Turning papads into power

A group of illiterate housewives with lots of time but no resources used to spend the day gossiping in their cramped, lower middle-class Mumbai building. Then they hit on the idea of selling papads.

Fifty years later, their entrepreneurial effort, Lijjat Papad, is an award-winning company with an annual turnover of $123 million.


"The men would go to work, the children to school. After completing all domestic chores, we had almost the entire day to spare," Jaswantiben Popat told IANS. "But, unlike rich women, we could not indulge in luxuries like shopping or kitty parties. So we came up with the idea of making papads."


Papads are traditional Indian meal starters made of lentil, chickpeas, black gram, salt and oil.


Popat is the only surviving member of the team of seven that set up Lijjat on March 15, 1959, armed only with rolling pins.


"We started by pooling individual resources and managed to roll out 2.5 kg papad. It was sold to a local shopkeeper for cash. The inaugural day’s turnover was Rs.10 (25 cents)," said Jaswantiben, now a sprightly 80.


As Lijjat marks its golden jubilee year with profits that include $6 million earned via exports, Jaswantiben continues to work in Lohana Nivas in Chira Bazaar — the place where it all began.


"What started with just seven women on a loan of Rs.80 ($1.95) has now grown into an enterprise owned by over 42,000 women, spread across 72 centres around the country," said Jyoti Naik, president of the Shri Mahila Griha Udyog Lijjat Papad (SMGULP) co-operative.


Jaswantiben said the hallmarks of Lijjat’s success are quality, consistency in taste and hygienic conditions for preparation of the papads.


Jaswantiben recalled that originally the product was sold in plain plastic bags with no name. As business grew, people demanded the papad, but it had no identity, and dealers wanted a name for the product.


"We ran advertisements in local Gujarati and Marathi newspapers, inviting suggestions for a brand name, since our papads had already become famous in Mumbai," she said. Over 100 suggestions came — and the women selected Lijjat.


"The word symbolizes the ultimate in taste, quality and also women’s dignity (ijjat) to earn an independent living. It was selected unanimously," Jaswantiben said.


The seven Lijjat founders got a lot of help from local residents Chhagan Parekh and Purushottam Dattani — guidance regarding the vagaries of business, tips on expansion, creating a strong brand, strategic pricing and correcting their mistakes.


"Today, we worship them alongside our gods. Chhaganbapa and Dattanibapa are equal to gods for all the 42,000 sisters," Jyoti said.


She said co-operation and ownership, with equal share in resources and the final income, have attracted many women to the enterprise. The members’ domestic responsibilities are kept in mind while running Lijjat.


"Initially, all new entrants are trained daily at 4.30 am. After they master the art of mixing the dough, garnishing with the variety of spices, rolling papads as per our minute specifications and drying them, they have the option to work from home as per their convenience. We deliver the raw material as per individual requirements and pick up the finished products," explained Jyoti.


Encouraged by the popularity of the brand name, SMGULP has diversified into spices, wheat flour, soaps, detergents and khakhras — a Gujarati snack.


Despite the huge turnover, SMGULP continues to remain a cottage industry with no plans of adopting a corporate image.


"This is a business of the women, by the women, for the women, irrespective of caste, creed and religion. Corporatization and professional management will not work here since women put their hearts and souls into it," Jyoti said.


Recognized by the Khadi and Village Industries Commission, the SMGULP has won several national and international awards.

 

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