized
suggested by the PD, NERLP consultation  Stakeholders consultation workshop report
workshop to share submitted
Draft Report
 Feedback incorporated from  Final report as per study objectives defined

stakeholders consultation workshop Step 8 earlier
report Final Report
1.3.1 Key Features of Methodology
 MART coordinated with Director, Ministry of DoNER and Project Director, NERLP, Guwahati for
finalizing study design, plan, fieldwork and intimation to key stakeholders.
 The Project Director, NERLP intimated the state government’s rural development department about
the proposed study to seek their cooperation during the field visit. Joint Secretary, Department of
Rural Development introduced MART team to DRDA of both project districts and also facilitated
meeting with heads of government agencies at state level.
 MART team got in touch with DRDA of both project districts to finalise village selection for
undertaking village survey and meeting with state line department officials. DRDA staff accompanied
MART for village visit and facilitated meetings with villagers.
 MART used 3M approach to capture the existing livelihood scenario as described below.
3M Model Approach
3M is a systematic approach to
livelihood based on the three tenets of
micro finance, micro market and micro
planning. The model primarily provides
a tool to systematically map the local
resources, skills, support services,
markets and enabling environment for
developing business plans. This
process of 3M is as follows: surveys are
conducted to assess the current
available resources as well as the
existing market demand. Once
established, the level of supply and
demand determines the selection of
appropriate livelihoods activities.
Analysis of information collected from villagers, market players and enablers leads to field based practical strategies to
successfully launch and manage the activities. MART has extensively used 3M (Micro Finance, Micro Market and Micro
Planning) Model for livelihood promotion, for resource mapping under various poverty alleviation projects across India such as
APRLP, WORLP, OTELP, APDPIP, MP-DPIP and Rajasthan-DPIP. Based on its successful implementation a User Manual has
been prepared with support of DFIDI and CARE India for its replication by agencies engaged at grass root level in poverty
alleviation. The model has been presented at national and international seminars in USA, Philippines, Sri-Lanka and Thailand.
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 The fieldwork was planned in two phases: in the first phase knowledge of major livelihood activities
was gathered through discussions with stakeholders at the state and district levels and popular
activities were selected for the study; in the second phase, value chain analysis of the livelihood
practices, productivity and marketing challenges was done.
 Ten villages namely Sesawng, Tlungvel, Thingsulthliah (Thingsulthliah block), Phullen, Thanglailung
(Phullen block) in Aizawl district and Lungsen, Rangte, Phairuangkai (Lungsen block), Mualthuam
‘N’, Haulawng (Lunglei block), Lunglei district were visited in two project districts and information
was collected from villagers through Focus Group Discussion (FGD).
 Individual interviews were conducted with farmers/villagers engaged in shortlisted activities for value
chain analysis.
 Value chain players like producers/collectors, traders, processors, and enablers including
Government Institutions at village, block, district, and state level were interviewed. List of
stakeholders met is annexed.
1.4. Limitations of the study
 Focus Group Discussions and interviews were conducted to gather information from villagers and
best practitioners. Hence, primary data collected may not exactly match with data available with
government department.
 Market related data has been collected from the traders in the village and town markets by conducting
interviews. In view of frequent price fluctuations, market information presented in the report will
have to be updated.
 State / district level data available from various secondary sources is inconsistent. Self-judgement
guided by primary analysis was used to use the date.
 Difficult geographical terrain compounded by heavy rains during the study period led to heavy land
sliding blocking all entry points to the remote villages. Hence, understanding of remote villages was
gathered through discussion with secondary stakeholders.
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Chapter 2: State Profile and Livelihood Issues
2.1 Mizoram at a glance
Mizoram is a mountainous region, which became the 23rd state of

the Indian Union in February 1987. It is spread over a
geographical area of 21,087 sq. km. Sandwiched between
Myanmar in the east and the south and Bangladesh in the west,
Mizoram occupies an area of great strategic importance in the
north-eastern corner of India.
Geographical Location
Longitude 92°.15’E to 93°29’E
Latitude 21°.58’ N to 24°.35’ N
Length
North to South 277 kms
East to West 121 kms
International Borders
With Myanmar 404 kms
With Bangladesh 318 kms
Inter State Borders

With Assam 123 kms
With Tripura 66 kms
With Manipur 95 kms
Administrative Set Up
No. of District 8 nos.
No. of Autonomous District Council 3 nos.
No. of Sub Division 23 nos.
No. of R.D. Block 26 nos.
No. of Villages (2001 Census)
Inhabited 732 nos.
Uninhabited 108 nos.
Source: Economic Survey Mizoram: 2008-09
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Population (As per Census 2001)
S. N. Particular Unit
1. Total Population
Persons Nos. 8,88,573
Male Nos. 4,59,109
Female Nos. 4,29,464
Rural Nos. 4,44,567
Urban Nos. 4,41,006
2. Decadal Population Growth (1991 —2001)
Absolute Nos. 1,98,817
Percentage (%) % 28.8%
3. Population Density Per Sq. Km 42
4. No. of females per 1000 males Nos. 935
5. 0 - 6 Population
Males Nos. 73,176
Females Nos. 70,558
6. Literacy
Males Nos. 3,50,105
Females Nos. 3,11,340
Rate % 88.8
7. Total Workers
Main workers Nos. 3,62,450
Marginal workers Nos. 1,04,709
Source: Economic Survey Mizoram: 2008-09
Agriculture is the mainstay of the people of Mizoram. More than 70% of its population is engaged in
agriculture. The age- old practice of Jhum cultivation is followed by a large number of people living in
rural areas. The climatic condition in the state with well distributed rainfall of 1900mm to 3000mm
spread over eight to ten months in the year and location in tropic and temperate zone with various soil
types have contributed to the occurrence of a wide spectrum of rich and varied flora and fauna. These
natural features and resources also offer opportunities for growing a variety of horticultural crops.
Use of fertilizer and pesticides in agriculture and horticulture is almost non-existent in Mizoram. As such,
all agri-horticulture produce of Mizoram is organic, and therefore of very high-value in national and
international markets. Out of the total cultivable area, about 6.31 lakh hectares, area with gentle to
moderate slopes, is suitable for horticultural activities. Out of this, only 46,000 hectares or 7.29% was
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under horticulture crops during 1998 to 1999. Therefore, the scope and potential for expanding the
activities of horticulture is enormous. Source: http://investinmizoram.nic.in/foi/ahs.htm
Land Tenure System in Mizoram
Geography Cultivation Legal Position Transferability Pattern of land

Pattern of land out of ownership
community
Area 20.08 Both shifting Lushai Hills Prohibited by All land belongs to state.
mn hectares, and settled District, Law Three states of pattas exists:
Terrain Hilly (Acquisition of Temporary pass, Periodic
Chief's Rights) Act Patta, Land settlement
1954 Certificate
Land Use Statistics of Mizoram

Figs in Thousand hectares
S.N. Particulars 2008-09
Mizoram Aizawl Lunglei
I. Geographical Area 2108.7 357.63 453.8
II. Reporting area for land utilization 2108.7 357.63 453.8
1 Forests 793.85 107.28 196.75
2 Not available for cultivation 133.0 22.56 28.63
2a Land put to non-agricultural use 124 21.03 26.69
2b Barren and uncultivable land 9.0 1.52 1.93
3 Other cultivated land excluding fallow land 827.07 168.34 162.91
3a Permanent pastures and other grazing land 5.25 1.02 1.53
3b Land under miscellaneous tree crops and groves not 794.82 162.61 155.95
included in net sown area
3c Cultural waste 27.0 4.71 6.19
4 Fallow land 230.9 39.16 49.73
4a Fallow land other than current fallows 170.85 28.97 36.79
4b Current fallows 60.89 10.19 12.94
5 Net sown area 123.83 20.26 15.75
6 Total crop area 126.71 20.93 16.36
7 Area grown more than once 2.87 0.66 0.60
III. Net irrigated area 11.06 0.3 0.32
IV. Gross irrigated area 11.19 0.3 0.45
2.2 Aizawl District
Aizawl, the scenic capital of Mizoram, is the largest city in the state. At 3715 feet elevation from the sea
level, Aizawl is a religious and cultural centre of the Mizos. Aizawl lies just north of Tropic of cancer. As
MART, Noida 14
per 2001 census, Aizawl population was 3,25,676 with literacy rate of 96.50%.The district has 13 assembly
constituencies, 5 RD Blocks and 93 villages.
The District is headed by the Deputy Commissioner / District Collector. As Aizawl is the district
headquarter as well as the state capital, all the line department offices are situated in Aizawl itself. Line
department offices are in each Block Headquarter.
The district is well connected with good roads and also an airport at Lengpui, which connects it with
Kolkata, Imphal and Guwahati. Discussions with the local residents and functionaries reveal that Aizawl is
on the fast track towards development with better transport, information and infrastructure facilities
which is clearly visible. The Village Councils are quite active in the implementation of the various rural
development works. Schools and anganwadis are located in every village with good provision for safe
drinking water.
Land use statistics of Aizawl district

Aizawl
I. Geographical Area 357.63
II. Reporting area for land utilization 357.63
1 Forests 107.28
2 Not available for cultivation 22.56
2a Land put to non-agricultural use 21.03
2b Barren and uncultivable land 1.52
3 Other cultivated land excluding fallow land 168.34
3a Permanent pastures and other grazing land 1.02
3b Land under miscellaneous tree crops and groves not included in 162.61
net sown area
3c Cultural waste 4.71
4 Fallow land 39.16
4a Fallow land other than current fallows 28.97
4b Current fallows 10.19
5 Net sown area 20.26
6 Total crop area 20.93
7 Area grown more than once 0.66
III. Net irrigated area 0.3
IV. Gross irrigated area 0.3
2.3 Lunglei District
Lunglei District, the biggest District in Mizoram is bounded on the north by Mamit and Serchhip Districts,
on the south by Lawngtlai and Saiha Districts, on the east by Myanmar and on the west by Bangladesh. It
has an area of 4,538 sq.km with a population of 1,37,155 (2001 census) and 186 villages. There are three
MART, Noida 15
Civil Sub-Divisions namely – Lunglei Sadar Sub-Division, Tlabung and Hnahthial Civil Sub-Divisions.
The District is also divided into four Rural Development Blocks – Lunglei, Hnahthial, Lungsen and
Bunghmun.
Geographical Area : 4536 sq km

No. of Sub Division : 3
No. of RD Block : 4
No. of Notified Town : 3
Population : M-83789, F-79707
Highest Peak (Puruntlang) : 1758 Mt
Lowest Elevation (Karnaphuli river) : 20 Mt
Longest River : 82.79 Kms
Land Use Statistics of Lunglei district

Lunglei
I. Geographical Area 453.8
II. Reporting area for land utilization 453.8
1 Forests 196.75
2 Not available for cultivation 28.63
2a Land put to non-agricultural use 26.69
2b Barren and uncultivable land 1.93
3 Other cultivated land excluding fallow land 162.91
3a Permanent pastures and other grazing land 1.53
3b Land under miscellaneous tree crops and groves not included in net 155.95
sown area
3c Cultural waste 6.19
4 Fallow land 49.73
4a Fallow land other than current fallows 36.79
4b Current fallows 12.94
5 Net sown area 15.75
6 Total crop area 16.36
7 Area grown more than once 0.60
III. Net irrigated area 0.32
IV. Gross irrigated area 0.45
2.4 Livelihood Issues
The total production of paddy fluctuated from 1.14 lakh MT in 2003-04 to 1.07 lakh MT during 2004-05
and .99 lakh MT 2005-06 to .42 lakh MT in 2006-07 and .42 lakh MT in 2006-07 to .15 lakh MT in 2007-
08. Fall in production particularly in 2006-07 and 2007-08 is due to rodent devastation of crops in the
MART, Noida 16
wake of gregarian flowering of bamboo. Damage was so extensive that intensive programme of
rodenticide was taken up and about 14,55,568 nos. of rodent population was killed saving a portion of the
produces in 2007-2008. Apart from increase in rodent population, during gregarian flowering of bamboo
other insects like Thangnang (treebug) multiply manifold and cause extensive damage of crops.
Though more than 60% of the population area engaged in Agri and Allied activities, the share of
Agriculture in the Net Domestic Product (NSDP) is merely 30% at current prices during 1998-99. It is
imperative to substantially improve upon Agri and Allied Sector to raise NSDP and therefore, there is the
urgent need for aggressive developmental intervention to enhance productivity and income of cultivator.
In a State where more than half the population is rural and where nearly 60% of the people depend
directly or indirectly on agriculture, most of them engaged in jhum practices, the only way to ensure
inclusive development is to develop the primary and rural sectors and to augment the income level of the
rural population.
In economical classification of workers as per 2001 census majority of Mizoram population i.e. 60%, are
cultivators and are engaged in Agricultural activities mostly practicing Jhum cultivation. In the olden days
with availability of vast area of land including forest land, smaller size of population and in view of self-
sustaining families/ rural economy, the Jhum practices were a viable proposition. But the impact of
increased pressure on land, particularly forest land led to shrinkage of 10 years Jhum cycle to 3-4 year
cycle lowering productivity and production thus rendering Jhum practice uneconomical. Other factors, in
addition to pressure on land causing decline in Jhum cultivation include
 Sustained initiative for Jhum control as a matter of Government Policy for last several years and
awareness campaign about adverse impact of Jhum practice in Mizoram economy.
 Switch over to other livelihood activities like horticulture, terrace farming, Animal husbandry,
contract works and wage earnings from construction works etc.
 Various developmental activities opening avenues for easier option like contract etc. as distinct from
hard work involved in Jhum practices
 Pressure on land has made Jhum size small and shrinkage of Jhum cycle cause low productivity
resulting in poor income for the farmers.
 Availability of food stuff through PDS system and import of many items from other states. As a result
farmers experience adverse impact of over production when they lose out in competition with traders
from outside and or do not have access to remunerative markets. Crops like ginger, turmeric, orange
and hatkora etc. are few instances where farmers are frequently forced to distress sale.
The economy of the State is primarily agrarian with majority of the people practicing jhum cultivation.
There are no major industries in the State to provide regular source of income to the people. About
50,000 persons alone are employed in various Government and Semi-Government undertakings, which
reckons to 6% of the total population. There are 4334 nos. of SSI units as on 1.4.1998 besides people
practice poultry, piggery, pisciculture and dairy in the homestead. Per capita income of the State in 1996-
97 is Rs.13,360. People are also engaged in sericulture, weaving, knitting and tailoring, bakery,
workshops, trade, and in various cottage industries. Although literacy level in the State is 88.84% (2001
Census provisional figures), second in the country, lack of infrastructure development, remote location,
poor market linkages, inadequate power supply has resulted in slow pace of industrial development in the
MART, Noida 17
State. Difficult topography and limited flat terrain (Just around 3%) has also attributed to economic
backwardness.
Jhum cultivation has become unproductive owing to frequent exposure of soil as is evident from the
reduction of jhum cycle from 20-25 years to 4-5 years. Soil, moisture, vegetation, and bio-diversity loss
has rendered large area refractory and unsuitable for jhuming. Presently jhum cultivation is practiced by
burning standing Bamboo which in itself is a great loss in term of revenue.
North Eastern region including Mizoram is characterized by rich and abundant resources (forest etc) but
paradoxically the people are still in poverty in the midst of plenty. In the absence of alternative livelihood
activities most of the people depend primarily on the exploitation of these resources. As a result there is
increasing pressure on forest land with aggravating land degradation problem without mechanism for
resources regeneration. Such is the case in the region which is considered as one of the two areas of bio-
diversity “Hotspot” in Indian sub-continent. Given this context various interventions has been directed at
resolving both problems of poverty and natural resource degradation in this region. In Mizoram too one of
the interventions was the 1st NLUP initiative during 1985-91 which was however, abandoned by the
succeeding Government in 2002 and therefore the problems persists and needs to be addressed.
Apart from attaining self-sufficiency in such basic food items, with increased production there is scope to
access markets within the country and even export markets of neighbouring countries particularly
Bangladesh. Mizoram is having about 700 km bordering Bangladesh with 150 million population.
Available statistics indicate that Agriculture account for 33.3 percent of GDP of Bangladesh; but this
sector suffered a setback from 1997-98 when its annual growth rate dropped from 6.4 % in 1996-97 to 3.1
% in 1997-98. As per production figures released by Bangladesh statistics during 2000, Bangladesh
produce 6,24,735 MT of vegetables as against its requirement of 1,05,85,000 MT and 14,94,120 MT of
fruits as against its requirement of 63,51,000 MT. Deficiencies in vegetables and fruit production are
99,60,265MT and 48,56,889MT respectively. Though updated figures are not available requirement of
items like Ginger, Chilli, Oranges, Sesame and Vegetables are on the increase aggravating deficiencies of
such produces in Bangladesh. Mizoram can take advantage of the available Bangladesh market for such
produces. In fact some quantity of Ginger, Turmeric, Sesame and also Bamboo are now being dispatched
to Bangladesh through informal trade channels.
NLUP has therefore incorporated programmes for Production of Agro-Horticultural produce and Bamboo
resources aiming at potential export markets in neighbouring countries of Bangladesh and Myanmar.
Mizoram is basically an agrarian economy being dependent on subsistence-oriented agriculture

interlinked with other land based activities such as livestock and forestry etc. In the past in view of
availability of vast Jhum land and Small population, the farming community could maintain, though low,
a satisfying level of equilibrium. But increased population growth, changes in land use pattern resulting in
loss of fertility and natural forest has profoundly impacted the economy rendering Jhum practices
unsustainable.
All the tribal societies in Mizoram are undergoing rapid transformation as they come to terms with new
developments impacting the socio-economic fabric of the tribal society. Their traditional lifestyle in
MART, Noida 18
conditions of adequate access to land for jhum cultivation provided a satisfactory subsistence livelihood.
Now, rapid population growth has increased pressure on available land resources, forcing communities to
seek alternative means of ensuring their livelihoods through urban employment, cash crop development,
wage labour and exploitation of timber resources. Some have been more successful than others resulting
in widening disparities both between and within communities. Modifications in land tenure arrangements
have opened the door to land grabbing with the result that the traditionally egalitarian tribal communities
are becoming increasingly economically stratified.
Mizoram represents a unique socio-cultural framework and faces similar if not the same set of problems.
These factors have not always been taken into account in the design and implementation of development
programmes within the region. As a result, the impact of development initiatives has generally fallen short
of expectations. Stagnation in the rural economy persists and low productivity of jhum cultivation
continues on a wide scale. Yields from jhum are low with paddy averaging 900 kg/ha. Before population
pressure exerted its influence on demand for crop land, fallow cycles of 10 years or more were largely self-
perpetuating and shifting cultivation was a relatively stable method of exploiting wooded hillsides. With
the increased demand for land to maintain household food security, the jhum cycle has been reduced to 3
to 5 years and in some villages, down to two. As a result crop yields have gone down due to reduced
fertility.
Recent analysis of satellite imagery of the project area has also revealed significant encroachment of forest
land over the last 7 to 8 years by jhum farmers. A significant change in cropping pattern has occurred in
response to the decreasing fallow cycle with a trend towards increased commercialization of jhum
cultivation. The shortening of the Jhum cycle (down to 3-5 years for many communities) with its impact
on declining fertility has resulted in continued encroachment on the forest resources and progressive land
degradation. The environmental consequences in an area renowned for its rich biodiversity are severe.
Most families recognize that Jhum cultivation is no longer a sustainable livelihood system but they lack
knowledge or conviction of alternative development options and the means to adopt them.
Paddy cultivation is declining in jhum lands under force of declining productivity to be replaced by higher
value products for the market such as vegetables to provide cash to buy food grains. Settled agriculture on
terraces and valley lands is dominated by rice cultivation. Technology is backward with limited use of
HYV fertilizers and yield are low at 1.2 to 1.5MT/ha. Limited areas of horticultural and plantation crops
have been planted in recent years, but the choice of crops has been production rather than market-
oriented, resulting in severe marketing problems for crops.
In spite of the fact that agriculture is the mainstay for about 60% of the population of the State, only 5% of
the total area is under cultivation and about 11% of the total cultivated area is under irrigation. It has
remained backward industrially which can be attributed to physical isolation, lack of mineral resources in
the state, distance from the heart of the country coupled with communication, etc. problems. In the small
scale sector are the rice-milling, oil and flour milling, mechanized bamboo workshop, saw milling, brick
making and furniture workshop.
Lack of employment opportunities is a major handicap in the state. The state government, the primary
employer, has more than 45,000 people on the rolls and is bursting at the seams. There is an equal
number of educated unemployed with no large industries and just about 3,000 small scale units.
Unemployment figure is
MART, Noida 19
Employment in the State (in’000)
Particulars 2002 2001

Public Private Total Public Private Total
Sector Sector Sector Sector
Total 40.5 1.8 42.3 39.8 1.8 141.6
Employment
Women 11.2 0.8 11.9 10.9 0.8 11.7
Employment
Against the background of failed development initiatives and the general air of distrust and
disillusionment, the role of the Project will be to demonstrate a new approach to development which
focuses on interventions which are technically appropriate, culturally sensitive and institutionally
effective. This requires developing a genuine partnership between the communities, government and
other agencies (such as NGOs and research institutes) in which all interventions will be demand-driven
and client-oriented and for which the indigenous knowledge and capabilities of the communities will be
accorded due recognition. This new approach will also emphasize transparency and accountability).
Development initiatives in the past have suffered from following constraints
 an essential top-down approach to programme implementation, with little genuine involvement of the
community, and little emphasis on the development of village institutions and of the necessary service
facilities such as credit, extension, inputs supply and marketing required to sustain development, has
left farmers feeling that schemes are imposed on them and hence they have little sense of
commitment or of ownership of the scheme
 Lack of coordination between the line departments has prevented the promotion of coherent
development strategies. This has also been largely responsible of the lack of adequate technical
support to farmers in the management of their new developments
 farmers have been given inadequate training and extension support
 production rather than market-led approach to crop selection has resulted in the promotion of crops
with limited marketing opportunities resulting in disillusionment on the part of farmers
MART, Noida 20
Chapter 3: Livelihood Profile
3.1 Demographic Profile
Average number of
Number of
S. N. Village Name District/Block members per
households
household
1 Thingsulthliah Aizawl, Thingsulthliah 801 5
2 Phullen Aizawl, Phullen 406 5.5
3 Thanglailung Aizawl, Phullen 151 7
4 Sesawng Aizawl Thingsulthliah 500 5
5 Lungsen Lunglei, Lungsen 511 4.3
6 Rangte Lunglei, Lungsen 142 5.1
7 Phairuangkai Lunglei, Lungsen 285 4.2
8 Mualthuam ‘N’ Lunglei, Lunglei 280 5.1
9 Haulawng Lunglei, Lunglei 506 4.5
10 Tlungvel Aizawl, Thingsulthliah 600 4

