Preparation of Vision Document for Food Processing Sector ...

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Confidential

September 2014

Preparation of Vision Document for Food Processing Sector in Madhya Pradesh Department of Horticulture and Farm Forestry Govt of Madhya Pradesh

Vision Document

September 4 2014

To

Shri Anurag Shrivastava

Director cum Commissioner

Department of Horticulture and Farm Forestry

4th Floor Vindhyachal Bhawan

Bhopal

Subject Preparation of Vision Document for Food Processing in Madhya Pradesh - Department

of Horticulture and Farm Forestry Govt of Madhya Pradesh

Dear Sir

In accordance with your instructions as confirmed in our engagement letter dated 29 January 2013 we are

pleased to submit final Vision Document for the Food Processing Sector in the state of Madhya Pradesh as part

of the deliverable for the above consultancy services This Report constitutes the deliverable indicated in step 4

of the project milestone of the assignment as indicated in the work plan contained in our inception report

We request you not to make copies of this report available to other persons except as described in the Letter of

Engagement and Terms of Business Where provision has been made copies are subject to the conditions

described therein We will not accept any duty of care (whether in contract tort (including negligence) or

otherwise) to any person other than you except under the arrangements described in the Letter of Engagement

and Terms of Business

If you require any clarification or further information please do not hesitate to contact Ajay Kakra on +91-

98713 55503 or email ajaykakrainpwccom

Yours sincerely

Authorised Signatory

Sambitosh Mohapatra

Executive Director

PricewaterhouseCoopers Private Limited Registered office - Plot Y-14 Block EP Sector V Salt Lake Kolkata 700 091 Regional Office - 17th Floor Building 10C DLF Cybercity Phase-II Gurgaon-122002 India

Corporate Identity Number or CIN U74140WB1983PTC036093 Telephone (0124) 3306000 Facsimile (0124) 3306999 wwwpwcin

Preparation of Vision Document for Food Processing Sector in Madhya Pradesh - Department of Horticulture and Farm Forestry Govt of Madhya Pradesh

PwC 4

Table of Contents

Table of contents

Executive Summary 9

1 Introduction 17

2 Situational Analysis 19

21 Demand-Supply Scenario 20

22 Potential 24

221 Theoretical Processing Potential 24

222 Prioritization of Commodities Crops Sub-sector 27

23 Future processing requirement 34

231 Current level of processing 34

232 Goals targets for future 36

3 Vision 41

31 Vision Statement 41

32 Mission Statement 41

33 Focus areas 41

4 Strategy and Plan of Action

41 Gap analysis of current issues 43

411 Policy and Regulatory Issues 46

412 Infrastructure Issues 66

413 Service Issues 68

42 Areas of Intervention and Suggestions 70

43 Implementation Road Map 72

5 Proposed Projects

51 Project Prioritization Model 79

511 Based on focus areas (key crops and livestock produce) 80

512 Based on (aimed at) addressing constraints and barriers 81

513 Project Evaluation Matrix 84

52 Key Proposed Projects

6 Brief Project Profiles

61 Development of pulses processing cluster in Sagar district 87

611 Context 87

612 Project 87

613 Cost Estimates 91

614 Annual Revenue Streams and Sources Project Benefits 92

615 Implementation Structure 92

43

79

86

87

92

Table of Contents

616 Risk

62 Development of wheat processing cluster at Sehore 95

621 Context 95

622 Project 95




626 Risk 100

63 Development of paddy processing cluster at Satna 101

631 Context 101

632 Project 101




636 Risk 106

64 Integrated fruits and vegetable processing facility at Ratlam on PPP model 107

641 Context 107

642 Project 107


644 Annual Revenue Streams and Sources 114


646 Risk 115

65 Vegetable dehydration facility at Neemuch on PPP model 117

651 Context 117

652 Project 117




656 Risk 123

66 Establishment of modern slaughterhouses on PPP model 125

661 Context 125

662 Project 125




666 Risk 129

67 Development up-gradation of marketing facilities of the APMCrsquos 131

671 Context 131

672 Project 131

Table of Contents



675 Project Benefits 135

676 Indicative Project Profile for a Model APMC 135

68 Formation of commercial poultry development societies co-operatives 141

681 Context 141

682 Project 141


684 Project Benefits Annual Revenue Streams and Sources 145


686 Risk 146

69 Strengthening of FPOs by facilitating the formation market linkages and capacity building 147

691 Context 147

692 Project 147




696 Risk 150

610 Establishment of Food Technology institute at Indore 151

6101 Context 151

6102 Project 151




6106 Risk 154

Table of Contents

Executive Summary

Executive Summary

The progress of agriculture sector in Madhya Pradesh in last couple of years has been impressive where growth

rate was about 18 and contribution of agriculture sector was about 198 in the state economy The state is

fourth largest producer of agricultural produce in India Madhya Pradesh is among the leading producers of

oilseeds pulses spices and horticultural produce In addition the state is rich in livestock resources The agro-

climatic attributes and variety of soils for agriculture production in the state makes it a potential agricultural

production hub of the country This diverse basket of agricultural raw material base and agro-climatic

attributes provides the requisite platform for the state to leverage upon for development of a vibrant food

processing industry

The food processing sector can become important link between two main sectors of the state economy

agriculture and industry This sector can address the major challenges in agriculture such as post-harvest

losses lack of marketing options amp low income of farmers along with providing employment opportunities to

rural population With a view to leverage this potential to augur inclusive growth the Government of Madhya

Pradesh decided to develop a vision document for development of food processing sector in the state

The primary objective of promoting food processing sector is to achieve the overall inclusive growth through

Impetus to rural and thus to state economy

Better benefits to farmers through better demand and price to their produce

Creating linkages between farmers and different stakeholders of value chain

Attracting private sector investment in the state

In order to achieve these objectives and desired outcomes it is important to optimize the use of available

resources and thus necessitates answering the basic questions such as

What to process Focus Crops Commodities and Livestock

Produce

How much and when to be processed Year wise quantity of commodities produce to

be processed

Where to process Suitable Places for development of processing

facilities

While developing a vision or roadmap for development of food processing sector in the state and action plan

thereof the efforts were made to get the answers to these questions

Prioritization of crops commodities and livestock produce

The screening of the major commodities crops sub-sectors in the food processing sector was done based on

three major parameters viz

1 Importance to Economy (state)


PwC 9

Executive Summary

2 Attractiveness of the CommodityCropSub-sector for Undertaking Development

3 Competitive Advantage offered by the CommodityCropSub-sector

For each of the above parameters key indicators were carefully identified which enabled objective screening of

the major cropssubsectors These parameters and indicators assisted in taking a holistic screening of the major

cropssubsectors for prioritizing focus in vision development for food processing in Madhya Pradesh It is

imperative that the development of the food processing sector will need active participation and partnership

between public and the private sector in sub-sectors of food processing having supply strength ease of

operations and consumer demand Therefore the screening parameters and associated indicators are taken into

account considering the perspective amp areas of importance for the public sector (such as importance to economy

indicators and potential for employment generation) and the private sector (such as attractiveness and

competitive advantage indicators) besides looking at consumer demandacceptance

The major crops sub-sectors selected for review and prioritization The overall ranking prioritization of

crops commodities sub-sectors based on above criteria are as follows

Major Commodities Crops Group Category Rank

Gram Pulses 1

Wheat Cereals 2

Milk Livestock Produce 3

Soyabean Oilseeds 4

Rice Cereals 5

Orange Fruits 6

Onion Vegetables

7

Tomato 8

Garlic Spices 9

Green Peas Vegetables 10

Papaya Fruits 11

Poultry Meat Livestock Produce 12

Banana Fruits 13

Potato Vegetables

14

Mustard 15

Meat other than Poultry Livestock Produce 16

Pigeon Pea (Tur) Pulses 17

Maize Cereals 18

Chillies Spices

19

Coriander 20

Guava Fruits

21

Mango 22

Eggs Livestock Produce 23

Sorghum Cereals 24

Lentil (Masoor) Pulses 25

Groundnut Oilseeds 26


PwC 10

--

-

-

Executive Summary

Future processing requirement

The processing requirement by 2023-24 across commodities or livestock produce depends on

Increase in Production Level

Increase in Consumption Level (both Processed and Unprocessed)

Current Processing Capacity

In order to calculate future processing requirement the growth in production and per capita consumption

during last decade (from 2009-10 to 2011-12) was considered The cumulative current amp future (2023-24)

processing capacity requirement in Madhya Pradesh are as follows

Sr No

Group Sub

Sector

Commodity Produce

Current Processing

Capacity (2011 12) (MT)

Estimated Processing Capacity

Requirement by 2023 24 (MT)

Min Processing Capacity Addition

Required by 2023 24 over Current

Capacity (MT)

1

Cereals

Rice 410340 777972 367632

2 Wheat 3304922 4456812 1151890

3 Maize 46400 -- - -- -

4 Sorghum -- - -- - -- -

5

Oilseeds

Soyabean 8504654 880753 -- -

6 Mustard 310800 462037 151237

7 Groundnut -- - 5001 5001

8

Livestock Produce

Milk 968543 1127365 158821

9 Eggs (Nos) -- - -- - -- -

10 Poultry Meat -- - -- - -- -

11 Other Meat -- - -- - -- -

12 Fish -- - -- - -- -

13

Pulses

Gram 389638 451144 61506

14 Pigeon Pea (Tur)

30559 317316 286757

15 Lentil (Masoor) 20091 41170 21079

16

Fruits

Mango 7858 28565 20707

17 Guava 1045 7206 6161

18 Orange 39 7206 7167

19 Papaya 68 68 -- -

20 Banana 182 182 -- -

21

Vegetables

Green Peas 2390 2390 -- -

22 Tomato 8002 42231 34229

23 Onion 6417 6417 -- -

24 Potato 27213 667560 640347


PwC 11

--

-

-

Executive Summary

Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

25 Chillies 1069 1069 -- -

26 Spices Garlic 6417 6417 -- -

27 Coriander 3208 3208 -- -

due to unavailability of processed consumption data as present processing capacity is more than consumption in 2023-24

Gap analysis of the current issues existing across agriculture value chain

The gap analysis and identification of current issues in food processing sector was done by both primary survey

and secondary research methods The primary survey involved consultation with stakeholders and secondary

survey involved comparing and benchmarking in certain area such as policies taxation and other initiatives

across leading states of the country

Based on diagnostic report the identified gaps are categorized into following heads

Policy and Regulatory

Infrastructure

Services

The issues and concerns raised by relevant stakeholders were categorized under above mentioned heads Most

of them were policy and regulation related issues followed by infrastructure and marketing of agriculture

produce The prevalent issues across agriculture value chain in the state and possible solutions thereof are as

follows

Sr No

Area of Intervention

Interventions Required

Suggestions

1 Policy and Regulatory

Marketing Reforms

Increasing Farmer-Market Linkages

Increasing Processing Activity

Rationalized Taxation

Industrial Policy Changes

Improving Investment Facilitation Governance

Rationalize market fee rates at par with competing states atleast for some commodities such as soyabean wheat rice (detailed study is required)

Abolish levy of market fee on direct marketing of produce to promote farmer-processor linkages

Abolish levy of market fee on contract farming transactions to promote farmer-processor linkages

Abolish levy of market fee on export of commodities (especially wheat rice gram)

Promote establishment of consumer-farmer markets for direct marketing of perishables (fruit and vegetables)

Prepare model contract farming agreements which would become guidelines for farmers and contractor to operate smoothly

Empower farmer producer organizations by promoting formation financial assistance and capacity building to strengthen farmer to market linkages without any third party intervention

Promote formation of poultry development societies co-operatives

Rationalize entry tax rates for some of the categories eg soya based processed products pulses and pulses products wheat products processed products from rice processed products from fruits and vegetables milk


PwC 12

Executive Summary

Sr No



Suggestions

products spices

Categorize some of the processed food products in VAT schedules in order to make favourable taxation environment for food industry eg fruit and vegetable products spices milk products value added products from soyabean (other than oil and DOC) wheat based tertiary processed products

Exclude soyabean from biodiversity act

Exclude slaughterhouses and meat based processing industries from ineligible industry list of Industrial Promotion Policy

Promote Public-Private Partnership (PPP) mode in following o Fruit and Vegetable Processing o Commercial Poultry Development o Modern Slaughterhouses

Establish strict timelines and actions regarding usage of land allotted for industries

Develop single window clearance system for status tracking and monitoring mechanisms to measure progress with defined accountability and time bound service eg Maha eBiz an online single window application scrutiny and approval portal of Maharashtra Industrial Development Corporation Single window Clearance of Gujarat industrial development Corporation (GIDC)

Reduce simplify and digitize the procedures to bring in greater speed and responsiveness in application scrutiny and approval to set-up an industry in the state

2 Infrastructure

Development of enabling infrastructur e to increase processing activities

Undertake regulated market infrastructure upgradation project where basic infrastructure grading sorting and other facilities would be created andor upgraded

Promote Public-Private Partnership (PPP) in agricultural markets with respect to financing construction operation and management

Undertake development of cluster based processing of specific produce o Gram and other pulses o Wheat o Paddy Rice

Promote establishment of research and development and quality and testing laboratories

Develop feeder roads in rural areas connecting it to major mandi locations

3 Services

Marketing Support

Extension Services

Skill Development

Promote the branding of commodities or produce with high competitive advantage such as wheat basmati rice gram (dollar chana) orange guava aonla pea and garlic eg brands developed by Ministry of Agriculture Govt of Malaysia such as Malaysiarsquos Best Malaysian Farm Accreditation Scheme (SALM) Malaysian Organic Scheme (SOM) etc

Promote Public-Private Partnership (PPP) in extension services

Establish institute imparting education and research in food technology

Introduce skill development courses


PwC 13

Executive Summary

The clarity on what to process (prioritization of crops) how much amp when to be processed (future processing

requirement) along with the possible solutions for the current issues concerns across value chain formed a

basis to set the future processing targets and vision for the next 10 years

Vision Statement

To become favourable and leading food processing destination in the country and to increase agri-

business activity in the state by increasing the level of processing of

cereals and pulses from 20 to 25

horticultural produce (fruits vegetables and spices) from 07 to 2 and

livestock produce from 12 to 24

by 2024

Mission Statement

Tap production strength and locational advantage with an entrepreneurial touch for better and sustainable

agricultural production and processing

Focus Areas

To accomplish the vision and the mission of the food processing sector in the State highest priority is given to

farmers and processors and entire strategy is based on lsquofarmers and processorsrsquo

State government is determined to continuously strive hard to transform the existing food processing

environment into a vibrant food processing environment It would concentrate on the following key areas

Promote processing cluster formation to improve farmer income and processing capacity in the state

Promote private sector participation through development of processing facilities in PPP mode

Promote and assist formation of cooperatives and societies to increase aggregation of produce and

farmer income thereof

Promote development up-gradation of marketing infrastructure to assist in better price realization to

farmers and ensuring better raw material availability to processors

Address skill gaps through establishing education institutes imparting education and research and

enhance human resource befitting global competition

Key Proposed Projects to achieve the lsquoVision 2024rsquo

Based on focus areas and crops and project prioritization model key projects were short-listed for the

development of food processing sector in the state While short-listing them the conscious effort was made to

identify key areas functions components of value chain which needs to be developed that would have

maximum impact on the respective value chain sub-sector and ultimately food processing as a whole


PwC 14

Executive Summary

Accordingly the four themes which are most important to strengthen the sector as a whole in the state were

identified and ten key projects covering these themes were proposed These key projects are

1 Processing Capacity Enhancement

a Development of pulses processing cluster in Sagar district

b Development of wheat processing cluster in Sehore district

c Development of paddy processing cluster in Satna district

d Establishment of integrated fruit and vegetable processing facility at Ratlam on PPP model

e Establishment of vegetable dehydration facility at Neemuch on PPP model

f Establishment of modern slaughterhouses on PPP model

2 Marketing Infrastructure Development

a Development up-gradation of marketing facilities of the APMCrsquos

3 Farmer Linkages and Empowerment

a Formation of commercial poultry development societies co-operatives

b Strengthening of FPOs by facilitating the formation market linkages and capacity building

4 Human Resource Development

a Establishment of Food Technology institute at Indore


PwC 15

Executive Summary

This page is intentionally left blank


PwC 16

Introduction

1 Introduction

The food processing industry is a key driver to growth of the rural economies On one hand it facilitates in

increasing marketing options reducing post-harvest loss and increasing incomes at the farmer level while on

the other hand it has tremendous income and employment generation potential for the rural poor in general

and for women in particular Given this innate potential to auger inclusive growth the Government of Madhya

Pradesh is keenly focused on identifying opportunities strategies and critical actions that need to be taken to

accelerate investment in and growth of the food processing sector in the state

Madhya Pradesh is the fourth largest producer of agriculture produce in India The state ranks first in the

production of Soyabean Gram Oilseeds and Pulses It is one of the major producers of horticultural produce

such as Orange Onion Banana Potato and Tomato Madhya Pradesh is also among the leading producers of

spice crops such as Garlic Coriander and Chilies In addition the state has a wealth of livestock resources The

agro-climatic attributes and variety of soils for agriculture production in the state makes it a potential

agricultural production hub of the country This diverse basket of agricultural raw material base and agro-

climatic attributes provides the requisite platform for the state to leverage upon for the development of a

vibrant food processing sector

The agro-climatic attributes and variety of soils for agriculture production in the state makes it a potential

production hub This diverse basket of agricultural raw material base and agro-climatic attributes provides the

requisite platform for the state to leverage on for development of a vibrant food processing sector

In addition to the supply strengths Madhya Pradesh could become a preferred investment destination due to

its strategic central location availability of resources and infrastructure The USPrsquos of Madhya Pradesh are

Access to all major Indian states with logistical advantage

Separate waste land policy

Enough scope for enhancement of agricultural productivity by using hybrid seeds and modern farming

techniques

Given these strategic advantages the food processing sector is in its log phase of growth and development A

review of the current scenario of the sector in MP indicates that

Madhya Pradesh is among the leading producers of agricultural horticultural and livestock produce

Therefore it has abundant availability of raw material for processing

Level of processing is comparatively low due to lack of suitable infrastructure in terms of post-harvest

management storage warehousing and other physical infrastructure

The linkage between farmers and subsequent value chain actors such as processors retailers RampD

institutions is currently weak

However government initiatives to promote this sector have shown results over the last decade

The department is making conscious efforts to improve productivity and efficiency across the supply chain The

state government through different departments has various schemes aimed at improving efficiencies across

various supply chain actors with the objective of promoting the horticultural sector in specific and food

processing sector in general


PwC 17

Introduction

The State Government and the Horticulture Department is in the process of creating an environment for

sustainable development of the Food Processing Industry in the state Further they are open to new and

innovative ideas and are ready to pilot test these ideas for bringing about this change in a radical way

In this context the Department of Horticulture and Farm forestry has decided to prepare a vision document in

order to strategize the investment in food processing industry

Department has engaged PricewaterhouseCoopers Pvt Ltd (ldquoPwCrdquo) to provide consultancy services in the

preparation of ldquoVision document for Food Processing in Madhya Pradeshrdquo

The assignment involves a diagnostic review of the state in food processing sector and formulation of goals that

would translate into the vision for the development of food processing sector in Madhya Pradesh over the next

10 years It also includes designing a strategy and plan of action for the holistic development of food processing

sector

This vision document is the third and final deliverable of the assignment accorded to PwC It is based on

diagnostic review of food processing sector in the state where information was collected through intensive

primary surveys and stake holder consultation and supported by exhaustive desk research of various documents

available in the public domain and made available to PwC by the Department of Horticulture and Farm

Forestry

This report summarizes the strategy and action plan to develop food processing sector in the state with current

status future potential for processing across the sub-sectors along with their prioritization and prevalent issues

constraints faced by stakeholders and profiles of ten important projects which state government may

undertake to develop this sector


PwC 18

-

Situational Analysis

2 Situational Analysis

The food processing is a large sector which comprises of different sub0-sectors such as fruit and vegetables

cereals pulses oilseeds milk meat and poultry fish and consumer foods (including beverages) Therefore it

becomes important to study underlying factors across these sub-sectors Most of these factors across different

commodities or agricultural and livestock produce were studied during diagnostic review stage the emphasis

was given on projection of current scenario for future requirement

While doing so systematic analysis of important parameters was done and they were categorized in seven major

categories as shown below

Fruits Vegetables

amp Spices

Food Processing

Sector

Confectionary Pacakaged

Consumer Foods amp Beverages

Grains

Pulses amp Oilseeds

Dairy

Meat amp Poultry

Fish

bullDenotes supply side for the sector Production

bullDenotes demand side of the sector

Consumption

bullDenotes potential raw material availability and priority for Surplus Potential processing

bullDenotes current processing Current capacitry and level of processing Processing

bullDenotes requirement of processing to become self sufficient

Targets

In order to analyse current scenario of food processing sector following steps were followed which are

described in this section in detail

Demand Supply Scenario

Potential for Processing

Future Processing Requirement


PwC 19


21 Demand-Supply Scenario

It is important to consider the consumer preferences and the pattern of changes over the years while estimating

the potential for processing of a particular commodity The demand for a particular commodity is one of the

indicators of consumer preference and it depicts the possibility of growth of the activities such as production

and processing related to that particular commodity

Here the demand for a particular commodity is calculated by using recent consumption data compiled by

NSSO (National Sample Survey Organization) during 66th round in the year of 2009-10 The quantity wise per

capita consumption figures across the commodities are used The consumption of processed value added

products is converted into the equivalent basic constituent commodity in order to arrive at a raw material

consumption to facilitate the comparison with other parameters such as production which will further help to

estimate the potential Furthermore the consumption is categorized in the form of primary (or unprocessed)

secondary and tertiary processed products Table 1 depicts the consumption quantities of different

commodities

Table 1 Per capita consumption of different commodities in Madhya Pradesh

Commodity Category

Per capita consumption in the form of

Unprocessed Primary processed products

(Kgmonth)

Secondary processed products (Kgmonth)

Tertiary processed products (Kgmonth)

Rural Urban Rural Urban Rural Urban

Wheat 8068 7271 0256 0770

Rice 2130 1720 0045 0160

Maize 0599 0043

Sorghum 0274 0048

Soyabean 0091^ 0132^

Mustard 0155^ 0145^

Groundnut 0004^ 0033^

Gram 0045 0024 0130 0113 0108 0154

Pigeon Pea (Tur) 0344 0511

Lentil (Masoor) 0083 0079

Major Fruits 0830 1477 0005 0017

Major Vegetables 2983 3459 0009 0044

Major Spices 0189 0223

Milk 3999 4814 0079 0075

Eggs (Nosmonth) 0673 1333

Poultry Meat 0051 0074

Meat excluding poultry 0059 0095

Fish 0088 0043

Source NSSO 66th Round (2009-10) PwC Analysis

(includes Orange Guava Papaya Banana and Mango includes Peas Onion Potato and Tomato includes Garlic Coriander and

Chilli ^in the form of oil)


PwC 20


Figure 1 Demand and Supply of major commodities in Madhya Pradesh (2011-12)

MT

15000000

12703200

12000000

71

833

78

37

478

55

894

68

2486

07 18

239

59

81

490

00

62

806

00

32

903

00

22

273

00

Wheat Milk Soyabean Gram Rice

9000000

6000000

3000000

0

Demand (MT) Supply (MT)

6549

02

11

680

68

5375

80

5953

07

3879

93

1326

24

7451

70

577

81

1842

99

19

574

91

18

166

84

13

791

74

13

495

88

12

874

00

8696

00

7981

00

6474

86

6089

00

0

500000

1000000

1500000

2000000

2500000

Mt

or

Th

ousands

Onion Potato Banana Tomato Maize Mustard Eggs Orange Sorghum

Demand (MT or Thousands) Supply (MT or Thousands)


PwC 21


500000

452207 614

99

104

65

3401

66

1034

17

557

35

947

40

711

51

974

34

843

71

340

29

658

31

600

65

499

66

3446

00

3342

00

2749

04

2700

00

2553

04

2300

00

1750

71

935

70

820

00

754

04

250

00

120

00

0

100000

200000

300000

400000

MT


Source Department of Agriculture and Cooperation Govt of India NSSO 66th Round PwC analysis

From above figures it is evident that the state is self-sufficient in terms of catering the demand for most of the

commodities categories However in case of Pigeon Pea (Tur) Poultry Meat and Meat other than poultry meat

the state is not self-sufficient to cater the demand for these commodities categories Therefore there is

potential for production of poultry meat (poultry raring) and meat other than poultry (slaughtering) more than

their processing as the consumption across these categories is mostly in the unprocessed form eg the live

wet market share of poultry meat and meat other than poultry is more than that of processed form Whereas in

case of Pigeon Pea (Tur) there is both production as well as processing potential as the whole consumption of

