The ‘papad’ is a famous accompaniment for the Indian meal. Anglicised to the term ‘poppadam’, it has become a global favourite and is enjoyed with various dips and ‘chutneys’.
15th March 2009 was the 50th anniversary of Lijjat Papad, a Poppadam making social entrepreneurial venture that started as a desperate attempt to generate more income by seven semi literate Gujarati house wives in Mumbai. What started with a vision of independence and a loan of Rs. 80 (around $1.5) today enjoys an annual turn over of over $100m.
This venture (that started in 1959) quickly spread through other poor parts of Mumbai, and three months later, the group of 7 expanded to 25 as word spread about quality and taste of their poppadams. Today, Lijjat Papad employs 45,000 women and has become the largest women-only co-operative in India.
What (apart from the refreshing crunchiness) is the secret of Lijjat’s grand success?
A Mumbai based entrepreneur believes
“Lijjat papad is a perfect example of how a sustainable business can be built, providing large-scale employment to rural women, who are illiterate but skilled. And when such skills are given an organisational structure on a co-operative basis a long term sustainable model assures success."
Many of the women who work here believe the sense of independence and financial freedom that it generates within them is the secret of Lijjat’s success. This socially empowers them, as in spite of their illiteracy, their cooking skills can generate enough income to put their children through school. This is a classic example of a sustainable, socially entrepreneurial venture.
The most recent issue of the Economist claims that ‘Entrepreneurialism has become cool’. Whether or not the crumbling of managed capitalism as we know it has affected this remains open to debate, but it is true that entrepreneurs all over the world are ‘enjoying a renaissance’.
It is cool to do good, save the world, be sustainable, and make money while doing so.
What fun!