Source: Field Study conducted in the month of September 2010
The above table clearly indicates that Thanglailung in Aizawl district comparatively has lesser no. of
households but the average family size is the highest. Rest of the study villages has an average size of 4.7.
3.2 Population Profile
Population
Param Mualt
eters Lung Ran Phairua Haula Thingsul Phul Thangl Sesa Tlun
huam
sen gte ngkai wng thliah len ailung wng gvel
‘N’
Total 2396 729 1200 2300 1400 4500 2300 870 2200 2714
Male 1121 401 666 1170 727 2322 1181 400 1178 1411
Female 1275 328 534 1130 673 2178 1119 470 1022 1303
Out of the 10 study villages, Thingsulthliah has the highest population while Rangte has the least
population. It also indicates that female population is comparatively higher in 2 villages’ viz. Lungsen and
Thanglailung. Majority of the population is ST.
MART, Noida 21
3.3 Land Holding Pattern
Land within Mizoram is in the customary ownership of the communities. Village land falling within the
jurisdiction of a village is controlled by the Village Council while land distribution is done as per the
customary practice of the community and villagers. The customary practices include jhum cultivation and
other farming activities. But this customary community ownership of land with community is now
undergoing certain modification to meet the needs of changing land use opportunities. Terrace and valley
land is considered as private land with permanent, heritable and transferable rights through the issue of
land settlement certificate (title) by the competent authority. However, lack of mortagageable title to the
land does constrain access to bank finance.
The emergence of private rights over land has contributed to the concentration of land, particularly the
better land, in the hands of a few affluent persons within the community disturbing the former egalitarian
character of tribal society. As a consequence, tenancy arrangements are also becoming more common,
usually in respect of terrace and valley land, although at present they probably represent less than 10% of
the land area. All tenancies are governed by customary practices and are usually on a crop share basis
with rents fixed at 33-50% of the production. Most of such tenants are coming from the neighbouring
state of Assam and earn their livelihood at the cost of the local population.
Parameters Lung Ra Phair Haul Mualth Things Phu Thang Sesa Tlung
sen ngt uangk awng uam ulthlia llen lailun wng vel
e ai ‘N’ h g
No. of households
PP 102 29 190 380 210 228 270 9 183 198
E 0 0 0 0 0 0 0 0 0 0
Land
Holdin LL 60 15 35 03 35 20 100 6 9 12
g VC 409 131 250 506 210 520 60 31 513 483
Patter P
n
LS 542 Nil 152 403 150 300 200 120 459 370
C
PP- Periodic Patta, E- Encroached, LL- Landless, VCP- Village Committee Pass, LSC- Land Settlement Certificate
Land has not been encroached by any household in the study villages. It is observed that Phullen has the
maximum no. of landless households while Haulawng has the minimum no. of landless households. It
also indicates that most landholding still lies with village committee.
Village / Lun Ra Phair Haul Mualt Things Phul Thang Sesa Tlun
Parameters gsen ngt uangk awng huam ulthlia len lailun wng gvel
e ai ‘N’ h g
Average 5 5 8 2 3 3 4 2 3 2.5
MART, Noida 22
landholding per
hh in acres
Total Land 2555 710 2280 1012 840 1920 1624 302 1800 1500
holding / village
in acres
 Most of the villages have permanent Pass (LSC) issued by the Revenue Dept., Govt. of Mizoram for
their housing; whereas they have periodic pass issued by Village Council for their farming.
 Village Council has the power to give land on term base. The validity of this term is three years and
can be renewed after three years, if the land has been utilized. Based on the effective utilization of the
land the owner can pursue Periodic Patta from the department of Revenue. After three years of
holding periodic patta, they can apply for LSC. But the taxes levied for LSC is high. Therefore, people
usually ask LSC only for house site.
 Periodic Patta is issued by the Revenue Department. The period of lease varies but usually the period
of lease is three years. The owner of the land has to pay a tax of Rs. 50 every year.
 Land settlement Certificate is issued by the Revenue Department. The holder of this certificate is the
permanent owner of the land whereas in the above condition, the ownership is temporary. In
villages, very less people apply for LSC for their farm land since the tax levied is high. The rate of tax
is fixed by grade of the land which depends on the location and distance from the highway etc.
 The owner of the land is the head of the family but the ownership is temporary. The Village has the
power to fix the rate hence different villages may have different rates.
 TIN is the measurement unit for area and production of agricultural crops. A TIN is equivalent of 15
litres by volume; it is a measure of an empty mustard oil tin of 15 liters capacity. A tin of paddy
weighs 10 kg. One tin of paddy seeds can cultivate one acre of land. In terms of yield, one tin of
paddy seed will produce 90 tins (900kg) of produce.
3.4 Land based livelihoods
Agriculture occupies a very important place in the economy of Mizoram,. In the Economical Classification
of Workers as per 1991 Census, majority of the population i.e. 61.37% are cultivators who are engaged in
agricultural activities mostly by practicing ‘Jhum’ cultivation. Meanwhile, the share of agriculture alone in
the Net Domestic Product (NSDP) is merely 30% at current price during 1998-99. As per the Agriculture
Census (1995-96-the latest census), there were 65,919 operational holdings with a total operated area of
85,000 hectares. Out of the total number of holdings 42.04% is marginal 39.0% small, 17.83% semi
medium 1 .11% medium and 0.01% large holdings.
In spite of the fact that agriculture is the mainstay for about 60% of the population of Mizoram, only 5% of
the total area is under cultivation and about 11% of the total cultivated area is under irrigation. Paddy
continues to remain the chief food crop and the staple food of the Mizo. It occupies almost 50% of the
total cropped area and more than 88% of the total area under food grains. In spite of the fact that the rice
being the most important crop occupying the largest share in area and production, Mizoram is still not
self sufficient in rice production.
MART, Noida 23
a. Cultivation Status of crops
Crops Cultivation in % of villages % of households involved
Paddy 100 54%
Maize 100 54%
Soyabean 70 20 %
Bean 20 5%
Pea 100 25%
Arecanut 30 4%
Potato 10 1%
Mustard 100 54 %
Pumpkin 100 100%
Brinjal 100 100%
White Pumpkin 100 100%
Pineapple 90 5 %
Mango 100 40 %
Lemon 100 100%
Orange 100 60%
Turmeric 90 13%
Rubber plantation 20 4%
Sugarcane 100 4%
Chili 100 50 %
 It is a usual practice for the Mizo farmers to grow multiple crops together with paddy. Some of the
most common crops mixed with paddy are maize, brinjal, chilli, sesame, mustard, peas, pumpkin and
white pumpkin.
 The economic life of the Mizo has always been centered around jhum or shifting cultivation. Under
Jhum cultivation the principal crop is paddy and others are maize, cucumber, beans arum ginger,
mustard, sesame, cotton etc. After clearing the burnt jhum, seeds for crops other than paddy are
sown. Towards the end of April during the full moon period, paddy is sown. Mainly two types of
paddy seeds are sown in the same field – early paddy and principal paddy. Yield of early paddy is
rather poor but it ripens early and provides sustenance till the principal paddy is harvested. Some
pulses like cowpea, rice beans and French beans are cultivated in the jhum. Oilseeds crops like
sesame, mustard and soybean are growing well in the state. There is vast scope for cultivation of
tapioca, sugarcane, cotton, pulses and oilseeds in the state.
MART, Noida 24
 Even though paddy is main crop in Mizoram, the state is not self-sufficient. Generally the household
level production meets their need for 4-6 months.
 The Village Council and the local NGO are very strict about forest fire. The Village Council issued a
local order that any person found causing forest fire will be fined heavily. Because of this many
families refrained from jhum cultivation in the current year.
 All the produce except horticulture plantations are mainly for household consumption. If the product
is more than what they need for consumption, they sell it in the local market. Sometimes few families
sell their products in the nearby town.
 They cultivate turmeric, ginger and cabbage etc, in separate jhum. Turmeric, ginger, chili and sesame
are basically grown for the purpose of income generation wherein around 2-8% produce is consumed
locally and rest is sold in the local and town market.
 Ginger used to be one of the major cash crops, but in recent years it has been badly affected by
disease. Farmers have refrained from growing this crop and therefore this year very few families have
taking up this crop in Lunglei. However, in other districts some villages always take up ginger as their
main crop. Turmeric is a common crop in Lunglei wherein around 250 families in Lungsen village
alone have taken up its cultivation.
 Chili and yam are also grown here for subsistence and if surplus they sell it in market. Yam is also
used as feed for pigs.
 Under MGNREGS Scheme orange, pineapple, rubber, areca nut and coconut are also grown in
Lungsen village with 100% support from the government to selected families in recent years. These
varieties are yet to yield produce.
 Orange, lemon and pineapple are produced in large quantities. Some villages e.g. Mualthuam ‘N’ has
good area under orange cultivation. Suitable climate along with fertile soil helps in the getting good
yields but due to lack of proper marketing system, many people are yet reluctant to take up its
cultivation.
 Regarding the horticulture plantation especially orange, major concern which have been raised are
long gestation period, proper marketing infrastructure and financial constraints. There is limited
awareness on the short gestation variety of crop.
 Production season is almost the same for all the crops as there is lack of irrigation facilities in the
districts. Most of the agri fields are rain fed.
b. Area under cultivation, volume, yield and consumption levels
Crops Average area under Average yield per Average volume Volume
cultivation (acres) HH (range in %) produced per consumed in
village (in q) village (%)
Paddy 330 Acres 1 ac = 420 kg 1585 q 100
Pulses 2 Acres 1 ac = 10 kg 8 q approx 100
Arecanut 20 Acres 1ac=350 pieces / tree 245000 pieces 100
Potato 8 ac in one village only 1ac = 15 kg -- 100
Pineapple 0.4 ac / HH 152880 fruits in 10 152880 fruit in 10 97
villages villages
Rubber 1 ac /HH in 2 villages In gestation period - -
MART, Noida 25
plantation only
 The agro-climatic condition in

Mizoram is found to be very
suitable for growing a wide range of
fruit crops out of which mandarin
orange is the dominant fruit crop,
the total area covered under this
crop was 6395 hectares with a total
production of 41567 MT during
2007- 08. The next important fruit Source: Economic Survey, Mizoram 2008-09
crop is Banana, the total production
during 2007-08 was 151519 MT covering an area of 6220 hectares. A considerable amount of passion
fruit is also produced in Mizoram, the area and production during 2007-08 was 8944 hectares and
44720 MT respectively. Keeping these in view, the Government has laid emphasis on developing fruit
crops of high market potential like Passion fruit, Orange, Hatkora, Banana etc. by area expansion and
other essential measures.
 Overall it is clear from the adjoining table that the area and production of Turmeric has tremendously
increased over the previous year while the coverage area and production has drastically decreased in
case of Birds eye chilli.
 Most of the families in the study villages are into jhum mainly for subsistence farming. Normally
paddy cultivation is done on an avg. of 2 acre land. Production season is usually from May to
November and yield depends on the fertility of the soil and the intensity of the other crops sown
together with the paddy.
 Productivity of land also varies from village to village. Productivity in Phairuangkai and Haulawng
area was found to be very high, yielding around 80-100 kg. of paddy from 1 kg. of seed.
c. Average production of major crops per household
Crops/ Fruits Production Range / HH

Paddy 420- 1500 kg
Maize 400- 2000 kg
Soyabean 50-100 kg
Orange 10- 50 q
Turmeric 2-10 q
MART, Noida 26
d. Marketable surplus and Selling dynamics
Crops Marketable surplus Average selling Selling system (% of

quantity per village price produce)
(%) (Rs per unit )
Govt. VT Haat IB
Paddy Nil 100/Tin - - - -
Pulses 2 50 – 70/kg/ - 10 90 -
Arecanut 99 Rs 1/piece/ - 90 10 -
Potato 95 Rs 10-20/kg - 20 80 -
Pineapple 95 Rs 5 – 15 / piece - 70 30 -
Orange 95 Rs 3-5 / piece - 50 -

Rs -1-2 / piece 50
Turmeric 98 Rs 3-5/ Kg - 100 - -
Vegetables (except - - - 50 50 -
potato)
Fruits (except - - - 80 20 -
pineapple)
Govt.: Government, VT: Village Traders, Haat: periodic market, IB: Institutional Buyer
 There is hardly any marketable surplus of paddy. If sold, mostly due to insistence by poverty, it is
generally to the neighborhood at Rs. 100/tin. Price do not fluctuate much but in 2007, it rose to Rs.
150/tin due to bamboo famine.
 Other crops grown together with paddy are usually sold in the local market. Usually pumpkin is sold
@ Rs. 20-25/kg, White Pumpkin @ Rs. 20-30/kg, Yam @ Rs. 15-20/kg, Maize @ Rs. 1-2/piece,
Brinjal @ Rs. 10-15/kg and Pan leaves @ Rs. 30-50/kg. When the demand is less in local market, they
also go to Lunglei town market to sell their produce.
 Turmeric is often sold to Bangladesh through Tlabung (a sub town located near Bangladesh border)
trader which is about 40kms far. Prices fluctuate happens on a daily basis. It usually ranges from Rs.
3-9/kg for the green turmeric. Market is not constant and sometimes there is no demand even in the
harvesting season. Turmeric is not so vulnerable to disease as compared to ginger.
 Birds eye chili has a better market demand and the price of dried chillies range from 100-200/kg. It is
usually sold to Silchar, Assam based commission agents and traders.
 Oranges are generally sold in local market at a rate of Rs. 3-5/piece which has not fluctuated over the
last 2-3 years. But in some villages where production is high, traders from Silchar come and negotiate
the price with the owner. They usually sell on the basis of the number of fruits per trees and this
practice is called pre harvest trading.
MART, Noida 27
 Household level amount consumed and extent of marketable surplus varies for different produce.
Usually in cash crops like turmeric, orange, chili etc. volume consumed ranges from 2 – 8 %, while the
rest is sold.
2. Investment and Value Addition
Crops Investment Value additions practices at the Role of women in

per unit (Rs) village level production and
value addition
No change in Change in
practices
form form
Paddy Rs 1200-1800/ No change in form Yes

Acre
Pulses - Yes
Arecanut - Yes
Potato - Yes
Vegetables - Yes
(except potato)
Pineapple - Yes
Fruits (except - Yes

pineapple)
Rubber - Yes
plantation
Tea plantation - Yes
Note: Investments are not applicable for others crops accept Paddy since it is mixed farming
 For land preparation, the trees in the forest are usually felled in the month of December-January
every year. It is left to dry for a couple of months and then it is burnt. Then the land is ready to sow
the seeds.
 Weeding process is done thrice in a year in the field and it requires lot of investment if labour from
outside, is involved. But generally farmer along with other family members are engaged in this activity
preventing outflow of cash.
 Agricultural crops are harvested November to December every year. The seeds for these crops are
never bought from market but retained from the previous crops. However, the seeds of winter crops
like cauliflower, cabbage etc. are bought from the market.
 In all farming activities women work along with men. However, preparation of field e.g. cutting forest
for jhuming is regarded as the responsibility of the men folk.
MART, Noida 28
 It is difficult to assess the expenditure incurred in different crops which are grown along with paddy.
Usually the wage rate for men in slashing down trees for land preparation is Rs. 150-200/day where
women do not have much role. To clear 1 acre of area, 15 person days is required and after burning,
about 5 person days is required to clean the area. 10-12 person days are necessary for sowing paddy in
1 Acre. (Around Rs. 3000 is required for cutting and burning per acre and Rs 1500 for sowing and
planting e.g., Land preparation- 5 men * 200 per day * 3 day= 3000/- etc.
 Sowing of other crops does not take much time and energy. For 1 acre, two person days is sufficient.
For harvest per acre 20 man days is usually required
 In the villages there is very less use of fertilizers and pesticides. There is a lack of irrigation facilities in
these villages and its neighboring area. In case of orange, pesticides are used in lesser amounts to
protect falling of fruits at tender stage due to insect bites.
 Farmers in these villages lack knowledge about adding value to their produce. While most of their
agricultural produce is sold in the raw form, a few are sold village level no-change-in-form value
addition e.g. cleaning, sorting, grading and packing.
 In case of farmers clean and separate the straw and grind in the rice mill to get the rice. Husk, the by
product, is generally used as a feed for pig.
 In case of Chili, it is cleaned and sorted and dried in the hot sun before sale. Turmeric is sold after
cleaning/ washing the soils out of it. In rare case, few people slice it, dry it and then grind it into
powder. The powder thus obtained is mostly for domestic use and very few families are involved in
selling purpose.
 Maize is also graded in two varieties viz. big maize and sticky maize but the market rate is generally
the same. It is sold at Re. 1 per piece in the local market.
 Unripe banana from the forest is collected that are ripened in a container at the household level.
 Some village also dry bean leaves which are sold at a higher price in the village haats or to the village
traders.
 With respect to value addition of produce it is women who initiate it and generally contribute more
than men.
Seasonality of Land based Livelihoods
Major Crops Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb
Paddy P P P P P P PM PM PM
Pulses P P P P P P PM PM PM PM P P
Arecanut PM P P P P P P PM PM PM PM PM
Potato P P P P PM PM PM P P P P P
Pineapple P P P P P PM PM PM PM P P P
Orange PM PM PM M M
Turmeric PM PM PM PM
Ginger PM PM PM PM
P- Production, M - Marketing, PM – Production and Marketing
MART, Noida 29
3.5 Livestock based livelihoods
a. Status of Livestock based livelihoods
Major Livestock Availability in % of villages % of households involved
Fishery 20 Only 7 hhs
Piggery 100 80
Goatery 15 1
Poultry-Meat 100 50
Poultry-Egg 0.2 8
Cattle – Milk 30 0.08

 More than 80% of the households in all the selected villages rear pig and fowl for domestic
consumption. Generally, people keep pig on an average of 1.5 pigs per family. One piglet takes 12 to 15
months usually to get matured.
 A good number of families are involved in poultry farming. One chic takes 3 months to become 3 kg
chicken. While 10% of the produce is used for domestic consumption, rest is for market sale. An SHG
in Rangte village started a poultry farm but disease affected their birds and they had to prematurely
stop the activity.
 Dairy, fishery and sericulture are undertaken by very few families because of lack of availability of
pasture land, water supply and high input costs. Around 30% of the fish produce is consumed and rest
is sold whereas 100% of the products in sericulture is marketable surplus.
 Cattle farming is not practiced the villages though consumption of beef is very high. It is mostly
imported from Burma.
b. Marketable surplus and selling dynamics
Product Marketable Selling price Selling system (% of produce)

surplus quantity (Rs per unit )
per village (%)
Govt. VT Haat IB
Fish 60 120 / KG - - 100 -
Pork 98 160 / KG - 65 35 -
Poultry- Meat 60-80 150-170KG - 60 40 -
Cattle - Meat 40 150-180KG - - 100 -

 Pig rearing activity is largely for income generation but poultry is mainly for household consumption.
 However few households also undertake it for income generation. 60-80% of poultry meat produced
by them is sold in the local markets.
MART, Noida 30
 Price of the pork is Rs. 160/kg, poultry Rs. 150-160/kg and fish for Rs. 160/kg which they mostly sell
in the local market and occasionally to Lunglei & Aizawl Town.
 Generally price of pigs are fixed by the owner in negotiation with the buyers (butcher) based on the
chest measurement of the animal.
 Sericulture wool is sold to Sericulture Department of Mizoram at Rs. 160/kg.
c. Investment and value addition
Major Livestock Investment Value additions Role of women in production

per unit practices at the village and value addition practices
(Rs) level
Piggery 2500-3000 - Yes

per piglet
Poultry 45-60 per - Yes

bird
 In the village pigs are usually fed with leaves, paddy dust and food waste of the family. One piglet cost
Rs. 2500-3000/-. According to pig rearers a good pig house that can accommodate 4-5 pigs would
require Rs. 12,000/-. Cooked food is preferred for the pig feeding. Cooking pot also cost 1,200 that
can last for more than 3 years.
 One day old chick cost Rs. 50 that gains 3kg weight within three months. According to SHG’s
calculation, gross profit of Rs. 2000 of can be made by rearing 15 chicks for one month.
 No value addition of livestock based produce is done by the community. In case of pigs it is just a
matter of cleaning the hair by burning and then selling. In case of poultry, removing feathers and
cutting in desired pieces is the only process/activity done to sell the chicken.
d. Seasonality Analysis
Major Livestock Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb
Piggery PM PM PM PM PM PM PM PM PM PM PM PM
Poultry PM PM PM PM PM PM PM PM PM PM PM PM
Fishery PM PM PM PM PM PM PM PM PM PM PM PM
Goatery PM PM PM PM PM PM PM PM PM PM PM PM
Cattle PM PM PM PM PM PM PM PM PM PM PM PM
MART, Noida 31
Private Pig Farm Owner
Mr. John established a private pig farm in Ropuak, Aizawl on April 2008. He engages in rearing and trading of both pigs and
piglets. At present he has around 20 pigs, out of which 4 are male and 16 are female. He has only non descriptive varieties of pigs
in his farm. According to him, pig gives birth to piglets two times in a year with 8-12 piglets per birth. With low mortality all the
piglets have survived at his farm. Following section captures his practical experience of running the farm.
Major Inputs and Investment
- Water- 15-25 litres/day/pig

- Feed Consumption for Male is 1.5kg/day, while for female is 3-4kg/day, cost of feed is Rs 18-19/kg,; hence cost of feeding
20 units comes to Rs. 4.5-4.78 lakhs
- Purchase around 10 bags feed per month to feed 20 pigs. 10 bags= 50 kg. = Rs 900-1000/month
- Shed preparation using bamboo and steel sheets, costs around Rs 17,000/-
- Maintenance cost of the shed- 1200-1400/year
- Equipments required - 2-3 vessel (5 tin capacity) for cooking feed, where 1 vessel cost around Rs 5000/- therefore Rs.
15,000 for the vessels
- Medicine- Rs 300-500/year/pig + Rs 50/- for veterinary doctor charge per visit; at least 4-5 visits per year happens,
therefore cost towards medicare is Rs. 10000
- Labour charge- 1* 2500= Rs 2500/ month
Pricing mechanism
- He sells pigs (8-10 month old, 42 inch- 46 inch size, and 80-85kg weight) in the range of 13,000-16,000/-
- He sells piglets (2-3 month old) for Rs. 3000/-
- Meat categorizes in two classes- A & B. Aizawl market price- A class meat- Rs 180/kg. & B class meat- Rs 160/kg
Selling pattern
- He sells pigs and piglets to local people in vicinity at Rs. 13000-15000 per pig (size- 42’-44’’) and Rs.3000 per piglet (avg.
2-3 month old) respectively.
- He sells around 3-6 pigs and 50-60 piglets per year.
Major Problem
- High cost of feed
- Lack of water
- Lack of finance to build permanent shed
3.6 Service based livelihoods
Service based Availability in % of households Place of work

livelihoods % of villages involved (within village / outside)
Army 90 6 Out side
Permanent Govt. job 100 14 Within village
Permanent Private job 70 2 Within village
Electrician 80 1.5 Within village
LIC agent 30 0.3 Outside
Driver 100 8 Within village
Plumber 70 1 Within village
School teacher (PVT) 100 9 Within village
Hotel jobs 40 0.5 & Outside and within village

MART, Noida 32
The above table clearly depicts that service based livelihood is very low in these villages. Some are
employed either in private sector or in Govt. organization.
3.7 Non Timber Forest Produce (NTFP) based livelihood
a. Status of NTFPs
NTFPs Availability % of Average Storage Value

in households number facility in Addition
% of villages involved of harvest village possibility
days per
year
Bamboo shoot 100 30-60 90 days No Yes
Honey 100 5-10 60 days No No
Fuel wood 100 10-40 360 days No No
Banana 100 10-40 360 days No Yes
Amla 100 10-40 90 days No Yes
Thingthupui 100 10-40 60-70 days No No

Dysoxylum gobarum
Baibing 100 10-40 50 days No Yes

Alokasia fornicate
Chingit 100 10-40 50days No No

Zamthoxylumrhetsa
Tumbu 100 10-40 360 days No Yes

Heliconia angustifolia
Telhawng 100 5-30 50dyas No No

Arisaema specciosum
Chakawk 100 10-40 60 days No No

- Some of the most common NTFP in Mizoram are Bamboo Shoots, Banana, Mushroom, Thingthupui
and Chakawk. Except Zawngtah and Banana, most of the items are collected during summer season.
- More women than men are involved in collection and selling of NTFPs. Method of collection is hand
picking. They usually spend around 4-8hrs per day. They go in the morning and return at noon.
- Villagers collect a range of Non Timber Forest Produce (NTFP) from the nearby forest. Mautuai
(Bamboo shoots), Bil, Vuakdup, Theikawrak, Vawnva, Theipui, Sunhlu (Amla), Balha (Banana),
Lakhuih, Zawngtah, Pangkai,Pelh, Pa (Mushroom), Tumbu, Chkawk, Telhawng, Khanghu,
Thingthupui, Kawhtebel, Chakai (Crab), Chengkawl, Broom Grass etc. are collected by the village
community. They form a major avenue for cash income at the individual household level.
MART, Noida 33
- Except for Balhla, Lakhuih, Tumbu, Thingthupui, which are available year round others NTFPs are
available in particular months. Majority of them are available for 2-4 months in a year.
- NTFPs are collected on an individual basis. They do go to forest in groups. Selling of NTFPs is also on
an individual basis and there is hardly any attempt to aggregate and sell the produce in bulk. The
collectors generally process (mainly which does not lead to a change in the form of the produce) the
produce by way of cleaning, packing in small units in poly packets, carry it to the market and sell it to
the consumers. It is the women that take a major role in cleaning, packing and selling them.
b. Marketable Surplus and selling dynamics
NTFPs Average marketable Average selling Selling system (% of

surplus per village price produce)
in a season (q) (Rs per unit )
Govt. VT Haat IB
Bamboo shoot 45 1/piece 90 10
Honey NA 500/bottle(size of 95 5
bottle) 750ml
Fuel wood 1500 1.5/piece 90 10
Banana 16800 2/piece 80 20
Amla 5 70/kg 95 5
Thingthupui 4.5 20/bundle 70 30

Dysoxylum gobarum
Baibing 6 0.50/piece 70 30
Alokasia fornicate
Chingit (English 4 20/bundle 70 30

name)
Tumbu 6 5-10/piece 90 10
Telhawng 2 150/kg 90 10
Arisaema specciosum
Chakawk 12 10/bundle 90 10
Diplazium maximum
Govt.: Government, VT: Village Traders, Haat: periodic market, IB: Institutional Buyer
MART, Noida 34
c. Seasonality
NTFPs / Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Remarks
Months
Bamboo shoot 7 pieces

(Mautuai) for Rs. 10;
16pieces
for Rs. 20
Bil 3 tea cups

for Rs. 5
Vuakdup 4 pieces
for Rs. 10
Theikawrak 1 tea cup

for Rs. 5
Sunhlu 1 tea cup

(amla) for Rs. 5
Balha 5 pieces
(banana) for Rs. 10
Lakhuih 1 small
(pineapple) size piece
for Rs. 5, 1
medium
size piece
for Rs. 10
Zawngtah 5 pieces
for Rs. 10
Pangkai 50 balls
for Rs. 5
Pelh 1 piece for

Rs. 10
Pa Rs. 200-
(mushroom) 250 per kg
Heliconia 5 pieces
angustifolia for Rs. 10
(Tumbu)
Chakawk 5 pieces
Diplazium for Rs. 10
maximum
MART, Noida 35
Arisaema 1 pack for

specciosum Rs. 10
(Telhawng)
Khanghu 1 pack for

Rs. 10
Dysoxylum 1 pack for

gobarum Rs. 10
(Thingthupui)
Kawhtebel 1 pack for

Rs. 10
Vawnva
Theipui
Fu
Baibing
Alokasia
fornicate
 NTFPs are usually sold in the local market. On very few occasions villagers sell the produce to the
town market.
 Village traders and haats are the most important market access points for the NTFP collectors.
 During collection of aforesaid forest produce villagers also collect Chakai (crab), Chengkawl (fish)
from the river bodies. In a discussion with villagers in Lunglei it was found that they catch crabs and
fishes from different rivers namely Hmangua, De, Ngahleng, Sum and Rekte. Although availability of
wild honey has reduced drastically, villagers reported of collecting wild honey. There were very few
incidence of household actively engaged in beekeeping at the village community level.
 Broom grass and fuel wood are regularly collected for household level consumption.
 All the sales are on cash basis with no barter or credit.
d. Value Addition status of NTFPs
Major NTFPs Availability Value additions practices at Role of women in

of the village level production and value
processing addition practices
No change in Change in
units
form form
Bamboo shoot No √ Yes
Honey No √ Yes
Fuel wood No √ Yes
MART, Noida 36
Banana No √ Yes
Aonla No √ Yes
Thingthupui No √ Yes
Baibing No √ Yes
Alokasia fornicate
Chingit No √ Yes
Zamthoxylumrhetsa
Tumbu No √ Yes
Heliconia
angustifolia
Telhawng No √* Yes
Arisaema
specciosum
Chakawk No √ Yes
Diplazium
maximum
 For NTFP collection a bamboo basket and knife / sickle are required. Since it is seldom collected in
bulk, they carry bamboo baskets on their back. There are places where they have to pay a paltry fee
(specify) if they occupy village haat. Those who want to avoid this, often sell their products outside.
 In a very rare case, they add value to these products. The only thing they do is that they clean and
pack it in bundles in whatever way they know in order to make it easy for transport/carrying for the
buyers. With regards to Telhawng, the process of value addition is long and tedious. It is firstly sliced
into pieces and is then grounded. After that it is boiled thoroughly with baking soda powder, washed
with clean water and then the product is sold.
3.8 Existing amenities and infrastructure in villages
Infrastructure / Amenities Availability within the Distance travelled to avail

village (%) the facility (range in km)
Road 100 --
Electricity 100 --
School Building 100 --
Irrigation Nil --
Telephone 100 --
MART, Noida 37
Bank 40 7-50 km
Post Office 90 7-20 km
Transport 100 --
Veterinary extension services 50 7-20 km
Skill training centre (type)* 10 0-50 km
Milk collection centre Nil 0-125 km
Nursery Nil 0-125 km
Drinking Water 100 --
Com. Building 100 --
Cold storage Nil 20-125 km
Agro. Co-operative 40 0-50km
Marketing co-operative 30 0-50km
Haat 90 0-7 km
Forest Godown Nil 0-125 km
Rice mill 100 --

Some of the important facilities available in the study villages in Lunglei district are as follows:
 Most of the villages have access to mobile phones and WLL.

