Integrated Agroforestry with Melia dubia

Fallow lands in South-India are prone to land degradation such as soil erosion, release of soil carbon and Prosopis invasion. Especially, districts in Tamil Nadu such as Virudhunagar, Madurai, Sivagangai, Pudukkottai and Thoothukudi that face scanty rainfall, most agricultural lands are left fallow. Melia dubia trees are climatically versatile, with an ability to grow in a variety of climatic conditions with minimum water inputs. Due to restrictions in obtaining timber from natural forests in India, tress like Melia dubia have high demand in plywood and paper industries. We propose growing of Melia dubia trees in fallow lands as an integrated agro-forestry program, with veneer making as value addition.

As shade crops, varieties of millets, oilseeds, pulses, horticultural plants will be grown, with native chicken and goats/sheep. By providing soft shade, Melia dubia reduces water loss, converts previously fallow lands and acts as an extra source of income for the farmers.

India is in the middle of an ongoing agrarian crisis, plagued by low return of investments in farming, especially for small and marginal farmers. In drought prone regions such as districts in southern and western Tamil Nadu, the agrarian crisis is further intensified. Due to reduction in water table, and other socio-economic factors, farming in drier regions is becoming more prone to economic risks, and hence many lands are left fallow for long periods of time, with the small and marginal farmers becoming wage laborers or pursuing non-agricultural activities or unemployment. 

One of the major problems of converting fallow lands back into agriculture globally, even when water availability problems are solved, is the invasive - Prosopis juliflora. Introduced in 1876 mainly for firewood, the thorny plant spreads and grows rapidly, making it difficult to remove and sustain the fallow land without its regrowth. Growing the valuable Melia dubia trees will prevent further invasion of Prosopis, enabling seasonal agro-forestry under its shade. The shade and mulch provided by Melia dubia also prevents moisture loss, leading to less water costs. This would make agro-forestry, even in dry lands for small farmers, economically viable.

In the drier districts of Tamil Nadu, we propose to convert fallow lands into Melia dubia agro-forestry based agriculture. The trees can be planted at an interval of 15 or 20 feet apart, corresponding to about 192 or 108 trees per acre respectively.

We propose to approach the small farmers with a buy-back scheme in these districts through co-operatives and other existing networks to come to a profit sharing model for the growth and procurement of the Melia dubia trees. Besides providing saplings at a minimal cost of Rs 10 ($0.13 USD) per sapling, we provide expertise in logistics and inputs such as access to credit, biofertilizers, expert advice for growing of shade crops, marketing of the shade crops, and access to machinery and market for value addition of Melia dubia by converting them into veneer. We will facilitate the collection of the Melia dubia trees at the time of harvesting (after 5-7 years), so that transport and labor costs and minimized.

Veneer making rotational lathe machines would be set up near the farms for value addition. Conversion into veneer reduces transport costs, enabling further penetration of the Melia dubia market as plywood industries are not geographically wide-spread in Tamil Nadu.

Our target population are small farmers, who have fallow lands close to each other. Our business model consists of a buy-back contract, where a tripartite agreement with the farmers, our company and the plywood industries is agreed upon. The farmers would maintain the trees with intercropping, whereas we raise money to plant and grow the trees, and monetize the same.

Small and marginal farmers, whose lands could not be used due to prosopis invasion or lack of economic incentives - can make use of this agro-forestry buy-back program to improve their economic conditions. Besides that, civil society organizations, NGOs, foundations or trust lands which lie fallow can also be converted into agro-forestry through this program.

The land which was earlier left fallow, will be brought under cultivation of millets, oilseeds, pulses, horticulture and supported by livestock rearing in the form of native chicken and goats/sheep. This would provide a steady source of income for the farmers, whereas higher profits are obtained at the time of harvesting of the trees.

Growing Melia dubia integrated agro-forestry will reclaim degraded land, which would otherwise remain fallow. Melia dubia supports a variety of plants that can be grown in its shade, enabling the farm to do mixed-cropping, which prevents soil erosion and enhances soil fertility. Shade provided by the trees significantly reduce water consumption, and the native livestock ensures cheap locally grown protein. The trees themselves reduce the overall carbon footprint of the farm, as fallen leaves act as a mulch, reducing fertilizer inputs. Therefore, the 'understory farms' can produce low-carbon, climate resilient foods with an added source of income.

Growing Melia dubia in an agro-forestry mechanism idea is not new. Some places in South India already do this - though by larger farmers, without an over-arching network. Most of these plantations are contract-farms, where plywood industries enter into a preset agreement with farmers to grow the trees. However, they do not include value addition at source such as debarking and veneer making from the tree trunks, which we do.