Pigeon Pea is in the form of splits (dal) which requires secondary processing The Table 2 shows the type of

potential (production processing or both) across all major commodities categories based on demand-supply

scenario only Whereas the detailed quantity wise processing potential across these commodities categories is

discussed in section 22


PwC 22

-


Table 2 Type of potential based on Demand-Supply scenario of commodities (2011-12)

Sr No

Group Commodity Type of Potential based on Demand Supply

scenario

1

Cereals

Rice Possibility of Processing Potential

2 Wheat Possibility of Processing Potential

3 Maize Possibility of Processing Potential

4 Sorghum Possibility of Processing Potential

5

Oilseeds

Soyabean Possibility of Processing Potential

6 Mustard Possibility of Processing Potential

7 Groundnut Possibility of Processing Potential

8

Livestock Produce

Milk Possibility of Processing Potential

9 Eggs Possibility of Processing Potential

10 Poultry Meat Production Potential (Poultry Raring)

11 Meat other than poultry Production Potential (Slaughtering)

12 Fish Possibility of Processing Potential

13

Pulses

Gram Possibility of Processing Potential

14 Pigeon Pea (Tur) Production amp Possibility of Processing Potential

15 Lentil (Masoor) Possibility of Processing Potential

16

Fruits

Mango Possibility of Processing Potential

17 Guava Possibility of Processing Potential

18 Orange Possibility of Processing Potential

19 Papaya Possibility of Processing Potential

20 Banana Possibility of Processing Potential

21

Vegetables

Green Peas Possibility of Processing Potential

22 Tomato Possibility of Processing Potential

23 Onion Possibility of Processing Potential

24 Potato Possibility of Processing Potential

25

Spices

Chillies Possibility of Processing Potential

26 Garlic Possibility of Processing Potential

27 Coriander Possibility of Processing Potential


PwC 23


22 Potential

221 Theoretical Processing Potential

The demand-supply scenario gave the broad picture of possibility of processing potential of each commodity

However it is merely the difference between production and consumption (surplus) of a commodity The

present processing capacity in the state is another major factor which uses this surplus and thus decides the

possibility of accommodating new processing units in the state

Moreover there are different factors such as processing requirement (100 in case of oilseeds and some of the

pulses) post-harvest losses trading business varieties available etc which decides the suitability and need of

raw material for processing Therefore it is important to consider these all factors while calculating the

theoretical processing potential of a commodity In other words it is important to estimate the potential

suitable raw material availability in the state and to decide on the achievable targets for future

So based on current production consumption harvest amp post-harvest losses and current processing capacity

in the state the potential raw material available for processing is calculated While doing so following

assumptions points were considered

1 The net minimum available production of commodities and livestock produce is calculated by deducting the harvest amp post-harvest losses1 from production figures In case the post-harvest losses figures which are available in the form of a range the upper limit is considered in order to get net minimum raw material availability for consumption

2 The demandconsumption for particular commodity and livestock products in Madhya Pradesh is calculated using available per capita consumption figures from recent NSSO reports The quantity of value added products consumed is converted into the equivalent basic constituent commodities and livestock produce

3 The present organized processing capacity is taken in the form of commodity and livestock produce equivalent to its original form These processing facilities are assumed to be working at 70 utilization Also it is assumed that Small Scale Industries (SSIs) contributes 40 of the total value addition and thus to processing capacity Due to unavailability of data present processing capacity in unorganized sector is not considered

4 In order to negate the effect of raw material going out and coming into the state it is assumed that the raw material available in the state is used by the local industry and the unmet demand of raw material by local industry is catered by raw material procured from the neighbouring or other states

5 It is assumed that the locally (within the state) produced value added products first cater to the demand within the state

6 It is assumed that the local demand for processed products should be first satisfied by local industry 7 The present gap of demand and supply of each commodity is used for calculating the theoretical

potential of raw material that can be converted into different products by processing 8 In order to compare the potential of processing and value addition the commodities and livestock

products are converted in the form of value using farm gate or mandi prices

The theoretical processing potential based on above rationale and assumptions is shown in Table 3

1 Devised by Central Institute of Post-Harvest Engineering amp Technology (CIPHET) in the report on ldquoESTIMATION OF HARVEST AND POST HARVEST LOSSES OF MAJOR CROPS AND LIVESTOCK PRODUCE IN INDIArdquo a comprehensive study instituted by ICAR undertaken by AICRP on PHT on national level and submitted to the Parliamentary Standing Committee on Agriculture (PSCA) in September 2010


PwC 24

-


Table 3 Estimated theoretical processing potential of different commodities in Madhya Pradesh (2011-12)

Sr No

Group Commodity Production

(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)

Percentage of Processing Required

before Consumption

Production Potential

(MT or Nos)

Processing Potential

(MT or Nos)

1

Cereals

Rice 2227300 133638 2093662 1823959 410340 100 --- 1683322

2 Wheat 12703200 762192 11941008 7183378 3304922 --- --- 1799331

3 Maize 1287400 77244 1210156 387993 46400 --- --- 775763

4 Sorghum 608900 36534 572366 184299 0 --- --- 388067

5

Oilseeds

Soyabean 6280600 376836 5903764 447341 8504654 100 --- ---

6 Mustard 869600 52176 817424 331561 310800 100 --- 506624

7 Groundnut 344600 20676 323924 26164 0 100 --- 323924

8

Livestock Produce

Milk 8149000 65192 8083808 3860291 968543 --- --- 3324869

9 Eggs (Nos) 798100000 29529700 768570300 745170490 0 --- --- 23399810

10 Poultry Meat 12000 444 11556 49966 0 --- 38410 ---

11 Meat other than poultry 25000 575 24425 60065 0 --- 35640 ---

12 Fish 75404 5203 70201 65831 0 --- --- 4370

13

Pulses

Gram 3290300 200708 3089592 248607 389638 --- --- 2665806

14 Pigeon Pea (Tur) 334200 20386 313814 340166 30559 100 26352 283255

15 Lentil (Masoor) 230000 14030 215970 71151 20091 100 --- 195879

16

Fruits

Mango 175071 22237 152834 97434 7858 --- --- 57699

17 Guava 255304 45910 209394 94740 1045 --- --- 114767

18 Orange 647486 40771 606715 57781 39 --- --- 550053

19 Papaya 274904 20316 254588 103417 68 --- --- 151103

20 Banana 1379174 91018 1288156 537580 182 --- --- 750394


PwC 25

-


Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

21

Vegetables

Green Peas 452207 46601 405606 61499 2390 --- --- 341717

22 Tomato 1349588 167360 1182228 595307 8002 --- --- 586346

23 Onion 1957491 146725 1810766 654902 6417 --- --- 1149447

24 Potato 1816684 163475 1653209 1168068 27213 --- --- 623050

25

Spices

Chillies 93570 5561 88009 84371 1069 --- --- 2568

26 Garlic 270000 16085 253915 55735 6417 --- --- 191763

27 Coriander 82000 5983 76017 34029 3208 --- --- 38780

Source Department of Agriculture and Cooperation Govt of India Madhya Pradesh Agriculture Economic Survey Report 2013 CIPHET NSSO 66th Round Department of Commerce Industry amp Employment

Govt of Madhya Pradesh PwC analysis


PwC 26


222 Prioritization of Commodities Crops Sub-sector

2221 Need

The above Table 3 shows the potential quantity of raw material that can be converted into value added products

through processing It does not mean that higher the quantity higher is the potential of processing for that

particular commodity category The primary objective of promoting food processing sector is to achieve the

overall inclusive growth through





Therefore it becomes imperative to consider the overall potential of a commodity category (sub-sector of food

processing sector) on the basis criteria which is in line with above stated objectives The methodology for short

listing or prioritising the commodities crops sub-sectors is described below

2222 Screening Parameters and Indicators






For each of the above parameters key indicators were carefully identified which will enable objective screening

of the major cropssubsectors on the above criteria The screening parameters and the respective indicators for

each major cropssubsector are listed below

Screening Parameters Indicators

Importance to Economy (state)

1 Value of production as percentage of GSDP (Gross State Domestic Product)

2 Percentage contribution to dietary energy requirement

3 Estimated farmerindividual involved (primarily in the production side)


PwC 27

-



Attractiveness of Commodity Crop Sub-

sector

4 Private sector involvement

Estimated number of LMIrsquos (Large amp Medium Industries) and SSIrsquos (Small Scale Industries)

Estimated number of people engaged

5 Estimated potential for processing (value addition) or production in value terms

6 Estimated potential for employment generation

Competitive Advantage

7 Percentage contribution to national production

8 Percentage growth in supply (last 5 years)

9 Percentage growth in consumption (decadal)

10 Percentage growth in consumer expenditure (decadal)

The above parameters and indicators will assist in taking a holistic screening of the major cropssubsectors for

prioritizing focus in vision development for food processing in Madhya Pradesh It is imperative that the

development of the food processing sector will need active participation and partnership between public and

the private sector in sectors having supply strength ease of operations and consumer demand Hence the

screening parameters and associated indicators take into account the perspective and areas of importance for

the public sector (such as importance to economy indicators and potential for employment generation) and the

private sector (such as attractiveness and competitive advantage indicators) besides looking at consumer

demandacceptance

2223 Major Crops Commodities Sub-sectors

The major crops sub-sectors selected for review and prioritization are as follows Please note that due

unavailability of data very low production base and low consumption the fish category is not considered for

prioritization and ranking process

Sr No Sub sectors Major Commodities Crops (For Review and

Prioritization)

1 Rice

2 Wheat

3 Cereals

Maize

4 Sorghum

5 Soyabean

6 Oilseeds Mustard

7 Groundnut


PwC 28

-



Prioritization)

8

Livestock Produce

Milk

9 Eggs

10 Poultry Meat

11 Meat other than poultry

12

Pulses

Gram

13 Pigeon Pea (Tur)

14 Lentil (Masoor)

15

Fruits

Mango

16 Guava

17 Orange

18 Papaya

19 Banana

20

Vegetables

Green Peas

21 Tomato

22 Onion

23 Potato

24

Spices

Chillies

25 Garlic

26 Coriander

2224 Calculation of Score and Ranking Prioritization

The major cropssubsectors were screened and prioritized based on a weighted average score analysis The

process involved calculation of Score for the major cropssubsectors for each of the ten selected indicators The

score (X1 X2 X10) for each of the above ten indicators across the major cropssubsectors was individually

calculated based on primary and secondary sources of information Also each of the above indicators in the

three selected parameters is assigned a weight (5 10 15) for arriving at a Final Score (X1 weight) for the

major cropssubsectors The weights for each of the indicators were assigned based on industry validation

expert opinion stakeholder interactions and our understanding of the sector through primary and secondary

research and analysis The Score for the major cropssubsectors for each of the ten indicators was multiplied

with the respective weights of the indicators for arriving at the Final Score for a cropsubsector for an indicator

The sum of all Final Scores across the ten indicators will provide the Overall Score for a cropsubsector

At the end of the analysis each of the major cropssubsectors evaluated has received an Overall Score out of a

maximum score of 100 The crops subsectors were ranked based on the Overall Score received The higher the

rank for a cropsubsector better are its potential for improving the food processing sector in the state in the

short and medium term and hence the need to focus efforts towards its development in the Food Processing

Vision for Madhya Pradesh

A summary of the approach of calculation of Overall Score and Ranking score on the selected ten indicators for

the above major cropssubsectors is depicted in Figure 2 below


PwC 29


Figure 2 Approach for calculation of Overall Score and Ranking for prioritization

Source PwC Analysis

The results of the weighted average score analysis of the above major cropssubsectors based on the selection

parameters and associated indicators is shown in Table 4 Though this methodology gives soyabean a score of

4271 with 4th priority for processing it should be noted that as there is no potential (estimated) for further

processing of soyabean in the state the decision to prioritize the sector would be taken subjectively Also as

there is no current processing of egg poultry meat and meat excluding poultry their potential (estimated) is

considered as production potential (estimated) and therefore the values of dependent parameters such as

current private sector involvement employment potential (estimated) etc indicates the resultant of production

potential (estimated) than that of processing


PwC 30

- - - - - -

- -


Table 4 Comparison and prioritization of selected commodities sub-sectors of food processing in Madhya Pradesh

Parameter Weight Rice Wheat Maize Sorghum Soyabean Mustard Groundnut Milk Poultry (Eggs)

Poultry (Meat)

Meat Excluding

Poultry Gram

Pigeon Pea

Lentil

IMPORTANCE TO ECONOMY

Value of Production as Percentage of GSDP

10 21 94 066 038 82 110 048 100 016 008 018 40 063 038

Percentage Contribution to Dietary Energy Requirement

10 100 73 073 073 051 073 037 330 013 009 016 087 009 006

Estimated Farmer Involvement

10 29 86 152 069 100 138 038 079 088 237 154 537 094 109

ATTRACTIVENESS

Private Sector Involvement 10 29 49 048 00 100 13 00 27 14 20 44 67 066 043

Estimated Potential for Processing Production (value INR)

15 60 49 15 09 00 23 17 150 002 09 10 118 20 12

Estimated Potential for Employment Generation

10 28 05 48 24 00 04 02 29 001 07 02 100 013 10

COMPETITIVE ADVANTAGE

Percent Contribution to National Production

10 04 24 12 20 100 26 10 46 00 01 02 83 24 37

Percentage Growth in Supply (Over last 5 yrs)

10 25 39 08 01 09 23 36 13 14 10 14 33 32 02

Percentage Growth in Consumption (Decadal)

5 09 04 03 01 05 03 14 05 092 23 08 05 032 06

Percentage Growth in Consumer Expenditure (Decadal)

10 07 21 10 18 26 21 19 33 426 83 47 39 264 14

OVERALL WEIGHTED AVERAGE SCORE

100 2805 4438 1232 887 4271 1446 440 4424 912 1787 1445 5465 1240 880

RANKING OF SUB-SECTOR 5 2 18 24 4 15 26 3 23 12 16 1 17 25


PwC 31


Parameter Weight Mango Guava Orange Papaya Banana Green Peas

Tomato Onion Potato Chilli Garlic Coriander



10 020 024 118 015 060 050 074 086 083 024 067 019


10 005 007 020 007 044 024 006 013 058 003 009 003

Estimated Farmer Involvement 10 003 003 008 002 004 008 010 016 016 010 011 031

ATTRACTIVENESS

Private Sector Involvement 10 031 015 007 015 015 027 042 010 029 020 010 041


15 02 04 37 03 12 14 12 18 10 002 18 03


10 01 04 21 03 28 15 30 43 08 002 07 04



10 02 20 40 120 09 23 14 22 09 143 43 299


10 39 08 57 44 34 48 100 78 60 44 16 34


5 06 06 50 37 09 16 07 05 01 08 16 05


10 42 57 46 99 53 75 43 49 44 46 100 32


100 984 1041 2663 2023 1578 2029 2193 2279 1509 1176 2086 1164

RANKING OF SUB-SECTOR 22 21 6 11 13 10 8 7 14 19 9 20


PwC 32


The overall ranking prioritization of crops commodities sub-sectors is as follows


Gram Pulses 27

Wheat Cereals 28


Soyabean Oilseeds 30

Rice Cereals 31

Orange Fruits 32

Onion Vegetables

33

Tomato 34

Garlic Spices 35


Papaya Fruits 37


Banana Fruits 39

Potato Vegetables

40

Mustard 41



Maize Cereals 44

Chillies Spices

45

Coriander 46

Guava Fruits

47

Mango 48


Sorghum Cereals 50




PwC 33


23 Future processing requirement

231 Current level of processing

The present level of processing of a commodity or livestock produce is calculated by using following data

1 Capacity of present processing units ndash Converted into commodity or livestock produce equivalent

quantity

2 Production of a commodity or livestock produce

The level of processing is estimated by the formula

Commodity or Livestock Produce Equivalent Quantity

The Level of Processing () = -----------------------------------------------------------------------------

Production of Commodity or Livestock Produce

000

000

000

000

1189

391

114

238

150

059

033

053

449

041

001

002

001

000

874

914

1184

000

360

Fish

Meat (Non-Poultry)

Poultry Meat

Eggs

Milk

Coriander

Chillies

Garlic

Potato

Tomato

Onion

Green Peas

Mango

Guava

Banana

Papaya

Orange

Groundnut

Mustard

Soyabean

Lentil (Masoor)

Pigeon Pea (Tur)

Gram

Sorghum

Maize

Rice

Wheat

Cereals (Major)

224

Pulses (Major)

114

Oilseeds (Major)

1147

Fruits (Major)

03

Vegetables (Major)

08

Spices (Major)

24

Livestock Produce

0 2 4 6 8 10 12 14 34 114 134


PwC 34


As per above formula the level of processing across the commodities or livestock produce and their groups is

shown in Table 5 below

Table 5 Estimated level of processing of different commodities and livestock produce in Madhya Pradesh (2011-12)

Sr No

Category Commodity

Produce

Production

(MT or Nos)

Present Processing Capacity (at

70 utilization level)

Level of Processing

(Commodity)

Level of Processing (Category)

1

Cereals

Wheat 12703200 3304922 2602

2236 2 Rice Paddy 2227300 410340 1842

3 Maize 1287400 46400 360

4 Sorghum 608900 0 000

5

Pulses

Gram 3290300 389638 1184

1142 6 Pigeon Pea (Tur) 334200 30559 914

7 Lentil (Masoor) 230000 20091 874

8

Oilseeds

Soyabean 6280600 8504654 13541 11762

or 2560 (except

Soyabean)

9 Mustard 869600 310800 3574

10 Groundnut 344600 0 000

11

Fruits

Orange 647486 39 001

034

12 Papaya 274904 68 002

13 Banana 1379174 182 001

14 Guava 255304 1045 041

15 Mango 175071 7858 449

16

Vegetables

Green Peas 452207 2390 053

079 17 Onion 1957491 6417 033

18 Tomato 1349588 8002 059

19 Potato 1816684 27213 150

20

Spices

Garlic 270000 6417 238

24021 Chillies 93570 1069 114

22 Coriander 82000 3208 391

23

Livestock Produce

Milk 8149000 968543 1189 1189

24 Eggs (Nos) 798100000 0 000

000 25 Poultry Meat 12000 0 000

26 Meat other than poultry 25000 0 000

27 Fish 75404 0 000

Source Department of Agriculture and Cooperation Govt of India Madhya Pradesh Agriculture Economic Survey Report 2013

Department of Commerce Industry amp Employment Govt of Madhya Pradesh PwC analysis


PwC 35


From above table it can be inferred that the level of processing is highest in oilseeds category especially due to

huge soyabean crushing capacity whereas lowest in livestock produce category excluding milk It is also found

that the level of processing is negligible or low in fruits and vegetable category despite of huge production base

similar to that of spices category It suggests there is considerable potential for value addition across these

categories especially in fruits and vegetables The current potential across these commodities or produce is

described in detail in section 22

There are some commodities which require almost upto 100 processing before consumption such as paddy

pulses and oilseeds This minimum processing requirement falls under secondary processing viz milling

crushing and refining operations However it is found that the level of processing in these commodities

categories is comparatively low which suggests that the raw material may be sent outside the state for

processing and final product is imported in the state for domestic consumption Therefore there is potential and

urgent need to process these specific commodities categories within the state in order to become self-

sufficient to cater the local demand

232 Goals targets for future





In order to calculate future processing requirement we have considered the growth in production and per capita

consumption during last decade (from 2009-10 to 2011-12) While doing we have assumed following

The net minimum available production of commodities and livestock produce is calculated by deducting the harvest amp post-harvest losses2 from production figures In case the post-harvest losses figures which are available in the form of a range the upper limit is considered in order to get net minimum raw material availability for consumption

The demandconsumption for particular commodity and livestock products in Madhya Pradesh is calculated using available per capita consumption figures from recent NSSO reports

The quantity of value added products consumed is converted into the equivalent basic constituent commodities and livestock produce

The present organized processing capacity is taken in the form of commodity and livestock produce equivalent to its original form These processing facilities are assumed to be working at 70 utilization Also it is assumed that Small Scale Industries (SSIs) contributes 40 of the total value addition and thus to processing capacity Due to unavailability of data present processing capacity in unorganized sector is not considered

In order to negate the effect of raw material going out and coming into the state it is assumed that the raw material available in the state is used by the local industry and the unmet demand of raw material by local industry is catered by raw material procured from the neighbouring or other states

It is assumed that the locally (within the state) produced value added products first cater to the demand within the state

It is assumed that the local demand for processed products should be first satisfied by local industry

The present gap of demand and supply of each commodity is used for calculating the theoretical potential of raw material that can be converted into different products by processing

The projected production and per capita consumption across commodities or livestock produce is shown in

Table 6



PwC 36

-

--

-


Table 6 Estimated theoretical processing capacity requirement across different commodities in Madhya Pradesh (2023-24)

Sr No

Group Commodity

Estimated Production

(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Estimated Consumption

(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)

Estimated Processing

Capacity Requirement by

2023 24

(MT or Nos)


Required by 2023 24 over

Current Capacity

(MT or Nos)

28

Cereals

Rice 3096116 185767 2910349 777972 410340 777972 367632

29 Wheat 31242124 1874527 29367596 10016554 3304922 4456812 1151890

30 Maize 935069 56104 878965 182794 46400 -- - -- -

31 Sorghum 645754 38745 607009 128945 -- - -- - -- -

32

Oilseeds

Soyabean 11718007 703080 11014927 880753 8504654 880753 -- -

33 Mustard 1871116 112267 1758849 462037 310800 462037 151237

34 Groundnut 522493 31350 491144 5001 -- - 5001 5001

35

Livestock Produce

Milk 13704845 109639 13595206 6627713 968543 1127365 158821

36 Eggs (Nos) 838926231 31040271 807885961 1860759371 -- - -- - -- -

37 Poultry Meat 53481 1979 51503 249427 -- - -- - -- -

38 Meat other than poultry 133109 3062 130047 125362 -- - -- - -- -

39 Fish 104928 7240 97688 93291 -- - -- - -- -

40

Pulses

Gram 4785056 291888 4493168 469105 389638 451144 61506

41 Pigeon Pea (Tur) 472103 28798 443305 317316 30559 317316 286757

42 Lentil (Masoor) 218112 13305 204807 41170 20091 41170 21079

43

Fruits

Mango 596179 75724 520455 195245 7858 28565 20707

44 Guava 513754 92386 421368 167077 1045 7206 6161

45 Orange 2881844 181462 2700381 665249 39 7206 7167

46 Papaya 2846041 210331 2635710 833437 68 68 -- -


PwC 37

-

--

-


Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

47 Banana 4026120 265703 3760417 1408227 182 182 -- -

48

Vegetables

Green Peas 8560527 882179 7678348 40783 2390 2390 -- -

49 Tomato 10680674 1324489 9356185 1138059 8002 42231 34229

50 Onion 16909131 1267432 15641699 1214403 6417 6417 -- -

51 Potato 8407304 756535 7650769 1807729 27213 667560 640347

52

Spices

Chillies 525868 31254 494614 188321 1069 1069 -- -

53 Garlic 1071598 63840 1007757 271562 6417 6417 -- -

54 Coriander 206502 15066 191436 74315 3208 3208 -- -


Govt of Madhya Pradesh PwC analysis (due to unavailability of processed consumption data as present processing capacity is more than consumption in 2023-24)


PwC 38

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 1010 1111 1212 1313 1414 1515 1616 1717 1818 1919 2020 2121 2222 2323 2424 2525 2626 2727

5000

5500

6000

6500

Situational Analysis In

Th

ou

sa

nd

MT

or

La

kh

No

s

(fo

r E

gg

s) 8000

6000

4500

4000

3500

3000

2500

2000

1500

1000

500

0

Figure 3 Cumulative current and future (2023-24) processing capacity requirement and maximum processing potential in Madhya Pradesh

18000

14000

Wh

eat

Ric

e

Ma

ize

So

rgh

um

Gra

m

Pig

eon

Pea

(T

ur)

Le

nti

l (M

aso

or)

So

ya

be

an

Mu

sta

rd

Gro

un

dn

ut

Ora

ng

e

Pa

pa

ya

Ba

na

na

Gu

av

a

Ma

ng

o

Gre

en P

ea

s

On

ion

To

ma

to

Po

tato

Ga

rlic

Ch

illi

es

Co

ria

nd

er

Mil

k

Eg

gs

Po

ult

ry M

eat

Oth

er

Mea

t

Fis

h

Est Max Potential by 2023-24 Est Req Cap By 2023-24 Current Max Potential (2011-12) Current processing Capacity (2011-12)


PwC 39


From this table it can be concluded that there is need to increase the processing of following categories

Absolute requirement of increased processing capacity

bullCereals bullPulses bullFruits and Vegetables bullMilk

bullSpices bullFish

Availability of raw material for processing but no requirement for increased processing

bullPoultry Meat bullEggs bullOther Meat

Absolute requirement of increased production

bullSoyabean

Commodity with excess processing capacity


PwC 40

Vision

3 Vision

Madhya Pradesh with the second largest geographical area in the country is one of the leading states in

