Comparative analysis of Public and Private warehousing in Vidarbha region of Maharashtra

1. Presentation
On
ComparativeAnalysis of Public and
Private Food Grain Warehousing in
Vidarbha
M.M.KADAM, Ph.D., Student, Agricultural Economics,
POST GRADUATE INSTITUTE
DR. PANJABRAO DESHMUKH KRISHI VIDYAPEETH
AKOLA (M.S.) – 444 104
,

2. ADVISORY COMMITTEE
• 1. Chairman Dr. R.G .Deshmukh
• 2. Member Dr. V. K. Khobarkar
• 3. Member Dr. S .C. Nagpure
• 4. Member Dr. S. M. Ghawade
• 5. Member Dr. S. W. Jahagirdar

3. INTRODUCTION
• Warehousing plays a very vital role in promoting agriculture
marketing, rural banking and financing and ensuring Food
Security in the county. It enables the markets to ease the
pressure during harvest season and to maintain uninterrupted
supply of agricultural commodities during off season. Hence, it
solves the problems of glut and scarcity, which are the usual
problems in agricultural marketing.
• Though warehousing is an independent economic activity, yet
is closely linked with production, consumption and trade.
Development of agro processing agricultural marketing
needs a strong warehousing system. Warehousing is the most
important auxiliary service for development of trade and
commerce.

4. PRODUCTION VS STORAGE
255 MILLON TONNES VS 108 MILLION TONNES
147 MILLION TONNES NEED
STORAGE………………………
WAREHOUSES
ARE MUST……………………..SO………….
WE STUDY……

5. Sr.No. Name of the Organization /Sector Storage Capacity in Million MTs
1. Food Corporation of India (FCI) 32.05
2. Central Warehousing Corporation (CWC) 10.07
3. State Warehousing Corporations (SWCs) 21.29
4. State Civil Supplies 11.30
5. Cooperative Sector 15.07
6. Private Sector 18.97
Total 108.75
Warehouse Storage Capacity in India
Source: Planning Commission Report

6. SERIAL NO. APMC (DIVISION) NAME CAPACITY (METRIC TONNES)
1. KOKAN 4786
2. NASHIK 15607
3. AMRAVATI 94204
4. NAGPUR 110850
5. KOLHAPUR 26150
6. LATUR 35150
7. AURANGABAD 47010
8. PUNE 66260
TOTAL 4,00,017

7. SERIAL
NO.
ORGANIZATIONS CAPACITY (METRIC
TONNES)
1 MAHARASHTRA STATE WAREHOUSING CORPORATION 1,24,5000
2 MAHARASHTRA STATE COOPERATIVE MARKETING
FEDERATION
2,71,000
3 COTTON MARKETING FEDERATION OF MAHARASHTRA 73,940
TOTAL 15,89,940
Source: http//www.mswarehousing.com

8. OBJECTIVES
• To study the investment pattern in different types of
warehouses.
• To analyse the profile of commodities stored in the
warehouses.
• To evaluate the economic, technical, and financial feasibility of
the warehousing.
• To identify the constraints and suggest the remedial measures.

9. METHODOLOGY
• The Vidarbha region of Maharashtra state has been
considered for the study to provide representative sample to
consider the unique characteristics covering diversified
regions in the Maharashtra State. The public undertaking
under the Government of Maharashtra the largest
warehousing services is catering to the large population in the
state. Hence, it was imperative to select the Maharashtra
State Warehousing Corporation purposively for the
investigation.

10. METHODOLOGY
• The private undertaking under the Vidarbha region of
Maharashtra is occupied by Buldhana Urban warehousing
services. Hence, it was imperative to select the Buldhana
Urban warehouses purposively for the investigation.

11. Methodology
• A total of 180 warehouses were selected purposively at the
rate of 60 warehouses in each agro climatic zones covering
Vidarbha region for comparative analysis. The warehouses
were selected based on the capacity and quantum of
commodities (tonnages) stored in the godowns in the study
area.
• Total 94 Warehouses were selected i.e; 47 government
warehouses and 47 private warehouses respectively.

12. METHODOLOGY
• The primary source of data was specially collected so as to
elicit the first hand information about the functioning of godowns
and Maharashtra State Warehousing corporation and also problems
encountered by the user group, owners of private godowns and the
officials of Maharashtra State Warehousing Corporation.
• The secondary source of data was collected to evaluate the
investment pattern, profit arised from different commodities
stored, to work out the financial feasibility, economic viability.
• The data pertaining to establishment charges and maintenance
cost like rent of godowns, equipments, insurance, disinfestation
charges, number of warehouses, capacity (owned, hired and total),
commodity-wise utilization, depositor-wise utilization, paid- up
capital, total assets, gross receipts, expenditure and profit,
miscellaneous expenditure etc. of the selected warehouses was
collected for the period from 2000-01 to 2011-12.

