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A Study of Supply Chain Management of Vegetables in Kaushambi
A Study of Supply Chain Management of Vegetables in Kaushambi
A project report submitted in partial fulfillment of the requirement for the degree of
Submitted to:
Submitted By:
Anjali Singh
2018MB11
I declare that the work presented in this report titled “A Study of Supply Chain Management of
Vegetables in Kaushambi” submitted to the School of Management Studies, Motilal Nehru National
Institute of Technology, Prayagraj, for the partial fulfillment of the degree of Master of Business
Administration (MBA) is my original work. It is not submitted for award of any other degree.
Anjali Singh(2018MB11)
Date:
Place: Prayagraj
ii
CERTIFICATE OF SUPERVISORS
This is to certify that the report titled “A Study of Supply Chain Management of Vegetables in
Kaushambi” submitted by Anjali Singh to the School of Management Studies, Motilal Nehru National
Institute of Technology Allahabad, for the partial fulfillment of degree of Master of Business
Administration (MBA) in the subject of Rural Survey is a record of original work carried out by her under
our supervision and guidance.
Date:
Place: Prayagraj
iii
ACKNOWLEDGEMENT
I am highly thankful to Dr. G.P. Sahu (head of the department) for giving us the wonderful opportunity to
study on Supply Chain Management of Vegetables in Allahabad.
I express my sincere gratitude to the Supervisors, Prof. Peeush Ranjan Agarwal and Dr.Vibhuti Tripathi
for their guidance, suggestions and help in making the project. Without their help it wouldn’t have been
possible for me to complete the project.
I am also thankful to Research Scholars and Administrative Staff for their help and guidance till the
completion of our project work by providing all necessary information.
I am also thankful to my family and friends for their help and guidance. I express my thanks to all those
people who helped me to complete my project successfully.
Anjali Singh
(2018MB11)
iv
TABLE OF CONTENTS
Contents
CHAPTER-1 ................................................................................................................................................. 1
INTRODUCTION ........................................................................................................................................ 1
1.1 INTRODUCTION .......................................................................................................................... 2
IMPORTANCE OF SUPPLY CHAIN MANAGEMENT ................................................................... 2
VEGETABLES AND FRUITS IN INDIA ........................................................................................... 2
STATE-WISE AREA AND PRODUCTION ....................................................................................... 4
KAUSHAMBI ...................................................................................................................................... 5
1.2 STATEMENT OF PROBLEM .......................................................................................................... 6
1.3 NEED FOR THE STUDY .................................................................................................................. 6
1.4 OBJECTIVES OF THE STUDY ........................................................................................................ 6
1.5 SCOPE OF THE STUDY ................................................................................................................... 7
1.6 ORGANIZATION OF THE REPORT .............................................................................................. 8
CHAPTER-2 ................................................................................................................................................. 9
LITERATURE REVIEW ............................................................................................................................. 9
2.1 THEORETICAL FRAMEWORK ................................................................................................. 10
CHAPTER 3 ............................................................................................................................................... 14
RESEARCH METHODOLOGY ................................................................................................................ 14
3.1 Introduction ....................................................................................................................................... 15
3.2 Research Question ......................................................................................................................... 15
3.3 Research Hypothesis ......................................................................................................................... 15
3.4 Population and Sample ..................................................................................................................... 15
3.4.1 Target Population ....................................................................................................................... 15
3.4.2 Sample Frame ............................................................................................................................ 15
3.4.3 Sampling Technique .................................................................................................................. 15
3.4.4 Sample Size ................................................................................................................................ 15
3.5 Questionnaire Design ........................................................................................................................ 16
3.6 Data Collection ................................................................................................................................. 16
3.7 Summary of Methods and Tools of Analysis Used ........................................................................ 16
3.7.1 Tools Of Analysis ..................................................................................................................... 16
v
CHAPTER-4 ............................................................................................................................................... 17
DATA ANALYSIS AND FINDINGS ....................................................................................................... 17
CHAPTER 5 ............................................................................................................................................... 48
RECOMMENDATIONS ............................................................................................................................ 48
5.1 Implications....................................................................................................................................... 49
5.2 Suggestions ....................................................................................................................................... 49
CHAPTER 6 ............................................................................................................................................... 50
CONCLUSION ........................................................................................................................................... 50
6.1 Summary of Key Findings ................................................................................................................ 51
6.2 Limitations of the Study.................................................................................................................... 51
Bibliography ............................................................................................................................................... 52
LIST OF TABLES
Table 1 ………………………………………………………………………….……………………………………………………………………..4
vi
CHAPTER-1
INTRODUCTION
1
1.1 INTRODUCTION
In today’s competitive world, the market has turned to consumer’s market. In such situation customer
satisfaction has become an important measure to be followed for its success. Supply chain management is
an integral part of businesses and is essential for company success and customer satisfaction. Supply chain
management plays an integral role in keeping business costs minimum and profitability as high as possible.
India is the largest producer of ginger and okra amongst vegetables and ranks second in production of
potatoes, onions, cauliflowers, brinjal, Cabbages, etc. Amongst fruits, the country ranks first in production of
Bananas (25.7%), Papayas (43.6%) and Mangoes (including mangosteens and guavas) (40.4%).
