1. FARMARK
BY the farmers,
FOR the farmers,
WITH the farmers….
AN AGRO BUSINESS INITIATIVE
By
Anand Parlawar & Sayali Saoji
II Year Students
Shri Ram College of Commerce, Delhi

2. LOCATION: VIDARBHA AREA
 Village KOPAMANDVI (Kelapur Taluka, Yavatmal
District, Maharashtra)
 On the District boundary along the Nagpur- Hyderabad
national highway.
 MARATHI, TELUGU – Major Language
 FAMOUS FOR Jowar, Cotton, Teakwood
 National Highway-7 connectivity

4. CURRENT SITUATION
 Vidarbha: a region in Eastern Maharashtra with
two divisions : Nagpur and Amravati
 Largest city : Nagpur
 21.3% of total population of Maharashtra
 It is less economically prosperous compared to the
rest of Maharashtra

5.  Rich in minerals, coal, forests and mountains, but this
region is always underdeveloped due to the
continuous dominance of the political
leaderships from other parts of the state,
especially Western Maharashtra.
 Farmers: worst condition compared to the rest of
India
 More than 32,000 farmers suicides in Maharashtra
in a decade, of which 70% being in the 11 districts of
Vidarbha region

6. OBJECTIVES
 To promote entrepreneurship among farmers
 Reduction of middlemen
 Turning the community into ASSET CREATOR rather than
only generating employment
 To get better prices for farmers as well as consumers
 To develop profit-making agro-based (supplementary)
enterprises with farmers and community people as the main
stakeholders. SHARED VALUE CAPITALISM
 To promote organic food for a better lifestyle

7. SOCIAL ISSUES ADDRESSED
 Farmer’s problems and lack of awareness
 Unemployment (even women)
 Inflation
 Middlemen Intervention
 Rural development
 Health issues (by organic produce)
 Hoarding
 Agricultural sector problems
 Environmental Problems

8. THE PLAN…TO START WITH INITIALLY
I. Use of around 25 acre land collectively for
farming
II. 2 farmers will be grouped
III. Each will produce on his land individually
IV. 10% of the production to be organic
V. RETAIL UNIT to be opened in Nagpur (Nearest
City)
VI. The output by different farmers to be collectively
sold under a BRAND
VII. The price would be such that it would lead to
consumer surplus + producer surplus

9. HOW IT WORKS…WHEN FARMERS SELL
DIRECTLY
0 5 10 15
WITH Middlemen
WITHOUT Middlemen
Price to Farmers
Price to Middlemen
Market Price

10. THE POSITIVE IMPACTS
 Direct CONSUMER-FARMER connect
 Trust
 Quality- Brand and Certification
 No exploitation of either of the parties
 Reduced prices for CONSUMERS
 Increased profits for PRODUCERS
 Scope for Agritourism

11.  Consumers will know the exact farm and farmer
from where their food is coming
 Farmers will be made aware of farming techniques,
market prices, marketing techniques,
entrepreneural skills
 Small/ individual farmers can invest
 Home Based Processing: Pickle Industries, Spices,
etc => Women Employment

12.  INCENTIVE for farmers:
 Proportionate share in the brand according to their
production level
 Can set up retail units with their profits, where he’ll have a
higher share
 Excess labour (Disguised Unemployment) on the
farms can be effectively employed in marketing and
retailing and other offshoot job requirements

13. ADVANTAGES IN FUNDING US
 Most of the resources already available
 Farmers have been interacted with and are willing
 Tremendous scope for growth in a dominantly
agrarian country as agro products are the inputs for
most of the products in market today
 To implement the project, less capital required at
initial stage

14.  Nagpur is an upcoming city with MIHAN project-the
biggest economical development project currently
underway in India in terms of investment.
 Ideal business hub
 Location-geometrical centre of India
 Accessible easily to all metro cities
 Hyderabad also equally close
 Scope for micro-financing
 Lot of products can be grown in this area

15. THE PRACTICAL PART…HOW WE PLAN TO
START
 The farming will start in the month of December
on 25 acres of land (2 farmers will be selected
initially)
 A room with an attached closure for safe and dry
storage will be rented in a proper location in Nagpur
(Rent- Rs.10,000 pm approx)
 There will be pre-determined demand and
publicity in advance so that wastages are reduced

16. HOW WE PLAN TO USE THE AWARD MONEY…
 Retail Unit Rent including Electricity Charges
 Rs. 10,000 pm
 Maintenance and Salaries
 Rs. 6000
 Refrigerator
 Rs.6000
 Décor Expenses
 Rs.4000
 REMAINING Rs.4000 : Emergency Reserve

17. PUBLICITY
 Nagpur being place of residence, plenty of
contacts
 Location to be in a prime area with all residential
areas in the vicinity
 As the prices will be significantly low, the word will
spread fast definitely
 Online: Facebook, Blog
 If we stand as the winners, we will also get their
support in promotion as has been told to us

18. PRODUCTS
 Brinjal
 Tomato
 Chavari’s Beans
 Okra (Bhindi)
 Green Chilly
 Spinach
 Methi
 Sambar
 Tur
… and a lot more
 Wheat
 Turmeric
 UradDal
 Moong
 Kabuli Chana
 Jowar
 Groundnut
 Soya bean
 Raw Mango

