1. KORAPUT
COOKIES
BY ASHISH AGARWAL, SBI YOUTH FOR INDIA FELLOW 2020-21BATCH
To provide an alternate livelihood to tribal households by setting-
up a social enterprise for production and commercialization of
millet-based food products.
2. RATIONALE
Most households of the tribal communities in Semiliguda depend on
agriculture for their livelihood. This Fellow’s project is about engaging
tribal women in production of millet-based food products and
national-level market-linkage of the produces. This project will provide
alternate livelihood to households, while simultaneously promoting
production and consumption of healthy millet-products.
Local farmers currently sell their field produces in the local markets
(mandi) or to the government. Farmers have limited options to sell their
field produces and hence are unable to get a fair price in return. The
local farmers’ produces will be used as a raw-material for our
production in the long term, enabling them to get more options for
sales.
4. Research
Step 1
Identify millet food-product by
visiting local bakeries and e-
commerce websites. Research
about demand, packaging,
shelf-life, pricing and recepies.
Improve taste, nutrition,
appearance and shelf-lie and
reducedcost. Finalize packaging &
recipe for initial phase.
Step 2
Step 3
Identify tribal women to run the
enterprise and identify NGO staff to
run it post-fellowship.
Conduct training
sessions, create first
batch, obtain
feedback & improve.
Repeat this step till
satisfactorty results.
Step 6
Step 9
Step 7
Lab-testing for
shelf-life, nutri-
value etc.
More promotion, sales-
executives, own website, food
festivals, kiosk, more
production, more employees,
more training,
Start Small Go Limitless…
BRIEF PROJECT-PLAN
Step 4 Constitution of
entreprise for
Registration and licencing.
Step 5 FSSAI and other
statutory
requirements.
Contract with local
bakeries. Listing on
e-com websites.
Step 8
Step 10
High-quality range with better
packaging for corporate gifting
purpose. Explore possibilities for next
millet-product. FPO registration, Trade
Mark…
5. STRENGTH
Using high quality of organic millets
Health benefits of millets are well-
known
Availability of raw material at best
prices
Relatable government schemes –
Odisha Millet Mission
Limited investment required to start,
yet scalable to very large extent.
‘Koraput’ brand attracts attention
of CSR – makes it attractive for
corporate gifting.
WEAKNESS
Lack of experience in production of
value-added food products
Challenging to encourage tribal
woman to assume ownership of the
brand.
Lower shelf-life in initial phase – to
be improved with more research
and investment.
OPPORTUNITY
Demand of nutritious food-
products in market.
Odisha government is focused on
increasing consumption and
cultivation of millets.
International year of millets.
Convenience of selling online for
social enterprises
Higher chances of support from
various CSR organizations
THREATS
Solid compliance with statutory
guidelines required for food-
manufacturing business to avoid
legal challenges from competitors
Competition by larger brands.
Deterioration of standard and
similarity in quality of all batches of
cookies.
SWOT ANALYSIS
KORAPUT COOKIES
6. ORGANIZATIONAL - STRUCTURE
Facilitator
• Setting up the
business
• Registration
• Initial
recruitment
• Marketing and
promotion
• Management
• Super vision
• Research
• Purchase of RM
Overall assistance Accounting Quality Control Production Sales of production
and sourcing of
raw material
President
• Maintenance
of books of
accounts.
• Hiring and
management
of employees
• Super vising.
Vice-President
• Ensure the
standardized
quality
• Distribute similar
quality of raw
material
• Monitoring RM
given and
quality/quantity
cookies provided
by members
Members
• Receive raw
material and
produce
cookies as per
prescribed
recipes
• Promote our
product locally
Support Staff
• Connect with
more bakeries
in nearby
towns/districts
for sales.
• Packaging of
production
FACILITATORS PRESIDENT VICE-
PRESIDENT
MEMBERS SALES AND
SUPPORT STAFF
Key Roles (Flexible at Phase-I)
7. OPERATIONAL - CYCLE
KORAPUT
COOKIES
Purchase Raw
Material,
packaging by
facilitators
Sharing of RM
to VP
Standardized
distribution of RM as
per recipe
Production by
members at
production hall
Quality testing
Packaging by
members / support
staff
Approach local
bakeries for sales
Approach bakeries
and sellers in nearby
town/districts
Promotion/
Marketing
Sales on online
portals
Maintenance of
books of accounts
Distribution of
salaries
Investment of surplus
8. Risk Analysis
Constant availability of similar quality of raw material
Maintenance of standard of the product – similar taste and size.
