The ITC e-choupal network aims to cover
over 100,000 Indian villages, representing a sixth of rural India and linking up more than
10 million farmers, over the next decade.
ITC today won the 'Corporate Social
Responsibility Award 2004' from The Energy and Resources Institute (Teri) for its
e-choupal initiative. The award is designed to encourage social responsibility processes
within the corporate sector.
ITC e-choupal, an information
technology-based intervention in rural India, has already received several national and
international awards as a transformation model for rural India. ITC e-choupal has earlier
won the 'World business award' instituted in support of the United Nations' Millennium
Development Goals and also the Wharton-Infosys 'Enterprise business transformation award
2004' for the Asia-Pacific region.
The curriculum of the Harvard Business
School now includes a case study on the ITC e-choupal movement and how it is transforming
Indian agriculture. ITC, as one of the first Indian companies to pioneer the concept of
triple bottomline reporting, covering not only economic dimensions, but also the
environmental and social dimensions of business.
ITC said in a relase that its
sustainability report was the only one in India certified to be fully in accordance with
global reporting initiative (GRI) guidelines. The ITC e-choupal network empowers over 3.1
million farmers at present, enabling them to readily access crop-specific, customised and
comprehensive information in their native language via vernacular websites, on each
agricultural crop that ITC deals in and even to marginal farmers.
Farmers can access prevailing Indian and
international prices and price trends for crops, along with expert knowledge on best
farming practices and micro-level weather forecast. This improves decision-making ability
at the rural level, helping align agricultural production better to market demand and
upgrade quality and productivity.
The e-choupal model also helps aggregate
demand and creates a virtual producers' co-operative, which in turn allows access to
higher quality farm inputs at lower costs. The ITC e-choupal network has also created a
two-way direct marketing channel for rural India, eliminating wasteful intermediation and
multiple handling. The reduces transaction costs and improve logistical efficiency.