Chapter 1

Introduction to industry

Objective:

The purpose of report is to explain the practical learning gained during the period

of 8 weeks at Sarveshwari Village Industries (Nafed Cold Storage) while doing

summer internship.

1.1 Introduction:

India is second largest producers of fruits and vegetables in the world but its share

in the world market both in fresh and processed form is less than one percent.

Moreover due to inadequacy of infrastructure and processing facilities a large

percentage of horticultural produce gets perished before it reaches the consumer.

Fruits, grains vegetables and flowers being much more remunerative than the

cereal crops, have registered a constant increase in their production in the last few

decades. It is estimated that on account of inadequate post harvest infrastructure

substantial percentage gets wasted. Several institutions have reported that

depending on various type of crops seasons of production and markets the factors

like harvesting , post harvest handling storage transportation etc. cause major

losses.

As per general estimates the total turnover in the food market is approximately Rs.

250,000 crore of which value added food products comprises Rs. 80,000 crore.

Since liberalizations in August 1991 and till December 1998 proposals for projects

of over Rs. 72,000 crore have been proposed in various segments of the food and

agro processing industry.

According to a study by the National Council for Applied Economic Research

(NCAER), the Indian food market in 1995 was Rs. 248,000 crore. According to A

CII-Mc Kinsey report on processed foods industry the food market at 1995 prices is

1

estimated at Rs. 225,000 crore. According to the study, the frozen vegetables

market has the potential to touch Rs. 350 crore in value terms by 2005. But this

would be possible only if adequate cold storage facilities are available in different

parts of the country. Maintenance of cold chain being essential in this sector,

logistics play a very important role. The total cold storage capacity is over 100

million tonnes per annum, resulting in an estimated wastage of Rs. 23,000 crore

annually.

The food processing industry in India is regarded as a sunrise industry. Companies,

big and small are gearing up to grab a slice of the processed food market.

According to the National Council for Applied Economic Research (NCAER) the

number of households buying basic food items is likely double to 33.1 million in

the next eight years compared to 18.1 million on subsistence diets and 2.5 million

premium foods consumers.

Creation of storage is the only remedy that could reduce perishability and hence

value addition. With adequate storage and modern processing facilities India could

emerge as a leading exporter of horticultural produce. The agrarian base of India

offers a great potential for processing of fruits and vegetables. Several states and

the Central Government have introduced incentive schemes to promote the industry

as it is considered to be one that can play a major role in upgrading the standard of

life of framers.

Prospects for Cold Storage

The preservation of perishable food stuffs is a matter of vital importance in this

country, especially when there is a problem of food shortage and the loss of food is

abnormally high due to the lack of proper storage facilities at many producing and

consuming centers. It has been observed that certain important nutritive foods like

vegetables, fruits, eggs, etc. are available in abundance in the production season

and their prices drop to unremunerative levels, thus causing a serious

discouragement to increase production. Due to the lack of facilities for proper

2

preservation the commodity is scarce in the off season and the prices shoot up

considerably. The provision of cold storage facilities as has been experienced

would

1. Prevent wastage of food stuffs

2. Ensure remunerative prices to the producer which would in itself provide the

incentive for increased production

3. Ensure steady supplies over a longer period of time

4. Stabilize prices

It is therefore, desirable to set up a chain of cold storage and frozen food storage

especially in the major producing and consuming centers, if feasible.

There are many kinds of vegetables and fruits and other food stuffs which can be

stored in cold stores for periods ranging from two weeks to over eight months. As

per the report of NAFED shows that the total capacity available now in

Maharashtra is about 200,000 M.T. which is meager, as compared to the capacities

available in states like Uttar Pradesh, Bihar, West Bengal, Punjab etc. It is,

therefore clear that a good scope exists for establishing additional cold storage

facilities in Maharashtra.

1.2 General Information on Storage of Various Commodities

The refrigerated storage which includes the cold storage and frozen storage is one

of the best known methods of preservation of food stuffs to retain the food value

and flavor. Although, refrigeration is an expensive process, the cold storage unites

of properly selected capacities can be economically viable. The economic concept

of the cold storage is that the storage cost must be less than the difference in price

of the commodity stored, between flush and lean season.

In case of fruits and vegetables, the post cold storage period is an important

consideration for deciding whether the cold storage could be located at the

3

producing or the consuming items like potatoes, apples, Raisins, Tamarind and

some other Dry fruits and spices have a better post cold storage life and therefore,

storage for those commodities can be set up both at the producing and the

consuming centers.

Cold Storage in Navi Mumbai

After the market s shifted to Navi Mumbai the need for cold storage capacity rose

substantially and number of cold storage units have been established in the APM

Yard as well as TTC area developed by MIDC.

Some of the major units include MAFCO, Himachal and UP Cold storage,

PRABHU HIRA cold storage, polar cold storage which are located in the APM

Yard having a capacity of more than 2001, M. T. The units located on TTC area

include Savala Food and cold storage which is one of the largest multi commodity

cold store in the country with the capacity of 16,000 M.T. the other major units in

this area include Crescent Cold Storage, Mehta Cold Storage, Shanu Cold Storage,

Mayur Cold Storage etc. It has been observed that a number of units have expanded

their capacities after a few years of operation the general trend shows that the

requirement of cold store capacity has steadily been going up and the need exits for

some more units.

It has been observed that practically all the cold storage units have occupancy in

the range of 90 to 100 % for about 8 months in the year. In the remaining period

the remaining period the occupancy is in the range 50 to 70 %.

Market Yard at Turbhe

The APM yard in Turbhe was developed by CIDCO with the view of shifting the

wholesale food markets from Mumbai and involved development of infrastructure

for handling, storage and marketing of various commodities such as fruits and

vegetables, spices, Dry fruits, Cereals etc. after the markets were shifted to the

4

APM Yard in Navi Mumbai the requirement of cold storage capacity has been

going up steadily in this area.

Other Possible Activities Connected With the Cold Storage

Usually, some other activities are also possible along with a cold storage unit.

These include

1. Pre cooling

2. Processing grading and storage of fruits, vegetables etc.

3. Milk processing and storage

4. Processing and freezing of fruits and vegetables

5. Controlled atmosphere stores etc.

However, these facilities need additional space, higher investments and involve day

to day production like activities.

1.3 Incentives and Financial Policy

The government of India, ministry of agriculture has approved the capital

investment subsidy scheme for construction, expansion, modernizations of cold

storages and storages of horticulture produce. The national horticulture board

announces the implementation of this scheme. The feature of the scheme is as

under:

For wider dispersal, projects up to 6000 M. T. capacity would be preferred. The

cost of 5000 M.T. capacity now cold storage and expansion of existing capacity

should not exceed Rs 2.10 crore @ Rs. 4000 per tonne, for modernization @ Rs.

1000 per tonne.

25% promoter’s contribution

5

50% term loan by commercial Co-operative banks at PLR-1% through NABARD

refinance.