13. Methodology
• Simple tabular analysis was followed to analyse the
investment profile, profile of different commodities stored,
composition of user groups, capacity utilization and
constraints faced by users and warehouse operators in
functioning of warehouse services.
• In order to study the financial feasibility discounted cash flow
technique involving internal rate of returns (IRR), benefit:cost
ratio (BCR) and net present worth (NPW) was used.
• Stochastic Frontier Model was used to calculate economic
performance of warehousing.

14. PUBLICWAREHOUSES
TableNo.1InvestmentpatterninPublicWarehouses
YEAR FIXED COST PER CENT TO
TOTAL
VARIABLE
COST
PER CENT TO
TAL
TOTAL
2001 429042.6 62.14 261442.1 37.86 690484.7
2002 359042.6 55.32 289942.6 44.68 648985.1
2003 371531.9 63.22 216155.3 36.78 587687.2
2004 341234 55.37 275027.7 44.63 616261.7
2005 309117 62.38 186406.4 37.62 495523.4
2006 340470.2 56.74 259580.9 43.26 600051.1
2007 338910.6 61.57 211574.5 38.43 550485.1
2008 407857.4 65.17 217963.4 34.83 625820.9
2009 227426 64.45 125444.3 35.55 352870.2
2010 223255.3 64.79 121344.3 35.21 344599.6
2011 221270.4 58.08 159691.5 41.92 380961.9
2012 217766 65.57 114346.8 34.43 332112.8
315577 60.83 203243.3 39.17 518820.3

15. YEAR FIXED COST
PER CENT TO
TOTAL INVENTORY
PER CENT TO
TOTAL TOTAL
2001 429042.6 94.97 22712.77 5.03 451755.3
2002 359042.6 92.99 27053.19 7.01 386095.7
2003 371531.9 93.74 24797.87 6.26 396329.8
2004 341234 93.97 21880.85 6.03 363114.9
2005 309117 91.94 27106.38 8.06 336223.4
2006 340470.2 92.88 26085.11 7.12 366555.3
2007 338910.6 94.34 20348.94 5.66 359259.6
2008 407857.4 94.82 22278.72 5.18 430136.2
2009 227426 90.85 22908.51 9.15 250334.5
2010 223255.3 91.21 21504.26 8.79 244759.6
2011 221270.4 90.83 22338.3 9.17 243608.7
2012 217766 89.23 26293.62 10.77 244059.6
315577 92.99 23775.71 7.01 339352.7
PUBLIC WAREHOUSES
Table No. 2 Investment pattern in Public Warehouses

16. PRIVATEWAREHOUSES
TableNo.3 InvestmentpatterninPrivateWarehouses
YEAR FIXED COST PER CENT
TO TOTAL
VARIABLE
COST
PER CENT
TO TOTAL
TOTAL
2001 301158.7 79.13 79426.09 20.87 380584.8
2002 317115.2 83.94 60665.22 16.06 377780.4
2003 356463 77.61 102839.1 22.39 459302.2
2004 344137 73.78 122317.4 26.22 466454.3
2005 379593.5 74.79 127947.8 25.21 507541.3
2006 349180.4 76.18 109208.7 23.82 458389.1
2007 401093.5 79.65 102491.3 20.35 503584.8
2008 340050 75.18 112252.2 24.82 452302.2
2009 447550 67.63 214187 32.37 661737
2010 439571.7 68.26 204426.1 31.74 643997.8
2011 331071.7 61.75 205100 38.25 536171.7
2012 167571.7 73.42 60665.22 26.58 228237
347879.7 73.55 125127.2 26.45 473006.9

17. TableNo.4 InvestmentpatterninPrivateWarehouses
YEAR FIXED COST PER CENT
TO TOTAL
INVENTORY PER CENT
TO TOTAL
TOTAL
2001 301158.7 95.28 14913.04 4.72 316071.7
2002 317115.2 95.13 16217.39 4.87 333332.6
2003 356463 95.86 15391.3 4.14 371854.3
2004 344137 95.62 15760.87 4.38 359897.8
2005 379593.5 95.83 16500 4.17 396093.5
2006 349180.4 95.68 15760.87 4.32 364941.3
2007 401093.5 96.11 16217.39 3.89 417310.9
2008 340050 95.19 17182.61 4.81 357232.6
2009 447550 95.76 19804.35 4.24 467354.3
2010 439571.7 96.52 15869.57 3.48 455441.3
2011 331071.7 95.70 14891.3 4.30 345963
2012 167571.7 92.12 14326.09 7.88 181897.8
347879.7 95.58 16069.57 4.42 363949.3

