feasibility assessment for enterpreneurship development and implementation guide for koshish...

7/29/2019 Feasibility assessment for enterpreneurship development and Implementation guide for Koshish Program.pdf

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LIVELIHOODS OPPOR

GUIDE ON ENTERPRI

Ent

M

A study report on:

UNITY ASSESSMENT AND IMPLEM

E DEVELOPMENT FOR SHGs UNDE

NEPAL PROGRAM

Submitted by:

Krishna Prashad Tiwari

rprise Development Consultant (EDC)

Kathmandu, Nepal

Submitted to:

KOSHISH

ental health self help organization

Lagankhel, Lalitpir, Nepal

August 2013

1

NTATION

KOSISH-


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ACKNOWLEDGEMENT

Reaching to the poorest, either financial or socio-economic capacities, is one of the challenges on

the delivery of livelihoods promoting services. Guiding resource poor rural families and persons

with psycho-social disability on sustainable income generation through enterprise development isprobably the most challenging intervention in development sector. Mental disability has yet not

been defined clearly and also not categorized well by government of Nepal but at the same time,

Koshish, a self help organization of psycho-socially disabled rural people, is working for the

betterment of those. Following the graduation model for social empowerment of the primary

beneficiaries, Koshish collaborated for the prospectus cum feasibility and promotional study of

enterprises at self help group level a survey, key informants information collection, group

discussion before and after the study were undertaken.

In the course of this study, I have received support from different persons and institutions and am

thankful to all of them. Special thanks are due to the staff of Koshish for the facilitation on

organizing group meetings, conducting enterprise development discussion and information they

have provided related to the study. Amongst them, I am thankful to the chairperson of Koshish,

Mr. Matrika Devkota; Koshish staff Mr. Sulav Raj Upreti, Mr. Fanindra Prasad Neupane, and

Mr. Saroj Sapkota who provided invaluable information on the status of social behaviors and

capacity, relation with Koshish, access to resources at beneficiaries' level and probable linkage. I

am indebted to my nephew Krishna Sapkota for his co-operation throughout the period of data

entry and analysis. I am also thankful to target beneficiaries of the project for the information

they provided without which this study could not have produced in the present shape.

Finally, I would like to affirm that any errors and omissions in this report are entirely of mine

and once again I would like to extend my sincere thanks to all of them for direct or indirect

supports received during the study.

..

Krishna Prashad Tiwari

September, 2013

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ABSTRACT

This is an end line report of progress evaluation of enterprises supported and report of feasibility

study for the prospectus of new enterprises of the Livelihood Support Component to the self help

groups targeted by Koshish. The intervention areas are situated at Benighat (Malekhu) and

Mahadevsthan VDCs of Dhading and Katunje VDC and Bhaktapur Municipality in Bhaktapur

district of Nepal. After a discussion with Koshish for the finding promotional guide and to have

strategic activities towards sustainability of income generation and in result overall prosperity of

psycho-socially disabled persons that are being supported by Koshish in Dhading and Bhaktapur.

Key informants interview, group discussions, household survey and orientations on feasible

enterprises were performed during May to August, 2013 in covering participants from four SHGs at

Dhading and Bhaktapur district. Collected information from 17 household representatives in total

were entered in SPSS, analyzed and presented wherever necessary. An implementation guide has

also been included that guides implementation of livelihoods activities on the basis of results and

feasible enterprises to those four SHGs. Age and education of the household head and disabled

person, landholding size, irrigation facility, enterprise in practice, skills on their hand, enterprises of

family interests, financial status of present enterprises and satisfaction of family, access to micro-

credit, and market opportunities were considered as the parameters of the study. Information

recorded from key informants and group discussion were tried to match and cross verification the

results from survey as well as supports to the results were given. Promoting agriculture (offseason

vegetable cultivation) and livestock farming for Mahadevsthan, promotion of agriculture

cooperative at Malekhu, re-strengthening winter-sleeper making enterprise at Katunje, and

introducing handicrafts, cap and hat making, and weaving and tailoring at Bhaktapur area were

found feasible. It is recommended that livelihoods program implementing organization would

exercise for designing package of livelihoods support. Firstly, it is suggested to collect enterprise

selection to the individual HHs, re-categorize the members on the basis of type of enterprise, provide

basic entrepreneurship training and assure linkage with market agents and technical

officers/assistants. The entrepreneurship training will be followed by implementation program

planning and skill training packed with startup supports. Further, intensive community mobilization,

follow-ups and backstopping, managing field staffs at the field are also suggested.

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LIST OF TABLES

Table 1: Number of respondent households from the SHG areas of Koshish in 2013

Table 2: Business/Enterprise in practice and of interest of SHGs members in Dhading and

Bhaktapur districts in May, 2013

Table 3: Response of members on their monthly income which covers and do not cover the

monthly household expenses

LIST OF FIGURES

Figure 1: Number of literate and illiterate HH heads of the SHG members, May, 2013.

