Hey there Priyamvada! I'm sorry but I'm hardy up to speed with such initiatives anymore. I will post it here in case I come across any initiatives of the such. Please, link some of your findings to this thread as well. I'm glad this discussion is still alive, 4 years after the inception of this idea :)
The concept in itself is an awesome conversation stater! And Kate's build is fabulous. I would love to pick a bag artistically colored/painted by farmer's children.
I wonder if there could be ways by which consumers can 'give back' in this situation. If I imagine such bags at my house - I would be inspired to draw them (the farmers) something in return. Or the children at home could build over the farmer's story talking about the food that was made using their produce and post it to the farmers (assuming the farmer's address was attached to start with) - bringing knowledge, delight and art into people's lives.