 Among the 5 villages, only Haulawng and Lungsen have Bank (Mizoram Rural Bank). Overall access
to financial institutions is very low.
 Proper Post Office is not available to these villages except Lungsen. BPO is available except in Rangte.
 All the five villages have access to all-weather road which is not maintained properly.
 Lungsen village have a nursery which is maintained by Forest Department, Government of Mizoram.
 All the villages have a school building built by government of the state and some schools from SSA.
 Most of the villages have drinking water supply through gravitation.
 All the villages have Community Halls which serves as common gathering place for the villagers.
 Villagers avail private means of transportation for their products and travelling, since public
transportation to far flung villages is inadequate.
 All the 5 villages have access on electricity but power supply is erratic.
 Only two villages out of five have access to the veterinary department.
 In all the villages, 1-2 rice mills are available for the people wherein paddy de-husking is done to
obtain rice.
Some of the important facilities available in the study villages of Aizawl district are as follows:
MART, Noida 38
- Unavailability of bank is the main constraint faced by the community severely limiting their access to
formal finance. People for around 2 hour journey to access the nearest bank.
- Lack of veterinary resource available at the block level is a big problem. Though one Veterinary field
assistant looks after one block, high service charge to avail their services for medical support limits
the utility.
- Out of the 5 villages 3 villages have the branch of Mizoram Rural Bank and 2 villages have Extension
counter.
- Each of these villages is having veterinary extension services.
- Each of these villages are having community hall, post office, agro cooperatives, marketing
cooperative, haat, rice mill etc. There is one skill training centre under SIRD in one village. Various
Departments present in these villages are BDO (RD), SIRD, soil &water conservation dept., veterinary
department, social welfare (CDPO), Sericulture, Electric Dept. Border Road etc.
3.9 Skill Status
Skill Available in % of Average number Use skill for Tradition skill/

villages of persons Business purpose acquired skill
possessing skill (Yes/No)
Stitching 100 20/ village 8 yes Acquired
Embroidery 100 6/ village 2 yes Acquired
Food processing 100 5/ village 5.5 yes Acquired
Candle making 70 1 / village 1 yes Acquired
Handicraft 100 10 / village 7 yes Traditional
Stick making 100 23 / village 23 yes Acquired
Weaving 100 10 / village 5 yes Traditional
Knitting 100 13 / village 3 yes Traditional
Electrician 80 7 / village 2 yes Acquired
Carpentry 100 16 / village 12 yes Acquired
Construction 100 7 / village 5 yes Acquired
Driver 100 36 / village 10 yes Acquired
Insurance agent 1 / village 1.2 yes Acquired

 Skills exercised by the rural youth are normally traditional ones e.g., tailoring construction, carpentry,
handicraft, weaving, knitting etc.
 Skills like stitching, embroidery, food processing, candle making, beauty parlour, electrical, carpentry,
construction are acquired from schemes under Govt. of Mizoram such as TRYSEM, DWCRA and
various schemes of DIC. Training organized and imparted by JSS, ITI and other private institutions
has also helped in acquiring skills.
MART, Noida 39
 It is learnt that handicraft activity was existing sometime back but has died since the artisans involved
in the activity did not receive any kind of training to upgrade their skill.
3.10 Credit Scenario
 Most of the financial need is met through relatives and neighborhood. The amount borrowed ranges
from Rs 1,000-Rs 10,000.
 The overall credit scenario is not encouraging and majority of respondents had problems in access to
financial institutions and loan sanction. Apart from the long distance to access Bank, policy and
process of giving loan to the farmer is complex and many times beyond the seekers ability. Without
initial capital fund, land and others resources will remain underutilized.
 In Thingsulthliah block in Aizawl district, most of financial need is meet by the rural bank branches
apart some private money lenders.
 Farmers face lots of problem in taking loans. They complained that they do not get cooperation from
these banks. Banks are not willing to sanction loan without guarantor and security.
3.11 Village Level Markets
Types of Facilities Availability in Average number Type of products

% of village per village
Permanent shops in the village 100 17 Grocery
Temporary Shops in the village 100 5 Tea stall, 2nd hand goods
etc.
Vendors of the same village 100 8 -10 Vegetables & Clothes etc.
Vendors coming to village/day 100 10-12 Clothes, electronics &

utensils etc.
3.12 Marketing Infrastructure
Existing Marketing Infrastructure

Name of Institution Location Capacity Funded by Owned by
Mizoram Multi Commodity Aizawl 15 TLPD GOI AH & Vety
Producers co-op union
District Milk Union Lunglei 5 TLPD GOI AH & Vety
District Milk Union Kolasib 5 TLPD GOI AH & Vety
District Milk Union Champai 5 TLPD GOI AH & Vety
Animal Feed Plant Aizawl 50 tonnes per day GOI AH & Vety
Modern Slaughter House Aizawl 100 animals per day NEC AH & Vety
Pork and Poultry Processing Aizawl 50 animals per day NEC MIFCO
Plant
TLPD: Thousand Litres Per Day
MART, Noida 40
Construction of 1000MT Multipurpose Cold Storage at Champhai has been completed. The storage has
been designed for the storage Potato, Dry Chilly, Passion fruits and Grapes, eggs and Orange. The unit
have an installed capacity of 1000 tonnes and will operate at 80%, 85% and 90% capacity during the first,
second, third and fourth year onwards respectively. The month of operation has been considered for 9
months (270 days) out of 12 months.
Agriculture Marketing
As per the provision of the Mizoram State Agricultural Produce Marketing (Development & Regulation)
Act 2008, all the districts, excluding those under Autonomous district councils have been declared as
market areas. The act is being implemented for the benefit of the agricultural communities. There are
currently 157 markets across the state, which are directly or indirectly managed by the government. These
markets are of great importance as they provide livelihood to thousands of families. Trade & Commerce
Department of the State Government have substantially contributed to the state exchequer. The revenue
generated from various sources during the current year is Rs. 87.10 lakhs
Mizoram Agricultural Marketing Corporation Ltd.
Mizoram Agricultural Marketing Corporation Ltd (MAMCO) was established by the State Government in
the year 1993 under Trade & Commerce Department with the objectives of uplifting the economic welfare
of the poor farmers and the traders for establishing proper market channel to ensure the farmers are
getting remunerative returns on their produces. In the event of market slugging, this Corporation on
behalf of the Government directly purchase surplus produces like ginger, chilies etc. at a remunerative
rates to benefit farmers and by way of sanctioning price support subsidy. This corporation plays a vital
role in the economy of the State. The Corporation as an implementing agency has constructed 10 nos. of
wholesale markets and 87 nos. of Rural Primary Markets all over the state. There is proposal for
constructing another 15 Rural Primary Markets which has already been approved by the Central
Government and sanction is now awaited.
Haat Place/Block Location Day
SGSY Haat Thingsulthliah / Thingsulthliah Near Market Every day except Sunday
SGSY Haat Phullen/ Phullen Within the village Saturday
SGSY Haat Thanglailung/Phullen Within the village Saturday
SGSY Haat Sesawng/Thingsulthliah Near Hall Saturday
SGSY Haat Lungsen /Lungsen Within the village Every day except Sunday
SGSY Haat Rangte/Lungsen Within the village Saturday
SGSY Haat Phairuangka/Lungsen Within the village Every day except Sunday
SGSY Haat Mualthuam N’/lunglei Within the village Every day except Sunday
SGSY Haat Lunglei Haulawng/Lunglei Within the village Every day except Sunday
SGSY Haat Tlungvel/Thingsulthiliah Within the village Every day except Sunday
MART, Noida 41
- Along with Vegetables, Orange, Pineapple, Fish, Passion fruits, Limbu Squash, animal meat etc. are
sold in the abovementioned haats.
3.13 SHG information
Number Average
Average
Number of SHGs per of loans taken Grant received per
savings per
village members per SHG SHG (Rs.)
SHG (Rs.)
per SHG (Rs.)
Thingsulthliah 10 58333 145000 100000 (3 SHG)
60000-100000 (7
Phullen 10 2500-200000 180000
SHG)
Thanglailung 10 3000-80000 230000 100000 (1 SHG)
Sesawng 10 24605 150000 100000 (2 SHG)
Lungsen 10 8274 - 100000 (1 SHG)
Rangte 10 12569 - 100000 (3 SHG)
Phairuangkai 10 9512 5000 (1 shg) 100000 (2 SHG)
Mualthuam N’ 10 7670 - 100000 (3 SHG)
Haulawng 10 7266 - 100000 (1) 10000 (1)
Tlungvel 10 31521 150000 100000 (6 SHG)
Type of IGA/Micro Trainings Training agency average Average monthly

enterprises started received by and place investment income (Rs)
by SHGs SHGs per activity
(Rs)
Piggery 1. SHG Concept SGSY (BDO) 5000- 1250/pig

2. Book keeping 7500/pig
3. Piggery
Poultry SIRD 200- 160/chick
related
300/chick
4. Poultry
Stick Making related NGO 600-850/q 2520/head
Candle Making 5. Accounting DRDA 800/Rs. 3600/head

1000
Grocery Shop (Petty Church 800/Rs. 4000-12000/group

trade) Denomination 1000
 Most of the SHG have undergone trainings but most of them are still ignorant about group dynamism
though they are active and enthusiastic.
 They are not familiar to the financial institutions and its functioning as they lack access to banks.
Moreover, they do not receive proper guidance for their meaningful growth.
MART, Noida 42
 SHG formation has been predominantly done by BDO office. The group size is generally 10-13
members. Normally the groups’ various activities including the income generating activity are
planned by the members. The groups are generally active and vivid. However, the Government and
Financial Institutions need to reach out to them in a more frequent and meaningful manner.
 Lack of documentation and outlook are the weak points observed at the SHG level. Periodical training
and handholding are the key support areas envisaged from the project.
 It also learnt that some SHG availed loan and make repayment properly, but many faced problems in
repayment as they were not familiar about the term and condition of loans.
 When SHGs were formed it was clearly laid down activity for the groups, they, (SHGs) however, did
not take activity towards implement, the reason might be unsuitable those activity for them. So,
careful consideration should be observed / taken while deciding the activity for the groups.
 Most of the groups are practicing piggery apart from petty shop (variety store). They have received
loans in the range of Rs 145000-150000 and a grant of Rs 100000 each. Many SHGs have received
training from BDO, C-DAR, DRDA, SIRD and Veterinary College etc. on account management,
management of SHG, piggery and mushroom cultivation etc.
MART, Noida 43
Chapter 4: Value Chain Analysis

Chapter 3 captured community’s engagement in a long list of activities across land based, livestock and
non-farm sectors. Based on the discussion with Project Director, NERLP and World Bank staff at New
Delhi criteria (Engagement, interest and capacity of the poor, Possibility of engaging large number of
poor, Market demand, Gestation period) was shared to shortlist 5 produce / products viz. Turmeric,
Mandarin orange, Pig rearing, Poultry and Stick making (used for incense stick making) for carrying out
value chain analysis. All the five shortlisted produce are suitable for both project districts of the state.
Value Chain development is a process, which analyses every stage of the product or services i.e. from
production to the end consumer and endeavours to build the competitiveness across the chain. Value
chain analyses involves identifying product movement, number of channel partners involved and roles
performed by them, value received by each of the channel partners, constraints faced by each player in the
chain. Value chain analysis helps to identify opportunities for value addition at every stage of the product
from production to its marketing, prices at every stage and corresponding value addition possibilities,
assess infrastructure requirement and capacity building needs of producers to achieve higher value in the
chain.
4.1 Selection of activities
Based on the discussion with Project Director, NERLP and World Bank staff at New Delhi criteria
(engagement, interest and capacity of the poor, possibility of engaging large number of poor, market
demand, gestation period) was shared to shortlist five products i.e. Turmeric, Mandarin Orange, Piglets &
Pork, Broiler meat and eggs, Sticks for carrying out value chain analysis. All the five shortlisted produce
were found suitable for both the project districts of Aizawl and Lunglei. Following is the flow of key steps
performed to select five potential products for conducting value chain analysis
Task performed Key Steps Shortlisted activities
 Review of regional  Livestock rearing (Piggery, Poultry,

implementation plan Dairy, Sheep/Goat), Fish farming,
provided by World Bank Incense stick making (used for making
 Study secondary reports and incensed stick making), Ginger
concerned websites cultivation, Silkworm rearing, Bee
keeping, Turmeric, Mandarin Orange,
Step 1 Passion fruit cultivation, Hartkora
Literature cultivation, Aloe Vera plantation,
Review Pineapple, Handicrafts, Bamboo
plantation, Rubber plantation, Red Oil
Palm plantation, Mushroom
cultivation, Construction of agriculture
link roads, Rainwater harvesting
structures, Rural godowns, Irrigation
canals, Rural market buildings, Cold
storages
 Meeting with state nodal  Turmeric, Mandarin Orange, Piggery,
MART, Noida 44
officer Step 2 Poultry (Layer and Broiler), Stick

 Stakeholder consultation Field work and Making (used for making incensed
workshop with line Stakeholder sticks), Ginger cultivation, Bee
department officers, bankers consultation in Keeping, Pineapple cultivation, Aloe
and NGOs at Aizawl Aizawl Vera cultivation
 Meeting with govt. officials,
SHG members and NGOs at
District levels
 Village visits in both districts
 Review of secondary reports
 Meeting with World Bank  Turmeric cultivation

staff and Project Director, Step 3
 Mandarin Orange
NERLP at New Delhi Consultation
 Piggery
with PD, NERLP
and World Bank  Poultry (Layer and Broiler)
staff  Stick Making (used for making
incensed sticks)
Field experience shows that there is very little value-addition taking place at the producer level in villages
leading to a large chunk of produce moving out of the village in the raw form. Value addition is generally
taken up by players with high capital base located at higher order markets. However, simple aggregation
at village level with rudimentary value addition activities like cleaning, sorting, grading, drying etc. can
fetch higher price to the poor rural community. Summary of the recommended products and
interventions are mentioned in the table below.
4.2 Summary of suggested interventions for the shortlisted

activities
Produce / Intervention Size of activity suggested Key support to be Convergence
Product Suggested provided by the Potential
Unit of Funds RoI (%)
Project
activity required
(Rs)
Turmeric Turmeric 1 ha 34380 106.2 Strengthen existing Town level Traders

cultivation using SHGs and organize
improved practices poor in new SHGs, Weekly markets
and Collective Federating SHGs
marketing for better into producer Inputs suppliers
returns in both the groups
districts Progressive farmers
Introduce collective
action for input Financial institutions
sourcing and output
marketing Horticulture
department
Capacity building
on improved Marketing agency
package of (MAMCO)
practices,
MART, Noida 45

Project
activity required
(Rs)
Providing easy
access to finance
through linkages
with Financial
Institutions or
revolving fund
support
Market exposure
and linkages with
remunerative
markets, preferably
through marketing
agencies and traders
Handholding
support to SHGs in
starting the
suggested
interventions
Mandarin Cultivation using 1 acre 267020 -- Introduce collective Big Traders

Orange better practices and action for input
collective marketing sourcing and output Inputs suppliers
for better returns in marketing
both the districts Progressive farmers
Capacity building
for improved Financial institutions
package of
practices Horticulture
department
Finance linkage
MIFCO
Market linkages
Market exposure
Handholding
support
Piggery Pig rearing for both 6 fatteners 140553 30 Introduce collective Inputs suppliers
(piglets, piglet and pork and 2 sows action for input including Government
pork) sales in both the sourcing and output and private pig farms
districts marketing Financial institutions
MART, Noida 46

Project
activity required
(Rs)
Capacity building AH & Vety Department

for improved
package of Marketing agency
practices
Finance linkage
Market linkages
Market exposure to
Pig breeding farms
and successful
entrepreneurs
Handholding
support or
managing the
enterprise
Poultry Poultry (Meat)in in 250 chicks 296363 8 Introduce collective Inputs suppliers
(Broiler- both the districts for broiler action for input
Meat and sourcing Financial institutions
Layer-Eggs) Poultry
(Egg) in both the 250 chicks 317613 22 Training and AH & Vety. Department
districts for layer Capacity Building
programmes for
dissemination of
better rearing
practices
Finance linkage
Market linkages
Handholding
support for
managing the
enterprise
Sticks (used Stick making in 27 quintals 19380 97 Introduce slicing Entrepreneurs

for making both the districts machine
incensed Bamboo Development
sticks) Skill training for Agency
making the sticks
MART, Noida 47

Project
activity required
(Rs)
Financial institutions
Financial linkages
Market linkages
with Bamboo
Development
Agency and
entrepreneurs
MART, Noida 48
4.3 Turmeric (Curcuma longa)
1. Background
Turmeric is the dried rhizome of Curcuma longa L., a herbaceous perennial belonging to the family
Zingiberaceae and a native of South Asia particularly India. The plant is propagated from rhizomes. The
leaves are long, broad, lanceolate and bright green. The flowers are pale yellow and borne on dense spikes.
The pseudostems are shorter than leaves. It is an erect, perennial herb grown as an annual crop. The
rhizomes are ready for harvesting in about 7 to 9 months after planting. Turmeric can be grown as a
rainfed crop depending on location. It comes up well under sparse shade also and can be grown as an
intercrop.
Global scenario
India is the largest producer, consumer and exporter of turmeric in the world. Other major producers are
Thailand, other Southeast Asian countries, Central and Latin America and Taiwan. Turmeric is also
produced in the Caribbean and Latin America: Jamaica, Haiti, Costa Rica, Peru, and Brazil. It supplies
around 20,000 tonnes each year. Turmeric enters the international market in the form of dried whole
rhizomes or as ground rhizomes.
The global production of turmeric is around 11 lakh tonnes per annum. India dominates the world
production scenario contributing 78 % followed by China (8%), Myanmar (4%) and Nigeria and
Bangladesh together contributing to 6% of the global production.
Percentage Share of Turmeric in Global Production

Nigeria Bangladesh Others
3% 3% 4%
Myanmar
4%
China
8%
India
78%
India China Myanmar Nigeria Bangladesh Others
MART, Noida 49
India is the global leader in value added products of turmeric and exports. Other major exporters are
Thailand, other Southeast Asian countries, Central and Latin America and Taiwan. United Arab Emirates
(UAE) is the major importer of turmeric from India accounting for 18% of the total exports followed by
United States of America (USA) with 8%. The other leading importers are Bangladesh, Japan, Sri Lanka,
United Kingdom, Malaysia, South Africa, Netherland and Saudi Arabia. All these countries together
account for 75% of the world imports and Asian countries are the main suppliers to the entire world. The
remaining 25% is met by Europe, North America and Central and Latin American countries. United States
of America imports 97% of its turmeric requirement from India and the remaining portion from the
Islands of the Pacific and Thailand.
Import
Major importers are the Middle East and North African countries, Iran, Japan and Sri Lanka. These
importing countries represent 75% of the turmeric world trade, and are mostly supplied by the Asian
producing countries. India exports Turmeric to other countries in a range of 5‐6% of its total production
since 1995 ‐2005. Out of the production in India, 90% is consumed locally and the rest is exported. Still
India accounts 60% of the world turmeric exports. Occasional imports of Turmeric takes place in India
with meager amount depending upon domestic production level of it. Latest data reveals that 1313 MT,
3005 MT & 1620 MT imported in during 2002‐03, 2003‐04 and 2004‐05 years respectively. As per Spices
Boards of India, 4025 MT of Turmeric was imported in 2005‐06.
Technical feasibility
Geographical condition and topography is conducive for large-scale enhanced production of turmeric in
the region. Due to gregarious flowering of bamboo and to provide incentive to the farmer’s large scale
cultivation of turmeric has been taken up in Mizoram state. As turmeric is a short gestation crop and
utilized in dry/powdered form, therefore it is easy for transportation even from remote areas and there is
vast scope for the poor families to involve in production and buyers to tap this market. Farmers have been
involved in producing practices of turmeric since more than 3 decades further approach for the best
package of practice can enhance productivity.
The Agro climatic condition of Mizoram is ideal for cultivation of turmeric. The quality, colour and flavour
of turmeric produced in Mizoram are one of the best in the country. Though Turmeric produced in
Mizoram has great demand in the neighbouring state it has failed to tap the economic potential due to low
productivity and cultivation is confined to small areas only. As small cottage industries are on the increase
where drying, processing and grinding of turmeric can be done, there is tremendous scope in increasing
the area under Turmeric.
Most of the families in Aizawl and Lunglei district more or less earn their livelihood by production and
trading of turmeric. Turmeric is available in plenty and farmers have been cultivating it in large scale in
Lungsen, Rangte and Haulawng area of Lunglei district and Sesawng, Tlungvel and Thingsulthliah area of
Aizawl district.
MART, Noida 50
Market feasibility
The marketing of turmeric takes place primarily in unregulated markets called ‘haats’, or weekly bazaars.
Traders come from Tlabung to purchase turmeric at wholesale prices in haats and even at the farm-gates
of cultivators. Huge demand for produce in Bangladesh market has been found and traders from these
markets directly procure from the town traders located in Tlabung.
Economic feasibility
An investment of Rs. 32,400 would be required for cultivating turmeric in 1 ha with a Return on
Investment of 119.5 %.
2. Production clusters
Indian turmeric is considered the best in the world market because of its high curcumin content. In India,
Andhra Pradesh followed by Tamil Nadu, Orissa, West Bengal and Assam takes major share in turmeric
cultivation.
Andhra Pradesh is called as turmeric bowl of India as it has highest share of 40per cent in total India’s
turmeric area followed by Tamil Nadu, Orissa, Assam and West Bengal each accounting for 15per cent,
14per cent, 7per cent and 7per cent, respectively.
Turmeric is grown all across the state of Mizoram. Both the districts of Aizawl and Lunglei grow turmeric
with the most of the production coming from the district of Aizawl. In Mizoram it is grown in plenty in
many parts of Aizawl and Lunglei districts.
3. Major usage and by products
It is used in diversified forms as a condiment, flavouring and colouring agent and as a principal ingredient
in Indian culinary as curry powder. It has anti cancer and anti viral activities and hence finds use in the
drug industry and cosmetic industry.
'Kum-kum', popular with every house wife, is also a by-product of turmeric. It finds a place in offerings on
religious and ceremonial occasions. A type of starch is also being extracted from a particular type of
turmeric. The increasing demand for natural products as food additives makes turmeric as ideal produce
as a food colourant. Turmeric (Curcuma longa) is used as spice, dye and in cosmetic industry.
Turmeric is mainly used as spice in Indian foods. It is used in diversified forms as a condiment, flavouring
and colouring agent and as a principal ingredient in Indian culinary as curry powder. It is used in a wide
variety of foods of the cuisines of Southern Asia but locally it also applies as an antiseptic for skin
abrasions and cuts. Turmeric is an important spice among the rice-eating peoples of India, South East
Asia and Indonesia. Its chief use is in the manufacture of curry powders. It is also used as an adulterant of
mustard and a substitute for it and forms one of the ingredients of many cattle condiments. Turmeric is
also used as a dye in textile industry. It has anti cancer and anti viral activities and hence finds use in the
MART, Noida 51
drug industry and cosmetic industry. 'Kum-kum', popular with every house wife, is also a by-product of
turmeric.
4. Value chain map of turmeric
Retailers of
powdered turmeric
in Aizawl
Bangladesh Town level