Agriculture Of late it has acquired significant importance in the field of Horticulture and is now among the

leading States in terms production of Fruits (Mango Orange Guava) Vegetables and Spices The State is

looking to march ahead with renewed vigour to face complex challenges and to harness domestic and global

opportunities for the welfare of the farmers consumers and other stakeholders in the supply chain The efforts

would be to become a leading state in the country which is responsive vibrant and sensitive to the needs of its

stakeholders Food processing one of the most important value addition activity connects all the stakeholders

and can play a vital role in accomplishing these objectives Therefore State government has decided to give

impetus to the sector and prepare a vision for way forward

31 Vision Statement

To become favourable and leading food processing destination in the country and to increase agri-business

activity in the state by increasing the level of processing of




by 2024

32 Mission Statement



33 Focus areas









Promote developmentupgradation of marketing infrastructure to assist in better price realization to





PwC 41

Vision



PwC 42

Strategy and Plan of Action


Madhya Pradesh could be a leading destination for food processors and can act as a processing hub owing to

several strategic reasons along with statersquos production strength which has been described in the previous

sections

Currently state government is eying at this opportunity and is trying to extend support to interested players in

every possible way through investment promotion assistance tax exemptions agricultural reforms interest

subsidies concessions on land development of support infrastructure etc However the growth rate of food

processing activity in state is still not reflecting the efforts put in by the government Reasons could be several

and these need to be identified and addressed in a manner to induce confidence in the investors and bring out

desired results

41 Gap analysis of current issues







Infrastructure

Services



produce

The indicative agriculture value chain and the prevalent issues across it are shown in Figure 4 and Figure 5

respectively


PwC 43

--

-


Figure 4 Indicative agriculture value chain

Farmers Government

bullSeeds bullAgrochemicals bullFertilizers bullExtension Services

Farmers Co operatives FPOs

Pvt Players Government

bullCrop Cultivation bullAnimal Husbandry bullAllied Activities bullRampD

Farmers Traders Co operatives

FPOs Pvt Players Government

bullMarkets (Mandis) bullWarehouses bullCold Storages

Traders Processors Co operatives FPOs

bullCleaning bullSorting amp Grading bullMinimal Processing bullPackaging

Va

lue

Ch

ain

Ac

tor

s

an

d E

lem

en

ts Processors

bullValue Addition bullPackaging

Carrying amp Forwarding Agents

Wholesalers Retailers

bullDistribution Centres bullModern Wholesale Stores

bullRetail Shops

Input Production Aggregation amp

Storage

Primary amp Secondary Processing

Tertiary Processing

Marketing

bullSeed Farms bullNurseries bullAgrochemical Units bullFertilizer Units bullExtension Services

bullContract Corporate Farming

bullDairy Farming bullPoultry Farming bullFisheries bullRampD

bullMarket Infrastructure

bullSilos bullWarehouses bullCold Storages Cold Chain

bullCommodity Trading

bullRipening Chambers bullPackhouses bullCleaning Sorting amp Grading Units

bullCryo Preservasion bullMilling Units bullChilling Plants bullSlaughterhouses bullPackaging Units

bullProcessing Units bullPackaging Units

bullModern Wholesale Stores

bullRetail Shops bullHyper Markets bullSuper Markets bullFood Chains

Bu

sin

es

se

s

Ag

ri

Va

lue

Ch

ain


PwC 44

-


Figure 5 Prevalence of issues across agri value chain in Madhya Pradesh

Ag

ri

Va

lue

Ch

ain

Ac

tor

sP

oli

cy

Is

su

es

Farmers Cold Store Operators

Warehouse Operators

Processors

FPOs Co operatives Processors

Retailers amp Wholesalers

Traders

Commission Agents

Production Aggregation amp

Storage Primary amp Secondary

Processing Tertiary Processing Marketing

Formal contract farming arrangements

Status issues (industrial or agricultural activity)

Interest subsidy on capital investment


Taxation High interest rates on loan

Capital subsidy issues

Income tax for FPOs

Restriction on linkages

Industrial Policy

Mandi fee Entry tax amp VAT

VAT schedules

Biodiversity tax

Awareness Utilization and

Status tracking of applications

and subsidies

APMC act

Coordination amongst

Mandis

Mandi fee Entry tax

Lack of incentives for quality

produce

Upper cap for tax free trading

of wheat

Infr

as

tru

ctu

re

Iss

ue

s

Se

rv

ice

Iss

ue

s

Roads

Mandi infrastructure

Soil testing laboratories

Lack of sorting grading facilities

Roads

Electricity outages

Roads Land availability

Infrastructure in Food Parks

Cold chain availability

Rake availability

Lack of technical institutes

Lack of Quality control amp RampD labs

Roads


Lack of trade centres

Inadequate seed supply

Lack of marketing promotion of agriculture produce


Lack of time bound service

Access to credit



PwC 45


411 Policy and Regulatory Issues

4111 Partial reforms in APMC Act

Marketing of agricultural produce is one of the important aspects of agriculture value chain Efficient marketing

system with farmer focussed regulations can promote both agriculture production and processing With a view

to create efficient marketing system Model APMC Act was prepared which talks about agriculture marketing

reforms Madhya Pradesh is one of the states who has shown interest and done some of the reforms over the

years which have resulted in strengthening of marketing system

However during primary survey stakeholders raised many of the concerns which pointed out the need for some

more reforms The issues raised were

1) Direct marketing of produce is allowed however mandi fee is not exempted

Though the direct marketing of produce is allowed as per amendment in the law the levy of mandi fees

in case of direct marketing is not exempted (except FampV) According to stakeholders it is a partial

reform and thus has not translated into intended results of promoting linkages between farmers and

buyers without any third party intervention

2) Lack of other alternative platforms

State has taken some market reform initiatives such as direct farm gate purchase etc but processors

and other stakeholders are looking for other platforms such as private market yards consumer-farmer

markets etc whose development is currently restricted due to partial reforms

3) No exemption in mandi fee for contract farming

Though contract farming is allowed in the state the mandi fees is levied on such transactions It

restricts development of farmer-processor linkages

4) Lack of model contract farming agreements

There are some instances where the enforcement of contract becomes difficult due to lack of clarity in

the contracts Therefore stakeholders demanded that government should develop model contract

farming agreements that can act as a guideline and could bring transparency in operations

5) Need for rationalization simplification in the levy of mandi fee

The mandi fee is collected along with Nirashrit Shulk of 02 Stakeholders demanded the

rationalization or simplification of mandi fees

4112 Industrial Promotion Policy and Agribusiness amp Food Processing Policy

Number of stakeholders raised concerns about some of the clauses of Industrial Promotion Policy 2010

(amended in 2012) and Agribusiness amp Food Processing Policy 2012 The specific clauses are as follows

Soyabean processing units who manufactures oil and DOC (and whose turnover from other value added

products is less than 25 ot total turnover) are not eligible for mandi fee exemption if they procure raw

material from outside the state During primary survey it is found that existing soyabean crushing


PwC 46


andor oil refining capacity is underutilized because of low availability of raw material In such scenario

it becomes necessary to procure from outside the state and run the units in order to remain

competitive It exerts pressure on such existing soyabean processor where they have to pay mandi fee

for procuring soybean from other states

Modern Rice Mills having fixed capital less than Rs 10 Crores are not eligible to get mandi fee

exemption

Slaughterhouses and meat based industries are not eligible for facilities andor incentives under

industrial promotion policy

Industrial Investment Promotion Assistance Scheme is available for MSMEs with investment more

than Rs 1 Crore (but less than Rs 10 Crore) only where they are eligible for assistance of 50 for 5

years

4113 Industry status to co-operatives cold stores and producer organisations dealing with agri and agri allied produce

Dairy amp poultry co-operatives cold stores handling agricultural produce and Farmer Producer Organisations

(FPOs) majorly dealing with food grains are classified as industry Since they deal with agri and agri allied

products stakeholders demanded to be classified as organisations of agri and allied sector As they are classified

as an industrial organisation they are not entitled for incentives availed by agri and allied sector organisations

such as exemption on income tax subsidies on power soft loans etc

On the other hand though poultry cooperatives are classified as industry they are facing difficulties in land

usage conversion required for establishing poultry farms which is a smoother task for an industrial set up

FPOs are exposed to income tax on its profits despite of being an organisation bringing together farmers and

run by farmers FPOs have to pay mandi tax while selling the produce in mandi similar to individual farmers

and on the other hand they have to pay more than what individual farmers pay for storing their produce in

government warehouses owing to its industry status With the defined objective of FPOs it is expected that they

will get support from state government However neither they get funding at subsidised rates for their working

capital requirement nor are they entitled for subsidised farm inputs to distribute to its member farmers like

farmer cooperatives and societies do

Cold stores though extend the shelf life of perishable agricultural produce and assist farmers in realising better

returns from their crops still they are not entitled for subsidised power tariffs This increases the cost of storage

for farmers and reduces the potential income they can derive from storing their produce and resulting in

reduced affinity to store and feasibility of cold store operations

However recently central government has taken few steps to support cooperatives and FPOs According to the

2013 union budget co-operatives have been exempted from payment of taxes Similarly cold stores handling

agri related produce and FPOs dealing with agricultural produce are expecting the same treatment Union

budget has provisions on FPOs as well such as equity grants to registered FPOs upto a maximum of Rs 10 lakh

per FPO to enable them to leverage working capital from financial institutions FPOs of the state are expecting

support from state government to avail such schemes

4114 Need to reconsider Value Added Tax (VAT) rate

Stakeholders raised concern about value added tax levied in the state they feel it is comparatively higher than

that of other states in some of the categories such as fruit and vegetable products spices milk products value


PwC 47


added products from soyabean (other than oil) wheat based tertiary processed products The detail list and

comparison of VAT across different commodities and their products is given in Table 7

4115 Need for re-organisation of VAT schedules

VAT schedule of state government identifies commodities and finished products and on its discretion categorise

them into different VAT rate categories All those products which doesnrsquot comes under any of the identified

categories are clubbed under others category which attract full VAT rate of 13 Moreover the basic VAT rate

is 5 which is 1 more than that levied by neighbouring andor competing states

In the state VAT schedule products such as soya milk soya milk powder tofu soy lecithin soya nuggets soy

grit DOC etc falls under others category These products are derivatives of tertiary processing of soybean and

are capable of fetching high value in domestic as well as international markets MP being one of the major

producers of soybean should take advantage of its raw material availability and promote high end processing of

soy in state itself by identifying these products under appropriate category Same is the case with gram based

products wheat based products frozen livestock products and frozen fruits amp vegetable products Such

relaxation in VAT would not only promote the manufacturing of such products but also earn revenues for the

state by addressing domestic as well as international food amp pharmaceutical markets The detail list and


4116 Need to reconsider Entry Tax rate

The stakeholders across the value chain have raised the concern that entry tax on raw materials as well as the

finished products made from them increases the financial burden on their businesses They demanded to

reconsider rationalize the levy of entry tax on some categories such as cereals pulses fruit and vegetable

products and spices They also raised a point that the amount of entry tax is more in Madhya Pradesh compared

to other states and especially Chhattisgarh which is formed from Madhya Pradesh The detail list and

comparison of entry tax across different commodities and its products is given in Table 8

4117 Need to reconsider Biodiversity Tax rate

Organizations using bio-resources (such as plants animals and micro-organisms or parts thereof their genetic

material and by products) from the State for commercial purpose (such as drugs industrial enzymes food

products flavors fragrance colors extracts etc) has to share their benefit for biodiversity conservation in the

state by depositing 2 of turnover in the biodiversity fund with retrospective effect and this sharing is

categorized as bio diversity tax

Soya processors have raised following concerns

The proposed tax exerts pressure on profitability and feasibility of the industry

Moreover it is applicable with retrospective effect

No such tax in other soyabean producing states such as Maharashtra and Rajasthan

Processors affected by this act are demanding its abolishment especially Soybean processors as biodiversity tax

liability is making them uncompetitive


PwC 48


4118 Upper cap for tax free trading of wheat

State government has imposed an upper cap of INR 5 crores for tax free trading of wheat and if trading is done

beyond the given limit it attracts 4 VAT This was instituted with an objective to avoid monopoly in wheat

trading by large volume players However this has affected the large volume traders and processors as the

ceiling is much lesser than the average volume of trade they usually do on an annual basis In Madhya Pradesh

some of the high value varieties of wheat such as Sharbati are also traded whose price is more than other

common varieties It should also be noted that the MSP of wheat is constantly changing in last couple of years

where it has seen upward trend In such scenario the additional tax limits the quantity in wheat trading

Moreover this tax arrangement has also promoted manipulations where traders are applying for multiple

licenses under different names to evade tax liability

State government is expected to review the upper cap given the importance of wheat trade in the economic

activities of state Also continuous revision of the upper cap is expected as the value of the commodity (MSP) is

rising every year and this in turn reduces the tax free volume trade A better move could be to impose the upper

cap based on the volume of wheat instead of its value

4119 Low awareness about policies

State government has framed favourable policies for improving the processing scenario in the state many

schemes aids and subsidies are offered to stakeholders and different level of value chain Irony is in quite a

sizable number of cases where intended beneficiaries failed to avail these benefits due to unawareness of the

policies or clarity on the conditionality of the policy or scheme It has been suggested that with an objective of

providing single window system to the stakeholders state government should come up with an online portal

with facilities like details of all policies and schemes method of application assistance in application and

application tracking system It has also been voiced that schemes in place should be rephrased or reframed to

eliminate practical ambiguities which stakeholders are facing while availing them

41110 Lack of intercommunication among departments

Many of the subsidies given by one department are not communicated to others and thus it leads to delay in the

disbursement of subsidies There is a need of coordination among different departments of the state

government to perform smoothly which can be achieved by a dedicated online portal as discussed in earlier

sections


PwC 49


Table 7 Comparison of VAT on agricultural commodities and products across major states

Sr No

Major Commodity Crops amp Products

Madhya Pradesh

Gujarat Rajasthan Himachal Pradesh

Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

CEREALS

1 Rice Paddy

Whole Broken 0 0 0 4 4 --- 14 0 5

Paddy Rice and its flour sold by dealer with turnover less than Rs 100 Cr per year

--- --- --- --- --- 0 --- --- ---Such impetus required for SSIs in Paddy processing

Paddy Rice and its flour sold by dealer with turnover more than Rs 100 Cr per year

--- --- --- --- --- 1 --- --- ---

Husk 0 15 14 5 4 5 0 0 0

Bran 13 15 0 5 4 135 14 125 5 Need for categorization of paddy rice products by-products Comparatively higher tax due to no categorization Reducing the tax would help developing paddy processing industry

Flour 13 0 5 1375 125 --- 14 0 145

Puffed Rice (Poha) Parched Rice Lahaya Chiruma etc

0 15 0 5 0 0 0 0 0

2 Wheat

Whole Broken 0 0 0 4 4 --- 0 0 5

Bran 0 15 0 5 125 0 0 0 0

Flour including atta maida rawa and suji

0 0 0 4 0 --- 5 0 5

Vermicelli (Sewain) 0 0 14 1375 0 0 14 125 5

Wheat its flour including maida atta suji sold by dealer with turnover less

--- --- --- --- --- 0 --- --- ---


PwC 50


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

than Rs 100 Cr per year

Wheat its flour including maida atta suji sold by dealer with turnover more than Rs 100 Cr per year

--- --- --- --- --- 1 --- --- ---

Bread (Branded) 0 0 0 0 0 0 0 0 145

Bread (Unbranded) --- --- --- --- --- --- --- --- 0

MP govt can look into the option of categorizing and exempting unbranded bakery products so as to increase the value addition and provide impetus to micro and SSIs

Bread (Pizza) 0 0 5 0 4 5 0 5 145

Biscuits (Branded) 13 15 14 1375 125 135 14 125 145

Biscuits (Unbranded) 13 4 5 1375 125 135 14 125 145 Need for categorization of processed products of wheat Comparatively higher tax due to no categorization Reducing the tax would help to develop tertiary processing of wheat and thus would increase secondary processing (milling) activity

Toast (Unbranded) 13 15 5 1375 125 135 5 125 0

Rusk 13 15 14 1375 125 5 14 125 145

Yeast 5 15 5 5 4 135 14 125 5

Gel (cake improver) Bread improver Bakery mix Baking powder

13 15 14 1375 4 135 14 125 145

Comparatively higher tax Reducing it would facilitate the cheaper availability of industrial raw material ingredients for wheat based processing industry

Cakes and pastries Cookies and other bakery goods (Branded)

13 15 14 1375 125 135 14 125 145

Cakes and pastries Cookies and other bakery goods

13 15 5 1375 125 135 14 125 145 Need for categorization of processed products of wheat Comparatively higher tax due to no categorization


PwC 51


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

(Unbranded) Reducing the tax would help to develop tertiary processing of wheat and thus would increase secondary processing (milling) activity

3 Maize

Whole Broken 0 0 0 0 0 0 0 0 0

Bran 0 15 0 5 125 5 0 0 0

Germ gluten and oil 5 15 14 1375 4 5 5 125 145

Flour 13 4 0 1375 125 135 14 125 145 Need for categorization of maize products Comparatively higher tax due to no categorization Reducing the tax would help to develop processing of maize

Flakes 13 15 0 1375 125 135 14 125 145

Starch 5 4 5 5 4 5 5 5 5

4 Sorghum

Whole Broken 0 0 0 0 0 0 0 0 0

PULSES

5 All pulses including Gram Pigeon Pea (Tur) amp Lentil (Masoor)

Whole Pulses 0 0 0 4 1 --- 0 0 5

Split (Dal) Broken 13 0 0 1375 1 135 0 0 5

Need for categorization of secondary processed products of pulses ie dal Comparatively higher tax due to no categorization Reducing the tax would help to develop secondary processing of pulses (milling)

Flour Besan 0 0 0 1375 125 --- 5 0 145

Roasted Fried 0 15 5 5 0 0 5 5 5


PwC 52


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Farsan Namkeen (Branded)

13 4 5 1375 125 135 14 125 145

Need for categorization of Gram based products Comparatively higher tax due to no categorization Reducing the tax would help to develop tertiary processing of pulses (especially Gram) and thus would increase secondary processing (milling) activity

Moreover it would also create competitive advantage to process Gram in the state due to its huge production base

Farsan Namkeen (Unbranded)

13 0 5 1375 125 135 14 125 145

Papad 0 0 0 0 125 0 0 0 0

All Pulses their Flour including Besan sold by dealer with turnover less than Rs 100 Cr per year

--- --- --- --- --- 0 --- --- ---

All Pulses their Flour including Besan sold by dealer with turnover more than Rs 100 Cr per year

--- --- --- --- --- 1 --- --- ---

OILSEEDS

6 All Oilseeds including Soyabean Mustard amp Groundnut

Oilseeds (whole form) 5 4 5 4 4 5 5 5 5

Edible Oil 5 4 5 4 4 5 5 5 5

Hydrogenated Vegetable Oil 5 4 5 4 4 5 5 5 5

Oil Cake 5 4 5 4 4 5 5 5 5

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 5


PwC 53


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Edible Oil amp oil Cake manufactured by unit under Khadi and Village Industries Commission Act 1956 with turnover less than Rs 2000000

--- --- --- --- --- --- --- 0 ---

7 Soyabean

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 145

Soya Nuggests 13 15 14 1375 125 5 14 125 145

Need for categorization of soya based products It will result in reduction of tax and help increasing the processing of soyabean into other products than that of oil

Soya Products (such as Soya Milk Soya Milk Powder Tofu etc)

13 15 14 1375 125 135 14 125 145


8 Mustard Oilcake 0 4 5 4 4 5 5 5 5

FRUITS

9 All Fruits including Orange Mango Guava Papaya and Banana

Fresh Unprocessed 0 0 0 0 0 0 0 0 0

Fruits in frozen form 13 15 14 1375 125 135 14 5 5

Need for categorization of fruits in frozen form It will result in reduction of tax and help increasing the value addition of fruits and help development of cold chain rather than only cold storages

Fruits in sealed container --- --- --- --- --- --- --- 5 --- No categorization for fruits (whether


PwC 54


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

processed or raw) sold in sealed container It would help to capture the sale of branded fruits

Fruit Products such as Jam Jelly Marmalade Pickle Preserves Paste Pulp etc whether or not in sealed container

5 4 5 5 4 5 5 5 5

Though the VAT (on value addition) is comparative to other states the entry tax of 1 (of total value) on processed fruit products makes the state unfavourable destination for investment

Fruit Beverages (non-alcoholic) and Pulp Juice Drinks Squashes Syrups Cordials etc whether or not in sealed container

5 4 5 5 4 5 5 5 5

Though the VAT (on value addition) is comparative to other states the entry tax of 2 (of total value) on non-alcoholic beverages made from fruits makes the state unfavourable destination for investment

VEGETABLES

10 All Vegetables including Onion Potato Tomato and Green Peas


Vegetables in Frozen form 13 15 14 1375 125 135 14 5 5

Need for categorization of vegetables in frozen form It will result in reduction of tax and help increasing the value addition of vegetables and help development of cold chain rather than only cold storages

Vegetables in sealed containers

--- --- --- --- --- --- --- 5 ---

No categorization for vegetables (whether processed or raw) sold in sealed container It would help to capture the sale of branded vegetables

Processed Vegetable Products such as

5 4 5 5 4 5 5 5 5 Though the VAT (on value addition) is comparative to other states the


PwC 55


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

dehydrated chopped powdered canned pickled puree sauce ketch-up chips etc whether or not in sealed container

entry tax of 1 (of total value) on processed vegetable products makes the state unfavourable destination for investment

11 Raw Un-fried Potato Chips

5 15 14 1375 125 135 14 125 145

SPICES

12 Chilli (Dry)

Whole 5 0 0 0 4 0 5 0 5 Comparatively higher tax

Powdered 5 4 5 5 125 5 5 0 5

13 Garlic

Fresh Unprocessed Whole 0 0 0 0 0 0 0 0 0

Dehydrated 5 15 5 5 125 5 5 125 5

Need for categorization of garlic based products Though the VAT on garlic products is comparable to other states the entry tax increases the burden on this industry

Reducing the tax will help to increase value addition and reduce the losses

Powdered 5 4 5 5 125 5 5 125 5

14 Coriander

Whole 5 4 0 0 4 5 5 0 5 Comparatively higher tax Reducing it would help increasing the spices grinding industry

Separated 5 4 5 5 125 5 5 0 5

Powdered 5 4 5 5 125 5 5 0 5

LIVESTOCK PRODUCE

15 Milk

Liquid Form Fresh Milk 0 0 0 0 0 0 0 0 0


PwC 56


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Pasteurized Milk 0 0 0 0 0 0 0 0 0

Buttermilk 0 0 0 0 0 0 0 0 0

Separated Milk 0 0 0 0 0 0 0 0 0

Lassi 0 0 0 0 0 0 0 0 0

Curd (Unbranded) 0 0 0 0 0 0 0 0 0

Curd (Branded) 0 0 0 0 0 0 0 5 0

UHT Milk 5 15 0 5 4 5 5 5 5

Condensed Milk (Sweetened amp Unsweetened)

13 15 14 1375 125 135 14 5 145

Need for categorization of value added products of milk It will result in reduction of tax and help increasing the value addition of milk

Milk with any other ingredient (solid non-fat) amp branded

5 15 14 1375 125 135 14 5 145

Flavoured Milk 5 15 14 1375 4 135 5 125 145

Milk Powder 5 4 5 5 4 5 5 5 5

Khoa (Mawa) 5 15 5 5 4 0 14 125 145

Cheese 5 15 5 1375 4 135 14 125 145

Paneer 13 15 5 5 4 135 5 125 5


Cream 13 15 5 1375 4 135 5 125 145

Butter 13 15 5 1375 4 135 14 125 145

Ghee as industrial input 5 --- --- --- --- --- --- --- ---

Ghee (Packaged) 13 4 5 5 4 5 14 125 145

Shikhand Basundi Dudhpak

13 4 5 5 4 0 5 5 145


PwC 57


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ice-cream Kulfi 13 15 14 1375 125 135 14 125 145

16 Eggs 0 0 0 0 0 0 0 0 0

17 Meat Poultry amp Fish

Unprocessed 0 0 0 0 0 0 0 0 0

Processed 5 4 5 5 4 135 5 5 145

Frozen 13 15 14 1375 4 135 14 5 5

Need for categorization of meat poultry amp fish in frozen form It will result in reduction of tax and help increasing the value addition as well as development of cold chain

Unprocessed in Sealed Container

--- --- --- --- --- --- --- 5 5

Source VAT schedules and rules of various states (2013) PwC Analysis


PwC 58


Table 8 Comparison of Entry Tax on agricultural products across major states

Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Nature of Levy of Entry Tax

On every category

Not applicable

On specific categories

No tax on any edible products


On specific

categories

On every category

No tax Instead

LBT

No tax as per High

Court order

Base Rate of Entry tax for uncategorized products

1 --- --- --- --- --- 1 4 ---

CEREALS

1 Rice Paddy

Rice - Whole Broken 1 --- --- --- --- 4 20 0 ---

Need to abolish Entry tax atleast on paddy and rice in whole and broken form owing to huge potential for milling activity in the state

