Community Enterprises Key to development and empowerment of communities in floodplains

March 2025

Unutilized floodplains can be transformed into resourceful aquaculture areas. While generating income for the communities, integrating fisheries with agriculture also optimizes the use of resources in an ecologically sound manner. The ‘Daudkandi’ floodplain experience clearly shows how a community successfully co-managed a floodplain CPR, through Community Enterprise Approach.

Seasonally inundated floodplains remain a seriously under-utilised and potentially highly profitable resource in Bangladesh. Most of these floodplains are composed of private lands, which are mainly used for agricultural purposes during dry seasons. A floodplain usually becomes a single water body, connecting lands which are owned by different owners, and sometimes under different property rights regimes. Thus, they become unusable for investment-based resource development or extraction, unless some collective arrangement is made among rights holders.

As the number of seasonal floodplains is increasing owing to climate change and increased flooding, especially in low lying countries such as Bangladesh, it is becoming increasingly important to utilise and manage these flood plains so that existing livelihoods are not disrupted. Earlier, a few initiatives were tried but failed due to lack of agreements among landowners, conflicts over sharing costs and benefits, alternative seasonal uses of floodplain lands, etc. Also, any initiative like the Floodplain Aquaculture enterprise initiative would require considerable investment in infrastructure because of the water-body’s nature, in addition to fish culture related investments.

Community Enterprise Approach

The ‘Community Enterprise Approach’ (CEA) mobilizes the community and creates ‘enterprises’ or collective business entities to manage and utilize the community assets and resources like untapped floodplains. This approach combines the power of corporate incentives for efficient management of the resource, with the democratic mandate from the community to involve all community members in the economic development process. Community members become shareholders (owners) and are empowered to democratically elect their representatives, who make management decisions.

Community Enterprise is a People Led Development mandated beyond economic activities and includes other development goals. The role of an NGO is limited to providing a platform for dialogue, enable strengthening local level governance and facilitating more interaction and participation of all stakeholders.

 

In 1996, shortly after the construction of the Gumti embankment, a local NGO called SHISUK began promoting a community management approach to floodplain aquaculture and worked with local communities to develop successful floodplain aquaculture practices.

The Initiative

SHISUK has been working in Bangladesh since 1996 to demonstrate Community Enterprise Approach (CEAs) for community development that centers on untapped community resources. The CEA was conceptualized to demonstrate People Led Development approach to achieve the following objectives:

SHISUK’s Community Enterprise Approach (CEA), popularly known as “Daudkandi model” is a People Led Development (PLD) approach to mobilize greater community to take collective enterprise initiative for increased productivity (fisheries and agriculture) based on untapped and emerging floodplains. To turn these un/underutilized floodplains into profitable aquaculture-agriculture project, CEA helped to align individual interests with community interest through making  a win-win negotiation and also empowering all community members to democratically participate decision making. Using this approach, very large inundated fields have been used to produce fish during the monsoon season, but then are returned to agricultural production during the dry season. 

 The process

For initiating a successful management system for a floodplain, the first issue to resolve is the seasonality and the unique tenure system of floodplains. SHISUK organized meetings of community members to mediate debate and discuss questions or concerns that stakeholders have about the risks of investing, potential damage to property, and access rights.

The land inundated by the flood water was leased in, and the landowners agreed to this contract in exchange of payments. An embankment was built, covering only part of the floodplain which were the land areas of the landowners who agreed to the contract. This enclosed area came under the community enterprise during monsoon, and in the dry season the landowners regained their right over individually held lands. Through the leasing system and having a cap on individual shareholding, the bargaining power of the landowners decreased and reduced the transaction costs. Share issuances also raised sufficient capital that could be invested for building specialized physical capital, such as the embankment. The risk for each shareholder was lower, as most people in the community were part of the shareholder group. Moreover, the CE approach promised greater profits for people who took more risks. Hence, it managed the risk preference of the community members effectively, including of the landowners.