Rs. 8-9 / kg Trader processors
Rs. 6-7 / kg Tlabung Trader

Village level
processors
Rs. 3-5/kg Producer
5. Stakeholders
 Producer / Farmers
 Villagers are involved in turmeric cultivation since last 3 decades. Turmeric basically grown as mixed
crop with paddy, maize, pumpkins, yams etc. The villagers in the study area grow only desi variety of
turmeric.
 Harvesting period for turmeric is during December to January. But sometime due to lack of
competitive remuneration they do not harvest their crop at harvesting season and wait for good price
recovery.
 Turmeric grown in village is sold either in haat or traders coming to villages from Tlabung. Women
and men both play a role in selling it in local haats or to traders.
 The selling happens in per kg system. The selling price turmeric is Rs. 6-7/kg. Traders took produce
from door steps and direct cash is paid for the product.
 No value addition has been practiced in the form of drying, powdering etc in study villages.
 Input sourcing and suppliers
The main inputs required for turmeric cultivation are seeds, fertilizer, pesticides/weedicides, and agri
implements. The suppliers of these inputs are located at block, sub division and district level. Reiek Multi
farming Society, Reiek is one of the pioneer societies working on turmeric. Mr. Biakmawia, President of
MART, Noida 52
the society manages the operations of the society. One of the prominent convergence points is availability
of the turmeric seeds to farmers.
 Village level trader
 They are mostly commission agents/supplier of town level traders. Sometime village trader is the link
between producer and town trader in the marketing channel of turmeric.
 Village trader adds value in turmeric and sells to town traders in higher price.
 Town level traders deploy these agents to contact producers to harvest the produce on a particular
date, so that fruits could be aggregated in a common point.
 No grading system has been practiced by village traders but he also demand for a minimum quality
standard of produce.
 Wholesalers / Town level traders
 The entire turmeric is procured by Tlabung traders. Tlabung is the border of India and Bangladesh.
 These traders directly or through any agent sell their produce in Bangladesh and Myanmar market in
higher price.
 Bangladesh and Myanmar traders also procure directly from these traders.
 They procure the produce through agents/supplier from villages.
 When they sell to traders coming from regional market, they act as agent for them.
 Transporters
 Local transportation is done through 4-9 tonne capacity trucks as per the terrain. On an average a cost
of Rs. 2 per kg has to be incurred in transporting green turmeric from nearby villages (in and around
20 kms) to a common point at Seling in Thingsulthliah block.
 From Baka market near to Silchar, turmeric goes to Siliguri and on an average a cost of Rs. 4 per kg
has to be incurred to transport it
6. Gaps and Constraints
The major gaps and constraints facing turmeric include lack of value addition at farm level, Lack of direct
marketing channel, lack of transportation facility to access Lunglei and Aizawl market and lack of group
activity for aggregation or achieving economies of scale at the village level. The following table brings our
a comprehensive analysis
Factor Constraints faced by marginal and Strategic action points for project
small farmers
Input sourcing  Often low quality of inputs (seeds,  List out input suppliers at block, sub
fertilizers, pesticides/weedicides) division and district level (Aizawl
result in low productivity. and Lunglei) and establish tie ups
 Hoarding by local traders and high with them for timely and quality
MART, Noida 53
small farmers
rates of farm inputs procurement.
 Farmers travel to Aizawl and Lunglei to  Partnerships with renowned Multi
procure inputs which adds to the Farming Societies can be developed
operational costs. to ensure quality inputs.
 Organize farmers to procure inputs
collectively to negotiate better prices
and reduce overhead costs. Farmers
can procure inputs in bulk well in
advance of sowing season.
Production  Land in some places is not suitable for  Mandarin cultivation should be
practices and mandarin cultivation due to low soil promoted after suitable technical
technology used fertility. assessment of the area with support
 Lack of irrigation infrastructure affects of agriculture department.
productivity.  Regular training and exposure visits
 Farmers don’t upgrade their skills and to best practitioners in the local area
knowledge regularly resulting in low can help poor farmers.
yields.  Linkage with local banks and
government schemes such as SGSY
can help famers in accessing loan to
purchase productive assets
Access to  Availability of timely and right amount  Farmers need to be organized in
finance of credit is an issue. Bank loan requires SHGs and linked with banks
a lot of paper work and most farmers’ particularly Mizoram Rural Bank to
don’t have proper papers for their ensure financial inclusion. They can
land. be engaged to develop loan products
for mandarin orange cultivation.
Market access  Farmers sell individually to the  Farmers can take up turmeric
retailer/wholesaler resulting in higher cultivation activity individually,
overhead marketing costs however, souring of inputs and
 There is low affinity among farmers for marketing can be planned
collective action for sourcing of inputs collectively.
and sale of green turmeric resulting in  Collectivizing farmers to sell
higher operating costs. collectively and directly to higher
 Blockage of roads leads to increase in order markets at sub division towns
input costs and great difficulty in and district markets (Aizawl and
accessing remunerative markets. Lunglei) can be introduced for better
price realization
 Development of local market system
along with basic infrastructure will
help farmers to create robust local
market and access remunerative
markets.
MART, Noida 54
7. Proposed Intervention
 Turmeric cultivation using improved practices and Collective marketing for better returns in both
the districts
8. Implementation plan to carry intervention
Key steps to be Activities to be performed by project

followed
Phase I – Preparedness at the community level
Village / Cluster  Identify and select right villages/clusters in both project districts for
selection initiating turmeric cultivation using best practices.
Social mobilization  Sensitize turmeric farmers on potential increase in income by using best
and institution cultivation practices
building  Share the intervention plan, cost benefit analysis, and assess community
interest level to take up the activity
 List out members separately who are already doing the activity and want to
either expand or strengthen the activity.
 Identify the willing members/groups to start turmeric cultivation. Initially
only a limited number of groups should be encouraged to start the activity.
Based on the results more members can be brought in the network.
 Carry out discussions with group members to draw consensus on roles and
responsibilities of members and group leaders to take up the activity.
Preparation of  Prepare a proper business plan for ‘turmeric cultivation and collective
business plan marketing’ in consultation with the community. VCA can be referred here
Capacity building  Organize Leadership training for group members–functions and
responsibility to interact with external players.
 Organize Training in business and marketing skills (costing, pricing,
accounting, sales and marketing, negotiation, market analysis) for group
members
 Organize Technical training on better practices in convergence with
Horticulture Department, organize exposure visits to multi commodity
cooperative societies (dealing in turmeric) located in Aizawl
Phase II – Establish backward and forward linkages
Backward linkages  Handhold farmers to procure inputs in bulk to reduce operational costs
 Share the list of major inputs suppliers for ensuring quality of inputs and its
timely availability
 Establish finance support for turmeric cultivation on a unit cost basis
Production  Implementation of best practices with the handholding support of the
project team
 Clarity of roles, specialization and continuous skill improvement
 Bring quality control in production to achieve efficiency, higher productivity
at lower costs
MART, Noida 55
 Better record keeping and financial management

 MIS development
Market access  Identify suitable and multiple markets and prepare list of market players
with their contact details
 Engage in bargaining, marketing of produce and realize better price
 Clarify on profit sharing and funds rotation among members in case of SHG
as group shows willingness to start / expand the activity
 Build System for collaborations
Monitoring and  Set up regular follow up and monitoring system to evaluate units from time
evaluation to time to finds out gaps, take corrective steps and ensure delivery of
appropriate extension services in convergence with Horticulture
Department.
9. Economics of the intervention
Assumptions
1. Minimum sale rate of green turmeric Rs. 3/- per Kg.

2. Economics of Turmeric Cultivation in 1hectare area
3. Interest rate @ 12% for 1 year
Cost structure
A. Input Cost
S.N. Particulars Quantity in q Rate Rs. / q Amount (Rs.)

1 Turmeric seed rhizomes 20 600 12000
2 Organic Manure 8 1200 9600
3 Tools & Implements lump sum 500
4 Transportation of seed rhizomes, organic lump sum 400
5 Sub Total (A) 22500
B. Land Preparation and Intercultural Operation
SN Particulars Quantity in Rate per Amount

man days man-day (Rs.)
1 Jungle clearance 15 132 1980
2 Burning & removal of debris 5 132 660
3 Layout 5 132 660
4 Terracing across the slope 5 132 660
5 Pulverization of soil 10 132 1320
MART, Noida 56
SN Particulars Quantity in Rate per Amount

man days man-day (Rs.)
6 Mixing of organic manure & soil 5 132 660
7 Furrowing 5 132 660
8 Cutting of seed rhizomes & sowing 10 132 1320
9 First weeding & earthing up (May-June) 10 132 1320
10 Second weeding & earthing up (July-Aug) 10 132 1320
11 Third weeding & earthing up (Oct-Nov) 10 132 1320
12 Sub Total (B) 11880
13 TOTAL (A+B) 34380
14 Interest @ 12% for 1 year 4125.6
15 TOTAL EXPENDITURE 38505.6
C. Income and Profits
S.N. Particulars Quantity in tons Rate (Rs. / ton) Amount (Rs.)

1 Sale of turmeric 25 3000 75000
2 Total (C) 75000
3 Profits after interest 36494.4
4 RoI 106.2
Processing Possibility
While green turmeric is dried and processed into powder, village level processing units caters to the
inherent village level requirements. There are no instances of these units being able to market the
powdered turmeric to traders or retailers. Moreover, such processing units are surviving because of allied
activities run in the set up e.g. while many turmeric processors have a rice hauler, some have wood cutting
machines to run their set up. Small Processors at the town (Aizawl) level ground the dried turmeric and
sell it to the retailers located in the town itself. There is negligible further movement of the ground
turmeric from the state. In such a scenario village level units can be set up for catering to village level
demand but will have negligible enterprise possibility at least in the current paradigm.
Sensitivity Analysis
SN Parameters Revenue Expenses Profits before interest

(Rs) (Rs) (Rs)
1 Expenses go up by 10% 75000 37818 37182
2 Expenses fall by 10% 75000 30942 44058
3 Production goes up by 10% 82500 34380 48120
4 Production falls by 10% 67500 34380 33120
MART, Noida 57
4.4 Mandarin Orange (Citrus reticulata)
1. Background
Of all the different species of citrus found in the state, Mandarin Orange is the most popular one. First
introduced to Mizoram during 1935-40 at a village called Sairang in Aizawl possibly from Cachar Hills
through the river Tlawng by small commercial boats, which were important means of transport between
Mizoram and the outside world as road was still in its initial state during those days. Then on its
cultivation spread to different parts of the state, the first harvest on a commercial scale was reportedly
achieved in early 1950s in the areas around the river Tlawng in the north western part of the state. Since
then mandarin orange has occupied a very important place in the livelihood of the most of the farmers in
the Citrus growing belts.
Mandarin Orange cultivated in Mizoram is commonly known as ‘Khasi Mandarin’ by Indian Scientists. In
earlier years, maximum plantation areas are in the western part of Mizoram. Mandarin orange used to be
a major fruit crop in Mizoram, covering large areas of plantation. Mizoram oranges used to be marketed
as far as Bangladesh in addition to Indian market. But due to citrus die-back disease, large area have been
destroyed and declined which is called ‘Sertam’ in Mizo.
Agro-climatic conditions in Mizoram are found to be very suitable for growing a wide range of
horticulture crops covering fruits, vegetables, ornamental crops, plantation and spice crops. Among fruits,
mandarin orange is the dominant fruit crop, covering a total area of 5,395 ha with a total production of
34,366 MT during 2006-07 and an area of 6,395 ha with a production of 41,567 MT in 2007-08.
Table Area, Production and Yield rate of Principal Horticulture crops in Mizoram
Source: Statistical handbook 2008-2009, Mizoram
MART, Noida 58
Global Scenario
Global production of oranges and mandarins has been increasing at a steady pace - 1.9 percent on an
annual average during the period 2001-2007 – and amounted to 90.4 mn tonnes in 2007. The major
producers include Brazil, Russia, United States, Spain and Mexico. India was the sixth largest producer of
oranges and mandarins producing 3.9 mn tonnes. Global exports of mandarin aggregated 3.4 mn tonnes
in 2006, registering an annual average growth of 7.5 percent during 2001-2006. Spain, with a share of
44.7 percent, was the largest exporter of mandarin in 2006, followed by China (10.0 percent share),
Turkey (8.3 percent share), Morocco (6.6 percent share) and Pakistan (5.7 percent share).
Market feasibility
While India is the sixth largest producer of citrus fruits accounting for 5 per cent global production, it has
no place in world citrus trade which is due to its sticking to its old varieties with little introduction of new
varieties. All the orange selling points in Mizoram are small market stalls or road side markets that sell
local oranges by fruit number and not by weight.
As there never was a problem in marketing orange fruits and still no market problem even today, citrus
industry in India and even in Mizoram has a very good prospect. Citrus plantation can be expanded at its
maximum extent where Mizo farmers can adopt the technology of its cultivation.
An investment of Rs. 2,67,020 would be required for cultivating mandarin orange in 1 acre. While the
fruiting will start from 4th year, expected net income accrual has been calculated in the economics section.
2. Production clusters
Today, as technology improves, this citrus decline problem is gradually prevented while remedial
operations and measures being taken. Recently, Israel technology is being adopted in citrus plantation
right from production of quality planting materials to plantation including installation and provision of
drip irrigation to citrus plants; a pilot project is being executed at Rulpuihlim village. With the improved
technology applied, citrus plants are expected to start fruiting within three years from its plantation in the
orchard.
Cultivation of orange on commercial scale in a cluster has been promoted by the Department of
Horticulture under the Indo-Israel project wherein 2600 families were to be converged across 6 blocks in
the state. The implementing agency was the Block Development Society formed within the block.
3. Major usage and by products
Mandarin Orange is a good source of Vitamin C and flavanoids. It is saturated fat- free, sodium- free,
cholesterol- free, high fibre and fat free. Japanese scientists have shown that eating mandarin oranges
may decrease the risks of various diseases, including liver cancer, arteriosclerosis and insulin resistance.
Mandarin orange juice is used in Vitamin C pills.
MART, Noida 59
Mandarin Orange essential oil is used in perfumes, soaps and as an anti-spasmodic, carminative,
digestive, diurectic, sedative, stimulant (digestive and lymphatic) and tonic agent. It is soothing to the
nervous system and has a tonic effect on the digestive system, while helping flatulence, diarrhoea and
constipation. I t also useful for the skin and is used to help with stretchmarks, increasing circulation and
reducing fluid retention. It is wonderfully soothing & calming oil and is gentle enough to use on babies
and small children. Its aroma clears the mind and can help eliminate emotional confusion.
Aromatherapits also consider it to be very comforting, soothing and warming. Mandarin oranges of all
kinds are primarily eaten out-of-hand, or the sections are utilized in fruit salads, gelatins, puddings, or on
cakes. Very small types are canned in syrup. The essential oil extracted from the peel is employed
commercially in flavoring hard candy, gelatins, ice cream, chewing gum, and bakery goods. Mandarin
essential oil paste is a standard flavouring for carbonated beverages. The essential oil, with terpenes and
sesquiterpenes removed, is utilized in liqueurs. Petitgrain mandarin oil, distilled from the leaves, twigs
and unripe fruits, has the same food applications. Tangerine oil is not suitable for flavoring purposes.
4. Value chain map
Retailers (Haats)
Rs. 5-6 / piece
Trader / Commission agents (Silchar, Rs. 2-3 / piece; Purchases

Aizawl, Seling) tree from orchard owners
Orchard Owner / Producer Rs 1-2 / piece
5. Stakeholders
Wholesalers
Traders from Aizawl, Sichar, Seling, Cachar deal with mandarin orange. There exists a mechanism
wherein certain traders buy the orange trees during the pre-harvest season. Based on the eye-estimation
of the no. of fruits trader buys them at a lump-sum price (which often comes to Rs. 2 per fruit). They give
advance to the tree owner.
MART, Noida 60
Retailers
Aizawl based traders aggregate the produce, pack it and sell it to the next trader located outside the state.
They also work as commission agents of the big traders located in Karimganj. Retailing function is carried
in two distinct ways wherein either the local entrepreneurs purchase it from the wholesalers and sell it at
the town level or the orchard owners/local entrepreneurs who sell it in the at the local haats.
Processors
Industry Dept., Government of Mizoram and Ministry of Food Processing & Industry has set up MIFCO
for the processing and value addition of fruits e.g. orange, pineapple and ginger etc. The main objective of
this society is to convert these fruits into value added product e.g., juice and concentrate and sell it in the
domestic and international markets. At present this society has around 90 members. MIFCO is presently
running five processing units in and around Aizawl in Mizoram.
Orange processing is done at food juice concentrate plant at Chhingchhip which has been established in
June 2006. This plant runs 8 hrs per day for 3 months only because of less supply of raw material. The
installed capacity of the plant is 1400 MT per annum but due to irregular and less supply of raw fruits,
current utilization is only 10% i.e. the plant produces 140 MT per annum only. The plant has been set up
with funding from MOFPI & GoM, Industry Dept. At present plant is running at no profit no loss.
Orange is procured through collection centre established near to the respective plants. Sorting and
grading facility is also available and done at collection centre and categorization done in classes A, B, & C.
Category A orange, after packaging is exported to domestic and international market, category B orange is
sold at local market for direct consumption and category C orange is largely used for the processing and
converted into juice concentrate.
Around 40-50% orange is being processed for the juice concentrator and rest is sold for direct
consumption. From 1 kg of raw material (Orange), up to 400ml juice concentrates (40%) can be
processed. The shelf life of the product is 5-6 months in dry place. MIFCO sells this juice concentrate in
700 ml bottle size @ Rs 40/- per bottle where the costing of this bottle is Rs 30/- including all cost e.g.,
processing, packaging and marketing. At present juice concentrate product is sold locally and roadmap for
exports to other state is under planning stage. Major Constraints faced by MIFCO include lack of
backward linkages to procure raw fruits and low productivity due to lack of better package of practice
among farmers.
Transporters
 Transport of raw orange from the village generally happens when the orchard owner strikes a deal
with the trader. Around 350 oranges can be packaged in a standard basket whose transportation cost
via truck is around Rs. 35 per basket for a distance of ~ 150-200 kms. The cost incidence is borne by
the trader purchasing the oranges.
MART, Noida 61
6. Gaps and Constraints
After growing orange for many years, the farmers in Mizoram are in a state of crisis with many of their
plantations affected by citrus decline which reduced fruit yield drastically. The traditional method
growing orange is to plant them from seed. This resulted in array of unstable fruit quality and yield. This
also affects the life span of the trees.
Orchard nutrition using fertilizers are hardly existent due to lack of funds for this. Using compost is also
limited due to shortage of local ability to produce it and a necessity to import it from long distance. It is
evident that many trees suffer from mal nutrition.
small farmers
Input sourcing  Often quality of the inputs available in  List out input suppliers at Aizawl and
the open market is not good that Lunglei and establish tie ups with
results in low productivity. them for timely and quality
 The state does not have its own supply procurement.
of fertilizers and pesticides. This  Organize farmers to procure inputs
promotes hoarding by local traders and collectively to negotiate better prices
high prevalent rates of farm inputs. and reduce overhead costs. Farmers
 Farmers travel to Aizawl to procure can procure inputs in bulk well in
inputs which adds to the operational advance of sowing season.
costs.
Production  Land in some places is not suitable for  Mandarin cultivation should be
practices and mandarin cultivation due to low soil promoted after suitable technical
technology used fertility. assessment of the area with support
 Both lack of irrigation infrastructure of agriculture department.
and negligible up-gradation of farmers  Regular training and exposure visits
skills and knowledge results in low to best practitioners in the local area
yields. can help poor farmers acquire best
practices.
 Linkage with local banks and
government schemes such as SGSY
can help famers in accessing loan to
purchase productive assets
Access to  Availability of timely and right amount  Farmers need to be organized in
finance of credit is an issue. Bank loan requires SHGs and linked with banks
a lot of paper work and most farmers’ particularly Mizoram Rural Bank to
don’t have proper papers for their ensure financial inclusion. They can
land. be engaged to develop loan products
for mandarin orange cultivation.
Market access  Farmers sell individually to the  Farmers can take up mandarin
retailer/wholesaler resulting in higher cultivation activity individually,
overhead marketing costs however, souring of inputs and
 There is low affinity among farmers for marketing can be planned
MART, Noida 62
small farmers
collective action for sourcing of inputs collectively.
and sale of mandarin orange resulting  Scope for collectivizing farmers to
in higher operating costs. sell collectively and directly to higher
 Blockage of roads leads to increase in order markets at sub division towns
input costs and great difficulty in and Aizawl for better price
accessing remunerative markets. realization.
 Development of local market system
along with basic infrastructure will
help farmers to create robust local
market and access remunerative
markets.
7.Proposed Intervention
 Cultivation of orange using best practices and introducing collective marketing
8. Implementation Plan to carry the intervention

followed
Village / Cluster  Identify and select right villages/clusters in both project districts for initiating
selection mandarin orange cultivation using best practices.
Social mobilization  Sensitize mandarin orange farmers on potential increase in income by using
and institution best cultivation practices
 Identify the willing members/groups to start mandarin orange cultivation.
Initially only a limited number of groups should be encouraged to start the
activity. Based on the results more members can be brought in the network.
 Carry out discussions with group members to draw consensus on roles and
responsibilities of members and group leaders to take up the activity.
Preparation of  Prepare a proper business plan for ‘mandarin orange cultivation and collective
business plan marketing’ in consultation with the community. VCA can be referred here
Capacity building  Organize Leadership training for group members–functions and responsibility
to interact with external players.
MART, Noida 63

members
 Organize Technical training on better practices in convergence with
Horticulture Department
Backward linkages  Handhold farmers to procure inputs in bulk to reduce operational costs
timely availability
 Establish finance support for mandarin orange cultivation on a unit cost basis
Production  Implementation of best practices with the handholding support of the project
team
 Bring quality control in production to achieve efficiency, higher productivity at
lower costs
 Better record keeping and financial management
 MIS development
Market access  Identify suitable and multiple markets and prepare list of market players with
their contact details
 Engage in bargaining, marketing of produce and realize better price
 Clarify on profit sharing and funds rotation among members in case of SHG as
a group shows willingness to start / expand the activity
Monitoring and  Set up regular follow up and monitoring system to evaluate units from time to
evaluation time to finds out gaps, take corrective steps and ensure delivery of appropriate
extension services in convergence with Horticulture Department.
a. Action Plan for Collective Marketing of Orange fruits
Most farmers produce small quantities for sale but find that the local trader is only prepared to pay low
prices for their goods compared with the wholesale price. As individual farmers they have little bargaining
power with traders and must often except almost any price offered. The only way small-scale farmers can
sell their produce at higher market is to co-operate with each other to form an association or group and
are able to offer for sale their combined output and take steps to make sure that it is of a standard quality,
they will be able to market their goods as successfully as village level traders. SHGs present in the village
can utilize the group money for aggregation of produce and sell at right price to higher traders.
The facilitating agencies should understand that the process of establishing collective marketing which
market produce of farmers collectively. Educating farmers to understand how markets work, how they can
earn more money by collective action and how they can put these ideas into practice may require the
MART, Noida 64
organization of many group meetings, training sessions, marketing studies and opinion surveys etc. Step
by step approach for collective marketing is given below.
SN Activities
Selection of villages, estimating resource availability, Refer Micro Plan, Baseline, Value Chain
1A
Report
B Scale assessment at village level
C Selection of villages for intervention
D Understanding market dynamics for Mandarin Orange
2 Sharing the concept with NGO
3A Sharing and orientation of the concept and fund flow to SHGs
Exposure visit of VC President, Secretary to successful collective marketing interventions
B
undertaken by multi commodity societies in Aizawl
4 Village level awareness meeting with the VC President, Secretary and villagers
5A Identification of potential/interested SHG
B Selection of leaders from selected groups
C Proper training to SHG members and leaders
Exposure/training on technical aspects (Proper handling of fruits, grading, packing, record
D
keeping)
6A Market watch and community leaders' negotiation with traders and other market players
B Liaison and bargaining with traders by the SHGs and proposed marketing cadre
C Listing of collection of produce and record keeping
D Finalizing selling modalities
E Making arrangements for gunny bags, packaging, transportation and labour (if required)
F Selling price fixation including mode of payment
G Finalizing date of transportation
H Making arrangements for lifting of produce from the village
9A Finalizing procurement modalities
B Fixation of minimum rate for buying within groups and from outside
C Ensuring procurement of committed quantity by the participating groups
10 Account keeping including miscellaneous expenses - transparency meeting
11 Selling to traders / processors in the state
12 Receipt and disbursement of payment to SHG
13 Calculation of profit and disbursement of payment to contributing SHG members
14 Ensuring timely repayment of loan by SHGS to project / financial institutions (if applicable)
15 Planning for other produce
Since the product is perishable in nature and it has to be sold in the same day of harvesting, trader
selection and negotiation should be done before harvesting.
9. Economics of the intervention
 Economics for 1 acre of plantation with a spacing of 4m x 4m
MART, Noida 65
 250 budded orange trees

