The strategy that made this Kerala farmer a millionaire in 8 months

When the news broke out that Sivadasan had become a millionaire through vegetable cultivation in a mere eight months, many frowned. Numerous comments on various online news platforms labelled the achievement as a 'lie' and a 'scam.' Critics, who had repeatedly claimed that vegetable farming in Kerala was unprofitable suggested that lessons should be drawn from Tamil Nadu.

However, the data regarding the quantity of vegetables cultivated and sold by Sivadasan over the past eight months is available with the Vegetable and Fruit Promotion Council Keralam (VFPCK) to verify Sivadasan's achievement. This marks a historic milestone for VFPCK markets in the State, as it is the first instance where such a substantial sum has been disbursed to a farmer for their produce within a financial year. In fact, it is just not one crore. As of December 6, the amount transferred to Sivadasan for vegetables alone stands at Rs 1,00,41,576. Sivadasan says that the current harvest season will extend until the end of February, and he anticipates that the financial figures for this year will increase by an additional Rs 8-10 lakh.

"If we leave aside the occasional price hikes and price drops, we can see that there is not much difference in the price of vegetables received by the farmer between 10 years ago and now. For instance, cowpeas were priced at Rs 40-50 per kg a decade ago, and the current prices remain largely unchanged. It is unrealistic to anticipate a substantial increase in the prices of essential food crops. Therefore, the only viable approach to enhance the profitability of farming is to lower production costs while significantly boosting productivity. Employing innovative agricultural techniques such as precision farming and utilizing hybrid seeds can facilitate this improvement. Most importantly, it is essential to consider market dynamics and strategize from the selection of seeds to the harvesting process," says Sivadasan.

Proceed with precision
Sivadasan's success can be attributed primarily to the practice of precision farming. In April, the bed is prepared by filling it with goat manure, chicken manure, and cow dung powder to support two seasons of growth. Following this, a drip line is installed, and a layer of plastic mulch is spread on top. This method ensures that the necessary micronutrients are delivered alongside the water supply. Precision farming emphasizes the careful management of water resources and the scientific application of fertilizers. The presence of mulch prevents the loss of fertilizers due to rainfall, while also maintaining soil structure and enhancing air circulation, which promotes root growth.

Additionally, the mulch inhibits weed growth, leading to a significant reduction in both fertilizer and weed removal costs. Through effective management practices, the overall health and productivity of the plants are improved, which in turn minimizes the risks of pest infestations and the associated costs of pesticide treatments. Sivadasan notes that the simplified processes of watering and fertilization have allowed for an expansion in the area under cultivation. Currently, they are farming on 10 acres of leased land and 8 acres of their own property, with plans to achieve a turnover of Rs. 1.5 crore by leasing an additional 5 acres next year.

Market players
One crucial element of achieving success in agriculture is the use of high-quality seeds, with a particular emphasis on hybrid seeds. At the same time, there is a noticeable shift towards the cultivation of indigenous varieties within our country. However, farmers should not solely depend on indigenous varieties that yield lower production levels. It is essential to maintain a market for these varieties.

Therefore, efforts are made to identify the highest-yielding indigenous options, such as the bitter gourd seed variety 'Preethi' and the snake gourd variety 'Kaumudi.' These hybrid varieties, developed by Kerala Agricultural University, possess the capability to compete effectively with hybrid varieties. While catering to the preferences of 'native' enthusiasts, more space is given to the Maya variety of hybrid bitter gourd and the white & short hybrid snake gourd, which are known for their high yields when cultivated with proper care.

In the market for snake gourds, both traders and a significant number of consumers show a preference for the small, white, and short variety, which can be stored without the need for cutting. Additionally, Arka Mangala variety is noted as a viable option for cultivation in cowpea. However, Sivadasan cautions us that it is not good to completely rely on hybrid seeds. The cost of one kilogram of bitter gourd seeds is merely Rs. 2,500, whereas hybrid seeds are priced at Rs. 16,000. This pricing structure is similarly applicable to snake gourd seeds. This year, snake gourd hybrid seeds were not available. Therefore, Sivadasan advocates for the cultivation of high-yielding hybrid seeds rather than depending solely on those seeds provided by private companies.

A significant portion, specifically two-thirds, of the vegetables cultivated by farmers in Elavancherry is distributed to the southern districts. While residents of Chengannur could express a preference for the Preethi variety, those in Thiruvananthapuram may show interest in the Maya variety. Taking all this into account, Sivadasan notes that the VFPCK market plays a crucial role in forecasting the production quantities of each variety and facilitating their distribution to the appropriate markets.

Palakkad vegetable farmers generally prefer pandhal crops; however, they also engage in the cultivation of a variety of other crops. There is an old saying which suggests that those who pursue two rabbits will end up losing both. This does not imply that farmers should limit themselves to a single crop; rather, it indicates that instead of planting a small amount of each variety, Sivadasan advocates for the cultivation of varieties that offer minimum guarantees consistently. Consequently, bitter gourd, snake gourd, and cowpea have become the primary crops.