20.  First output will be ready in March-April
 TRANSPORT not a problem as connected through
NH-7. Production cost already includes the
transport cost
 According to the research and calculations that we
have, farmers will have almost 2 times increased
profit in 3 months and then every month

21.  After that, we can rope in some more farmers,
with more acres of land and more retail units
 The model will keep on expanding as profits keep
on increasing
 Eventually, organic farming can also increase if
positive results are seen

22. THREE PRODUCT SAMPLE
MODEL

23. PRODUCTS-> OKRA (Bhindi) RED CHILLY TOMATO
Production 2500 Kg/acre 2000 Kg/acre 1200 Kg/acre
COST TO FARMER Rs.10000/acre Rs.15000/acre Rs.12000/acre
Avg.Price that farmer
is receiving
Rs.25/kg Rs.32/kg Rs.25/kg
AVG. MARKET
PRICE IN NAGPUR’S
SUBZI MANDI
Rs.50/kg Rs.65/kg Rs.45/kg
Avg. Price for farmer
through retail outlet
Rs.40/kg Rs.50/kg Rs.40/kg
Profit to Farmer (at
prevailing prices)
Rs.52,500 Rs.49,000 Rs.18,000
Profit to Farmer (if
sold at new retail
price)
Rs.90,000 Rs.85,000 Rs.36,000

24. AGGREGATE PROFIT STUDY FOR 1
FARMER(10 ACRE LAND)
Total Production Expected (Of all 3
products)
57 quintals or 5700 kg
Cost of Production Rs.1,21,000
Price to Farmer (through
middlemen)
Rs.5,32,000
Selling Price (through own retail
unit)
Rs.8,44,000
Profit (through middlemen) Rs.4,11,000
Profit (through own retail unit) Rs.7,23,000
Suppose land allocation is as follows:
4 acre = Okra (Bhindi)
3 acre = Tomato
3 acre = Red Chilly

25. DOMESTIC DEMAND STUDY
 400-500 families : TARGET
 CONSUMPTION PER DAY
 500g Vegetables
 500g Wheat
 400g Rice
 200g Dal

26. SOME MORE PRODUCT ADVANTAGES IN THE
SELECTED LOCATION
 Spinach, Methi, Sambar
 Only 10% of acre production = Rs.15,000 profit
 Groundnut, Soya bean, Sunflower
 Organic Oil Extraction + Other Uses –> Tremendous Scope
 Raw Mango
 Availability in abundance
 Juices under brand
 Pickle and Candy industry
 Turmeric

27. FUTURE PLANS
 Online agro business
 Developing all agro businesses i.e from production to processing to
manufacturing at one place : Agro-hubs
 Collaboration or starting an NGO in the region for education and
healthcare needs of the farmers
 Subsidies from govt. (30%) available for infrastructure in rural places
for start-ups
 Will bring in other services like banking, etc.
 Dairy products can also be introduced under FarMark

28.  FARMER FAMILY = Average 5 members
 Production Unit : LAND CAPITALISM
 Retail Unit
 Processing Unit
 Marketing
SCOPE FOR EMPLOYMENT

29. ORGANIC PRODUCTION
 Initially, only 10%
 BENEFITS:
 Production increases as land fertility improves
 Costs lower, profits higher
 Organic products fetch very high prices
 Diet conscious people and patients – Ready
Market
 FOR HEALTH, FOR ECOLOGY & ENVIRONMENT

30. FUTURE SCOPE IN ORGANIC FARMING
 Complete organic farms
 Restaurants with items consisting of organic
ingredients
 Supplying hospitals, health clubs, etc. with organic
products under the brand FarMark
 Supplementary products: Organic oil, organic
manure, healthier dairy products

31. COTTON
 Prominent reason for farmer suicides
 Famous for cotton plantations, but not a single textile
industry
 Huge potential: Can be tapped
 1 Acre= 15 quintal
 Rs.5000/quintal
 After processing (Ginning, Pressing, Spinning, Textile)
: 10 times value addition
 Cotton seed oil
 Cattle feed

33. JOWAR
 Available in abundance (51.11% of total
production in India) but not been made use of full
capacity
 IDEA: Jowar Biscuits
 Fibre rich
 Low sugar and calorie, light biscuits (as compared to
wheat ones)
 Umpteen uses
 Cattle feed
 Alcohol ingredient

34. SUMMARY
 A FARMERS’ BRAND (FarMark) will be built
 The consumers + farmers; both will benefit
 This is a social business with unlimited scope for
expansion
 Very few challenges and lot of opportunities
 It promotes SHARED VALUE CAPITALISM hence
is in the advantage of the community
 Proves that wealth creation and socialism can go
hand in hand

35. SPECIAL THANKS…
 Dr. Rajesh Adpawar,
(Tahsildar OR Taluka Magistrate, Kelapur)
 M.Sc (Agriculture), Ph.D (Vegetable Breeding)
 Dr. N.D. Parlawar,
(Associate Director, NARP, Yavatmal)
 M.Sc (Agronomy), Ph.D
 Research Director
 Mr. Ganesh Bhupatwar
 Farmer & Agri-businessman
 Campus Community Partnership
 Shri Ram College of Commerce
 SIFE, SRCC
 Our friends and mentors: Shreya Gupta, Meghnad
Sahasrabhojnee
 KFC, Kamla Nagar Outlet