To initiate a community enterprise, the entire community is mobilized using the ‘asset based community development’ framework.  Identifying the community assets and networks, built relationships with the community leaders, collected stories of community success from community members and involved key community stakeholders in the planning process. Most importantly, community networks are treated as assets and not only just built a relationship of trust with the community, but also built social capital among the community members. Hence, the increased social capital significantly lowered the transaction cost.

Capacity building exercises were conducted for the community users, given that there was no specialized fisher group in the community prior to this initiative. The training was provided for free and most of the beneficiaries were the landless and marginalized people, who gained a specialized skill and were employed by the enterprise for floodplain aquaculture.

In the demonstration projects, SHISUK, the facilitating organization, also provided management support in various ways such as arranging external credit when required, performing audits, staffing, establishing networks with government bodies. These are crucial activities, especially given that a formal enterprise was established, and the community had no prior experience in dealing with these issues. Local leaders and landowners lacked experience in commercial aquaculture, hence, several workshops on the system dynamics of floodplain aquaculture was arranged. Through these initiatives, the capacity and knowledge gap were addressed.

Towards agroecology and green development

A number of activities were taken up to practice farming to produce safe food and not pollute the environment. Awareness programmes about the ill-effects of climate change on agriculture were carried out. Farmers were prepared and guided for changes in cropping patterns to be adopted. Natural resource conservation activities like afforestation, water harvesting and conservation, conservation of bio-diversity were taken up. Good crop management practices were promoted to reduce green house gas emissions. For example, when seedlings are ready to be planted, the water is drained and seedlings are planted using soil moisture. This saves drawing of ground water for irrigation at the beginning of the season. Normally, in the floodplains, farmers used to spend a good amount on clearing weeds like water-hyacinth, using weedicides. But with CEA-based aquaculture prevents weedicide use and floodplains remain clean. Because of cleanliness, there are fewer pest manifestations and fewer opportunities for pest breeding, thus reducing pesticide use. Also the supplementary feed for fish and fish droppings contributes to soil fertility, thus reducing the use of chemical fertilizer and reducing fertilizer costs.

Risk mitigation tools, e.g., crop insurance, alternative options for livelihood, were promoted. A hub for networking was created with already established national and international systems to disseminate information to grassroots in advance about the incoming disasters

Results and Impact

A study conducted in Comilla district in rural, southeastern Bangladesh covering 15,594 households in 62 villages and 405 waterbodies, reported interesting results. This area was an early adopter of large-scale, seasonal floodplain aquaculture. Majority of households reported economic engagement with inundated fields. They found that income increase owing to aquaculture is around 28,000 Taka (400 USD). They found evidence of effects of substantial increases in household monthly expenditure and savings as well.

The stakeholders ability to cope with natural disasters such as storms, floods and droughts has enhanced. They have learnt to adapt to ongoing processes resulting from climate change. Communities have become resilient in facing adversities, both at the household and at community level, owing to the improved economic conditions.  

CEA has created a platform of better interaction and governance for growing together, involving the entire community, with the equitable partnership. The average number of stakeholders has increased from 12 in the pre-project phase to 40 in the post-project phase.

The approach has helped the underprivileged to join the mainstream and reap various benefits. Through single voting rights for every member, the underprivileged got an opportunity to participate in the mainstream collective decision-making process. Marginal farmers, landless and fishermen are the most benefitted owing to the CEA, by way of better employment and entrepreneurial opportunity. Around 24 new category jobs and livelihoods (backward and forward linkage) have emerged from floodplain aquaculture during lean season. Around 144 person-days/ hectare of non-recurring employment and 72 person-days/ hectare of recurring employment was generated.

Increased productivity of fish and improved income has resulted in better food and nutrition security. Protein intake has considerably improved.

The approach has not only been highly profitable, but has had significant impacts in terms of social wellbeing. The social conflicts have significantly reduced. They have also seen a shift from mass out-migration to in-migration, a demonstrable sign of the improved well-being of community members as a result of pursuing community enterprises based on their common interests. A part of the enterprise profit is also invested back in the community for social development, and the underprivileged are the key benefits of such development.