25% back ended capital investment subsidy National Horticulture Board shall be

routed through NABARD/NCDC for opening Borrower rise subsidy Reserve fund

account by lending commercial/Co-operative banks. The subsidy is restricted up to

Rs. 50 Lacs.

Wherever term loan are not raised from institutional sources and the promoters

fund projects entirely through internal resources generation, such proposals be

submitted to NHB directly for availing subsidy after completion of the project.

Emphasis shall be laid on the following

Reducing PHM losses with multi chamber and multi product facilities

Modern design/technology and energy saving equipment / devices to be adopted to

avoid obsolescence of machinery, etc.

Applications to be submitted to commercial /co-operative banks and NCDC (As the

case may be) on their applications format and National Horticulture Board may be

informed accordingly.

Eligible Organizations

The scheme include , cooperatives Companies, Corporations, Partnership and

Proprietary firms, Agriculture Product Marketing Companies, Committee, Boards,

Agro industries Corporations, Grower’s Associations and NGOs.

Note:

The scheme offered by NABARD is based on construction rates of Rs. 4000 per

M.T. which are valid only for large sized bulk cold stores as generally constructed

in North India. In case of multipurpose, multi chamber units especially located in

Mumbai region the construction costs are higher due to higher land and other

material and labour costs and better technical designs.6

Cold Storage Data of Various Fruits and Vegetables

Product Storage

Temperature

(Degree C)

Cold

storage

Life

(week)

Normal

Period of

Storage

Potato 2-4 32-36 March to

October &

December

to January

Cauliflower 0-1.5 8-10 February to

April &

August to

October

Cabbage 0-1.5 10-12 February to

May &

August to

October

Tomatoes 7 4-5 April to

May &

September

to October

Ginger 2-4 14 February to

May

Lime 8 6 March to

April &

August to

September

Orange 7-8 8 February to

7

April

Mosambi 6-8 8 April to

July &

November

to February

Apples 0-15 16-20 October to

march

Eggs 1-5 20-24 May, June

to

November,

December

Mango 8-10 4-6 May to

June

Annexure 1

8

Cold Storage Data on few products

Products Temperature

(Degree. C)

Relative

Humidity

(%)

Normal

period

of

storage

Beans (Dried) 1 85 3

months

Peas (Dried) 2-15 - Long

term

Pepper/Chilly

(Dry)

0-4.5 65-75 6-9

months

FRUITS/DRY

FRUITS

Peanuts

/walnuts

5-9 66-75 6-9

months

Almonds

(Shelled)

15-20 - 4/6

months

Currants 1 80 2

months

Apricot 0-4.5 55-65 12

months

9

Dates (sucrose

or hard type)

0 70-75 6

months

Dates soft -2 – 0 - 6

months

Butter -10 80 6

months

Figs 0-4.5 50-60 12

months

Ref: ASHRAE DATA Book/other literature.

10

Annexure 2

List of Cold Storages

Navi Mumbai

Name Address Capacity in

Cu

Mtr/M.T.

Product

Stored

Polar Cold

Storage Pvt

Ltd

Navi

Mumbai-

400 703

1350 M.T. Dry Fruit,

pulses,

Spices

Igloo Cold

Storage Pvt

Ltd

Navi

Mumbai-

400 703

- Milk

Products Etc

Venus Cold

Storage

Navi

Mumbai

- Dry Fruits,

Pulses,

Spices

Jainex

Foods (P)

Ltd

Navi

Mumbai –

400 05

- Frozen

foods

Vishal Ice

Factory &

Cold

Storage Pvt

Navi

Mumbai –

400 05

- Dry Fruits,

Pulses,

Spices

11

Ltd

Forstar

Frozen

Foods (P)

Ltd

Taloja, Navi

Mumbai-

400 208

- Frozen

foods

Tedco Cold

Storage

R-54,

MIDC

Rabale,

Navi

Mumbai –

400 701

1500 M.T. Dry Fruits,

Pulses,

Spices

Jay Bharat

Ice Co Pvt

Ltd

D-25/11,

MIDC ,

Navi

Mumbai-

400 705

250 M.T. Dry Fruits,

Pulses,

Spices

Mehta Ice

& Cold

Storage

D-36/4,

MIDC,

Turbhe,

Navi

Mumbai-

400 705

300 M.T. Dry Fruits,

Pulses,

Spices

12

CJ Jain

Food

Processing

& cold

Storage Pvt

Ltd

Plot no – B-

7, MIDC

Ind. Area,

Digha, Navi

Mumbai-

400 708

- Frozen

Foods

Shriram Ice

& Cold

Storage

Plot no –

16/17,

MAFCO

APM Yard,

Turbhe,

Navi

Mumbai –

400 705

800 M.T. Frozen

Foods

MAFCO

(P) Ltd

APM Yard,

Turbhe,

Navi

Mumbai

2000 M.T. Frozen &

fresh Foods

Mehul Ice

& Cold

storage Co

Pvt Ltd

APM Yard,

Vashi, Navi

Mumbai

350 M.T. Milk

products &

etc

Modern

Cold

storage

220-Atlas

Mills

compound,

Reary

Road, Navi

Mumbai

550 M.T. Meat, Fish

& Eggs

13

Savla Foods

& Cold

Storage Pvt

Ltd

MAFCO,

APM Yard,

Navi

Mumbai

1600 M.T. Frozen

Foods &

pulses, Dry

Fruits/Fresh

fruits

Bhanu Ice

& Cold

Store

APMC

Market,

Turbhe,

Navi

Mumbai-

400 708

3000 M.T. Dry Fruits,

pulses,

Spices

Prabhu Hira

Cold

Storage

MAFCO,

APM Yard,

Navi

Mumbai

2500 M.T. Dry Fruits,

Vegetables,

Spices,

Frozen

Foods

Himachal

Cold

Storage

MAFCO,

APM Yard,

Navi

Mumbai

3500 M.T. Dry Fruits,

Apples,

Spices

Crescent

Cold

Storage

Mahape,

Navi

Mumbai

3500 M.T. Dry Fruits,

Spices,

frozen &

Fresh Foods

14

U.P. Cold

Storage

MAFCO,

APM Yard,

Navi

Mumbai

3000 M.T. Dry Fruits,

pulses,

Spices

Annexure 3

List of Cold Storages

Mumbai

Name Address Capacity In

Cu/Mtr

Product

Stored

Sood

Enterprises

Plant no- 5,

Chakla,

Andheri

east,

Mumbai

250 M.T. Dry Fruits,

Vegetables,

Spices

Sunder

Cold

Storage

Prem

Estate,

Cross

Lane,

Mazgaon,

Mumbai

1200 M.T. Dry Fruits,

Vegetables,

Spices

15

Ideal Ice &

Cold

Storage Co

Ltd

Plot No-D-

3, St No

16, Marol

Ind Area,

MIDC

Andheri,

Mumbai –

400 093

300 M.T. Meat,

Marine

products

Mulund

Cold

Storage &

Ind Pvt Ltd

Shah Ind

Estate,

Vera Desai

Road,

Andheri

west,

Mumbai

800 M.T. Pulses, dry

Fruits,

Spices

Shiv Cold

Storage

Lal

Bahadur

Shastri

marg,

Bhandup,

Mumbai –

400 078

2000M.T. Meat, Fish,

Vegetables

Best

Potatoes

Cold

Storage 7

Co

Zakaria

Bunder

Road,

Mumbai

300 M.T. Dry Fruits,

Spices

Byculla Prem 2000 M.T. Dry Fruits,

16

Cold

Storage

Estate,

Victoria

Road,

Spices

Annexure 4

Information about existing cold stores in Mumbai, Thane and Navi

Mumbai Areas

Mumbai Thane/ Navi

Mumbai

No of Cold Storage 71 70

Total Storage

Volume m3

68,938 2,88,640

Total Estimated

storage Capacity

M.T.