 Payback period of 10 years
 Payment starts from 4th year
 Expected yield in nos. of fruits up to 4th year @ 200 fruits per tree
 Expected returns from 4th year @ Rs. 2 fruit
 Expected yield in nos. of fruits from 5th year @ 1000 fruits per tree
 Expected returns from 5th year @ Rs. 2 per fruit
 Around 350 oranges can be packaged in the basket, transportation cost is Rs. 35 per basket
I. Input Cost
Items Unit Quantity Rate (Rs.) Amount
(Rs.)
1 Budded planting materials of orange Nos. 250 120 30000
2 Organic manures like Farm Yard Manure / Kg. 3750 12 45000
Vermicompost @ 15 kg per plant
3 Spade for pit digging Nos. 2 100 200
4 Secateur for training and pruning of the Nos. 2 359 718
plants
5 NPK in the form of chemical fertilizers for Kg. 50 20 1000
growth booster @ 200 gms per plant
6 Hand hoe for intercultural operations Nos. 2 30 60
7 Dao for Jungle clearance Nos. 2 100 200
8 Plant Protection materials lump sum 2000
9 Sprayer Nos. 1 1600 1600
10 Construction of water storage tank lump sum 100000
11 Cost of drip irrigation materials and Acre 1 44042 44042
installation
12 Transportation of inputs like planting lump sum 12500
material manures etc.
TOTAL of I 237320
II. Labour Cost

Item Unit Quantity Rate Amount
(Rs.) (Rs.)
1 Jungle clearance Person 20 132 2640
2 Burning and removal of debris Person 10 132 1320
3 Layout Person 5 132 660
4 Pit digging Person 50 132 6600
5 Pit filling with FYM, top soil etc. Person 20 132 2640
6 Planting of planting material at site Person 10 132 1320
7 Application of PP, Chemicals, Person 10 132 1320
Fertilizers, Manures etc.
8 Intercultural Operations like weeding Person 100 132 13200
for 3 - 4 times
9 TOTAL of II 29700
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10 GRAND TOTAL (I+II) 267020

11 TOTAL CULTIVATION COST 267020
12 Total Interest @ 12% for 10 years 320424
13 Total Sum payable in 10 years 587444
14 Cumulated interest for 3 years 961272
15 Yearly Interest to be paid from 4th year 45774
till 10th year
16 Yearly principal to be paid from 4th 38145
year till 10th year
17 Equal yearly installment after 4th year 83920
till 10 year
Net Income in 10 years
Expected
Gross Net
No. of Marketing Net Income Yearly
Year Income Income
fruits Cost (Rs.) (Rs.) Installment
(Rs.) (Rs.)
(Rs.)
Year 4 50000 100000 5000 95000 83920 11080
Year 5 250000 500000 25000 475000 83920 391080
Year 6 250000 500000 25000 475000 83920 391080
Year 7 250000 500000 25000 475000 83920 391080
Year 8 250000 500000 25000 475000 83920 391080
Year 9 250000 500000 25000 475000 83920 391080
Year 10 250000 500000 25000 475000 83920 391080
There exists no precedence of value addition of mandarin orange at the village level. It is sold as a raw
fruit. There could be linkages with MIFCO processing unit but long distance and inadequate
infrastructure support renders it as a distant possibility.
SN Parameters Revenue (Rs) Expenses (Rs) Profits before

interest (Rs)
1 Expenses fall by 10% 475000 293722 181278
MART, Noida 67
4.5 Piggery
Introduction
Piggery Farming is a popular activity in the state of Mizoram as in the other states of North eastern
region. Pig is the most important livestock in the state and plays a major role in the livelihood of the small
farmers. Pork is the most preferred meat as the population is predominantly tribal. The rearing of pigs is
related to their culture and on an average every household in the state rear pigs. Pig farming is one of the
sources of cash income for the subsistence farmers as well as determines family’s purchasing power
because of unprofitable “Jhum” cultivation practice. Pigs are still considered scavenging animals and that
the underprivileged are involved in pig production.
The pig population of the state was 217,184 of which cross-bred pigs account for 185,246. About 31 per
cent of pig population is in Aizawl district alone and about 60 per cent of the meat consumed in the
district comes from pig (Anonymous 2002-03).
GLOBAL SCENARIO PIGGERY
The global production and consumption

of pork has increased substantially in
recent decades. This demand for pork
clearly offers opportunities for both U.S.
and foreign pork producers to expand
international sales. Domestic demand
for pork in individual countries is
related to market size, supply and prices
of competitive meats, per capita income
effect on protein demand and pork
demand’s vulnerability to currency or
economic instability. World pork
consumption has increased by 27% from 1997 to 2005, with total global pork consumption for 2005 at
over 93 million metric tons (MT).
The world population has increased during the last decades and will increase further during this century.
Due to this, and to the increased meat consumption per person, global consumption of meat will rise.
During the last 40 years, global pork production increased with a factor 3.5 from 24.7 million ton in 1961
to 86.6 million ton in 2002. The figure below shows the world market demand for meat including pork.
The top 12 pork producing countries for 2005 and their pork tonnage are China, with about 50% of the
world pig population, heads the list, followed by E.U.-25 countries of Europe, United States (USA), Brazil
and Canada, for the top five pork production positions (FAS/USDA, 2006). While world pork production
has increased by 15.1% from 2000 to 2005, the top five countries in percent increase in pork production
over this five year period from the list of 12 countries are Brazil (39.3%), Vietnam (27.8%), China (23.2%),
MART, Noida 68
Russia (17.0%), and Canada (16.8%). During this 5 year period, USA percent increase in pork production
was 9.3% while the E.U.-25 increased by only 2.3% (FAS/USDA , 2006).
China Pork Production
China is the biggest pork producing country. However, its market is totally domestic oriented. China
produced 49.7 MMT in 2005, slightly over 50% of the total world pork production. China’s pork
production is estimated to be 52 MMT for 2006, a 4.7% increase from that of 2005 (FAS/USDA, 2006).
The per capita consumption for China (33.8 kg) is among the highest in the world, only slightly lower than
that of Hong Kong, the EU, and Taiwan, which are countries or regions with higher per capita incomes
(Fabiosa et al., 2005).
Despite its massive population, China is almost self-sufficient in pork supplies, and imports account for
less than one percent of total pork production. Frozen boneless pork accounts for the major portion of
China’s pork imports for high end consumers. The USA is the largest variety pork supplier to China,
accounting for 37% of China’s total imports (226,736 MT) during the first 11 months of 2005.
A favourable dollar exchange rate will help the competitiveness of U.S. exports to China (GAIN Report,
2006). China’s swine and pork exports in 2006 are forecasted to increase 16% to 2 million head. China’s
swine export markets will not change, with Hong Kong, Japan, North Korea, and Russia as its major
exports market. For the first time since 2004, Japan will become China’s second largest pork market
(GAIN Report, 2006). Between 1996 and 2005, the compound annual growth rate of the production of
pork in China is 5.1% (Boal, et al., 2005). Despite the majority (70%) of Chinese hog production being still
small scale or backyard production, larger sized commercial farms have been increasing, thus improving
production efficiency. The number of swine slaughtered from commercial farms increased 26% in 2004
over the previous year. This has increased pig production and lowered pork prices in China in 2005-2006.
The limiting factors for Chinese hog production are higher production cost, lack of capital resources, and
limited market information. Official market statistic information is normally announced one to two years
later. There are no official forecasts for future production. Furthermore, disease and residue control are
also challenges. Animal diseases (e.g., FMD) are difficult to monitor and control in China’s widespread,
small-scale farming system (GAIN Report, 2006). China must develop pork systems with uniform, high
quality genetics, which can be slaughtered and processed in modern pork processing plants if it is going to
supply quality, uniform pork. This has already been achieved by the broiler industry in China, but a lack of
modern processing plants has limited availability of high quality pork.
Importing Nations
Pacific Rims, Russia, and Mexico are the major pork import countries. Among those, Japan is the biggest
pork importer. In 2005, Japan imported a record amount of pork with 1.339 MMT, over 1.2 MMT being
generic pork (chilled and frozen combined) and 90 thousand metric ton of prepared and processed pork.
There were increased imports from U.S., Chile, Canada, Mexico, Ireland, and Austria with a decrease from
Denmark. This record number is in part, due to the tight supply of beef in 2004 (FAS/USDA, 2006).
Japan has the most strict import standard and labeling requirement. New Japanese food import
MART, Noida 69
standards may require more U.S. testing and could force some U.S. pork producers to change what they
feed their hogs. The new rules change maximum residue limits on all food products for 799 feed additives,
veterinary drugs and agriculture chemicals, compared to the previous number of 283 substances (Bratton,
2006). Producers may have to stop giving hogs these additives for a longer time before slaughter to meet
new limits.
Gaps and Constraints of Pig Rearing
Productive performance
As pig rearing is very popular amongst tribal population, it can play an important role in improving the
socio economic status of a sizeable section of the weaker community. Pig farming needs low investment,
simple skills and little land. It can also be practiced as a cottage industry. Pig rearing also fits in very well
with mixed farming and can also be complementary to intensive crop operation. Pigs are prolific breeders,
grow rapidly, mature quickly and can be managed to produce at least two litters in a year. It produces 6-12
piglets at a time. The recommended ratio of boar to sows is 1:10. He piglets attain a live body weight of 70-
80kgs in 6-8 months. Moreover pigs are efficient converter of feed into pork and 65-80% of the pig weight
is consumable. Pig farming requires moderate investment and is flexible in the sense that the farmers can
always increase the size of the farm with increased profitability. In Mizoram a sow produces an average of
1.8 liters per year with 7.2 pigs from each litter reaching market weight. There is potential for
improvement of productive performance by management of Ovulation, Fertilization and effective
diagnosis and maintenance of pregnancy.
Location
The more suitable area for pig rearing would be in the vicinity of planted trees. It is favorable in a steep
area to facilitate better drainage facility. A good location for a pig farm should meet the basic
requirements like road communication and transportation, reliable water supply, well managed
underground drainage system. The farm should be planned to give protection from sun and exposure to
wind. An east west orientation is usually preferable to minimize exposure to sun.
Housing/Construction of sheds:
Pigs are highly susceptible to climatic stress. The heat regulating ability of new born piglets is very low
and as a result mortality increases in pre weaned piglets due to extreme change in weather. Normally the
sheds should be constructed according to the number of pigs one plans to rear. Not more than 50 piglets
should be housed in a shed and the recommended spacing is 1 in 15sq.ft. The flooring should be done in
concrete brick or cement and the wall should be at least 3 feet above the ground level.
Feed and Water requirement:
The feed accounts for about 80% of the cost of raising pigs. Efficient use of feed will ensure profitable pig
production. Efficiency of conversion achieved by expensive ration does not guarantee profitability. The
important thing which is to be considered is the cost of feed per kg of pork produced. The feeding of
MART, Noida 70
cheaper rations based on locally available materials may not produce the fastest gain in weight but will
reduce the feed cost per kg of carcass weight gained. Therefore it is highly important that economical as
well as nutritionally balanced diets are provided during all phases of life cycle. It is important that one
should not feed remain of the rice beer, as is generally done by the locals, to pigs as it neither contains
protein nor carbohydrates. It is also not good for sows as it may lead to lower productivity. Pigs consume a
lot of water and as such one need to have the basic idea of water requirement for pig rearing. The table
below illustrates the feed and water requirements for pig rearing as per their maturing age and weight.
Table 1: Feed Requirement:
S. N. Age(in Months) Weight (in kgs) Per day per pig feed (in kgs)
1 2-3 15-27 1.00
2 3-4 27-40 1.50
3 4-5 40-50 4.50
4 5-6 50-60 2.00
Table 2: Water Requirement:
S. N. Maturing Age(in Weeks) Requirement (in lts)

1 8-12 3-5
2 3-18 6
3 19-24 7.5
4 25 8
Marketing
Marketing of piglets and pork is not a problem in Mizoram as pork is the staple food; it is sold throughout
the state. Usually it is seen that despite rearing of pigs by majority of the population, demand for pork
exceeds the supply. The retail rate of pork is Rs.160 per kg. There seven Government pig breeding farms
in Mizoram which may be inadequate to meet the requirements of piglets for establishment of new
enterprises. While the piglets are sold at the rate of 125 per kg in the Govt. farms it is available at a lump
sum amount of Rs. 2500 -3000 per piglet in the market. However, many private farms have come up all
over Mizoram seeing the viability of pig farming in the state.
Assumptions and Technical norms
1 Gestation period : 114 days

2 Weaning age : 1 months / 60 days
3 Successive pregnancy : 30 days after weaning of piglets
4 Average no. of piglets per farrowing (litter size) : 9 piglets per sow
5 Sale price of weaned piglets : Rs. 2000 piglet
6 Mortality up to 2 months : 15%
7 Sale price of empty gunny bags : Rs. 5 per bag
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8 Sale price of manure : Rs. 50 per quintal

9 Cost of feed : Rs. 8 per kg
10 Average body weight of adult sow : 150 kgs
11 Sale price of pork : Rs. 160 kg
12 Cost of insurance : 6.5 % of original cost
13 Productive life : 6 years after sexual maturity
14 No. of farrowing during productive life : 10 nos. per sow
15 Boar service charge : Rs, 500
16 Age of sexual maturity : 11 months
17 Floor space requirement for sow : 72 sq. ft. per sow
18 Floor space requirement for fattener : 18 sq. ft. per fattener
Rearing Process
Farmers reared the pigs in confinement in raised platform constructed with wood and bamboo and in
most of the farms the floor space was inadequate against per adult animal. Majority of the farmers’ rear
cross-bred pigs and followed artificial insemination practices. The average litter size at birth was 7 while
that for weaning was 6. All the farmers followed stall feeding and supplied kitchen waste with certain
weeds, after boiling, to their pigs while very few offered concentrate feeds (maximum 1kg per pig).
Further, majority of farmers never used any feed supplement like mineral mixture, vitamins etc. They
provided feeds twice daily, morning and evening.
With regard to health care majority of the farmers use antibiotic in treating the diseased pigs and follow
de-worming using either traditional or allopathic medicine. Farmers vaccinate the pigs against swine
fever and treat their piglets against piglet anaemia with iron injection and ectoparasiticide drugs in their
farms. Farmers follow cutting of needle teeth, weaning and castration of their piglets in time. Very few
farmers pay special attention to the pregnant sows but majority took special care of sows after farrowing.
Cleaning of pigsty is done once in a week. Pigs are usually marketed at the age of 1 year or above when
they attain body weight of 90 kg or more and the market price of pork was Rs. 160 per kg of live weight at
the time of study.
Production and management practices followed by the pig farmers
Housing practices
It was observed that all the pig farmers constructed their pigsty with locally available materials like
bamboo and woods, located in road side slope area with a raised platform above 2-3 feet from the ground.
The floor space per adult was found to be inadequate (average 12 sq. ft.) in majority (97%) of the farms.
The farm equipments included mainly iron vessel (Kerahi) for boiling feeds, empty mustard oil tin
(modified form) or cut piece of woods or bamboos, tyres (locally known as Thingphek) as feeding trough.
Further it was recorded that supply of water mostly dependent either on rain or nearby streams. Separate
water storage facility for pigs and electricity were absent in 84 per cent and 89 per cent of the farms,
respectively.
MART, Noida 72
All pigsties were constructed by using bamboo and wood because these are cheap and easily available as
there is abundance of these materials in the jungles. Moreover, it was easy to shift the bamboo or wood
housing from one place to another place. The reason for raising the floor above ground level was to
prevent entering of reptiles, rats and other small wild predators which are abundant in the nearby jungle.
Besides these, almost all farmers said that raising the floor above ground level made cleaning easier and
prevented dampening of floor due to rain.
Breeding practices
Breeding is one of the most important aspects for better productivity of the animals. Eight distinct
breeding practices followed by the farmers were studied. The majority (92%) farmers were rearing cross-
bred pigs in the farms and they (55%) gave first service to the female pigs at the age of 10-12 months.
Majority (75%) of the farmers followed artificial insemination practices for breeding and practiced two
services to the sow at 12 hrs interval during the second day of heat. A great majority (74%) of the
respondents followed the practice of twice farrowing of sow in a year. Only 16 per cent of them in the
study area were rearing breeding boars. The average litter size at birth was 7 while that for weaning was
6. Kumar et al (2002) reported that the average litter size at birth was 6-8 and farmers follow the practice
of sow farrowing twice in year.
The farmers preferred to rear cross-bred on their farms since in their opinion crossbred pigs have better
growth performance, healthier than indigenous one, large litter size, low mortality rate and high back fat
thickness. The advantages of adopting artificial insemination were that it is cheap and easily available,
they get improved progeny and they save on cost of rearing breeding boars. The farmers preferred
Hamshire and Saddle Back breed for crossing. Liquid semen is used for artificial insemination and
farmers pay Rs. 100 per insemination whereas they have to pay Rs. 500 per insemination by breeding
bull.
Feeding practices
It is one of the most important aspects of pig farming. The performance of the pigs mostly depends on
how the farmers are managing the feeding in the farm. Stall feeding was followed by almost all of the
farmers and this is unlike the scavenging system commonly seen in other parts of the country. Half (50%)
of the farmers feed kitchen waste to the pigs with small quantity of concentrates (maximum one kg) in
view of high cost of feeds. Kitchen waste is mixed with locally available weeds e.g. Japan-hlo (Mikania
micrantha), Mau tak (Melocanna baccifera), Vaivakawn par (Tithonia diversifolia), Anhling (Solanum
nigrum) etc and boiled before providing to the pigs. Farmers mentioned that they boiled the feeds before
giving to pigs to kill harm full insects or parasites.
It was seen that almost all the villages, there was small market at least for pork (locally known as Vawksa)
marketing. Majority of the farmers (87%) market their pigs at the age of 1 year or above when they
reached the body weight of 90 kg or above. At this age back fat content is generally high and consumers
preferred pork with high back fat thickness. The pricing system is based on measurement of girth, body
length and general appearance of the pig. There is preference for black coloured pigs in the market.
MART, Noida 73
The study revealed certain interesting production and management practices followed by the farmers of
Aizawl and Lunglei district which are as following
 Pigs were reared in stalls with raised floor (Platform) constructed with bamboo and wood. Raised
floors were practiced to protect against rainwater and reptiles. The space provided to the adult pigs
was inadequate.
 The farmers preferred to rear cross-bred animals for better growth performance and bigger litter size
and have adopted artificial insemination as cost involved was less and results are good in terms of
improved progeny.
 Kitchen waste with small quantity of concentrate mixture (maximum 1 kg) and locally available weeds
were used to feed the pigs the practice reduces cost of feeding. Feed supplement like mineral mixture,
vitamins were not used due to high cost.
 Vaccination and deworming were followed to protect the pigs from swine fever and internal parasite,
respectively. Iron injection and ectoparasiticides were not used by the farmers and might be the
probable causes of diseases like skin diseases and piglet anaemia.
 Cutting of needle teeth, castration and weaning were the most common practices followed by the
farmers. Cleaning was not done regularly by the farmers leading to various diseases like diarrhoea,
skin diseases etc. Special care was not taken for the pregnant sows whereas sow after farrowing
received special attention.
 Pigs were marketed at the age of 1 year or more when they reached body weight of 90 kg or more due
to consumers’ preference to the pork with high back fat thickness.
Value Chain Map of Pig
Customer
170/kg
Butcher
160/kg 160/kg
160/kg
Town Trader Village Trader Village Haat
Rs. 150/kg Rs 150/kg Rs. 150/kg
Pig Rearer
MART, Noida 74
Stakeholders
PIGFED
Pig Farmers Primary Cooperative Societies are formed under the Cooperation Departments and are
supposed to be facilitated by PIGFED. Officially there are 145 societies mostly confined to Aizawl, Kolasib,
Champai and Serchchip. There are a few in Lunglei district as well.
PIGFED’s mandate is to provide better quality of piglets, feed, finance and training on best rearing
practices. On all the counts, admittedly PIGFED has not been able to perform as expected primarily due to
financial inadequacies and skeleton manpower availability.
While there exists a feed making under the AH & Vety Department, it still has to go a long way to be able
to provide rearers easy access to quality feed. Feed manufacturing plant was commissioned on Sep 2002
with an objective of providing better quality feed for cattle, pigs and poultry. This is only feed plant in
Mizoram. Plant’s installed production capacity is 50 MT per day but due to less marketing channel, only
10% of this is being utilized i.e. it produces 5 MT per day. This plant has been installed with the funding
support of Non Lapsable Pooled of Central Resources. At present plant is neither making profit nor loss.
This plant manufactures feed for livestock e.g. piggery, poultry, cattle etc. Mainly 4 products are
manufactured in this plant. These products generally come with a shelf life of 1 month if stored in a dry
place. The cost of pig meal concentrate is Rs. 15 per kg.
Marketing Constraints Lack of marketing network & infrastructure, as only one selling booth has been
installed in Aizawl city which serves the local (Aizawl) level market limiting its penetration to rural areas
in the district along with other districts.
While the feed making plant does its bit, a major portion of the feed requirement of the state is met by
readymade feed which comes from private players located in Guwahati. Even PIGFED purchases 500-600
q per month from private feed manufacturers and suppliers. Though the demand and supply situation
puts feed manufacturing as a potential enterprise it is impossible for the village community to import
major raw materials from Guwahati and run the enterprise.
All the major stakeholders opined that rearers do not rear sufficient no. pigs and hence local sale to local
butcher is the most common mode of selling. One of the many reasons for not rearing large nos. of pig is
the prohibitive cost of feed.
Proposed Interventions
 Pig rearing for both piglet and pork sales in both the districts
Implementation Plan to carry out the intervention

followed
MART, Noida 75
Village / Cluster  Identify and select right villages/clusters in both project districts to initiate pig
selection rearing
Social  Identify the willing members/groups to start pig rearing.
mobilization and  Sensitize pig rearers on potential increase in income by using better rearing
institution practices
 Carry out discussions with group members to share various roles and
responsibilities of members.
Preparation of  Prepare a proper business plan for ‘pig rearing’ in consultation with the
business plan incumbents. VCA can be referred here
Capacity building  Organize Technical training on better practices in convergence with AH & Vety
Dept.
members
Backward  Handhold rearers to procure inputs in bulk to reduce operational costs from
linkages either Government or Private Pig Breeding Farm
timely availability
 Establish finance support for pig rearing on a unit cost basis
team
Market access  Identify suitable and multiple markets (mainly local and at best town) and
prepare list of local market players with their contact details
extension services in convergence with AH & Vety Dept.
Economics
Technical Assumptions
1. Economics calculated for 6 fatteners and 2 sows
2. Floor space for sow is 48 sq ft per sow
3. Floor space for fatteners is 18 sq. ft. per fatteners
4. Gestation period 114 days
5. Weaning age is 60 days
6. Average no. of piglets per farrowing is 10
MART, Noida 76
7. Mortality up to 2 months is 10%

8. No. of farrowing during productive life is 10 times
9. Average body weight per fattener is 95 kg
10. Sale price of pork is Rs. 160 per kg
11. Sale price of wean piglet is Rs. 3000 per piglet
12. Cost of feeds is Rs. 15 per kg
13. Feed consumption
(a) 2-4 months @ 1 kg per pig per day
(b) 4-6 months @ 1.5 kg per pig per day
(c) 6-8 months @ 2 kg per pig per day
(d) 8-15 months (for sow) @ 2.5 kg per sow per day
A. Capital Expenditure
S.N. Items Rate (in Rs.)
1 Construction of farrowing pen 72 sq ft. 17000
2 Roofing for farrowing pen 3061
3 Construction of fattener sty (108 sq ft.) 28000
4 Roofing for fattener sty 4782
5 Cost of equipments 4500
6 SUB TOTAL (A) 57343
B. Recurring expenditure
S.N. Items Amount in Rs.
1 Cost of 8 piglets 24000
2 Insurance 1560
3 Purchase of concentrated feed 48150
4 Land development for fodder cultivation 7500
5 Veterinary Aids including medicines and vaccines etc. 2000
6 SUB TOTAL (B) 83210
7 TOTAL(A+B) 140553
8 Interest at 12% for 1 year 16866
9 GRAND TOTAL 157419

