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Post at: Sep 06 2021

‘Van Dhan' producer Companies

Recent Context

  • Ministry of Tribal Affairs has announced to establish 200 Van Dhan producer companiesunder the Van Dhan initiative of TRIFEDon August 13, 2021.
  • These producer companies to be established in 27 states during 2020-21 to 2025-26, with a focus on aspirational districts.

What is the Van Dhan Scheme?

  • It's a market-driven tribal entrepreneurship development initiative that focuses on building clusters of tribal Self Help Groups (SHGs) and strengthening them into Tribal Producer Companies.
  • The effort aims to provide tribals with a source of income by utilising the forest's richness, namely Van Dhan.
  • The scheme was first introduced in 2018 as the Pradhan Manti Van Dhan Yojana (PMVDY).
  • The Tribal Cooperative Marketing Development Federation of India Limited is in charge of implementation (TRIFED).

Aim of the Scheme

  • To tap into tribals' traditional knowledge and skill sets by incorporating technology and information technology to enhance it at each stage and turn tribal wisdom into a viable commercial activity.
  • Promoting and using tribals' collective strength to achieve a viable scale to combat predatory market pressures in locations where they still exist.
  • The proposal aims to establish tribal community-owned multi-purpose Van Dhan Vikas Kendras centred on Minor Forest Produce (MFP) in predominantly tribal districts.

Achievements under Van Dhan Initiative

  • In less than two years, 37,904 Van Dhan Self Help Group (VDSHGs), subsumed into 2275 Van Dhan Vikas Kendra Clusters (VDVKCs) of 300 forest dwellers each, have been sanctioned by TRIFED as of date.
  • The Van Dhan Vikas Kendra Clusters provide the VDSHG economies of scale, livelihood and market-linkages, as well as entrepreneurship opportunities to nearly 6.67 lakh Tribal forest gatherers in 23 states and 2 UTs.
  • Keeping in line with “Atmanirbhar Bharat” aligned to the slogan of “Be Vocal for Local Buy Tribal”, towards realizing the goal of “Sabka Saath, Sabka Vikas”, TRIFED has embarked upon an umbrella programme “Pradhan Mantri Janjatiya Vikas”.

Government’s Initiative for Livelihood of Tribal Population

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