The vast production base offers India tremendous opportunities for export. During 2017-18, India exported
fruits and vegetables worth Rs. 9,410.81 crores/ 1,459.93 USD Millions which comprised of fruits worth Rs.
4,229.03 crores/ 655.90 USD Millions and vegetables worth Rs. 5181.78 crores/ 804.03 USD Millions.
The major destinations for Indian fruits and vegetables are UAE, Sri Lanka, Netherland, Bangladesh,
Malaysia, Nepal, UK, Saudi Arabia and Qatar.
India has witnessed voluminous increase in horticulture production over the last few years. Significant
progress has been made in area expansion resulting in higher production. Over the last decade, the area under
horticulture grew by about 3% per annum and annual production increased by 5.4%. During 2016-17, the
production of horticulture crops was about 295.2 million tonnes from an area of 24.9 million hectares. The
2
production of vegetables has increased from 58.5 million tonnes to 175 million tonnes since 1991-92 to 2016-
17.
Though India has lot many positives in the vegetable production and marketing sector, it has several issues
too. The country lacks an efficient supply chain for the distribution of the fruits and vegetables. The present
supply chain that connects the farmers to both the organized, as well as the unorganized retail, is highly
inefficient with several intermediaries and manual handling. The result is lots of wastages as much as nearly
30% and also less remuneration for the farmers. There is a colossal waste during the post-harvest storage and
handling due to improper bagging without crating, lack of temperature controlled vehicles, no cold chain
facilities for preserving the produce, coupled with significant processing of the agricultural produce resulting
in enormous losses to the nation. Given the characteristics of fruits and vegetables such as perishability,
seasonality, bulkiness and delicate nature of the products coupled with inadequate storage and transport
facilities, the supply chain can be made efficient by reducing the length of the chain improving cold chain
facilities. The supply chain management in vegetables has to be improved in all the stages of the supply by
adopting global best practices in storage, packaging, handling, transportation, value added service etc. And
also by disintermediation and participation of organized players i.e., modern supply chain with a view to
benefit both farmers as well as ultimate consumers.
3
STATE-WISE AREA AND PRODUCTION
Table 1
Vegetables
State/Union
Territory 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 @
Are Produ Are Produ Are Produ Are Produ Are Produ Are Produ
a ction a ction a ction a ction a ction a ction
1 14 15 16 17 18 19 20 21 22 23 24 25
State:
Andhra 331. 5426.2 651. 11847. 660. 12025. 686. 12104. 439. 8149.7 354. 6445.6
Pradesh 30 0 20 60 97 28 08 65 64 6 86 0
Arunachal
Pradesh 4.20 38.50 4.20 38.50 6.34 83.50 1.52 37.56 1.40 35.00 1.70 41.00
255. 4569.9 260. 2925.5 266. 3045.5 278. 3415.0 281. 3031.9 296. 4752.1
Assam 20 0 10 0 00 6 74 7 40 0 23 3
836. 13906. 845. 14630. 857. 15552. 861. 16325. 809. 15097. 842. 14467.
Bihar 00 80 00 20 01 38 79 68 80 77 00 15
315. 3601.1 345. 4248.8 351. 4582.6 380. 4993.8 403. 5465.9 418. 5739.5
Chhattisgarh 40 0 80 0 55 3 66 5 43 2 63 1
Goa 5.70 57.80 5.70 57.80 6.50 78.20 6.65 80.51 7.00 79.92 7.19 82.00
406. 7255.5 515. 9379.5 517. 10049. 537. 10520. 582. 11571. 578. 11543.
Gujarat 80 0 90 0 63 81 64 69 28 24 35 29
300. 3987.0 346. 4649.3 356. 5068.4 360. 5011.3 373. 5565.9 368. 5291.5
Haryana 90 0 40 0 77 2 33 1 17 0 42 2
Himachal 79.8 1390.7 80.4 1474.9 85.6 1561.5 79.4 1521.1 86.6 1635.8 83.7 1585.3
Pradesh 0 0 0 0 8 1 6 3 0 8 5 7
Jammu & 69.8 1374.2 69.7 1559.1 63.0 1395.4 63.0 1395.4 63.0 1395.4 63.0 1395.4
Kashmir 0 0 0 0 6 7 6 7 6 7 6 7
212. 3469.2 259. 4112.4 261. 3902.6 321. 4325.3 313. 4238.1 316. 4279.2
Jharkhand 10 0 50 0 24 3 46 8 61 3 67 8
441. 7082.2 466. 9056.4 454. 7662.5 436. 7841.9 418. 7500.6 462. 8564.7
Karnataka 20 0 30 0 70 0 60 0 69 9 86 7
151. 3518.1 149. 3392.7 149. 3626.0 146. 3446.9 147. 3572.6 115. 2882.5
Kerala 60 0 50 0 05 0 05 1 69 7 43 1
Madhya 250. 3112.6 283. 3698.6 506. 10084. 612. 12574. 628. 13019. 677. 14315.
