Jaipur, July 1 -- In the dusty hamlets and tribal heartlands of Rajasthan, a quiet economic transformation is underway. Women-led self-help groups (SHGs), often born from communities with limited resources but deep-rooted resilience, are turning local women into entrepreneurs, bankers, and agri-business leaders. A study by a team of researchers from the Malaviya National Institute of Technology (MNIT), Jaipur, shed light on the far-reaching impact and challenges of three major SHG-driven initiatives: Van Dhan Vikas Kendras (VDVKs), Banking Correspondent Sakhis (BC Sakhis), and Producer Groups (PGs). Under the Pradhan Mantri Van Dhan Yojana (PMVDY), Van Dhan Vikas Kendras (VDVKs) have emerged as a powerful tool for empowering tribal communities, especially women, by turning forest produce into sources of prosperity. In regions like southern Rajasthan, these start-ups - supported by TRIFED, ministry of tribals affairs - help ensure minimum support price (MSP) for gatherers, facilitate value addition, and build robust market linkages. Together, these initiatives have reduced economic distress, created employment, and enhanced incomes. As of now, 7322 VDSHGs have been grouped into 479 VDVKCs in Rajasthan, benefiting approximately 144,000 tribal gatherers over the past year. VDVK training is largely focused on forest (50.53%) and agricultural produce (43.16%). Around 96% of VDVKs are engaged in activities involving minor forest produce (MFPs) such as sitafal (custard apple ), jamun (Java plum), amla (Indian gooseberry), aritha (soapberries) and honey - either selling them directly or processing them into value-added products like aloe vera juice, herbal shampoo, wild honey, amla candy, and pickles. Since empanelment with TRIFED proves highly beneficial for scaling up, gaining visibility, and improving incomes, VDVKs are in the process of getting empanelled. Many of these kendras - such as the Jagrati VDVK in Baran district, which recorded sales of Rs.2,46,620 after empanelment - demonstrate the positive impact of the initiative. Despite 76% of VDVKs having government - allotted buildings, there is still a critical need for infrastructure, especially for dedicated operational and storage spaces. Market access and funding are the main challenges that the study reports. Interventions in areas such as market access, product marketing, and value addition can significantly strengthen VDVKs by improving product quality, expanding their customer base, and enhancing sustainability and income. With the "One Gram Panchayat - One Banking Correspondent Sakhi" initiative, Rajasthan is empowering thousands of SHG women to serve as banking correspondents, bringing banking services to the doorstep in rural areas. Over 6,426 BC sakhis have been deployed across the state. The majority of their transactions involve withdrawals and deposits, which together account for over 67% of total usage, followed by loan services and other support functions, benefiting over 37,000 clients. Nearly 79% of BC sakhis are certified by the Indian Institute of Banking and Finance (IIBF), ensuring better service quality and financial literacy. Some SHGs, such as Teja Ji and Jai Mata Di , Shyam - each serve over 1,500 clients through the regular delivery of financial services. Approximately 50% of BC sakhis are currently inactive, and a significant 58.48% have reported not receiving any government funding. This inactivity is particularly stark in districts like Jaipur and Chittorgarh, where the proportion of active BC sakhis is as low as 11% and 12%, respectively. A key reason behind this inactivity is delayed or inconsistent payments from higher-level authorities, which has directly impacted their motivation and ability to sustain operations. This situation further highlights the challenges faced during the transition from the Udyam Sakhi model to the CLF-led framework in early 2023. As cluster-level federations (CLFs) take on expanded responsibilities - particularly in managing payments - coordination gaps and procedural delays have become evident. However, with time, targeted capacity building, and adequate support, CLFs are expected to stabilise these processes and offer more reliable, decentralised support to BC sakhis on the ground. Experts recommend performance-based grants, digital upskilling, and targeted mentorship for low-performing districts, along with improved CLF accountability and regular training to strengthen the initiative. Under the DAY-NRLM scheme, provisions have been made to support producer groups, typically consisting of 30 to 100 members, by providing Rs.50,000 for infrastructure development and Rs.1,50,000 as working capital support. These groups are creating a foundation for scalable rural businesses. Encouragingly, some producer groups (PGs) are beginning to demonstrate strong income potential. For instance, the Mahila Shakti PG in Udaipur earned Rs.1,15,358 over a six-month period. The study reveals that 90% of producer groups maintain records, and over half conduct meetings twice a month. However, less than one-fourth are engaged in value addition, and only 41% have established buyer linkages - indicating that their current performance remains limited and there is a clear need for further support. Notably, improved market access emerged as the most pressing need, cited by 27.6% of the groups. To bridge these gaps, structured preparatory activities such as post-farm gate assessments, feasibility studies, cost-benefit analyses, and risk assessments should be prioritised. These steps can help design practical, context-specific business models - enhancing operational efficiency, expanding market reach, and ensuring long-term sustainability....