20,000 85,000

17

Application Wise

Nos.

Hotels 24 -

Milk & Milk

products

14 13

Multipurpose 23 29

Meat Products 4 6

Marine Products 6 20

F & V - 2

Annexure 5

Commodities stored in Cold Stores in Mumbai Region

Fruits & Vegetables Potato, Apples,

Mangoes, oranges,

Kiwi Fruits, Grapes,

Pomegranates

Export & Domestic

Spices Etc Red Chilies , Chili

Powder, Coriander

(Dhania), Cumin

Seeds (Jira),

Tamarind,Ginger,

Clove etc.

Domestic

Dry Fruits Dry Dates, Wet Import & Domestic

18

Dates, Raisins,

Acrot, Almond,

Pista, Cashew nuts,

Apricot, Cherry etc.

Other Items Eggs, Jaggery, Milk

Products, Chemicals,

Pharmaceuticals etc.

Domestic

Frozen Products Butter, Ice Cream,

Meat, Poultry

Products, Processed

Food & Vegetables

Products

Export & Domestic

Annexure 6

Chapter – 2

Introduction to Sarveshwari Village Industries (Nafed Cold

Storage)

2.1 History:

Sarveshwari village industry was established in the year October, 2001. The

objective of the company was to promote product of village industries &

agriculture products. The company has first set up a unit in Jaunpur, Uttar Pradesh

for manufacturing handmade paper & handmade woolen carpet. The product were

export oriented therefore it has been exported to various countries like Germany &

European country.

The companies diversify and entered into the warehousing business. It has acquired

a cold storage owned by NAFED on lease basis & managing successfully with

19

effect from November 2004. It is a partnership organization. Its chief executive is

Mr. Sailesh Singh, having vital experience in the field of business as per objective

of the company & good command in managing cold storage business. The other

partner Mr. Jaipal is also having tremendous experience in the international

business & finance. It is one of the main players in the cold storage industry at

APMC market. It is spread over the area of 3000 sq meter. The cold storage is

situated in the heart of APMC market, Navi Mumbai from where fruits, vegetables,

dry fruits, spices & pulses are available in sizeable quantity. Therefore, huge store

of commodity are available in to cold storage. There are excellent facilities

available for the loading & unloading of vehicles.

There is ample open space available which is an additional facility available for

clients for grading, packing of the products.

Manpower and Organizational Structure

The personnel requirement of the cold storage unit is as under:

Manager (1):

The Manager is in charge of cold storage for efficient and continuous running of

the plant. He is also responsible for procurement, preservation and marketing &

booking of material for storage as well as general administration.

Plant Operators (4):

They are incharge & responsible for maintaining proper temperature & humidity

and for carrying out the actual repair and maintenance of the equipment.

Accounts Clerk (1):

The role of clerk is to keep necessary accounting records, handling of cash and

other matters relating to the accounts section.

Others: Helpers (4), Security Guard (3), Peon (1)

20

2.2 Organizational Structure

Chief Executive Officer

Manager

Plant Operator Accounts Clerk

Helpers Security Guard/Peon

2.3 List of clients of Sarveshwari Village Industries

Client Address Contact

Agri Trade India

Services Pvt Ltd

Anna Bhavan,

Ground floor, Dana

Bunder, Mumbai-9

022 3246699/022

3770999

Khushbu Impex Block no 4, Ground

floor, plot no 578/A,

Jam-e-Jamshed

Road, Matunga ,

Mumbai- 400 019

21

Bombay Exports 33/35, 2nd Matru

Vatsalya,

Bhuleshwar,

Mumbai- 400 002

022 22406075/022

22408642

Aarambh India Pvt

Ltd

189 central facility

building, No 2 ,

APMC, Sector- 19,

Vashi, Navi

Mumbai

022 40139037

Usha International 134, kana chambers,

Modi street, 3rd

floor, Fort, Mumbai

-1

022 22690696

Few Products Stored At Sarveshwari Village Industries

Vegetable (Padwal)

22

Pulses

Pomegranates

23

Lemon

Red Pumpkin

24

Green Chilly

Chile Apple

25

Designs of Cold Storage

Cooler without Floor

26

 

Cooler with Floor

Freezer with Floor

27

General Descriptions:

Thermal Insulation and Insulation and Insulated doors:

Thermal Insulation of cold storage

Walls:

With ND quality EPS of appropriate thickness in one/two layers finished with pre

coated sheets.

Ceilings:

With ND quality EPS of appropriate thickness in two layers and finished with pre

coated sheet

Floor:

28

With HD quality EPS of appropriate thickness in two layers and finished with

tarrelt and P.C.C.

Insulated Doors:

Insulated doors with main frame and shutter with PUF insulation and Al. Cladding

complete with heavy duty latches and things with strip curtains.

2.4 Operational Requirements and utilities

Cold storage plants being the plants for preservation do not require any raw

material etc for operation. The refrigeration plant work on a refrigerant medium

which can be Ammonia or HFC/HCFC. In India over 95 % of the large sized cold

storage plants are designed for Ammonia refrigerant due to the simplicity of

operation maintenance and the lower cost of the refrigerant which is needed only to

make good for losses which may occurs during repairs and maintenance of

HFC/HCFC are generally used on smaller plants which are designed for automatic

operations. Now that the CFCS and some HCFCs have been identified as the gases

responsible for damaging the ozone layer surrounding the earth’s atmosphere the

production of these are being phased out gradually and as such the availability

would pose a problem in the coming years. The alternative developed for these

gases are still imported and are very expensive.

For this reason at Sarveshwari we use the refrigeration system designed to work on

Ammonia refrigerant with proper technical Specification.

The main utilities for the operation are the power and water and the estimated

quantities are as given below:

Power: 136 KVA, 3 Phase, 50 C/s, 400/40 V A.C. Supply

Water: 15,000 liters/day (for plant and other consumption). The water used has to

be reasonably potable and soft

Effluent Disposal :

29

There is no objectionable effluent generated in a cold storage plant and hence the

problem of effluent disposal does not arise.

