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Success
Stories
Pedaling Out Of The Debt Trap
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"After years of struggling with debt and poverty,
Hariram Kushwaha is breathing a sigh of relief.
Finally there is a ray of hope in his life."
The
success story of Hariram Kushwaha from
District-Hardoi,
U.P. |
Hariram Kushwaha is breathing a
sigh of relief.
Finally there is a ray of
hope in his life. With a little help from his KB Treadle
Pump, he will soon be liberated from the debt trap he
fell into eight years ago when he borrowed Rs. 16,000
from a local money lender to buy a small plot of land.
The interest charged was
phenomenally high – 48 percent per annum, sadly, a
common enough occurrence in rural India.
Since that day,
Hariram has been struggling to repay both the loan and
high interest amounts.
Unable to support his family
by working on the farm. Hariram was forced to become a
cycle rickshaw puller in the nearby town of Hardoi.
After a hard day’s work, he
was able to earn between Rs. 60 – 100 per day, but it
was still difficult to support his family.
Hariram had to sell off his
buffalo to pay part of the interest on his debt.
Over the next two years, he
paid another Rs. 10,000 to the money lender in four
installments.
Life was definitely not easy
for the family – they were caught in a debt trap with no
way out.
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One day, an IDE (India) staff saw
Hariram’s wife engaged in the back-breaking work of
pumping out water for irrigation the hand-pump. The
IDEI Staff
demonstrated the use of the 3.5" Metallic KB Pump,
capable of pumping out three
times more water than the hand-pump with
less effort.
The couple installed a treadle pump on their
plot but sadly their first irrigated crop of potato
was a failure. Not due to any lapses on their part
but due to a virus attack.
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Again IDE (India)
came into picture and the local staff advised the family
to go in for nursery raising, a move that would not only
profitable but also optimize their locational advantage
of being on the main road.
In the first year, on part
of his farm, with the aid of the treadle pump, Hariram
prepared a nursery for eucalyptus, rose and seasonal
vegetables.
The response was good and
soon, Hariram stopped pulling the rickshaw and become an
entrepreneur.
He earned a net profit of
Rs. 10,000 and therefore, could pay off his debt.
In the second year, Hariram
converted his entire farm into a nursery and the
family’s net income jumped to Rs. 45,000.
Hariram paid Rs. 25,000 as
part of his debt and subscribed to a life insurance
policy at the annual premium of Rs. 3,200.
He also invested in a
rickshaw trolley to transport the plants.
Today, Hariram and his wife have become socially visible
as successful entrepreneurs, a far cry from the days of
being desperate and debt-ridden. Finally, Hariram has
paid off most of his debt with only a small amount left.
The children are going to school and Hariram is
planning to build a house once the loan is repaid.
Reminiscing about his life, Hariram becomes
emotional “I am dreaming of brighter days for my family
because of this KB pump.
In my life time, I will never let it go away from
my field”.
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