Annual Report 2010-2011

Community Friendly Movement Registered Address:

16/100, Vikram Vihar, Lajpat Nagar-IV, New Delhi-110024

Forward Year 2010 was the year of change that we witnessed not only in terms of business dynamics but also in terms of strategy and operations at CFM. With Finance bill 2008, clearly outlining proposed amendment to section 2 (15) of the Income Tax Act – Finance Bill 2008.

1. There are four limbs to charity – relief of the poor, education, medical relief and

advancement of any other object of general public utility – under section 2 (15) of the Income Tax Act. The proposed amendment pertains to the fourth limb – advancement of any other object of general public utility only. The proposed amendment does not hit the other three limbs – relief of the poor, medical relief and education.

2. Further the restriction on the activities of general public utility is only if the activity involves carrying on of any activity for a fee/consideration

2.1 in the nature of trade, commerce and business or

2.2 of rendering any service in relation to trade, commerce or business. Because of the macro changes at policy level and after intense discussions with Board members, funders and professionals, we decided to discontinue delink the two arms of CFM model. All trading activities carried on behalf of the communities were discontinued to preserve the legal sanctity of Community Friendly Movement [registered under Section 80(G) and 12A]. This transformation marked the setting up of a fresh guideline and mandate for CFM to move. The year also marked with expansion of Board to 7 members. The details of the Annual report outline them chronologically, we take this opportunity to thank our funders, supporters and employees who supported us and evolved CFM for 2011 and onwards. Mrs Reva Nayyar President, Community Friendly Movement

Community Friendly Movement Commercial supply chain dynamics do not by themselves address the challenges of third world employment and quality of life issues. However, it is apparent that global trade, essentially in the worldwide industries can either exploit for unilateral gain, or collaborate on 'gain share' for overall development of work force. CFM seeks to extend these opportunities within commercial interaction to benefit artisan and farmer communities globally and contribute towards UN Millennium Development Goals 2015. LEGAL IDENTITY CFM is a registered not-for-profit organization under the Societies Registration Act XXI of 1860, India (Registration no. S-52574 of 2005) with Charity Commissioner, Delhi. CFM is registered u/s 12 A of the Income Tax Act, 1961, with the Commissioner of Income Tax, Delhi Circle (Reg. No.1228) VAT registration no. 07570322247 Export Import Code no 0505074371 GOVERNANCE

Details of Board Members: (as on March 31, 2010)

Name Sex Position Occupation Meeting attended

Mrs Reva Nayyar

F President Social Service 6

Neena Ranjan F Vice President

Social Service 2

Mr Saurav Kumar

M Treasurer Development Sector

6

Mrs Kumkum Lal

F Member Odyssey Dancer 5

Shwet Ketu F Treasurer Professional 1

Rahul Nainwal M Secretary Social service 5

Rahul Barktaky M Member Social service 1

Name and Address of main Bankers: IDBI Bank: Surya Kiran Building,Ground Floor,19 KG Marg,New Delhi-110 001 Canara Bank: Janpath Branch, New Delhi-110 001 Name and Address of Auditor: Rajnish B Jain and Co C-12/147, Yamuna Vihar, New Delhi 110 053 Affiliations: CFM a member of Fair Trade Federation, USA, Co-op America & IFAT

MISSION CFM's mission is to create wealth for farmer and artisan communities in India by creating employment opportunities for 50 villages by 2020 by providing modern technological interventions, process improvements and market linkages to their produce. VISION CFM vision is to unfold a new human consciousness and create a positive and sustainable future in the village We call it "Anhad Gram" that finds its bearings in the fact that in the heart of all villages lies the simple requirements that are common to rural India cutting across geographic boundaries. By living and working together, putting economic values into practice, and creating a positive and sustainable future for humanity with nature. From the very beginning the community is to be founded on the principles of inner listening, working in harmony and co-creation with nature and service.

Hierarchical Relationship

Activities/Issues Addressed in 2010-11

The first two quarters were engaged in creating a design and culture document to bring the work of small and dispersed artisan communities in to CFM fold. More than 1200 new SKU’s (stock keeping units) using wood, fabric, glass, paper and metals have been developed for markets from existing artisan partners and are with design selection committees, some of them have already reached in the market particularly in fashion accessories.

The 8 new communities that had been documented in CFM network during the period of August –November 2010 were as follows

1. SHYAM HANDICRAFTS:Sedu Ram Chhipa, Bagru, Jaipur Rajasthan. Products: Manufacture & Supplier of all kind of Vegetable Bagru and Dabu Print

2. ADHUNIK BAGRU PRINT: Rambabu Chhipa / Shyam Babu Chhipa,Bagru, Jaipur, Rajasthan. Products: Manufacture & Supplier of all kind of Vegetable Bagru and Dabu Print

3. SUMAN SAREE KALA KENDRA: Ram Karan Sharma,Main Market, Near Chopar, Naila,Jaipur.Products: - All kind of Aari Taari Craft manufacturer.