Also, Melia dubia trees are not priced uniformly. They are priced based on their quality, with good quality timber, with a taller and bigger tree trunk fetching significantly higher price in the market (7.20 USD per cubic feet for girth greater than 3 feet), compared to smaller trees (2.39 USD per cubic feet for girth between 1.5-2 feet). At EcoLogin, with our experience in organic farming over many years and network of experts, we provide expert inputs - in terms of advice and logistical support for effective growth of the trees. Different climatic conditions require different levels of management - including, but not limited to - sapling care, mulching, organic fertilizer inputs, drip irrigation, etc.,

Also, we connect farmers who were previously not obtaining or getting only minimal agricultural income, to the market, through our existing networks. These three factors - value addition at source by debarking and veneer making, expert logistical support and increasing the marketization of the timber sets our solution apart from existing contract farming ways of growing Melia dubia.

Though the core technology here is the lathe machine for veneer making, which converts Melia dubia timber into thin sheets of veneer, which have an added value in market, the main selling point of our network involves the economic upliftment of small scale and medium scale farmers - including, but not limited to - giving them access to credit inputs, necessary expertise of growing the trees in a sustainable manner. Our solution offers a two-fold solution to the problem of fallow lands - the guarantee of sustained income through native chicken and goats/sheep and shade plants such as - millets, oilseeds, pulses and other horticultural plants that are sold season-by-season using cost effective irrigation methods, and the long term income of selling value added Melia dubia timber and veneer.

Automated veneer pressing machines have been in vogue for a very long time. Veneers are usually thinner than 3mm in thickness, and the machines to produce them vary in size and price depending on the degree of automation, size and capacity to operate. What was once an ancient art dating back to Egyptians many centuries ago, veneering as a commercial process is streamlined, forming a part of the supply chain - between growth of the timber, and the final produce - used in plywoods by combining veneers or in furniture.

The simple machine operated rotary lathe produces veneer below 2mm, upto 0.7mm and even lesser in some machines. Veneer making machines, along with operational costs can cost on average 26,000 USD. Funding from MIT-Solve will kickstart our project further to obtain more funds to first rent, and then acquire such veneer making machines for value addition.

The long term impact of our project is assumed to be two-fold - improve the economic and social conditions of farmers through agro-forestry based income, and reclaim fallow lands that are in the process of degradation. We aim to reclaim at least 2000 acres of land in 10 years time through this method of agro-forestry.

It is important to understand the problem of increasing fallow lands, not as an isolated problem, but situated in the larger picture of changing political economies, changing social and cultural landscape, which seems to be moving away from risk-prone farming and agriculture.

Though the immediate desired outcome is the reduction in fallow land, and increasing farmers' income, the long-term goal is to create a social infrastructure of farmer networks based in agro-forestry for sustainable, local food production.

We believe that agro-forestry is suited for this, because it offers a long-term sustained benefit for the farmers compared to the risk prone, seasonal agriculture before. In rural agricultural lands in India, word of mouth, and seeing the success of other farms play a vital role in the adoption of newer techniques, which initially might look unappealing or risky, because of its novelty. We assume - since the initial production cost of land preparation, tree saplings and initial maintenance of Melia dubia trees is very low compared to other crops, with comparatively high profits at the time of harvesting, the idea will be relatively taken up easier by farmers, who have a long term investment in their lands.

Once the shade crops start to grow, and the first season is completed, surplus income from the shade crops can be reinvested for maintenance of Melia dubia. Social impacts of such a change from fallow land would be manifold - including less alienation from the land due to long term investment of the trees, social and economic upliftment. Since the growing of trees is also not very labor intensive, the farmer has time to pursue other meaningful activities as well.

Since our concept is still not made into a prototype, we do not currently serve anyone. In one year, we aim to serve at least 4-5 farmer families, covering an initial acreage of 10-20 acres. We estimate that the initial capital can be got back with 2 seasons of profits from the shade crops grown. After 5 years, we expect to reclaim and cover upto 1000 acres of land - covering at least 150-200 farmer families directly in the drier districts of Tamil Nadu.

As mentioned in the previous question, we aim to reclaim and cover at least 10-20 acres in the next year, and 1000 acres in the next five years in the drier southern and western districts of Tamil Nadu. After 2 years of a functioning model, we aim to lift the farmer families, who we directly engage with, out of economic vulnerability. After 5 years, we aim to positively affect the economic prospects of at least 150 farmer families, which we project to create a ripple effect in a renewed interest for agro-forestry programs, which are self-sustaining.