Pradesh 70 0 70 0 99 01 77 00 72 31 60 41
451. 6172.6 611. 7504.0 591. 8778.0 474. 8008.0 726. 10161. 580. 8136.2
Maharashtra 80 0 00 0 00 0 00 0 00 83 54 6
19.9 22.2 20.8 21.7 25.1 27.7
Manipur 0 221.80 0 236.50 3 200.32 3 219.82 9 271.04 7 297.73
44.3 41.8 39.4 40.4 43.6 44.6
Meghalaya 0 415.80 0 356.50 6 385.01 5 403.37 0 515.34 0 534.00
10.6 17.5 37.4 39.3 41.1 44.0
Mizoram 0 179.10 0 115.60 2 221.00 3 236.68 0 254.14 3 273.76
10.4 10.7 33.0 26.0 38.5 38.5
Nagaland 0 78.30 0 79.40 4 222.63 1 207.74 5 492.37 5 492.37
694. 8963.6 553. 7790.1 690. 9520.5 688. 9463.9 677. 9433.6 668. 9425.1
Odisha 20 0 80 0 07 6 14 9 33 6 81 3
183. 3522.5 174. 3585.8 178. 3674.5 184. 3782.6 191. 3936.1 197. 4066.1
Punjab 30 0 10 0 22 3 10 1 02 9 14 7
131. 1071.9 140. 181. 1287.4 224. 148. 1114.0 163. 1270.0
Rajasthan 90 0 30 885.00 71 1 43 873.50 88 7 83 6
28.7 23.9 25.0 25.5 26.1 26.1
Sikkim 0 147.70 0 120.90 3 127.65 6 132.51 1 134.53 0 134.41
4
263. 7627.7 277. 8279.9 306. 9068.4 277. 7897.9 289. 8678.8 238. 5682.8
Tamil Nadu 70 0 30 0 66 9 78 3 74 2 23 3
220. 3647.2 184. 3042.3
Telengana 94 8 46 3
Lakshadweep 0.40 14.10 0.40 14.10 0.25 0.31 0.25 0.33 0.25 0.33 0.31 0.65
Puducherry 4.50 81.00 0.60 8.80 0.55 7.49 1.46 25.00 0.90 16.26 1.46 43.74
Others
798 13373 849 14655 898 15632 920 939 16289 949 16705
Total 4.85 7.66 4.60 4.50 9.55 5.39 5.18 6.06 6.91 3.66 8.50
Source : Horticulture Statistics Division,Department of Agriculture,Cooperation and Farmers Welfare.
KAUSHAMBI
The present Kaushambi district was carved out of Allahabad district on 4th April 1997.
5
1.2 STATEMENT OF PROBLEM
The entire supply chain of Fruits and Vegetables in India is laden with various issues and challenges. To list
the possible challenges and suggest a way forward, there is a need to study the supply chain of Fruits and
Vegetables sector in India. So the purpose of this paper is to discuss the supply chain of fruits and vegetables
sector in India and explain the issues which are affecting it.
India despite being ranked second in the production of fruits and vegetables and share only 1 % in world’s
trade. The various problems faced by the famer in their day to day life in relevance to agriculture such as the
small size of land holding, lack of funds for farming, lack of cold storages, lack of transportation facilities,
wastage of the produced vegetables and fruits etc. The objective of the report is to analyse the above
mentioned factors on the farmers of Kausambi district in order to come up with various recommendations
and suggestions for the improvement in the overall supply chain of the Horticulture produce of the district.
The study also focuses on ascertaining whether the farmers are able to avail the government facilities in
Kaushambi or not.
6
1.5 SCOPE OF THE STUDY
India is the world’s largest vegetable producer (11%) after China, and ahead of Brazil, with an average
production of 50.99 million tonnes. India also produces 18.3 million tonnes of tubers and root crops
annually.( Food Laws & Regulation in Fruits & Vegetable Sector, dsir.gov.in). Production of vegetables is
estimated at 67.0 million tonnes.( www.dsir.gov.in). The small and marginal land holdings have higher crop
intensity compared with that of medium and large farmers.
Uttar Pradesh is the most populous state, although in terms of area it is the fourth largest state of
India. It covers a large part of the highly fertile and densely populated upper Gangetic plain. The state, with
its rich alluvial soils, adequate water resources and immense manpower resources, has a very considerable
potential of economic development. It is estimated that horticulture contributes about 19.5% to agriculture
and allied sectors income in Uttar Pradesh. U.P ranks second in vegetable and first in potato production
among all states (Directorate of Horticulture).Production of most of the high value fresh produce is capital
and knowledge /information intensive as well as riskier. Small holder farmers of Uttar Pradesh lack access
to capital, improved technologies, quality input and extension services that are needed to enter high value
segments. Integration of these small holders in the fresh produce supply chain is therefore a major
challenge.
The present Kaushambi district was carved out of Allahabad district on 4th April 1997. The District
Headquarter, Manjhanpur is situated in the south-west of the Allahabad on the north bank of the Yamuna
river,about 55 km away from Allahabad. It is surrounded by the districts Chitrakoot in the south, Pratapgarh
in the north, Allahabad in the east & Fatehpur in the west. District comprises of 3 revenue sub division i.e.
Chail, Sirathu & Manjhanpur, it has 8 development blocks. Total area of district lies in between the holy
rivers Ganga in north and Yamuna in south. Agro Ecological Situation comprises of Ganga and yamuna
alluvial soil groups which account for 39.74% of the total area of the district. About 44.70% of this area is
irrigated. This tract having sandy, sandy loam soil which pH ranging between 6.5-8.0. The major crop is
paddy, wheat (irrigated situation), Gram & arhar( un-irrigated situation) and Orchard vegetable.
