Micro Drip
Why Conversations Matter: A Day with Micro Drip
by Molly Alexander, Business Development Manager
I was eager for the road trip. It was a chance to get out of Karachi, where the inability to simply walk around freely must surely become stifling; it was also a chance to see more of Pakistan’s countryside. The day was facilitated very effectively by National Rural Support Program (NRSP). NRSP is (in Aun’s words) the ‘big brother’ of TharDeep Rural Development Program – the parent organization of Micro Drip – and has been providing agri-specific support to farmers for over 20 years.
In the past few years, NRSP has been offering micro-lending options in addition to agri-services, and the villages we met with have organized around these micro-loans. The farmers that we met were not users of drip irrigation; in fact, the difficult task of selling drip systems to farmers was a key outcome of the meetings for me.
Many of these farmers have taken on loans between Rs10,000 and Rs30,000, and what we heard from them is that while these loans help them to operate without total dependence on a middle man – ‘Arti’ in Urdu – they barely cover the cost of inputs, let alone any of the other household costs the farmers incur on a daily basis.
Our objective for the day was simple: to listen to farmers. We wanted to hear directly their key concerns, constraints and cost burdens in order to gain a deeper understanding of where drip irrigation might play a role in increasing farm productivity. From a broader perspective, we were also interested in what we should be thinking about as Acumen Fund moves forward with our new agriculture portfolio. I can’t help thinking that my modest report is going to be complimented by a deeper and more colorful analysis in Jacqueline’s journal, so I’ll stick to facts and basics and attempt to relay the key insights we heard from these farmers.
The farmers are incredibly wise. Any solution that Micro Drip – or any other enterprise looking to solve the problems of smallholder ‘productivity’ – puts forward must be designed via an ongoing process of endless discussion with farmers. They know that drip irrigation needs a constant water supply; today, they are lucky to have access to flood irrigation from the canals once a week. Naturally, farmers are skeptical of drip’s impact.
They know that they are lucky to get 3 hours of electricity a day with which to pump the water from their wells, and even that they pay the landlord for – and it’s still cheaper than diesel. ‘Loadshedding’ has become such a common phenomenon throughout the rural areas that, despite the fact that they were speaking to us in their local Sindhi, the English word was common to all.
These farmers are keenly aware that, in 2008 alone, the price of inputs such as fertilizer has risen from Rs500 to Rs1300 on the black market despite the standard rate being Rs600. Their market access is limited to the back market through their historical relationships with Artis (middle men) leading them to hoard fertilizer, which in turn drives the price up more.
They know that even if their yields do increase, it’s often difficult to find a market for their product. This was confirmed in one village where we saw vast piles of cotton (pictured), brown and wasting because there was no one to buy, no where to sell. And finally, they know that the loans allow them to cover the costs of these inputs, but do not allow them to break the cycle of debt that the landlords and the Artis further entrench. If only the loans were larger, and the definition on ‘productivity’ broadened even a little, then they might be able to diversify their income sources, break their dependence on a crop that might easily be devastated by a flood or other natural disaster. A larger loan would allow them to buy new clothes, educate their children, pay for healthcare and truly improve their standard of living.
Dr. Sono knows the right questions to ask. He is in his element and it’s an honor to see him in action; he’s the only one of us who can speak directly to the farmers in Sindhi. The questions he asks all three villages get the same unanimous replies: 1) Do you think the cost of inputs is going to come down any time soon, if at all? No is the clear answer. 2) Do you think water will get any easier to get a hold of? Again, no is the immediate consensus. 3) What do you think is the best way to deal with these issues and allow you to become more productive? That, the farmers say, is the billion rupee question!
Dr. Sono discusses drip as an option, although he admits that without solving the bigger infrastructure question that would provide a more reliable water supply, it may not be the best solution for these farmers just yet.
One can’t help but be struck by the deepening and systemic tragedies Pakistan has fought throughout 2008: the continued lack of true leadership and the IMF intervention whose impact raises many more questions on the horizon. There are undoubtedly equally tough times are ahead here. But taking the time to listen to these farmers, to see Dr. Sono’s quiet manner of marketing with truth, and the deep seated commitment of the Acumen Fund Pakistan team (who are all complete rock stars) as well as the commitment I’ve witnessed this week from Jacqueline, Aun, Hunter Boll and Stuart Davidson, I feel a warming sense of hope that by partnering with and learning from local entrepreneurs like Dr. Sono, we might just gain the insights and the humility to give more farmers what they really need: the ability to determine their own definition of productivity and the dignity of providing for themselves.