What El Nino? This ground up farmers’ cooperative continues to reap dividends

Farmers in Mulkanoor village have established a cooperative that supports agricultural needs, improving self-reliance.

By: Sakshat.TornekarHYDERABAD: In Mulkanoor village of Hanumakonda district, farmers have access to most of what they need for cultivation within the village itself and are now preparing to send their branded rice to the US.

From seeds and fertilisers to farm equipment, credit and a market for their harvest, the Mulkanoor Cooperative Rural Credit & Marketing Society brings these services under one roof. The cooperative is built with its farmer-members, with almost zero non-performing assets (NPAs), with nearly 90% of its employees also belonging to farming families from the same community, according to the villagers.“We don’t have to deal with the brokers or step outside of the village for agricultural solutions.

The cooperative has its own godown which takes care of the quality of the produce and other requirements, which makes us self-reliant,” said Bollampally Kumar Swamy (45), a farmer. His family has been associated with the cooperative for three generations now. Owning three acres in the village, he is also one of the directors on its board.Farmers said the cooperative provides seeds before cultivation and purchases the harvest after the crop is ready.

It also offers bonuses of ₹200-400 per quintal, in addition to the minimum support price (MSP). They said regular quality checks by the representatives and storage facilities in villages help them maintain the quality of their produce and reduce concerns about finding buyers.Suresh Cheekatla, a spine surgeon working in Hyderabad who jointly owns over 35 acres with his family in the village, said, “Our farm produced around 900 bags of paddy, weighing about 40 kg each, last year, which was about 405 quintals.

Despite the impact of El Nino this year, I’m expecting to harvest around 750 bags,” he said. He attributed the yield to the assistance of borewell management over the years.“A small farmer has to take a loan and cannot survive on their own unless they are a land baron. We get seamless loans with one-day processing at interest rates as low as 7% for crop loans, 10% on medium- and long-term loans, but the support extends beyond agriculture with support for children’s education, medical bills and other expenses,” Swamy said.

Established in 1956 with 373 members and share capital of ₹2,300, the society now has more than 7,500 members.The farmers’ society sells branded rice varieties, including Telangana Sona and Jai Sriram, and supplies seeds through a dealer network. “I see this as a form of collective security for farmers. Benefits such as Rythu Bandhu scheme provide some financial assistance, but they are inadequate and leave farmers to depend on govt support.

A cooperative model offers more sustainable, long-term security,” said political scientist and environmentalist Puroshottam Reddy.

Farmers of the village now plan to take their rice outside of Telangana. They have partnered with US-based HarvestLink cooperative to explore exports to the American market, where demand is expected from the Indian, especially Telugu, diaspora. The first shipment of 25 tonnes of Telangana Sona and Jai Sriram rice is being prepared, with dispatch expected within a month, subject to regulatory clearances. The cooperative expects its rice to fetch a premium in overseas markets, potentially 10-15% above domestic prices.