It will give impetus to secondary processing of paddy ie milling

Paddy - Whole 1 --- --- --- --- 4 30 0 ---

Husk 1 --- --- --- --- --- 0 0 ---

Bran 1 --- --- --- --- --- 2 2 ---

Flour 1 --- --- --- --- --- 1 0 ---


1 --- --- --- --- --- 0 0 ---

2 Wheat

Whole Broken 1 --- --- --- --- 4 0 0 --- Need to abolish Entry tax on wheat in whole and broken form owing to huge potential for milling activity in the state

It will give impetus to secondary processing of wheat ie milling

Bran 1 --- --- --- --- --- 0 0 ---


1 --- 2 --- --- --- 5 0 ---

Vermicelli (Sewain) 1 --- --- --- --- --- 1 --- --- MP govt can look into the option of categorizing and exempting atleast unbranded bakery products so as to increase the value addition and provide impetus to micro and SSIs

Bread (Branded) 0 --- --- --- --- --- 0 0 ---

Bread (Unbranded) 0 --- --- --- --- --- 0 0 ---

Bread (Pizza) 0 --- --- --- --- --- 0 35 ---


PwC 59


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Biscuits (Branded) 1 --- --- --- --- --- 1 4 --- Reducing the tax would help to develop tertiary processing of wheat and thus would increase secondary processing (milling) activity

Biscuits (Unbranded) 1 --- --- --- --- --- 1 4 ---

Toast (Unbranded) 1 --- --- --- --- --- 1 4 ---

Rusk 1 --- --- --- --- --- 1 4 ---

Yeast 1 --- --- --- --- --- 1 4 --- Exempting the bakery ingredients would facilitate the cheaper availability of industrial raw material ingredients for wheat processing industry


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Cakes and pastries Cookies and other bakery goods (Unbranded)

1 --- --- --- --- --- 1 4 ---

3 Maize

Whole Broken 1 --- --- --- --- --- 0 0 --- Comparatively higher tax

Bran 1 --- --- --- --- --- 0 0 --- Comparatively higher tax

Germ gluten and oil 1 --- --- --- --- --- 1 2 ---

Flour 1 --- --- --- --- --- 1 0 --- Comparatively higher tax

Flakes 1 --- --- --- --- --- 1 4 ---

Starch 1 --- --- --- --- --- 1 2 ---

4 Sorghum


PULSES

5 All pulses including


PwC 60


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Gram Pigeon Pea (Tur) amp Lentil (Masoor)

Whole Pulses 1 --- --- --- --- --- 0 0 ---

Split (Dal) Broken 1 --- --- --- --- --- 0 0 ---


Flour Besan 1 --- --- --- --- --- 1 0 --- Need for categorization of Gram based products Comparatively higher tax due to no categorization Reducing the tax would help to develop tertiary processing of pulses (especially Gram) and thus would increase secondary processing (milling) activity


Roasted Fried 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Papad 1 --- --- --- --- --- 0 1 ---

OILSEEDS


Oilseeds (whole form) 1 --- --- --- --- --- 1 1 ---

Edible Oil 05 --- --- --- --- --- 05 15 ---

Hydrogenated Vegetable Oil

05 --- --- --- --- 5 05 2 ---

Oil Cake 1 --- --- --- --- --- 1 15 ---


PwC 61


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 ---

7 Soyabean

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 --- Comparatively higher entry tax

Soya Nuggests 1 --- --- --- --- --- 1 4 --- Need for categorization of soya based products It will result in reduction of tax and help increasing the processing of soyabean into other products than that of oil


1 --- --- --- --- --- 1 4 ---

8 Mustard Oilcake 1 --- --- --- --- --- 1 15 ---

FRUITS


Fresh Unprocessed 0 --- --- --- --- --- 0 0 ---

Fruits in frozen form 1 --- --- --- --- --- 1 35 ---

No categorization for fruits (whether processed or raw) sold in frozen state or sealed container

The entry tax of 1 (of total value) on processed fruit products makes the state unfavourable destination for investment

Fruits in sealed container 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---

Non-alcoholic Beverages (including fruit juices) whether or not in sealed container

2 --- 4 --- --- --- 1 4 ---

VEGETABLES



PwC 62


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Vegetables in Frozen form 1 --- --- --- --- --- 1 35 ---

No categorization for vegetables (whether processed or raw) sold in frozen state or sealed container

The entry tax of 1 (of total value) on processed vegetable products makes the state unfavourable destination for investment


1 --- --- --- --- --- 1 35 ---

Processed Vegetable Products such as dehydrated chopped powdered canned pickled puree sauce ketch-up chips etc whether or not in sealed container

1 --- --- --- --- --- 1 2 ---

SPICES

11 Chilli (Dry)

Whole 1 --- --- --- --- --- 1 0 --- Comparatively higher tax

Powdered 1 --- --- --- --- --- 1 0 --- Comparatively higher tax

12 Garlic

Fresh Unprocessed Whole

0 --- --- --- --- --- 0 0 ---

Dehydrated 1 --- --- --- --- --- 1 4 ---



Powdered 1 --- --- --- --- --- 1 4 ---

13 Coriander

Whole 1 --- --- --- --- --- 1 0 --- Comparatively higher tax Reducing it would help increasing the spices Separated 1 --- --- --- --- --- 1 0 ---


PwC 63


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Powdered 1 --- --- --- --- --- 1 0 --- grinding industry

LIVESTOCK PRODUCE

14 Milk

Liquid Form Fresh Milk 0 --- --- --- --- --- 1 0 ---

Pasteurized Milk 1 --- --- --- --- --- 1 4 ---

Buttermilk 0 --- --- --- --- --- 0 0 2 --- Unbranded Branded

Separated Milk 1 --- --- --- --- --- 0 0 2 --- Unbranded Branded

Lassi 0 --- --- --- --- --- 0 0 2 --- Unbranded Branded

Curd (Unbranded) 0 --- --- --- --- --- 0 0 2 --- Unbranded Branded

Curd (Branded) 0 --- --- --- --- --- 0 4 ---

UHT Milk 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---

Milk with any other ingredient (solid non fat) amp branded

1 --- --- --- --- --- 1 2 ---

Flavoured Milk 0 --- --- --- --- --- 0 4 ---

Milk Powder 1 --- --- --- --- --- 1 2 ---

Khoa (Mawa) 1 --- --- --- --- --- 1 4 ---

Cheese 1 --- --- --- --- --- 1 4 ---

Paneer 1 --- --- --- --- --- 1 4 ---

Cream 1 --- --- --- --- --- 1 4 ---

Butter 1 --- --- --- --- --- 1 4 ---

Ghee as industrial input 1 --- --- --- --- --- 1 4 ---


PwC 64


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ghee (Packaged) 05 --- --- --- --- --- 05 4 ---


1 --- --- --- --- --- 1 2 ---

Ice-cream Kulfi 2 --- --- --- --- --- 2 2 ---

15 Eggs 0 --- --- --- --- --- 0 0 ---


Unprocessed 0 --- --- --- --- --- 0 0 ---

Processed 1 --- --- --- --- --- 1 35 ---

Frozen 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---

Source Entry tax schedules and rules of various states (2013) PwC Analysis (LBT applicable in Mumbai Municipal Corporation area)


PwC 65


412 Infrastructure Issues

4121 Need for quality roads

Quality of roads remained a recurring issue in the state stakeholders from entire value chain have indicated

road quality as a key constraint It has been acknowledged that connectivity between major cities has improved

considerably over the time However many industrial towns and logistic hubs are still wanting of good quality

connecting roads Processing and unlocking value of commodities especially perishables is function of time it

takes to reach to the processing unit and roads connecting production zone and processing area determine the

speed with which raw material can reach processing units

4122 Land availability for genuine industries

Land is one of the major capital costs an industry has to incur while establishing a business Location of an

establishment defines its feasibility and comparative advantage Governments supporting industrialisation and

investment in a region earmarks specific area as industrial areas and provide all necessary support required for

a new investment to flourish However at times lands in such industrial areas are being bought by investors

with intent to make profit through real estate appreciation Such investment defeats the whole objective of the

government and discourages the genuine entrepreneurs

Such incidents were reported by stakeholders and it has been suggested that a follow up mechanism is required

through which Audyogik Kendra Vikas Nigam (AKVN) or other such authority needs to ensure that the land

acquired by an investor in an industrial area is being used for manufacturing and industrial use only and not as

real estate MP can follow the model followed by Ethiopian Government where strict timelines were set up for

designated use of land for investors and failure in that leads to abandoning the land deal

4123 Lack of primary processing facilities at mandis

Mandis have the potential to be developed as primary processing centres As a first step mandis can create a

conducive environment for processing by setting up primary processing plants like grading sorting etc in the

Mandi vicinity These facilities would be used by traders farmers agents at a fee and can generate value by

fetching better price for the produce Such facility would also ensure uniformity in the quality and hence will be

useful for the food processors

Promoting current

stakeholders into processing

Generation of value added

products

Better price than

unprocessed farm produce

Raw material for sec amp tertiary

processing available

External investment

Higher demand for

primary processing

The Mandsaur Mandi can be considered as an example for this initiative where a sorting machine has been set

up by the mandi itself on a lease basis The unit has become profitable within 3 years of its operations and today

attracts large scale buyers across the country because of their consistency in quality and sizable quantities


PwC 66


4124 Inadequate infrastructure in food parks

Many of the food parks in the state are not fully utilized by food processors as they lack key facilities

Stakeholders have identified following requirements as essential for the development of food parks in the state

Transportation - Public transport for labourers

Roads - With in the food park and connecting it to the nearest towns

Residential Complexes - For all grades of employees

Power Supply - 24 hour power supply required for 3 shift operation of industrial units and also for

residential purposes

Canteens and Restaurants - For refreshment purpose

4125 Cold chain availability and utilization

Availability of cold chain is key factor for development of processing of perishable in the state Initial

investment for cold store development is quite high and thereafter inversely proportional to its installed

capacity This supports the theory of development large cold stores to quickly achieve break-even On the other

hand larger size increases operating costs owing to high electricity and coolant usage along with maintenance

cost etc Only way out is to have higher capacity utilization which investors are not been able to achieve owing

to lack of availability of quantity across the year Itrsquos a chicken and egg situation which need government support to deal with government on one hand need to support cold chain investors by providing them sops like

subsidised power and on the other hand need to promote perishable processing industries by ensuring regular

raw material supplies to them

4126 Availability of transport facility

Connecting production zone to processing zone has two aspects connectivity and availability of transport

Processors have mentioned availability of transportation facility as a concern especially during winters which is

the peak season for harvesting and processing of soybean Soybean processors generate huge quantities of soya

de-oiled cake which is high in protein and fetches a good price in the international market due to its non GMO

origins Logistically most suitable port for export is Kandla port in Gujarat or Mumbai quantities to be moved

are difficult to transport by trucks and also it costs higher Feasible mode is rakes and availability of rakes

becomes a hindrance


PwC 67


413 Service Issues

4131 Lack of marketing initiatives

Many states in India have taken strategic steps resulting in a turnaround in their infrastructure and business

environment One of such initiatives is promotion or marketing of agricultural produce State government can

do it in different ways such as

Certification of agricultural produce

Developing specifications standards for farm produce

Linkages with FPOs co-operatives and branding their produce

Organizing trade fairs trade shows

Establishing exhibition amp convention centres

These initiatives can provide an impetus to further investment in the states thus improving economy of as well

as providing livelihood to the people

4132 Unutilized potential of mandis as lsquoKnowledge Transfer Hubsrsquo

There is increasing demand from the stakeholders regarding use of PPP in market extension activities of market

committees so that mandis can become knowledge transfer hubs Mandis are a unique place where almost all

farmers visit regularly traders have establishments processing units transporters and contract labourers are

present Given such stakeholders convergence mandis should be developed as a hub for creating awareness

among stakeholders regarding developmental policies schemes subsidies farm practices agricultural inputs

and other incentives This can be done by using marketing tools such as display boards posters and banners

with graphics and messages in local dialect etc The mandi officials should be trained and equipped to inform

the stakeholders in simple terms about the policies procedure for availing benefits and the relevant terms and

conditions This will help in utilization of the schemes by the target group and secure their intended effect

4133 Lack of RampD amp quality testing labs and their linkages

To continuously improve the seed variety maintain soil health and plant right crop and variety in the right

season using modern and relevant techniques RampD needs to work as a linkage between farmers and processors

The processors also raised a concern that there are only few (two) FSSAI approved laboratories in the state In

todayrsquos scenario of increased processing activity trade as well as serious issues such as adulteration of food

there is a need for improved network of infrastructure and service providers in this domain Promoting research

and development laboratories food quality and testing laboratories is also one of the major requirements for

developing agriculture and food processing sector in the state Such initiative would help farmers in taking right

decisions at the opportune time and derive intended benefits


PwC 68


4134 Capability development

It is important to build capabilities in the population in order to establish an inclusive mechanism to drive

growth Human capital is one of the largest inputs that an enterprise requires and its availability attracts higher

investment In this report human capital is studied in three stages managerial technical and physical or casual

labour

41341 Attrition

FPOs and retailers are badly affected by manpower attrition However the root cause of the problem is different

for both of them

Retailers put in considerable efforts on trainings to develop specific skill set among its employees and sector is

almost always short of skilled manpower On the other hand training cost for FPOs is negligible and FPOs are

always short of manpower which is dedicated and willing to work in rural areas It has been suggested that state

should start of some specific courses related to retail management and industry would respond by providing

trainings and job opportunities locally

However for FPOs employees are available at the execution level from the local areas but they lack technical amp

managerial expertise where planning interacting with government officials promotion of FPO to processors

and other such activities are involved Potential employees suited for the managerial level are averse to working

in villages and rural areas thus the attrition rate is very high It has been suggested that Government should

intervene and introduce courses focussing on rural management farmer organisation management etc and

help developing rural talent for the tasks

41342 Introduction of skill development courses

As many as 25 of the processors that we interviewed requested for food processing courses including dairying

oil technology vocational and ITI courses to be started in the existing universities The processors were ready to

partner the initiative by providing an apprenticeship to students of these courses for 4-6 months and later on

absorb the students based on merit and work experience This will not only generate employment but also help

the processors develop and retain talent in their businesses Moreover the institutes imparting education can

also involve in research activities


PwC 69


42 Areas of Intervention and Suggestions

Sr No


Interventions Required Suggestions


Marketing Reforms














Rationalize entry tax rates for some of the categories eg soya based processed products pulses and pulses products wheat products processed products from rice processed products from fruits and vegetables milk products spices






Develop single window clearance system for status tracking and monitoring mechanisms to


PwC 70


Sr No



measure progress with defined accountability and time bound service eg Maha eBiz an online single window application scrutiny and approval portal of Maharashtra Industrial Development Corporation Single window Clearance of Gujarat industrial development Corporation (GIDC)


2 Infrastructure Development of enabling

infrastructure to increase processing activities






3 Services Marketing Support

Extension Services

Skill Development






PwC 71


43 Implementation Road Map

Suggestions Action Steps Implementing Agency

Authority Suggested Timeline


Undertake study to finalize the market fee

Amendment in APMC Act

Dept of Farmer Welfare amp Agriculture Development

Madhya Pradesh State Agricultural Marketing Board

Government of Madhya Pradesh (Legislative Assembly)

Within 1 year

(by 2014-15)




Madhya Pradesh State Agricultural

Amendment in APMC Act Marketing Board Within 1 year




Legislative Assembly

(by 2014-15)


Amendment in VAT Act Schedules

Department of Commerce Industry amp Employment

Department of Horticulture amp Food Processing

Empowered Committee on Taxes

Finance Department Govt of

Within 1 year

(by 2014-15)


PwC 72




Madhya Pradesh



Undertake study to finalize the entry tax rates

Amendment in Entry Tax Act




Finance Department Govt of Madhya Pradesh


Within 1 year

(by 2014-15)

Exclude soyabean from biodiversity act Amendment in Biodiversity Act


Madhya Pradesh State Biodiversity Board




Within 1 year

(by 2014-15)

Exclude slaughterhouses and meat based processing Department of Commerce Industry

industries from ineligible industry list of Industrial amp Employment Within 1 year Promotion Policy

Establish strict timelines and actions regarding usage

Amendment in Industrial Promotion Policy Department of Horticulture amp Food

Processing

(by 2014-15)


PwC 73




of land allotted for industries




Development of online portal for application scrutiny and approval of different procedures licenses registrations


MP Trade amp Investment Facilitation Corporation Ltd (TRIFAC)

Madhya Pradesh State Industrial Development Corporation (MPSIDC)

Within 1 year

(by 2014-15)


Mobilization of farmers

Formation of FPOs

Financial assistance to FPOs for first 3 years

Technical financial and marketing assistance to farmers



Small Farmerrsquos Agribusiness Consortium (SFAC)

Within 3 years

(by 2016-17)



Formation of poultry development societies or co-operatives by aggregating the farmers

Financial assistance for the establishment of poultry farms for first 3 years

Technical financial and marketing assistance to

MP State Livestock and Poultry Development Corporation

Local NGOs

Within 3 years

(by 2016-17)


PwC 74




farmers


Invite private investors to develop infrastructure and operate the facilities

Allocation of land for development of consumer-farmer markets




Within 3 years

(by 2016-17)

Promote Public-Private Partnership (PPP) mode in following o Fruit and Vegetable Processing o Modern Slaughterhouses



Financial assistance for consumer-farmer markets

Provision of warehouses





MP Warehousing and logistics Corporation (MPWLC)

Within 3 years

(by 2016-17)


Collecting infrastructure requirements from APMCs

Allocation of funds for development of APMCs



Department of Horticulture amp Food

Within 5 years

(by 2018-19)


PwC 75




Processing







Within 5 years

(by 2018-19)


Allocation of land for development of clusters

Establish crop specific processing clusters


Madhya Pradesh State Agro Industries Development Corporation Ltd




Within 5 years

(by 2018-19)

Promote establishment of research and development (RampD) and quality and testing laboratories

Financial assistance to establish RampD and quality testing laboratories

Food and Drugs Administration Department of Public Health and Family Welfare


Within 5 years

(by 2018-19)


PwC 76




Madhya Pradesh Rural Road

Develop feeder roads in rural areas connecting it to Repairing andor construction of feeder roads

Development Authority Within 7 years

major mandi locations Madhya Pradesh State Agricultural Marketing Board

(by 2020-21)


Certification of farm produce







Within 5 years

(by 2018-19)


Invite private players and signing MOUs with them for market led extension




Within 5 years

(by 2018-19)


Establish educational and research institute in the field of food technology for skill manpower development in the state

Create linkages with industry and other relevant stakeholders to provide extension research consultancy services quality and testing support



Rajmata Vijayaraje Scindia Krishi Vishwavidyalaya (RVSKVV) Gwalior

Within 4 years

(by 2017-18)


PwC 77




Introduce specialized skill development courses for food processing sector

Develop specialized skill development courses as per need of food processing sector

Establish new ITIs it is in the state

Department of Technical Education and Skill Development


Within 5 years

(by 2018-19)


PwC 78

-

Proposed Projects

5 Proposed Projects

After analysing the current situation of food industry in the state and interacting with the stakeholders the

resultant output is in the form of prioritized crops produce for processing (focus areas) and constraints or

barriers (areas of interventions) which are affecting the growth of the sector in the state Therefore while

finalizing the key projects for the development of sector it is important to consider both of these aspects Also

for government it is important to work on those projects which will have maximum impact across different

commodities and livestock produce In other words the projects which will facilitate the overall development of

sector will be proposed In order to shortlist the possible projects we used project prioritization model which is

described below

51 Project Prioritization Model

The state government wish to create a repository of projects which would facilitate in accelerating the

development of food processing industry In view of this we have prioritized the crops and livestock produce

based on model which comprises three major parameters such as attractiveness of the crop produce

competitive advantage of the state with respect to it and importance or impact of the crop produce to the state

economy The model is described in section 222 in detail This model helped to identify the key focus crops

produce in which there is need and scope of processing Some of the project profiles would be based on these

prioritized crops produce For the remaining projects we have used the base of issues or concerns (raised by

different stakeholders) which are becoming impediments for the development of agri-business activity in and

around the value chains of prioritized crops produce The model to prioritize the projects is as follows

Based on Focus Areas

Based on Constraints

and Barriers

Objective Prioritization

of Crops amp Livestock Sub sectors

Prioritized Crops and Livestock Produce

Key Themes of Processing

Consultation with State

Government

Stakeholder Consultation

Issues Concerns

Mapping of issues

concerns across value

chains

Prioritization Matrix

Project Profiles


PwC 79

Proposed Projects

511 Based on focus areas (key crops and livestock produce)

The crops or livestock produce that needs to be focussed upon for processing point of view are prioritized on

criteria as mentioned in section 222

The proposed projects based on these prioritized crops or livestock produce are as follows

Table 9 Projects based on focus areas (key crops and livestock produce)

Sr No

Prioritized Crop or Livestock Produce

Intervention Required

Possible Solution (Project)

Project Category

1 Gram and other pulses

Increased processing

Development of processing cluster

Processing Capacity Enhancement

2 Wheat Increased processing



3 Rice Paddy Increased processing



4 Fruits and Vegetables Increased processing

Development of processing facilities on

PPP mode


5 Onion amp Garlic Increased processing


PPP mode


6 Meat other than poultry Increased

production

Development of slaughterhouse on PPP

mode


7 Poultry Meat Increased

production

Increase in production through societies or co-

operatives

Farmer Empowerment

through Societies Co-operatives


PwC 80

Proposed Projects

512 Based on (aimed at) addressing constraints and barriers

While prioritizing the projects aimed at addressing constraints or barriers we have mapped the prevalence of

major issues or concerns which were raised by different stakeholders working across different value chains of

different commodities or livestock produce in order to identify the impact of these issues This impact was

calculated based on the scores received by a particular crop or produce in prioritization model described in

section 222 and the frequency of a particular issue raised by stakeholders during primary survey

The major themes or areas of concerns are

Marketing Infrastructure amp Reforms

Lack of Cold Chain Ripening Chambers

Infrastructure Issues in Food Parks

Lack of Testing Laboratories amp RampD Centres

Lack of Technical Educational Institutes

Lack of Marketing Promotion of Agril Produce

Difficulty in Access to Credit


Status Issues of Cold Stores FPOs

Taxation Issues

Inadequate market linkages of farmers

Mandi Fees Issues

Following table shows the constraints barriers or concerns across major value chains suggested or raised by

stakeholders


PwC 81

Proposed Projects

Table 10 Prevalence of major issues as per stakeholders across different commodities and livestock produce in Madhya Pradesh (2011-12)

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

1

Cereals

Wheat

2 RicePaddy

3 Maize

4 Sorghum

5

Pulses

Gram

6 Pigeon Pea

7 Lentil

8

Oilseeds

Soyabean

9 Mustard

10 Groundnut

11

Fruits

Orange

12 Papaya

13 Banana

14 Guava

15 Mango


PwC 82

Proposed Projects

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

16

Vegetables

Green Peas

17 Onion

18 Tomato

19 Potato

20

Spices

Garlic

21 Chilli

22 Coriander

23

Livestock Produce

Milk

24 Eggs (Nos)

25 Poultry Meat

26 Other Meat

27 Fish

Total 22 11 20 15 21 9 27 27 10 25 22 10

Source Primary survey PwC analysis


PwC 83

Proposed Projects

513 Project Evaluation Matrix

For development of food processing sector in the state it is important to address above mentioned issues or

concerns raised by different stakeholders during primary survey Some of these issues require hard

interventions whereas others can be solved by are soft interventions In order to address these issues by

undertaking some specific projects they are gauged on the basis of three parameters such as

State government control

Private sector involvement interest

Impact of a particular issue on value chain

The issues on which state government have maximum control and which are important from private sector

perspective require to be addressed on priority basis The third parameter of impact on value chain also

underscores the need and urgency to resolve them The following matrix indicates the priority areas that need

to be addressed immediately

Priority Quadrant

High

State

Government

Control

Low

Low Private Sector Involvement Interest High

Marketing Infrastructure amp

Reforms Infrastructure in

Food Parks

Market Linkages

Cold Chain Ripening Chambers

Food Testing Labs

RampD Centres

Access to Credit

Marketing Promotion of Agri produce Technical

Educational Institutes

Time Bound Service

Mandi Fees

Status issue of Cold Stores FPOs

Taxation


PwC 84

Proposed Projects

Based on above matrix following issues are prioritized

1) Marketing Infrastructure and Reforms

2) Cold Chain and Ripening Chambers

3) Technical Educational Institute

4) Market Linkages

5) Taxation

6) Time Bound Service

7) Infrastructure in Food Parks

Out of these issues those which can be addressed through hard interventions and has maximum impact on

value chain are short listed as projects and categorized into four different categories as follows

