Onion warehouse management

Team Members :1)Vijayshri Survase2)Bhanupriya Pawar3)Bhushan Suryawanshi4)Ankit Wankhede5)Akshay Gupta6)Prashant Yerewar

Guided By :Balaji Sir

“NOW ONION WILL

NOT MAKE YOU CRY”

THEME

-stable demand

-perishable, seasonal and bulky

-Inadequate Storage

-Least Explored area

Why onion ??

Erratic rainfall in the main production centre

Hoarding by the traders

Loss of onion because of inadequate post harvest storage

Inherently unstable production.

Decline in onion production from last five years.

Problem focus

“ONION GROWER IS IN TEARS

ONION SUPPLEIR CHEERS”

-To reduce the post harvest storage losses

-To increase the productivity by onion warehousing.

-Stabilize onion prices

Objectives

Proposed Project Model

setting up of an onion cold storage unit with storage capacity of 25 MT of onions

Building distribution network:

Farmers local mandai retailers consumers

warehouse Export

wholesalers , restaurants, industries (food)

consumers

Supply chain

No influence of current onion market

5000 farmers have signed the contract

continuous Scope for export

Assumptions

Training to the farmers

Provision of seeds

Discount on Fertilizers

Bilateral transport – onion potato

Project inclusions

1) No storage provision for other agri product (garlic)

2)Opening of onion research centre.

Other cold chain product will not be entertrained(apple, potato) different storage parameters

Project exclusions

farmers upbringment

Reducing the wastage of onion by proper storage

Stabilizing the onion prices in market for all type of customers.

profit

Benefits

1) opening of onion research centre

2) Chopping and drying of onion and selling

3) Expand for other perishable agri. Products.

Future perspective

*

*

1)PROJECT COST

2)PROJECT FINANCE

3)COST SUMMARY REPORT

* LAND ACQUISITION

*

*

*

1)SUPPLY CHAIN

2)POWER

3)DEPRECIATION ON EQUIPMENT COST

*1) EQUIPMENT

*2) QUALITY

*3) SENSORS

*

*

*1) WORK OVERHEADS

*2) ADMINISTRATIVE

OVERHEADS

*3) SELLING

OVERHEADS

*4)DISTRIBUTION

OVER HEADS

*

*

*Project finance is the long-

term financing of infrastructure and

industrial projects based upon the

projected cash flows of the project

*

1) EQUITY CAPITAL

2) PREFERENCE SHARES

3) RETAINED EARNINGS

4) DEFRRED PAYMENT GUARANTEE

5) DEBENTURES

6) LOAN FROM FINIANCIAL

INSTITUTIONS

7) LOAN FROM COMMERCIAL

BANKS

8) VENTURE CAPITAL FUNDING

9) ASSET SECURITISATION

10)INTERNATIONAL FINANCING

*1) Nabard

*2) Individual district level co-society banks

*3) Buldhana urban co-operative bank

*4) Buldhana urban co-operative bank

*5) Local Nabard bank branch

*6) 26 district co-operative society banks

*

PARTICULARS 1-JUNE-14 1-OCT-14

1) INCOME RS RS

A) Income from operations 85 LAKHS 86 LAKHS

B) Other operating income 1 LAKH 1.5 LAKHS

TOTAL INCOME 86 LAKHS 87.5 LAKHS

2) EXPENSES

A) Operating Expenses 50 Thousands 52 Thousands

B) Depreciation 30 Thousands 35 Thousands

C) Employee benefits 20 Thousands 25 Thousands

TOTAL EXPENSES 1 LAKH 1.12 LAKHS

3) PROFIT FROM

OPERATION BEFORE

OTHER INCOME &

PROJECT COST

85 LAKHS 86.38 LAKHS

PARTICULARS 1-JUNE-14 1-OCT-14

4) OTHER INCOME 1 LAKH 1.5 LAKHS

5) PROFIT FROM

ORDINARY

ACTIVITY BEFORE

PROJECT COST

86 LAKHS 87.88 LAKHS

6) PROJECT COST 65 LAKHS 30 LAKHS

7) PROFIT BUT

BEFORE TAX

21 LAKHS 57.88 LAKHS

8) CURRENT TAX EXPENSE 1 LAKH 1.5 LAKHS

9) NET PROFIT

AFTER TAXES

20 LAKHS 56.38 LAKHS

Quality

Rotting Losses Physiological

and physical

disorders

Lack of storage

facilities

Sprouting

Losses

Pathological

Disorders

Rooting

Onion

Spoilage

Freezing Injury

Ammonia Injury Neck rot

Bacterial rot

Slippery Skin

Sour Skin

Storage

Diseases

Why Quality ? ?

Kharif, (may- june)

Rangada and(early rabi or late kharif) (aug- sept)

Rabi or summer(oct- nov.)

Types

Storage Losses

Use of modern harvester :

Dehydrator Bulb Onion

Solutions

Good Bottom and Side ventilation

Storage Structure

General Characteristics

The bulbs shall:

1. Reasonably uniform in shape, size, colour

2. Mature, solid in feel

3.Throughout cured and dried

4.Free from defective, diseased, decayed and damaged bulbs

5.For local market the onions are graded based on their size

Sorting and Grading of onion

Size grading (Sizer)

-Reduce losses

-Reduce grading cost

Proposed Techniques

Layout Of Sorter

It should be small

Use of Jute bags having weight 200-300 gm

For export, common big onions are packed in 5-25 kg size open mesh jute bags

Nylon net bags, when used for packing have resulted in less storage loss because of good ventilation.

Packaging

1. Construction of storage godown on raised platform

2. Use of Mangalore tiles roof

3. Increased centre height and more

4. Bottom ventilation

5. Avoid direct sunlight on onion bulbs

6. width of each stack to 60-70 cm for cool humid weather, 75-90

cm for mild

7. stacking height to 100 cm for small and multiplier onion

8. Cubicles rather than continuous stack

9. One cubic metre area of store accommodates about 750 kg

onions.

Salient Features of improved structure

Quality Improvement results in ::

“Onion Will not make you cry…..will enjoy tear of joy”

Quality !!

Procurement System

Current Procurement farmers generally take reference of localmarket rates, while trader compare rates of all market and thendecide what rate will be. This brings great profit to the them.

Farmers and traders are the main market players alongside thebrokers and in association with government which lays policiesand guidelines for distribution and export.

In India, for instance, the main agency which isauthorized to export onion is the NationalAgricultural Cooperative Marketing Federation ofIndia [NAFED].

Proposed Procurement , we will buy onion at fixedprice for our warehouse store, sell in market at ourdecided price. This will bring profit to farmer .

Contd…

1 $=70 rs

1 lit (petrol)= 70rs

1 kg(Onion)= 70rs

“A man can live without petrol….but can’t live without onion…!!!”

Risk register

Risk analysis-

Risk assessment matrix

- Qualitative risk

- -Quantitative risk

Risk Management

Farmer’s attitude

Nature

Government policies

Transportation

Risk factors

FARMERS- develop code of conduct

Nature - contigency reserve for emergency

Policies- modification in policies for farmers and onion.

Risk Mitigation

Who Are Business Stakeholders?

• Core stakeholders are essential to the survival of the

firm

• Strategic stakeholders are vital to the organization

and the threats and opportunities the organization

faces

• Environmental stakeholders are all others in the

organization's environment

Customers

Sponsor

Supplier

Environmental stakeholder

Identified stakeholders

Stakeholder Engagement Process

PLAN

Keep satisfied Manage closely

Politicians Customers

Sponsor

farmers

Monitor Keep informed

Nabard Media

Communication Strategies

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