Business opportunities in agri-processing

1. Exploring Opportunities and Harnessing the
Potential of Food Processing sector in
Western Madhya Pradesh

2. ► Madhya Pradesh - Snapshot
► Western Madhya Pradesh - Snapshot
► Robust Infrastructure Facilities
► Investment Opportunities
► Advantage
► Government’s Proactiveness
► Key Players
Table of Contents

3. Success Story – Ratlam, Ujjain Division
Farmer's Name : Balmukund Patidar
Designation : Managing Director
Company Name : Maa Chamunda Krishak Producer Company Limited
Number of Farmers : 1080 Farmers & 54 Farmers Interest Group from 8 villages
Address : Village- Kushalgarh, Tehsil – Piploda,
District – Ratlam, MP
Contact Details : +91- 9893081684
Email : malwafresh@gmail.com
Crop Details
Crop Name Garlic
Variety G-2 (Ooty)
Soil Type Light, Black
Type of Irrigation Drip
Month / Year of Crop Grown Oct. 2013
Area under Crop (ha) with Micro Irrigation 4.00
Yield of Main Crop (Quintal/ha) 140 Quintal / ha
Pricing of Main Crop (Quintal/ha) ₹ 12500 / Quintal
Gross Expenditure on Production (Rs.) ₹ 16.50 Lakh
Gross Revenue (Rs.) ₹ 70.00 Lakh

4. Success Story – Agar, Ujjain Division
Farmer's Name : Gopal Patidar
Occupation : Organic Farming
Address : Village- Kushalgarh, Tehsil – Piploda,
District – Ratlam, MP
Contact Details : +91- 9893081684
Email : malwafresh@gmail.com

5. Success Story – Ratlam, Ujjain
Ratlam Adivasi Kisan Producer Company
With the help of Farmers Producer Organization, farmers are supplying onion from farm gate to metro
cities like Delhi based retail chain Safal, DMS and Horeca and have realized 20-30 % better price than
local market. This also helped farmers to save their money which was spend on transportation, labour
and time. Due to this, local vendors are also compelled to increase their prices for purchase of onion
from villages. This has provided power to the farmers as they have now various options inorder to sale
their produce. Around 16 trucks have been send through FPO’s in this region to major cities.

6. With highest growth in food grains in India, MP has received 'Krishi
Karman' award for three consecutive years (FY 2012, FY 2013 &
FY 2014)

7. Madhya Pradesh - Snapshot
Agriculture
► In 2013–14, agriculture sector in MP grew by
24.99%
► In the year 2013-14, income from GDP rose to
INR 69249.89 crore
► Total area under production in the state is
237.28 lakh hectares and the total agricultural
produce is 375.09 lakh million tones
► With 5 crop zones, 11 agro-climatic zones and
4 soil types the state is favorable for agri-
production
► The state has a robust support system of 4500
primary agriculture co-operative societies and
240 agriculture Mandi’s

8. Madhya Pradesh - Snapshot
Horticulture
► Horticulture is one of the sunrise sectors in
Madhya Pradesh growing with an increasing
area under crops such as fruits, vegetables
and spices in the recent past
► The area of production under fruits,
vegetables, species, flower and medicinal
plants are 22%, 64%, 6%, 2% and 6%
respectively.
► The production of horticultural crops grew at
a CAGR of 39% during the period from
2008–09 to 2013–14

9. Madhya Pradesh - Snapshot
Livestock
► MP is the 6th largest producer of milk in India
producing 8838 thousand tonnes with a
growth rate 8.6% over the year.
► The state produces 8712.1 lakh eggs and
42.9 thousand tonnes of meat with a growth
rate of 4% and 11.2% respectively.
► Over the last few years, consumption of Milk
and milk products has increased by around
34.4%, eggs by around 60.9%, poultry meat
by around 153.3% and meat other than
poultry by around 50.3% over last decade.

10. Madhya Pradesh - Snapshot
Food Processing
► This sector forms an average of 32% share
of the total industrial output value in Madhya
Pradesh
► There are about 22 leading processing units
in the state. In addition to this, there are over
500 units in the SME sector of 250-300
potato processing units in Indore and
adjoining districts and 125-150 flower
processing units (Gulkhand, Rose water)
located in Ujjain. There is potential for
increase in the number of processing units
especially for Aonla, Garlic and Coriander.