Table 11 Projects aimed at removing constraints or barriers

Sr No

Prioritized Issue Type of



Project Category

1 Marketing Infrastructure and Reforms

Hard and Soft Intervention

Development upgradation of

marketing infrastructure

Marketing Infrastructure Development

2 Cold Chain and Ripening Chambers

3 Technical Educational Institute

Hard Intervention

Establishment of an institute

Human resource Development

4 Market Linkages Hard and Soft Intervention

Linking farmers to markets

Farmer Linkages and Empowerment

The final list of 10 projects is a combination of projects mentioned in Table 9 and Table 11 as mentioned below

The brief profile of these projects is given in next section


PwC 85

Proposed Projects


Based on the crops and project prioritization model we short-listed some key projects for the development of

food processing sector in the state While short-listing them the conscious effort was made to identify key areas

functions components of value chain which needs to be developed that would have maximum impact on the

respective value chain sub-sector and ultimately food processing as a whole Accordingly we found that at

present there are four key areas which are most important to strengthen the sector as a whole in the state

These areas are

Food Processing

Sector

Processing Capacity Enhance

ment

Marketing Infrastruct

ure Developm

ent

Farmer Linkages

amp Empower

ment

Human Resource Developm

ent

The projects are broadly divided into these major categories as mentioned in the table below


bullDevelopment of pulses processing cluster in Sagar district bullDevelopment of wheat processing cluster in Sehore district bullDevelopment of paddy processing cluster in Satna district bullEstablishment of integrated fruit and vegetable processing facility at Ratlam on PPP model bullEstablishment of vegetable dehydration facility at Neemuch on PPP model bullEstablishment of modern slaughterhouses on PPP model

bullDevelopment up-gradation of marketing facilities of the APMCrsquos


bullFormation of commercial poultry development societies co-operatives bullStrengthening of FPOs by facilitating the formation market linkages and capacity building


bullEstablishment of Food Technology institute at Indore

Human Resource Development


PwC 86

-

Brief Project Profiles


61 Development of pulses processing cluster in Sagar district

611 Context

Government of Madhya Pradesh intends to become preferred investment destination especially in food

processing sector and looking to increase the income level of farmers After completing the diagnostic

assessment of food processing sector of Madhya Pradesh it is found that there is immense potential to attract

private sector investment into post‐harvest activities of pulses Huge production base along with location

advantage with connectivity to all major consumption centres underscores this potential Therefore aligning

with state governmentrsquos objectives it is proposed to develop pulses processing cluster in Sagar district

612 Project

6121 Objectives

To increase the level of in-house processing of pulses

To ensure better returns to farmers

To create and promote farmers-processor direct linkages for assured market in catchment area

To generate direct and indirect employment opportunities

To reduce the post-harvest losses

To create contract farming opportunities in the catchment area

6122 Drivers

61221 Huge production base

Madhya Pradesh ranks first in total pulses production in the country It contributes around 20-25 of total

pulses production of India The average contribution to the total pulses production has been around 227 in

the last five years (2007-08 to 2011-12) Gram (Chick Pea) is major pulse grown in the state along with Lentil

(Masoor) and Pigeon Pea (Tur) However during diagnostic stage it is found that the secondary processing (dal

making) is comparatively low It may be because of huge demand outside the state which results in interstate

trade Therefore in order to promote in-house processing of pulses it is important to adopt the cluster based

approach

The district wise major pulses production is indicated below

Major Pulses

Rank Production

2011 12 (lsquo000 MT)

Percentage of National Production

Major Producing Districts

Gram Rank 1 32903 427 Sagar Vidisha Raisen Ashoknagar Dewas


PwC 87

-

-

-

--


Major Pulses

Rank Production

2011 12 (lsquo000 MT)



Damoh Rajgarh Narsinghpur Ujjain Chattarpur Sehore

Pigeon Pea (Tur)

Rank 3 3342 126 Narsinghpur Chhindwara Raisen Betul Damoh Rewa Jabalpur Seoni

Lentil (Masoor)

Rank 3 1800 191 Vidisha Ashoknagar Raisen Sagar Narsinghpur Jabalpur Damoh

Green Gram (Moong)

--- 213 13 Khargone Shivpuri Dhar Tikamgarh Ratlam Chattarpur Barwani Rewa

Black Gram (Urad)

--- 1488 84

Alirajpur Ashoknagar Tikamgarh Vidisha Chattarpur Shivpuri Damoh Sagar Jabalpur Mandsaur Ratlam Narsinghpur Satna

The figures above indicate that huge production base provides potential for pulses processing in the state It

underlines the need for promotion of establishment of pulses processing cluster in the state

The seasonality in terms of harvesting season of various pulses produced in Madhya Pradesh is shown below

Major Pulses Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Gram

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)

Peak Season Lean Season Round the year

61222 Deficit in current processing

The estimated current pulses processing capacity is less than the current demand (consumption) in the state It

suggests that there is current potential for pulses processing especially secondary processing activities such as

dal making

Major Pulses

Estimated Current

Processing Capacity 2011 12

(MT)

Required Current Capacity

(based on demand)

2011 12 (MT)

Current Shortfall of Processing

Capacity (MT and )


Capacity Required by

2023 24

(MT)


Capacity Addition

Required by 2023 24

(MT)

Gram

453299 736543 283244 930673 477374

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)

Source Dept of Commerce amp Industries Primary Survey PwC Analysis


PwC 88

- -


61223 Increase in demand

The demand for dal and pulses products is going to increase in next decade (by 2023-24) on account of

increasing per capita consumption and increasing population Moreover pulses requires to be milled before

consumption and as current processing (mainly secondary) capacity is comparatively low it can be inferred that

there is potential (estimated) for both secondary and tertiary processing of pulses (especially gram) in the state

Major Pulses

Current Demand 2011 12

(MT)

Estimated Demand by 2023 24

(MT)

Estimated Percentage Change

Gram 248607 451144 11036

Pigeon Pea (Tur) 340166 317316 -672

Lentil (Masoor) 71151 41170 -4214

Green Gram (Moong) 66823 99240 4851

Black Gram (Urad) 43944 21804 -5038

Total 736543 930673 2636

Source NSSO PwC Analysis

6123 Concept

61231 Benefits of cluster

Clusters Increase Productivity Efficiency

o Efficient access to specialized inputs services employees information institutions training

programs and other public goods (local outsourcing)

o Ease of coordination and transactions across firms

o Rapid diffusion of best practices

o Ongoing visible performance comparisons and strong incentives to improve vs local rivals

o Proximity of rivals encourages strategic differentiation

Clusters Stimulate and Enable Innovations

o Greater likelihood of perceiving opportunities for innovation (eg unmet needs sophisticated

customers combinations of services or technologies)

o Presence of multiple suppliers and institutions to assist in knowledge creation

o Ease of experimentation given locally available resources

Clusters Facilitate Commercialisation and New Business Formation

o Opportunities for new companies and new lines of established business are more apparent

o Spinoffs and startups are encouraged by the presence of other companies commercial

relationships and concentrated demand

o Commercializing new products and starting new companies is easier because of available skills

suppliers etc


PwC 89


61232 Location

The indicative location and catchment area is shown in following figure

The project location is proposed to be in Sagar district because of following reasons

Proximity to pulses producing area

Proximity to major mandis

Location is on North-South Corridor

Connectivity to all major cities of the state

61233 Proposed Activities

Develop a pulses processing cluster at Sagar

Name of the Project Pulses Processing Cluster

Location Sagar District

Combined Capacity ~ 200000 MTannum (of pulses equivalent)


PwC 90


Area Required ~ 20 acres

Catchment Area Sagar Vidisha Raisen Narsinghpur Ashoknagar Damoh Chattarpur Panna Jabalpur

(produces around 42 of total pulses in the state)

Proposed pulses to be processed Gram Pigeon Pea Lentil Black Gram Green Gram etc

Considering the growing area under various pulses especially gram in nearby areas of Sagar district it is

proposed to establish pulses processing cluster at Sagar It will increase the value addition immediately after

harvesting by creating assured market for produce It will help to reduce the losses presently occurring due to

transport of these pulses to distant markets within the state as well as markets outside the state Moreover the

proposed project will promote similar activity in the nearby area

For calculation purposes it is expected that the processing capacity would be shared by LMIs and SSIs in the

ratio of 6040 Around 4-5 units with capacity of 20000 MTannum and around 40-50 units with capacity of

2000 MTannum would process around 200000 MT of pulses annually However the actual ratio of types of

processing units depends on the interest of private players and thus may vary

It is estimated that around one acre area is required to set up a modern pulse processing plant of capacity 100

TPD (ie 100 x 200 days = 20000 MTannum) Similarly a small pulse processing unit with capacity of 2000

MTannum requires around 0125 acre is required

613 Cost Estimates

The most important requirement for establishing any processing facility is land The proposed cluster would

require around 20 acres of land It is assumed that state government will allot the required land for the same

Therefore the estimated cost described below excludes the land cost The required cost for establishment of

pulses processing cluster is approximately Rs 82 crores

Sr No

Particulars Units Amount

(in Rs Lakhs)

1 Land ~ 20 acres ---

2 Land Development --- 2000

3 Roads and Pavement Area --- 8000

4 Weighbridge 2 1200

5 Warehouses (5000 MT) 2 30000

6 Power

(sub-station and distribution network including street lights etc) --- 24000

7 Water supply including overhead tanks pump houses and

machinery --- 11000

8 Sewage Treatment Plant (STP) 1 800

9 Administrative Complex --- 5000

Total 82000


PwC 91


614 Annual Revenue Streams and Sources Project Benefits

Major project benefits are as follows

Particulars Benefit

Estimated revenue generation from pulses processing Rs 1100 Crores

Estimated employment generation (both direct and indirect) Approx 2000

Estimated number of farmer beneficiaries (both direct and indirect) Approx 80000

Apart from above other benefits includes

Assured market and prices for farmers in catchment area

Reduction in wastage

Increase in economic activity

Socio-economic development of the area

615 Implementation Structure

A coordinated approach would be required Various state level agencies would be given the responsibility of

specific tasks detailed under

Sr No

Task Particulars To be Completed by

1 Land allotment State Government

2 Creation of common infrastructure Government Agency

(eg MPAKVN MPSIDC)

3 Creation of warehouses Government Agency

(eg MPWLC)

4 Setting-up of specialised infrastructure facilities Private Sector

5 Maintenance of facilities Private Sector

616 Risk

6161 Financial Risk

The proposed project is at the conceptual stage and the detailed study (DPR) is required for financial

closure There may be escalation in the cost of project due to delay in finalizing this concept


PwC 92


6162 Implementation Risk

Land is the most critical component for any project The land has to be suitable for the purpose with adequate water supply drainage options connectivity to major markets as well as major agricultural belts free from encumbrances not exposed too much to vagaries of nature etc The quality and size of such land parcels will determine the return potential of project

The land acquired will be used for development of infrastructure and facilities Therefore it requires various clearances from various government bodies for construction to commissioning Delays in getting any of these clearances will lead to delay in the completion and non-availability of any of these clearances may delay the project Therefore such delays and non-availability of clearances can be a threat

Infrastructure required by the project but not included as part of the project ndash such as road access water supply etc are also important Delays in creation of these infrastructure facilities may have a negative impact on the projectrsquos profitability

The success of project demands participation from entrepreneurs setting up units within project area The project will have to attract sufficient number of participants to achieve maximum return potential

6163 Operational Risk

There may be a significant shift in cropping pattern in catchment area in future owing to relative

profitability of crops This may lead to reduction in availability of raw material

6164 Miscellaneous Risk

Acts of God like floods earthquake etc that disrupt operations are a form of risk which exists for all projects The same risk is applicable in this case as well


PwC 93




PwC 94

-


62 Development of wheat processing cluster at Sehore

621 Context

Madhya Pradesh has emerged as one of the leading state in terms of wheat production It produces some of the

finest quality of wheat in India After completing the diagnostic assessment of food processing sector of Madhya

Pradesh it is found that there is immense potential to attract private sector investment into post‐harvest

activities of wheat Huge production base along with varietal availability and location advantage with

connectivity to all major consumption centres underscores this potential Therefore in order to promote in-

house processing of wheat it is important to adopt the cluster based approach and thus it is proposed to develop

wheat processing cluster at Sehore

622 Project

6221 Objectives

To increase the level of in-house processing of wheat






6222 Drivers


Madhya Pradesh ranks fourth in total wheat production in the country The average contribution of the state in

the total wheat production in the country for the last five years (2007-08 to 2011-12) has been around 95 The

production is expected to increase substantially in the next 5 to 10 years However during diagnostic stage it is

found that the secondary processing (milling) is comparatively low It may be because of increased procurement

by government agencies in the recent past and huge demand for special varieties of wheat outside the state

which results in interstate trade This trend is expected to continue in future as well Despite of these

constraints it is found that there is considerable potential for processing of wheat in the state Therefore in

order to promote in-house processing of wheat it is important to adopt the cluster based approach

The major wheat producing districts are shown below

Cereal Rank Production

2011 12 (lsquo000 MT)



Wheat Rank 4 127032 1216 Hoshangabad Chhindwara Sehore Harda Raisen Vidisha Dhar Ujjain Dewas Gwalior Datia


PwC 95

- -


The above data indicates that huge production base provides potential for wheat processing in the state It

underlines the need for promotion of establishment of wheat processing cluster in the state

The seasonality in terms of harvesting season of wheat produced in Madhya Pradesh is shown below

Major Cereal Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Wheat


62222 Varietal availability

Madhya Pradesh is famous for some unique varieties of wheat such as Sharbati Moreover durum wheat (hard

wheat) with high protein and high gluten content is largely grown in the state These varieties types of wheat

gives competitive advantage to Madhya Pradesh where some quantities are purchased by the private traders at

a price premium mainly for processing purpose and to produce high value branded products


The demand for wheat and its products is going to increase coming decade (by 2023-24) on account of

increasing per capita consumption and increasing population Moreover rapid urbanization changing lifestyle

and increased health consciousness would lead to increased demand for processed products Huge production

base of unique wheat (sharbati durum) coupled with increase in demand suggests that there is substantial

potential for primary (sorting and grading) secondary (milling) and tertiary processing (processed products) of

wheat in the state

Major Cereal


(MT)


(MT)


Wheat 7183377 10016554 3944


6223 Concept










PwC 96












suppliers etc

62232 Location



PwC 97


The project location is proposed to be at Sehore because of following reasons

Proximity to wheat producing area (especially sharbati variety)


Proximity to major consumption centres

Area is already declared as AEZ by APEDA


Develop a wheat processing cluster at Sehore

Name of the Project Wheat Processing Cluster

Location Sehore

Combined Capacity ~ 450000 MTannum


Catchment Area Sehore Hoshangabad Harda Vidisha Ashoknagar Raisen Dewas

Type of activities likely to be undertaken Sorting Grading amp Packaging

Milling

Manufacturing of Processed Product

Processed products likely to be manufactured Packed amp Branded Wheat Atta Maida Rawa Suji and Other processed products

Considering the growing area under various varieties of wheat (especially sharbati and durum) in nearby areas

of Sehore district it is proposed to establish wheat processing cluster at Sehore It will increase the value

addition immediately after harvesting by creating assured market for produce The proposed project will

promote similar processing activity in the nearby area

For calculation purposes it is expected that around 40-50 units with capacity of 9000 MTannum would

process around 450000 MT of wheat annually However the actual ratio of types of processing units depends

on the interest of private players and thus may vary

It is estimated that around one acre area is required to set up three modern wheat processing units

623 Cost Estimates




wheat processing cluster is approximately Rs 85 crores


PwC 98


Sr No


(in Rs Lakhs)






6 Power


7 Water supply

(including overhead tanks pump houses and machinery) --- 11000



Total 84500



Particulars Benefit













PwC 99


Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



626 Risk

6261 Financial Risk









There may be a significant shift in cropping pattern in catchment area in future owing to relative profitability of crops This may lead to reduction in availability of raw material


Acts of God like floods earthquake etc that disrupt operations are a form of risk which exists for all

projects The same risk is applicable in this case as well


PwC 100

-


63 Development of paddy processing cluster at Satna

631 Context

Paddy is one of the important agricultural crops in Madhya Pradesh Though major rice producing belt has

been detached from the state after formation of Chhattisgarh in recent past paddy cultivation and processing

activity has increased in Madhya Pradesh It has also gained momentum due to basmati cultivation and interest

shown by some of the private player to enter into contract farming After completing the diagnostic assessment

of food processing sector of Madhya Pradesh it is found that there is immense potential to attract private sector

investment into post‐harvest activities of paddy Substantial production base along with location advantage

with connectivity to major consumption centres underscores this potential Therefore in order to promote in-

house processing of paddy it is important to adopt the cluster based approach and thus it is proposed to develop

paddy processing cluster at Satna

632 Project

6321 Objectives

To increase the level of in-house processing of paddy






6322 Drivers


Madhya Pradesh contributes around 15 to 2 of total paddy production of India The average contribution to

the paddy production for the last five years (2007-08 to 2011-12) has been around 17 The production is

expected to increase significantly in the next 5 to 10 years However during diagnostic stage it is found that the

secondary processing (milling) is comparatively low It may be because of increased procurement by

government agencies in the recent past This trend is expected to continue in future as well Despite of these


order to promote in-house processing of paddy it is important to adopt the cluster based approach

The major paddy producing districts are shown below


2011 12 (lsquo000 MT)



Paddy Rank 14 22273 211 Balaghat Shahdol Seoni Rewa Satna Katni


PwC 101

- - -


The above data indicates that huge production base provides potential for paddy processing in the state It

underlines the need for promotion of establishment of paddy processing cluster in the state

The seasonality in terms of harvesting season of paddy produced in Madhya Pradesh is shown below


Paddy


63222 Deficit in processing capacity

The estimated current paddy processing capacity is less than the current demand (consumption) in the state It

suggests that there is current potential for paddy processing in the state

Crop

Estimated Current Processing Capacity

2011 12

(MT)

Estimated Processing Capacity Required by

2023 24

(MT)

Estimated Processing Capacity Addition

Required by 2023 24

(MT)

Paddy 410340 777972 367632


6323 Concept

















PwC 102





suppliers etc

63232 Location


The project location is proposed to be at Satna because of following reasons

Proximity to paddy producing area




Develop a wheat processing cluster at Satna


PwC 103


Name of the Project Paddy Processing Cluster

Location Satna




Type of activities likely to be undertaken Milling

Manufacturing of other processed products

Processed products likely to be manufactured Rice Bran Poha Churi Husk etc

Considering the growing area under paddy in nearby areas of Satna district it is proposed to establish paddy

processing cluster at Satna It will increase the value addition immediately after harvesting by creating assured

market for produce The proposed project will promote similar processing activity in the nearby area


process around 300000 MT of paddy annually However the actual ratio of types of processing units depends


It is estimated that around one acre area is required to set up a modern paddy milling processing unit with

capacity of 10000 MTannum

633 Cost Estimates




paddy processing cluster is approximately Rs 9 crores

Sr No


(in Rs Lakhs)






6 Power

(Sub-station and distribution network including street lights etc) --- 24000

7 Water supply




Total 90000


PwC 104




Particulars Benefit






Reduction in post-harvest losses






Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)




PwC 105


636 Risk

6361 Financial Risk







The success of project demands participation from entrepreneurs setting up units within project area

The project will have to attract sufficient number of participants to achieve maximum return potential






PwC 106


64 Integrated fruits and vegetable processing facility at Ratlam on PPP model

641 Context

Madhya Pradesh ranks 5th in terms of vegetable and 8th in terms of fruits production in the country It produces

many of commercially important fruits and vegetables such as orange guava papaya pea tomato potato etc

in recent past the area under horticultural produce has increased substantially in the state The demand for

fruits and vegetables is growing both within and outside of the state Moreover there is opportunity to export

value added semi-finished and finished products of fruits and vegetables Despite of these processing and value

addition of fruits and vegetables is very low in the state After completing the diagnostic assessment of food

processing sector of Madhya Pradesh it is found that there is immense potential to attract private sector

investment into post‐harvest activities of horticulture produce Therefore in order to promote processing and

value addition activity of fruits and vegetables it is proposed to establish integrated processing facility at Ratlam

on PPP model

642 Project

6421 Objectives

To provide remunerative returns to farmers by adding value to their horticulture produce

To encourage existing fruit and vegetable growers to diversify in cropping pattern

To create and promote farmers-processor linkage for assured market for fruits and vegetables in

catchment area


To reduce the post-harvest losses in horticulture produce


6422 Drivers

Due to increase in income level of people changing lifestyle and awareness there is increase in demand for the

processed food products and thus increase in food processing activity Also there is a huge demand for fruit

pulp juices concentrates and various vegetable products such as tomato puree sauces ketch-ups chutneys

etc in the international market The major countries associated with the trade of these value added products

are Germany Netherlands USA France and UAE

The major horticulture crops in Madhya Pradesh which could be used to manufacture such products are orange

papaya guava banana mango lemon tomato amla bottle gourd water melon and other vegetables MP is the

second largest producer of guava and third largest producer of amla in the country Citrus fruits are also

produced in significant quantity in the state

The district wise major fruits and vegetable production is indicated below


PwC 107

-


Fruit amp Vegetable

Rank Production

2011 12 (lsquo000 MT)



Orange Rank 2 6475 207 Chhindwara Mandsaur Shajapur Ujjain Betul Ratlam Neemuch Hoshangabad

Guava Rank 2 2553 102 Jhabua Indore Hoshangabad Alirajpur Morena Jabalpur Ujjain Ratlam

Amla Rank 3 1275 133 Jhabua Khandwa Neemuch Chhindwara Alirajpur Ratlam

Papaya Rank 6 2749 62 Ratlam Khandwa Barwani Khargone Shajapur Dhar Vidisha Jhabua

Banana Rank 7 13792 48 Burhanpur Dhar Barwani Khandwa Khargone

Mango Rank 13 1751 11 Alirajpur Indore Chhindwara Betul Balaghat Jhabua

Tomato Rank 4 134959 72 Ratlam Jabalpur Bhind Barwani Dhar Sagar Chhindwara Khandwa

Bottle Gourd Rank 2 41716 56 Jabalpur Ratlam Dewas Sagar Mandsaur Hoshangabad

Watermelon Rank 5 19096 111 Khandwa Shajapur Barhanpur

Cabbage Rank 9 37628 45 Jabalpur Indore Betul Shajapur Ratlam Dhar Neemuch

The seasonality in terms of harvesting season of various fruits and vegetables produced in Madhya Pradesh is

shown below

Fruit Vegetable Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Mosambi

Orange

Mango

Banana

Lime Lemon

Guava

Papaya

Amla

Tomato

Cabbage

Cauliflower

Potato

Onion

Bottle Gourd

Okra

Watermelon

Brinjal

Pea



PwC 108


The figures indicate that fruits and vegetable processing unit in MP holds enormous potential to contribute

significantly in food processing sector It underlines the need for establishment of exclusive facility for

processing of fruit and vegetable in the state

Major advantages of this project are -

It will provide support to the overall production of fruits and vegetable which is characterized by short

harvesting seasons

Due to its multi facet processing capabilities such project could handle different types of fruits amp

vegetables to optimize capacity utilization and make processing commercially competitive

6423 Concept

64231 PPP Model

Establishment and running the fruit and vegetable processing facility requires expertise in operations right

from raw material procurement or handling to marketing of the produce andor products which private sector

can handle efficiently Whereas the public or government sector can aid by providing capital intensive assets

such as land Therefore it is expected that the requirement of land (around 7 acres) will be met by state

government while the business efficiencies and initiatives will be managed by the private entity

There are different models of PPP such as BOO (Build ndash Own ndash Operate) DBFOT (Design ndash Build ndash Finance ndash Operate ndash Transfer) etc and the choice of which depends on the objectives As primary objective is to promote

the processing activity in the state it is proposed that the project can be completed based on BOO (Build ndash Own

ndash Operate) model This model will facilitate the private players who are already in the FampV processing or going

to enter in this domain It will provide a good opportunity to expand their operations in this field and to

enhance their market share Incentives will be available to the private player such as land warehousing facility

tax breaks etc along with backward linkages

Key Features of PPP Model

State government will nominate the department or any related public entity as an implementing agency

Land will be provided by state government and will be maintained by private entity

Supporting facilities are being established on site by respective government agencies (such as MPWLC

and other related departments)

Opportunity for backward linkage especially in the form of contract farming

64232 Location



PwC 109


The project location is proposed to be in Ratlam district because of following reasons

Proximity to fruit and vegetable producing area

Availability of good infrastructure


Connectivity to all major cities and states which is going to become better due to DMIC (Delhi Mumbai

Industrial Corridor)