Figure 2: Number of literate and illiterate psycho-socially disabled persons/SHG members in

Dhading and Bhaktapur district, May, 2013.

Figure 3: Age of HH heads and disabled persons in SHGs at Bhaktapur and Dhading districts in

May, 2013.

Figure 4: Number of informants in SHG areas at Dhading and Bhaktapur district with access and

no-access to micro/financial services.

LIST OF APPENDICES

Appendix 1: A sample of questionnaire used for the survey

Appendix 2: Number of literate and illiterate SHG members and HH heads in Dhading and

Bhaktapur district, May, 2013

Appendix 3: number of HH heads and disabled persons at Dhading and Bhaktapur districts

within different age groups, in May 2013

Appendix 4: Responses of SHG members of Dhading and Bhaktapur district toward access to

micro-/financial services to the area in May, 2013

Appendix 5: Total land and cultivable land owned by SHG member households in Dhading and


Appendix 6: Business/Enterprise in practice HHs under SHGs in Dhading and Bhaktapur

districts in May, 2013

Appendix 7: Categorized Income per month of the respondents at Bhaktapur and Dhading SHG

in May, 2013

Appendix 8: Major questions followed on the group discussions

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TABLE OF CONTENTS

Topic Page

ACKNOWLEDGEMENT ii

ABSTRACT iii

LIST OF TABLES iv

LIST OF FIGURES iv

LIST OF APPENDICES iv

TABLE OF CONTENTS v

1. INTRODUCTION 1

2. OBJECTIVES OF THE STUDY 2

3. METHODOLOGY 2

4. RESULTS AND DISCUSSION 34.1 Literacy status 3

Household heads 4

Psycho-socially Disabled members 4

4.2 Age group 5

4.3 Access to Micro-credit 6

4.3 Landholding 7

4.4 Irrigation facility 8

4.5 Market opportunities 8

4.6 Enterprise in practice: 9

Reasons behind changing the enterprise in practice 10

4.7 Household income and expenses 11

5. WAY FORWARD PROMOTING FEASIBLE ENTERPRISES 12

6. FEASIBLE ENTERPRISES 12

Malekhu SHG 12

Mahadevsthan SHG 13

Katunje SHG 13

SHG at Bhaktapur municipality area 14

7. IMPLEMENTATION GUIDE 14

8. CONCLUSION 15

APPENDICES

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1. INTRODUCTION

Mental health is defined as a state of well-being in which every individual realizes his or her own

potential, can cope with the normal stresses of life, can work productively and fruitfully, and is

able to make a contribution to her or his community. It is not just the absence of mental disorder

however, World Health Organization defines mental health as a state of well being where theindividual can take an active part in society and cope with the normal stresses of life(WHO,

2010). But sometimes a persons mental health can be challenged beyond means. The result is

what we can call mental illness or distress. In these situations the mentally distressed person will

often need support to get on their feet, and be able to enjoy life an d relationships with friends,

family and community.

Despite the importance of mental health, this aspect of peoples health is a neglected aspect of

the Nepali Health Care System. Mentally distressed persons in Nepal often find themselves in a

highly vulnerable position. The lack of appropriate support for this group is a tragedy both for

the mentally distressed themselves, and their families. There is a need to find ways to meet these

persons respectfully within the national health care system and our local communities. The

encouragement of individual resources and skills, and improvements in the socio-economic

environment are among the strategies used. Mental health promotion requires multi-sectoral

actions. Even less priority has been given available for mental health promotion in case of Nepal.

Mental health is highly overlooked and neglected in Nepal. Despite the fact that mental health

problem is one of the most prevalent health and human rights conditions in the world, according

to the World Health Organization (WHO) Mental Health Gap Action Programme (MHGAP),

over 90 percent population who need mental health services have no access to treatment as well

as there are routine and rampant cases of worst human violations targeted towards people with

mental health problems. For mental health treatment, there is scarcity of resources such as

trained manpower, service centers with proper infrastructures. The services that are available are

centered in urban areas, which are costly and solely dependent on medication. In the context,

Koshish Nepal (an NGO) has been counseling for in-house care and care support to poor families

suffered from mental disability. Koshish is a pioneer mental health self-help organization

working with a rights-based perspective for persons with mental disability in Nepal. The

organization is lobbying to get public and policy attention for persons with mental disability and

has been involved in the rehabilitation of dozens of people affected by mental illness.

Realizing the situation of the system of care for mental illness in Nepal, Koshish Nepal has been

providing emergency relief, proper care of psycho-social disability and creating an environmentof socially empowered mentally disables. For the in-house care and love to the disabled

livelihoods support to the household becomes a part of empowerment. The same has been in

practice by Koshish since more than a year ago in Bhaktapur municipality and Dhading districts.