11. Madhya Pradesh - Snapshot
Source: National Horticulture Board, Horticulture; Ministry of Agriculture and Department of Animal Husbandry, Dairying and Fisheries, National Dairy Development Board
MP’s rank in India in term of produce
Rank 1 Gram, guava, gooseberry, garlic, marigold, aromatic, soya bean, total pulses and total
oilseeds
Rank 2 Onion, peas, mandarin (mandarin, kinnow, orange), coriander and total citrus
Rank 3 Aonla, Jowar, tur, Lentil , muskmelon, bottle gourd, pumpkin, tomato, custard apple, sweet
orange (Malta, Mosambi) , rose, wheat, rapeseed & mustard, total food grains, others
vegetables, other flowers and other fruits
Rank 4 Cauliflower, potato, ber, papaya, chilies, total spices and total flowers
Rank 5 Lime/lemon, and fish, bitter gourd, pointed gourd, sweet potato, jackfruit, pomegranate, tube
rose and total vegetables, other fruits,
Rank 6 Milk, coarse cereals, Bajara, groundnut and cotton, brinjal and total fruits
Rank 7 Papaya, cabbage, cucumber, watermelon, banana and grapes
Rank 8 Maize, ladyfinger, apple, bael and passion fruit
Rank 10 Carrot and peach

12. Western Madhya Pradesh - Snapshot
4
2
3
1
Delhi
Mumbai
Garlic
Coriander
Chilli
Orange
Aonla
Banana
Mango
Flowers
Pea
Tomato
Onion
Gram
Wheat
Rice
Papaya
DMIC Investment Nodes
 Pithampur – Dhar - Mhow
 Ratlam- Nagda
Investment Regions
1
2
Industrial Area
 Shajapur- Dewas
 Neemuch - Nayagaon
3
4
The Delhi-Mumbai Industrial Corridor (DMIC) is a mega infra-structure project of USD 90
billion (INR 5,400 billion) with the financial & technical aids from Japan. Four investment
nodes have been identified in Madhya Pradesh under DMIC project
Horticulture hub Area in Acres
Proposed
Burhanpur 52.52
Shajapur 100
Ujjain 29.5 – 44.5
Mandsaur
69 Acre & 237 Acres
(2 locations)

13. Western Madhya Pradesh - Snapshot
Horticulture is a rising sector in Madhya Pradesh. In Ujjain Division, area under
horticultural crops are 440887.66 hectare which is 30% of total area in MP
S.No Crop Area in Hectare
1 Fruits 58910.81
2 Vegetables 129492.25
3 Spices 164514.45
4 Medicinal Plants 54375
5 Flowers 6595.15
Total 440887.66
14%
31%
40%
13%
2%
Area in Ha – Ujjain Division
Fruits Vegetables Spices Medicinal Plants Flowers

14. Areas of
Focus
Specific
Opportunity
Location
Area
in
acres
Estimated
Project Value
in ₹ Lakhs
Proposed Activity
Processing
Capacity
Enhancement
Integrated fruits
and vegetable
processing facility
Ratlam
Mandsaur
Ujjain
Shajapur
~ 7 3000
►Processing of Tomato,
Garlic, Local Potato,
Onion, Orange, Wheat,
Grapes, Pomegranate,
Soyabean
Vegetable
dehydration
facility
Neemuch ~ 6 1960
►Processing of Garlic,
Onion, Tomato, Isabgol
Modern
slaughterhouses
Indore
and
Bhopal
~ 2
per
facility
430
►Processing of Goat,
Sheep, Buffalo
Investment Opportunity

15. Areas of Focus
Specific
Opportunity
Location
Area in
acres
Estimated
Project Value
in ₹ Lakhs
Proposed Activity
Marketing
Infrastructure
Development
Development/
up-gradation of
marketing
facilities of the
APMC’s
Shujalpur 19 968
►Marketing Infrastructure
Development
Farmer
Linkages and
Empowerment
Strengthening of
FPOs by
facilitating the
formation, market
linkages and
capacity building
Ujjain,
Ratlam,
Neemuch
,
Shajapur,
Mandsaur
- 100
►Institutional Linkages
►Value addition
►Technology upgradation
►Branding & Marketing
►E commerce
Human
Resource
Development
Food Technology
institute
Indore 50 4756
►Human Resource
Development
►Employment generation
►Entrepreneur
Development
Investment Opportunity

16. Well connected to key cities & consumer markets
► DMIC & Other 18 National
Highways of 5,000 km cross
MP
► State Highways of 10000 km
► 20000 Km of Major District
Roads
Road connectivity
► 1-2 Hour away from major
Indian Cities
► Direct flights to Delhi, Mumbai,
Kolkata, Chennai, Bangalore,
Hyderabad & Pune
Air connectivity
Madhya Pradesh know as the heart of India is located at the centre of the country. The
infrastructure network of state plays an important role for the production and exchange of
goods and services in the country.
► 425 trains pass through
Madhya Pradesh daily
Rail connectivity
► One of the 5 Inland
Container Depots at
Ratlam with Malanpur,
Mandideep, Pithampur,
Pawarkheda
► These provide
convenient access to
major ports such as
Kandla Port and
Jawarhalal Nehru Port
Connectivity to ports
Advantage