Proximity to proposed Inland Container Depot (ICD) at Ratlam with Truck Terminal

Project comes under proposed investment region (Ratlam-Nagda) of DMIC

Proximity to proposed multi modal logistical hub under DMIC (at Pithampur)



PwC 110



Establish integrated fruit and vegetable processing facility at Ratlam on PPP model

Name of the Project Integrated Fruit amp Vegetable Processing Facility on PPP model

1) Fresh FampV Operations

2) Multi Fruit Aseptic Processing Plant

Location Ratlam

Combined Capacity 35000 MT

Area Required ~ 7 acres (~27000 m2)

Catchment Area Ratlam Ujjain Indore Shajapur Mandsaur Neemuch Jhabua Alirajpur Dhar Barwani Khargone Khandwa

Proposed fruits to be processed Orange Mosambi Lemon Guava Papaya Amla Mango Banana

Proposed vegetables to be processed Tomato Cabbage Local Potato Onion Bottle Gourd Cauliflower Okra Water Melon Brinjal Pea

1) Fresh Fruit and Vegetable Operations

Considering the growing area under various fruits and vegetables in Ratlam and nearby area it is proposed to

set up a pack house for grading packing and marketing of fresh fruits and vegetables It will increase the value

addition immediately after harvesting by creating assured market for produce It will help to reduce the losses

presently occurring due to transport of fruits and vegetables to distant markets such as Indore mandi Lashkar

mandi etc within the state as well as markets outside the state Moreover the proposed project will promote

similar activity in the nearby area

On the basis of production and market arrivals in the catchment area it is proposed to set up a Fresh Produce

Pack House with an annual capacity of 15000 tonnes Two grading and packing lines (semi‐automatic) of 2

tonshr capacity each can be used and output of 50 tonnes per day can be achieved

Proposed fruits to be handled ndash Orange Mosambi Lemon Guava Papaya Amla Mango Banana

Proposed vegetables to be handled ndash Tomato Cabbage Local Potato Onion Bottle Gourd Cauliflower

Okra Water Melon Brinjal Pea

Annual Handling Capacity ndash 15000 MT (for 300 days)

Target Market ndash Indore Ujjain Bhopal Vadodara Ahmedabad Udaipur Other nearby markets


Aseptic bulk packaging is gaining momentum over traditional canning due to its less cost of packaging and easy

operation Moreover the acceptability of aseptically packed products is comparatively better Considering the

huge production base of papaya guava and tomato in nearby areas of Ratlam it is proposed to set up aseptic

processing unit at Ratlam Additionally other fruits such as orange and mango can be considered while

developing the detail project report (DPR)


PwC 111


On the basis of production and market arrivals in the catchment area it is proposed to set up aseptic processing

unit with annual capacity to handle around 20000 MT of produce

Proposed fruits to be handled ndash Guava Papaya Amla Orange Mango

Proposed vegetables to be handled ndash Tomato



643 Cost Estimates

The most important requirement for establishing any processing facility is land The proposed fruit and

vegetable processing facility will require around 7 acres of land It is assumed that state government will allot

the required land for the same Therefore the estimated cost described below excludes the land cost The

required cost for establishment of and vegetable processing facility on PPP model is approximately Rs 30 crore

with an operational expenditure of around Rs 41 crore for first year

6431 Non-recurring Expenditure

Sr No


(in Rs Lakhs)

Plant ndash 1 (Fresh Fruit and Vegetable Operations)

1 Land ~ 9000 m2 ---

2 Road amp Pavement Area (Rs550m2) ~ 1800 m2 1000

3 Building (including office) (Rs12000m2) ~ 2000 m2 24000

4

Plant amp Machinery

Cleaning grading and packing lines (2 tons per hour)

Crate Washer Fork Lift Pallet Jack Weighing Bridge Water Storage Generator Hydraulic Pallets Hydraulic Lifts

---3000

8000

5 Utility Plant Machineries

(HVAC) --- 5000

6 Miscellaneous Fixed Assets

(Plastic Crates for material handling Furniture amp Fixtures etc) --- 3000

Sub-Total (Plant-1) 44000

Plant ndash 2 (Multi Fruit Aseptic Processing Plant)

7 Land ~ 18000 m2 ---


9 Building (Rs15000m2) ~ 2000 m2 30000

10 Office (Rs15000m2) ~ 300 m2 4500

11 Ripening Chamber ~ 2000 m2 8500


PwC 112


12 Utility Buildings (Raw Material Bay Coal Yard ETP Civil Work Boiler House etc)

12500

13 Warehouse for finished goods on lease basis from MPLWC ~ 2000 m2 5000

14

Plant amp Machinery

(Plant and Machinery of multi fruit aseptic plant preparatory pasteurization fining decanting sterilization and aseptic filling)

--- 135000

15

Utility Plant Machineries amp Other Assets

(Boiler Water Treatment Plant Water Storage Tank Chiller Cooling Tower Water Softening Plant ETP Generator Nitrogen Plant Laboratory Equipments Crates Hydraulic Pallets Hydraulic Lifts etc)

--- 45000


Common Infrastructure

16 Water Storage RCC construction --- 5000

17 Water Pumping Station Distribution lines etc --- 1000

18 Water Treatment System Filtration Carbon Filtration and Degermination Chemical treatment plant etc

--- 2500

19 Utility Civil Buildings etc --- 6000

Sub-Total (Common Infrastructure) 14500

Grand Total (All Non-Recurring Cost) 300500

6432 Recurring Expenditure

The recurring expenditure includes pay and allowances of technical and non-technical staff maintenance of

infrastructure utilities and consumables such as water power chemicals fuel etc Please note that the

recurring expenditure will increase over time due increase in the pay and allowances consumablersquos cost The

recurring expenditure for the first year is detailed below

Sr No

Particulars Amount

(in Rs Lakhs)


1 Manpower Cost (for around 20 heads) 3000

2 Raw Material 110000

3 Packaging Cost 4000

4 Processing Cost 5500

5 Transportation amp Handling Charges 30000

6 Administrative Cost 1500

7 Marketing Cost 3000

8 Maintenance 100




PwC 113








15 Maintenance 2500


Grand Total (All Recurring Cost) 411600

644 Annual Revenue Streams and Sources

1) The installed annual capacity and turnover on installed capacity are as follows

Sr No

Operation Source of Revenue

Installed Processing

Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)

1 Marketing Operations of Fresh Fruits amp Vegetables 15000 180000

2 Multi Fruit Processing Plant (Aseptic Bulk Packaging Tomato Paste Plant)

20000 310000

Total 35000 490000

2) Estimated employment generation (both direct and indirect) ndash Approx 40

3) Estimated number of farmer beneficiaries (both direct and indirect) ndash Approx 850

4) Apart from above other benefits includes









PwC 114


Sr No



2 Creation of common infrastructure Private Sector

3 Creation of warehouse MPWLC

4 Setting-up of specialised facilities Private Sector


Duration of contract Long Term (10-15 Years)

Terms of lease BOO

The project is proposed to be completed within 3 years (by December 2016) However the time required for

completion of project depends on the inter-departmental procedures of government and various approvals

646 Risk

6461 Financial Risk





The land acquired will be used for development of infrastructure and include facilities like warehouses power plants etc besides food processing units Therefore it requires various clearances from various government bodies for construction to commissioning Delays in getting any of these clearances will lead to delay in the completion and non-availability of any of these clearances may delay the project Therefore such delays and non-availability of clearances can be a threat

Unforeseen litigations may cause delay in the implementation or result in cost over runs thereby affecting the potential return from the project

Estimation of the costs to be incurred during the construction phase may not be accurate as certain

factors about the park development may be unknown at the time of the projections If there is an increase in the costs it will have a bearing on the profitability of the projects

Management is the most critical part of a successful project and timely implementation without any cost over-runs is dependent heavily on the management If the management is not competent or lacks motivation it will have very negative repercussions on the projects




PwC 115





The regulations pertaining to this project which are not in control of state government can change in course of the project and it can have a varied range of impact



PwC 116


65 Vegetable dehydration facility at Neemuch on PPP model

651 Context

Madhya Pradesh produces some of the commercially important vegetables and spices such as onion and garlic

In recent past the area under these major vegetables spices has increased substantially in the state However

the price realization by farmers is comparatively low It is found that seasonality is one of the major reasons

which affect the demand-supply cycle and the resultant prices of these horticultural produce The demand for

these specific vegetables (onion) and spices (garlic) is growing in both domestic as well as international market

Therefore there is need to increase the value addition of these categories Dehydration is one of the easy ways to

preserve these types of vegetables spices It increases the shelf life of these perishable categories and the

resultant product fetches better prices in the market Therefore in order to promote processing and value

addition activity of vegetables it is proposed to establish vegetable (especially garlic and onion) dehydration

facility at Neemuch on PPP model

652 Project

6521 Objectives


To create and promote farmers-processor linkage for assured market for garlic and onion in catchment

area


To reduce the post-harvest losses of these horticulture produce


6522 Drivers

The fruits amp vegetables are perishable in nature and mostly available in specific season This natural

phenomenon generally results into low price realization in glut season by farmers To overcome the problem of

seasonal availability and to benefit the farmers by providing better returns value addition is necessary

Dehydration is one of the technique by which vegetables are preserved in dehydrated form for a longer period

and are made available during off‐season With this technology certain high value and popular vegetables can

be profitably sold The dehydrated vegetables are used to manufacture instant vegetable noodles soups snacks

and fast food Dehydrated onion is used as condiment and flavoring agent in manufacturing of tomato

ketchups sauces salad pickles chutneys meat sausages masala bread and buns breakfast foods etc

The vegetables selected for preparing dehydrated products in the project are onion garlic tomato cabbage etc

The products have been selected based on availability of raw materials and market potential of the finished

product

The district wise major vegetable production is indicated below


PwC 117

-


Vegetable Rank Production

2011 12 (lsquo000 MT)



Garlic Rank 2 2700 220 Ratlam Indore Chhindwara Neemuch Ujjain Mandsaur Shajapur Dewas Guna Chattarpur

Onion Rank 3 195700 112 Shajapur Indore Khandwa Ujjain Sagar Rewa Barwani Ratlam Jabalpur Mandsaur Dhar Dewas



The figures indicate that fruits and vegetable processing in MP holds enormous potential to contribute


dehydration of vegetable in the state

The seasonality in terms of harvesting season of various vegetables produced in Madhya Pradesh is shown

below

Vegetable Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Garlic

Onion

Tomato

Cabbage


6523 Concept

65231 PPP Model

Establishment and running any fruit and vegetable processing facility requires expertise in operations right












PwC 118








65232 Location


The project location is proposed to be in Neemuch district because of following reasons

Proximity to vegetable producing area


Connectivity to major cities and states which is going to become better due to DMIC (Delhi Mumbai



PwC 119



Project comes under proposed investment region (Neemuch-Nayagaon) of DMIC



Establish vegetable dehydration facility at Neemuch on PPP model

Name of the Project Vegetable Dehydration Facility on PPP model

Location Neemuch



Catchment Area Neemuch Mandsaur Ratlam Shajapur Ujjain Indore Dhar Guna Rajgarh

Proposed vegetables to be processed Garlic Onion Tomato Cabbage

Dehydration Plant

Considering the growing area under various vegetables especially garlic and onion nearby area of Neemuch it is

proposed to set up a dehydration plant It will increase the value addition immediately after harvesting by

creating assured market for produce It will help to reduce the losses presently occurring due to transport of

these vegetables to distant markets within the state as well as markets outside the state Moreover the proposed

project will promote similar activity in the nearby area

On the basis of production and market arrivals in the catchment area it is proposed to set up dehydration plant

with an annual capacity of 12000 tonnes Two grading and packing lines (semi‐automatic) of 2 tonshr capacity

each can be used and output of 50 tonnes per day can be achieved

Dried or dehydrated fruits and vegetables can be produced by a variety of processes These processes differ

primarily by the type of drying method used which depends on the type of food and the type of characteristics

of the final product In general dried or dehydrated fruits and vegetables undergo the following process steps

pre‐drying treatments such as size selection peeling and color preservation drying or dehydration using

natural or artificial methods and post dehydration treatments such as sweating inspection and packaging

Proposed vegetables to be handled ndash Garlic Onion Tomato Cabbage



653 Cost Estimates

The most important requirement for establishing any processing facility is land The proposed vegetable

dehydration facility will require around 6 acres of land It is considered that state government will allot the

required land for the same Therefore the estimated cost described below excludes the land cost The required

cost for establishment of vegetable dehydration facility on PPP model is approximately Rs 196 crore with an

operational expenditure of around Rs 12 crore for first year


PwC 120



Sr No


(in Rs Lakhs)

1 Land ~ 24000 m2 ---


3 Building (Rs15000m2) ~ 2000 m2 30000

4 Office (Rs15000m2) ~ 300 m2 4500

5 Raw Material Storage Shed ~ 9000 m2 7500


4000


8

Plant amp Machinery

(Garlic Onion Cabbage Dehydration Unit and Tomato Dehydration Unit)

--- 120000

9


(Boiler Water Treatment Plant Water Storage Tank ETP Generator Laboratory Equipments Crates Hydraulic Pallets Hydraulic Lifts etc)

--- 22500

Total 195700


The recurring expenditure includes pay and allowances of technical and non technical staff maintenance of




Sr No

Particulars Amount

(in Rs Lakhs)







7 Maintenance 200

Total 120700


PwC 121






Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)

Dehydration of Vegetables 12000 150000











Sr No








Terms of lease BOO




PwC 122


656 Risk

6561 Financial Risk


















PwC 123




PwC 124


66 Establishment of modern slaughterhouses on PPP model

661 Context

Government of Madhya Pradesh intends to develop food processing sector inclusively and intends to increase

the income level of farmers Livestock produce is one of the important sub-sectors of the food processing sector

Animal husbandry is also considered as a very effective complementary activity to the traditional farming and

thus does have a huge employment generation capacity

After completing the diagnostic assessment of food processing sector of Madhya Pradesh it is found that there is

immense potential and need to develop animal products industry in the state Moreover the production of meat

(excluding poultry meat) is about 40 of total consumption which indicates that remaining demand is satisfied

by importing meat products from other states This fact indicates that in order to develop this sector there is

need to increase the production of meat (excluding poultry meat) in the state Therefore aligning with state

governmentrsquos objectives it is proposed to establish modern slaughterhouses in the state

662 Project

6621 Objectives

The objectives of the project can be outlined as follows

To increase production and processing of meat and meat products in the state

To provide hygienically produced high quality animal products to consumer

To create and promote farmers-processor linkage for assured market for animals in catchment area

To provide remunerative returns to farmers

To reduce the losses on account of unorganized business


To generate revenue for local bodies

6622 Drivers

66221 Deficit in production

Though the meat (other than poultry meat) production in Madhya Pradesh has grown at the CAGR of around

62 over the period 2007-08 to 2011-12 the state is net importer of meat (other than poultry meat)

Considering the ever growing demand there is a need to increase the production of meat (other than poultry

meat) in the state

The snapshot of meat (other than poultry meat) production and consumption is indicated below


PwC 125

- --

-


Parameter

Meat

(other than poultry)

Major Districts Remarks

Production (MT) 25000 Bhopal Jabalpur Indore Dewas

Net Available Production (MT) 24425 Harvest amp Post-harvest Loss of 23 for Meat (other than poultry meat)

Consumption (MT) 60064 ---

Estimated Potential for Production (MT)

35064 (production is less than consumption)


There is no meat (other than poultry meat) processing unit in the state It may be because of non-availability of

surplus production and preference to unprocessed meat from wet markets Therefore there is a need to take

steps towards increasing production of meat (other than poultry meat) in the state


As per NSSO data the per capita consumption of meat in the state has increased by around 50 during last

decade It shows the demand for meat (other than poultry meat) is expected to increase tremendously by 2023-

24 on account of increasing per capita consumption and increasing population

Particular


(MT)

Current Production 2010 11

(MT)

Estimated Demand Supply Gap 2010 11

(MT)

Meat

(other than poultry meat) 60064 25000 35064


6623 Concept

66231 PPP Model

Establishment and running modern slaughterhouse requires expertise in operations right from procurement or

handling to marketing of the produce andor products which private sector can handle efficiently Whereas

the public or government sector can aid by providing capital intensive assets such as land Therefore it is

expected that the requirement of land (around 2 acres) will be met by state government while the business

efficiencies and initiatives will be managed by the private entity



ndash Operate) model This model will facilitate the private players who are already in or going to enter in this

domain It will provide a good opportunity to organize the operations in this field Incentives will be available to

the private player such as land tax breaks etc along with backward linkages


PwC 126





Supporting facilities are being established on site by respective government agencies

66232 Location


Indore

Bhopal

The project location is proposed to be in above cities because of following reasons

Increasing consumption in urban areas

Proximity to major livestock markets

Connectivity to major cities and states


Establish modern slaughterhouse on PPP model

Name of the Project Modern Slaughterhouse on PPP model

Location Indore and Bhopal

Annual Capacity ~ 45000 animalsyearfacility

Area Required ~ 2 acresfacility

Proposed animals to be slaughtered Goat Sheep Buffalo

Considering the growing demand for animal products such as meat in urban areas it is proposed to set up

modern slaughterhouses in the state It will help to increase the organized business of slaughtering of animals

On the basis of production and market arrivals in the catchment areas it is proposed to set up facility with an

annual capacity to slaughter 45000 animals (around 30000 goatsheeps and 15000 buffalos)

The proposed facility would contain following major sections

1) GoatSheep Slaughterhouse

2) Buffalo Slaughterhouse

3) Blood Processing Plant

The products would be meat carcasses and by products would be blood meal and manure


PwC 127


663 Cost Estimates

The most important requirement for establishing any processing facility is land The proposed project will



modern slaughterhouse facility on PPP model is approximately Rs 43 crores

Sr No


(in Rs Lakhs)


2 Roads Boundry Wall amp Pavement Area --- 3500

3 Building (Rs10000m2) ~ 1100 m2 11000

4

Utility Buildings

(Animal Market Water Storage Drainage System ETP Civil Work etc)

2500

5 Plant amp Machinery

(GoatSheep Line and Buffalo Line) --- 21000

6


(Blood Processing Plant ETP Generator Electricals Other Miscellaneous Equipments)

--- 15000

Total 43000


The annual capacity and turnover are as follows


Slaughtering Capacity

(in Nos)

Approx Annual

Turnover

(in Rs Lakhs)

Slaughtering of animals 45000 700000




Sr No






PwC 128




Terms of lease BOO



666 Risk

6661 Financial Risk







Estimation of the costs to be incurred during the construction phase may not be accurate as certain factors about the park development may be unknown at the time of the projections If there is an increase in the costs it will have a bearing on the profitability of the projects

Infrastructure required by the project but not included as part of the project ndash such as road access water supply etc are also important Delays in creation of these infrastructure facilities may have a negative impact on the project


PwC 129




PwC 130


67 Development up-gradation of marketing facilities of the APMCrsquos

671 Context

The diagnostic report which involved intense discussion and interaction with key stakeholders in the

agricultural value chain brought into light certain issues which are hampering efficient trading of agricultural

produce Infrastructure and facilities available at mandi level is a major concern across the State It not only

affects farmers (by virtue of delay in trade inefficient trade resulting in low price realization) but also hampers

value addition through processing During the diagnostics stage it was found that one third of mandi issues was

related to infrastructure availability More specifically the diagnostic report brought out the following key

findings as regards infrastructure availability in mandis

Warehouses are available in more than 60 of the mandis but more than one third of them are not

adequate to handle the volumes

Advance facilities which have direct impact on transactions and shelf life of horticultural produce such

as ripening chambers and cold storages are absent

Lack of standardisation of quality norms at mandi level creating disincentive for farmers to adopt best

practices and producing quality material This is because similar quality produce can fetch different

prices and different quality produce are sold at similar prices Also processors are restricted from

receiving quality raw material due to lack of primary processing quality and standardization facilities

in the mandis

State mandis have platform based revenue model rather than services based revenue model which is

restricting mandis to act as centres of primary processing thereby benefiting both buyers and sellers

and increasing profitability of mandi operations

672 Project

6721 Drivers

Developmentupgradation of market facilities in APMCrsquos is of utmost importance for development of the food processing sector in the state Well-developed marketing infrastructure and efficient marketing system will

promote competitive trade as well as facilitate farmerrsquos access to value addition services such as grading and

storage etc on one hand and increase value addition reduce supply chain inefficiency and post- harvest losses

on the other The recent report of ldquoCommittee of State Ministers In-charge of Agriculture Marketing to

Promote Reformsrdquo also recognizes the challenges existing for the stakeholders at the mandi level and calls for urgent modernization of infrastructure along with suitable modifications of agricultural market policies and

regulations

6722 Objectives

The objectives of developmentupgradation of the marketing facilities of APMCsrsquo are

Capacity building of existing marketing infrastructure at the mandis for increasing efficiency of

operations and value to stakeholders


PwC 131


Provide additional marketing infrastructure (warehouses market yards drying yards weighing and

mechanical handling etc) to handle expected and future arrivals of commodities and establishment of

advance facilities for increasing shelf life of perishable goods

Create infrastructure facilities for grading standardization and quality certification so as to ensure

price realization to farmers as per quality and availability of required quality produce for buyers and

processors This is envisaged to enable pledge financing and marketing credit and introduction of

negotiable warehousing receipt system

6723 Concept

Based on the findings of the diagnostics study we estimate that around 32 key AMPC markets need to be

developed upgraded for increasing efficiency in agricultural marketing and for boosting the level of value

addition food processing in the state

There are 246 regulated markets in Madhya Pradesh which are sub-divided into A B C and D categories

according to market arrivals and revenue

Regulated markets

Principal Sub-market yards Total

246 275 521

Principal markets

Category Number Percentage

A 51 21

B 40 16

C 58 24

D 97 39

Total 246

The proposed mandi developmentupgradation project seeks to modernize 63 percent of the A category

markets in Phase 1 and 2 as mentioned below


A phase wise modernization of the existing APMC markets is proposed under the project and is indicated

below

672311 Phase 1

1) Selection of 4 key markets (Pipariya Balaghat Hosanghabad Ratlam dealing majorly in gram paddy

wheat and FampV respectively) in line with the proposed processing zones for the above commodities

2) Selection of 6 key markets in other areas dealing in soyabean pulses cereals other oilseeds and fruits

and vegetables (Indicative locations Ujjain Katni Banapura Jabalpur Morena and Shujalpur)


PwC 132


The above selected 10 key markets are critical for strengthening the agricultural marketing system in

the state for important commodities and to intensify processing in identified zones The identification

of the indicative list of markets above has been done through a multi-parameter analysis which

considered the importance of the market (in terms of throughput of key commodities) infrastructure

requirement location to major processing and consumption centres among others However the final

selection of markets and infrastructure requirement need to be based on a detailed feasibility report

and stakeholder consultation in partnership with the concerned APMCrsquos

3) Identification of infrastructure requirement with regards to basic market user common facilities and

functional infrastructure in the above 10 key markets An indicative list of these facilities is mentioned

below

a Basic facilities such as roads water supply sanitation waste disposal boundary walls parking

shed etc

b Market user common facilities such as market yards platforms for loadingunloading

assembling auctioning of produce weighing and mechanical handling equipments

shopsoffices etc

c Functional infrastructure for dryingcleaninggrading standardization SPS (sanitary and

phytosanitary) measures and quality certification packaging labelling ripening chambers

cold storages warehouses etc

The requirement of infrastructure will vary across the selected markets and will depend on the

characteristic of each market operations the commodities and volume handled and commercial

feasibility

4) Preparation of proposal for development of the 10 selected key markets based on individual

requirements in partnership with the concerned APMCrsquos

5) Submission of proposal to state agricultural marketing board for approval and routing through relevant

schemes for financial support

Timeframe Phase-1 of the modernization of 10 APMC markets is estimated at around 4-5 years from

project conception to implementation

672312 Phase 2

1) Selection of 22 key markets for modernization (to be based on detailed feasibility study and stakeholder

consultation)

The feasibility study for the selection of the above markets should be conducted after initial work on

implementation of Phase-1 commences

2) Repeat of steps 3 4 and 5 from Phase 1

Timeframe Phase-2 of the modernization of 22 APMC markets is estimated at around 10 years from



The guiding factors should be the extent of non-availability of adequate marketing facility in a particular

market Other factors to be considered are


PwC 133


Location of the market and its linkage to important processing zones

Availability of land

Willingness of the participation of the State government agencies

Commitment of the state govt to provide a part of the financing as per the central schemes available

(mentioned below)

Volume of commodity arriving in a market

Quality of commodity arriving in a market and suitability for processing

The following central government schemes for market developmentupgradation can be utilized for seeking

financial assistance for modernization of the proposed key markets

Scheme for Development strengthening of Agricultural marketing infrastructure Grading and

standardization Ministry of Agriculture and Co-operation Govt of India

Scheme for creation of market infrastructure for horticulture commodities National Horticulture

