HDX Team5 Proposed solutions

Solutions

We think there are three aspects to the solutioning process:

1. People skills and mindset--the farmers need to be educated and trained with 'Think Globally, Act Locally, Feel Totally'. The solution is through education.
2. Supply chain management--the systems need to coordinate the supply chain to match farmers to markets, the supply and demand to generate stable income for the farmers and other stakeholders.
3. Logistic and business management-- the ecosystems require good standard operation procedures to scale up the good practice by the Sample Farms and the Pasar Rakyat business, which could be B2B, B2C and also online sales. Proper marketing, packaging, processing, pricing, supported by effective data management, transport and delivery services, inventory and accounting system.

Business solutions

Ada sekitar 400-500 Petani, ada 2 jenis petani

1. Petani yang sudah tidak memiliki modal.

2. Petani yang masih memiliki modal dan berproduksi.

Ada sekitar 120 Petani yang diajak dan diajarkan untuk produksi mengunakan pupuk yang dibuat dengan metode pak Nyoman. Bibit, pupuk dan petiside organik diberikan oleh pak Nyoman, hasilnya sama sama produktif dengan biaya yang lebih rendah. Petani dapat membayarkan kembali setelah mendapatkan uang dari hasil pertaniannya.

Ada beberapa peternak yang diberikan bibit ternak juga. Pupuk dan petiside dibuat sendiri secara organik dengan teknik yang diajakna oleh pak Nyoman

Hasil dari produk petani dibeli dan didistibusikan kepada enduser, beberapa enduser adalah reseller yang dijual lagi ke restoran dan hotel.

The above were narrated by Pak Ntoman and the translation of the above into English is as follow:

There are about 400-500 Farmers, and there are 2 types of farmers

1. Farmers who no longer have capital

2. Farmers who still have capital and produce

There were around 120 farmers who were invited and taught to produce using fertilizer made by Pak Nyoman's method. Pak Nyoman provides them with seeds, fertilizers and organic pesticides, the results are of the same productivity but at a lower cost compared to using commercial chemical based fertilizers and pesticides. Farmers can pay back the cost of the materials after getting money from the sales of their agricultural products.

There are some breeders who are given livestock seeds as well. Fertilizer and pesticides are made organically by themselves using the technique suggested by Pak Nyoman.

The results from farmers' products are purchased and distributed to end users, some end users are resellers who are resold to restaurants and hotels.

Connecting PASAR RAKYAT to a Business Partner TaniHub and TaniFund

TaniHub Group is an integrated platform empowering farmers and end customers through technology, enabling them easy access to market and fresh produce, as well as access to capital to grow.

They have the aspiration and mission of Building Sustainable Agriculture Value Chain in Indonesia Through Technology and Innovations

We have connected Pak Nyoman with the CEO of TaniHub group to explore collaboration.

TaniHub Group Ecosystem Provides End-to-end Support to Farmers with a focus on improving US$ 125 Bn agriculture (food crops, horticulture, fishery, livestock) and food & beverage business in Indonesia.

We think that Pasar Rakyat farmers may be able to tap on the TaniFund platform of the TaniHub Group.

TaniFund is a peer-to-peer (P2P) lending platform focusing on Indonesia’s agriculture industry, connecting you with local farmers through productive loans, providing high return and real social impact. By lending through TaniFund, funders contribute to creating access to finance for the welfare of local farmers.

Pasar Rakyat may link up with TaniHub and Become a cultivation partner as TaniFund provides financing for farmer / livestock groups to conduct cultivation businesses, in order to increase the productivity and the availability of working capital.

As harvest time arrives, TaniFund will ensure that all harvested goods will be absorbed through their marketplace partner, TaniHub. This will be a win-win relationship for Pasar Rakyat.

https://tanifund.com/ How Tanifund works is described in their website

Step 1 Select a program

Funders or lender have various cultivation program to choose from. Each cultivation program is unique with its own yield and risk profile. Learn more from each prospectus to better understand the product as well as the process.

Step 2 Farming begins

With all funding fulfilled, it will be time to farm. Once the funding period is over, our farmers will start the cultivation process as scheduled. All activities and budget spending will be closely monitored.

Step 3 Be updated

Farmers will update progress of the farm chosen by the lender/ funder. The highly-trained farmers will provide regular updates on the progress of the farm. You can see pictures of your farm and how much it has grown!

