ASIAN JOURNAL OF MANAGEMENT RESEARCH Online Open Access publishing platform for Management Research Copyright 2010 All rights reserved Integrated Publishing association Case study ISSN 2229 3795 Women empowerment through SHG,s in Kovilangulam panchayat, Usilampatti taluk, Madurai district A case study Manonmani. I.K 1, Prabhakaran.V.P 2 1- Assistant Professor, Department of Geography, Madurai Kamaraj University 2- Computer Programmer, Department of Geography, Madurai Kamaraj University ikmm141@rediffmail.com ABSTRACT The word 'empowerment' means giving power. According to the International Encyclopedia (1999), power means having the capacity and the means to direct one's life towards desired social, political and economic goals or status. Empowerment provides a greater access to knowledge and resources, more autonomy in decision making, greater ability to plan lives, more control over the circumstances which influence lives, and freedom from customs, beliefs and practices. Empowerment of women not just a goal in itself, but key to all global development goals. Empowerment is an active multidimensional process to enable women to realize their identity and power in all spheres of life. This paper explains the women empowerment in Kovilangulam Panchayat, Chellampatti Block, Usilampatti Taluk, Madurai District as a case study. Keywords: Empowerment, SHG, 1. Introduction In the early decades of planning problems of women were looked upon as problems of social welfare, rather than of development. Throughout the Third World, particularly in the past 15 years, there has been a proliferation of policies, programmes, and projects designed to assist low income women. This concern for low-income women s needs has coincided historically with recognition of their important role in development. Since the 1950 s, many different intervention strategies have been formulated to address women s needs which reflect changes in macro-level economic and social policy approaches to Third World Development, as well as in state policy towards women. The empowerment approach is the most recent and is aimed at empowering women through greater self-reliance and internal strength. Hence this present study examines the women empowerment through SHGs in the backward taluk of Usilampatti. 1.1 Women Empowerment Women Empowerment refers to increasing the spiritual, political, social or economic strength of Women. The most common explanation of Women s Empowerment is the ability to excise full control over one s actions. The empowerment of women occurs in reality, when women achieve increased control and participation in decision making that leads to their better access to resources it often involves the empowered developing confidence in their own capacities ASIAN JOURNAL OF MANAGEMENT RESEARCH 228
1.2 Women Empowerment in India: The Constitution of India grants equality to women in various fields of life. The Government of India had declared the year 2001 as Women s Empowerment Year to focus on a vision where women are equal partners like men. In the past, women were not ready to undertake any work, job and business due to shyness, fear and male dominance in the society. Women of today want more economic independence, their own identity, achievements, equal status in the society and greater freedom As majority women lack assets that help contribute to their empowerment and well-being, economic independence through self-employment and entrepreneurial development must be paid attention too. So, the Government of India has provided for Self-Help Groups (SHGs). 2. Self-help groups Self-Help Group is a small voluntary association grouping of 10-20 women to form a group which is a home grown model for poverty reduction which simultaneously works to empower and improve the lives of its members. SHG s originated in the year 1975 at Bangladesh by Mohammed Yunus. The Government of India contemplated in the early eighties to promote apex bank to take care of the financial needs of the poor, informal sector and rural areas. During this time, NABARD initiated a search for alternative methods to fulfill the financial needs of the rural poor and informal sector. NABARD initiated in 1986-87, but the real effort was taken after 1991-92 from the linkage of SHGs with the banks The formation of SHGs have benefited its members in numerous ways; not only have the assets, incomes and employment opportunities