4. DEV BHUMI NATURAL PRODUCTS PRODUCERS COMPANY PVT. LTD: Ramchandra Singh Bajwal. Produces: - Different verities of organic Rajma, Honey, Tusser silk and bamboo products

5. LATIKA VAKIL: Latika Vakil,Shanti Bhawan, Mohalla Chanutra Districh Chamba, Products: -Hand crafted rumals, pillow covers, table covers, scarves, stoles and wall hangings

6. HULAMANI HANDI CRAFTS:Mr. Ashok B Hulamani / Mrs. Tara A Hulamani Products: - Develop wide range of beautiful scarves, stoles, file covers and dress materials.

7. THE HIMALAYAN WEAVERS HANDLOOM & HANDICRAFTS INDUSTRIAL CO-OPERATIVE SOCIETY (LTD.): Gulab,Village - Takoli, Post office - Nagwain, Sub Teh. - Aut., District - Mandi (H.P.)Products: -Hand woven woolen kullu shawls, mufflers etc .

8. SWAMI SIVANANDA MEMORIAL INSTITUTE: Sunita Bhasin East Punjabi Bagh New Delhi. Products: - Hand embroidery, Kantha, appliqué bags and home furnishing items.

Indicators of Success

1. Product sampling to improve their processes and understand their delivery capabilities 2. Provided customized gifting solution for Bhartiya Janata Party’s (BJP) National

Executive meet held in Bihar 3. Sample pictures of gifting done for spire edge, Investcare, BHEL, BJP

4. CFM represented by President. Mrs Reva Nayyar in

the special debate on rise of civil society, CFM was also choosen as the gifting partner as well as for designing of the media kit for the conference that was honoured by Chief Minister of Delhi, Ms Shiela Dikshit

5. Provided Diwali gifting solutions for national newspaper ‘Pioneer’ Dehradun and Chandigarh editions

6. Community Friendly Movement initiated a major project of ‘Anhad Gram’ in Munger district, bihar with partner NGOs to develop a hub of organic and environment friendly farm products, better utilization of farm waste. The project was funded through internal accruals and funding request is being sent to various organizations. The Board also took a conscious decision to work with Indian funding agencies and corporate that have Corporate Social responsibility (CSR) as their mandate. CFM with its experience, team and group of experts would provide solutions as an implementing agency to Organizations. The executive team updated the Board that two such funding request for Project Anhad Gram- Munger,Bihar and Anhad Gram- Jhabua, Madhya Pradesh were put forward to BHEL and GAIL respectively.

7. Project Anhad Gram is a village adoption program were environment, health and hygiene and Agriculture and allied sector interventions would be imparted to villages.

8. Formation of 25 SHG’s to implement various programs in Anhad Gram-Munger are

already in place. The 1st intervention under briquettes as fuel for cooking has already been started in Baluahi village, Asarganj block, Munger

9. Development of stationary and gifting options for Millennium Spire and BHEL 10. Training and propagation of low cost smokeless briquettes as alternate fuel in 10

villages in Munger and further expanding it to 25 villages

Organizational/Environmental Changes

CFM has undergone major Board and strategic level changes to bring higher level of objectivity and social accountability in the organization. We have expanded board from 4 to 6 members. The details of the existing members are as follows:

Ms Reva Nayyar (I.A.S-Retd), President

Ms Nayyar retired as Secretary, Ministry of Women's and Child Development, Government of India. She joined the prestigious and competitive Indian Administrative Services (I.A.S) at an young age of 21 and worked across different department and Ministries for 39 years. Her areas of interest are child and women's issues.

Ms Neena Ranjan (IAS Retired), Vice President

Neena Ranjan is a civil servant, who spent long periods in the departments of art and culture and also industry and commerce in the Government of India and the State Government. She joined the Indian Administrative Service in 1969 and retired as Secretary, Ministry of Culture, Government of India in 2006. Since then, she is the Honorary Mentor of the National Gallery of Modern Art in New Delhi.

She post-graduated from Calcutta University, and later from Harvard University. Her academic interests are in art, art history and philosophy. She took up Vishvarupa a subject for PhD work in 1993. This book is a result of extensive efforts to collect Vishvarupa paintings from different sources over the years.

As the national coordinator for a United Nations project for seven years, she initiated the Cultural Informatics Lab, and undertook interactive multimedia documentation of India's cultural resources on electronic formats at the Indira Gandhi National Centre for the Arts (IGNCA) in New Delhi under the guidance of Dr. Kapila Vatsyayan. Many well researched DVDs and an excellent website were produced. The Lab continues its good work.Her hobbies include painting in water colours, travel and Indian classical music. She lives with her husband in New Delhi. Her two sons live in the United States.

Mr.Saurav Ghosh, Secretary

Saurav is a partner at Investcare, an investment advisory firm and looks after MoneyBag, its real estate division. Saurav has a dual degree in Bachelor of Business Administration and Masters in Business Administration from Indian Institute of Planning and Management (IIPM), New Delhi.