Step 4 Harvest time

Collaborating with TaniHub as guarantee receiver of produce. As harvest time arrives, TaniHub will ensure that all harvested goods will be absorbed through their marketplace partner, TaniHub. One of the ways is for supplying the demand from the online sales portal of TaniHub

Step 5 Enjoy results

Lenders and farmers can finally enjoy the yield on project completion. All calculation sales and profit sharing will be conducted in the most transparent way. Details will be summarized in an accountable financial statement for funders to review.

ICT solutions

One of the ICT tools for Pasar Rakyat is to survey the farmers in Bali who are to form the Pasar Rakyat community. The survey form designed by Jared Gordon as an example may be used to construct the farmer data base for knowledge management. This collation of farmers, their location, farm size, type of crops, farming schedule and harvest time, etc will be very important for Pasar Rakyat to plan nd schedule planting and harvesting of relevant crops to supply and meet the market demands all year round.

Sample of Farmer information Form (as created by Jared in XLP for Pasar Rakyat)

Mock-up of the Learning App for Pasar Rakyat Sample Farm training modules

File:WhatsApp Video 2021-07-15 at 21.48.55.mp4

This is a simulation of how the learning App for Sample Farm students will see when they log onto the learning management system

The team has agreed that the foundation for a successful and sustainable Pasar Rakyat is through education and training the new generation of farmers. They will learn from the Sample Farm(s) championed by Founder Pak Nyoman. The first ICT solution the team will focus on is the Learning Management System, with an App interface for the farmer students. The mock-up is to illustrate how the App may look like in page view format. Our Mock-Up

We have a list of training topics sent to us by Pak Nyoman. It is envisioned that the materials, content, instructions, recipes and demo-video will be packaged for into the Learning Management System. The list of topics include:

1. How to make eco-enzyme

2. How to make fungicides from Tricoderma

3. How to do composting

4. How to make Nabati pesticide

5. How to make Lindi - a liquid fertilizer

6. How to cultivate micro-organisms to enrich soil

7. How to convert natural materials to enrich soil

The Learning App may also link to other good farming practices from other parts of the world such as Thailand and Singapore HDX Team5 Learning App prototype

Education solutions

1. Case Studies from Singapore

Singapore as an island like Bali also aspires to grow and produce food to meet 30% of self-reliance by year 2030. The citizens in Singapore are learning and practicing urban farming with resources such as video instructions. Pasar Rakyat may produce similar videos for the local farmers training use.

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• An introduction to home farming in Singapore

• Video 101 How to compost

• Vermicomposting in Singapore

There are also several commercially operated organic farms that supply fresh produce as well as serve as education provider for farming purposes. They include the following which may be useful reference for Pasar Rakyat:

• VertiVegies

Established in 2015, VertiVegies specialises in vertical farming to harvest fresh and healthy produce every day.

• Bollywood Veggies

From their humble beginnings in 2000, Bollywood Veggies has grown to become one of the oldest and most famous local farms in Singapore. Visitors can enjoy an abundance of activities from guided farm tours, paddy planting, nature art sessions, lessons on sustainable farming, and of course, getting a taste of their freshest produce! Beyond the wide range of fresh fruits and vegetables that they have, they also house a culinary school, museum, and their very own farm-to-table café.

• Sky Green

This high-tech farm is the world’s first low carbon, hydraulic-driven vertical farm with shelves of green plants that stack over 9 metres tall. This outstanding innovation in urban farming has won Sky Greens multiple awards including the Green Technology Award Top Honours at the Singapore Sustainability Awards 2014. Through the use of minimal water, land, and energy, they are able to produce safe, fresh, and nutritious vegetables to minimise waste and save resources.

• ComCrop

As Singapore’s first and only commercial rooftop farming company, the ComCrop team uses marginalised spaces to grow high-quality local produce that is free of pesticides and harmful chemicals. This vertical farm covers more than 6000 square feet and uses 90 percent less water than traditional farming, making it more sustainable for the environment.

• Pacific Agro Farm

Pacific Agro Farm is one of the first urban farming companies in Singapore. This is an urban farm with strong expertise on juicy cherry tomatoes, eggplants, basil, sweet potato leaves, peppermint, turmeric. Beyond their fresh and organic offerings, visitors can also enjoy the fun line-up of hands-on activities like creating your own potting mix using coconut husk shavings and coffee powder and even learning how to make your very own hydroponic set up to take home with you.