Sivadasan says that the price of the Preethi variety of bitter gourd seldom drops below Rs 40 per kilogram, while the Maya variety is assured a price range of Rs 30-32. The prices for both varieties of snake gourd usually remain between Rs 15-20 per kg. Cowpea, on the other hand, is consistently guaranteed an average price of Rs 50 per kilogram, with prices exceeding Rs 70 during the Onam festival. To accommodate the interests of traders, some ridge gourd, pumpkins, and ash gourd are also cultivated, utilizing the available space along the edges of the farm.

Those seeking markets post-harvest may hold varying perspectives regarding the above mentioned price. They might express dissatisfaction, claiming they are unable to attain this price. This situation underscores the importance of a stable market and the associated bargaining power. The VFPCK market located at Panangattiri in Elavancherry, along with the officials at the VFPCK Palakkad district office, plays a vital role in Sivadasan's success.

The farmers' market is a strength
This year, the Elavancherry VFPCK market has recorded a turnover of Rs 15 crore to date, with 5,500 tonnes of vegetables sold through the market. The convenience of having all items available in one location draws traders to Elavancherry. It is possible to procure one or two loads of the same product from a single farmer's farm in a day. Traders recognize the profitability associated with storage costs, making them willing to store goods at reasonable prices.

Due to the market's extensive connections with various traders, they are able to understand the fluctuating demand for items in other markets at any moment, says Sivadasan. The Elavancherry market will advise its farmers to adjust their daily harvests accordingly, which can enhance their bargaining power, according to Sivadasan. Having served as president of the Elavancherry market three times, Sivadasan asserts that if farmers remain united and establish strong markets, traders will be compelled to offer fair prices.

Best results in first season
Sivadasan engages in two distinct farming seasons. The first season commences with sowing in early April, culminating in harvesting by mid-May, and concludes with the celebration of Onam. This period is often referred to as the 'lottery' season due to the favourable market conditions. Following a 45-day trawling period and the Onam season, the prices of vegetables, particularly bitter gourd, snake gourd, and cowpea, tend to surge. Bitter gourd and snake gourd are sown in early April, while cowpea is sown towards the end of April. If sowing is done early, the harvest may be complete by Onam, whereas a slight delay can result in a plentiful supply of cowpea during the festival, fetching a good price.

The second season begins in September, during which snake gourd and cowpea are grown in a single bed, with cowpea being sown first. Snake gourd is planted a month later and is harvested only after the cowpea has been collected. The residue of cowpea serves as natural fertilizer for the snake gourd. However, if both crops are planted simultaneously, the rapid growth of snake gourd may overshadow the cowpea, ultimately reducing the overall yield.

Tamil Nadu worried about its future
Sivadasan says that the rise in vegetable farming within the State, particularly in Palakkad, is causing concern among Tamil farmers. Therefore, rather than engaging in market competition, they are shifting towards a collaborative approach. In the past, their harvest coincided with the initial season's yield from our region. Recognizing that simultaneous market entry would lead to unfavourable pricing for both parties, they have adjusted their cultivation schedules to ensure that the first season concludes by the end of May. Similarly, the second season has been advanced accordingly. Sivadasan asserts that this demonstrates the effectiveness of farmers organizing themselves to enhance production and regulate the market to their advantage.

Income and expenditure
Although the construction expense amounts to Rs 2 lakh per acre, a permanent structure created by extending GI wire on concrete supports has a lifespan of 15 years. The installation of a drip irrigation system for one acre incurs a cost of approximately Rs 50,000, which is effective for a minimum of 5 years. Despite the high initial investment, these systems facilitate easier maintenance and contribute to a reduction in overall farming expenses. The annual lease for one acre of land ranges from Rs 35,000 to Rs 40,000.

The total cost of goat manure, chicken manure, cow dung powder, lime, mulch, and machinery for one acre is estimated at Rs 75,000. If hybrid seeds are utilized, the average cost is Rs 15,000 per acre, while university variety seeds cost around Rs 2,500. In short, the total average expenditure for seeds, fertilizers, farming, and leasing in the first season is Rs 2 lakh per acre. As the crop is grown in the same bed during the second season, the only expenses incurred will be for seeds, irrigation, and harvesting. The average total cost for both seasons is Rs 3 lakh.

If the seed variety utilized is Maya, the yield is estimated to be between 25 and 30 tons per acre. With an average market price of Rs. 30, the resulting income ranges from Rs. 7.5 to 9 lakh per acre. In the case of snake gourd, the yield across two seasons is approximately 25 tons per acre, leading to an annual income of Rs. 5 lakh per acre at an average price of Rs. 20 per kg. The production of cowpeas over two seasons is projected to reach 15 tons per acre, generating an income of Rs. 7.5 lakh per acre at a price of Rs. 50 per kg.

Considering fluctuations in production due to weather conditions, variations in market prices, and lease expenses, Sivadasan indicates that the profit margin per acre can reach 30 to 35% of the total income. In any case, throughout his 38 years in agriculture, Sivadasan has achieved numerous milestones. His agricultural endeavours have provided him with the means to construct a home, acquire additional land, and reinvest substantial amounts annually to further expand his farming operations.
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