Mahakalasm
It started as a small women’s group in 1992 with the intention of initiating collective savings, to be forwarded as credit to the members of the group, at times of need. The first group called Kalasm (Sacred pot) was formed in the Pulvaikarai village from the Narikudi Block of Madurai district in South Tamil Nadu. This was one of the worst drought prone areas in the region. The group comprised of women who had gone through the vocational training conducted by CCD. These women then went on to mobilise other women to form similar groups. The main functions of these Kalasms included financial administration, conflict resolution and developing Income Generation Programmes (IGP).
Over the years Kalasms were encouraged by mainstream financial institutions such as Industries Development Bank of India (IDBI), State Bank of India (SBI) and Regional Rural Bank (RRB). With this encouragement the Kalasms intensified indigenous savings in the form of different savings products like deposits, chit funds, gifts etc. Today there are 663 such groups across 212 villages in southern Tamil Nadu. The impact was immediate and very visible. The women were soon able to get out of the vicious cycle of moneylenders and were able to save up, on their own terms. The group provides financial assistance in terms of small loans for small business development and enterprise loans to its members. The Kalasms have managed to inculcate saving habits, not just among women but also students through its small savings scheme exclusive to the students.
These Kalasms then grouped together, based on the region and formed federations called “Mahakalasm.” Today there are four Mahakalasms with more than sixteen thousand members across southern Tamil Nadu. After the intervention of Mahakalasm a shift in the purpose of borrowing loans from meeting lean agricultural seasonal needs and emergency consumption to carrying out economic activities such as live stock development, petty business and trading.
These federations soon gained the reputation as a model microfinance and savings institution. Other NGOs across the country approached CCD and Mahakalasm to learn the ropes. In 1992, a colloquium called “Bridging the gap” was organised, where more than 300 organisations across the country participated. The main agenda for the seminar was “Consultation on Community Enterprise and Financial Institutions.” Over the period of time Mahakalasms have diverged into other activities related to livelihood and economic issues of other occupational groups and have been the main driving force in many of CCD’s new initiatives. Kalasm members’ venture into marketing the Grama Mooligai Company Limited (GMCL) products marked their transition into business. The group members are the marketing agents and partners in profit for the semi-processing unit of GMCL. The Kalasm also introduced a credit card scheme for its members. The credit card holder gets a monthly credit of Rs. 500/‐ for goods procured and sold by the group itself. The scheme is linked with the Aharam, another CBO initiated by CCD. The Kalasms not only provide loans for the programmes but also provide information on markets, resources availability and suggestions on value addition to the goods. Some of the other activities promoted by the Kalasms are:
1) Charcoal making
2) Neem seed collection
3) Tamarind processing and making
4) Groundnut trading
5) Lantana products
The Kalasm women also manage and run a Naattu Vaidya Shaala (traditional medicine pharmacy), a nursery, health and eye camps in the villages, a seed bank, four schools and a primary health care centre.
Since the year 2007, the four Mahakalasms expanded their activity base. Apart from the regular microfinance activity, the Kalasms have been key partners in the marketing of MSMSSK, Village Herbs medicines, Aharam and AEPL products.