food processing in western mp 02 july 2015
TRANSCRIPT
Exploring Opportunities and Harnessing the Potential of Food Processing sector in
Western Madhya Pradesh
► Madhya Pradesh - Snapshot
► Western Madhya Pradesh - Snapshot
► Robust Infrastructure Facilities
► Investment Opportunities
► Advantage
► Government’s Proactiveness
► Key Players
Table of Contents
Wonderful Growth Story of MP -With highest growth in food grains in India, MP has received 'Krishi Karman' award for three consecutive years (FY 2012, FY 2013 & FY 2014)
Madhya Pradesh - Snapshot
Agriculture
► In 2013–14, agriculture sector in MP grew by 24.99%
► In the year 2013-14, income from GDP rose to INR 69249.89 crore
► Total area under production in the state is 237.28 lakh hectares and the total agricultural produce is 375.09 lakh million tones
► With 5 crop zones, 11 agro-climatic zones and 4 soil types the state is favorable for agri- production
► The state has a robust support system of 4500 primary agriculture co-operative societies and 240 agriculture Mandi’s
Madhya Pradesh - Snapshot
Horticulture
► Horticulture is one of the sunrise sectors in Madhya Pradesh growing with an increasing area under crops such as fruits, vegetables and spices in the recent past
► The area of production under fruits, vegetables, species, flower and medicinal plants are 22%, 64%, 6%, 2% and 6% respectively.
► The production of horticultural crops grew at a CAGR of 39% during the period from 2008–09 to 2013–14
Madhya Pradesh - Snapshot
Livestock
► MP is the 6th largest producer of milk in India producing 8838 thousand tonnes with a growth rate 8.6% over the year.
► The state produces 8712.1 lakh eggs and 42.9 thousand tonnes of meat with a growth rate of 4% and 11.2% respectively.
► Over the last few years, consumption of Milk and milk products has increased by around 34.4%, eggs by around 60.9%, poultry meat by around 153.3% and meat other than poultry by around 50.3% over last decade.
Madhya Pradesh - Snapshot
Food Processing
► This sector forms an average of 32% share of the total industrial output value in Madhya Pradesh
► There are about 22 leading processing units in the state. In addition to this, there are over 500 units in the SME sector of 250-300 potato processing units in Indore and adjoining districts and 125-150 flower processing units (Gulkhand, Rose water) located in Ujjain. There is potential for increase in the number of processing units especially for Aonla, Garlic and Coriander.
Madhya Pradesh - Snapshot
Source: National Horticulture Board, Horticulture; Ministry of Agriculture and Department of Animal Husbandry, Dairying and Fisheries, National Dairy Development Board
MP’s rank in India in term of produce
Rank 1 Gram, guava, gooseberry, garlic, marigold, aromatic, soya bean, total pulses and total oilseeds
Rank 2 Onion, peas, mandarin (mandarin, kinnow, orange), coriander and total citrus
Rank 3 Aonla, Jowar, tur, Lentil , muskmelon, bottle gourd, pumpkin, tomato, custard apple, sweet orange (Malta, Mosambi) , rose, wheat, rapeseed & mustard, total food grains, others vegetables, other flowers and other fruits
Rank 4 Cauliflower, potato, ber, papaya, chilies, total spices and total flowers
Rank 5 Lime/lemon, and fish, bitter gourd, pointed gourd, sweet potato, jackfruit, pomegranate, tube rose and total vegetables, other fruits,
Rank 6 Milk, coarse cereals, Bajara, groundnut and cotton, brinjal and total fruits
Rank 7 Papaya, cabbage, cucumber, watermelon, banana and grapes
Rank 8 Maize, ladyfinger, apple, bael and passion fruit
Rank 10 Carrot and peach
Western Madhya Pradesh - Snapshot
4
2
3
1
Delhi
Mumbai
Garlic
Coriander
Chilli
Orange
Aonla
Banana
Mango
Flowers
Pea
Tomato
Onion
Gram
Wheat
Rice
Papaya
DMIC Investment Nodes
Pithampur – Dhar - Mhow
Ratlam- Nagda
Investment Regions
1
2
Industrial Area
Shajapur- Dewas
Neemuch - Nayagaon
3
4
The Delhi-Mumbai Industrial Corridor (DMIC) is a mega infra-structure project of USD 90 billion (INR 5,400 billion) with the financial & technical aids from Japan. Four investment nodes have been identified in Madhya Pradesh under DMIC project
Horticulture hub Area in Acres
Proposed
Burhanpur 52.52
Shajapur 100
Ujjain 29.5 – 44.5
Mandsaur69 Acre & 237 Acres
(2 locations)
Western Madhya Pradesh - Snapshot
Horticulture is a rising sector in Madhya Pradesh. In Ujjain Division, area under horticultural crops are 440887.66 hectare which is 30% of total area in MP