Supports to income generation by introducing and scaling up livelihoods opportunities through

skill enhancement and entrepreneurship development of the vulnerable community were

performed in different Self Help Groups (SHGs). Psycho-socially disabled person along with the


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household heads have been united into the SHGs. Assuming that counseling for transforming the

trends of treats and behaves to the psycho-socially disabled person within household needs

livelihoods supports that ultimately will, at least, be able to rescue disability and would cover

costs of care/treatment to a greater extent gradually. Startup supports and operational skills were

transferred to the SHGs for their income generation through micro-enterprises selected by the

SRGs themselves. The supports were on mushroom farming, candle making, bee keeping, and

sleeper/shoe making that were started after skill transfer training for a single time. Unfortunately,

the complexity of the situation around the SRGs community hindered further progress of the

enterprises and the income generation was not absorbed progressive.

As the expected income generation and the promotion of those ways of livelihoods were not felt

up-scaled, Koshish Nepal negotiated with an external consultant support to find further ways to

promote the existing enterprises and/or to have a clear guide on promotion of livelihoods of the

vulnerable target group. Finally, a meeting was set between livelihoods/enterprise development

consultant and Koshish Nepal in April, 2013 after a few telephone conversations and decided to

perform a "livelihoods opportunity assessment" that will help to have a clear guide for thestrategic actions for the implementation of livelihoods component by Koshish Nepal in the days

ahead.

2. OBJECTIVES OF THE STUDY

The study took the following objectives:

To assess the suitable opportunities for income generation of the SHGs

To find the ways to promote present enterprises in practice

To make a general guideline for implementing the livelihoods activities in future To find training needs and capacity building of the SHGs for the enterprise development

To have guiding points for Koshish Nepal, based on the lessons from present IGAs, on

implementing future projects with livelihoods

3. METHODOLOGY

The study collected information through group discussions, households' survey and social

mapping in May, 2013. Group discussion was performed in presence of ED consultant, staff

representative from Koshish-Nepal and the members of the SHGs. The survey was conducted in

2 districts of intervention area of Koshis Nepal that includes 4 SHGs where livelihoods support

has been in practice. The households' survey sampled 17 key informants that were randomly

chosen from each of the SHGs member list. As the objectives of the study were focused for the

livelihoods interventions in the 4 SHGs of the 2 districts, at least 2 member households of the

SHGs were taken into consideration. The data tracked from the questionnaire were entered into


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SPSS (software program) and analyzed was done. Microsoft Excel was also used to present some

of the data.

The four SHGs areas are namely in Malekhu and Mahadevsthan of Dhading and Bhaktapur

municipality and Katunje VDC of Bhaktapur district. Ten members were surveyed from

Malekhu area and 2-3 HHs were included in the study from other areas (Table 1). Aquestionnaire was developed including 10 major parts of questions. The questions were of both

open and closed ended. Sample of the questionnaire has been kept under Appendix 1. The major

part of questions followed on the group discussions is in Appendix 8.

Apart from the above information tracking, review of the online materials and manuals based on

the past works performed by various humanitarian international and governmental agencies was

performed however the review part has not been included into the report.

Table 1: Number of respondent households from the SHG areas of Koshish in 2013

SN Self Help Group/Area Number of HHs Valid Percent

1 Malekhu 10 58.8

2 Mahadevsthan 3 17.6

3 Katunje 2 11.8

4 Bhaktapur Municipality 2 11.8

Total 17 100.0

4. RESULTS AND DISCUSSION

4.1 Literacy status

The literacy status was categorized into 2 parts viz. literate and illiterate. The literate persons

include those who are able to keep financial activities records simply, calculate the basic

transactions (addition, subtraction) and can read and write. In our survey, literate persons includethose who have formal education up to SLC level from grade 2 or 3. Persons who are unable to

read and write have been categorized under illiterate. Literacy (basic) has been taken as an

important requirement for the successful enterprise development (starting and improving micro-

enterprise).


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Household heads

The literacy status of household

cent percent in case of Malekhu

Katunje area were literate and thBhaktapur municipality (BMC).

Figure 1: Number of literate and

It can be said from the figuresare illiterate and a mixture of li

literate in case of both of the

indicates that it will be very ea

contribution to the ease of entre

the mobilization intensity shoul

more simple tools and intensive

Psycho socially Disabled (mem

The literacy of the psycho socia

percent in case of both areas of

few of the members were found

and illiterate disabled persons/

0

1

2

3

4

5

6

7

8

9

10

Malekh

heads of the members (psycho-socially disabled

nd Mahadev-sthan area (Dhading district) and

HH heads in Katunje while all of them were il

illiterate HH heads of the SHG members, May,

bove that majority of the HH heads of SHGerate and illiterates are there in Katunje. But

SHG areas in Dhading (Mahadev-sthan and

sy to train the members and the education le

preneurship development. For the training tool

d differently be provided to the SHGs. Bhak

echnical backstopping in this regard.

bers of SHGs)

lly disabled persons or the member of the SH

Bhaktapur district and in Mahadev-sthan (Fig

literate (3 out of 7) in Malekhu area. The detail

embers of SHGs is shown in Appendix 1.