Chapter – 3

30

Cold Storage Industries

3.1 Need for Cold Storage

Cold Storage would result in less wastage of foods. It will enhance to the value and

the quality of the foods. Thus it will contribute to healthy eating habits. Also it will

contribute towards the employment generation. Will over all contribute to the

economy; it can prove beneficial to the farmers and will help them in getting value

for money, will help in getting remunerative income for farmers.

3.2 Status of Cold Storage Industries:

Size of food market in India-Rs.8,60,000 Crores. Primarily processed food market

– Rs. 2,80,000 crores. Value added processed food market – Rs. 1, 80,000 Crores.

Investment during the 10th plan is estimated at Rs. 62,105 Crores. Industry growth

rate during the last five years is estimated at 7.14% against GDP of 6.2%.

Investment required during next ten years – Rs. 1, 10,000 Crores. Low level of

processing is done mainly. 2% in the case of fruits and vegetables, 14%in milk, 4%

in fisheries, 1% in meat and poultry products. India’s share in world’s processed

food production-1%. Value addition 20% against 45% in Philippines. India’s share

in global agricultural export is 1.6% of $520 billion. Exports have stagnated during

the last five years. There is unorganized marketing and distribution of food items.

72% of food consumption in the world is through organized set up whereas it is 1%

in India. Fragmented retailing results in high cost due to inefficiency, wastage.

Estimated wastage fruits & vegetables in India 35 %.

31

Cold Storage of Food and Vegetables

3.3 Why Increased Focus on Cold Storage

The second Green Revolution will be centered on the concept of ‘farm to plate

‘.Low share of processed foods in the country will open doors to other countries to

tap the emerging market for processed food triggered by a burgeoning middle class

with increased purchasing power.  The Horticulture Mission targets to increase the

production of fruits and vegetables to 260MT from the current 140 MT through

several interventions. The current wastage is 35% in fruits and vegetables and in

certain cases as high as 60%.

Apple is the major crop grown in Himachal Pradesh, Jammu & Kashmir due to

favorable climate, but there is a rare consumption. But the major consumptions of

the product is in other states before a decade there was huge production of the

apples but there was not sufficient current demand. This could have been preserved

if cold storage facility were available locally. But it was deteriorated n had to be

thrown away due to lack of cold storage facility. Similar scenario was observed in

Uttar Pradesh were there was ample production of potatoes but due to lack of cold

storage facility there was a huge loss. As a result Farmers, Traders suffered huge 32

loss. Earlier setting of cold storage unit was very costly as there was not much

more subsidy or government assistance available to the industrialist. Hence there

was not enough cold storage. When huge loss was suffered to farmers, there was an

agitation, protest by the framers, local leaders which got the attentions of

government. There after government has declared 50 % subsidy on set up of the

cold storage unit & NCDC National Co-operative Development Corporation are

providing financial assistance on very nominal rate. This has encouraged farmers &

entrepreneurs to Set up cold storage unit with modern technology facility. Now

many cold storage units have come into existence.

3.4 Why Marketing is Needed in Cold Storage

Apple is the major crop grown in Himachal Pradesh, Jammu & Kashmir due to

favorable climate, but there is a rare consumption. But the major consumptions of

the product is in other states before a decade there was huge production of the

apples but there was not sufficient current demand. This could have been preserved

if cold storage facility were available locally. But it was deteriorated n had to be

thrown away due to lack of cold storage facility. Similar scenario was observed in

Uttar Pradesh were there was ample production of potatoes but due to lack of cold

storage facility there was a huge loss. As a result Farmers, Traders suffered huge

loss. Earlier setting of cold storage unit was very costly as there was not much

more subsidy or government assistance available to the industrialist. Hence there

was not enough cold storage. When huge loss was suffered to farmers, there was an

agitation, protest by the framers, local leaders which got the attentions of

government. There after government has declared 50 % subsidy on set up of the

cold storage unit & NCDC National Co-operative Development Corporation are

providing financial assistance on very nominal rate. This has encouraged farmers &

entrepreneurs to Set up cold storage unit with modern technology facility. Now

many cold storage units have come into existence.

Example: During the period of Feb to May, When the Pick arrival of Mango

maximum marketing should be done so that the profit can be maximized. The

33

product which has got place in the international market such products which are

produce seasonal such product can be preserved in cold storage. We can approach

such traders which produce on seasonal basis but are exported throughout the year.

We can get business from such trader. With Such trader we can go for Service

Level Agreement and can get business.

Chapter 4

34

Marketing in Cold Storage Industries

4.1 Introduction to Marketing

Marketing in a new world

Marketing is the invention of the 20th century, and for last 80 years, its goal has

been to infiltrate consumers’ mind and change their thinking. Since the beginning

marketing’s goal has always been to build the relationship between buyer and

seller. This relationship is more important in this ever dynamic business

environment. Today, technology is playing an important role in building a better

buyer and seller relationship.

Caught in the interlacing Web of interrelationships, traditional marketing is

evanescing for simple reason that its tasks are being automated and assumed by the

mysterious and hidden power of information technology. All traditional marketing

functions are replaced by the technological functions by creating an impression that

marketing has turned out to be a technology.

Origin of Marketing

Marketing as an element of business originated in early 20th century, but its roots

reach back to the industrial revolution. It idealized the importance of relationship

between producer and consumer. McKenna says development of marketing has

gone through three distinct ages viz., the age of reach, age of push and age of total

access.

Age of Reach and Age of Push

No one knows who first coined the term ‘marketing’. In early 20th century,

marketers identified the term with distribution, wholesale and retailing. Later in

1920s Procter and Gamble established ‘Brand management system’, which can be

identified as a period of branding at very same time Edward Bernays was working

on the concept of ‘Public Relation.’ The 1950s has established and popularized the

35

concept of 4Ps which was followed by segmentation, mass production and mass

marketing.

Role of Technology in Marketing

Technology has always played an important role in the development of marketing.

In early 20th century, development of rail-roads and Henry Ford’s invention of

‘model T’ has helped companies reach their customers better and faster. In 1920s,

Radio emerged as the major technological breakthrough to create a perception that

marketing as a function can change consumer behavior. It remained an efficient

broadcast medium for two American generations. Post World War, Television

came in as a new technological development changing the marketing landscape.

Post 1950s, advertisers relied more on television than radio; This new push

medium has consistently influenced viewers with a repetitive, consistent and

entertaining message. This helped marketers change consumer behavior from ‘I

need factor’ to ‘I want factor.’