18. PUBLICWAREHOUSES
TableNo.5EconomicViabilityinPublicWarehouses
YEAR RETURNS COSTS D.R.@12% RETURNS
* D.R.
COST*
D.R.
NPW B:C
2001 727858.2 945198.3 0.892857 649873.4 843927.1 -194054 0.77
2002 739759.3 648985.1 0.797194 589731.6 517367 72364.67 1.14
2003 742590.4 587687.2 0.71178 528561.2 418304.2 110257 1.26
2004 760393.9 616261.7 0.635518 483244.1 391645.5 91598.61 1.23
2005 740699.4 495523.4 0.567427 420292.7 281173.3 139119.5 1.49
2006 761215.9 600051.1 0.506631 385655.7 304004.5 81651.14 1.27
2007 743830.3 550485.1 0.452349 336471.1 249011.5 87459.57 1.35
2008 449566.4 625820.9 0.403883 181572.3 252758.5 -71186.2 0.72
2009 473074 352870.2 0.36061 170595.2 127248.5 43346.68 1.34
2010 336513.1 344599.6 0.321973 108348.2 110951.8 -2603.63 0.98
2011 398637.4 380961.9 0.287476 114598.7 109517.4 5081.283 1.05
2012 697468.7 329978.7 0.256675 179022.8 84697.32 94325.52 2.11
345663.9 307550.6 457360.4 1.12

19. TableNo.6EconomicViabilityinPublicWarehouses
Year RETURNS COSTS NET
INCOME
D.R.@40
%
D.R.@43
%
L.D.R H.D.R
1 727858.2 945198.3 -217340 0.714286 0.699301 -155243 -151986
2 739759.3 648985.1 90774.24 0.510204 0.489021 46313.39 44390.55
3 742590.4 587687.2 154903.2 0.364431 0.341973 56451.59 52972.71
4 760393.9 616261.7 144132.2 0.260308 0.239142 37518.79 34468.06
5 740699.4 495523.4 245176 0.185934 0.167232 45586.66 41001.31
6 761215.9 600051.1 161164.9 0.13281 0.116946 21404.36 18847.52
7 743830.3 550485.1 193345.2 0.094865 0.08178 18341.6 15811.8
8 449566.4 625820.9 -176254 0.06776 0.057189 -11943.1 -10079.8
9 473074 352870.2 120203.8 0.0484 0.039992 5817.893 4807.217
10 336513.1 344599.6 -8086.47 0.034572 0.027967 -279.562 -226.151
11 398637.4 380961.9 17675.5 0.024694 0.019557 436.4789 345.6808
12 697468.7 329978.7 367490 0.017639 0.013676 6482.001 5025.891
70887.2 55378.7
IRR= 56.7

20. PRIVATEWAREHOUSES
TableNo.7 EconomicViabilityinPrivateWarehouses
Year RETURNS COSTS D.R.@12% RETURNS*
D.R.
COSTS*
D.R.
NPW B:C
2001 1306034 357992.3 0.892857 1166101 319636 846465.4 3.65
2002 1329982 398346.2 0.797194 1060254 317559.1 742694.4 3.34
2003 1368750 435084.6 0.71178 974249.5 309684.6 664564.9 3.15
2004 1407809 450930.8 0.635518 894687.8 286574.7 608113.1 3.12
2005 1242307 529207.7 0.567427 704918.6 300286.7 404632 2.35
2006 1503531 447223.1 0.506631 761735.8 226577.1 535158.7 3.36
2007 1279335 452638.5 0.452349 578706 204750.7 373955.4 2.83
2008 1282245 422715.4 0.403883 517877.2 170727.7 347149.5 3.03
2009 1233335 635976.9 0.36061 444752.8 229339.7 215413.2 1.94
2010 1365159 609592.3 0.321973 439544.8 196272.4 243272.3 2.24
2011 1387071 545038.5 0.287476 398749.8 156685.5 242064.3 2.54
2012 1534619 219330.8 0.256675 393898.4 56296.75 337601.6 7.00
694623 231199.2 5561085 3.02

21. TableNo.8 EconomicViabilityinPrivateWarehouses
RETURNS COSTS NET
INCOME
D.R.@40
%
D.R.@43
%
L.D.R H.D.R
1 1306034 357992.3 948041.2 0.714286 0.699301 677172.3 662965.9
2 1329982 398346.2 931635.9 0.510204 0.489021 475324.4 455589.9
3 1368750 435084.6 933665.8 0.364431 0.341973 340257.2 319288.5
4 1407809 450930.8 956877.8 0.260308 0.239142 249083.1 228829.7
5 1242307 529207.7 713099.8 0.185934 0.167232 132589.8 119253.2
6 1503531 447223.1 1056308 0.13281 0.116946 140288.6 123530.6
7 1279335 452638.5 826696.2 0.094865 0.08178 78424.12 67607.31
8 1282245 422715.4 859529.5 0.06776 0.057189 58242.03 49155.54
9 1233335 635976.9 597357.7 0.0484 0.039992 28912.27 23889.67
10 1365159 609592.3 755567 0.034572 0.027967 26121.17 21130.64
11 1387071 545038.5 842032.8 0.024694 0.019557 20793.16 16467.69
12 1534619 219330.8 1315288 0.017639 0.013676 23199.81 17988.23
IRR=43.5 2250408 175474.7