Mr. Shwet Ketu, Treasurer

Shwet has responsibility for the overall Financial Operations of Millennium Spire in India and Singapore. He is also responsible for the finance vertical of the Investee companies in India with particular focus on building financial controls. He has over 10 years of experience in areas encompassing Assurance, Financial Due Diligence, Tax Advisory, Quality and Business Process Re-engineering. Shwet joined Millennium Spire India in July 2008 from American Express where he was the Lead Financial Officer for India Market for their Corporate Travel Business. From 1999 to 2004, he worked for Ernst & Young, India in Audit & Risk Assurance Services and Global Tax Advisory Services Group. In 2004, he joined American Express in India as Manager - Financial Planning and Analysis, for their Foreign Exchange Services business before moving into the Corporate Travel Business in 2006 where he was responsible for setting up the Business Finance function. Shwet is a Chartered Accountant from the Institute of Chartered Accountants of India. He graduated in 1999 with a Bachelor of Commerce degree in Financial Management and Accounting.

Ms Kumkum Lal, Member

Kumkum Lal, a post graduate from Delhi University and a former teacher of English Literature also at D.U., is currently engaged in social service and in teaching. As part of social service, she has been working with two NGOs- Dilli Crafts Council and Jan Madhyam, and has held various positions in both of them over the years. Dilli Crafts Council is in the field of promotion and of Handicrafts and financial sustenance of underprivileged artisans, craftsmen and artists involved in it. Jan Madhyam is the field of Special children- physically and mentally challenged- with focus on the female child.

Kumkum is a well known exponent and teacher of the classical Indian dance- Odissi. A student of Padmavibhushan late Kelu Charan Mohapatra, she performs and teaches dance. Her lecture-demonstrations have been well received nationally and internationally. Kumkum has lectured foreign and management students at universities and management students on Indian Culture. Kumkum's eminence in the cultural field has been very helpful in understanding the traditional arts and crafts of the country and in turn in her work with crafts and craftsmen. Besides the two NGOs she has also held administrative position in the apex body Sangeet Natak Academy as head of their dance division.

Mr. Romesh Bhattacharji, Former Narcotics Commissioner of India (IAS Retired)

A specialist in trans-border trafficking and narcotics, Mr Romesh Bhattacharji was Narcotics Commissioner of India from July 1996 to December 2006. His responsibilities included the detection of heroin labs and other illegal facilities, the destruction of illicit opium poppy cultivation the supervision of legal poppy cultivation for medicinal purposes in parts of India. Before his retirement, other recent posts within the Government of India include Chief Commissioner of Customs and Additional Director General of Revenue Intelligence.

A freelance writer, Mr Bhattacharji has written numerous articles on security, insurgency, narcotics and tourism. He has also written a book on the insurgency afflicted north-eastern region of India. He has worked as a consultant for the United Nations Office on Drugs and Crime on Afghanistan’s opium crisis, and has conducted extensive field research in the farming communities of Afghanistan. He is also actively involved in development of artisan communities from Kullu regio.

Also we have been able to restructure the work of CFM under three specific heads of

1. Environment: • Propagation of cleaner fuel in form of briquettes made from bio waste (These no

smoke briquettes reduces risk of cancer, TB caused through smoke inhalation). • Clean technology implementation of electricity from bio waste and rain water

harvesting. 2. Entrepreneurship and Vocational Education Programme

• It is need based and area specific programme wherein the agriculture and allied industries like poultry, goatree, milk chilling etc are identified on the basis of local requirements and felt needs of the market/target population.

• Networking with local industries for marketing with local financial institutions in case of self-employment ventures is carried out before the actual launch of the programme.

• During implementation of the programme, the emphasis will be more on hands on training and advanced method of skill development, using latest equipment and tools.

3. Community Development of sustainable business model “Anhad Gram” at village level to provide relief towards poverty reduction and migration towards cities that create slums

The forward plan Proposal for the year 2010-11 and onwards has been submitted with President and subsequent useful discussions in the regard were carried at prospect funders since January 2011.

Consolidated Balance Sheet 2010-11

Consolidated Balance Sheet 2010-11

Future Ahead

2011 and Onwards: Project Anhad Gram

No of Villages in pilot run : 25 (Asarganj Block, Munger, Bihar) No of villages in pilot run in Madhya Pradesh: 25 (Jhabua district, MP) No of Briquette production units for smokeless cooking fuel: 10 No of Chilling units: 7 No of functional SHG’s: 45 No of beneficiaries impacted: 30000 Total Agricultural land covered: approx 50 hectares Funding requirement for above 3 cr

Present status of projects

• 25 SHG’s formed in Munger, Bihar • Baseline survey in 25 villages completed for Anhad Gram, Munger. • 1st SHG has been provided a loan of Rs 25,000 for briquetting work • Vendor (s) identified for machine and equipment for husk utilization • 1st chilling unit to be commissioned in December 2011, funding request with BHEL.

R eg istered Address: 16/100, Vikram Vihar, Lajpat Nagar-IV, New Delhi-110024