SAKSHAM BUSINESS PLAN ASSIGNMENT

B-PLAN ON FARMING SUPPLY CHAIN INDUSTRY

FARMA

Authors:

1) Amit kumar singh

2) Anushka Fulpatil

3) Hritik Agarwal

4) Mrinal Singh

5) Prateek Kava
 TABLE OF CONTENTS

S.NO PARTICULARS PAGE NO.

i) Mission and Vision 3
ii) About the Product 4
iii) USP 5
iv) Industry Analysis 6
v) Target Customers and Markets 7
vi) Executive Summary 8
vii) Investment Plan 9
Mission And Vision

Today small farmers are struggling because they do not have designated space to sell their agricultural
produce. Government had initiative to solve this issue but it mainly focusses on big farmers. In a speech last
September, Prime Minister Narendra Modi noted that 85% of India's farmers own small tracts of land.
Vegetables and fruits are perishable item which cannot last long and there is a growing trend to use organic
food.

Our mission is to connect each and every farmer who produce more than their household consumption. Any
number of vegetables and fruits a farmer produce which they cannot use in their household can be sold to
our kiosk setup and then we can accumulate them and can sell to big mandis across India. Initially we have a
vision of creating one kiosk in every 5 villages. Later we would expand this to every village.

In India a total of 5957 famers committed suicide because of financial crunch. Our work would directly
impact these farmers and enable their lives. We would cater happiness and a sense of security to these
farmers who happened to be the most marginalised community of India.
About Product & Service:

Product description: Our one set of community is facing an issue related to dietary needs. The community is
the farmers farming Organic food, people growing vegetables on the terrace and the people who are trying to
consume and get away with chemically grown food. As the health consciousness is getting a norm in day-to-
day life, demand and supply gaps are getting widen. Due to decreasing trend in available farmland many
people are opting storey farming or terrace farming. Matching the buyers to sellers is what we are trying to
do. Government initiative like E-NAM (National Agriculture Market) and its subsidiary Kisan Rath is
trying to connect the various stakeholders. Our initiative is to connect farmers with small produce, terrace
farmers and people having extra produce beyond their family consumption.

Our product will be basically a service where we are collecting the small produce from farmers, gardeners,
terrace farmers. Looking to the trend of organic food demand and lesser availability of farming land due to
urbanisation terrace and storey farming is going to be a norm. We will be empowering these small producers
to connect with the buyers.

Process for customer goes like this.

Small produce ready to supply produce deposit at any time to the nearest Kiosk
Weighing Quality standard check via spectrometer pricing update to
mobile app.

Pricing list will be available on App so that industry pricing can be compared by customer. Total price after
deposit will be communicated to the customer.

Post Customer Engagement: Supply chain is managed as such to cater to restaurant who are in consistent
need of fresh fruits and vegetables, fresh food retailers like Reliance fresh, amazon fresh and other retail
stores.

App is having a feature of wallet where money can be stores or transferred to the account. Regular update of
prices, article on seasonal produce, tips, and tricks for better produce, providing esteemed farmers guidance
with expert knowledge, guidance to safeguard the produce for better value realisation.
USP

1) The tradition of the supply chain industry has been revolving around the solving of cold storage
problems for the farmers which is costly and not time efficient.

2) We are making the process easier and convenient for the small farmers to manage their produce
through the facilitation of dark stores which would be in the form of kiosks.

3) These kiosks would be in turn supplying to the mandis for further trade, earlier these farmers had to
travel to keep their produce in these storages, which in turn results in high transportation costs and
damage while transport.

4) With our app the farmers don’t even need to type their details, they can simply record a video and
send it to us and our app will record the details and continue the process.

5) We not only procure from farmers but also from individual terrace farmers, step farmers, farming
societies, unions, etc.

6) With the increase in the flat system and a hobby of framing among the individuals, the need for an
aggregator which connects them with the market makes a unique preposition.

7) Our system also includes hydroponic farming which is a fast-growing industry in the farming
domain.

8) The main identifier for us is that we are giving a platform to not only the farmers but also to the
people who are interested in farming and producing organic products, thus we are facilitating the
agricultural hobbyists to leverage on their skills and to earn a substantial revenue.

9) We also provide farming consultancy services to the farmers and the individuals who have little to no
knowledge about the developments in the organic farming industry.
Industry Analysis:

According to Inc42, the agricultural sector is expected to grow to US $24 billion dollar by 2025, in “The
India organic food market is expected to exhibit a CAGR of 25.25% during 2022-2027”- Source:
Imarcgroup

1. Robust Demand: Growing demand is being driven due to increasing health-conscious population in
Urban and sub-urban cities. There is also a large demand for quality organic food in international
markets as well enabling greater export of the same.

2. Opportunities: Demand for Organic food and allied services like quality checking, cold storages and
warehousing is seeing higher growth in India. Many big retail partners are looking for streamlined
supply of organic food.

3. Policy support: The Indian government has recently announced a PLI (Production Linked incentive)
scheme for food processing sector with benefits upwards about 10000+ Cr over a period of 6 years

4. Advantage: Diverse climatic condition in India which encourages cultivation of different crops.

Indian organic food market is highly fragmented, which is being competed by several small players

The key competitors for organic food market are namely Suminter India Organics, Nature bio foods limited,
organic india pvt limited etc.
Target Customers and Market

Our target customers are the farmers doing organic farming looking for the resources and guidance to sell
their production. Farmers find it difficult to sell organic products produced in small quantities to the
markets. So, we are focussing to provide resources which help them to transfer and sell their production
effectively without any damage.

Our next target customers are the individuals who produce fruits and vegetables in kitchen gardens and are
looking to sell their production. The kitchen garden products are healthier and helps many city dwellers to
produce their own food. We are targeting those who want to sell their production and are in search of
guidance for the same.

Further, we will be focussing on the housing societies which grow fruits and vegetables in the small spaces
in the society together.

In addition to the above, we are aiming to educate and train the people who want to learn organic farming
through our farming consultancy services.

Our other target customers are the retailers like amazon fresh, reliance fresh, big baskets which stores and
sell fresh fruits and vegetables. We will be supplying the products from farmers and other growers to these
retailers.
Executive Summary:

“Organic Framing” is the buzzword in health-conscious community today. Industry experts are forecasting a
CGAR of 25.25% for the year 2022-27. Increasing disposable income, increase of Infectious disease, and
chronic effect of fertilizers-based vegetables, Policy support (schemes like PN Krishi Sinchayi Yojna, digital
Agriculture mission & PM Fasal Bima Yojna), diverse climatic conditions are the key contributor of such
exponential growth. India has highest no of organic farmers than any other country. An era of health-
conscious community, undervalued farmers, hybrid farming model like vertical farming etc it is very
challenging to meet the expectation and connect all stakeholders. Few governments venture like e-NAM and
its subsidiary Kisan Rath are providing logistics support to small farmers to some extent. There are few
pains points which government is not able to tackle. We at FARMA are providing a solution to this problem
of demand supply mismatch, value creation, ease of doing business. We will be working with
vegetables/fruit producers and supermarket retail chain like Amazon Fresh, Reliance fresh, Big Basket daily
etc, restaurant who prefer fresh produce or the individual needs organic produce. We stand out among other
competitors as most of them are Supply chain tech ventures focusing on logistics part. We are developing an
ecosystem where we are incorporating small household along with small farmers and consumers. We are
educating producers and consumers by providing subject matter expert, frequent guidance, and
recommendations. This venture will be capital intensive at the first because of the infrastructure
development. But if we see the growth of organic sector demand the model is scalable and will turn into the
profit.
INVESTMENT PLAN