22. PUBLICWAREHOUSES
TableNo.9ProfileofCommoditiesstoredinPublicWarehouses
YEAR RICE PER
CENT
WHEAT PER
CENT
PULSES PER
CENT
OILSEEDS PER
CENT
OTHERS PER
CENT
1999-00 15207.1 47.8 13140.2 41.3 1237.8 3.9 1678.1 5.3 564.6 1.8
2000-01 15740.3 52.7 10598.4 35.5 1256.5 4.2 1693.2 5.7 563.8 1.9
2001-02 16683.0 50.0 13157.6 39.4 1242.6 3.7 1738.7 5.2 564.4 1.7
2002-03 15555.1 49.7 12259.2 39.2 1239.1 4.0 1670.8 5.3 565.3 1.8
2003-04 15555.1 49.7 12259.2 39.2 1239.1 4.0 1670.8 5.3 565.3 1.8
2004-05 16761.7 50.1 13152.1 39.3 1239.6 3.7 1688.7 5.1 595.8 1.8
2005-06 18970.2 52.9 13185.5 36.8 1246.8 3.5 1851.6 5.2 578.6 1.6
2006-07 16910.7 50.2 13149.8 39.0 1253.9 3.7 1749.8 5.2 610.8 1.8
2007-08 16616.6 49.2 13152.1 39.0 1243.7 3.7 2136.7 6.3 593.9 1.8
2008-09 16616.6 50.0 13152.1 39.6 1239.1 3.7 1668.4 5.0 563.9 1.7
2009-10 16444.4 50.3 12672.7 38.7 1244.3 3.8 1764.3 5.4 578.0 1.8
2010-11 1582.0 8.8 12720.6 71.2 1243.8 7.0 1754.7 9.8 576.6 3.2
2011-12 1450.0 7.4 1300.4 6.7 1400.0 7.2 14800.0 75.7 588.0 3.0
2012-13 1520.0 8.5 12716.6 71.3 1320.0 7.4 1755.5 9.8 521.0 2.9
Average 16460.2 50.3 12716.6 38.8 1243.9 3.8 1755.5 5.4 576.7 1.8

23. PRIVATEWAREHOUSES
TableNo.9ProfileofCommoditiesstoredinPrivateWarehouses
YEAR RICE PER
CENT
WHEAT PER
CENT
PULSES PER CENT OILSEEDS PER
CENT
OTHERS PER
CENT
1999-00 4020 57.13 1132 16.09 960 13.64 345 4.90 580 8.24
2000-01 4952 39.95 5000 40.33 1200 7.74 745 6.01 500 4.03
2001-02 6890 42.09 5860 35.80 1800 5.86 860 5.25 960 5.86
2002-03 520 11.12 2180 46.62 1006 20.53 550 11.76 420 8.98
2003-04 2800 34.80 2860 35.55 996 11.93 500 6.21 890 11.06
2004-05 5425 47.19 2800 24.36 1600 8.35 860 7.48 810 7.05
2005-06 5312 52.02 1960 19.19 600 9.40 1220 11.95 1120 10.97
2006-07 8992 56.22 2500 15.63 1860 6.00 1500 9.38 1142 7.14
2007-08 9422 47.21 5800 29.06 1340 4.80 2197 11.01 1200 6.01
2008-09 8432 46.31 7220 39.65 1120 5.27 616 3.38 820 4.50
2009-10 9680 44.16 8432 38.46 1640 4.37 960 4.38 1210 5.52
2010-11 8436 52.85 4200 26.31 1232 6.01 1245 7.80 850 5.32
2011-12 9430 45.22 8450 40.52 1225 4.60 1200 5.75 550 2.64
2012-13 9920 51.93 6500 34.03 1000 5.02 1420 7.43 263 1.38
Average 6730.786 44.87 4635.29 31.54 1255.64 8.11 1015.57 7.34 808.21 6.34

