UMDIHAR PRIME HUB AND IVCS

Established in November 2017, Umdihar IVCS Ltd. caters to 136 Households with 471 active shareholders. As of January 2025, the IVCS has a share capital of INR 94,500 with 210 savers and deposits of INR 20,83,865.00. It has been active in micro lending and has granted loans of INR 9,51,000.00 to 106 members.

ROOTS OF SWEETNESS: MEGHALAYA'S PINEAPPLE PRESTIGE

Meghalaya's Kew variety of pineapples, known for their unparalleled sweetness with a high brix value (16 and above), has long been a hidden gem. Despite the state's impressive pineapple production of 1,38,701 MT in the 2019-20 season, marketing the produce posed a considerable challenge. Traditional farming practices, low shelf life, and lack of competitive pricing hindered Meghalaya's pineapples from reaching their full potential.

NAVIGATING CHALLENGES: THE PATH TO EMPOWERMENT

Umdihar IVCS Ltd. recognized the obstacles faced by its pineapple farmers and embarked on a journey to transform challenges into opportunities. One major hurdle was the dominance of middlemen from Assam, setting static prices and trapping farmers in a debt cycle. Undeterred, the co-operative sought innovative solutions to break free from this cycle and put the power back into the hands of the farmers.

GOVERNMENT INITIATIVES: PLANTING SEEDS OF CHANGE

The Government of Meghalaya, understanding the need for a paradigm shift, initiated efforts to boost productivity. Scientific cultivation of Mauritius and MD2 varieties of pineapples became a focal point, aiming to enhance both quality and quantity. Simultaneously, there was a push to establish multiple cooperative-owned processing units within the state, addressing issues of remoteness, low shelf life, and fostering increased trade and demand within Meghalaya.

UMDIHAR IVCS CAPITALIZING ON STRENGTHS

Acknowledging that the Government of Meghalaya offers capital support to Farmer Co-operatives, Umdihar IVCS proposed a game-changing intervention – a Community Public Private Partnership (CPPP) with an export-oriented social enterprise to establish a frozen fruit processing unit. This strategic move leveraged the co-operative's comparative advantage, providing a solution to the investment bottlenecks hindering the state's progress.

The CPPP model can be explained as:

• Community: Land, labour, and supply of raw material by the local community/farmer/farmer cooperative. The local community, consisting of a large number of pineapple farmers, mobilised itself into the Umdihar IVCS.
• Public: Capital support to cooperatives from the Government. The Government of Meghalaya provided the capital support to the Umdihar IVCS for infrastructure establishment.
• Private: Technology, operational support, and market linkages were provided by a private player, IQF Food Pvt Ltd.
• Partnership: Collaborative effort of all stakeholders for success of the projects. 

MILESTONE ACHIEVED

Umdihar IVCS, in collaboration with IQF Pvt. Ltd., manufactured frozen pineapple slices at its PRIME Hub facility in Ri Bhoi. These Frozen slices are then further processed to become cubes and dices in baby foods that are exported to Europe. In this ongoing initiative, IVCS is the procurement and infrastructure partner, while IQF Pvt Ltd. is the technology partner.

As a Procurement partner, Umdihar IVCS has a secondary partnership agreement with Cooperatives in pineapple clusters across the state. The IVCS took the lead to ensure regular supply of raw materials to enable the functioning of the unit, thus strengthening the pineapple supply chain across Meghalaya.

The partnership with IQF Pvt. Ltd. from Karnataka became the catalyst for transformative change. Umdihar IVCS, acting as both the procurement and infrastructure partner, successfully sourced 288.24MT of fresh pineapples, with an order value exceeding INR 39,07,799. The co-operative played a crucial role in charting out harvesting calendars, standardizing fruit sizes, and generating employment opportunities, impacting not only its own members but also eighteen other co- operative societies with 5690 farmers who are members of Co-operative Societies in Ri Bhoi, East and West Garo Hills. The initiative has led to an impressive increase in price realization, uplifting the pineapple farmers of the state by up to 90%.

• It has effectively helped its network of Co-ops in charting out a harvesting calendar, standardizing the size and grade of fruit.
• Twelve of its IVCS members have also been skilled in washing, cutting, and peeling of pineapples, thus generating employment at the PRIME Hub.
• As an infrastructure partner, it has further generated a revenue of INR 1,38,000 in renting out the facility.
• With successful technology transfer, the Umdihar IVCS plans to run this frozen slice enterprise on a franchise model with IQF and even take up independent orders of its own under Meghalaya Collectives brand name.

Today the unit has become a place where farmers get a fair price for their fresh Kew pineapples. The frozen pineapples after its secondary processing in Karnataka eventually find its way to European markets.

OUTCOMES

• Strengthening of supply chain, where market moves closer to home.
• Permanence in procurement pattern thus incentivizes farmers to practice scientific agriculture.
• Opportunity for farmers to learn and market the produce themselves.
• Capacity building of the Co-ops to execute harvesting and procurement plans.
• Skilled manpower in processing.
• With successful technology transfer, opportunity to run the enterprise on a franchise model.

LOOKING AHEAD: A FUTURE ROOTED IN INNOVATION

The success story of Umdihar IVCS Ltd. doesn't end with frozen pineapple slices; it's a prologue to a future filled with innovation and sustainability. The co-operative envisions running the frozen slices enterprise on a franchise model, collaborating with IQF and taking independent orders under the “Meghalaya Collectives” brand name. Umdihar IVCS Ltd. is not just cultivating pineapples; it's cultivating a legacy of resilience, empowerment, and success.

CULTIVATING DREAMS, HARVESTING SUCCESS

Umdihar IVCS's journey from a remote corner of India to a global player in the agricultural landscape is a testament to the transformative power of collective action, strategic partnerships, and unwavering determination. As the co-operative continues to cultivate dreams and harvest success, it inspires not just farmers but communities worldwide to believe in the extraordinary potential that lies within collaborative, sustainable, and innovative approaches to agriculture.