for the women but also enhance the equality of status of women as participants, decision-makers and beneficiaries in the democratic, economic, social and cultural spheres of life (Ritu Jain 2003). The basic principles of the SHGs are group approach, mutual trust, organization of small and manageable groups, group cohesiveness, sprit of thrift, demand based lending, collateral free, women friendly loan, peer group pressure in repayment, skill training capacity building and empowerment (N.Lalitha & Nagaraj B.S. 2002). In Tamil Nadu the SHGs were started in 1989 at Dharmapuri District. At present 1.4 lakh groups are functioning with 23.83 lakh members. In this background the SHGs are important tool to promote rural savings and gainful employment. Through SHG s, the rural poverty is reduced considerably. Keeping this in mind, the present study is also interested and focusing the economic improvement of women after they joining SHGs. 3. Study Area Kovilangulam Panchayat is located in the eastern part of Chellampatti block in Usilampatti Taluk, Madurai District. Usilampatti Taluk is declared as a backward taluk by the Government. This taluk is educationally backward area of women literacy comparing the male literacy. This taluk is main focus of the World for women development. Because of this taluk is focused for female infanticide. The study area Kovilangulam panchayat is located in the Usilampatti Taluk, ASIAN JOURNAL OF MANAGEMENT RESEARCH 229
Hence this panchayat is selected for this study. The total population of the village according to 2001 census is 6587 of which males constitute 3048 while females account 3280 and literacy rate is 62%. In this study area 15 SHGs are selected from three hamlets namely Pudupatti, Kovilangulam and Sathiyamoorthi Nagar of Kovilangulam Panchayat.. 3.1 Objectives 1. To study the income, expenditure and savings of the members before and after joining SHGs. 2. To know the role of SHGs in providing rural credit. 4. Methodology This study is compiled with the help of the primary data covered only one year period (2009-10). The primary data were collected with the help of specially prepared interview schedule. The schedule includes the questions related to the general information about the SHGs members, income, expenditure, savings and loan schemes available to SHGs members. Totally 80 respondents were selected from 15 SHGs (240 total members) simple random sampling method. ASIAN JOURNAL OF MANAGEMENT RESEARCH 230
The sample size was 1/3 of the total members in the SHGs. This is purely a descriptive study. Therefore no complicated models and tools were used, only percentage is used for the analysis. 4.1 Analysis and Interpretation Age Group of Members of SHGs Age and socio-economic activities are inter-related. Table-1 shows the Kovilangulam Panchayat Women Self Help Group. This study area, SHGs age limit is normally 18 to 19 years. The young and middle age group people can actively participate in the socio-economic activities, which is true in the activities of SHGs in the study area (Fig. 1). The women age groups 40-50 are actively participated in the SHGs activities. Because these age groups members are mostly committed in the various family responsibilities. The age group between 20-30 and 30-40 are very important for SHGs. Table 1: Kovilangulam Panchayat Women Self Help Group - Age Sl.No. Age Group No. of Respondents Percentage 1 Less than 20 5 6.25 2 20-30 14 17.5 3 30-40 20 25.0 4 40-50 26 32.5 5 50-60 8 10.0 6 Above 60 7 8.75 Total 80 100 Kovilankulam Panchayat Women Self Help Group - Age Percentage 35 30 25 20 15 10 5 0 Less than 20 20-30 30-40 40-50 50-60 Above 60 Age Group Figure 1: Kovilangulam Panchayat Women Self Help Group Age 4.2 Reasons for Joining SHGs Table 2 shows the major aim for joining the Kovilangulam Panchayat women SHGs. It proves increasing social status and promotes savings. This is true because many women in the study area joins the SHGs for getting loan and promote their personal savings, in addition to get social ASIAN JOURNAL OF MANAGEMENT RESEARCH 231