7
1.6 ORGANIZATION OF THE REPORT
The report on A Study of Supply Chain Management of Vegetables in Kaushambi is divided into six
chapters. Chapter One is an introduction to the report topic. It addresses the scenario of agriculture across the
country, and then gives an idea about supply chain management in Kaushambi district of
Allahabad(Prayagraj). It also talks about the need of supply chain management in agriculture market.
Chapter two includes Literature review which has been conducted for the purpose of understanding the
already existing information about the topic. It helped in getting an insight of the situation of vegetable
growers in India. Chapter Three focuses on the Research Methodology. The population, sample frame,
techniques and tools used for data collection and analysis have been discussed here. In Chapter 4, data
analysis has been done using SPSS. Key findings have also been mentioned. In Chapter 5, recommendations
have been given. At the end in Chapter 6 conclusion has been drawn out with regard to responses received
from farmers. Also the limitations are stated in this chapter.
8
CHAPTER-2
LITERATURE REVIEW
9
2.1 THEORETICAL FRAMEWORK
Various research papers and journals have been studied so that a broad idea of supply chain management of
vegetables in rural areas can be deciphered.
1. Scope of Supply Chain Management in Fruits and Vegetables in India by Rais M, National
Institute of Science, Technology and Development Studies, New Delhi, India and Sheoran A,
Department of Civil Engineering, BITS Pilani, Rajasthan
Conclusion: In India per capita availability of fruits and vegetables is quite low because of post harvest
losses which account for about 25% to 30 % of production. State needs to educate the producers of the
latest technology available and also help them by granting support to acquire them and proper supply
chain management should be there in the country which would help prevention of exploitation of
farmers and increase their income. Processing activities are of critical importance to expansion and
diversification within the fruit and vegetables and add value while minimizing post harvest losses.
The study has examined the nature and extent of postharvest losses of major vegetables supply chain in
the Kaushambi district of Uttar Pradesh. The study has estimated post-harvest losses in major
vegetables grown in Kaushambi. At producer level,the post-harvest losses have been found maximum
in tomato (18.77%) followed by onion (17.69%), okra (13.63%), chilly (13.42%), cauliflower
(11.80%),brinjal (11.69%), pumpkin (5.41%)and minimum in potato (4.48%) respectively. At the retail
level also, tomato has registered maximum loss, followed by okra, chilly and pumpkin. It was also
observed that major losses have been found at the grower level in all the vegetables, except pumpkin.
This is because of lack of knowledge about proper post-harvest management. Improper grading,
packing, lack of storage and inadequate transportation facilities contribute more to the problem. One of
the most important cause of postharvest losses is harvest at inappropriate maturity, resulting in erratic
ripening and poor quality. Therefore, there is an urgent need of training the vegetable growers on
scientific post-harvest techniques, if the vegetable production is to be sustained on a profitable basis in
the block. This study suggested that possible solution to tackle these problems could be the
establishment of producer co-operatives to switch various activities related to production and marketing
of major vegetables. It will not only help reduce the post-harvest losses but also will increase the
negotiating power of producers in marketing.
10
3. Issues and challenges in the supply chain of fruits & vegetables sector in india: a review
By Saurav Negi and Neeraj Anand
The supply chain of Fruits and Vegetables in India is entirely laden with a number of issues
and challenges. To enlist the challenges and suggest a way for it, there’s a need for the study
of supply chain management of Fruits and Vegetables in India. The purpose of this paper is
to analyze the supply chain of fruits and vegetables sector in India and to explain the issues
which affect it. The major identifiable factors are pertaining to the list of infrastructure,
value addition & processing of financial and informative problems. Some of the major
identifiable key challenges are Low Processing and Value Addition, Lack of Infrastructure
Facilities, Low income of farmer, Supply Chain inefficiency, large number of
intermediaries/fragmented supply chain, Poor Quality & Safety standards. Overcoming
these problems will benefit the farmers, transporters, state government and the food
processing unit in the form of minimized wastage and losses, increased price share of the
farmers and it also provides employment to the localities, etc.
In this papers authors have tested that there is integration in wholesale price markets in India. They
have taken under study in India about 55 wholesale rice markets using monthly data over the period
January 1970 – December 1999. In the study, the authors have identified the existing maze of controls
and government interference in rice markets, though well intentioned as counterproductive and
accountable for such distribution of rice markets. Such fragmentation for agricultural operations
damages the efficiency and isolates some markets stunting the fluctuation in the markets signals.
Much has been written about state decision and self-government in some, stuffs of economic policy in
India. It should be pointed out that this latitude should not level up to place restrictions on internal
trade. Furthermore, for decision-making this has nothing to do with decentralization. Economy like
US, which is significantly more decentralized than India’s, still bans most, it not all, impediments to
inter-state trade.