S.N. Particulars Amount (Rs.)
1 Sale of piglets assuming each sow produces 9 piglets (saleable) and
each sow gives birth 2 times a year. Sale price of piglets is Rs. 3000 per
piglet (2 sows x 9 x 2 x 3000) 108000
2 Sale of fatteners assuming one fattener attains 95 kgs and sale price of
pork is Rs. 160 per kg of pork 91200
3 Sale of empty gunny bags 350
4 TOTAL (C) 199550
5 Profits after interest 42131
6 RoI 30 %
MART, Noida 77
Economic Feasibility
Pig rearing is an economically feasible. An investment of Rs. 1,57,419 would be required for rearing 6
fatteners and 2 sows with a Return on Investment of 30 %.
While pork can be processed into smoked pork and ham etc., eating habits of local Mizos has not found
adequate customers. Even MIFCO set up catering to town demand has not been able to make any impact
with these processed products. Quite clearly in the current scenario, processing costs, negligible demand
in the state for processed pork renders any such value addition unprofitable
SN Parameters Revenue (Rs) Expenses (Rs) Profits before interest

(Rs)
1 Expenses go up by 10% 199550 154608.3 44941.7
2 Expenses fall by 10% 199550 126497.7 73052.3
4.6 Poultry
MART, Noida 78
(I) Poultry farming for meat (Broiler)
Poultry rearing is a way of life with the tribal and rural people in the areas covered under the survey. Even
though people are into poultry rearing, it lacks commercial essence.
Poultry meat is an important source of high quality proteins, minerals and vitamins to balance the human
diet. Specially developed breeds of chicken meat (broiler) are now available with the ability of quick
growth and high feed conversion efficiency. Depending on the farm size, broiler farming can be a main
source of family income or can provide subsidiary income and gainful employment to farmers throughout
the year. Poultry manure has high fertilizer value and can be used for increasing yield of all crops.
The advantages of broiler farming are

 Initial investment is a little lower than layer farming
 Rearing period is 6-7 weeks only
 More number of flocks can be taken in the same shed
 Broilers have high feed conversion efficiency i.e. least amount of feed is required for unit body weight
gain in comparison to other livestock.
 Faster return from the investment
 Demand for poultry meat is more compared to sheep/Goat meat
GLOBAL SCENARIO POULTRY
Global poultry meat production in 2007 is projected at 86.2 million tonnes, 3 percent higher than last
year. Growth is expected in all regions, except in North America. United States' production will
stagnate, because of higher feed and production costs, which fostered a slight downsizing of the sector for
the first time. Canada's situation will greatly depend on the outcome of the measures taken to contain its
recent AI outbreak, but the country is expected to increase its output. Production is also likely to increase
in South America. Argentina and Brazil are showing the highest growth amongst producing countries
reflecting, as in the case of pigmeat, a relatively favourable feed situation and competitive production
systems. Thailand's poultry production is forecast to increase at a slower pace this year, as the market
was burdened by large supplies carried over from 2006. Despite recurring outbreaks of AI, China is
anticipated to increase its poultry output through measures that improve feed conversion into meat. The
outbreak of AI at the beginning of the year had little impact on Japan's poultry sector, with output
expected to increase slightly. All the other major poultry producers, namely Australia, Colombia,
India, Indonesia, the Islamic Republic of Iran, the Russian Federation, South Africa and
Turkey, are expected to increase their poultry production in 2007, largely in response to improved
domestic demand.
In Africa, overall output is anticipated to increase slightly, mostly reflecting higher production in South
Africa and a recovery in Egypt from AI, which had strongly depressed the sector in 2006. Despite the
resurgence of AI in parts of the European Union, prospects for poultry production in 2007 remain
relatively optimistic. Competitive prices, with respect to other meats, consumer preference for white meat
MART, Noida 79
and increased use in food preparations have favoured poultry meat. The accession of Bulgaria and
Romania at the start of 2007 had only minor impacts on European Union poultry sector since their
combined output contributes only 4 percent, or close to 500 000 tonnes, of the EU-27 poultry production.
Trade in poultry meat is projected to rise by 1 to 2 percent to 8.2 million tonnes, sustained by increased
import demand, but limited by scant export supplies in the United States. Much of the import growth is
expected to originate from Asia, especially China, Singapore and Viet Nam, where consumers have
mostly substituted broiler meat for pork after the first outbreak of PRRSV in May 2006 in China and the
subsequent spread to other parts of the region. Imports by Angola and Cuba are also forecast to rise,
principally sourced from United States. Likewise, imports by Turkey are anticipated to recover from the
AI-related contraction in 2006, reflecting a return of consumer confidence. By contrast, imports by
Japan are set to decline, due to some AI-related concerns amongst consumers and high poultry meat
stocks built up in 2006. A tightening in sanitary import requirements by the Russian Federation along
with increased domestic production is also expected to result in smaller shipments to that destination.
As for exports, larger sales of chicken meat by Brazil are expected to account for most of the expansion in
poultry trade. Exports from the country are now anticipated to surge by 11 percent, to 3.0 million tonnes,
in response to strong import demand from countries in the Far East, the European Union, Venezuela and
Near East countries, such as Kuwait and Saudi Arabia. Thailand's exports of poultry are set to rise
strongly, as the country benefited from the recently introduced European Union import quota on salted
poultry and cooked chicken meat. By contrast, despite larger sales to China, the export forecast for the
United States points to a 5 percent contraction from last year's 2.9 million tonnes reflecting growing
competition from Brazil, especially on the Asian market.
Scope for broiler farming and its national importance
India has made considerable progress in broiler production in the last two decades. High quality chicks,
equipments, vaccines and medicines are available. Technically and professionally competent guidance is
available to the farmers. The management practices have improved and disease and mortality incidences
are much reduced. Many institutions are providing training to entrepreneurs. The broiler population has
increased from 4 million in 1971 to 700 million in 1998. An average annual growth rate of 20% was
estimated during the eighth five year plan (1992-1997). Increasing assistance from the Central/ State
governments and poultry corporations is being given to create infrastructure facilities so that new
entrepreneurs take up this business. Broiler farming has been given considerable importance in the
national policy and has a good scope for further development in the years to come.
Poultry Development in Mizoram
Poultry development in Mizoram had a new turn in the late eighties with the establishment of Broiler
Farms in various places and Hatchery at Tanhril and Lunglei, In the light of State Food Policy of Self
Sufficiency in the production of food of animal origin, Poultry farming has come to the forefront of food
production initiatives. Not only poultry meat is popular amongst Mizo people, gradual realization that
poultry products provide good quality food which is grossly lacking in the normal diet of typical Mizo
family has resulted in establishment of number of poultry breeding farms. Consumption of poultry meat
MART, Noida 80
and eggs vis-a-vis the production capacity of the state Government owned farm and private farm has
created a wide scope for increasing the production of poultry birds in the state.
By 2002-2003 AH and Vety Department had established 9 poultry farms which are meant for both
demonstration purpose and nucleus for the propagation of good germplasm to cover the whole state. The
following steps for development of Poultry Industry in Mizoram.
Technical Feasibility
 Climate in Mizoram is suitable for rearing of poultry

 Technical norms including schedule for replacement of flocks
 Facilities and infrastructure available for supply of inputs, veterinary aid, marketing,
training/experience of the beneficiary
 The community has the experience of rearing poultry (Desi). There exists a high demand in the
locality as well as by the outside traders both for meat and eggs. Financial and non financial support
services are available and there is also possibility of bulk selling to traders. This business generates
income in short run.
Market Feasibility
 Facilities and infrastructure available for supply of inputs, veterinary aid, marketing,
training/experience of the beneficiary
An investment of Rs. 296363 would be required for rearing 250 broiler chicks with a Return on
Investment of 8 %.
Movement of Poultry
Customer
Aggregation,
Rs. 140-150/kg Town Level Traders /Retailers
Management, Buy
All the block, division and district head quarters
back,
Transportation, Sales
Local Traders Sell at haats

Rs. 85-105/kg
Srikakulam
Berhampur
Jagdalpur
Rs. 80-100/kg Poultry Rearers Setting inputs, Rearing,
Cuttack
Business Management
Srikakulam
selling
Berhampur
Stakeholders and their roles and functions
Jagdalpur
Cuttack
Rearer
MART, Noida 81
The broad functions of the rearer are procurement of chicks, preparation of space to shelter the birds,
provision on feed, watch and ward, carrying birds to local market for sale. They usually keep the
indigenous breed and can comfortably operate with a flock size of 20 to 50. They procure improved
variety of chicks by the sub agent of the major chick suppliers located in Aizawl. They provision the feed
from their own source and buy it from either the private feed suppliers to from the AH & Vety department
run feed manufacturing unit. The women are generally involved in the business. The farmers usually carry
the 2-3 birds at once to the weekly haats and sell it in piece rate. Local traders also procure bird from the
village point. The farmer commands an average price of Rs.80-100/kg.
Local Traders
These are the village based traders who operate in a radius of 5-10 kms and are active in the haats. The
main activities of the traders are sourcing the birds and forward it to the town level trader /processor.
They operate at a margin of Rs.5/kg. The transportation for the forward movement taken care by the town
level trader.
Input Suppliers
Supply of chicks and chick feed come from Hatcheries located in Silchar, Guwahati and Kolkata. Eastern
Hatcheries, Dynamic Hatcheries, Lahama Hatcheries, Arambagh Hatcheries are some of the few
renowned suppliers. It was reported that the mortality rate of birds from Silchar and Guwahati was as
high as 25-30 per 100 birds, while it was as low as 10-15 per 100 for birds coming from Kolkata. Cost of 1
day old Broiler chick is Rs. 50, while cost of 1 day old Layer chick is Rs. 45-50
Chick feed comes from Siliguri (M/s Samrat Feeds) which is of the Indian Export Quality. Generally the
best quality 70-kg -bag of feed costs Rs. 1700, which was Rs. 1400-1450 3 years back. The retail price of
feed during the study period was Rs. 30 per kg which was Rs. 20-25 per kg 3 years back. LR Feeds has sub
agents in all the blocks who act as a feeder point for small towns and villages. LR Feeds through its
channel sells 45-50 truckloads (1 truck load=130 bags, a bag=70 kg) or around 9 tons of feed per month.
LR feed, Aizawl is committed to supply feed in bulk to far flung districts and towns and the indicative cost
for transporting (50 kms) a 70 kg bag will be Rs. 50. There are 15-20 feed retailers in the Aizawl town,
while the only 2-3 retailers do a whopping business alike LR Feeds.
Gaps, Issues and Constrains
Stages Gap/Issues/ Constraint

Pre-production  No planning related to breed, scale, rearing modalities
 Largely indigenous breed reared
 Traditional mindset of non- commercialization
Production  Poor Rearing practices
 High mortality
 Lack of knowledge
MART, Noida 82
Post-production  Need based selling hence lack of commercial mind set

and marketing  Individual selling
 Lack of appropriate infrastructure
Proposed Interventions
Stages Interventions
Pre-production  Introduction of improved variety of birds
Production  Integrating veterinary and insurance service
 Proper rearing skill
 Credit support system for meeting life cycle needs
Post-production  Linking with higher level traders
and marketing
Implementation Plan to carry out the interventions

followed
Village / Cluster  Identify and select right villages/clusters in both project districts to initiate
selection poultry birds (broiler and layer) rearing
Social  Identify the willing members/groups to start either of the 2 or both type of
mobilization and poultry bird rearing
institution  Sensitize rearers on potential increase in income by using better rearing
building practices
 Share the intervention plan, cost benefit analysis, and assess community
 Carry out discussions with group members to share various roles and
responsibilities of members.
Preparation of  Prepare a proper business plan for ‘poultry rearing’ in consultation with the
business plan incumbents. VCA can be referred here
Capacity building  Organize Technical training on better practices in convergence with AH & Vety
Dept.
members
Backward  Handhold rearers to procure inputs in bulk to reduce operational costs from
linkages either Government or Private run Poultry Farms and Feed suppliers
MART, Noida 83
timely availability
 Establish finance support for poultry rearing on a unit cost basis
team
Market access  Identify suitable and multiple markets (mainly local and at best town) and
prepare list of market players with their contact details
extension services in convergence with AH & Vety Dept.
Economics of Broiler Farming
1. Floor space requirement @ 1.02 sq. ft. per bird

2. Cost of day old chicks @ Rs. 40 per chick
3. Mortality rate @ 10%
4. Age of marketing is 3 months weight at marketing 3.38 kgs
5. Cost of feeds is Rs. 25 per kg
6. Feed Consumption
a. 0-4 weeks @ 1.8 kg / bird
b. 4-8 weeks @ 3.6 kg / bird
c. 8-12 weeks @ 6.6 kg / bird
7. Sale price is Rs. 140 per kg (live weight)
8. 3 cycles can be completed in a year
S.N. Items Amount (Rs.)

1 Construction of broiler house (255 sq ft.) 30000
2 Roofing Materials 9363
4 TOTAL (A) 43863
MART, Noida 84
B. Recurring Expenditure

1 Cost of day old chicks (750 nos. in 3 cycles) 20000
2 Cost of feed @ Rs. 25 assuming one bird consumed 12 kgs in 3 months 225000
3 Veterinary aids including medicines and vaccines (lump sum) 7500
4 TOTAL (B) 252500
5 TOTAL (A+B) 296363
6 Interest @ 12% for 1 year 35563
7 GRAND TOTAL 331926

1 Income from sale of live weight of 750 birds in 3 cycles in a year 354900
3 RoI 8

(Rs)
1 Expenses go up by 10% 426000 349374.3 76625.7
2 Expenses fall by 10% 426000 285851.7 140148.3
(II) Poultry farming for eggs (Layer)
Poultry egg and meat are important sources of high quality proteins, minerals and vitamins to balance the
human diet. Specially developed breeds of egg type chicken are now available with an ability of quick
growth and high feed conversion efficiency. Depending on the farm-size, layer (for eggs) farming can be
main source of family income or can provide subsidiary income and gainful employment to farmers
throughout the year. Poultry manure has high fertilizer value and can be used for increasing yield of all
crops.
Global Egg Production
World Egg Production (million tonnes)
2002 2003 2004 2004/03 %

change
World 55.0 56.2 57.9 + 3%
Africa 2.1 2.1 2.1 NC
Asia 31.9 33.5 34.8 + 3.9%
MART, Noida 85
Europe 10.1 9.7 9.8 + 1.0%

Oceania 0.2 0.2 0.2 NC
N C America 8.0 7.9 8.0 +1.3%
S America 2.8 2.8 2.8 NC
Note: total Volume include hatching eggs
Source: FAO
Scope for Layer farming and its National Importance
India has made considerable progress in

egg production in the last three decades.
High quality chicks, equipments,
vaccines and medicines are available.
Technically and professionally
competent guidance is available to the
farmers. The management practices
have improved and disease and mortality incidences are much reduced. Many institutions are providing
training to entrepreneurs. The improved layer population has increased from 35 million in 1961 to 115
million in 1996. The egg production in the same period has increased from 2,340 million to 34380
million. The egg production registered compound growth rate of 6.83% during eighth plan period (1992-
97). The per capita egg availability at present is 41 eggs; while as per ICMR recommendations about 182
eggs per person per year are required to balance the common vegetarian diet. Increasing assistance from
the Central/State governments and poultry corporations is being given to create infrastructural facilities
so that new entrepreneurs take up this business. Layer farming has been given considerable importance in
the national policy and has a good scope for further development.
BEST PRACTICES
 Quality Birds: Choose the strain that will perform best and is known to have good livability under
reasonable environmental conditions. Good chicks may cost more but they will perform better and
pay more too.
 Housing: There should be ample fresh air, free from drafts. Air must be circulating. High levels of
non-desirable gases decrease growth rate and increase flock's susceptibility to respiratory disease.
Ensure that the litter is dry. A well managed litter helps the birds in putting on feathers and improve
feed conversion. It also reduces coccidiosis problem.
 Crowding: Overcrowding increases mortality, stress, as well as production cost. Hence, proper
spacing is crucial for sustenance.
 Feeding: Always ensure adequate fresh feed. Birds that are without feed for six hours will record a
drop in production and a 12 hour starvation will result in moult of wing feathers. There should be
adequate feeder space for the birds. Guard against feed wastage. Maintain records of daily feed
consumption. It will enable to determine feed utilisation and bird's performance.
 Watering: Provide plentiful and clean disinfected water. This management factor, although obvious,
is commonly violated. Water restriction is a quick way to accidentally force the flock to moult. Ensure
that the waterers are so placed that they are easily accessible to birds.
 Lighting: The duration of light should be 16 hours per day, but not beyond 17 hours. No advantage is
obtained by exceeding this limit. The amount of light given to the flock in one day should never be less
MART, Noida 86
than that given the day before. A decreasing day length can prematurely cause hens to go out to
production. One 40 watt electric bulb is sufficient for 200 sq. ft. area.
 Vaccination: Ensure that all birds are vaccinated for Marek's Disease and Ranikhet Disease. Birds
not vaccinated are highly susceptible to these diseases.
 Debeaking: Follow correct de-beaking programme. Poor de-beaking can adversely affect egg
production.
 Culling: Unsuitable and uneconomic birds should be timely culled.
 Health: Watch for early signs of disease for its timely treatment before it flares up in a big way. Some
of the symptoms that indicate the onset of disease problems are: Drop in egg production and feed
consumption: increased morbidity and mortality: inactivity and lack of vigour: droopy ruffled
appearance and respiratory distress. Look for any sudden change in egg quality.
 Sanitation: Sanitary measures are of vital importance in poultry operation. Keep roundworms,
tapeworms and caecal worms under control. External parasites are a serious farm hazard, and can
reduce production if unchecked. Deworming at regular intervals should be practiced.
 Egg Quality: Respiratory and intestinal diseases should be kept under control for the maintenance
of quality of egg shells. Indiscriminate use of sulpha drugs can affect the egg shell quality. The use of
tetracycline can, however, improve it.
 Records: A daily record of feed consumption, egg production, mortality, income and expenditure is
essential to help improve farming efficiency and pinpoint troubles and their solutions.
 Routine Checking: Critical items of management should be listed on a daily, weekly or seasonal
check list. Every item must be checked. It helps to locate the cause of trouble when it occurs. Routine
checks are: Cleaning and refilling of waterers and feeders: cleaning the house and spraying
insecticide; stirring the litter; dusting; culling of birds; egg collection, etc.
(Source: Indian Poultry Industry Year Book)
Economics
 Floor space requirement @ 1.02 sq. ft. per bird
 Cost of day old chicks @ Rs. 40 per chick
 Mortality rate @ 10%
 Age of flock at first laying is 6 months
 Productivity period is 12 months
 Cost of feeds is Rs. 25 per kg
 Feed Consumption
o 0-8 weeks @ 45 gms per day / bird
 Sale price of eggs is Rs. 8 per egg
 Each bird will lay around 213 nos. of eggs
MART, Noida 87

1 Construction of layer house (255 sq ft.) 30000
2 Roofing Materials 9363
4 TOTAL of A 43863
B. Recurring Expenditure
1 Cost of day old chicks (250 nos.) 10000
2 Cost of feed @ Rs. 25 assuming one bird consumed 41.8 kgs 261250
3 Veterinary aids including medicines and vaccines (lump sum) 2500
4 TOTAL of B 273750
5 TOTAL (A+B) 317613
7 GRAND TOTAL 355726.56

S.N. Items
1 Income from sale of eggs 426000
3 RoI 22
Economic Feasibility: An investment of Rs. 317613 for rearing 250 layer chicks with a Return on
Investment of 22%.
“Vanaraja” birds (developed by Project Directorate on Poultry, Hyderabad) have been recently introduced in Mizoram by ICAR
under NATP- Jai Vigyan - Poultry Programme. To assess the performance of these birds under Mizoram agro climatic
conditions, a systematic study was conducted in nursery as well as field conditions. A total number of 3138 Vanaraja chicks were
reared in nursery up to six weeks and then distributed to farmers for rearing under backyard conditions. The weekly body
weight, feed consumption and mortality pattern were recorded. The weight gain of chicks was assessed based on the weekly body
weight. The average weight of day old chick was found to be 36.58 g. The average body weight of Vanaraja chicks at 2 nd, 4th and
6th week was 141.60, 360.87 and 625.42 g, respectively. The average FCR was found to be 2.58. At backyard, the birds were
allowed to scavenge outside in the field from morning to evening and then housed during night time in bamboo cages or houses.
Supplements like broken grains, raw or boiled rice and left over/kitchen waste from house are offered to birds. In the field
conditions, the average age and weight at laying was 20-22 weeks and 2.8-3.45 kg, respectively. Number of eggs laid by per bird
in 30 days was found to be 16-20. Hatchability of eggs under natural brooding was 75 - 80 %, but the ability of Vanaraja birds to
brood was found to be less. Hence, many of the farmers practice hatching of Vanaraja eggs with desi hens. The body weight gain
of distributed birds was found to be higher under field conditions when supplemented with little concentrate feed. The average
body weight at 18 months was found to be 4.5±0.58 and 3.57± 0.78 kgs, for little concentrate feed supplemented group and only
scavenging group, respectively. The results on egg and chicken consumption pattern revealed that 31.85 % of eggs and 29.60 %
of chicken were utilized for home consumption; where as 68.15 % of eggs and 70.40 % of chicken were sold to others/market.
Source: Performance of Vanaraja dual purpose birds under Mizoram agro climatic conditions/ A. Kumaresan, K.A. Pathak, S.K. Ahmed and Bijoy Chhetri/ICAR
Research complex for NEH Region, Mizoram centre, Kolasib, Mizoram - 796 081
MART, Noida 88

(Rs)
1 Expenses go up by 10% 354900 325999.3 28900.7
2 Expenses fall by 10% 354900 266726.7 88173.3
MART, Noida 89
4.7 Stick making (used for making incensed sticks)
Incense Sticks (agarbatti) production uses traditional skills and renewable resources largely obtained
from forests. While production requires simple technologies and low capital investments, the industry is
highly labour intensive. In this lies the attractiveness of the sector for rural poverty alleviation since a
large number of people can be benefited. Agarbatti is a widely consumed product domestically and
internationally. While the unit cost is low, it is produced in large volumes of several billion sticks a year;
the production process is manual; and it is produced largely by women in informal home-based work or
working in SHGs, often at their own pace. The industry thus leads to home-based income generating
opportunities for very large numbers of women.
Mizoram, with an area of 21,090 sq. Km. has an abundant reserve of Bamboo forest covering 12,54,400
ha, contributing to 14% of All India Bamboo Distribution. Bamboo is distributed thoroughly between 400-
1520 m altitude. Melocanna baccifera (Mautak) is the major component of bamboo in Mizoram.
A total of 21 species of bamboo have been recorded in the forest of Mizoram. Out of these species,
Melocanna baccifera is the predominant and occupies 95% of the bamboo-afforested land in the state. It is
often distributed in tropical and subtropical riverine reserves and valleys and grows profusely in the
drainage areas of the Tlawng, Tut, Teirei, Lang-kaih and Barak rivers in west Aizawl. It is a very versatile
species; the culms grow to 20 metres tall and are strong and durable with slender fibres and
inconspicuous nodes which render them ideal for house building, weaving, pulping and the production of
small softwood products such as incense sticks, chopsticks and toothpicks. The shoots can also be eaten,
and are of high quality. Per capita consumption of Bamboo is 4.41 nos. in rural area and 1.81 nos. in urban
area.
The incense stick market in India is valued at $400 million with an annual compounded growth rate at
20%. Further value addition occurs when incense paste is hand-rolled, mostly by women, on to the sticks
to make “raw” incense sticks, which are then perfumed to obtain finished incense sticks. About 1,000
billion incense-sticks are produced annually, and bamboo sticks account for only 7-8% of the total cost of
incense sticks. This puts the current value of bamboo in incense sticks at $30 million. Annually 0.67
million tons of bamboo is consumed by the incense stick industry. Incense stick production is a home-
based industry engaging about 500,000 people, mostly women. Though both domestic and export
markets are growing, only 10% of the total cost of finished incense sticks is realized by the producers
because of marketing and financial constraints. Transportation, marketing and advertising often claim
60-70% of the total cost, causing both producers and retailers to be at the mercy of agents and
wholesalers. This is beginning to drive people out of the industry, especially in South India. Note that
agarbatties use inputs that are outputs from other enterprises – bamboo sticks, charcoal and jiggat (tree
bark powder). (Source: http://www.inbar.int/Board.asp?BoardID=225)
Bamboo in micro enterprises: Micro enterprises make extensive use of bamboo in furniture,
handmade paper, handlooms, curtains and blinds, toothpicks, chopsticks, incense sticks and various other
products. The incense stick industry in India has over 3800 production units that generate nearly US $
400 million from domestic and export markets.
MART, Noida 90
Availability of Input (Bamboo)
Bamboo has been mostly obtained free of cost from the forest and hence, all the earnings from the stick
making activity belonged to the women involved.
1. The total bamboo yield of Mizoram is 3237689 MT/Year. At present, only a small percentage of
bamboo resource, 28315 MT/Year are harvested for the purpose of local construction, tiny handloom
and handicraft production.
2. While the total bamboo yield works out to be 3237689 MT/Year in Mizoram, the annual aggregate
consumption figures at 28315 MT/Year resulting an annual Bamboo surplus of 3209374. Present
bamboo resources extracted accounts for 1% of the total yield and thus 99% of the surplus bamboo
yield of Mizoram wasted unutilized.
3. Thus, there is a huge surplus of 3209374 MT/Year annually, which can be scientifically and gainfully
utilized for generating huge amount of resources to the State.
4. A stick making unit is being set up at North Chawnpui, Mizoram with an installed capacity of 120 tons
under a project of National Mission on Bamboo Applications. The round bamboo sticks (1.5mm &
2.5mm) will be used for incense sticks as well as blinds.
Movement of Stick making
Karnataka (Bangalore), Tamilnadu