Mahadevsthan Katunje Bhaktapur Mu

Literacy rate of disabled members

Illiterate Literate

9

) were found

some of them in

literate in

2013.

embers in BMCost of those are

Malekhu). This

el has profound

s to be used and

apur area needs

was found cent

re 2) but only a

figure of literate

In long run for

nicipalit


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livelihoods intervention, high lit

entrepreneurship in comparative

psycho-social rehabilitation. In

the ways to improve income ge

the family is not full of resource

microfinance services, financial

Figure 2: Number of literate and

Dhading and Bhaktap

4.2 Age group

From the past rural developmen

that the age group of the targ

influence on the pace of livelih

on the success or failure keepin

and adults has been generally tcommunity but it does not me

influential role in transforming

few persons over 45 or 50 years

older/experienced are the guid

members.

1

3

5

7

9

11

13

15

17

Malekhu Mahad

racy rates of the disabled members will lead a

ly shorter period apart from the ease on counse

ase of literate household head and disabled

eration and upscaling of enterprises have been

s such as land. This is particularly successful a

iteracy and essential non-financial/technical ba

illiterate psycho-socially disabled persons/SH

r district, May, 2013

tal interventions at villages and towns, it has

et community heads and/or direct target me

ods promotion, rate of upscaling of income ge

g other factors remaining unchanged. People

ken as effective to mobilize for transformingn that mobilizing older persons or adolescen

stigmas of society. A mix group based on age

old and a few of around 20 or 25 might be g

s or local leaders and younger are the ex

vsthan Katunje Bhaktapur

Municipality

Illiterate Literate

10

ease to promote

ling for in-house

ember, many of

observed even if

fter linkage with

kstopping.

members in

een experienced

mbers has great

neration, or even

f economic age,

certain trends ats does not have

s that includes a

od if in case the

mples of active

Total


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Knowing the age group is necessary to find strategies of implementation by finding ways,

approaches to be adopted and tools to be used for community mobilization. It also guides

developmental organizations know the training methods, package of supports, and introduction

of technologies and possible interlinks for the concerned enterprise.

Psycho socially Disabled (members of SHGs): The number of disabled persons within the age

groups has been shown in figure 3 and Appendix 3. Surveyed data on number of disabled

persons reflects that 47 % of them were aged between 26 to 49 years followed by older persons

aged more than 49 years. It was also observed that disabled persons within the age group of 17 to

25 years and children only constitute 12 % of the total disabled surveyed.

Figure 3: Age of HH heads and disabled persons in SHGs at Bhaktapur and Dhading districts in

May, 2013

Household heads: Maximum numbers of HH heads were found in the range of 26 to 49 year age

(41% of the total respondents) followed by older persons aged 50 or more years (35%) and the

minimum were of the young aged between 17 to 25 years old (24%). The number of HH headswithin the age groups has been shown in figure 3 and Appendix 3.

4.3 Access to Micro-credit

Access to financial institutions, saving and credit cooperatives, micro-finance has been played

very important role in poverty reduction in Nepal, and has been observed very effective than in

6%

6%

47%

41%

Age of the disabled persons

Upto 16 years 17-25 years

26-49 years More than 49 years

24%

41%

35%

Age group of HH heads

17-25 years 26-49 years More than 49 years


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other countries. Especially the aces too financial cooperatives and micro-financial services

provide micro-loans to the marginal societies without collateral apart from financial literacy and

capacity building from some angles. And, accordingly, this factor has also been given priority

under this study.

Figure 4: Number of informants in SHG areas at Dhading and Bhaktapur district with access and

no-access to micro/financial services

Analyzing present study results, members of SHG at Katunje area said no access to micro-

financial and banking services while others said that they have access however, the access

mentioned here does not necessarily mean they are already joined members of

microfinance/finance institutions. The detail of the results on access to micro-/financial services

is in Appendix 4 and figure 4.

4.3 Landholding

Agriculture and livestock based farming is not only subsistence level in almost all parts of Nepal

it is also tradition for the livelihoods of the families. Due to the tradition of agriculture and

livestock farming those enterprises are also easily be handled b by the rural families even if they

are unskilled from many aspects. Government policy has not been formulated as rent farming

friendly. Since Nepal is passing over the challenging transformational period and most land

ownership and farming policies are assumed to be changed in near future especially after II

public movement in 2062/63 BS. Thus, taking land in lease for farming/enterprise has not been

easy for rural small scale farmers as the land owners do not want to take risks associated being

not able to cultivate in their own land themselves. In this context, a land resource owned by the

households becomes the prime factors to be considered for development of agro and livestock

based enterprises.