11
5. Business models of vegetable retailers in India - Paulrajan Rajkumar and Fatima Jacob
The purpose of this paper is to consider the objective of the study on business models of vegetable
retailers, in organised and unorganised retailing. The spectrum of supply chain practices is affected
by the entry of organised retail in India. This research includes instruments like interviews and
survey through questionnaire with farmers in supply chain. Organised retail trade has improved the
transportation of vegetables from cultivation to ultimate consumption. This study observes that the
organised retailers offer higher prices for the vegetables than the traditional ones to the farmers and
payments is also faster and is on delivery. This is one of the benefits of selling vegetables to
organised retailers. In the traditional business model, wholesalers are major intermediaries in the
retail vegetable logistical chain and all the retailers are dependent on the local wholesales market but
a unified market and integration of rural and urban markets could pave a way for free movement of
goods across the boundaries.
6. Supply Chain Management of Fruits and Vegetables in India- (Sihariya, Hatmode, &
Nagadevara, Jan 6-9, 2013)
Discussed the limitations of traditional supply chain model with respect of supply chain model of
developed economies. This is a case based research where strategy of three organised retail outlets
were taken into consideration and comparison was done. Recommendations included-
12
7. Strategic change in model of fruit and vegetables supply chain - Vipul Chandra Tolani and
Huzefa Hussain
Supply chain management plays a crucial role in minimizing the business costs and maximizing the
profitability. The different factors involved in supply chain management and flow is the major one.
There are three types of flow: product flow, information flow and finances flow. Product flow deals
with movement of goods and services and Information flow involves updates of the transportation.
The main challenge is to maintain a balance between all three flows resulting in optimal results for
farmers, growers, wholesalers and customers.
8. Supply Chain Management and Indian Fresh Produce Supply Chain: Opportunities and
Challenges - Surendra P. Singh B.K. Sikka And Ashutosh Singh
Supply Chain Management maintains relationship between businesses responsible for the production
and supply of agribusiness products from farm level to consumers, to meet consumers’ requirements
in terms of quality, quantity, and price. In practice, it also includes the management of both vertical
and horizontal alliances. In developing countries, the supply chain of agricultural products typically
involves agents with farmers at one end and consumers at the other. These traditional supply chains
are tightly linked with social structures. Generally, small farmers in developing countries are price –
takers and their contact with “markets” is often limited to dealing with a produce collector or to sales
at the local/ village market and district market.
13
CHAPTER 3
RESEARCH METHODOLOGY
14
3.1 Introduction
The methodology used to conduct research is mentioned in this chapter. It helps in developing plan to
proceed to conduct the research. This chapter also tells about Research Question, Population and Sample
to be surveyed, method of data collection and Questionnaire design to be used for the study.
The purpose of this study is find answers to those challenges which are faced in supply chain management.
The questions are tested by looking various factors such as size of the land, its ownership, Government
amenities and financial conditions of farmers.
15
3.5 Questionnaire Design
Questionnaire has been designed after considering the following points-
Descriptive research design has been used for this study. Supply chain of Fruits and Vegetables sector has
been explained and attempt has been made towards identifying the factors affecting the supply chain of the
sector. It includes an overview of available secondary data and identified by issues in supply chan
management. Collection of Literature, including research papers from peer-reviewed journals, conference
proceedings, etc. is done.
16
CHAPTER-4
17
Q.1 & Q.2 What is the ownership of your land? & What is the size of your land?
Crosstabs
Count 42 11 2 55
self
% of Total 70.0% 18.3% 3.3% 91.7%
owner of land
Count 5 0 0 5
land on lease
% of Total 8.3% 0.0% 0.0% 8.3%
Count 47 11 2 60
Total
% of Total 78.3% 18.3% 3.3% 100.0%
Findings:
About 91.7% of farmers own their land and a less percent of farmers have land on lease. Most of them,
about 70 have small land holdings of1-5 bigha. This means that either the vegetable growers grow the
vegetables for their own consumption or the land size is much less for people to cultivate vegetables and
earn profit.
18
Frequencies
types of crops
Findings: The farmers who were part of our survey were mostly indulged in vegetable farming.
98.33% people grew vegetables. This implies that farmers get certain amount of benefits in
vegetable farming or they change their crops according to seasons so that they don’t sit idle.
19
Frequencies
mode of irrigation
Findings: Half(50 %) of the vegetable growing farmers use tube wells to irrigate their fields. Other 50% is
shared by pumps and through pipes, with a greater share of pumps. This indicates a good level of ground
water and availability of electricity during the irrigation hours.
20
Frequencies
Findings: 90% of the vegetable farmers prefer to sell their crop in their proximity, either their own village or
neighbouring villages and towns. A very less percentage prefers to go to other districts or states. It shows
that either their products are sold in nearby areas at good returns or there are lack of facilities like
transportation and storage for long distances.
21
Frequencies
Findings: - About 45 % of farmers sell their crops by own or through small retailers, while more than 50 %
of farmers sell through bulk seller. This shows that dependence on mediators for sale has decreased to a
significant level.
22
Crosstabs
Q.10 & Q.11 Where do you store your crops & duration of storing?
Count 0 0 1 1
at bulk seller
% of Total 0.0% 0.0% 1.7% 1.7%
Count 1 0 0 1
in own land
% of Total 1.7% 0.0% 0.0% 1.7%
where do you store
Count 1 1 15 17
in cold storage
% of Total 1.7% 1.7% 25.0% 28.3%
Count 3 0 38 41
no need to store
% of Total 5.0% 0.0% 63.3% 68.3%
Count 5 1 54 60
Total
% of Total 8.3% 1.7% 90.0% 100.0%
Findings: 28.3% use cold storages to store their produce while 68.3% farmers don’t use cold
storages to store the crops. This could be due to less quantity of produce or due to unwillingness to
avail the facility of cold storage meaning there might be some shortcoming in them(cold storage).