S.No Crop Area in Hectare
1 Fruits 58910.81
2 Vegetables 129492.25
3 Spices 164514.45
4 Medicinal Plants 54375
5 Flowers 6595.15
Total 440887.66
14%
31%
40%
13%2%
Area in Ha – Ujjain Division
Fruits Vegetables Spices Medicinal Plants Flowers
Processing Unit in Ujjain Division
S.N District No. of Companies Major Activity Undertaken
1 Ujjain 4► Processing of Aonla into Murabba, Tamarind into Pulp
► Seed production of Potato & Pomegranate
2 Dewas 1 ► Processing of Aonla juice
3 Shajapur 1► Processing of Chilies, Turmeric & Coriander into
powder
4 Ratlam 4► Processing of Mango into pickle, Grape wine, Aonla
into Murabba, Spices like Chilies, Turmeric & Coriander into powder
5 Neemuch 21► Processing of Spices like Chilies, Turmeric &
Coriander into powder, Potato Chips, Aonla flakes, Aswagandha Powder, Isabgol powder
Areas of Focus
Specific Opportunity Location
Area in
acres
Estimated Project Value
in Lakhs₹Proposed Activity
Processing Capacity
Enhancement
Integrated fruits and vegetable processing facility
Ratlam
Mandsaur
Ujjain
Shajapur
~ 7 3000
►Processing of Tomato, Garlic, Local Potato, Onion, Orange, Wheat, Grapes, Pomegranate, Soyabean
Vegetable dehydration facility
Neemuch ~ 6 1960 ►Processing of Garlic,
Onion, Tomato, Isabgol
Modern slaughterhouses
Indore and
Bhopal
~ 2 per
facility
430 ►Processing of Goat,
Sheep, Buffalo
Investment Opportunity
Areas of Focus Specific Opportunity Location Area in
acres
Estimated Project Value
in Lakhs₹Proposed Activity
Marketing Infrastructure Development
Development/ up-gradation of marketing facilities of the APMC’s
Shujalpur 19 968
►Marketing Infrastructure Development
Farmer Linkages and Empowerment
Strengthening of FPOs by facilitating the formation, market linkages and capacity building
Ujjain, Ratlam,
Neemuch,
Shajapur, Mandsau
r
- 100
► Institutional Linkages
►Value addition
►Technology upgradation
►Branding & Marketing
►E commerce
Human Resource Development
Food Technology institute
Indore 50 4756
►Human Resource Development
►Employment generation
►Entrepreneur Development
Investment Opportunity
Well connected to key cities & consumer markets
► DMIC & Other 18 National Highways of 5,000 km cross MP
► State Highways of 10000 km► 20000 Km of Major District
Roads
Road connectivity
► 1-2 Hour away from major Indian Cities
► Direct flights to Delhi, Mumbai, Kolkata, Chennai, Bangalore, Hyderabad & Pune
Air connectivity
Madhya Pradesh know as the heart of India is located at the centre of the country. The infrastructure network of state plays an important role for the production and exchange of goods and services in the country.
► 425 trains pass through Madhya Pradesh daily
Rail connectivity
► One of the 5 Inland Container Depots at Ratlam with Malanpur, Mandideep, Pithampur, Pawarkheda
► These provide convenient access to major ports such as Kandla Port and Jawarhalal Nehru Port
Connectivity to ports
Advantage
Best Government Proactiveness - Policy
Agribusiness & Food Processing Policy 2012
► To minimize loss► To add value at the Farm Gate► To give the benefit of Policy for the farm level activity
► Land allotment at a concessional rate of 25% for MSME units. Stamp Duty and registration charges exemption of ₹1 per ₹ 1,000
► Reimbursement at the rate of 15% to a maximum of ₹ 5 crore for the expenditure incurred on establishment of food park /mega food park/ horticulture hub
► Fruits, vegetables, flowers and other notified agriculture produce purchased in any market area of the state for processing/ production, is exempt from payment of mandi fee
► Subsidized power rates at ₹ 1.50 per unit subject to a ceiling of 25% of the electric units consumed to Cold Storage, Cold Chamber, Ripening Chamber and Individual Quick Freezing Enterprise for 5 years
Government Proactiveness - Policy
Other features of the Policy
►Concessional rates of mandi fee for Banana and Orange produced in the State
►Establishment of value adding centers for sorting, packaging, storage and preservation, processing and transportation
►Foods and vegetables used for processing by a unit in Madhya Pradesh exempted from Mandi Fees
►Agri export zones for Potatoes, onion and garlic (8 districts) and Seed spices – coriander and fenugreek (7 districts)
►APMC act amended to exempt trading of fruits and vegetables (as per the mentioned list) outside the market yard from trading license and Mandi Fees
Where is the Problem?