status. In the study area many women (28.75%) joins the SHGs for social status (Figure-2), 27.5% of the respondents join for improving their savings. 25% of the respondents joins the SHGs for the getting financial assistance, because SHGs give the identify to the members. For other reasons such as social, cultural and political improvement some members (18.75%) join in the SHGs. Table 2: Kovilangulam Panchayat Women Self Help Group - Reason for Joining Sl.No Reason No. of Respondents Percentage 1 For Social Status 23 28.75 2 For Promoting Savings 22 27.50 3 For Getting Loan 20 25.00 4 For other reasons 15 18.75 Total 80 100 Kovilankulam Panchayat Women Self Help Group - Reason for Joining 30 25 Percentage 20 15 10 5 0 For Social Status For Promoting Savings Reason For Getting Loan For other reasons Figure 2: Kovilangulam Panchayat Women Self Help Group - Reason for Joining 4.3 Income Level of the Members Income is the major determinant of the standard of living of the people. Depending upon the educational qualification, they settle in a particular occupation and accordingly earn income. The SHGs member income has been increased after joining the SHGs. Hence women members of the groups are independent to meet their personal expenditure, and they contribute more to their household income. Many housewives did not earn anything before joining SHGs, but after becoming a member of the SHGs, they are also earning reasonably. This increases the willingness to participate in the SHGs activities (Table 3). From this table, we infer that women after joining the SHGs earn more money and increase their income level from Rs.2000-3000 (17.5%) to Rs. 5000 and above (10%). Particularly Rs.3000 Rs.4000 earning group is high. This shows that most of the members can earn average of Rs.100 to Rs.150 every day. Many women members independently involve in the economic activities individually and with ASIAN JOURNAL OF MANAGEMENT RESEARCH 232
other group members after joining SHGs. Therefore they are now economically independent and contribute to increase their household income. Table 3: Kovilangulam Panchayat Women Self Help Group Members Monthly Income (before and after joining) Before Joining After Joining Sl.N Monthly Income No. of Percentage No. of Percentage o. Respondents Respondents 1 Less than 1000 15 18.75 10 12.5 2 1000-2000 18 22.50 12 15.0 3 2000-3000 12 15.00 14 17.5 4 3000-4000 7 8.75 19 23.75 5 4000-5000 3 3.75 11 13.75 6 5000 and Above 2 2.5 8 10.00 7 Without getting income 23 28.75 6 7.5 Total 80 100 80 100 35 30 25 Kovilankulam Panchayat Women Self Help Group Members Monthly Income (Before and After Joining) Percentage 20 15 10 5 0 Less than 1000 1000-2000 2000-3000 3000-4000 4000-5000 5000 and Above Without getting income Monlthly Income Before Joining After Joining Figure 3: Kovilangulam Panchayat Women Self Help Group Members Monthly Income (Before and after joining) 4.4 Expenditure of the SHG members Family The family expenditure has been increased due to the positive change in the SHGs members income. The increased income not only enhances the expenditure of the family but also promote the savings of the family after they join in the SHGs. Here the objective of the SHGs is fulfilled. This is an achievement of the women SHGs in the study area (Table 4 and 5). Usually working women are being respected by the household members and the society. Nowadays the women in the SHGs are also respected by the others, because they are independent in earning the income and they are contributing to household income, expenditure ASIAN JOURNAL OF MANAGEMENT RESEARCH 233
and savings. Therefore the above discussion clearly states that after joining members well-being has been increased. the SHGs, the Table 4: Kovilangulam Panchayat Women Self Help Group Members Monthly Expenditure (Before and after joining) Before Joining After Joining Sl.N Monthly expenditure No. of Percentage No. of Percentage o. Respondents Respondents 1 Less than 1000 20 25.00 16 20.00 2 1000-2000 22 27.50 24 30.00 3 2000-3000 17 21.25 22 27.50 4 3000-4000 11 13.75 13 16.25 5 4000-5000 6 7.50 3 3.75 6 5000 and Above 4 5.00 2 2.50 Total 80 100 80 100 35 Kovilankulam Panchayat Women Self Help Group Member Monthly Expenditure (Before and After Joining) 30 25 Percentage 20 15 10 5 0 Less than 1000 1000-2000 2000-3000 3000-4000 Monthly Expenditure 4000-5000 5000 and Above Before Joining After Joining Figure 4: Kovilangulam Panchayat Women Self Help Group Members Monthly Expenditure (Before and after joining) 4.5 Rural Credit and SHGs One of the reasons for joining SHGs is to avails credit (V.M. Rao 2002), which is true in the present study area. The second objective of the present study is to know the rural credit by SHGs. This part is discussed the rural credit and SHGs in study area. The credit organizations are nationalized banks and they follow many formalities to provide credit to the rural people. Sometime village money lenders lending money very high rate of interest. In this situation SHGs are the boon to the rural people, because instead of approaching individual, SHGs can ASIAN JOURNAL OF MANAGEMENT RESEARCH 234