23
Frequencies
Q.12 How much more price you got on your stored crops in last year?
Findings: Farmers who avail the facility of cold storage said that there is an increase in price they get for
stored crops of less than or equal to 25%. This facility is availed by 36.6 % farmers only and other major part
of 63.33 % don’t avail the facility.
24
Crosstabs
Q.14 Government benefits on fertilizers, Government benefits on seeds, Government benefits on irrigation
equipments, Government benefits on any other thing.
no
Count 1 1
yes
% of Total 1.7% 1.7%
government benefits on fertilizers
Count 59 59
no
% of Total 98.3% 98.3%
Count 60 60
Total
% of Total 100.0% 100.0%
no
Count 60 60
government benefits on seeds no
% of Total 100.0% 100.0%
Count 60 60
Total
% of Total 100.0% 100.0%
25
government benefits on irrigation equipments * government benefits on any other Crosstabulation
no
Count 60 60
Total
% of Total 100.0% 100.0%
Findings: the above cross tabulations give an idea that almost 100% or 99% of farmers don’t get government
benefits on fertilizers, seeds, irrigation equipments or any other benefit. This shows that either there is a lack
of awareness of government facilities or the facilities are not reaching farmers.
26
Frequencies
Findings: 100% of respondents buy seeds from open market. This implies that they don’t get good quality
seeds.
27
Frequencies
28
Findings: There are various segments of investments required as investment of a crop in a season in 1 bigha
of land. It ranges from 5000 Rs to 50000 rupees.
This disparity in investment required may be due to difference in crops sown and produced, because
different crops require different investment.
29
Crosstabs
Q.22& Q.23 How many male members from your family work in the field and how many female members
from your family work in the field?
Count 5 0 1 0 0
1.00
% of Total 8.3% 0.0% 1.7% 0.0% 0.0%
Count 1 7 3 0 0
2.00
% of Total 1.7% 11.7% 5.0% 0.0% 0.0%
Count 0 9 1 1 1
3.00
% of Total 0.0% 15.0% 1.7% 1.7% 1.7%
Count 0 8 6 1 0
no. of male from family 4.00
% of Total 0.0% 13.3% 10.0% 1.7% 0.0%
Count 0 1 3 2 1
5.00
% of Total 0.0% 1.7% 5.0% 3.3% 1.7%
Count 0 1 1 1 2
6.00
% of Total 0.0% 1.7% 1.7% 1.7% 3.3%
Count 0 0 0 0 1
7.00
% of Total 0.0% 0.0% 0.0% 0.0% 1.7%
Count 6 26 15 5 5
Total
% of Total 10.0% 43.3% 25.0% 8.3% 8.3%
30
no. of male from family * no. of female from family Crosstabulation
6.00
Count 0 6
1.00
% of Total 0.0% 10.0%
Count 0 11
2.00
% of Total 0.0% 18.3%
Count 0 12
3.00
% of Total 0.0% 20.0%
Count 1 16
no. of male from family 4.00
% of Total 1.7% 26.7%
Count 2 9
5.00
% of Total 3.3% 15.0%
Count 0 5
6.00
% of Total 0.0% 8.3%
Count 0 1
7.00
% of Total 0.0% 1.7%
Count 3 60
Total
% of Total 5.0% 100.0%
31
Frequencies
Q.25 How much profit is earned in one season?
Findings: - 68.33 percent of farmers stated that they only earned Rs. 10000 as profit, while 20 percent of
them said that they earned profits in range of 10001-25000 rupees in a season. A very small number of
farmers admitted to have earned profit around 50000 rupees.
This again suggests that small farmers who are in majority numbers earn less profit while large farmers earn
a good profit.
32
Frequencies
Q.27 What is the mode of transportation used to take crops to market?
mode of transportation
Findings: Almost 50 percent of the farmers use trucks and tractors as a mode of transportation to take their
crops from farm to marketplace. Manual transport like transporting on head or rickshaw/cycle make up the
other half of method of transport used by farmers for the purpose of moving produce from farm to
marketplace/cold storage. This means that well to do farmers have better means of transport while others
have to rely more on primitive ways of transport.
33
Frequencies
Q.27 What is the transportation used to take crops to market?
Findings: Majority i.e. 76.6 of farmers rely on family savings to manage the investment for one season of
crop, whereas local lenders are still ahead of banks in lending to the farmers which combined makes up
about 25 percent of share of managing investment.
