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Profitability and Marketing of Income Generating Activities (IGA) for ...

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Study on <strong>Pr<strong>of</strong>itability</strong> <strong>and</strong> <strong>Marketing</strong> <strong>of</strong> <strong>IGA</strong> <strong>of</strong> Ultra-Poor under IFSUP Final Report<br />

Chapter -1<br />

Study on <strong>Pr<strong>of</strong>itability</strong> <strong>and</strong> <strong>Marketing</strong> <strong>of</strong> <strong>Income</strong> <strong>Generating</strong> <strong>Activities</strong> (<strong>IGA</strong>) <strong>of</strong> Ultra-Poor –<br />

in particular Adibasis under the project <strong>of</strong> ‘<strong>Income</strong> <strong>and</strong> Food Security <strong>for</strong> Ultra-poor<br />

(IFSUP)’<br />

1. INTRODUCTION<br />

1.1 The Challenge<br />

Reaching Ultra poor with a package <strong>of</strong> supports <strong>for</strong> sustainable upgrading <strong>of</strong> their livelihoods<br />

toward solvency is the biggest challenge to the development practitioners in Bangladesh.<br />

They have little or no assets as well as physical <strong>and</strong> economic capacity to independently<br />

invest <strong>and</strong> generate sustainable surplus <strong>for</strong> incremental incomes. Their meager resources<br />

are <strong>of</strong>ten completely exhausted or eroded when confronted with natural, health <strong>and</strong> social<br />

hazards. It is even greater challenge to reach Ultra poor Adibasis because they are socially<br />

secluded, <strong>of</strong>ten migratory <strong>and</strong> easily fall pray in the exploitative society with a precarious<br />

condition <strong>of</strong> social justice <strong>and</strong> protection from the community as well as the nation.<br />

1.2 IFSUP <strong>of</strong> NETZ<br />

<strong>Income</strong> <strong>and</strong> Food Security <strong>for</strong> Ultra Poor project (IFSUP) <strong>of</strong> NETZ Partnership <strong>for</strong><br />

Development <strong>and</strong> Justice is one <strong>of</strong> the initiatives directly focused to a small number <strong>of</strong><br />

selected Ultra poor <strong>of</strong> selected villages <strong>of</strong> 24 unions <strong>of</strong> 6 upazilas namely Kaunia <strong>and</strong><br />

Gongachara upazilla <strong>of</strong> Rangpur, Sadar <strong>and</strong> Panchbibi upazillas <strong>of</strong> Joypurhat, <strong>and</strong> Durgapur<br />

<strong>and</strong> Kolmak<strong>and</strong>a upazilas <strong>of</strong> Netrakona (Map 1). In each Upazila 4 Unions are included. Name<br />

<strong>of</strong> the unions have been shown in table 1. The project is providing an asset package worth<br />

about Tk. 15,000 to beneficiaries to invest in <strong>IGA</strong>s <strong>of</strong> individual choices from among a wide<br />

range <strong>of</strong> <strong>IGA</strong>s. Beneficiaries are selected on the basis <strong>of</strong> certain criteria 1 ensuring to be really<br />

Ultra poor, excluding disabled <strong>and</strong> h<strong>and</strong>icapped. Relevant skill development training is<br />

provided be<strong>for</strong>e transferring the assets. As a protection <strong>of</strong> capital assets the capital is<br />

deposited to back in a project account deducted from the income accrued which is<br />

reimbursed to them again <strong>for</strong> reinvestment according to their choices. Presently, the project<br />

is supporting a total <strong>of</strong> 4803 beneficiaries <strong>of</strong> whom about 2400 are Adibasis. Aside from asset<br />

transfer, awareness raising through weekly issue based discussion <strong>and</strong> strengthening group<br />

capacity including leadership development is another key element <strong>of</strong> the project. <strong>IGA</strong> wise<br />

distribution <strong>of</strong> beneficiaries has been shown in table 2. At the grassroots level activities are<br />

organized <strong>and</strong> carried out by three partner NGOs, namely Ashrai in Joypurhat district,<br />

Jagorani Chakra Foundation (JCF) in Rangpur district <strong>and</strong> Sabalamby Unnayan Samity (SUS) in<br />

Netrakona district.<br />

1 The criteria <strong>of</strong> selecting Ultra poor are as follows:<br />

a) Capacity to work – Physically capable to work<br />

b) L<strong>and</strong> holding – L<strong>and</strong>less to functionally l<strong>and</strong>less (

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