(Chennai)
Rs. 30/kg
BDA
Town Trader
(Aizawl)
Supplies raw
materials for Intermediaries
square stick,
machines
Stick (used for making incensed sticks) makers
MART, Noida 91
Incense Stick making machinery manufacturers
Name of the firm Contact Details

Garnet Tools Contact: Abhay Banthia
2-D, Industrial Area, Ujjain Road, Dewas, Madhya Pradesh
Tele: 91-7272-228719, 91-7272-50054, Fax: 91-7272-252181
Email: garnettools@rediffmail.com
Dhanjal Mechanical Works Contact Person: Mr.Jagjeet Singh
90, Phears Lane (near Shilpa Bhawan),Kolkata-700012
Phone: (033) 22377916, 22375183, Fax: (033) 22367647
E-mail: j_dhanjal@hotmail.com
M.J.Industries Contact Person: Mr. Abdul Kudush
Opp. Ashreya departmental store
Arabic College Post, K.G.Halli, Bangalore -560041
Phone: (080) 5462970, Fax No.: (080) 51251745
Guru Nanak Mechanical Contact Person: Mr. Gurvinder Singh
Works Pvt. Ltd. Makum Road, Tinsukia 786146, Assam
Phone: (0374) 2338545, Fax: (0374) 2332775
E-mail: gbl1@rediffmail.com
Arihant Engineering Contact Person: Mr P.C.Gupta/J. K. Bothra
6, Industrial Area Ujjain Road, Post Dewas 455001, Madhya Pradesh
Phone: 07272-227500, Fax: 07272-228700
P&B Machinery Contact Person: Mr. Lalbiakzuala Ralte / Mr. Lalpiangliana Sailo
Mualpui, Aizawl, Phone No. – 09436197191/09436193365
Email: raltebz@gmail.com, ralte_bz@yahoo.com
Market Support
Mr. Lalura is an entrepreneur, who is engaged in supply of small stick machine making and procurement
of sticks from villages. He gives stick making machines costing around Rs. 500 to the villagers at free of
cost to manufacture raw sticks that are use for making sticks (used for making incensed sticks). He
collects these sticks made by villagers through an intermediary, who collects all sticks from the door steps
of the villagers. After aggregating sticks he sells it to Bangalore & TN Agarbatti traders. Mr. Lalura has set
up L.Z.Bamboo Industry in 2003. He basically operates in two district- Lunglei & Aizawl. According to
him, best season for treading is September-March.
Trade Volume: His trade volume has been decreasing with every passing year since more traders have
come into being along with increased activity of Bamboo Development Agency to venture into square
sticks. In the year 2007 he sold 150 truck loads (9-12 tons), which decreased to 100 truckloads in 2008. In
the year 2009 he could manage to sell only 40 truckloads of sticks. 1 Truck contains 300 small bag (20-
25kg/ small bag) and 200-250 big bag (35-40kg/ big bag). One of the major reasons attributing to the
decline in trade volume was the Bamboo flowering (famine) in 2007 which drastically reduced production
and procurement of bamboo over the years. His profits are to the tune of 3-5% (in 2008 his turnover was
1.5 crores with a profit of 6 lakhs).
MART, Noida 92
Quality mechanism for procurement of sticks: He employs 2 quality indicators firstly even size of
sticks and secondly no black spots in sticks
Selling Dynamics: He sells to big traders located in Bangalore and Tamil Nadu. According to him the
transportation cost has been gradually increasing. It was Rs. 7.45/kg in 2008, which increased to Rs.
8.25/kg in year 2009. Currently the cost stands at Rs. 10 per kg. Similarly there has been an upward trend
in price offered by the traders. In the year 2008 the price was Rs.24 per kg which increased to Rs. 26 per
kg in the year 2009. In 2010 the price stands at Rs. 30 per kg.
Labour & Packaging charge: He also incurs cost towards labour charges for packing and unpacking,
loading and unloading, which is captured in the table below. Additionally he supplies sack (cost: Rs
15/sack) & Plastic bag (costs Rs. 5/bag) for ensuring proper packing.
Particulars Inward material from villages Outward material for Bangalore

Small bags (Rs Big bags (Rs per Small bags (Rs per Big bags (Rs per
per unit) unit) unit) unit)
Labour charge for 3 5 3 5
packing & unpacking
Labour charges for 2 3 2 3
loading & unloading
Major Challenges
- High transportation cost because of long travel involved from Aizawl to Bangalore.
- Inconsistent raw material (stick) supply
- Bamboo flowering
The Bamboo Development Agency of Mizoram in August 2010 struck a deal with India’s largest incense
sticks company for marketing the stated-produced square sticks. Executive Director of Bamboo
Development Agency and Director of State Industries Department Shurbir Singh and Chief Operating
Officer of N Ranga Rao & Sons, Mysore, M S Suresh, signed the memorandum of understanding at the
office of commissioner and secretary of industries.
According to the agreement, Mizoram will supply 50 tonnes of square sticks to N Ranga Rao & Sons on
monthly basis. The company will also give necessary training to stick-makers of the state. Samples of
square sticks produced in Mizoram were shown to the CEO and he was satisfied with the quality. The
Bamboo Development Agency, Mizoram had on February 3 this year signed similar MoU with ITC,
Chennai for marketing the Mizoram-produced round sticks. The BDA have set up production centres for
round sticks at Saiha, Lunglei and Haulawng. These units are now in operation. 'In addition to these units
there are various units of this kind supported by BDA through National Mission on Bamboo Application,
New Delhi.
MART, Noida 93
Agarbatti Value Chain
The production process of agarbatti essentially entails four stages: (1) production of bamboo sticks for the
central core of the agarbatti; (2) production and preparation of charcoal and jiggat powder; (3)
preparation of incense paste (masala) and its application onto the bamboo stick to produce the batti; and
(4) scenting, or application of perfume, to produce the agarbatti, followed by packaging. The value
addition between these stages is nearly exponential. The last stage is the most value-adding, and is done
in the company that owns the brand. The first three stages are outsourced, mostly to women.
In Mizoram both square and round stick making activities have great potential. Given the fact that the
square stick making is a lesser expensive proposition, and does not require high technical skills, it is
proposed to introduce and intensify its production, particularly when the nodal agency BDA has MoU for
supply of 50 tons of square sticks per month.
Proposed Intervention
Production of square sticks for incensed stick making
Economics of the intervention
Assumptions
1. Cost of slicing and stick making machine @ Rs. 5500 per machine
1. Production ability of 8-9 kgs per day
2. Cost of square sticks in Aizawl is Rs. 15 per kg
3. Economics calculated for square stick production
A. Fixed cost
Particulars Total Amount (Rs)

Slicing Machine 5500
Sickle and other equipments (lump sum) 2000
Total (A) 7500
B. Labour Cost
S.N. Particulars Quantity of Rate per Amount

man days man day (Rs.)
1 Collection of bamboo 60 132 7920
2 Slicing bamboo at nodes and making small 24 132 3168
sized bamboo planks
3 Selling the sticks 6 132 792
4 Total (B) 11880
5 Total (A+B) 19380
MART, Noida 94

7 GRAND TOTAL 21705.6
C. Income and profits
S.N. Particulars Amount (Rs.)

1 Sale of 225 kgs of production @ Rs. 15 per kg by working 25 days 40500
per month; over 12 months the production will be 2700 kgs
3 RoI 97
Economic Feasibility
An investment of Rs.19380 would be required for making sticks with a Return on Investment of 109%.

(Rs)
1 Estimated figures 40500 19380 21120
2 Expenses go up by 10% 40500 21318 19182
3 Expenses fall by 10% 40500 17442 23058
MART, Noida 95
Annex – 1: List of persons met
S. N. Name Designation Department / Village Contact No.

1. Dr. V. Lalremthanga Director RD 09436354394
2. Ms. Ramdinliani Dy. Director RD 09436141432
3. Shri. P. Bhattacharjee Director, CHA Agriculture 09436142509
4. Mr. Samuel Rosnaglura Director Horticulture 09436140587
5. Dr. (Ms.) E. Saipari Dy. Director Horticulture 0389-2326378
6. Ms. R Lalrodingi Director, BDA Industries 09436141324
7. Mr. Rosanga Colney Director Sericulture 09862584284
8. Mr. C Lalsangluaia BDO, Thingsulthiah RD 09436360880
9. Mr. Vanlalrooa EO, Thingsulthiah AH & Vety.
10. Mr. Lalthangonorial Inspector- Eco & Stat, RD
Thingsulthiah
11. Mr. Lawrence Addl. Programme RD 09862809417
Lalrammawia Officer, MGNREGS,
Thingsulthiah
12. Dr. Rokhawla Vety. Information AH & Vety.
Officer
13. Mr. J Rothanga SO
14. Mr. R Colney SMS ATMA

15. Mrs. Thapui (Dy. MAMCO (Mizoram Agri
Manager Marketing Corporation)
16. Mr. Lalsonglura Sailo SMS (Oil palm) Agriculture
17. Mr. H Saithantluanga DDP Agriculture 09436152614
18. Dr. Daniel Chianghnuna Dy. Director AH & Vety 09436153009
19. Mr. Lalzarliana Hrahsel APM, BDA Industries 0389-2300060
20. Ms. R Laltanzini APD DRDA, Aizawl 9862588280
21 Ms. Helen Zomuanthangi APO (M) DRDA 09436144914
22. Mr. Vanlalnuntluanga HDO Horticulture 09436148059
Renthlei
23. Ms. Lalsangpuii Hmar BDO, Phullen RD 09862739124
24. Mr. Lalngilneia Sr. Manager Mizoram Rural Bank 08974001399
25. Mr. R. Jyrwa AGM NABARD 09612166230
26. Mr. Lalchuana BDO RD 09436143319
27. Mr. Lawrence APO RD 09862809417
Lalrammuzwia
28. Mr. John Tanpuia BDO RD 09436351642
29. Dr. P M Ghole General Manager NABARD 09436140846
30. T Liankunga HDO Horticulture 09436151320
31. Lalremthanga Dy. Manager (M) MAMCO 09436141485
32. Douglas Lalmawikima Coordinator The Salvation Army 0961219502
33. R C Lalhmunzauva Butcher, Lunglei Lunglei 08014689120
market
34. Vanlalhruaia Chairman Lunglei Butchers’ (pig) 09436370601
cooperative Society Ltd.
35. Chhhawnkima President, Village Village Mulathuam (N) 09612063952
Council
36. Biakhmingthanga President, Village Village Vannhe
Council
MART, Noida 96

37. F Ramhlunthanga Vice President, Village Village Vannhe
Council
38. Dr. Hlupuii Manager, Pig Farm, AH & Vety.
Thengzawl
39. Ms. Zorini Owner LR Feeds, Temple 09436143559,
Square, Aizawl 03892329687
40. Mr. Lalzarliana Asst. Project Manager BDA 09862566723,
03892314950
41. Mr. HDO Horticulture 09436142184
42 Dr. Daniel AH & Vety
43 Mr. Sangzuala Dy. Manager MIFCO 2322180, 2326255,
09436140901,
44 Mr. Lalremliana MD PIGFED 0389-2319445, 2319448,
0936146097
45 Ms. Lalsangpui BDO, Phullen RD 09862739124
46 Mr. Lalsangluaia BDO, Thingsulthliah RD 094360880
47 Mr. John BDO, Lungsen RD 09436351642
48 Ms. BDO, Lunglei RD 09436143319
49 Mr. Biakmawia President Reiek Multi Farming 09862359178
Society
50 Mr. B.Z Owner PNB Machinery 09436197191
51 Mr. Chhuamawia Entrepreneur, Round Hawlong, Lunglei 09436789496
Sticks and Collector
Square sticks
52 Mr. Lalthazuala Entrepreneur, Round Sethlum 09436147189
Sticks Lunglei
53 Mr. Laltanmawia APO, NREGA RD 09862806538
54 F. Vanlalsanga Petty Trader. Phullen RD 09856581724,
03892570211
55 Mr. Lalrimzama President, Village Phullen 09612323023
Council
56 Mrs. Thapui Dy. Manager MAMCO 0389-2347325
57 Dr. Zartea Manager, Feed AH & Vety 09436197972
Making Plant
58 Mr. Chalkaia Turmeric Processor, Aizawl 0389-2325617,
Upper Republic 09612121743
59 Mr. Nazrul Merchant Agent Aizawl 09862324790,
(Ginger, Turmeric) 09862771415,
09436385819
60 Mr. Zion Lalrenruata General Secretary All Mizoram Farmers 09862566106,
Union 09436778580,
03892318189
61 Mr. Chama Dy. Manager MIFCO 03892326020,
09436156349
62 Mr. Zohmingsanga President, Village Thanglailung 09615560259
Council
63 Mr. C. Dengmaura Vice President, Village Thanglailung 09615716932
Council
64 Mr. Mani Trader and Seling 08014443847
Commission Agent
65 A. Lalrinawma Orange Orchard Thanglailung 09615289653
MART, Noida 97

Owner
66 P C Zakhuma Pig and Poultry rearer Thanglailung 09615957395
67 Mr. Lalura Owner, L.Z. Bamboo Aizawl 9862565078
Industries
68 Mr. John Owner, Private Pig Aizawl 9862356610
Farm
69 Mr. H. Ruakhhawna Chairman, Lunglei Lunglei 9436774745
Butcher (Pig) Coop
Ltd.
70 M. Lalthazuala Entrepreneur, Round Haulawng 9436147189
stick unit
71 Ms. C. Lalramchhunanga Egg Trader, Bara Aizawl 9612010688
Bazar
72 Mr. Biren Lal Dey Egg Trader Lunglei 9436762549
73 Ms. Ruati Poultry meat trader, Aizawl 9856735923
Chandmari
MART, Noida 98
Annex – 2: List of Secondary sources / References

1. Comprehensive action plan for bamboo flowering and famine combat schemes (BAFFACOS: 2004-
2005 to 2008-2009), Planning & Programme Implementation Department Government of Mizoram
2. Annual report 2008-09, Ministry of Development of North Eastern Region
3. The Bamboo Policy of Mizoram 2002
4. Economic Survey 2008-09, Planning & Programme Implementation Department Government of
Mizoram
5. Final comprehensive project proposals under NLUP for sustained livelihood development for urban
and rural poor of Mizoram
6. New Industrial Policy of Mizoram, 2002
7. Poverty Eradication / Alleviation in North East India: An Approach, The North Eastern Council,
Shillong
8. Statistical Handbook 2008
9. Statistical Abstract 2008-09, Department of Agriculture (Crop Husbandry), Mizoram
10. State Perspective and Strategic Plan (SPSP), Mizoram, Mizoram Watershed Development Agency,
Department of Rural Development, Government of Mizoram
11. State Focus Paper, 2010-11, Mizoram, National Bank for Agriculture and Rural Development,
Mizoram Regional Office, Aizawl
12. Potential Linked Credit Plan (Aizawl, Kolasib, Mamit & Champai Districts), Mizoram, 2010-11,
National Bank for Agriculture and Rural Development, Mizoram Regional Office, Aizawl
13. Annual Report of Animal Husbandry& Veterinary Department 2002-03, Directorate of Animal
Husbandry& Veterinary, Government of Mizoram
14. Report on Integrated Sample Survey for Estimation of Annual Production of Milk, Eggs and Meat for
the year 2004-05, Directorate of Animal Husbandry& Veterinary, Government of Mizoram
15. Activities and Achievements during 2001-2008, Mizoram Small Farmers Agri-Business Consortium,
Aizawl, Mizoram
16. Brief Record on Mizoram Mautam 2007-08, Department of Agriculture (Crop Husbandry), Mizoram
17. Indian Poultry Industry Year Book
18. http://investinmizoram.nic.in/foi/ahs.htm
19. http://www.thepigsite.com/articles/2/ai-genetics-reproduction/1857/world-pig-production-
opportunity-or-threat
20. Developments in Global Pig Production by Leo den Hartog, Nutreco R&D, PO Box 220, 5830 AE
Boxmeer, The Netherlands; Department of Animal Sciences, Wageningen University, Wageningen,
The Netherlands Email: Leo.den.Hartog@nutreco.com
21. http://www.inbar.int/Board.asp?BoardID=225
MART, Noida 99
Annex – 3: List of wild life trade prohibited under

the Wild Life (Protection) Act, 1972
Section: 39, 44, 48A, 49A, 49B
1. Butterfly (Phengphelep)
2. Live Birds (Sava)
3. Orchid (Nauban)
4. Specimen and dried root of plants
5. Wild animal trophy
6. Bear Bile (Savawm Mit)
7. Live Animal (Ramsa)
8. Pangolin scale (Saphu Kawr)
9. Tiger/Animal bone (Sakei/ ramsa ruh)
10. Tortoise and its shell (Satel leh a kawr)
11. Turtle and its shell (Sumsi leh a kawr)
12. Tiger / Animal Skin
13. Dried Meat
14. Dried Frog Meat (Uchang rep)
15. Specimen and dried leaf
16. Insect specimen
Source: Information circulated by Wild Life Wing, E&F Dept, Mizoram
MART, Noida 100

Annex – 4: Stakeholders’ Consultation Workshop

Background
The North East Rural Livelihoods Project (NERLP) is a World Bank funded poverty alleviation initiative
by the Ministry of Development of North Eastern Region (MDoNER) which is planned in the 4 North
Eastern states of Sikkim, Mizoram, Nagaland and Tripura. The project envisaged conducting Livelihood
Based Agri Business and Market study in each of its project states.
MART a leading Livelihoods and Marketing Consultancy was commissioned to conduct the aforesaid
studies through a contract signed between MDoNER and MART on the 4th of August 2010. MART
submitted draft report of Mizoram state to NERLP and World Bank by email to receive their feedback on
the report. This report is the documentation of the feedback received on the draft report submitted by
MART to NERLP. The feedback to be incorporated by MART in the final report is mentioned separately
under section 3, later in this report.
Three kinds of consultations took place that gave feedback on the draft report are;
Written feedback from NERLP (23rd December 2010) and discussions with PD, NERLP in Delhi.
Feedback from World Bank via forwarded email from NERLP on 26th January 2011
Stakeholders consultation workshop in Mizoram on 11 th February 2011
Stakeholders’ Consultation Workshop
Objective : To share findings and recommendations of draft report

Date : 11th February 2011
Venue : Office of Director, Rural Development, Aizawl, Mizoram
Time : 2:00 pm to 4.00 pm
MART has been conducting “Livelihoods based agribusiness and market study” in all four states under the
purview of NERLP. In order to finalize the draft report of the aforesaid study in Mizoram, a multi
stakeholder workshop was organized at Office of Director, Rural Development, Aizawl, Mizoram from 2
pm – 4pm on 11th February 2011.
The Consultant Workshop started by Mr. Lalremthanga welcoming the stakeholder-participants for
making it convenient to attend the workshop. He shared the forum about the North East Rural Livelihood
Project (NERLP) and the progress made in the state of Mizoram. He also shared about the number of
studies which the project is conducting by involving external Consultants. He then set the agenda of the
Workshop and introduced Mr Ajit Narzary, PM (F&A). RPMU, NERLP and Mr. Ashwini Chandak, Senior
Consultant, MART, as the speakers of the workshop. He informed the forum that while Mr. Narzary will
share the status of the project, Mr. Chandak will share the findings of the Livelihood Based Agri Business
and Market Study conducted in the state of Mizoram, which has been shared in the form of Draft Report.
All the stakeholder-participants then briefly introduced themselves wherein the 20 participants
constituted officers from the Block Development Offices, line departments including Agriculture, Animal
MART, Noida 101

Husbandry and Veterinary, Horticulture, Sericulture, Environment and Forests, Fisheries and officers
from apex nodal bodies including DRDA, NABARD and Mizoram Bank.
Mr. Narzary informed the forum about the status of the State Project Implementation Plan (PIP),
structure of the NERLP in the status and modus operandi of the project in term of the major focus areas
and community level. He shared that the State PIP has been finalized and intimated the forum on the
structure of the state operations including the State level unit having State Project Manager, District level
unit having District Project Manager and the Project Facilitation teams (PFT) at the block level. He also
informed the forum that the post of State Project Manager has been advertised to which a number of
applications has been received by the RPMU, NERLP, Guwahati and a decision is imminent. He shared
NERLP’s focus on social mobilization aspects and the community level target groups including Self Help
Groups (SHGs), Federation of SHGs, Producer Company around SHGs.
Mr. Ashwini then started with the presentation on the findings and recommendations of the study carried
out by MART in the state of Mizoram. He shared the objective of the stakeholder workshop which was to
 Share findings on livelihoods status
 Facilitate discussion on
• Proposed implementation
• Envisaged roles and responsibilities of project partners
It was shared that the objectives of the study were to assess economic opportunities in farm, off-farm and
non-farm sectors. The specific objectives were
 Understanding existing infrastructure, resources , support services, major occupations,
production systems, technology, policy environment and potential for growth
 Conduct market assessment and value chain analysis for potential livelihood activities
 Suggest viable income enhancement strategies for potential farm, off-farm and non-farm sectors
 Suggest business plans for appropriate livelihood interventions for potential activities
Under the context setting, the 8 step study methodology and process, which was shared in the first
Stakeholder workshop was then recapped for the forum. Subsequently, MART’s 3M (Micro Finance,
Micro Markets, and Micro Planning) concept which was the basis of the study approach was explained to
the forum. Coverage of 10 villages, 5 each in the 2 project districts of namely Aizawl, Lunglei along with
other stakeholders was also shared with the forum.
The forum was then taken through the Demographic and Population profile of the villages. The following
section shared the sector wise livelihoods profile across agriculture, NTFP and Animal Husbandry. Major
livelihoods across various sectors, seasonality of availability, marketing channels of marketed surplus at
the community level were then shared with the forum. It was quite clear that the village and haat level
marketing mechanism. Moreover, information on various marketing platforms available in the vicinity of
the villages was shared with the forum. Information on Infrastructure, Skill and Financial Institutions at
the village level, giving a feel of the constraints the region faces, was shared with the forum.
Based on the potential ascertained and the 1st Stakeholders’ Workshop five potential activities were
identified which were then analyzed through a Value Chain Approach. Henceforth, the value chain
analysis of 5 major activities viz. Turmeric, Mandarin orange, pig rearing, poultry rearing and stick
making (batti making) wherein 3 aspects (1) movement of the respective produce/products from the
producers to the market players, (2) gaps and constraints in the activity and (3) recommended
interventions were shared with the forum.
MART, Noida 102

Finally a summary of the activities sharing the (a) Suggested Intervention, (2) Unit of the activity, (3)
Fund requirement, (4) Return on Investment, (5) Convergence potential with prospective agencies,
institutions and experts was shared with the forum.
Consolidated Feedback
The following is a list of relevant feedback on the draft report received from various sources and their
corresponding responses by MART. These feedbacks will be incorporated in the final report.
3.1 Feedback received from NERLP
Chapter 1
Observations Response
In the step 4 the example of five products should be Taken note of, will be addressed suitably in the
relevant to a particular state context of Mizoram
Chapter 4
The process of short listing of products has to be Taken note of, elaborate justifications will be
elaborated and justified. included under value chain analysis section
All the products should cover the national and Taken note of, available data from secondary
international market status and overall scope of the sources will be included under each product value
products. chain.
The study must also highlight the changing demand

and supply scenario as well as projection of the
future trend to ensure that the farmers are able to
trace and face the challenges of negotiation with
market players and ultimately get full benefits.
The gaps and constrains including the solution Noted, however, more clarity is sought on the
matrix found are somewhat sketchy. These should nature of details asked for since the ‘proposed
be more focused interventions’ responds to the gaps identified
The economic feasibility of the selected products Taken note of, will be mentioned
has not been mentioned
In case of identification of the major players of Taken note of, role of major players in the context
products, the role of some players are not of the activity have been reflected in the write ups,
mentioned e.g. wholesaler, retailer, transporter etc. however role of specific players sought applies to
turmeric and mandarin orange and will be included
The economics of all the sub sectors should be more Detail economics has already been given for
broad, covering all aspects, including marketing shortlisted five products that include cost for raw
materials, transportation, and fixed cost, and
marketing etc. More clarity is sought on the nature
MART, Noida 103

of details asked for.
The possibility of partnership with identified Taken note of for integrating under each product
players of the sub sectors are not explored value chain
adequately.
The study has not identified the critical Taken note of, each of the write ups under the
intervention points in the value chain of the proposed intervention sections brings out the
products. In view of thereof, it has not covered critical intervention points, wherein the investment
investment planning for those critical points. sought for the intervention has been projected.
The study should provide guidance for setting up Taken note of for integrating under each product
small, viable and sustainable processing units. value chain
3.2 Feedback received from World Bank feedback
The UNIT costs/investment required for each The details will be given in tabular form in the
livelihood activity studied by them is put in a executive summary
tabular form starting from the household/SHG/
and cluster level, so that we are clear what is the
allocations for investments to be made from the
various funds within the project
Also, for each activity in each state they (MART) Potential partners will be mentioned in tabular
should clearly identify one agency who can be the form in the executive summary
overall resource/ sector support agency which can
be contracted in.
3.3 Relevant feedback received from State level consultation workshop
 DD (Horti) pointed out the changed prices of the produce and products and requested it to be
updated in the report
 DD (Agri)
o Pointed out that seasonality of the paddy as depicted in the table needs a revision since in
Jan, Feb, March production of paddy does not take place
o Observed that ginger as product was not listed in the study to which MART representative
responded that the study village did not have ginger as a major product. Moreover, he
recapped the discussion in the 1st Stakeholder workshop wherein ginger ability to erode soil
and the fact that MAMCO as an institution deals with marketing of it led to considering other
produce for value chain analysis.
o Wanted MART to suggest marketing strategies which will then help villagers to increase their
incomes, to which MART representative responded that the report has detailed the marketing
mechanism which could be employed for ensuring the same. DD (Agri) wanted specific
understanding on Handholding, PPP, Buyback and contract farming as different marketing
 While commending the presentation, DGM (NABARD) enquired that what the role of bankers is in
the current project, to which Mr. Ajit from NERLP responded in detail.
MART, Noida 104

 DGM, NABARD was also keen to understand the structure of the project and its modus operandi to
which Mr Ajit responded in detail.
 Chairman MRB
o Observed that the study reflects a high % of villages engaged in incensed stick making. It was
clarified that it was actually batti making i.e. an activity which uses bamboo for making sticks
which is then made into incensed sticks.
o Commended the study and congratulated MART for its proper documentation. He shared
that the without proper village level infrastructure such activities cannot be promoted as
planned. Moreover, synergy with Government Department who has the focus on the potential
products identified by the study will be crucial to achieving the objectives.
MART, Noida 105

List of Participants in Stakeholder Consultation Workshop
S.N. Name Designation Department / Phone No.