34
Crosstabs
Q.29 How much crop is damaged before selling, damaging of crop during transportation, damaging of crop
before the whole seller sells, before reaching the customer?
damaging of crop before the farmer sells * damaging of crop during transportation Crosstabulation
Count 4 0 0 4
5.00
% of Total 6.7% 0.0% 0.0% 6.7%
Count 7 0 0 7
10.00
% of Total 11.7% 0.0% 0.0% 11.7%
Count 1 0 0 1
15.00
% of Total 1.7% 0.0% 0.0% 1.7%
Count 0 1 0 1
damaging of crop before the
20.00
farmer sells
% of Total 0.0% 1.7% 0.0% 1.7%
Count 2 0 0 2
25.00
% of Total 3.3% 0.0% 0.0% 3.3%
Count 42 0 1 43
50.00
% of Total 70.0% 0.0% 1.7% 71.7%
Count 2 0 0 2
100.00
% of Total 3.3% 0.0% 0.0% 3.3%
Count 58 1 1 60
Total
% of Total 96.7% 1.7% 1.7% 100.0%
35
damaging of crop before the farmer sells * damaging of crop before reaching the customer Crosstabulation
10.00 20.00
Count 4 0 4
5.00
% of Total 6.7% 0.0% 6.7%
Count 7 0 7
10.00
% of Total 11.7% 0.0% 11.7%
Count 1 0 1
15.00
% of Total 1.7% 0.0% 1.7%
Count 0 1 1
damaging of crop before the farmer sells 20.00
% of Total 0.0% 1.7% 1.7%
Count 2 0 2
25.00
% of Total 3.3% 0.0% 3.3%
Count 41 2 43
50.00
% of Total 68.3% 3.3% 71.7%
Count 2 0 2
100.00
% of Total 3.3% 0.0% 3.3%
Count 57 3 60
Total
% of Total 95.0% 5.0% 100.0%
36
damaging of crop before the whole seller sells * damaging of crop during transportation Crosstabulation
Count 2 0 0 2
10.00
% of Total 3.3% 0.0% 0.0% 3.3%
Count 55 1 1 57
damaging of crop before the whole seller sells 20.00
% of Total 91.7% 1.7% 1.7% 95.0%
Count 1 0 0 1
50.00
% of Total 1.7% 0.0% 0.0% 1.7%
Count 58 1 1 60
Total
% of Total 96.7% 1.7% 1.7% 100.0%
damaging of crop before the whole seller sells * damaging of crop before reaching the customer Crosstabulation
10.00 20.00
Count 0 2 2
10.00
% of Total 0.0% 3.3% 3.3%
Count 56 1 57
damaging of crop before the
20.00
whole seller sells
% of Total 93.3% 1.7% 95.0%
Count 1 0 1
50.00
% of Total 1.7% 0.0% 1.7%
Count 57 3 60
Total
% of Total 95.0% 5.0% 100.0%
37
Findings: It can be deciphered that according to 70% of farmers about 50 of crop damage is done by
transportation and other 50 is shared by variables like before reaching whole seller and before reaching
customer.
PART-2
Crosstabs
Q.1& Q.2 Do you have soil health card? & when your soil was tested through soil health card?
soil health card * tested of soil through soil health card Crosstabulation
Count 1 2 0 3
yes
% of Total 1.7% 3.3% 0.0% 5.0%
soil health card
Count 0 0 57 57
no
% of Total 0.0% 0.0% 95.0% 95.0%
Count 1 2 57 60
Total
% of Total 1.7% 3.3% 95.0% 100.0%
Findings: only 5% of respondents owned Soil health card and majority of 95% didn’t have it. Testing of soil
through soil health card was done for 3.3% farmers 2 years ago and for 1.7% 6 months ago. This shows that
there are a very less no. of farmers using this facility and they are reluctant towards periodic testings.
38
Frequencies
weather information
Findings: About 60 percent of the farmers rely on their experience and knowledge to assess the weather
conditions. Only 40 percent of them use the modern technological inventions like television and radio to access
the weather information. This could also be due to non availability of the information sources.
39
Crosstabs
Q.4 Is your crop insured under Fasal Bima Yojana? & Have you ever asked for reimbursement for loss?
reimbursement Total
yes no
Count 1 0 1
yes
% of Total 1.7% 0.0% 1.7%
is your crop under fasal bima yojna
Count 0 59 59
no
% of Total 0.0% 98.3% 98.3%
Count 1 59 60
Total
% of Total 1.7% 98.3% 100.0%
Findings: As can be seen from the above table, very less no. of farmers, i.e. 1.7% have crop insurance. About
98% don’t avail this facility. This could be because of middleman blocking the aides or lack of proper
knowledge on the part of the farmers or corruption prevailing among the government officials.
40
Crosstabs
Q.5 Is there a problem of animals in your area? What are measures you use for protecting your crop from
animals? What was the percentage of crop damaged by animals in previous years.
Cases
Count 4 52 1 57
yes
% of Total 6.7% 86.7% 1.7% 95.0%
animal issue
Count 1 0 2 3
no
% of Total 1.7% 0.0% 3.3% 5.0%
Count 5 52 3 60
Total
% of Total 8.3% 86.7% 5.0% 100.0%
41
animal issue * percentage of crop damaged by animals Crosstabulation
Count 36 12 9 57
yes
% of Total 60.0% 20.0% 15.0% 95.0%
animal issue
Count 1 2 0 3
no
% of Total 1.7% 3.3% 0.0% 5.0%
Count 37 14 9 60
Total
% of Total 61.7% 23.3% 15.0% 100.0%
Findings: A challenge faced by almost all (95%) farmers is damage of crops by animals. 86% of farmers
self-guarded their fields to protect it and a small percentage of 8.3% used fencing of fields. the surveyed
farmers themselves suggested fencing and guarding are the ways to protect crop from animals. A damage
of 25% crops was done for 61% of farmers in the previous year while 50% and 75% damage was done to
23% and 15% respectively.