0 2 4 6 8 10

Malekhu

Mahadevsthan

Katunje

Bhaktapur Municipality

Number of informants

SHGa

reas

No access

Access


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Further, commodities marketed nearby and the trend of transaction of goods and services are

directly related with agriculture and livestock products. Considering the facts, semi-commercial

vegetable farming (seasonal and off-season, cultivating high value spice crops) and livestock

(goat for meat and dairy cow farming) seems suitable enterprises for the areas where landholding

size of a household is more than two ropani of (1000 m2).

In Malekhu SHG area, higher landholding size was observed where 2 out of 5 households own

lands of 1-5 ropani and 1 HH out of 5 HH own more than 5 ropani (2500 m 2) of land with a few

than that land size owned are cultivable. SHG member HHs follows the landholdings of HHs of

Malekhu SHG area where 2 out of 3 HHs had more than 5 ropani of land. The case in Katunje

and Bhaktapur municipality area showed some disparity to the above. Most of the member HHs

in both of the SHG areas in Bhaktapur district had less than 1 ropani of landholding with very

few of land size available as cultivable. The detail of number of member HHS with the size of

their landholdings is shown in Appendix 5.

In the aspect of size of landholdings of member HHs, tremendous opportunity for agriculture and

livestock based enterprise development especially, high value crop production, collection,

processing, and marketing opportunities prevails for and both of the SHG areas at Dhading. But

in Bhaktapur district, due to lack of production resources for such enterprises collection,

processing and marketing opportunities also have some sort of limitation.

4.4 Irrigation facility

Mahadevsthan was found superior for irrigation facility as the member HHs of the SHG has a

very good source of irrigation. A continuous running water canal to operate a local micro hydro

project is there from which irrigation has become very easy to the members of SHG atMahadevsthan.

Respondent's view on water resources available reflects that the area suffers for water resources.

Even they have to wait a long to get drinking water at common water taps. For irrigating their

lands, similar case they have to face but this is not true during rainy to autumn season. During

spring and summer, land gets drought for a long spell and people are reluctant to let it due to

scarcity of water resource even however the area is not far from the riverbank. Due to lack of

water harvesting technology water from the river is yet to be tapped.

Both of the SHG members at Bhaktapur lack land resources for agricultural activities where the

issue of irrigation did not come important. Accordingly, the facility of irrigation was not coveredunder discussion.

4.5 Market opportunities

All of the SHG areas had profound market access to sell the products of agriculture and livestock

based enterprises. Both SHGs at of Bhaktapur district and Malekhu SHG area of Dhading are


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situated very near to the market centers. Mahadevsthan of Dhading is situated more than 10

kilometers far from market center but the products can easily be sold to market center nearby

(Malekhu of Dhading). Jeep and tractors are the facilities available for transportation

between Mahadevstahn and Malekhu.

Malekhu is situated on the way to Kathmandu highway which is also known as a market centerfor fresh vegetable, meat, fish and milk as many of the hotels in Malekhu are the major sources

to consume the products locally. Malekhu is also a tourism area (internal tourism) and is the

food/snacks station for long root vehicles that run to and from Kathmandu valley. In this regard,

Malekhu SHG area possesses great advantage of market centre.

Bhaktapur district is one of the popular cities in Kathmandu valley and it surrounds highway to

eastern hilly region of Nepal. It also has many cross roads to popular cultural heritage areas,

historical places, and many other tourism areas. The district is only 10 kilometers farm from

Kathmandu (capital city of Nepal), densely populated and everywhere in Bhaktapur district

seems as town area. Agriculture, livestock (dairy and poultry), prepared costumes, mats and hats,

BHADGAULE TOPI (a popular locally made hat, and identity of Bhaktapur district) including

various handicrafts are the goods that have established markets in Bhaktapur. In this context,

SHGs at Bhaktapur might get benefits of the established marketing channels, infrastructures and

location through minimal efforts on enterprise development.

4.6 Enterprise in practice:

Table 2 and Appendix 6 describe the enterprise or profession in practice at present and that of

interest of the SHG areas in detail. HHs at Mahadevsthan had been involved in agricultural and

livestock based enterprises and they also keep their interests on some other income generationactivities such as tailoring and weaving (Hojiyary). They, further, did not want to leave the

profession based on agricultural and livestock farming.