Total Access

Just like an era of reach and push, new technology, new marketplace, new

consumer and competition are once again changing the assumptions of customers

and marketers. Now customers are telling what they want companies to do instead

of companies suggesting their customer what they need. Total Access is not a

broadcast model. Rather, it is an environment where consumer experiences

multiple and simultaneous competitive buying opportunities. Internet is seen as one

of the greatest technological innovation of the last century. It has made availability

of information easier and cheaper. Internet has successfully laid the seeds of Total

Access which flourished with mobile technology. Mobile market has improved

customer’s comfort level and once again changed the customer behavior. These

two technological breakthroughs have not only changed customer behavior but also

changed the way market behaves. It is evident from the changed classification in

era of Total Access. In the era of Total Access, customers can be divided by four

parameters—the information explorers, the information active, the information

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followers, and the information passive. Technology has changed at an

unprecedented pace in the past few decades. It has changed business landscape

many a time in last twenty-five years. It has enabled farsighted business to outpace

their competitors by creating new products and services, by managing business

process and by operating business more efficiently. Law governing these

technological innovations is also seen as the law of new marketplace.

4.2 Objective of the study

Every business is wired today, marketers and academicians in this increasingly

networked business environment is writing the new rule of marketing. These new

laws of marketplace are playing on important role in developing marketing

strategies.

Branding Lost its Meaning!

The marketing function disappears into a network of relationships and

responsibilities between man and machine throughout the value chain. For

marketers, the end goal changes from creating brand awareness to satisfying

customers. In today’s network economy, brand itself becomes a ‘persistent

presence’ which sustains the customer dialogue whenever the customer chooses.

Branding is all about customer loyalty. It is always seen as a result of customer-

producer relationship. In the era of total access, this relationship is becoming more

transactional than personal. In total access environment, many consumers will

choose a brand for pragmatic reasons rather than emotional. The ever changing

marketplace and shifting consumer loyalty is creating challenges for producers.

Few of the challenges for producers are:

Changing Symbol: Technology has changed the way people perceive things, which

in turn, has changed business practices. Today, ATM has emerged as a symbol of

trust in consumers’ conscious mind replacing old economy bank infrastructure.

Impact of Technology: Building brand in technology business is building alliances

and relationship. It is seen that in technology market, developing brand is all about 37

developing industry standard.

Hidden Choices: The component of the end product is mostly unknown to the end

consumer. Consumers often do not know with which producer they are dealing

with. Intel and Visa are the diffusion distributors of Dell, Compaq, and Bank of

America. The erosion of brands has evolved from technology, social and cultural

influences. An easy access to information and power of choice has converted one-

time “brand loyal” to “brand switcher”. Today, consumers have choice to select

from wide variety of offerings; hence user preferences vary from situation to

situation. In the last two decades, consumer preferences have changed.

Few people confuse preferences with values. Preferences change with time and

vary widely with the changing social and economic context of a particular market.

It changes with changing technology, but values do not. These changing

preferences give marketing a new dimension of mass customization and self

service. The business is looking for lasting market presence and sustaining brand.

There are two keys to it: Point of access and marketing architecture network.

Persistent presence

Market is changing its dimension at the speed of thought. This dynamic change is

changing consumer’s preferences and perceptions. Today, every business has

persistent presence. In fact, in this competitive market, it is a must for the very

survival of any business. Persistent presence is consumers, consistent and reliable

experience with the producer or retailers. A logistical system that focuses on

operational system and communicational system of any company is the backbone

of the persistent presence. Natures of business, market condition, company’s

competitive position are few of the factors which help any company in achieving

persistent presence. It is possible in many ways:

• Presence through digital network e.g., ATM, e-broking

• Physical presence: Location, Access e.g., Starbucks has more than 3,000 points

all over the world.

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• Embedded presence e.g., Intel

• Presence through services e.g., E*TRADE, Yahoo!, Citibank

Company can establish persistent presence in many ways. It all depends on the

nature of the business and environment the company is operating in. McKenna

suggests a few key points to establish persistent presence:

• Market Architecture Approach to Total Access e.g., Dell, Wal-Mart

• Beef up your customer’s support infrastructure e.g., Coca-Cola

• Think Total Access e.g., AOL as a total Internet venture to AOL as an

entertainment and media company which provides total access option.

• Invest in Time, Money are customer Relationship e.g., CRM initiatives

The Market Architecture

Market architecture is the functional relation of inbound and outbound functions. In

transactional working environment with shortened product life cycle, changing

technology and shifting channels, and increased competition, marketing

architecture has become dynamic. Apart from technological innovations, human

interactions also play the key role in defining marketing architecture.

Shared Creativity: In the B2B market place, to gain market share, companies work

closely with their customers to know their needs and demands better. Few of the

innovations driven by customer needs are Apple II personal computer, Microsoft

MS-DOS.

Keeping Customer Trust: To build or sustain customer trust, marketing architecture

must perform as per acceptation of the customer and respond consistently to their

queries and problems. Business earning customer trust can retain it either by

meeting or exceeding expectations.

Nurturing Change: The Organic Factor- Marketing architecture is dynamic. The

ability to respond to the new customer information and changing business and

social need is yet another important aspect of marketing architecture. IT is playing

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an important role in the development of dynamic marketing architecture, and also

in the relationship development between the producer and consumer. In a situation,

when information related service has shifted from retailers or distributors to

producers enterprise architecture approach in marketing becomes important.

Marketing architecture by learning how to better interact with itself in response to

the environment and in connection with the customers’ needs and wants. The

important factors for successful marketing architecture are: Customer satisfaction,

developing different channels for different needs, identifying value of connected

partners, and developing the strategic framework.

Total Global Access

Internet has changed the definition of the market infrastructure. Effective

communication and transport methods have narrowed down the gap between the

supply and demand time giving a new dimension to the global marketing. Growth

in market economies, deregulation, privatization, and new global consumers has all

created a new global market.

The focus in this wired world is changing from ‘think globally but act locally’ to

‘act globally connect locally’. World Wide Web helps business in connecting all

channels. It also connects people across border and helps them come closure to

market and increase their interaction. Internet has helped developing total global

access environment. With total global access, it is felt that the world has become

more culturally diverse. In this changed business circumstances, marketing

executives need to take a comprehensive world market view to respond to

increasingly competitive environment where customers have access to all possible

information and are looking for local source and solutions. This global connectivity

has increased with mobile commerce giving birth to a new set of consumers,

‘mobile global consumer’. The global e-commerce is focusing more on establishing

global persistent presence and developing global brands.

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Roles and Responsibilities

The rise of Internet and total access has created a self service model for marketing

known as ‘production by masses’. This model works by providing customer with

information database and allowing them to design their expectations consistently

and reliably.

The rise of Internet and total access has made marketing as everyone’s job. It is the

matrix of responsibilities shared by—CEO who is seen as chief strategist, who also

work as a chief marketing executive of the organization. He integrates all the

resources that enterprises need to invest and design to build a global infrastructure

strategy.

• CIO is seen as chief total access architect. He possesses required skills, to be the

interface between the customers’ needs and company’s response.

• Director of R&D is seen as the chief novelty officer. Customer preferences

change fast in total access era and it is the duty of the Director, R&D to come up

with innovative products.