2. Case Studies from Thailand

Thailand is currently having almost 20 million people engaging in the agricultural sector. One of the most important problem facing these farmers is that of market demand and sustainable business management. Like in the case of Bali and Pasar Rakyat, Thai farmers produce what they can and then try to sell their products. Often, supply exceeds demand and results in losses for those crops.

"Green revolution with knowledge management" will be key to their long term sustainability. There are lessons from some successful cases studies in Thailand that will be applicable for our Pasar Rakyat project.

Phu Tawan Organic Farm

Suphachai. Owner of Phu Tawan Organic Farm

Phu Tawan Organic Farm

External links:

Suphachai's Facebook

Article of Phu Tawan Organic Farm

Phu Tawan Farm locates in Ban Nong Mek, Amnat Chareon Province, in the northeastern part of Thailand. At the time of its start, Ban Nong Mek has no electricity and in the upland area with limited surface water.

Suphachai, owner of Phu Tawan Farm, is the leader of farmers in Ban Nong Mek. After his graduation from college in Thailand, he decided to train as a Young Farmer in Israel for 7 years. Once he came back to Thailand, he started his organic farm in Nong Mek, based on the innovative farming techniques he learned from Israel. His original farm area is around 14 acres. He also taught other farmers in the area of those new techniques. And like in the case of Pak Nyoman, he helped collecting those farm outputs from those farmers and selling them to market.

Currently, his group of farmers now collectively has total of 50 acres and weekly output grew from a mere 30 kilograms to 3000 kilograms.

Although Thailand has plenty of lands, Supachai's farming technique is based on "closed-system greenhouse" idea, which help conserving the use of limited water supply which is the main problem of Nong Mek. His previous training in Israel is quite instrumental in overcoming his problem, since Israel faces even more severe water problem than Nong Mek. Also closed-system green house idea helps eliminating the problem of pest and allow these farmers to do organic farming which raise the value added of their products.

Farmers in his group have around 12-20 greenhouses each on their land. Vegetables that they grow include green oak lettuce, red oak lettuce, cos lettuce, butterhead lettuce, frillice ice berg lettuce, Chinese broccoli, spinach, as well as yu choy.

The key success factor of the project.

Supachai says that the key secret to success of his group is that of systematic schedule of farming that meets the demand of the market. He has secured the connection to supply organic vegetables under the brand "Phu Tawan Organic Farm" to Tops Supermarket, one of the leading supermarket chain in Thailand.

Before planting each year, his group will:

1. Calculate the number of existing greenhouses, the number of crops that each of the greenhouse can produce as well as the yield per crop.
2. They will discuss the available farming capacity breaking down into each type of vegetables with the customer - Top Supermarket.
3. Once they reach agreement, they will allocate the order among the members.
4. Members then schedule their production accordingly.

Salad-type vegetables are very popular, following be local-type vegetables. Currently, Phu Tawan Organic Farm products is selling quite well so much so that they could not keep up with market demand. (This is quite remarkable since there are many farmers in Thailand facing difficulty selling their vegetables.)

Each greenhouse is roughly 6x30 meters. Each will grew 4 rows of vegetables and resulting in 6,000 of them at the end. Each crop cycle is around 45-50 days. Farmers usually plant them in the seedbeds for the first 15-20 days before transferring them to greenhouses for the rest of the time which amounts to 30 days each.

To have a regular weekly income, each member needs at least 6 greenhouses. This is so because each vegetable needs 30 days in the greenhouses, and the greenhouses need to rest around 1 week before the next crop. So each greenhouse can produce around 9 crop per year.

Before each crop, farmers need to prepare the soil with organic fertilizer and control the soil acidity. This is done through the usage of compost and dolomite. Dolomite will add calcium, magnesium and silicon to the soil and allow vegetables to absorb fertilizer more effectively. At the same time, it will enhance the function of microorganism, help prevent disease and pest in the greenhouse.

The weekly income for 6 greenhouses will be around 300-500 USD. This translate to around 1,200-2,000 USD/month or 14,400-24,000 USD/year. Since each member have around 12-20 greenhouses, this means that each member can have up to 72,000 USD/year, which is quite satisfactory.

The cost of each crop is around 30 USD per crop. 7 USD is for compost and the rest is for seeds, water, etc.

Supachai concludes that the key to success of modern farmers is not the planting process but "marketing". Demand should determine supply. Before you plant anything, you should sell them first. Once order is in place, you can start with the planting. This is the key lesson he learned from the Israelis during those 7 years.