easily approach the banks and other institutions to get loan. All the members are responsible to repay the loan to the banks. Therefore members are repaid the loan in time. (Table 6). Moreover banks instruct the members to save minimum Rs. 100 per month. So re-payment is very easy to SHGs. The loans can be used by individual group members for their personal needs, sometime the group may invest on any economic activities. Nowadays many SHGs are starting small business such as tailoring, food processing units etc. The SHGs in the study area grant the loan to their member for various purposes. The maximum loan amount per members is decided by the general body meeting. Almost all the members in the study area are availing the loan facilities in their SHGs (Table 5). All the members get loan for different purposes from self-help group of our study. The various purposes for which loans obtained by the respondents are to start business, to educate their children, to meet medical expenses, to meet marriage expenses, to maintain house expenses, to redeems other loans and to meet festival expenses. Table 5: Kovilangulam Panchayat Women Self Help Group Members Amount of Loan availed Sl.No. Availed loan amount No. of Respondents Percentage 1 Less than 5000 27 33.75 2 5000-10000 25 31.25 3 10000-20000 16 20.00 4 20000 and above 12 15.00 Total 80 100 Table 6: Kovilangulam Panchayat Women Self Help Group Members Loan Repaid Sl.No. Particulars No. of Respondents Percentage 1 Repayment in Time 62 77.50 2 Repayment in Advance 4 5.00 3 Repayment not in time 14 17.50 Total 80 100 5. Conclusion The study was undertaken the women empowerment through SHGs in the Kovilangulam Panchayat in Usilampatti Taluk. The analysis of the study area has brought to light the following conclusions. This study area, SHGs age limit is normally 18 to 19 years.the women age groups 40-50 are actively participated in the SHGs activities. Because these age groups members are mostly committed in the various family responsibilities..many women in the study area join the SHGs for getting loan and promote their personal savings, in addition to get social status. In the study area many women (28.75%) joins the SHGs for social status. 27.5% of the respondents join for improving their savings. ASIAN JOURNAL OF MANAGEMENT RESEARCH 235
Women after joining the SHGs earn more money and increase their income level Rs.2000-3000 (17.5%). Particularly Rs.3000 Rs.4000 earning group is high. Therefore they are now economically independent and contribute to increase their household income. The increased income not only enhances the expenditure of the family but also promote the savings of the family after they join in the SHGs.. This is an achievement of the women SHGs in the study area. SHGs can easily approach the banks and other institutions to get loan. All the members are responsible to repay the loan to the banks. Therefore members are repaid the loan in time. The various purposes for which loans obtained by the respondents are to start business, to educate their children, to meet medical expenses, to meet marriage expenses, to maintain house expenses, to redeems other loans and to meet festival expenses. This study area woman are get awareness after joining the SHGs. Hence SHGs are very powerful tool to the backward rural areas to develop the women empowerment. 6. References 1. Rajamohan, S. (2003), Activities of Self Help Groups in Virudhunagar District- A Study, TNJC, pp. 25-29 2. Ritu Jain, (2003), Socio-Economics Impact through Self Help Groups, Yojana, 47(7), pp.11-12 3. Lalitha N & Nagaraja B.S.( 2002) Self Help Groups in Rural Development Dominant Publishers and Distributers, New Delhi, 4. Veena Kumar Social- Economics Status of Women in India. Southern Economist, August 1999 5. Vinayagamoorthy A Women Empowerment through Self Help Groups: A Case Study in the North Tamil Nadu. 6. www.iimb.ernet.in, accessed during July 2011. 7. www.ifad.org, accessed during July 2011. ASIAN JOURNAL OF MANAGEMENT RESEARCH 236