Members/HH heads in Malekhu SHG area were found to be involved in various activities such

as mushroom production, candle making, retail shops, and hotel and so on as they find location

based advantage towards higher level of choice of enterprises. Some of them also keep interests

to start bee keeping, candle making, CHURA-POTE (ladies ornaments) making, and tailoring.

Members of Katunje SHG area were involved in shoe and sleeper making and they did not

showed interest to change the enterprise. They just want to promote the enterprise to their best.

Group discussion with the members of Katunje area found that lunching no other enterprise tothem was feasible. Besides the interest of the members, harnessing capacity of the disabled

persons that are involved in shoe/sleeper making was found suitable intervention strategy as they

have long been involved and seen a positive future of the business themselves however the

current situation of the enterprise was not observed as profit oriented. Some of the management

issues, introducing noble technology or change of a few production processes (raw materials and

product looks) to reduce cost of production and marketing linkage were found necessary to adopt


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as soon as possible. To change the looks and reduce cost of production, ways might be to focus

the members to use minimum number of ornamentation beads (beads of POTE), using a thin and

cheap sole material, adding arts to the design and some similar on.

Members of SHG at Bhaktapur municipality were found to be involved in statue making and

handicrafts, cap/hat making, weaving sweaters, and mushroom farming. Interests of them are notdifferent from the present enterprises however they have been involved in the shoe/sleeper

making enterprise in Katunje area. They wear not interested to jointly work for the enterprise

because they have to come to Katunje area for shoe/sleeper making which takes at least 40

minutes walk to come to working area. Since they have been united into a different self help

group, a question raised into discussion "Why to waste time for such a long walk which yet has

not been profit worthy? The issue seems genuine for the micro-enterprise management and group

mobilization perspective.

Table 2: Business/Enterprise in practice and of interest of SHGs members in Dhading and


Area/Groups Enterprises/profession in practice Interested Enterprises

Malekhu Hotel, shop and other business, candle

business, job, statue making,

agriculture, mushroom farming, candlemaking

Beekeeping, Tailoring, CHURA-

POTE, Weaving

Mahadevsthan Agriculture, job, Bee keeping, livestock

farming

Vegetable, goat farming and other

livestock (milk), Tailoring andHojiyari

Katunje Sleeper/shoe making, mushroomfarming, Job, Unskilled laborer

Bhaktapur

Municipality

Statue making and handicrafts, cap

making, Hojiyari, mushroom farming

Cap/hat making, Statue making and

handicrafts

Some of the members (including HH heads) in both of the districts except in Katunje expressed

their interest to change the enterprise in search of best suitable and more profitable business.

Reasons behind changing the enterprise in practice:

Member respondents' responses towards the reason behind changing the enterprise in practice orthe reasons of dissatisfaction were as follows:

Malekhu:

- Hard work, tedious job but not profitable

- Difficult to cut hey and shortage of water for mushroom farming

- Interested towards weaving who have skill in their hands


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- Skilled on artistic designs ornamenting SAARI (ladies ware) were interested to utilize the

skill with machine

- Less profit in Mushroom and candle business according to labor and investment

Mahadevsthan: Not getting benefits from present micro-enterprisesBhaktapur Municipality: Not Profitable

No matter what type of problem they had shared it strictly was seen to be adjoined with the

management of the enterprise and process of production/service. Entering into little more depth,

some technical aspects might have made the enterprise as a tedious job. Further, conducting of

the enterprise might also have been done without the assessment of the resources and capacity of

the HHs. Present study found the technical, and management problems along with market

opportunity, feasibility to the location and obviously the interest of the members/HHs of the

SHGs.

4.7 Household income and expenses

The information collected on household income and expenditure might not true as it just base on

a single talk for a short time with a single person of a family. But, this does not mean that general

economic and financial context at the HHs/SHGs under study could not be predicted. Table 3

gives the response of the members towards the general financial and/or economic situation of

those HHs in the aspect of financial balance and saving within family. Appendix 7 shows the

monthly income of the HHs.

Table 3: Response of members on their monthly income which covers and do not cover themonthly household expenses

SHG area Income excess to Expense

TotalYes No

Malekhu 3 7 10

Mahadevsthan 2 1 3

Katunje 0 2 2

BhaktapurMunicipality

2 0 2

Total 7 10 17

When it comes to financial balance with the family, members in Katunje and Malekhu SHGs

were not getting satisfactory income from the enterprises in the practice. "Satisfactory" reflects

that the income covers the general HHs expenses. Only 3 members out of 7 had found the

income that covers their HHs expenses (expenses for daily needs and for regular payables).


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Mahadevsthan and Bhaktapur were found having income that at least covers their general HH

expenses.

5. WAY FORWARD PROMOTING FEASIBLE ENTERPRISES

Analyzing the present context on the base of capacity of the members, resources available,

location advantages and market opportunities along with the interest of members, catching better

benefits than at present seems general quest of all members and of supporting organization.