17. Government Proactiveness - Policy
Agribusiness & Food
Processing Policy 2012
► To minimize loss
► To add value at the Farm Gate
► To give the benefit of Policy for the farm level activity
► Land allotment at a concessional rate of 25% for MSME units. Stamp Duty and
registration charges exemption of ₹1 per ₹ 1,000
► Reimbursement at the rate of 15% to a maximum of ₹ 5 crore for the expenditure
incurred on establishment of food park /mega food park/ horticulture hub
► Fruits, vegetables, flowers and other notified agriculture produce purchased in
any market area of the state for processing/ production, is exempt from payment of
mandi fee
► Subsidized power rates at ₹ 1.50 per unit subject to a ceiling of 25% of the electric
units consumed to Cold Storage, Cold Chamber, Ripening Chamber and
Individual Quick Freezing Enterprise for 5 years

18. Government Proactiveness - Policy
Other features of the Policy
►Concessional rates of mandi fee for Banana and Orange produced in the State
►Establishment of value adding centers for sorting, packaging, storage and
preservation, processing and transportation
►Foods and vegetables used for processing by a unit in Madhya Pradesh
exempted from Mandi Fees
►Agri export zones for Potatoes, onion and garlic (8 districts) and Seed spices –
coriander and fenugreek (7 districts)
►APMC act amended to exempt trading of fruits and vegetables (as per the
mentioned list) outside the market yard from trading license and Mandi Fees

19. Government Proactiveness
Promoting Farmers Producer Organization
► Collectivization of farmers, especially small and
marginal farmers, into Farmers Producer
Organizations to address the challenges of
agriculture and allied sectors.
► The registered farmers at the village level
grouped into Farmers Interest Groups (FIGs)
which comprises of 15 – 20 members.
► All FIGs in the district level to be federated into
Farmers’ Producer Organization (FPO) registered
as company following provisions of Companies
Act, 1956.
► FPO will work towards providing services such as
procurement services (in bulk volume), marketing
services, technical assistance, value addition and
establishment of infrastructure.
► Government as facilitator is providing assistance
to the FPOs for enhancing production through
ensuring timely supply of quality planting material.
► FPO member farmers are trained on quality,
marketing and management aspects.
MD & Board of
Directors
FIG Leaders
Farmers Interest
Group (FIG)
Registered
Farmers
Service Providers

20. FPO Working Model – Through Service Provider
Farmers Service Provider
Service Request
► Marketing
► Input Supply
► Training
Service Provider
placed the order
to FPO
FPO Office
Request FulfilledRequest
Fulfilled
Commission Paid Monthly Fees
Paid
Bulk Buyer
Input Supplier
Government
Institutions
Local Educated Youth
Farmers Service Provider FPO Buyer Input Supplier Government Institutions
Home Service
Capacity Build
Earning at home
place
Management Customized
Service
Huge Farmer
Base
Programme
Implementation
Easy access to
farmers
Benefits
Profit sharing in form of Bonus
Overall Value Chain Development with Profit Maximization of farmers, Ease of doing business for Buyers and
Input Suppliers, Easy monitoring and effective programme implementation for Government and strong
customer base for Banks along with Rural Employment

21. www.malwafresh.com
Towards sustainable and profitable farming

22. Services
► Online Registration
► Stakeholders Profile
► Socio-economic Profile
► Crop Profile
► FPO Profile
► Key Performance Indicators
► Record Farmers Training
► Data Storage with Analysis
► Package of Practices
► Integrated Administrative
Operations
► Online Ordering & Marketing
Services
www.malwafresh.com - Features

23. Registration of Stakeholders
Customised form to register Stakeholders like Farmers, Market Aggregators, Input Suppliers, Production & marketing,
etc.
Farmers
Crop
Weather
Service Provider Government
Institutions
Input Supplier
Processors
Retailer/ Wholesaler

25. Placing an Order / Request - Buyer
www. malwafresh.com
Placing an order in advance
with details on Crop, Quality,
etc
Bulk Buyer
Service ProviderFPO Office
Bank
Warehouse
Packing & Branding
Farming
Package of
Practice

27. Processing Unit in Ujjain Division
S.N District No. of Companies Major Activity Undertaken
1 Ujjain 4
► Processing of Aonla into Murabba, Tamarind into Pulp
► Seed production of Potato & Pomegranate
2 Dewas 1 ► Processing of Aonla juice
3 Shajapur 1 ► Processing of Chilies, Turmeric & Coriander into powder
4 Ratlam 4
► Processing of Mango into pickle, Grape wine, Aonla into
Murabba, Spices like Chilies, Turmeric & Coriander into
powder
5 Neemuch 21
► Processing of Spices like Chilies, Turmeric & Coriander
into powder, Potato Chips, Aonla flakes, Aswagandha
Powder, Isabgol powder

28. Key Players in MP
The Growing Market…..

29. Dr Ravindra Pastor
Commissioner
Ujjain Division, Ujjain
Government of Madhya Pradesh
commissioner.ujn@gmail.com
>
For any query please write us at: malwafresh@gmail.com
Contact – Vikash Pandey (08821078627)

30. Thank You