Organization
1 Ms. Pinky Zosangpuii BDO Rural Development 9862329373
(RD)
2 Ms. Lalsangpuii Hmar SDO, Saitual / BDO, Phullen RD 9862739124
3 Mr. C. Lalsangluaia BDO Thingsultliah RD 9436360880
4 Mr. R Lalshalliana BDO Aibawk RD 9436150280
5 Mr. Joseph APO, Darlawn RD 9862380521
Lalmuanpuia
6 Ms. R Lalramengzami CEC CYMA 9436140767
7 Mr. Lalhmachhauna APM Industries 9436151717
8 Mr. Lalthangkhuna BDO Bunghmun RD 9436151872
Gangte
9 Mr. Lalzamlova Hmar FEO Fisheries 9436362397
10 Dr. J Rongura SO (P) AH & Vety 9436152232
11 Mr. Lalengmawia Sulo UDC RD 9469493780
12 Mr. R Lalnunzira DD (Agri) Agriculture 03892301384
13 Ms. R Laltaqnpuii APO (W) DRDA (A) DRDA 9436144069
14 Mr. Lalrozama ADS Sericulture 9436154415
15 Mr. Rosangura Ralte DD (Horti) Horticulture 9436141608
16 Mr. Lalhmachhuana SDO, Lunglei RD 9436143319
17 Mr. B Suanzalang Conservator Forests E&F 03892312071
18 Mr. F R Marak DGM NABARD 9856090471
19 Mr. Ajit Narzary PM (F&A), RPMU NERLP 9435701522
20 Dr. R Lalmlsawmi Vety Surgeon RD 9436153816
21 Mr. J. Jhatlinga Chairman MRB 9436198903
22 Mr. V Lalremthanga Director RD 9436354394
MART, Noida 106

Presentation by MART in Stakeholder Consultation Workshop
A-32, 1st Floor,

Sector 17, Noida - 201 301
Tel: 0120-2512140, Fax: 0120-4273995
www.martrural.com
MART, Noida 107

Objectives of Stakeholder Workshop
 Recap of study methodology and process adopted

 Share findings on livelihoods status
 Facilitate discussion on
• Proposed implementation
• Envisaged roles and responsibilities of project
partners
Background
 The Ministry for Development of North Eastern
Region (DONER), Government of India proposes
North East Rural Livelihood Project (NERLP) to
address the issues of rural poverty and creation of
sustainable livelihood for rural poor particularly for
women.
 Project states include Tripura, Nagaland, Sikkim and
Mizoram
 MART, a leading Livelihoods and Marketing
Consultancy signed agreement on the 4th of August
2010
MART, Noida 108

Objectives of the study

Assess economic opportunities in farm, off-farm and non-farm
sectors
 Understanding existing infrastructure, resources , support
services, major occupations, production systems,
technology, policy environment and potential for growth
 Conduct market assessment and value chain analysis for
potential livelihood activities
 Suggest viable income enhancement strategies for potential
farm, off-farm and non-farm sectors
 Suggest business plans for appropriate livelihood
interventions for potential activities
Approach of the study

Activities Key Steps Outputs
 Review of project literature and  Develop better understanding of the

reports Step 1 study and project states
 Study livelihoods initiatives/project Pre study  Draft study design and plan
such as DONER, NERCRMP in north preparation
east states.
 Secondary reports and website
 Draft study design and plan
 State wise meeting with state  Develop better understanding

nodal officer and stakeholders from Step 2 keeping project objectives in mind
line departments and resource Initiation  List out key stakeholders for meeting
agencies Meeting at during field visit
 To understand NERLP objectives state level  Feedback on constraints and
and process, and key stakeholders opportunities in the state
in the region  Finalize approach and methodology
 Generate list of livelihood activities  Finalize study villages based on
 Share study approach and availability of key products/services
methodology  Finalize field visit plan
 Share outline of draft report
MART, Noida 109

 State wise data information State wise initiation report. It contains:

collection, compilation and analysis Step 3  Existing livelihood profile and issues
of initiation meetings Initiation Report  SWOT analysis of the region
 Overall approach and methodology
 List of villages to be visited
 List of key stakeholders shortlisted
 Field visit plan
 Discussion guides
 10-12 potential list of products for
value chain analysis
 Interaction with key stakeholders  Shortlist 4-5 products/commodities/

from line departments such as Step 4 services per state for undertaking
agriculture, horticulture, animal Fieldwork -1 value chain analysis
husbandry, resource agencies, and (Interactions  List of stakeholders/VC players and
key market players with key products/commodities/ services
 Analysis of secondary reports and stakeholders) villages finalized for Field Work-2
market analysis  Finalized discussion guides for
Fieldwork-1
 Finalize study design  Fieldwork involves

 Finalize field visit plans Step 5  Livelihood survey in villages and
 Finalize field teams Fieldwork -2 market and meeting with enablers
 Undertake field visit (Interactions in  Value chain analysis of 4-5
 Finalize list of stakeholders to be villages and products/commodities/services and
met markets) meeting with value chain players
 Data compilation and analysis  Draft report as per objectives listed

 Prepare draft strategies Step 6 out earlier
Draft Report
 Share draft report though power  Agreed feedback of stakeholders on

point presentation to World Bank, Step 7 the draft report
DoNER staff and other stakeholders Stakeholders  Content for final report finalized
as suggested by the project consultation  Stakeholders consultation workshop
workshop to report
share Draft
Report
 Additional data analysis and  Final report as per study objectives

information collection from Step 8 defined earlier
secondary sources Final Report
 Feedback incorporated from
stakeholders consultation workshop
report
MART, Noida 110

3M Concept
Matching Supply & Demand

Supply Possibilities Demand Pattern Income Opportunity Project Support
Survey in Market survey Identification

Villages  Handholding
• Own Village of Viable services
 Resources –Shop Activities  Training
 Skills –Trader  Exposures
 Technology  Infrastructure
–Vendor
 Finance • Haat Bazar
 Infrastructure Sustainable
• Town Market
 Support Activities
Services
Key Stakeholders consulted
Key Informants Place
Villagers (Farmers, SHG Members, youth, 10 villages in Aizawl and

Village Council members etc.) Lunglei districts
Secretariat & Directorate Officials Aizawl
Govt. Line Dept. Officials and Support

Institutions (NABARD, BDA, MAMCO, Aizawl, Lunglei
MIFCO, PIGFED, DRDA)
NGOs Aizawl
Aizawl, Lunglei, Lungsen,
Processors, Traders, Transporters etc.
Thingsulthliah, Phullen
MART, Noida 111

Study villages
District Villages
Sesawng, Tlungvel, Thingsulthliah (Thingsulthliah

Aizawl block), Phullen, Thanglailung (Phullen block)
Lungsen, Rangte, Phairuangkai (Lungsen block),

Lunglei Mualthuam ‘N’, Haulawng (Lunglei block)
Livelihood Profile
MART, Noida 112

Demographic Profile
Average number of
Number of
S. N. Village Name District/Block members per
households
household
1 Thingsulthliah Aizawl, Thingsulthliah 801 5
2 Phullen Aizawl, Phullen 406 5.5
3 Thanglailung Aizawl, Phullen 151 7
4 Sesawng Aizawl Thingsulthliah 500 5
5 Lungsen Lunglei, Lungsen 511 4.3
6 Rangte Lunglei, Lungsen 142 5.1
7 Phairuangkai Lunglei, Lungsen 285 4.2
8 Mualthuam ‘N’ Lunglei, Lunglei 280 5.1
9 Haulawng Lunglei, Lunglei 506 4.5
10 Tlungvel Aizawl, Thingsulthliah 600 4
Population Profile
Population
Parame Mualth Things
Lungse Phairu Haulaw Thangl Sesawn Tlungv
ters Rangte uam ulthlia Phullen
n angkai ng ailung g el
‘N’ h
Total 2396 729 1200 2300 1400 4500 2300 870 2200 2714
Male 1121 401 666 1170 727 2322 1181 400 1178 1411
Female 1275 328 534 1130 673 2178 1119 470 1022 1303
MART, Noida 113

Land based Livelihoods

Crops Cultivation in % of villages % of households involved
Paddy 100 54%
Maize 100 54%
Soyabean 70 20 %
Bean 20 5%
Pea 100 25%
Arecanut 30 4%
Potato 10 1%
Mustard 100 54 %
Pumpkin 100 100%
Brinjal 100 100%
White Pumpkin 100 100%
Pineapple 90 5 %
Mango 100 40 %
Lemon 100 100%
Orange 100 60%
Turmeric 90 13%
Rubber plantation 20 4%
Sugarcane 100 4%
Chili 100 50 %
Seasonality
Major Crops Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb
Paddy P P P P P P P PM PM PM P P
Pulses P P P P P P PM PM PM PM P P
Arecanut PM P P P P P P PM PM PM PM PM
Potato P P P P PM PM PM P P P P P
Pineapple P P P P P PM PM PM PM P P P
Orange PM PM PM M M
Turmeric PM PM PM PM
Ginger PM PM PM PM
MART, Noida 114

Marketing channels
Crops Marketable Selling system (% of produce)
surplus quantity Govt. VT Haat IB
per village (%)
Paddy Nil - - - -
Pulses 2 - 10 90 -
Arecanut 99 - 90 10 -
Potato 95 - 20 80 -
Pineapple 95 - 70 30 -
Orange 95 - 50 50 -
Turmeric 98 - 100 - -
NTFP
NTFPs % of households Average number Storage facility in Value Addition
involved of harvest days village possibility
per year
Bamboo shoot 30-60 90 days No Yes
Honey 5-10 60 days No No
Fuel wood 10-40 360 days No No
Banana 10-40 360 days No Yes
Amla 10-40 90 days No Yes
Thingthupui 10-40 60-70 days No No
Dysoxylum gobarum
Baibing 10-40 50 days No Yes
Alokasia fornicate
Chingit 10-40 50days No No
Zamthoxylumrhetsa
Tumbu 10-40 360 days No Yes
Telhawng 5-30 50dyas No No
Arisaema specciosum
Chakawk 10-40 60 days No No
MART, Noida 115

Seasonality
NTFPs / Months Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Bamboo shoot (Mautuai)
Bil
Vuakdup
Theikawrak
Sunhlu (amla)
Balha (banana)
Lakhuih (pineapple)
Zawngtah
Pangkai
Pelh
Pa (mushroom)
Heliconia angustifolia (Tumbu)
Chakawk
Diplazium maximum
Arisaema specciosum (Telhawng)
Khanghu
Dysoxylum gobarum (Thingthupui)
Kawhtebel
Vawnva
Theipui
Fu
Baibing
Marketing Channels
NTFPs Average marketable Average selling price Selling system (% of
surplus per village in (Rs per unit ) produce)
a season (q) Govt. VT Haat IB
Bamboo shoot 45 1/piece 90 10
Honey NA 500/bottle(size of bottle) 95 5
750ml
Fuel wood 1500 1.5/piece 90 10
Banana 16800 2/piece 80 20
Amla 5 70/kg 95 5
Thingthupui 4.5 20/bundle 70 30
Dysoxylum gobarum
Baibing 6 0.50/piece 70 30
Alokasia fornicate
Chingit (English name) 4 20/bundle 70 30
Tumbu 6 5-10/piece 90 10
Telhawng 2 150/kg 90 10
Arisaema specciosum
Chakawk 12 10/bundle 90 10
Diplazium maximum
MART, Noida 116

Animal Husbandry and Livestock

Major Availability in % of % of households involved
Livestock villages
Fishery 20 Only 7 hhs
Piggery 100 80
Goatery 15 1
Poultry-Meat 100 50
Poultry-Egg 0.2 8
Cattle – Milk 30 0.08
• Marketable surplus is generally sold at the village and haat level
Marketing Channels
Product Marketable Selling price Selling system (% of
surplus (Rs per unit produce)
quantity per ) Govt. VT Haat IB
village (%)
Fish 60 120 / KG - - 100 -
Pork 98 160 / KG - 65 35 -
Poultry- Meat 60-80 150-170KG - 60 40 -
Cattle - Meat 40 150-180KG - - 100 -
MART, Noida 117

Non-farm and Services

Service based Availability in % of Place of work
livelihoods % of villages households (within village /
involved outside)
Army 90 6 Out side
Permanent Govt. job 100 14 Within village
Permanent Private job 70 2 Within village
Electrician 80 1.5 Within village
LIC agent 30 0.3 Outside
Driver 100 8 Within village
Plumber 70 1 Within village
School teacher (PVT) 100 9 Within village
Hotel jobs 40 0.5 & Outside and within village
Infrastructure
Infrastructure / Amenities Availability within the village (%) Distance travelled to avail (range in km)
Road 100 --
Electricity 100 --
School Building 100 --
Irrigation Nil --
Telephone 100 --
Bank 40 7-50 km
Post Office 90 7-20 km
Transport 100 --
Veterinary extension services 50 7-20 km
Skill training centre (type)* 10 0-50 km
Milk collection centre Nil 0-125 km
Nursery Nil 0-125 km
Drinking Water 100 --
Com. Building 100 --
Cold storage Nil 20-125 km
Agro. Co-operative 40 0-50km
Marketing co-operative 30 0-50km
Haat 90 0-7 km
Forest Godown Nil 0-125 km
Rice mill 100 --
MART, Noida 118

Skill Status
Skill Available in % of Average number of Use skill for Tradition skill/
villages persons possessing Business purpose acquired skill
skill (Yes/No)
Stitching 100 20/ village 8 yes Acquired
Embroidery 100 6/ village 2 yes Acquired
Food processing 100 5/ village 5.5 yes Acquired

Candle making 70 1 / village 1 yes Acquired
Handicraft 100 10 / village 7 yes Traditional
Incense stick 100 23 / village 23 yes Acquired

making
Weaving 100 10 / village 5 yes Traditional
Knitting 100 13 / village 3 yes Traditional

Electrician 80 7 / village 2 yes Acquired
Carpentry 100 16 / village 12 yes Acquired
Construction 100 7 / village 5 yes Acquired
Driver 100 36 / village 10 yes Acquired
Insurance agent 1 / village 1.2 yes Acquired
Credit Scenario
 Most of the financial need is met through relatives and
neighborhood. The amount borrowed ranges from Rs 1,000-Rs
10,000.
 The overall credit scenario is not encouraging and majority of
respondents had problems in access to financial institutions and
loan sanction. Apart from the long distance to access Bank,
policy and process of giving loan to the farmer is complex and
many times beyond the seekers ability. Without initial capital
fund, land and others resources will remain underutilized.
 In Thingsulthliah block in Aizawl district, most of financial need
is meet by the rural bank branches apart some private money
lenders.
 Farmers face lots of problem in taking loans. They complained
that they do not get cooperation from these banks. Banks are not
willing to sanction loan without guarantor and security.
MART, Noida 119

SHG Scenario
Number Average
Average
Number of SHGs per of loans taken Grant received per
savings per
village members per SHG SHG (Rs.)
SHG (Rs.)
per SHG (Rs.)
Thingsulthliah 10 58333 145000 100000 (3 SHG)
60000-100000 (7
Phullen 10 2500-200000 180000
SHG)
Thanglailung 10 3000-80000 230000 100000 (1 SHG)
Sesawng 10 24605 150000 100000 (2 SHG)
Lungsen 10 8274 - 100000 (1 SHG)
Rangte 10 12569 - 100000 (3 SHG)
Phairuangkai 10 9512 5000 (1 shg) 100000 (2 SHG)
Mualthuam N’ 10 7670 - 100000 (3 SHG)
Haulawng 10 7266 - 100000 (1) 10000 (1)
Tlungvel 10 31521 150000 100000 (6 SHG)
Village Level Markets

Types of Facilities Average number Type of products
per village
Permanent shops in the 17 Grocery
village
Temporary Shops in the 5 Tea stall, 2nd hand goods
village etc.
Vendors of the same village 8 -10 Vegetables & Clothes etc.
Vendors coming to 10-12 Clothes, electronics &
village/day utensils etc.
MART, Noida 120

Major Haats
Aizawl Lunglei Products traded

Thingsulthliah, Lungsen, Rangte, Vegetables, Orange,
Phullen, Thanglailung,
Phairuangka, Pineapple, Fish,
Sesawng, Tlungvel
Mualthuam ‘N’, Passion fruits, Limbu
Haulawng Squash, animal meat
Value Chain Analysis
MART, Noida 121

Turmeric: Movement of produce

Retailers of
powdered turmeric
in Aizawl
Bangladesh Town level processors

Rs. 8-9 / kg Trader
Rs. 6-7 / kg Tlabung Trader

Village level
processors
Rs. 3-5/kg Producer
Gaps and Constraints Interventions

 Lack of value addition at  Turmeric cultivation
farm level using improved practices
 Lack of direct marketing and Collective marketing
channel for better returns in both
 Lack of transportation
the districts
facility to access Lunglei
and Aizawl market
 Lack of group activity for
the aggregation or
economies of scale
production
MART, Noida 122

Movement of mandarin orange

Retailers (Haats)
Rs. 5-6 / piece
Trader / Commission agents Rs. 2-3 / piece;

(Silchar, Aizawl, Seling) Purchases tree from
orchard owners
Orchard Owner / Producer Rs 1-2 / piece

 Lack of scientific  Promoting cultivation of
knowledge among orange using best
farmers practices and
 Use of inferior planting introducing collective
materials marketing
 Scarcity of water during
dry period
 Long distance of
orchards from markets
MART, Noida 123

Pig rearing
Customer
170/kg
Butcher
160/kg 160/kg
160/kg
Town Trader Village Village Haat

Trader
Rs. Rs Rs.
150/kg 150/kg 150/kg
Pig Rearer

 Lack of best rearing  Pig rearing for both
practices piglet and pork sales in
 Financial crunch to start both the districts
activity
 Less experience of
managing it as an
enterprise
 Lack of quality piglet
MART, Noida 124

Poultry
 No planning related to breed,  Introduction of improved
scale, rearing modalities variety of birds
 Largely indigenous breed  Integrating veterinary and
reared insurance service
 Traditional mindset of non-  Proper rearing skill
commercialization  Credit support system for
 Poor Rearing practices meeting life cycle needs
 High mortality  Linking with higher level
 Lack of knowledge traders
 Need based selling hence lack
of commercial mind set
 Individual selling
 Lack of appropriate
infrastructure
Incense Stick Making

 High transportation cost  Production of square sticks
because of long travel for incense stick making
involved from Aizawl to
Bangalore
 Inconsistent raw material
(incense stick) supply
 Bamboo flowering
 Lack of Advanced skill
training
 Lack of coordination with
BDA
MART, Noida 125

Summary
Produce / Intervention Size of activity suggested Convergence Potential
Product Suggested Unit of Funds required RoI (%)
activity (Rs)
Turmeric Turmeric cultivation 1 ha 32400 119.5 • Town level Traders
using improved • Weekly markets
practices and Collective • Inputs suppliers
marketing for better • Progressive farmers
returns in both the • Financial institutions
districts • Horticulture department
• Marketing agency (MAMCO)
Mandarin Cultivation using better 1 acre 267020 -- • Big Traders
Orange practices and collective • Inputs suppliers
marketing for better • Progressive farmers
returns in both the • Financial institutions
districts • Horticulture department
• MIFCO
Piggery Pig rearing for both 6 fatteners • Inputs suppliers including
(piglets, pork) piglet and pork sales in and 2 sows Government and private pig farms
both the districts • Financial institutions
• AH & Vety Department
• Marketing agency
Summary
Produce Intervention Size of activity suggested Convergence
/ Suggested Unit of Funds required RoI (%) Potential
Product activity (Rs)
Poultry Poultry (Meat)in 250 chicks 296363 8 • Inputs suppliers
(Broiler- in both the for broiler 317613 22 including
Meat and districts 250 chicks Government and
Layer- Poultry for layer private pig farms
Eggs) (Egg) in both the • Financial institutions
districts • AH & Vety.
Department
Incense Incense stick 27 quintals 19380 109 Entrepreneurs
Sticks making in both Bamboo Development
the districts Agency
Financial institutions
MART, Noida 126

Implementation
 Phase I – Preparedness at the community level
 Village / Cluster selection
 Social mobilization and institution building
 Preparation of business plan
 Capacity building
 Phase II – Establish Forward and Backward linkages
 Developing Market Access
 Facilitating proper production systems
 Phase III – Up-scaling
 Monitoring and evaluation
 Strengthening Institution
 Legal aspects
Thank You
MART, Noida 127

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Livelihood Based Agri Business and Market

Studies for North East Rural Livelihood

Final report, Mizoram

APMC Agriculture Produce Market Committee

Produce / Intervention Size of activity suggested Key Resource / Sector

Turmeric Turmeric cultivation using 1 ha 34380 Horticulture department and

Mandarin Cultivation using better 1 acre 267020 Horticulture department and

Chapter 1: Background and Methodology

1.2. Objectives of the study

1.3. Approach of the study

Activities Key Steps Outputs

 Reviewed of project literature and  Developed better understanding of the

 Finalized field visit plans  Completed livelihood survey in villages and

 Livelihood analysis  Draft report as per study objectives and

 Feedback incorporated from  Final report as per study objectives defined

1.3.1 Key Features of Methodology

1.4. Limitations of the study

Chapter 2: State Profile and Livelihood Issues

2.1 Mizoram at a glance

Mizoram is a mountainous region, which became the 23rd state of

Inter State Borders

Population (As per Census 2001)

Land Tenure System in Mizoram

Geography Cultivation Legal Position Transferability Pattern of land

Land Use Statistics of Mizoram

2.2 Aizawl District

Land use statistics of Aizawl district

2.3 Lunglei District

Geographical Area : 4536 sq km

Land Use Statistics of Lunglei district

2.4 Livelihood Issues

Mizoram is basically an agrarian economy being dependent on subsistence-oriented agriculture

Employment in the State (in’000)

Particulars 2002 2001

Development initiatives in the past have suffered from following constraints

Chapter 3: Livelihood Profile

3.1 Demographic Profile

1 Thingsulthliah Aizawl, Thingsulthliah 801 5

2 Phullen Aizawl, Phullen 406 5.5

3 Thanglailung Aizawl, Phullen 151 7

4 Sesawng Aizawl Thingsulthliah 500 5

5 Lungsen Lunglei, Lungsen 511 4.3

6 Rangte Lunglei, Lungsen 142 5.1

7 Phairuangkai Lunglei, Lungsen 285 4.2

8 Mualthuam ‘N’ Lunglei, Lunglei 280 5.1

9 Haulawng Lunglei, Lunglei 506 4.5

10 Tlungvel Aizawl, Thingsulthliah 600 4

3.2 Population Profile

3.3 Land Holding Pattern

PP 102 29 190 380 210 228 270 9 183 198

3.4 Land based livelihoods

a. Cultivation Status of crops

Crops Cultivation in % of villages % of households involved

Paddy 100 54%

Maize 100 54%

Pea 100 25%

Pumpkin 100 100%

Brinjal 100 100%

White Pumpkin 100 100%

Lemon 100 100%

Orange 100 60%

b. Area under cultivation, volume, yield and consumption levels