According to the findings of this assessment, this quest is obvious to address adopting some

unique strategies of execution. The strategies may include intensive community mobilization,

frequent follow ups and creating marketing facilities and linkages with technical personnel. For

the first, at least one session or for a day of "Basic Entrepreneurship Training" seems necessary

to provide which will be followed by the skill training (related to particular/selected enterprise)

packed with essential startup supports thereafter. The enterprise selection will be better if it

differs from individual to individual. By this way, within a single SHG more than one enterprisewill supported to start and grow up. There might be same enterprise to be promoted to many

members in different SHGs. Regrouping of members based on type of enterprise must be

performed before finding training package design.

6. FEASIBLE ENTERPRISES FOR SHGs

Saying to the platform of assessed information, different enterprises are to be promoted within a

single SHG which will address the suitability harnessing location based opportunities, resource

available, member's interest and benefit of scale enterprise.

Malekhu SHG: Members were seen keenly interested towards cooperating farming of

mushroom and some other high value products. They also have registered a "Mushroom farming

cooperative" and have started to work under cooperative involving 44 members as

shareholders/promoters in May 2013. A group discussion with the members in Malekhu area

guides the following points.

- The cooperative farming should be promoted by guiding some basic cooperative

development tips.

- Transfer of knowledge on small scale production on available land, collection of the

products marketed by cooperative and marketing skills.

- Capacity building on maintaining accountability, record keeping, book keeping, and

share management (public share, promoters share, member share).

- Follow ups for technical backstopping and building linkages with shareholders

(government, non-government, and private agencies).


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- Addressing interests and skills of some of the members as they already have and want to

utilize for income generation (skills on sewing, ornamenting ladies wares i.e. Kadhai,

Chura and Pote).

Mahadevsthan SHG: The members have large landholding size than in other areas as most of

them were found owning landholding in the range of 1 to 5 ropani and some own more than 5ropani of cultivable of land with a good irrigation facility. Not only the resources available but

also the indigenous knowledge, interest of the members, market opportunities and tradition of

agriculture and livestock were observed clearly during group discussion. Thus, high value

agriculture crop (offseason vegetable) cultivation, goat farming (meat purpose), dairy cow

farming are recommendable. Because a few members were neither having sufficient resources

nor interested for agro-livestock farming, they must be scaled up towards tailoring, hojiyari

(weaving woolen wares) and a few will be there for marketing (employment creation).

Katunje SHG: Most of the members have been involved in sleeper/shoe making which was

supported by and have been backed up with non-financial support by Koshish Nepal. The

members were not found with land and other resources they own (ASK: attitude, skill and

knowledge) suitable for other enterprises than shoe/sleeper making. Current enterprise was seen

the best suitable to be promoted further however, members were dissatisfied with the income

from the enterprise even though they have become able to make sleepers/shoe and had already

sold one lot of production. Present context of production was not bad as the working area had

happily been provided by a local club which is not far from residence of the members; and a

production guide (skilled human resource on sleeper/shoe making) who was also available

always and has been providing best efforts from her side to make quality product.

All the processes up to the product design and finish were found gradually improving but lack of

marketing policy and linkages were found as the major constraints. Once a marketing agent had

collected all the products from the start but yet the amount has to be received. Further, the cost of

production was the issue to be addressed as soon as possible. A thick layer was seen which was

used between the sole and upper layer of winter-sleeper. Similarly, bright bead like material had

been in use for making looks of the sleeper attractive. Unfortunately, these materials had greatly

maximized the cost of production.

Such observations had reduced the energy of members to further production and ultimately led to

a very small scale of production due to sparse work by the members. The economy of scale also

became one factor to be considered because lack of efficiency of the enterprise has become one

more issue that had increased cost of production. To promote the enterprise is coming days,addressing the above bottlenecks is necessary. Since all of the members would not like to join

the same enterprise, a few persons having different skills such as cap/hat making, statue and

handicrafts may also be promoted.


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SHG at Bhaktapur municipality area:

Members were found to be involved in winter-sleeper making enterprise in coordination with

Ktunje SHG. Only a few members were found actively participated due to the long walking

distance as they had to come to Katinje VDC to be a part of the enterprise. Interest of the

members towards enterprise and skills on their hand were also found different. The interests andskills were on weaving (hojiyari), BHAKTAPURE TOPI (a locally popular cap) and hat making,

tailoring ladies costumes. Land resources were not found supportive for agro-livestock farming.

In this context, addressing the interests of the individual members would be suitable after

assessing the individual capacity further.

7. IMPLEMENTATION GUIDE

Some of the guiding points to implement livelihoods interventions by implementing organization

(Koshish Nepal) in have been summarized hereunder in the following steps:

I. Group assessment collecting enterprises of interest amongst the feasible enterprises

on individual basis.