Government Proactiveness
Promoting Farmers Producer Organization
► Collectivization of farmers, especially small and marginal farmers, into Farmers Producer Organizations to address the challenges of agriculture and allied sectors.
► The registered farmers at the village level grouped into Farmers Interest Groups (FIGs) which comprises of 15 – 20 members.
► All FIGs in the district level to be federated into Farmers’ Producer Organization (FPO) registered as company following provisions of Companies Act, 1956.
► FPO will work towards providing services such as procurement services (in bulk volume), marketing services, technical assistance, value addition and establishment of infrastructure.
► Government as facilitator is providing assistance to the FPOs for enhancing production through ensuring timely supply of quality planting material.
► FPO member farmers are trained on quality, marketing and management aspects.
MD & Board of Directors
FIG Leaders
Farmers Interest Group (FIG)
Registered Farmers
Service Providers
What is the solution? FPO Model – Through Service Provider
Farmers Service Provider
Service Request► Marketing► Input Supply► Training
Service Provider placed the order to FPO
FPO OfficeRequest FulfilledRequest Fulfilled
Commission Paid Monthly Fees Paid
Bulk Buyer
Input Supplier
Government
Institutions
Local Educated Youth
Farmers Service Provider FPO Buyer Input Supplier Government Institutions
Home ServiceCapacity
Build
Earning at home place
Management Customized Service
Huge Farmer Base
Programme Implementation
Easy access to farmers
Benefits
Profit sharing in form of Bonus
Overall Value Chain Development with Profit Maximization of farmers, Ease of doing business for Buyers and Input Suppliers, Easy monitoring and effective programme implementation for Government and strong customer base for Banks along with Rural Employment
Success Story – Ratlam, Ujjain Division
Farmer's Name : Balmukund PatidarDesignation : Managing DirectorCompany Name : Maa Chamunda Krishak Producer Company LimitedNumber of Farmers : 1080 Farmers & 54 Farmers Interest Group from 8 villagesAddress : Village- Kushalgarh, Tehsil – Piploda,
District – Ratlam, MPContact Details : +91- 9893081684Email : [email protected]
Crop Details
Crop Name Garlic
Variety G-2 (Ooty)
Soil Type Light, Black
Type of Irrigation Drip
Month / Year of Crop Grown Oct. 2013
Area under Crop (ha) with Micro Irrigation 4.00
Yield of Main Crop (Quintal/ha) 140 Quintal / ha
Pricing of Main Crop (Quintal/ha) ₹ 12500 / Quintal
Gross Expenditure on Production (Rs.) ₹ 16.50 Lakh
Gross Revenue (Rs.) ₹ 70.00 Lakh
Success Story – Ratlam, Ujjain Division
Ratlam Adivasi Kisan Producer Company
With the help of Farmers Producer Organization, farmers are supplying onion from farm gate to metro cities like Delhi based retail chain Safal, DMS and Horeca and have realized 20-30 % better price than local market. This also helped farmers to save their money which was spend on transportation, labour and time. Due to this, local vendors are also compelled to increase their prices for purchase of onion from villages. This has provided power to the farmers as they have now various options inorder to sale their produce. Around 16 trucks have been send through FPO’s in this region to major cities.
www.malwafresh.comTowards sustainable and profitable farming
Services
► Online Registration
► Stakeholders Profile
► Socio-economic Profile
► Crop Profile
► FPO Profile
► Key Performance Indicators
► Record Farmers Training
► Data Storage with Analysis
► Package of Practices
► Integrated Administrative
Operations
► Online Ordering & Marketing
Services
www.malwafresh.com - Features
Registration of Stakeholders
Customised form to register Stakeholders like Farmers, Market Aggregators, Input Suppliers, Production & marketing, etc.
Farmers
Crop
Weather
Service Provider Government
Institutions
Input Supplier
Processors
Retailer/ Wholesaler
Placing an Order / Request - Buyer
www. malwafresh.com
Placing an order in advance with details on Crop, Quality,
etc
Bulk Buyer
Service ProviderFPO Office
Bank
Warehouse
Packing & Branding
Farming
Package of Practice
Key Players in MP
The Growing Market…..
Dr Ravindra Pastor, IAS
Commissioner
Ujjain Division, Ujjain
Government of Madhya Pradesh
>
For any query please write us at: [email protected]
Contact – Vikash Pandey (08821078627)
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