• Vice president of operations and logistics helps meet customer delivery

expectations.

• Vice president of marketing takes care of demand and supply factors and other

traditional marketing functions.

Corporate Creativity

Market impatience, competitive intensity, volatile market reaction and high

expectations from customers and investors are few of the factors which have

created competitive environment. In this competitive environment, to gain edge

over other players, companies have to work on corporate creativity. More creative

the company is throughout its entire enterprise; the more successful the company

will be in sustaining the growth.

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Marketing Mix

The Marketing Mix model (also known as the 4 P’s) can be used by marketers as a

tool to assist in implementing the Marketing strategy. Marketing managers use this

method to attempt to generate the optimal response in the target market by blending

4 (or 5, or 7) variables in an optimal way. It is important to understand that the

Marketing Mix principles are controllable variables. The MM can be adjusted on a

frequent basis to meet the changing needs of the target group and the other

dynamics of the M. environment.

 Product

Historically, the thinking was:

a good product will sell itself.

However there are no bad

products anymore in today's

highly competitive markets.

Plus there are many laws

giving customers the right to

return products that he

perceives as bad. Therefore

the question on product has

become: does the organization

create what its intended

customers want? Define the

characteristics of your product

or service that meets the needs

of your customers.

Functionality,

Quality,

Appearance,

Packaging, Brand,

Service, Support,

Warranty

Price How much are the intended

customers willing to pay?

Here we decide on a pricing

strategy - do not let it just

List Price,

Discounts,

Financing, Leasing

Options,

42

happen! Even if you decide

not to charge for a service (a

loss leader), you must realize

that this is a conscious

decision and forms part of the

pricing strategy. Although

competing on price is as old as

mankind, the consumer is

often still sensitive for price

discounts and special offers.

Price has also an irrational

side: something that is

expensive must be good.

Permanently competing on

price is for many companies

not a very sensible approach.

Allowances,

Place

Available at the right place, at

the right time, in the right

quantities? Some of the

revolutions in business have

come about by changing

Place. Think of the internet

and mobile telephones.

Locations,

Logistics, Channel

members, Channel

Motivation, Market

Coverage, Service

Levels, Internet,

Mobile

Promotion (How) are the chosen target

groups informed or educated

about the organization and its

products? This includes all the

weapons in the marketing

armory - advertising, selling,

sales promotions, Public

Advertising, Public

Relations, Message,

Direct Sales, Sales,

Media, Budget

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Relations, etc. While the other

three P's have lost much of

their meaning in today's

markets, Promotion has

become the most important P

to focus on.

 The function of the Marketing Mix model is to help develop a package (mix) that

will not only satisfy the needs of the customers within the target markets, but

simultaneously to maximize the performance of the organization.

4.3 Scope of the Study

Every research study has some scope which can be constructive and

accommodating for the industry and as well as for the people. So in this study the

researcher has found some significance of the study. With the study researcher

gains knowledge about the various aspects of food processing industry. The various

products that are produce in the Indian agriculture market are fruits, vegetables and

dry fruits. It highlights on the plight of the Indian food processing industry. It’s

contribution to Indian economy. It brings out role of food processing industry in

saving the food wastage. Through this report researcher has commence with the

cold storage industry in India. It also highlights the economy policy and the

requirement for cold storage industry. It points out the prospect of the cold storage

industry. It gives an idea about the number of the cold storage operating in

Mumbai, Thane and Navi Mumbai region. The various products stored in cold

storage and other details.

It also highlights on the topic of marketing. The role of marketing in a business.

The need of marketing in cold storage industry. Moreover this study provides

information and can be of a great help for an individual if he looking out to start a

new cold storage unit. The information about the capital needed and from which

other institute the fund can be raised is mentioned in this study. Here the researcher 44

has made use of the observation method in determining the factor that can

contribute to the growth of the business. The need of a SLA (Service Level

Agreement) with a brief overview of SLA has been discussed in the study over

here. Advertising which plays as important in a success of a business has been

mentioned in the study. The medium for advertisement selected has been

newspaper. The merits and demerits of advertising in newspaper have been

discussed here. Advertisement can be effective in a business for its growth.

4.4 Research Methodology :

Research can be defined as a scientific and systematic research for pertinent

information on a specific topic. In fact, research is an art of specific investigation.

Research is an activity and as such the term be used in a technical sense. Research

can be stated as the manipulation of things concepts or symbols for the purpose of

generalizing to extend, correct or verify knowledge whether that knowledge aids in

construction of theory or in the practice of an art. Research has its special

significance in solving various operational and planning problems of business and

industry. Research methodology is a way to systematically solve the research

problem. Thus, when we talk about research methodology we not only talk of the

research methods but also consider the logic behind the methods we use in the

contexts of our research study and explain why we are using a particular method or

technique.

The steps involve in the research methodology are

1. Defining the Problem: In defining the problem, the researcher should take into

account the purpose of the study, the relevant background information, the

information needed and how it will be used in decision making. Problem definition

involves discussion with the decision makers, interviews with the industry

experts, analysis of the data

2. Research Design: The research design tells about the mode through which the

entire project is prepared. The research design put down the foundation of 45

conducting the project. A good research design will ensure that the research project

is conducted effectively and efficiently

3. Formative the data source: It means from where the researcher collect the data.

It can be primary data or the secondary data as both sources are necessary in order

to get the proper result

4. Analyzing the data: After the data collection is over the researcher analyzed the

data and edited them and turned them in the useful tabulations. So, it became useful

in report study

5. Interpretation of the data: With the help of analyzed data researcher managed to

prepare project report. The analyzing of data will help the researcher to reach

towards its objectives. The interpretation of the data is required so that for others it

is easy to understand study in simple manner.

6. Report writing: The entire project should be documented in a written report.

This is the final step in preparing the project report. The objective of the report

writing is to report the findings of the study to the respective authorities

The purpose of research

1. Discover answers to questions through the application of scientific procedures.

2. The main aim of research is to find out the truth which is hidden and which has

not been discovered as yet.

3. Research helps us to gain familiarity with a phenomenon or to achieve new

insights into it.

4. To portray accurately the characteristics of a particular individual, situation or a

group.

5. To determine the frequency with which something occurs or with which it is

associated with something else.

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6. To test hypothesis of a casual relationship between variables.

The research method used was

1. conclusion oriented research method where after working with the cold storage

unit it was found that how marketing can be a tool to increase the business and

revenue of the firm.

2. The problem was identified, redesigns the enquiry as preceded and was prepared

to conceptualize.

3. Qualitative approach was there for the research purpose as during the summer

internship there was a function of intern’s insights and impressions.

4. The result that would be generated will be either in non-quantitative form or in

the form which are not subject to rigorous quantitative analysis.

