Key Details
The latest update shows that the Van Dhan network has achieved considerable reach, but sanctioning a centre does not necessarily mean that it is producing, selling or raising members’ incomes.
Indicator | Reported Position |
|---|---|
Van Dhan Vikas Kendras sanctioned | 4,172 |
Centres functional as of 31 July 2026 | 2,911 |
Tribal members linked | 12.48 lakh |
Reported sales by functional centres | Around ₹168 crore |
Forest products covered by MSP | 87 items |
MFP procured since 2013–14 | 2.68 lakh tonnes worth ₹693.98 crore |
From Forest Collection to Community Enterprise
The PIB backgrounder on the Pradhan Mantri Janjatiya Vikas Mission (PMJVM) notes that minor forest produce contributes an estimated 20–40% of annual income for many tribal households.
Minor forest produce, or MFP, includes non-timber products such as honey, mahua flowers, tendu leaves, tamarind, lac, bamboo, medicinal plants and wild herbs. Gatherers often sell these products without processing or storage, limiting their ability to negotiate prices or retain a larger share of the final value.
PMJVM addresses this through two connected mechanisms:
Minimum Support Price: Government procurement provides a price floor for 87 notified forest products.
Van Dhan Vikas Kendras: Community groups receive equipment, training and market support to process and sell higher-value products.
A typical VDVK brings together around 15 self-help groups and 300 members, with Scheduled Tribes constituting at least 60% of its membership.
Centres Receive Support Across the Production Cycle
Van Dhan centres can receive equipment for cutting, drying, sieving, processing and packaging, along with training in scientific and sustainable harvesting.
Support may also include:
Working-capital linkages with banks and financial institutions;
Rented storage and transportation facilities;
Branding, packaging and product promotion;
Market intelligence on prices and buyers;
Participation in exhibitions and tribal-product fairs; and
Access to e-commerce and other digital sales channels.
Centres located near local haats can aggregate produce from members, undertake primary processing and negotiate with buyers collectively. Private companies and non-profit organisations may also participate in value addition and marketing.
Operationalisation Remains the Immediate Challenge
As of 31 July 2026, 2,911 of the 4,172 sanctioned centres were functional. This leaves 1,261 centres — or approximately 30% — yet to become operational.
The difference is important. A sanctioned centre may have members and administrative approval but still lack equipment, working capital, training, storage or dependable buyers. Unless these components come together, the centre cannot function as a viable enterprise.
The reports aggregate sales of around ₹168 crore, but does not specify:
The period covered by the sales figure;
State-wise or centre-wise sales performance;
How many centres recorded recurring sales;
Net income earned by individual members; or
The reasons for delays in operationalising sanctioned centres.
Without these details, enrolment and aggregate sales provide only a partial picture of the programme’s livelihood impact.
MSP and Value Addition Serve Different Purposes
Minimum-price procurement can protect gatherers when local prices fall below the notified rate. It is primarily a safety mechanism against distress sales.
Van Dhan enterprises pursue a different objective: increasing the value retained by communities through processing, packaging and marketing. Their long-term viability therefore depends on product quality, working capital, regular supply, repeat buyers and transparent distribution of earnings among members.
The two components need to reinforce each other. MSP can provide an income floor, while commercially viable VDVKs can help communities earn above that floor.
Policy Relevance
The programme’s progress should now be assessed at three levels:
Operational readiness: Track why sanctioned centres remain non-functional and whether the constraint is equipment, training, finance, infrastructure or local implementation capacity.
Enterprise performance: Report sales, costs, repeat orders and member earnings at the centre and state levels—not only the number of beneficiaries enrolled.
Community benefit: Establish whether tribal members participate in pricing and business decisions and receive a transparent share of enterprise revenue.
Expansion should also remain consistent with sustainable harvesting practices. Commercial demand that depletes forest resources would weaken the livelihood base the programme is intended to strengthen.
Relevant Question for Policy Stakeholders: Can PMJVM turn its wide network of sanctioned Van Dhan centres into commercially viable community enterprises that deliver sustained income gains to forest gatherers?
Follow the Full Update Here: Pradhan Mantri Janjatiya Vikas Mission: Unlocking India’s Tribal Forest Economy