A Study about scope and opportunities of Agri-business in India

1. CASE STUDY ON AGRIBUSINESS IN
INDIA
Subject: Understanding Behavior
Professor: Anand Das Gupta
Group: IX
Group Members:
Alive Jenny Valet- 45
Sharath S Kumar- 34
Shekhar Jyoti Das- 35
Sirajuddin- 37
Sachith-03

2. Agribusiness ???
 About 75% people are living in rural areas and are
still dependent on Agriculture. About 43% of India’s
geographical area is used for agricultural activity.
 Agriculture continues to play a major role in Indian
Economy

3. INDIAN AGRICULTURE
 We are a large producer and consumer of
food
 All 15 major climates of the World are
present in
 India
 52% of total land is cultivable as against
world
 average of 11%
 India is a multi crop country unlike major
ag
 Economies Fruits and Vegetables
 Meat and Poultry
 • 53% of world’s buffalo
 • Fifth in world egg production
 Cereals
 • Largest Producer of Pulses
 • Second largest producer of Food grains
 • Second largest producer of Sugarcane

4. IndianAgriculture
 Provides about 65% of the
livelihood
 Accounts for 2.7% of total
GDP
 Contributes 21% of Total
Exports, and Supplies Raw
materials to Industries
 Growth Rate in production -
5.7%
 Food grains production –
211.17 mt

5.  In developing countries like India, Agribusiness is
the science and practice of activities, with backward
and forward linkages, related to production,
processing, marketing, trade, and distribution of raw
and processed food, feed and fiber, including supply
of inputs and services for these activities.
AG. INPUT
SUB-SYSTEM
AG. PRODUCTION
SUB-SYSTEM
AG. MARKETING &
PROCESSING SUB-
SYSTEM

6. AGRIBUSINESS FRONTAL CHALLENGES
Some of the inherent conflicts in the agricultural sector. Some of
the conflicts that need to be resolved are as follows:
1. Lack of quality planting material
2. Reducing post-harvest losses of perishable
Commodities.
3. Lack of availability of trained manpower
4. Creation of an effective supply chain by
empowering producers

7. Agribusiness Way Out
• Private Retail Industry whose entry has
changed Agriculture into Agribusiness.
•The Government of India should change the
Foreign Direct Investment (FDI) rules in food
processing, in a bid to permit e-commerce
companies and foreign retailers to sell Made in
India consumer products.

8. •The Government of India aims to boost growth in the
food processing sector by leveraging reforms such as
100 per cent Foreign direct investment (FDI) in
marketing of food products and various incentives at
central and state government level along with a
strong focus on supply chain infrastructure.
• More subsidies for the progressive farmers for
achieving more in terms of Agribusiness point of view

9. • Several monetary concessions have been announced
by the central and state governments.These include
100 per cent excise exemption for 10 years, 100 per
cent income tax exemption for five years (later
withdrawal in phases), and capital investment subsidy
of 15 per cent (upto Rs 30 lakh).
• Keeping in view the growing importance of agri-
exports in improving farmers’ incomes, the
government has set up several agri export zones
(AEZs).

10. Way Forward
A few potential ways to address the:
 Developmental programmes on horticulture
are being continued during Twelfth Five Year
Plan.
 Production and supply of quality planting
material continue to be a high priority area for
horticulture development
 The establishment of crop based Centres of
Excellence will be encouraged in each state,
so that they can serve as hubs for the supply
of planting material and dissemination of
technology to farmers.
 Creation of infrastructure for post-harvest
management and value addition also continue
to be a high priority area with a focus on
creating cold chain networks.

11.  Setting up of market infrastructure has been
linked with reforms in the APMC Act, for
permitting direct marketing of horticulture
produce.

12. Thank You