4.5 Limitation of the Study:

As far as it goes to the limitation of the study, it can said that marketing is more of

practical and less of theoretical aspects. The nature of the market is very volatile. It

keeps on changing and fluctuating. As a marketer what would seem right and

appropriate for me may or may not fit and seem to be appropriate for few. So the

conclusion and the suggestion may or may not be accepted by the end user. Apart

from this, the practice and policy of every organization is different. So, any

conclusion or suggestion may not be accepted in general for other cold storage

industries. The government policy also differs from state to state. All this does

account for the research work, the observation and other.eg: the marketing mix

which is ideally 4p’s at times can be more then 4 or less than four.

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Chapter 5

Facts and Finding

After studying the organization function, its requirement to operate, the business

nature and environment there are areas which needs due consideration for

increasing the profitability of the cold storage. As the need of cold storage industry

has been on the rise in the past few years. It can be said that with proper set up and

taking care of all the aspects required for the cold storage industry the revenue of

the organization can be increased. Though the flow of the business is smooth it can

be improved more. There times when the utilization of the cold storage is not upto

100 %. Also there are slacks and lean periods where in traders don’t have stocks.

Hence even the cold storage industry does not get orders from the clients. Due to

this the revenue also goes down for some time. In order to see that the revenue is

coming regularly steps has to be taken for it. There also might be a chance where in

there might be new traders but they might not be aware of the presence of the

Sarveshwari Village Industries in the market. It is quite imperative to make your

existence and presence known in the market for the betterment of the organization

from business point of view. In order to have an edge over the competitors the USP

(Unique selling point) of the organizations needs to be emphasized in the market.

This will ultimately help in bringing new clients also having hold over its current

clients.

Since cold storage is a service industry it is essential for the organization to always

provide a superior service to its clients. As the clients are their customers they have

to be at the top most priority. No business can exist or perform better without

serving best to its customer. As quoted by Walt Disney “Do what you do so well

48

that they will want to see it again and bring their friends.” But the question that

arises would be how it can be done? To this it can be answered by implementing

new methods in the business. At Sarveshwari all the modern technological

machinery are available. The power supply problem which is a problem can be

eliminated. It will be thus beneficial for the cold storage to run its operation

continuously and maintain the temperature for the fruits and vegetables. Thus

constant temperature can be maintained.

Apart from this the flow of revenue being constant it can be worked out by entering

into SLA (Service Level Agreement) with majors clients of the organization. Under

this there will be continuous service provided to the clients. This will be in

applicable even when the demand from the clients is less. As advertisement plays

an important role in creating awareness among people. So we can put up

advertisement both during the pick as well as during the lean period. This might

result in bringing up new clients. There can be a possibility that though there are

many players in the market but a new entrant (Trader) in the market who has less

idea about how he can preserve his products from spoilage, the advertisement may

attract him and can approach to Sarveshwari Village Industries.

In the next chapter the facts and findings have been mentioned in brief. The facts

and finding have been generalized and interpreted. Both Service Level Agreement

and advertisement have been covered in brief.

49

Chapter 6

Analysis & Interpretation

After reviewing the scenario, working of cold storage industry at Sarveshwari

Village Industries (A Nafed Cold Storage), the following were analyzed and

interpreted.

6.1 Service Level Agreement

A Service Level Agreement (SLA) defines the relationship between service

provider and the business customer and/or external customer. An SLA clarifies

the responsibilities between the service provider and the customer and it provides a

framework and a common understanding for both parties. An SLA is most

effective when the service provider and the business customer collaborate on what

should be included. Any SLA needs to be agreed upon by both parties. This

becomes a guideline for managing the relationship between the customer and the

Service Provider.

Because a SLA can be used to describe a variety of cold storage services; the

particular elements that are included in an SLA will depend on the circumstances.

A good SLA addresses:

What service(s) are being made available to what customers?

What level of service or quality of service should the customer expect?

What are the costs to provide this level of service?

50

How will the service be delivered?

How will the service provider monitor or track and report on performance?

When will the SLA be reviewed?

This document describes what must be included in a Service Level Agreement

Who prepares the SLA?

The service provider develops the SLA in collaboration with the business customer

How To write a SLA?

An SLA is not a technical document and should be written in business terms.

Everyone needs to be able to understand it.

Use clear and concise wording and avoid ambiguity.

Avoid legal and technical jargon.

Avoid unnecessary technical terminology.

Provide a glossary of terms if necessary.

Have someone independent from the process review the SLA.

Service Level Agreement Contents

What is included in a Service Level Agreement will change depending on the

circumstances and the business. The most important thing to note when creating an

SLA is to keep it simple, measurable and realistic. It is important to understand that

SLAs cannot cover every possible situation that may arise. Listed below are key

sections that should be included in any agreement.

General Overview

51

Description of Services

Service Performance Level

Service Provider and Customer Responsibilities

Problem Management and Disaster Recovery Process

Periodic Review Process

Termination of Agreement Process

Signatures

General Overview

This is a Service Level Agreement (SLA) between Cold Storage service provider &

Business Customer name. The purpose of this Service Level Agreement (SLA) is

to identify the basic services, and any agreed upon optional services, to be provided

by Cold Storage service provider for Business Customer Name.

This SLA covers the period from Date to Date and will be reviewed and revised at

the end of this period.

Include a brief description of what the service or application does.

Description of ServicesDescription of Services

Describe the service that the provider is promising to the customer.

What systems are supported?

What services are included?

What services are NOT included?

How will service be delivered?

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What are the hours of operation (regular business hours and after hours support)?

When will regularly scheduled maintenance be performed?

Service Performance

This section describes how the service provider will monitor or track and report on

performance. The service provider must perform according to predefined and

measurable metrics. Choose metrics that are easily collected. Balance the

importance of a desired metric against its ease of collection. Avoid including an

excessive number of metrics in the SLA that can’t be analyzed in a timely manner.

Any metrics included in a SLA should be capable of being measured on a regular

basis and the SLA should indicate who will provide this information. Some of the

most commonly used metrics include:

SERVICE COSTS

What are the costs to the business customer for the service?

Service Provider and Customer Responsibilities

Both the Service Provider and the Customer have responsibilities in support of the

service delivery process. It is important to distinguish between these relationships.

Describe the service provider duties and responsibilities. Examples are:

Meeting response times associated with service related incidents.

Generating service level reports for customer.

Training required staff on appropriate service support tools.

Notifying customers about all scheduled maintenance.

Developing and maintaining system related documentation (this could also be a

customer responsibility).

Managing user accounts.

Describe the customer’s duties and responsibilities. Examples are:

53

Adhering to any related policies, processes and procedures.

Reporting problems using the problem reporting procedures described in the SLA.

Scheduling in advance all service related requests and other special services with

the Service Provider.

Developing and maintaining system related documentation (this could also be a

service provider responsibility).

Making customer representative(s) available when resolving a service related

incident or request.

Communicating when system testing and/or maintenance may cause problems that

could interfere with standard business functions.