Mission (NHM)

The following sequential activities should be undertaken for market modernization

1) Preparation of Terms of Reference and Scope of services for undertaking feasibility study for selection

of key markets for developmentupgradation

2) Selection of competent agency with relevant experience through competitive bidding by concerned

State govt agencydepartment for conducting feasibility studies and detailed stakeholder consultation

for modernization of markets in Phase 1 and 2

3) Conduct of feasibility exercise by selected competent agency involving stakeholder perspective and

expert opinions

4) Based on results of feasibility study and stakeholder consultation identify final list of markets for

developmentupgradation along with details of infrastructure requirement and associated costs

5) Preparation of Detailed Project Reports (DPR) for each selected market by concerned State

agencyAPMC or through competent external agencies selected through competitive bidding

6) Submission of DPR to concerned banks or NABARD (in case of bank financed projects or projects

refinancedco-financed) or to Approval Committee of Ministry of Agriculture (for central govt schemes

mentioned above) in case of projects where the State Marketing Boards APMCs or other State

Agencies propose to invest their own funds

674 Cost Estimates

The total cost or expenditure involvement in developmentupgradation of selected markets may be shared

between the APMC or the State Govt Agencies and Govt of India in the ratio of 7525 in case of Scheme for

Development strengthening of Agricultural marketing infrastructure Grading and standardization Ministry of

Agriculture and Co-operation Govt of India


PwC 134


675 Project Benefits

The project attempts to provide direct benefit to farmers in the catchment area of the markets by way of better

return to their produce and to provide input to them through better market information Apart from the

farmers the project also seeks to benefit the processors by way of providing quality goods besides ensuring

efficiency in market operations

676 Indicative Project Profile for a Model APMC

Based on the diagnostic study and our experience in establishing a model APMC in various states an indicative

market profile is provided below It must however be noted that a detailed profile for each of the proposed

APMCsrsquo to be modernized will need to be based on primary assessment and field survey to be conducted through competent agencies during implementation

For the purpose of the indicative market profile we have selected Shujalpur mandi which is one of the 10 key

markets selected for developmentupgradation in Phase 1 A brief snapshot is provided below

6761 Brief Snapshot

Title Description

Project Modernization of Shujalpur APMC

Background

Shujalpur mandi has good trading of gram masoor and soyabean Lack of basic and modern facilities like covered shed handling warehouse grading display boards etc currently acts as bottleneck to value addition activities and better price realization to farmers but also the fast development of mandi and market area

Project activities and scope

Shujalpur mandi is proposed to be modernized for handling larger volumes efficiently and also to stimulate the value addition activities in the region which results in overall development of the catchment area of the mandi and better realization of prices to the farmers

Project demand drivers

Shujalpur mandi is one of the important mandi of the state as it has good arrival of gram soyabean and masoor This mandi is located in Ujjain division in Shajapur district and is close to major production zones of gram in Ujjain Dewas Sehore and Rajgarh These districts account for 18 of the total gram production in the state with a total production of around 06 million tonnes and an acreage of 058 million ha Also Shajapur district is the third highest producer of soyabean in the state with a production of around 039 million tonnes and is adjoining to the major soyabean regions of Ujjain Dewas and Sehore The mandi also figures as the third largest in terms of arrival of masoor in the state At present the partial reforms of APMC act in Madhya Pradesh do not allow the establishment of alternate private markets for marketing of agricultural produce As such developmentupgradation of existing APMC market is the way forward for increasing marketing efficiency ensuring better price realization to farmers encourage value addition and increase mandi income However existing reforms initiated in the APMC act enables Madhya Pradesh to avail subsidy from central govt under the Scheme for Development Strengthening of Agricultural Marketing Infrastructure Grading and Standardization


PwC 135

-


Project cost estimate The estimated cost of developmentupgradation of the mandi is around INR 968 crores

Means of finance

25 of the cost to be borne by APMCstate marketing board 25 shall be the subsidy provided by the Central Government under the Scheme for Development Strengthening of Agricultural Marketing Infrastructure Grading and Standardization and 50 shall be the loan component from the banks OR 75 of the cost to be borne by APMCstate marketing board and 25 shall be the subsidy provided by the Central Government under the Scheme for Development Strengthening of Agricultural Marketing Infrastructure Grading and Standardization

Implementation structure

The APMC will act as the lead implementer of the project with possible privatization of certain modern facilities such as cleaning and grading standardization warehousing etc

Project risk There is possibility of opposition on privatisation of facilities in mandi due to vested interests of current stakeholders There is also possibility of demand risks

6762 Detailed Indicative Profile

67621 Context

Shujalpur mandi is one of the important mandi of the state as it has good arrival of gram soyabean and masoor

This mandi is located in Ujjain division in Shajapur district and is close to major production zones of gram in

Ujjain Dewas Sehore and Rajgarh These districts account for 18 of the total gram production in the state

with a total production of around 06 million tonnes and an acreage of 058 million ha Also Shajapur district is

the third highest producer of soyabean in the state with a production of around 039 million tonnes and is

adjoining to the major soyabean regions of Ujjain Dewas and Sehore The mandi also figures as the third

largest in terms of arrival of masoor The arrival of major commodities in the market in 2012-13 is shown

below

Major Arrivals 2012 13 (MT)

Gram Masoor Tuar Moong

Urad Soyabean Mustard Vegetables

39634 7788 4 24 73942 350 46277

Shujalpur mandi is located in Shajapur district in Ujjain division and is the main market yard with the mandi

being regulated in 16th January 1954 The area yard of the market 2822 ha with two sub-yards in Arniakalan

and Panwadi The mandi area covers 66 villages of Shujalpur tehsil

As per the categorization of mandi based on revenue Shujalpur mandi comes under ldquoArdquo category

Details of Mandi

Notified area of market committee 7724 ha

Area yard 2822 ha

Market fee 2


PwC 136

-


Facilities

Basic facilities (water toilets etc) Yes

Weighment Yes

Auction platform Yes

Covered shed Yes

Warehouse No

Cold storage No

Ripening chamber No

Cleaning grading standardization No

Quality testing No

Mandi income and value of trade (2012 13) Rs Crore

Market fee 9962

Other income 052

Total income 1048

Total value of trade 49815

67622 Present Constraints

The present problems in the mandi as regards infrastructure availability are

Inadequate covered shed

No storage facility for farmers

Lack of modern facilities as such cleaning grading and sorting and quality testing

Lack of cold storage

67623 Project

Shujalpur mandi is proposed to be modernized for handling larger volumes efficiently and also to stimulate the

value addition activities in the region This would result in overall development of the catchment area of the

mandi and better realization of prices to the farmers

Opportunity exists for private sector participation in the project for setting up and efficient management of

modern facilities The proposed major facilities required for the market based on primary assessment and

stakeholder interactions are

1) Warehousing and Grain Handling Facilities

Scientific storage of grains is required for the better price realization to the farmers at the time of glut

Such facilities will also help in maintaining the quality of produce and preventing value loss For this

proper grain handling system and warehousing facilities are recommended in the mandi


PwC 137


2) Cold Storage Facility

The present mandi infrastructure do not have facility for cold storage of perishable fruits and vegetables

arriving in the market leading to wastage and inadequate price realization for the farmers As such

establishment of scientific cold storage infrastructure can provide boost for fruits and vegetables

marketing through the mandi besides providing quality produce with better price realization

3) Central Cleaning Grading and Sorting House

Gradingsorting line should be established at the central cleaning grading and sorting house where the

produce will be inspected and graded as per the relevant quality standards In addition quality testing

equipments are also proposed to be introduced

Apart from the above the Shujalpur market also requires development of the market yard through construction

of concrete roads and foundation for efficient functioning of market functions in yard However such costs are

not included in the proposed indicative modernization profile

67624 Cost Estimate

Civil works Unit Total cost (INR) Proposed location

Warehouse 3000 MT 7500000 Sub-market yard-Arniakalan

Cold storage 2500 MT 62500000 Sub-market yard-Arniakalan

Central cleaning grading amp sorting room

2000 sq m 10800000 Shujalpur main market

Subtotal 80800000

Plant amp Machinery Unit Total (INR) Proposed location

Grading sorting packing line (fampv) 5 MThr

1 4000000 Shujalpur main market

Colour sorter (grains) 2 10000000 Shujalpur main market

Mechanical handling Various 2000000 Shujalpur main market

Oil testing metre 2 20000 Shujalpur main market

Moisture metre 5 5000 Shujalpur main market

Sampler 5 2500 Shujalpur main market

Sub-total 16027500

Total project cost 96827500

The proposed location for the warehouse and cold storage facility is at Arniakulan sub-market yard due to

suitability of location in terms of availability of land and access (located at around 15 km from the main market

yard on the state highway)

The above estimates are only indicative and needs to be based on primary assessment of infrastructure

requirement and stakeholder interaction to be conducted through competent agencies during implementation


PwC 138



Provision of warehouse and cold storage infrastructure

The farmers are forced to sell their produce even for non-remunerative prices sometimes due to the

non-availability of the storage facilities The provision of the warehouse and cold storage would enable

the farmers to store their produce at times of non-remunerative prices and also avail the benefits of

stock finance thus avoiding distress sales Also it will help the farmers to avail warehouse receipt

financing facility increasing access to credit and ensuring financial inclusion Moreover deterioration

in produce quality and wastage will be reduced which will enhance the chances of availability of good

quality produce to processors

Grading and sorting line

Ungraded produce always fetches a lower price than the graded produce The farmers usually sell

ungraded produce due to the non-availability of grading facilities The provision of grading and sorting

lines would help the farmers in getting a better remuneration for their produce and also help processors

with a better quality produce

Increase in volume of trade and mandi revenue

On the basis of discussions with the traders producers and mandi staff a significant increase is

expected in the present volume of trade and market fee from the present turnover of Rs 49814 crore

and present market fee income of Rs 996 crore The estimates of incremental increase expected at the

rate of 20 in first year 15 in second year and then 7 in third year onwards which is based on

business growth rate in volume and market fee is given in following table

Expected incremental increase in trade and mandi fee income

Rs Crore Year 1 Year 2 Year 3 Year 4 Year 5

Incremental increase in value of trade

59777 68744 73556 78705 84215

Incremental increase in market fee

1195 1374 1471 1574 1684


The infrastructure facility created such as for storage cleaning grading and sorting could be created and

managed by private sector for which land should be given on lease The service providers would run the

facilities commercially by charging the users

Since only certain facilities are proposed to be handed over to private sector for implementation as opposed to

private management of the mandi no policy changes are required for undertaking the project The mandi board

needs to initiate measure for inviting private sector to set-up the proposed facilities The mandi board should

identify land that could be allotted to private sector for setting-up of these facilities


PwC 139


67627 Risk

There is possibility of opposition on privatisation of facilities in mandi due to vested interests of current stakeholders

There is also possibility of demand risks


PwC 140


68 Formation of commercial poultry development societies co-operatives

681 Context


the income level of farmers Livestock products especially poultry are one of the important sub-sectors of the

food processing sector Poultry is also considered as a very effective complementary activity to the traditional

farming and thus does have a huge employment generation capacity if developed commercially


immense potential and need to develop poultry in the state Moreover the production of poultry meat is about

25 of total consumption which indicates that remaining demand is satisfied by importing poultry birds from

other states This fact indicates that in order to develop this sector there is need to increase the production of

poultry in the state Therefore aligning with state governmentrsquos policy it is proposed to form poultry

development societies co-operatives in the state

682 Project

6821 Objectives

The main objective of the project is to promote the commercial poultry rearing activity by forming societies or

co-operatives in the project area and help them to promote establishment poultry farms by member farmers

and undertake product aggregation and marketing (market linkage) of their produce These producers company

shall be able to undertake various activities in collective manner like bulk purchase of inputs delivery of these

items to individual member farmers providing veterinary support capacity building etc


Planning for the aggregation of farmers so that they eventually form societies or co-operatives with the

help of NGOs or any nominated government agency

Promotion of commercial poultry production in the state


To contribute in and promote women and social empowerment

6822 Drivers


Though the total meat production in Madhya Pradesh has grown at the CAGR of around 38 over the period

2008-09 to 2011-12 the state is net importer of broiler poultry The government has launched different

programmes for poultry development but the emphasis has been given on backyard poultry However

considering the ever growing demand there is a need to increase the production of commercial poultry (broiler)

in the state

The snapshot of poultry production and consumption is indicated below


PwC 141

- -

-

-- -

-

-


Parameter Poultry

Meat Major Districts Remarks


Net Available Production (MT) 11556 Harvest amp Post-harvest Loss of 37 for Poultry Meat





There is no poultry meat processing unit in the state It may be because of non-availability of surplus

production and preference to unprocessed poultry meat from wet markets Therefore there is a need to take

steps towards increasing production of poultry meat in the state


As per NSSO data the per capita consumption of poultry meat in the state has increased by around 153 during

decade It shows the demand for poultry meat is expected to increase tremendously by 2023-24 on account of

increasing per capita consumption and increasing population

Particular


(MT)

Current Production

2010 11 (MT)

Estimated Demand

Supply Gap 2010 11

(MT)

Estimated Demand by

2023 24

(MT)

Estimated Production by 2023 24

(MT)

Estimated Demand

Supply Gap 2023 24

(MT)

Poultry Meat 49966 12000 37966 249427 53481 195946


6823 Concept

68231 Number of societies co-operatives and Location

Though the forecasting of demand and supply based on decadal CAGR shows that there would be a deficit of

195946 MT of poultry meat in the state However it is found that the rate of consumption and production has

increased tremendously and thus we used the current level of consumption to calculate the demand and found

that there would be atleast around 45000 MT of deficit in the year 2023-24 Considering the output of 3000

MT per year it is estimated that there would be requirement of around 15 such societies co-operatives in order

to make Madhya Pradesh self-sustainable in terms of production of poultry meat


PwC 142


The proposed societies can be formed in the areas where there is need and opportunity to promote it The

guiding indicators for selection of such areas can be

Present poultry livestock

Low per capita income

Lack of other employment opportunities

Less developed districts

Higher women involvement

Proximity to consumption markets

Proximity to maize growing area etc

The indicative list of location consists of following districts

1) Shivpuri

2) Bhind

3) Morena

4) Datia

5) Tikamgarh

6) Chhatarpur

7) Panna

8) Damoh

9) Sagar

10) Jhabua

11) Alirajpur

12) Barwani

13) Harda

14) Betul

15) Chhindwara


PwC 143



The project can be divided into the following major activities

1) Formation of poultry development societies or co-operatives by aggregating the farmers

2) Financial assistance for the establishment of poultry farms

Formation of Poultry Development Societies or Co-operatives

The societies or co-operatives can be formed in the project areas by bringing interested farmers (especially

women) together and helping them in registering the entity This task can be done by taking help of local NGOs

or any other related entities Alternatively government departments or agencies can be given the responsibility

The society co-operative will act as a mediator between government and its members The basic structure

would be similar to that of a producer company and it will undertake following major activities

Registering the member farmers

Providing technical support to member farmers

Providing inputs and veterinary services to its members

Aggregating and marketing of the produce

Financial Assistance for Establishment of Poultry Farms

Each society or co-operative will promote involve in promotion of poultry rearing activity by attracting

interested farmers It can be done by starting a suitable scheme or programme The member farmers will

undertake following activity

Creation of infrastructure (poultry shed)

Rearing of birds (500 birds per farm)

The creation of infrastructure and running the poultry farm would require certain amount of fund which will be

provided by society or co-operative in the form of subsidy or aid

683 Cost Estimates

The proposed project is targeted at 500 farmers per society or co-operative which is proposed to be

implemented in 3 years depending upon the target of number of member farmers as follows

1st year ndash 150 Farmers

2nd year ndash 150 Farmers

3rd year ndash 200 Farmers

Preparation of Vision Document for Food Processing Sector in Madhya Pradesh Department of Horticulture and Farm Forestry Govt of Madhya Pradesh PwC 144


An estimated cost required for the incorporation of a poultry development society or co-operative including

financial assistance to around 500 member farmers is around Rs 415 crores

Sr No

Requirement Unit

Amount

(Rs in

lakhs)

1st year

Amount

(Rs in

lakhs)

2nd year

Amount

(Rs in lakhs)

3rd year

150 Farmers +150 Farmers +200 Farmers

1 Formation of a society or co-

operative --- 050 --- ---

2

Operating Expenses

Office

Manpower

Consumables

--- 2500 2500 2500

3

Financial Assistance to Members Farmers

Creation of Infrastructure

Working Capital

Training and Capacity Building

Rs 55000farm

Rs 25bird

Rs500farmeryr

8250

1875

075

8250

1875

075

11000

2500

100

Sub-Total 12750 12700 16100

Total Cost (for 3 years project) 41550

684 Project Benefits Annual Revenue Streams and Sources

Expected turnover from one society co-operative of 500 farmers ndash Rs 2100 Lakh

Increase in income level of farmers

Increase in domestic production of poultry meat


Increase in direct and indirect employment




Sr No


1 Mobilization of farmers Government Agency NGOs



2 Formation of society co-operative Government Agency NGOs

3 Financial assistance to society co-operative for first 3 years State Government

4 Creation of common infrastructure Farmers with the help of Society Co-

operative

5 Maintenance of facilities Farmers

6 Technical financial and marketing assistance to farmers Society Co-operative

The proposed project of formation of commercial poultry development societies co-operatives is proposed to

be completed within 4 years (by December 2017) However the time required for completion of project depends

on the inter-departmental procedures of government and various approvals

686 Risk

Ability of the state to provideallocate matching funds and co-ordinate the efforts of multiple agencies

Ability of the cluster based group of farmers to come together for a collective cause where difference of

opinion for arriving at common decision may arises



69 Strengthening of FPOs by facilitating the formation market linkages and capacity building

691 Context

It has been understood that most of the farmers lack the marketing skills for the agriculture produce which they

reap after the effort of more than six months Most of their effort is oriented towards the cultivation of crops

plant protection etc This situation is highly pronounced in case of small and marginal farmers Aggregation of

farmers on a common platform by forming a Farmers Producer Company comes as an answer to traditional

problem

The FPO not only helps the member farmers in selling their produce for a better pricing but also help them

procure the agri-inputs required at a lower price This is because the collective power and increased bargaining

power which is lacking in case of an individual farmer

Hence creating an awareness to form an FPO and strengthening the FPO is considered to be extremely

important activity for the government

692 Project

6921 Objectives

The main objective of the project is to promote the concept of FPO in the project area and help them establish

as a commercially viable producers company to undertake the product aggregation part as well as market

linkage part successfully These producers company shall be able to undertake various activities in collective

manner like bulk purchase of inputs delivery of these items to individual member farmers grading and sorting

activity before marketing of agricultural produce and first level processing required


With the help of NGOs or other agencies planning for the aggregation of farmers so that they

eventually form an FPO on cluster level and providing technical assistance to the FPO for the

registration of producer company accounts management and overall management

Training needs assessment on market linkages and agribusiness needs of selected FPOs and capacity

building of the FPO post assessment of the particular needs

Assisting FPO to identify the suitable common facility centres and prepare a business plan for the same

Assisting the FPOs to develop the market linkage with the processors exporters and other stakeholders

in the market

6922 Drivers

Formation of the Farmers producers company on a cluster based approach Identification

of potential cluster districts for the formation of Producer Company and bringing the farmers on a

common platform to adopt the idea of an FPO by creating awareness about the benefits of FPO

Assisting the capable group in preparation of bye laws and registration of FPO



Need for proper training and capacity building of FPOs

o Training Needs Assessment (TNA) on market linkages and agribusiness needs of selected FPOs

- Preparation of training module on concept of Farmers Common Facility Centres (CFCs)

operated by FPOs market linkage backward and forward linkage

o Identification amp Capacity Building of Community Resource Person (CRP) of FPO - Training of

CRP on book keeping cash flow and basic computer skills amp preparation of reports etc

Need for proper accounting system The FPOs are in need of assistance for collection of share

capital financial transactions memberrsquos contribution land requirement for setting up farmersrsquo common facility centres if any Also there is a need to identify FPO level activities and develop

accountability system

Need for business development plan Identification of business activities and prepare

commercially viable and bankable business plan - Implement business plan with the help of various

ongoing govt schemes like NABARDrsquos scheme NHM scheme or state government schemes

(development of common infrastructure warehousing space etc)

Need for market linkage development Assist FPOs to develop and strengthen the linkages for

marketing with other stakeholder like APMC MPSWC and other agencies like processors large

procurement agencies in the area exporters etc Exposure of member farmers to banks insurance

information logistic provider etc

Eg It is beneficial and important for grain producing farmers to be aware about Warehouse Receipt

based Finance Similarly it would be highly beneficial for farmers or FPOs producing fruits and

vegetables to know and develop linkages with exporters and direct retailers

6923 Concept

The project can be divided into the following 3 sub- projects-

1) Formation of FPO by aggregating the farmers on a cluster based approach

2) Financial assistance to FPOs for the establishment of Common Facility Centres amp Market linkage

3) Capacity Building of the FPO

693 Cost Estimates

6931 Estimated cost for incorporation of a producer company

An estimated cost required for the incorporation of a producer company with minimum mandatory authorised

capital of Rs 5 lakhs

Sr No

Requirement Type of Expense Amount (Rs)

1 Application for name of PC Fees 50000

2 Digital Signature Fees 260000

3 Stamp duty Memorandum of Association (MoA) 50000


- - -


Article of Association(AoA) 100000

4 Registrationfiling fees

Memorandum of Association (MoA) 1600000


Form-1 30000

Form-18 30000

Form-32 30000

5 Fees of CACS17 firm Consultancy Fees 1000000

6 Stamps cancellation Charge 30000

7 Affidavit expenses Fees of Notary 45000

Share Transfer Fees amp Processing Charge 500000

Total 3755000

Source ASA Fee of CA and CS is driven by market rate

6932 Estimated management and administration cost of a producer company (illustrative)

Sl

No Expenditure Heads

No

of

Units

Unit

Rate

(in Rs)

Total

Month

Total

Cost

(Rs)

Increment 10Year

Year 1 Year 2 Year 3

1 Salary

ManagerCEO 1 20000 12 240000 240000 264000 290400

Production Officer 1 15000 12 180000 180000 198000 217800

Accountant 1 6000 12 72000 72000 79200 87120

Marketing officer 1 15000 12 180000 180000 198000 217800

2 Travel

Salaries 3 1500 12 18000 18000 19800 21780

3 Office expenses

Office Rent 1 3000 12 36000 36000 39600 43560

Electricity 1 1000 12 12000 12000 13200 14520

Water 1 200 12 2400 2400 2640 2904

Telecommunication

(PhoneFax) 1 2000 12 24000 24000 26400 29040

Stationary - 1000 12 12000 12000 13200 14520

Cleaning 1 500 12 6000 6000 6600 7260

4 Meeting Expenses of

BoDGB 6 1000 6 6000 6000 6600 7260

5 License fees insurance

amp other statutory fees Lump sum 10000 10000 11000 12100

6 Other miscellaneous

expenses 1 500 12 6000 6000 6600 7260

Total 804400 804400 884840 973324

Grand Total 2662564



6933 Cost for training amp capacity building

This is an important aspect for the growth of the FPO and cannot be ignored The estimation of cost should be

based on the annual plan for capacity building including training and exposure visits

The requirement of capacity building inputs is again contextual however as per ASAs experience two formal

trainings and two exposure visits are required for the BoD in the first year which costs about Rs 1 Lakh The

trainings are conducted on the provisions in the act rules and regulations statutory compliances roles and

responsibilities of BoD and general body banking operations while the exposure visits are taken to the

successful FPOs where an interactive learning is facilitated


Benefits from the project would be in terms of increase in farmerrsquos income and better value addition

Government support would be needed to implement the project




Sr No



2 Formation of FPO Government Agency NGOs

3 Financial assistance to FPO for first 3 years State Government

4 Creation of common infrastructure FPO

5 Maintenance of facilities FPO

6 Technical financial and marketing assistance to farmers Government Agency NGOs



696 Risk






610 Establishment of Food Technology institute at Indore

6101 Context

Availability of skilled manpower is one of the important factors which affect the development of any sector and

food processing is no exception to it In view of constantly evolving business models technology complexity

and regulation there is increased demand for food technocrats in the country However there is a lack of

institute in the Madhya Pradesh which offers food technology undergraduate course Therefore it is highly

recommended to establish an educational institute for skilled manpower development in the state

6102 Project

61021 Objectives amp Scope

Education and Professional Development

o To impart food science and technology education and prepare world class professionals to cater

the growing demand of talent

o To promote entrepreneurial development by providing technical support

Research and Development

o To develop and disseminate post-harvest management and processing technologies for

reducing losses to meet ever increasing demand of food

o To undertake research related to food science and technology with focus on finding solutions to

the local problems

Training and Consultancy Support

o To address the skill gap by providing trainings related to food processing

o To provide consultancy services to the local processors and entrepreneurs

Policy and Regulatory Support

o To assist state government in policy making for food safety and other related area

o To act as a centre for industry ndash academia interaction to find out feasible solutions for local

issues

o To carry out the food testing activity to support the food safety and to support the export of

processed foods

61022 Drivers


processed food products and thus increase in food processing activity It is going to translate into increased

demand for the food technologists According to recent report3 of National Skill Development Corporation