42
Frequencies
Findings: a good supply of electricity was indicated by the survey where 51.67% of respondents told to get
11-15 hours of electricity and 35% told to have supply for more than 15 hours.
43
Crosstabs
Q.7 and Q.8 What is the distance of cold storage? How much of your produce you store in cold storage?
Count 34 23 3 60
number of cold storage yes
% of Total 56.7% 38.3% 5.0% 100.0%
Count 34 23 3 60
Total
% of Total 56.7% 38.3% 5.0% 100.0%
Count 42 10 8 60
number of cold storage yes
% of Total 70.0% 16.7% 13.3% 100.0%
Count 42 10 8 60
Total
% of Total 70.0% 16.7% 13.3% 100.0%
Findings: 56.7% of respondents informed that there are cold storages at a distance of 1-5 km and 38.3% said
that they are at 6-8 km. At very few places cold storages are at a large distance of 11-15 km.
44
Frequencies
Findings: 80% of farmers say that they have got MSP for 1 crop in the previous year while 16% said they
have got MSP for 2 crops. This depends on the no. of crops they grow and sell in market.
45
Crosstabs
Q.11 Is organic farming done by you? What is the purpose of doing organic farming? What is the extra price
you get for organic farming?
Cases
Count 2 21 0 23
yes
% of Total 3.3% 35.0% 0.0% 38.3%
organic farming
Count 0 0 37 37
no
% of Total 0.0% 0.0% 61.7% 61.7%
Count 2 21 37 60
Total
% of Total 3.3% 35.0% 61.7% 100.0%
46
organic farming * extra price for organic farming Crosstabulation
Count 19 1 1 2 23
yes
% of Total 31.7% 1.7% 1.7% 3.3% 38.3%
organic farming
Count 0 0 0 37 37
no
% of Total 0.0% 0.0% 0.0% 61.7% 61.7%
Count 19 1 1 39 60
Total
% of Total 31.7% 1.7% 1.7% 65.0% 100.0%
Findings: 35% of respondents practice organic farming for more profit while3.3% practice it for oneself.
Other 61.7% don’t practice organic farming at all. Out of those 35% who practice it for profit responded that
they earn extra price of about 25% through organic farming.
47
CHAPTER 5
RECOMMENDATIONS
48
5.1 Implications
A large portion of fresh vegetables is lost or not kept fresh because of post harvest handling and proper
temperature maintenance in transportation vehicles.
Issues in supply chain exist because of which people have to transport vegetables through other means which
are not proper for handling.
Perishability of vegetables is responsible for high marketing cost, marketing gluts, price fluctuations.
5.2 Suggestions
Various recommendations could be suggested based upon the study conducted; some of them are pointed out
as follows;
1. Government must increase investment on post harvest management and ensure that these facilities
are availed by farmers.
2. Setting up of a well structured supply chain and its smooth functioning should be ensured.
3. Identifying those links of supply chain whose process could be cumbersome and trying to vision and
correct them beforehand; such as optimum storage or viable transport facilities.
4. Mechanisms should be developed to protect the crops from animals.
5. Awareness programs should be penetrated in villages so that farmers use the facilities.
49
CHAPTER 6
CONCLUSION
50
6.1 Summary of Key Findings
1. Most of the farmers in Kaushambi own small landholdings. Consequences of small land holdings
are various such as low produce, low profit and thereby low income to sustain the finances.
2. Main vegetables grown are potato, cauliflower and chilly. the farmer is constrained to sell his
produce immediately. In some cases, even the cost price is also not recovered.
3. It was matter of concern that most of the farmers are not able to utilize subsidies offered by
government on fertilizers, seeds, irrigation facilities. The main reason appears to be lack of
awareness, untimely delivery of fertilizers, seeds and delayed payment by government.
4. There is lack of proper supply chain in vegetable goods in the area studied.
5. Financial condition of farmers is not very stable and financial institutions such as banks and KCC
facility are not availed by everyone.
6. Damage of crops at various levels is a major concern. One of most prominent issue is animals
grazing down the fields.
1. Sample size of 60 may not necessarily present the actual status of whole population.
2. Most of the farmers in the region are food croppers so the vegetable farmers are less in the area.
3. Study has been carried in only one season of cultivation. In ideal situation, such study should have been
spread out throughout year for better results.
4. In many cases unresponsiveness by the respondents was there which was a limitation in successful
completion of the project.
51
Bibliography
Saurav Negi, N. A. (n.d.). Issues and challenges in the supply chain of fruits & vegetables sector in India.
Sihariya, G., Hatmode, V. B., & Nagadevara, V. (Jan 6-9, 2013). Supply Chain Management of Fruits and
Vegetables in India. AIMS.
Surendra P. Singh, B. S. (n.d.). Supply chain management and indian fresh produce supply chain:
opportunities and challenges.
Vinod kumar, P. s. (n.d.). An economic analysis of post harvest losses in marketing of major vegetables in
Kaushambi district of UP.
Vipul Chandra Tolani, H. H. (n.d.). Strategic changein model of fruit and vegetables supply chain.
52