Women have equally benefitted from increased income and food security. SHISUK has facilitated women’s organizations of 700 members to support their self-help or collective enterprise initiative that build their leadership  and financial literacy towards strengthening women’s empowerment. The organization have collective capital of over  2.5 million BDT (Bangladeshi taka) equivalent USD 25000 by their collective savings and income.

Women are very much involved in many backward and forward linkages like fingerling rearing in their ponds, making bamboo baskets, drying fish, etc. Gradually more women are contesting in elections for the Board of Directors. The community Enterprise welfare fund is contributing to setting up public toilet facilities as per the demand by women.

The CEA approach has resulted in a number of impacts related to climate change as well, in terms of reduced green house gas emissions; enhanced biodiversity; better ground water recharge etc. Good crop management practices were promoted to reduce green house gas emissions.

It is evident that there is a trend of improvement in the groundwater table in Daudkandi. The floodwaters typically arrive in May/June and last until October, with the majority of the water draining into the sea. But the floodplain aquaculture holds the water till the end of December for the Rabi cropping season, which allows 2-3 more months to recharge the groundwater table. The time gained for recharge as well as less need for drawing underground water for irrigation due to better flood water management, has resulted in better groundwater recharge.

Conventionally, the open floodplains are dried up and poisoned to exploit the last harvest of the fisheries, which destroys the breeding grounds of the wild fish. CEA aquaculture maintains at least 10% of the floodplain as sanctuaries for the wild brood of fishes and to stock small fishes for the next season. Besides, controlling harmful pesticide use and less use of chemical fertilizers, helps to protect and improve the biodiversity in the floodplain.

Recognition and Scaling up

After the inception of the Community Enterprise Approach (CEA) in 1997, it has replicated in the neighboring communities as a trickledown effect without any external support and the initiatives are sustained till today and improvising for better result. The farmers were involved in the pilot project also had their lands in the neighboring floodplain and they became the catalysts for the new initiatives. There are about 100 CEA initiatives in Daudkandi sub-district producing more than 20,000 metric tons of fish annually in the floodplain during monsoon only; The productivity of fish has increased more than 4 metric tons/hectare. On the other hand, due to aquaculture, multiple benefits such as, market transformation, strengthening of social cohesion, improved local governance, collective decision making ability to build a resilient community, increased nutrition intake, improved gender relation and women empowerment and sustainable community development are gained. The approach/ model has been recognized as SAARC Best Practice and is included in 7th and 8th  National Five Years Plan as a strategy to increase productivity in Aquaculture.

Conclusion and Way forward

Unutilized floodplains can be transformed into resourceful aquaculture that generates income for the community and integrates fisheries with agriculture to optimize use of the resources in a ecologically sound manner. Moreover, the process of community mobilization to manage the resource can create more social capital in the community and drive the economic development process form the bottom-up. The aquaculture can also provide poor community members’ access to nutritious fish for low cost and facilitate social development by mandating part of the profit to be invested back in the community. The ‘Daudkandi’ floodplain  experience clearly shows how a community successfully co-managed a floodplain by partnering with a local NGO, taking the Community Enterprise Approach.

The model/ innovation which was initiated long ago and got due recognition, did not scale up beyond the project areas. In the pilot project areas, the fisheries production did increase many fold. However for wider upscaling, it requires support in the following three areas: (a) Institutionalization of Community Enterprise Approach (b) Vertical development of the model- by strengthening the market linkage and value addition of the ongoing community enterprises and (c) Wider community outreach.

Note: This is an edited version of the article originally published in PANAP and APEX, Experiences in People Led Development – Promoting Food Sovereignty and Agroecology in Asia, September 2023, pp.58-67

Sakiul Millat Morshed
SHISUK (Shikkha Shastha Unnayan Karzakram)
Dhaka 1217, Bangladesh
Email: ed.shisuk@gmail.com

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