II. Addressing the assessed enterprises in the Detail Implementation Plan (DIP) of

implementing organization for individual HHs.

III. Providing the "Basic Entrepreneurship Training-one day".

IV. Skill training for the entrepreneurs (SHG members or HH heads) such as offseason

vegetable and livestock (goat farming, dairy cow farming) for some of the members

at Mahadevsthan, cooperative development training for the members at Malekhu,

enterprise management and linkage for Katunje SHG, etc.

V. Startup supports on major input to start the enterprise for the first time.VI. Play a supportive role on creating easy marketing channel by coordination and

facilitations. Support for market infrastructure development.

VII. Building member's linkages and access to financial/micro-financial services such as

Nirdhan Uthhan bank Ltd. and Deprosc Nepal (micro-financial institutions) are

available in Dhading.

VIII. Building a relation for livelihoods personnel (might be contracting consultants such

as "Livelihoods Advisor") who will be liable to take responsibility for livelihoods

program planning and support for implementing staffs

IX. Building relations with the marketing agencies, agriculture and livestock officers,

Technical Assistants of district agriculture and livestock offices under Gov. of Nepal.

X. Building relations with marketing agents (collectors, wholesalers, transporters)

related to the products of the enterprises supported.

XI. Assuring linkages SHGs with marketing agents, technical assistants, other NGOs

working in livelihoods sector at the concerned areas.

XII. Cooperative developments in Mahadevsthan and Bhaktapur areas in future before the

products of the enterprise are marketed.


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XIII. Intensive follow ups and technical backstopping to the members activities.

XIV. Retaining field officers/assistants in close and at easily accessible areas of the SHGs.

XV. Staff capacity building - providing technical guides to the field staffs (capacity

building on enterprise development).

8. CONCLUSION

Koshish Nepal has been implementing livelihoods activities in some of the SHGs at Bhaktapur

and Dhading districts since more than a year back but the expected outputs of the project were

not felt impact worthy. The enterprises promoted by the project were not found satisfactorily

income generating for the members and the members were not in the situation to happily go on

with those enterprises in future. It was decided to conduct a livelihoods assessment in four

SHGs formed by Koshish Nepal to know the present context with the SHGs, major bottlenecks

of the enterprises, possible ways to go with in future, and opportunity assessment for future

planning.

A survey was conducted covering 17 HHs from two SHGs of Dhading and two SHGs of

Bhaktapur districts. Group discussions were also carried out in those four SHGs of Dhading and

Bhaktapur area. Information through HHs survey and group discussions was concerned on

livelihoods opportunities, practice and feasibility. With the help of SPSS (computer software)

collected data were analyzed, interpreted and presented.

The study revealed that most of members of Mahadevsthan had sufficient landholding situated

near market area and with good irrigation facility. They also they keep interest to be involved on

improved agricultural and livestock based enterprises for their livelihoods promotion whileothers were not found owning land resources. In malekhu area, SHG members had just registered

an agricultural cooperative (mushroom farming cooperatives) which had been leading by 44

shareholders. They had experienced mushroom farming for a year which was supported by

Koshish last year. Interest to keep on mushroom farming was also known but some of them were

also found interested to start new business utilizing the skill they already had. Members at

Katunje SHG had been involving in winter-sleeper making enterprise however some level of

dissatisfaction towards income and marketing of the products were observed. No other

enterprises could be listed as more feasible and that of interest in Katunje area. Some of the

members of Bhaktapur municipality area were involved in the enterprise operated in Katunje but

the participation was not found demand driven, just they were reluctantly joining to theenterprise which is far from the Bhaktapur municipality. Because of the distance they had to

cover to participate in making winter-sleepers. The members also were interested to work at their

own area with some other enterprises which were concerned with the utilization of the skills on

their hands (such as weaving sweaters and woolen wares/hojiyari, Cap and hat making,

handicrafts and statue making).


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Promoting agriculture (offseason vegetable cultivation) and livestock farming for Mahadevsthan,

promotion of agriculture cooperative at Malekhu, re-strengthening winter-sleeper making

enterprise at Katunje, and introducing handicrafts, cap and hat making, and weaving and

tailoring at Bhaktapur area have been found feasible.

Present assessment is in position to recommend implementing organization to go with packageof livelihoods support. Firstly, it is suggested to collect enterprise selection to the individual

HHs, re-categorize the members on the basis of type of enterprise, provide basic

entrepreneurship training and assure linkage with market agents and technical officers/assistants.

The entrepreneurship training will be followed by implementation program planning and skill

training packed with startup supports. Further, intensive community mobilization, follow-ups

and backstopping, managing field staffs at the field are also suggested.

THANK YOU!


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APPENDICES

Appendix 1: HHs survey questionnaire

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