Periodic Review Process

When an SLA is first initiated and the service is just beginning, the SLA should be

reviewed on a monthly basis. These reviews can then be done quarterly, semi-

annually or annually after this initial startup period is over. An SLA should be

viewed as a dynamic document and should be periodically reviewed and changed

when the following events occur:

The environment has changed

The client's expectations and/or needs have changed

Workloads have changed

Better metrics, measurement tools and processes have evolved.

An SLA should be reviewed at a minimum once per fiscal year. List who is the

“document owner” and who will facilitate regular reviews of this document.

Contents of this document may be amended as required, provided mutual

agreement is obtained and communicated to all affected parties. The “document

owner” will incorporate all subsequent revisions and obtain mutual agreements /

approvals as required.

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Document Owner: Document Owner Name

Review Period: Review Period (e.g. annually or Quarterly)

Next Review Date: Next Review Date

SignaturesSignatures

The final SLA should contain signatures of appropriate representatives from the

Service Provider and the Customer. The Service Provider representatives would

typically be a CEO or the Proprietor

6.2 Advertisements in Newspaper

Paid-circulation newspapers are a popular advertising medium for most local

businesses. They are the oldest forms of mass media, and they continue to be one

of the largest, as measured by volume of advertising dollars. Industry giants, as

well as the local convenience stores, use newspapers to advertise. Every

community has its own newspaper. There are over 1,600 paid-circulation daily

newspapers in America and several thousand additional local weekly papers as

well.

Every advertising medium has characteristics that give it natural advantages and

limitations. As you scan your local newspaper(s), you will notice a number of

businesses that advertise on a regular basis. Observe who they are, and how they

advertise their products and services. More than likely, if the advertisements are

repeated, the ads are working.

Consider this media if you are selling to a general market, because newspapers are

generally bought by all segments of the population. Even though the newspaper no

longer enjoys its former role as the almost exclusive source of news, they still

remain a strong factor in their specific sphere of influence.

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Advantages of Newspaper Advertising Advantages of Newspaper Advertising

There are a number of characteristics of paid-circulation newspapers that make

them especially appealing to advertisers:

Most paid-circulation papers, both daily and

weekly, reach the majority of homes in their primary

city or town.

Almost every home in the United States receives a newspaper, either at the

newsstand or by home delivery.

Newspapers permit an advertiser to reach a large number of people within a

specified geographical area.

The printed advertising message has both permanence and desired obsolescence.

A reader can refer back to, or even clip and save, a particular ad, yet tomorrow’s

edition is new and fresh and as eagerly sought by the same reader.

The newspaper offers a predictable frequency of publication: once, twice or up

to seven times a week.

Newspapers have immediacy. You can place an ad on Monday and be getting

results before the week is over. Short deadlines permit quick responses to changing

market conditions.

People expect to find advertising in their newspapers. In fact, many people buy

newspapers just to read the ads from the restaurants, movies and discount stores.

Reading the newspaper has become a habit for most families. It has something

for everyone.

You can reach certain segments of your market by placing your ads in different

sections of the paper such as: sports, comics, crosswords, news, classifieds, etc.

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An advertiser has flexibility in terms of ad size and placement. Production

changes can be made quickly, if necessary, a new insert can be added on short

notice.

Advertisements can be examined at leisure. Exposure is not limited, so readers

can take their time reading the messages.

It offers a great variety of ad sizes. If you don’t have a large budget, you can

still run a series of small ads.

Many options are available. Copy alone; copy with graphics; black and white; or

full color.

Newspaper supplements often feature certain subjects that readers pull out and

save.

Disadvantages of Newspaper Advertising Disadvantages of Newspaper Advertising

Advertising in the newspaper is not without a few inherent disadvantages, such as:

Any given advertising message must compete for the reader’s attention. The

paper may contain hundreds of ads, as well as dozens of articles and features for

the reader to wade through. If the total time spent scanning a newspaper is only 20

minutes, your ad may not be noticed by a significant number of people.

You have no assurance that every person who receives the newspaper will read

your ad. They may not read the section you advertised in, or they may simply have

skipped the page because it contained little or nothing else of interest.

It has a relatively short life span (newspapers are typically read once, then

discarded), thus requiring multiple insertions.

Just as with any advertising method, weigh the advantages and disadvantages

before deciding where to spend, and we will make the most of your advertising

dollars.

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Chapter 7

Conclusion & Suggestions

In this last chapter the following are conclusions and suggestions.

7.1 Conclusion:

Marketing aims at meetings the needs of the customers. It helps in strengthening

the business. With proper marketing a business can reach at the pinnacle. Here in

this summer internship project it can be concluded that marketing is more of the

practical aspects coupled with the theoretical knowledge. Cold storage industry is

indeed a sunrise industry with tremendous potential. It will further contribute to the

Indian economy and will play a vital role in prevention of food wastage and

spoilage. There are times when India needs to import food grains in spite of good

production. This can be prevented only after setting up adequate cold storage unit.

Both Government and Private entrepreneurs should work towards this.

58

The revenue of the Sarveshwari Village Industries (Nafed Cold Storage) can be

increase by improving few facilities like continuous supply of electricity. Proper

care and maintenance of the machinery needs to be taken. The supervision of the

temperature for the products stored is also important. Service Level Agreement can

help in getting revenues from the clients. The service standard of the firm should be

at its best as it is the key to success. In order to create awareness about the industry

in the market advertisement can be done.

7. 2 Suggestions:

The following points have been suggested

1. Sarveshwari Village Industries (Nafed Cold Storage) can opt for Service Level

Agreement (SLA) with its major clients to enable the continuous flow of revenue.

It will also lead in improvising of it service standards.

2. Sarveshwari Village Industries (Nafed Cold Storage) can go for advertisements

in the newspaper during both the Pick and slack period. It can be vital in increasing

the business as awareness and the presence of the unit will be made in the market.

3. For continuous power supply Sarveshwari Village Industries (Nafed Cold

Storage) can go for generator service.

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Bibliography:

Books : Research Methodology Methods and techniques by C.R. Kothari

Indian Food Processing Industry: Some Perspectives by Bala Krishna A V ,

Radha Krishna G

Journals : APR Project Consultants. Pune

Newspaper: Nav Bharat Times, 24 july 2009

Websites

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http:// www.google.co.in

http://www.valuebasedmanagement.net/

methods_marketing_mix.html

http://www.websitemarketingplan.com/small_business/

newspaper.htm

http://www.releasemyad.com/rates_offer.php

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ANNEXURE

Annexure 1: Cold Storage Data of Various Fruits and Vegetables

Annexure 2: Cold Storage Data on few products

Annexure 3: List of Cold Storage Navi Mumbai

Annexure 4: List of Cold Storage Mumbai

Annexure 5: Information about Existing Cold Stores in Mumbai, Thane and Navi

Mumbai areas

Annexure 6: Commodities stored in Cold Stores in Mumbai Region

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