Competitors producing at larger scale can offer better price.
Response from market – sales expectation
9. MARKETING STRATEGY
Promotion via food-bloggers and related websites.
Promotion via Social Media – Online Advertisements. And other
forms of Digital Marketing.
Printed promotional Material to be made and displayed/distributed.
Media advertisements.
Promotion at Food festivals, Exhibition melas etc.
Millet Kiosk, small outlets.
Promotion on e-commerce website.
Promotion using government/private platforms which promotes
products manufacture in rural/tribal parts of the country.
Large base of target-consumers – all age and genders who are not
allergic to millet, wheat or jaggery.
10. SALES STRATEGY
Sales via tie-up with retailers including local and nearby bakery-
shops, grocery stores etc.
Sales at outlets of ORMAS - Odisha Rural Development and
Marketing Society (Subject to approval).
Sales on popular e-commerce portals using their specialized
platforms like ‘Flipkart Samarth’ and ‘Amazon Karigar’ etc.
Direct sales and contracts with retailers via our own website.
Sales as a corporate-gifting package by tie-up with existing CSR
partners and exploring possibilities of tie-up with new partners.
11. VALUES AND PRINCIPALS
Sense of ownership in community members who run the enterprise.
The sisters would run the enterprise as if they belonged to the same
family.
We keep our books of accounts transparent within the group and
monitor all the expenditures, outflows and inflows carefully.
The places of production are like places of worship.
We avoid accepting charity or grants from private firms or
individuals and run as a self-sustainable enterprise.
We never compromise with quality and standards of the products.
Inspired by Sri Mahila Grih Udyog Lizzat Papad
12. Impact and Learning
Assured salary to two women of SHG who are engaged in production
and procurement of raw material.
Better than expected customer response for online sales. Sales at retail
store are to be improved.
Sold and dispatched over 100 packets of cookies to over 10 states within
45 days of launching.
Appreciation from the government executives and local organizations for
value addition of locally produced millet.
Learning about team building and team management, setting up of
enterprise and best utilization of limited resources.
13. SUSTAINABILITY AND SCALABILITY
Training is being provided to an intern and other NGO staff to maintain
standardized production after the end of fellowship period.
A separate email id is created for communication related to business
of Koraput Cookies e.g. ordering of packaging material.
Identified NGO staff are kept in loop (CC) to keep them informed and
updated about the business progress and our vendors.
A separate account has been created for registration of website,
social media, for a smoother handing-over process.
Looking forward to the additional funding support from the
government to scale-faster and buy larger machines for increased
production and livelihood opportunities.
If no additional funding support is received, the enterprise model is
sustainable enough to scale from its surplus.
14. MY CURRENT CHALLENGES…
Shelf-life of the cookies appears to be limited to less than one month
without any preservative.
Appearance and taste – there is room for improvement.
Organizational structure related issues – unable to provide
employment to all the women of the group. What are the solutions
to the conflict! Can the enterprise be registered as a firm?
Standardization of all batches of the cookies prepared – will come
with practice.
Improved and attractive packaging is expensive – PVC Tray,
Cardboard-box, multi-colored cover etc.
15. Cost Structure Revenue Streams
Key Partners Key Activities
Key Resources
Value Proposition Customer Relationship
Channels
Customer Segments
Dhan Foundation
(Deomali
Kalanjiam Maha
Sangh)
Tribal Millet
Farmers
Bakery and shop
owners in nearby
cities
Production and
sales of organic
millet-food
products (cookies)
- Organic Millet
Flour/ RM
- Tribal Members
- Production Hall
- Seed Funding
-Organic and
highly nutritious
products
- Attractive
Packaging
- Suitable for
Corporate
Gifting
- Nationwide
availability
- All age group,
gender and
locations.
Targeting nation
wide customers
via e-commerce
60% sales via e-
commerce portals
including our
website
- E-commerce
- Corporates
- Local
baleries/shops
Rs. 50,000 fixed
cost for various
registrations, lab-
testing and
equipments
Rs. 1,86,000
variable cost for
production of 240
Kg cookies in one
year.
40% Sales via
corporate gifting
and local
bakeries/shops
BUSINESS MODEL CANVAS
Various pouches
of different
quantity at Rs.
2000 per Kg for e-
commerce sales