Currently, global plywood industry is set to grow rapidly, and timber imports into India facing problems, we believe that our project will significantly reduce economic distress of many farmer families in the near future. Also, it will supply the increasing demand in the plywood industries, besides reducing imports as well.

The major barrier we face to accomplish our goals is financial in nature. Melia dubia is locally called Malaivembu in Tamil Nadu, and it also grows naturally in the state. Therefore, no cultural barrier exists in introducing this tree, as it is already locally known.

Technical aspects of seed germination, sapling maintenance of Melia dubia is also well established. In fact, the Technologies and Practices for Small Agricultural Producers (TECA) online platform of Food and Agricultural Organization (FAO) promotes and details technical aspects of growing Melia dubia in Tamil Nadu. We do not foresee much market barriers, because of the increase in demand in plywood industries for good quality timber and veneer. Also, veneer making, reduces the labor cost for the plywood industries, and therefore is more sought after.

Financially, the barriers include identifying and obtaining lands for lease, as well as for other preliminary inputs for converting the current concept into a workable prototype and then scaling it up to cover more regions and farms.

As funding is one of our major barriers, the grant from Solve can help us establish the concept into a workable prototype, and rapidly help us in scaling up as well. We are also planning to approach other funding opportunities for this project including Indian Government grants and funds, Corporate Social Responsibility (CSR) wings of Indian companies, as well as other modes of raising funds.

Also, if our project is selected by a prestigious institution like MIT, we firmly believe that it will further intensify the interest in agro-forestry market in Tamil Nadu, which will exponentially improve our funding opportunities as well as more fallow lands being reclaimed throughout the state and India. 

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We are a small team consisting of two managing directors, one full time employee and one volunteer - currently comprising of 4 members. However, we have networks and sources of contact with many NGOs and civil societies throughout the state of Tamil Nadu and few other states in India such as Odisha and Delhi.

We are a part of the Consortium for Industrial Agro-forestry (CIAF) set up by Tamil Nadu Agricultural University (TNAU). Through CIAF, and Forest College and Research Institute (FCRI - Mettupalayam), we started working on the project in 2018. For 3 months, we traveled to districts in Tamil Nadu and Karnataka to understand the finances and workings of existing agro-forestry projects growing Melia dubia. Based on findings, we have developed the current model of growing Melia dubia as an integrated agro-forestry program, with veneer making as value addition.

Our NGO wing - Basecamp has worked on social development and educational issues in rural Tamil Nadu. We have been working with the Thoda tribal communities in Nilagiris district of Tamil Nadu to bring out the branded Honey - Thäen, which has seen wide success in the market currently. We have worked with marginalized communities in Tamil Nadu, and have agricultural marketing in Pudukottai, Tiruvallur and Madurai districts, with networks throughout Tamil Nadu.

Currently we are not partnered with any organizations.

Our business model consists of a buy-back contract, where we enter into a tripartite  agreement with the farmers who would grow the trees themselves with their capital or investor funds, and we act as a facilitator between them, the investors and the plywood industries, while also helping in value addition. We facilitate credit inputs for the farmers through farmer co-operatives, and accordingly vary our revenue sharing model, based on our inputs of capital, expertise and other inputs we provide, terms of which will be accepted by all the parties involved before the project is implemented. 

Through our existing networks through our foundation, we provide greater market access to supply the timber mainly for plywood industries and other demands. Our value proposition in the demand side, from the plywood industries - is to provide quality, organically grown timber and veneer at a reasonable price. At the supply side, we provide the necessary impetus for farmers who have had higher agricultural risk before to reduce their economic risks by providing a steady source of income by marketing the shade crops every season, assuring stock-clearance through the 'buy-back' program, and value addition through veneer making. We also provide necessary expertise in removing the invasive prosopis from the farm lands.

As mentioned earlier, our main barrier is financial - to obtain the necessary capital to start the workings of our project. Besides that, as a prestigious institution, selection in MIT's Solve will significantly improve our visibility as well as increase the visibility of agro-forestry projects in Tamil Nadu, as well as in India. We hope that, if selected, our model of agro-forestry will also inspire context specific agro-forestry programs in other regions as well - enhancing economic stability of marginal and small communities, by engaging in climate smart agriculture at the local scale.

Also, with Solve's cross sector community and mentorship, we aim to scale up and expand our project sooner, if we get the funding.

With Solve's mentorship, we hope to gain a larger perspective in agro-forestry business models, how to scale up the project, as well as understand ways to optimize our revenue sharing model with the farmers.

If selected for the grant, we hope to learn from Solve's diverse mentors.