24. PROBLEMSFACEDBYTHEPRIVATEandPUBLICWAREHOUSES
private warehouses problem faced
sr.
no.
factors rank 1 2 3 4 5 6 7 8 9 10 11 12 total no. of
respondents
garret
table
value
total score Mean
score
rank
1 High storage charge 24 2 18 9 19 8 6 6 12 6 9 1 120 84 10080.00 840 1
2 Small quantity 20 19 18 6 5 7 8 9 8 10 8 2 120 73 8760.00 730 2
3 Delay in getting storage
space
18 20 19 8 12 7 12 8 4 2 8 2 120 66 7920.00 660 3
4 Price fluctuations 24 2 14 9 8 16 4 7 14 11 9 2 120 60 7200.00 600 4
5 Lack of awareness 22 14 19 9 9 8 6 9 12 2 8 2 120 56 6720.00 560 5
6 Lack of transportation
facility
21 14 19 8 8 9 13 6 12 1 8 1 120 52 6240.00 520 6
7 No proper guide lines 20 15 14 14 11 8 7 8 10 6 6 1 120 48 5760.00 480 7
8 Inadequate storage space 19 14 14 9 11 9 8 5 12 9 8 2 120 44 5280.00 440 8
9 Location is faraway 17 15 18 10 8 8 8 8 11 9 6 2 120 39 4680.00 390 9
10 Risk of damage 22 15 14 11 14 10 5 6 12 1 8 2 120 34 4080.00 340 10
11 Immediate need of cash 21 19 15 9 10 9 9 6 12 1 8 1 120 27 3240.00 270 11
Any others 21 14 12 11 10 13 11 6 12 1 8 1 120 0 0.00 0 12
PRIVATE WAREHOUSES PROBLEM FACED
Sr.
No.
Factors Rank 1 2 3 4 5 6 7 8 9 10 11 12 Total No.
Of
Responden
ts
Garret
Table
Value
Total
Score
Mean
Score
Rank
1
High storage
charge
24 2 18 9 19 8 6 6 12 6 9 1 120 84 10080.00 840 1
2
Small quantity 20 19 18 6 5 7 8 9 8 10 8 2 120 73 8760.00 730 2
3
Delay in getting
storage space
18 20 19 8 12 7 12 8 4 2 8 2 120 66 7920.00 660 3
4
Price fluctuations 24 2 14 9 8 16 4 7 14 11 9 2 120 60 7200.00 600 4
5
Lack of awareness 22 14 19 9 9 8 6 9 12 2 8 2 120 56 6720.00 560 5
6
Lack of
transportation
facility
21 14 19 8 8 9 13 6 12 1 8 1 120 52 6240.00 520 6
7
No proper guide
lines
20 15 14 14 11 8 7 8 10 6 6 1 120 48 5760.00 480 7
8
Inadequate storage
space
19 14 14 9 11 9 8 5 12 9 8 2 120 44 5280.00 440 8
9
Location is faraway 17 15 18 10 8 8 8 8 11 9 6 2 120 39 4680.00 390 9
10
Risk of damage 22 15 14 11 14 10 5 6 12 1 8 2 120 34 4080.00 340 10
11
Immediate need of
cash
21 19 15 9 10 9 9 6 12 1 8 1 120 27 3240.00 270 11
Any others 21 14 12 11 10 13 11 6 12 1 8 1 120 0 0.00 0 12

25. sr.
no
.
Factors
PUBLIC
ran
k
1 2 3 4 5 6 7 8 9 10 11 12 total no. of
responden
ts
garret
table
value
total score Mean
score
ran
k
1 High storage
charge
24 20 19 8 6 7 12 8 4 2 8 2 120 84 8064.00 672 1
2 Small
quantity
20 2 14 9 12 16 4 7 14 11 9 2 120 73 7300.00 608.33 2
3 Delay in
getting
storage
space
18 2 18 9 19 8 6 10 12 6 12 0 120 66 6732.00 561 3
4 Price
fluctuations
24 19 18 6 5 7 8 9 8 6 8 2 120 60 5760.00 480 4
5 Lack of
awareness
22 14 19 9 9 8 6 9 12 2 8 2 120 56 5488.00 457.33 5
6 Lack of
transportatio
n facility
21 14 19 8 8 9 13 6 12 1 8 1 120 52 5148.00 429 6
7 No proper
guide lines
20 15 14 14 11 8 7 8 10 6 6 1 120 48 4800.00 400 7
8 Inadequate
storage
space
19 14 14 9 11 9 8 5 12 9 8 2 120 44 4444.00 370.33 8
9 Location is
faraway
17 19 15 9 14 9 9 6 12 1 8 1 120 39 4017.00 334.75 9
10 Risk of
damage
22 14 12 11 10 13 11 6 12 1 8 0 120 34 3332.00 277.66 10
11 Immediate
need of cash
21 15 18 10 8 8 8 8 11 9 6 2 124 27 2781.00 231.75 11
Any others 21 15 14 11 14 10 5 6 12 2 8 2 120 0 0.00 0 12

26. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 1.245*** 0.130 21.08
Warehousing
Cost
β2
0.068*** 0.034 9.525
Invested Capital β3 0.546* 0.213 2.011
Number of
Employees
β4
1.147** 0.147 2.559
Wages of
Workers
β5
0.4788*** 0.119 7.782
Inventory β6 1.125*** 0.125 3.998
2001 ơ 1.153*** 0.565 8.978
Mean
Efficiency 0.540
EFFICIENCIES OF VARIABLES OBSERVED IN PUBLIC
WAREHOUSES
*** significance at 1 % , ** significance at 5 % , * significance at 10 %

27. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 1.587*** 0.441 5.179
Warehousing Cost β2 1.456*** 0.5617 3.598
Invested Capital β3 1.256** 0.365 2.592
Number of
Employees
β4
1.587*** 0.2687 3.441
Wages of Workers β5 1.156*** 0.538 5.908
Inventory β6 1.235* 0.1061 2.148
2002 ơ 2.592*** 1.382 11.639
Mean Efficiency
0.6286
*** significance at 1 % , ** significance at 5 % , * significance at 10 %

28. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 7.037*** 0.966 7.284
Warehousing Cost β2 1.362*** 0.265 5.133
Invested Capital β3 2.896* 1.325 2.185
Number of
Employees
β4
1.533*** 0.348 4.403
Wages of Workers β5 1.723*** 0.139 12.186
Inventory β6 1.209*** 0.163 7.420
2003 ơ 1.235*** 0.080 15.265
Mean
Efficiency 0.5521

29. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 7.022*** 0.972 7.224
Warehousing Cost β2 1.255*** 0.312 4.025
Invested Capital β3 3.302*** 0.186 17.715
Number of
Employees
β4
1.237*** 0.417 2.966
Wages of Workers β5 1.647*** 0.216 7.632
Inventory β6 1.023*** 0.336 3.049
2004 ơ 1.217*** 0.083 14.716
Mean
Efficiency 0.783

30. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 0.856*** 0.311 2.745
Warehousing
Cost
β2
3.425*** 1.102 3.107
Invested Capital β3 1.148*** 0.416 2.753
Number of
Employees
β4
1.647*** 0.215 7.632
Wages of
Workers
β5
1.956* 0.985 1.984
Inventory β6 2.985* 1.456 2.050
2005 ơ 0.782*** 0.174 4.489
Mean
Efficiency 0.559

31. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 1.515*** 0.304 4.974
Warehousing Cost β2 1.632*** 0.765 2.131
Invested Capital β3 1.545*** 0.492 3.137
Number of
Employees
β4
1.335*** 0.308 4.331
Wages of Workers β5 0.265 0.402 0.659
Inventory β6 0.469*** 0.109 4.297
2006 ơ 1.019*** 0.132 4.974
Mean
Efficiency 0.5321

32. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 1.195* 0.608 1.964
Warehousing
Cost
β2
1.985* 0.985 2.011
Invested Capital β3 1.856* 0.859 2.15
Number of
Employees
β4
1.869*** 0.216 8.620
Wages of
Workers
β5
0.369 0.623 0.592
Inventory β6 0.505*** 0.202 2.500
2007 ơ 0.774*** 0.2142 3.614
Mean
Efficiency 0.5781

33. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
1.056*** 0.335 3.149
Warehousing
Cost
β2
1.645* 0.8077 2.037
Invested Capital β3
1.233* 0.611 2.016
Number of
Employees
β4
1.762*** 0.263 6.697
Wages of
Workers
β5
0.856** 0.3376 2.538
Inventory β6
-0.2551 0.155 -1.645
2008 ơ
0.944*** 0.0813 11.613
Mean
Efficiency 0.5729

34. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 0.895*** 0.335 2.670
Warehousing
Cost
β2
1.645* 0.807 2.037
Invested Capital β3 1.256* 0.611 2.053
Number of
Employees
β4
1.762*** 0.263 6.700
Wages of
Workers
β5
1.112*** 0.3376 3.293
Inventory β6 1.23*** 0.115 10.697
2009 ơ 0.948*** 0.081 11.617
Mean
Efficiency 0.5748

35. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 1.789* 0.899 1.989
Warehousing
Cost
β2
2.568* 1.280 2.005
Invested Capital β3 1.302*** 0.230 5.658
Number of
Employees
β4
1.213* 0.471 2.574
Wages of
Workers
β5
1.856*** 0.269 6.899
Inventory β6 1.002*** 0.243 4.122
2010 ơ 0.490*** 0.100 4.858
Mean
Efficiency 0.9958

36. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 1.988*** 0.5822 3.414
Warehousing
Cost
β2
2.788* 1.397 1.995
Invested Capital β3 1.112*** 0.278 3.994
Number of
Employees
β4
0.608** 0.233 2.609
Wages of Workers β5 3.455*** 0.988 3.496
Inventory β6 0.598** 0.206 2.898
2011 ơ 0.440*** 0.089 4.933
Mean
Efficiency 0.9962

37. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 0.253*** 0.0525 4.793
Warehousing
Cost
β2
1.640*** 0.286 5.737
Invested Capital β3 0.884*** 0.1817 4.868
Number of
Employees
β4
1.832*** 0.0566 32.375
Wages of
Workers
β5
1.234*** 0.113 10.923
Inventory β6 0.897* 0.456 1.967
2012 ơ 1.182*** 0.166 7.102
Mean
Efficiency 0.576

38. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 0.752 0.498 1.509
Warehousing Cost β2 1.965* 0.895 2.195
Invested Capital β3 1.366* 0.588 2.319
Number of
Employees
β4
1.161*** 0.207 5.599
Wages of Workers β5 1.698** 0.605 2.804
Inventory β6 0.988** 0.399 2.473
Overall ơ 0.465** 0.1714 2.715
Mean
Efficiency 0.643

39. VARIABLE EFFICIENCIES OBSERVED IN PRIVATE
WAREHOUSES
Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 15.41*** 7.7983 1.976
Warehousing
Cost
β2
1.452*** 0.495 2.933
Invested Capital β3 0.874*** 0.122 7.163
Number of
Employees
β4
0.996*** 0.223 4.466
Wages of Workers β5 1.666* 0.6733 2.474
Inventory β6 1.566** 0.566 2.766
2001 ơ 0.5667* 0.275 2.060
Mean
Efficiency 0.4956

40. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 1.737*** 0.311 5.585
Warehousing Cost β2 2.003*** 0.407 4.921
Invested Capital β3 0.966** 0.407 2.373
Number of
Employees
β4
1.952* 0.995 1.962
Wages of Workers β5 1.522** 0.678 2.245
Inventory β6 1.652*** 0.486 3.399
2002 ơ 0.896*** 0.270 3.323
Mean
Efficiency 0.9808

41. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
21.533*** 1.566 13.75032
Warehousing Cost β2
0.899** 0.327 2.749235
Invested Capital β3
1.233* 0.5021 2.455686
Number of
Employees
β4
1.689** 0.6 2.815
Wages of Workers β5
1.478** 0.6466 2.285803
Inventory β6
1.366*** 0.441 3.097506
2003 ơ
1.223*** 0.316 3.870253
Mean Efficiency
0.6808

42. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 12.159** 4.508 2.697205
Warehousing Cost β2 1.156*** 0.2137 5.409453
Invested Capital β3 1.233*** 0.346 3.563584
Number of
Employees
β4
1.999*** 0.485 4.121649
Wages of Workers β5 0.889*** 0.233 3.815451
Inventory β6 0.696* 0.306 2.27451
2004 ơ 0.845*** 0.25 3.38
Mean
Efficiency 0.996

43. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
13.181*** 4.299 3.066
Warehousing Cost β2
0.596* 0.249 2.394
Invested Capital β3
1.220*** 0.319 3.829
Number of
Employees
β4
0.669*** 0.207 3.232
Wages of Workers β5
1.975* 1.002 1.971
Inventory β6
1.223*** 0.334 3.662
2005 ơ
0.888*** 0.254 3.496
Mean
Efficiency 0.9983

44. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
20.633*** 6.059 3.405
Warehousing
Cost
β2
1.222*** 0.343 3.563
Invested Capital β3
1.045* 0.424 2.465
Number of
Employees
β4
0.999*** 0.203 4.921
Wages of Workers β5
1.585*** 0.623 2.546
Inventory β6
0.258* 0.121 2.132
2006 ơ
2.888* 1.456 1.984
Mean
Efficiency 0.994

45. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
5.998* 2.890 2.075
Warehousing Cost β2
2.001*** 0.447 4.477
Invested Capital β3
0.888* 0.374 2.374
Number of
Employees
β4
0.540** 0.211 2.559
Wages of Workers β5
1.455* 0.706 2.061
Inventory β6
2.085*** 0.259 8.066
2007 ơ
0.656* 0.298 2.204
Mean
Efficiency 0.659

46. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
7.858*** 1.643 4.784
Warehousing Cost β2
1.252*** 0.335 3.737
Invested Capital β3
1.645** 0.807 2.038
Number of
Employees
β4
1.222* 0.611 2.000
Wages of Workers β5
1.762*** 0.263 6.700
Inventory β6
1.577*** 0.337 4.680
2008 ơ
1.333*** 0.150 8.887
Mean
Efficiency 0.5729

47. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
13.722*** 3.066 4.476
Warehousing
Cost
β2
2.222*** 0.121 18.364
Invested Capital β3
1.212*** 0.210 5.771
Number of
Employees
β4
1.321*** 0.299 4.414
Wages of Workers β5
1.555*** 0.377 4.125
Inventory β6
1.996*** 0.556 3.590
2009 ơ
1.555*** 0.666 2.335
Mean
Efficiency 0.999

48. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1 9.463* 4.112 2.301
Warehousing Cost β2 1.327*** 0.244 5.439
Invested Capital β3 1.985* 0.986 2.013
Number of
Employees
β4
0.891 0.475 1.876
Wages of Workers β5 -0.411 0.590 -0.697
Inventory β6 1.571*** 0.369 4.259
2010 ơ 1.522*** 0.283 5.378
Mean
Efficiency 0.579

49. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
13.160* 5.744 2.291
Warehousing
Cost
β2
0.989*** 0.326 3.034
Invested Capital β3
1.442*** 0.420 3.433
Number of
Employees
β4
0.855*** 0.211 4.052
Wages of
Workers
β5
1.333* 0.622 2.143
Inventory β6
1.211*** 0.222 5.455
2011 ơ
1.255* 0.588 2.134
Mean
Efficiency 0.566

50. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
9.666* 4.266 2.266
Warehousing Cost β2
1.002*** 0.089 11.258
Invested Capital β3
1.421** 0.561 2.533
Number of
Employees
β4
1.272*** 0.482 2.639
Wages of Workers β5
1.000 0.600 1.667
Inventory β6
1.474* 0.725 2.033
2012 ơ
4.225*** 1.321 3.198
Mean
Efficiency 0.532

51. Variables Particulars
Coefficient
Standard
Error t value
Working Capital β1
1.444*** 0.058 24.726
Warehousing
Cost
β2
0.190*** 0.015 12.513
Invested Capital β3
1.222*** 0.099 12.368
Number of
Employees
β4
1.346*** 0.225 5.982
Wages of
Workers
β5
1.123*** 0.060 18.820
Inventory β6
1.233*** 0.131 9.398
Overall ơ
1.012*** 0.131 7.713
Mean
Efficiency 0.515

52. EFFICIENCY OF PUBLIC WAREHOUSES
SR.
NO.
YEAR
TECHNICAL
EFFICIENCY
ECONOMIC
EFFICIENCY
ALLOCATIVE
EFFICIENCY
1 2001 0.54 0.25 0.47
2 2002 0.63 0.26 0.41
3 2003 0.55 0.25 0.45
4 2004 0.56 0.26 0.47
5 2005 0.56 0.26 0.46
6 2006 0.53 0.26 0.50
7 2007 0.58 0.26 0.45
8 2008 0.57 0.26 0.45
9 2009 0.57 0.30 0.52
10 2010 1.00 0.18 0.18
11 2011 0.99 0.15 0.16
12 2012 0.58 0.24 0.42
overall 0.57 0.25 0.44

53. EFFICIENCY OF PRIVATE WAREHOUSES
SR. NO. YEAR
TECHNICAL
EFFICIENCY
ECONOMIC
EFFICIENCY
ALLOCATIVE
EFFICIENCY
1 2001 0.49 0.19 0.38
2 2002 0.98 0.19 0.19
3 2003 0.68 0.20 0.29
4 2004 0.98 0.18 0.18
5 2005 0.99 0.22 0.22
6 2006 0.99 0.22 0.22
7 2007 0.66 0.19 0.29
8 2008 0.57 0.18 0.32
9 2009 0.99 0.18 0.18
10 2010 0.58 0.20 0.34
11 2011 0.57 0.20 0.35
12 2012 0.53 0.22 0.41
overall 0.51 0.19 0.38

54. CONCLUSIONS
• Investment pattern in Public Warehouses, shows that Fixed Cost
comprises (60 per cent) followed by 39.17 per cent variable cost.
• Investment pattern in Private Warehouses, shows that Fixed Cost
comprises (73.55 per cent) followed by 26.45 per cent variable cost.
• Economic Viability shows that Public Warehouse has Net Present
Worth Rs. 457360.4, followed by B:C Ratio 1.12 and Internal Rate of
return 56.7 per cent.
• Economic Viability shows that Private Warehouse has Net Present
Worth Rs. 5561085,followed by B:C Ratio 3.02 and Internal Rate of
return 43.3 per cent.
• Public Warehouses have profile of 50.00 per cent Rice, 38.8 per cent
Wheat, 3.8 per cent Pulses, 5.4 per cent Oilseeds and 1.8 per cent
other commodities stored in it.
• Private Warehouses have profile of 44.87 per cent Rice, 31.54 per
cent Wheat, 8.11 per cent Pulses, 7.34 per cent Oilseeds and 6.34
per cent other commodities stored in it.

55. CONCLUSIONS
• High storage charges, Small quantity, Delay in getting storage
space, Delay in getting storage space, Price fluctuations and
Lack of awareness are major constraints faced by farmers
through Public and Private Warehouses.
• The Overall technical Efficiency of Public Warehouses is 64.30
per cent, where invested Capital (1.366*), Warehousing Cost
(1.965*), No. of Employees (1.161***), Wages of Workers
(1.698**) variables are efficiently utilised.
• The Overall technical Efficiency of Private Warehouses is
51.50 per cent, where invested Capital (1.22***),
Warehousing Cost (0.190***), No. of Employees (1.346***),
Wages of Workers (1.22***) variables are efficiently utilised.

56. THANK YOU

57. THANK YOU