Velugu, a rural poverty alleviation project in Andhra Pradesh has been awarded the best project in its category by the World Bank. It covers 80% of Andhra Pradesh – present in its poorest districts that are also water starved. Nearly 77 lakh families living marginal existences have been impacted by the project that aims at creating sustainable livelihoods for the poor. Currently because of limited livelihood opportunities, a typical tribal is gainfully employed for only 180-190 days a year. The thrust is to ensure that he is employed around the year.

The uniqueness of Velugu is that in addition to increasing livelihood opportunities, it also uses Science as a multiplier to overcome the inherent weakness of the poor – they can’t compete on cost parameters. Therefore science is used to identify key USPs that add to a product’s value. For example lac cultivation methods were improved leading to an increase in price from Rs. 15 to Rs. 70 per kg., benefiting nearly 150,000 tribals.

In addition to purely economic benefits, Velugu’s impact is that it affects the political, social and economic fabric of a village. Women are organized into groups that gives them more buying and selling power, gives them political clout enabling them to get their rights met, and the social fabric is strengthened through group inter-dependence.