3 Human Resource and Skill Requirements in the Food Processing Sector (2022) ndash A Report



(NSDC) the incremental human resource requirement in India would be around 71 till 2022 It underlines

the need for establishment of institute imparting food science and technological education in the state

Key demand drivers are

Requirement of skilled manpower

Requirement of research cum training institute

61023 Concept

Establish food technology institute at Indore under Rajmata Vijayaraje Scindia Krishi Vishwa Vidyalaya

(RVSKVV) Gwalior which will offer B Tech (Food Technology) degree

The institute will primarily be involved in imparting technical education in the field of food science and

technology It will help to address the skill gap by providing food technocrats to the industry and help

developing budding entrepreneurs Apart from this the institute would also work in the area of research and

development with focus on local needs

The project location is proposed to be Indore because of following reasons

Economic hub of Madhya Pradesh

Connectivity to all major cities and states

Substantial food processing activity in the division

Proximity to other research institutes

Proximity to industry associations

Apart from above nearby area of Indore will DMIC (Delhi Mumbai Industrial Corridor) influence area where

economic and food processing activity is going to increase by many folds in near future Therefore there will be

huge demand for food technology graduates in the state

The proposed structure of the course is as follows

Name of Degree Programme B Tech (Food Technology)

Duration 4 years

Eligibility XII (Science) standard pass with Physics Chemistry Biology Mathematics and English

Intake capacity per year 40

Instruction system Semester

Departments 1) Food Science and Technology

2) Food Engineering

3) Food Chemistry and Nutrition

4) Food and Industrial Microbiology

5) Food Trade and Business Management

Total number of credits 180



6103 Cost Estimates

The most important requirement for establishing any institute is land The proposed institute will require 50

acres It is considered that government will allot the required land as per specifications of ICAR and state

agricultural university Therefore the estimated cost described below excludes the land cost The required cost

for establishment of food technology institute is around Rs 4756 crore with an operational expenditure of

around Rs 270 crore for first year


Sr No


(in Rs Lakhs)

1 Building (ready to use form) ~ 114000 ft2 342000

2 Furniture --- 66500

3 Ancillaries (Water Power Back-up STP) --- 40000

4 Equipments (for 5 departmental labs) --- 8500

5

Pilot Plant

(Bakery Unit Fruit processing Plant Bottling Plant Canning Line Potato Wafer Plant Papad Making Machine Noodle Making Machine Dal Mill Dairy Equipments Spices Processing Plant Spray Drying Plant Refrigeration Plant Boiler and other accessories)

1 each 12500

6 Computers and peripherals ~ 65 2520

7 Books (Reference Books Journals etc) --- 2000

8 Vehicles (eg Jeep SUMO) 2 1600

Total 475620


The recurring expenditure includes pay and allowances of teaching and non-teaching staff maintenance of

infrastructure utilities and consumables such as water power chemicals fuel etc and the contingency fund

Please note that the recurring expenditure will increase over time due increase in the pay and allowances

consumablersquos cost The recurring expenditure for the first year is detailed below

Sr No


(in Rs Lakhs)

1 Manpower Cost 48 17750

2 Maintenance (1 of infrastructure cost) --- 4756

3 Utilities and Consumables --- 2000

4 Contingency 10 --- 2450

Total 26956

The institute will require teaching staff of 23 qualified faculties for 5 different departments along with non-

teaching staff of 25




The proposed food technology institute will be government aided and thus would not be considered as a mean

of revenue earning However as time passes government can consider the option of making this course

institute self-funded in which case the fees for course may have to increase to raise the fund

The primary aim of establishment of food technology institute is to provide skilled manpower to the food

industry research bodies food safety and quality laboratories and various government departments

authorities Apart from it the institute will be used for training the government officials industry people

entrepreneurs and even farmers In such cases institute can generate the revenue by charging appropriate

charges


The project of establishing the food technology institute at Indore is proposed to be completed within 35 years

(by June 2017) However the time required for completion of project depends on the inter-departmental

procedures of government and various approvals The tentative implementation plan is as follows

Sr No

Tasks To be

Completed by

1 Seeking approval from various state government authorities committees February 2014

2 Submission of proposal and seeking approval from ICAR and concerned authorities May 2014

3 Appointment of consultant for preparation of DPR June 2014

4 Completion of DPR December 2014

5 Land allotment for institute January 2015

6 Appointment of contractor for construction of institute March 2015

7 Appointment of contractor for erection and commissioning of pilot plant and other laboratories

October 2016

8 Erection and commissioning of building and all other facilities December 2016

9 Appointment of teaching and non-teaching staff December 2016

10 Erection of pilot plant and commissioning of all equipments March 2017

11 Induction of first batch of B Tech (Food Tech) course June 2017

Total time required till induction of first batch start of institute 42 months

6106 Risk







This page in intentionally left blank


This document has been prepared solely for Department of Horticulture and Farm Forestry Govt of Madhya Pradesh being the express addressee to this document PwC does not accept or assume any liability responsibility or duty of care for any use of or reliance on this document by anyone other than (i) Department of Horticulture and Farm Forestry Govt of Madhya Pradesh to the extent agreed in the relevant contract for the matter to which this document relates (if any) or (ii) as expressly agreed by PwC at its sole discretion in writing in advance

This publication (and any extract from it) may not be copied paraphrased reproduced or distributed in any manner or form whether by photocopying electronically by internet within another document or otherwise without the prior written permission of PwC Further any quotation citation or attribution of this publication or any extract from it is strictly prohibited without PwCrsquos prior written permission

copy 2014 PricewaterhouseCoopers Private Limited All rights reserved In this document ldquoPwCrdquo refers to PricewaterhouseCoopers Private Limited (a limited liability company in India) which is a member firm of PricewaterhouseCoopers International Limited each member firm of which is a separate legal entity

September 4 2014

To

Shri Anurag Shrivastava

Director cum Commissioner

Department of Horticulture and Farm Forestry

4th Floor Vindhyachal Bhawan

Bhopal

Subject Preparation of Vision Document for Food Processing in Madhya Pradesh - Department

of Horticulture and Farm Forestry Govt of Madhya Pradesh

Dear Sir

In accordance with your instructions as confirmed in our engagement letter dated 29 January 2013 we are

pleased to submit final Vision Document for the Food Processing Sector in the state of Madhya Pradesh as part

of the deliverable for the above consultancy services This Report constitutes the deliverable indicated in step 4

of the project milestone of the assignment as indicated in the work plan contained in our inception report

We request you not to make copies of this report available to other persons except as described in the Letter of

Engagement and Terms of Business Where provision has been made copies are subject to the conditions

described therein We will not accept any duty of care (whether in contract tort (including negligence) or

otherwise) to any person other than you except under the arrangements described in the Letter of Engagement

and Terms of Business

If you require any clarification or further information please do not hesitate to contact Ajay Kakra on +91-

98713 55503 or email ajaykakrainpwccom

Yours sincerely

Authorised Signatory

Sambitosh Mohapatra

Executive Director

PricewaterhouseCoopers Private Limited Registered office - Plot Y-14 Block EP Sector V Salt Lake Kolkata 700 091 Regional Office - 17th Floor Building 10C DLF Cybercity Phase-II Gurgaon-122002 India

Corporate Identity Number or CIN U74140WB1983PTC036093 Telephone (0124) 3306000 Facsimile (0124) 3306999 wwwpwcin


PwC 4

Table of Contents

Table of contents

Executive Summary 9

1 Introduction 17



22 Potential 24






3 Vision 41



33 Focus areas 41








5 Proposed Projects








611 Context 87

612 Project 87




43

79

86

87

92

Table of Contents

616 Risk


621 Context 95

622 Project 95




626 Risk 100


631 Context 101

632 Project 101




636 Risk 106


641 Context 107

642 Project 107




646 Risk 115


651 Context 117

652 Project 117




656 Risk 123


661 Context 125

662 Project 125




666 Risk 129


671 Context 131

672 Project 131

Table of Contents






681 Context 141

682 Project 141




686 Risk 146


691 Context 147

692 Project 147




696 Risk 150


6101 Context 151

6102 Project 151




6106 Risk 154

Table of Contents

Executive Summary

Executive Summary








processing industry














Produce


be processed


facilities








PwC 9

Executive Summary















Gram Pulses 1

Wheat Cereals 2


Soyabean Oilseeds 4

Rice Cereals 5

Orange Fruits 6

Onion Vegetables

7

Tomato 8

Garlic Spices 9


Papaya Fruits 11


Banana Fruits 13

Potato Vegetables

14

Mustard 15



Maize Cereals 18

Chillies Spices

19

Coriander 20

Guava Fruits

21

Mango 22


Sorghum Cereals 24




PwC 10

--

-

-

Executive Summary









Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

1

Cereals

Rice 410340 777972 367632

2 Wheat 3304922 4456812 1151890

3 Maize 46400 -- - -- -

4 Sorghum -- - -- - -- -

5

Oilseeds

Soyabean 8504654 880753 -- -

6 Mustard 310800 462037 151237

7 Groundnut -- - 5001 5001

8

Livestock Produce

Milk 968543 1127365 158821

9 Eggs (Nos) -- - -- - -- -

10 Poultry Meat -- - -- - -- -

11 Other Meat -- - -- - -- -

12 Fish -- - -- - -- -

13

Pulses

Gram 389638 451144 61506

14 Pigeon Pea (Tur)

30559 317316 286757

15 Lentil (Masoor) 20091 41170 21079

16

Fruits

Mango 7858 28565 20707

17 Guava 1045 7206 6161

18 Orange 39 7206 7167

19 Papaya 68 68 -- -

20 Banana 182 182 -- -

21

Vegetables

Green Peas 2390 2390 -- -

22 Tomato 8002 42231 34229

23 Onion 6417 6417 -- -

24 Potato 27213 667560 640347


PwC 11

--

-

-

Executive Summary

Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

25 Chillies 1069 1069 -- -

26 Spices Garlic 6417 6417 -- -

27 Coriander 3208 3208 -- -









Infrastructure

Services




follows

Sr No



Suggestions


Marketing Reforms
















PwC 12

Executive Summary

Sr No



Suggestions

products spices








2 Infrastructure







3 Services

Marketing Support

Extension Services

Skill Development






PwC 13

Executive Summary




Vision Statement






by 2024

Mission Statement



Focus Areas



















PwC 14

Executive Summary


















PwC 15

Executive Summary



PwC 16

Introduction

1 Introduction























techniques















PwC 17

Introduction











sector





Forestry






PwC 18

-










Fruits Vegetables

amp Spices

Food Processing

Sector



Grains

Pulses amp Oilseeds

Dairy

Meat amp Poultry

Fish



Consumption




Targets







PwC 19














commodities


Commodity Category



(Kgmonth)




Wheat 8068 7271 0256 0770

Rice 2130 1720 0045 0160

Maize 0599 0043

Sorghum 0274 0048


Mustard 0155^ 0145^


Gram 0045 0024 0130 0113 0108 0154



Major Fruits 0830 1477 0005 0017



Milk 3999 4814 0079 0075




Fish 0088 0043





PwC 20



MT

15000000

12703200

12000000

71

833

78

37

478

55

894

68

2486

07 18

239

59

81

490

00

62

806

00

32

903

00

22

273

00


9000000

6000000

3000000

0


6549

02

11

680

68

5375

80

5953

07

3879

93

1326

24

7451

70

577

81

1842

99

19

574

91

18

166

84

13

791

74

13

495

88

12

874

00

8696

00

7981

00

6474

86

6089

00

0

500000

1000000

1500000

2000000

2500000

Mt

or

Th

ousands




PwC 21


500000

452207 614

99

104

65

3401

66

1034

17

557

35

947

40

711

51

974

34

843

71

340

29

658

31

600

65

499

66

3446

00

3342

00

2749

04

2700

00

2553

04

2300

00

1750

71

935

70

820

00

754

04

250

00

120

00

0

100000

200000

300000

400000

MT















PwC 22

-



Sr No


scenario

1

Cereals





5

Oilseeds




8

Livestock Produce






13

Pulses




16

Fruits






21

Vegetables





25

Spices





PwC 23


22 Potential

























PwC 24

-



Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

1

Cereals

Rice 2227300 133638 2093662 1823959 410340 100 --- 1683322

2 Wheat 12703200 762192 11941008 7183378 3304922 --- --- 1799331

3 Maize 1287400 77244 1210156 387993 46400 --- --- 775763

4 Sorghum 608900 36534 572366 184299 0 --- --- 388067

5

Oilseeds

Soyabean 6280600 376836 5903764 447341 8504654 100 --- ---

6 Mustard 869600 52176 817424 331561 310800 100 --- 506624

7 Groundnut 344600 20676 323924 26164 0 100 --- 323924

8

Livestock Produce

Milk 8149000 65192 8083808 3860291 968543 --- --- 3324869

9 Eggs (Nos) 798100000 29529700 768570300 745170490 0 --- --- 23399810

10 Poultry Meat 12000 444 11556 49966 0 --- 38410 ---


12 Fish 75404 5203 70201 65831 0 --- --- 4370

13

Pulses

Gram 3290300 200708 3089592 248607 389638 --- --- 2665806

14 Pigeon Pea (Tur) 334200 20386 313814 340166 30559 100 26352 283255

15 Lentil (Masoor) 230000 14030 215970 71151 20091 100 --- 195879

16

Fruits

Mango 175071 22237 152834 97434 7858 --- --- 57699

17 Guava 255304 45910 209394 94740 1045 --- --- 114767

18 Orange 647486 40771 606715 57781 39 --- --- 550053

19 Papaya 274904 20316 254588 103417 68 --- --- 151103

20 Banana 1379174 91018 1288156 537580 182 --- --- 750394


PwC 25

-


Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

21

Vegetables

Green Peas 452207 46601 405606 61499 2390 --- --- 341717

22 Tomato 1349588 167360 1182228 595307 8002 --- --- 586346

23 Onion 1957491 146725 1810766 654902 6417 --- --- 1149447

24 Potato 1816684 163475 1653209 1168068 27213 --- --- 623050

25

Spices

Chillies 93570 5561 88009 84371 1069 --- --- 2568

26 Garlic 270000 16085 253915 55735 6417 --- --- 191763

27 Coriander 82000 5983 76017 34029 3208 --- --- 38780




PwC 26



2221 Need



























PwC 27

-




sector


















demandacceptance






Prioritization)

1 Rice

2 Wheat

3 Cereals

Maize

4 Sorghum

5 Soyabean

6 Oilseeds Mustard

7 Groundnut


PwC 28

-



Prioritization)

8

Livestock Produce

Milk

9 Eggs

10 Poultry Meat


12

Pulses

Gram

13 Pigeon Pea (Tur)

14 Lentil (Masoor)

15

Fruits

Mango

16 Guava

17 Orange

18 Papaya

19 Banana

20

Vegetables

Green Peas

21 Tomato

22 Onion

23 Potato

24

Spices

Chillies

25 Garlic

26 Coriander




















PwC 29



Source PwC Analysis










PwC 30

- - - - - -

- -




Poultry (Meat)

Meat Excluding

Poultry Gram

Pigeon Pea

Lentil



10 21 94 066 038 82 110 048 100 016 008 018 40 063 038


10 100 73 073 073 051 073 037 330 013 009 016 087 009 006


10 29 86 152 069 100 138 038 079 088 237 154 537 094 109

ATTRACTIVENESS



15 60 49 15 09 00 23 17 150 002 09 10 118 20 12


10 28 05 48 24 00 04 02 29 001 07 02 100 013 10



10 04 24 12 20 100 26 10 46 00 01 02 83 24 37


10 25 39 08 01 09 23 36 13 14 10 14 33 32 02


5 09 04 03 01 05 03 14 05 092 23 08 05 032 06


10 07 21 10 18 26 21 19 33 426 83 47 39 264 14


100 2805 4438 1232 887 4271 1446 440 4424 912 1787 1445 5465 1240 880



PwC 31






10 020 024 118 015 060 050 074 086 083 024 067 019


10 005 007 020 007 044 024 006 013 058 003 009 003


ATTRACTIVENESS



15 02 04 37 03 12 14 12 18 10 002 18 03


10 01 04 21 03 28 15 30 43 08 002 07 04



10 02 20 40 120 09 23 14 22 09 143 43 299


10 39 08 57 44 34 48 100 78 60 44 16 34


5 06 06 50 37 09 16 07 05 01 08 16 05


10 42 57 46 99 53 75 43 49 44 46 100 32


100 984 1041 2663 2023 1578 2029 2193 2279 1509 1176 2086 1164



PwC 32




Gram Pulses 27

Wheat Cereals 28



Rice Cereals 31

Orange Fruits 32

Onion Vegetables

33

Tomato 34

Garlic Spices 35


Papaya Fruits 37


Banana Fruits 39

Potato Vegetables

40

Mustard 41



Maize Cereals 44

Chillies Spices

45

Coriander 46

Guava Fruits

47

Mango 48


Sorghum Cereals 50




PwC 33






quantity






000

000

000

000

1189

391

114

238

150

059

033

053

449

041

001

002

001

000

874

914

1184

000

360

Fish

Meat (Non-Poultry)

Poultry Meat

Eggs

Milk

Coriander

Chillies

Garlic

Potato

Tomato

Onion

Green Peas

Mango

Guava

Banana

Papaya

Orange

Groundnut

Mustard

Soyabean

Lentil (Masoor)

Pigeon Pea (Tur)

Gram

Sorghum

Maize

Rice

Wheat

Cereals (Major)

224

Pulses (Major)

114

Oilseeds (Major)

1147

Fruits (Major)

03

Vegetables (Major)

08

Spices (Major)

24

Livestock Produce

0 2 4 6 8 10 12 14 34 114 134


PwC 34





Sr No

Category Commodity

Produce

Production

(MT or Nos)



Level of Processing

(Commodity)


1

Cereals

Wheat 12703200 3304922 2602

2236 2 Rice Paddy 2227300 410340 1842

3 Maize 1287400 46400 360

4 Sorghum 608900 0 000

5

Pulses

Gram 3290300 389638 1184

1142 6 Pigeon Pea (Tur) 334200 30559 914

7 Lentil (Masoor) 230000 20091 874

8

Oilseeds

Soyabean 6280600 8504654 13541 11762

or 2560 (except

Soyabean)

9 Mustard 869600 310800 3574

10 Groundnut 344600 0 000

11

Fruits

Orange 647486 39 001

034

12 Papaya 274904 68 002

13 Banana 1379174 182 001

14 Guava 255304 1045 041

15 Mango 175071 7858 449

16

Vegetables

Green Peas 452207 2390 053

079 17 Onion 1957491 6417 033

18 Tomato 1349588 8002 059

19 Potato 1816684 27213 150

20

Spices

Garlic 270000 6417 238

24021 Chillies 93570 1069 114

22 Coriander 82000 3208 391

23

Livestock Produce

Milk 8149000 968543 1189 1189

24 Eggs (Nos) 798100000 0 000

000 25 Poultry Meat 12000 0 000


27 Fish 75404 0 000




PwC 35































Table 6



PwC 36

-

--

-



Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

28

Cereals

Rice 3096116 185767 2910349 777972 410340 777972 367632

29 Wheat 31242124 1874527 29367596 10016554 3304922 4456812 1151890

30 Maize 935069 56104 878965 182794 46400 -- - -- -

31 Sorghum 645754 38745 607009 128945 -- - -- - -- -

32

Oilseeds

Soyabean 11718007 703080 11014927 880753 8504654 880753 -- -

33 Mustard 1871116 112267 1758849 462037 310800 462037 151237

34 Groundnut 522493 31350 491144 5001 -- - 5001 5001

35

Livestock Produce

Milk 13704845 109639 13595206 6627713 968543 1127365 158821

36 Eggs (Nos) 838926231 31040271 807885961 1860759371 -- - -- - -- -

37 Poultry Meat 53481 1979 51503 249427 -- - -- - -- -


39 Fish 104928 7240 97688 93291 -- - -- - -- -

40

Pulses

Gram 4785056 291888 4493168 469105 389638 451144 61506

41 Pigeon Pea (Tur) 472103 28798 443305 317316 30559 317316 286757

42 Lentil (Masoor) 218112 13305 204807 41170 20091 41170 21079

43

Fruits

Mango 596179 75724 520455 195245 7858 28565 20707

44 Guava 513754 92386 421368 167077 1045 7206 6161

45 Orange 2881844 181462 2700381 665249 39 7206 7167

46 Papaya 2846041 210331 2635710 833437 68 68 -- -


PwC 37

-

--

-


Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

47 Banana 4026120 265703 3760417 1408227 182 182 -- -

48

Vegetables

Green Peas 8560527 882179 7678348 40783 2390 2390 -- -

49 Tomato 10680674 1324489 9356185 1138059 8002 42231 34229

50 Onion 16909131 1267432 15641699 1214403 6417 6417 -- -

51 Potato 8407304 756535 7650769 1807729 27213 667560 640347

52

Spices

Chillies 525868 31254 494614 188321 1069 1069 -- -

53 Garlic 1071598 63840 1007757 271562 6417 6417 -- -

54 Coriander 206502 15066 191436 74315 3208 3208 -- -




PwC 38

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 1010 1111 1212 1313 1414 1515 1616 1717 1818 1919 2020 2121 2222 2323 2424 2525 2626 2727

5000

5500

6000

6500


Th

ou

sa

nd

MT

or

La

kh

No

s

(fo

r E

gg

s) 8000

6000

4500

4000

3500

3000

2500

2000

1500

1000

500

0


18000

14000

Wh

eat

Ric

e

Ma

ize

So

rgh

um

Gra

m

Pig

eon

Pea

(T

ur)

Le

nti

l (M

aso

or)

So

ya

be

an

Mu

sta

rd

Gro

un

dn

ut

Ora

ng

e

Pa

pa

ya

Ba

na

na

Gu

av

a

Ma

ng

o

Gre

en P

ea

s

On

ion

To

ma

to

Po

tato

Ga

rlic

Ch

illi

es

Co

ria

nd

er

Mil

k

Eg

gs

Po

ult

ry M

eat

Oth

er

Mea

t

Fis

h



PwC 39





bullSpices bullFish




bullSoyabean



PwC 40

Vision

3 Vision










31 Vision Statement






by 2024




33 Focus areas














PwC 41

Vision



PwC 42





sections






desired results








Infrastructure

Services



produce


respectively


PwC 43

--

-



Farmers Government










Va

lue

Ch

ain

Ac

tor

s

an

d E

lem

en

ts Processors





bullRetail Shops


Storage


Tertiary Processing

Marketing












Bu

sin

es

se

s

Ag

ri

Va

lue

Ch

ain


PwC 44

-



Ag

ri

Va

lue

Ch

ain

Ac

tor

sP

oli

cy

Is

su

es


Warehouse Operators

Processors



Traders

Commission Agents










Income tax for FPOs


Industrial Policy


VAT schedules

Biodiversity tax



and subsidies

APMC act


Mandis

Mandi fee Entry tax


produce


of wheat

Infr

as

tru

ctu

re

Iss

ue

s

Se

rv

ice

Iss

ue

s

Roads




Roads

Electricity outages




Rake availability



Roads







Access to credit



PwC 45





































PwC 46







exemption





years






























PwC 47






































PwC 48





























sections


PwC 49



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

CEREALS

1 Rice Paddy

Whole Broken 0 0 0 4 4 --- 14 0 5




--- --- --- --- --- 1 --- --- ---

Husk 0 15 14 5 4 5 0 0 0


Flour 13 0 5 1375 125 --- 14 0 145


0 15 0 5 0 0 0 0 0

2 Wheat

Whole Broken 0 0 0 4 4 --- 0 0 5

Bran 0 15 0 5 125 0 0 0 0


0 0 0 4 0 --- 5 0 5



--- --- --- --- --- 0 --- --- ---


PwC 50


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



--- --- --- --- --- 1 --- --- ---

Bread (Branded) 0 0 0 0 0 0 0 0 145

Bread (Unbranded) --- --- --- --- --- --- --- --- 0


Bread (Pizza) 0 0 5 0 4 5 0 5 145



Toast (Unbranded) 13 15 5 1375 125 135 5 125 0

Rusk 13 15 14 1375 125 5 14 125 145

Yeast 5 15 5 5 4 135 14 125 5


13 15 14 1375 4 135 14 125 145



13 15 14 1375 125 135 14 125 145




PwC 51


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


3 Maize

Whole Broken 0 0 0 0 0 0 0 0 0

Bran 0 15 0 5 125 5 0 0 0



Flakes 13 15 0 1375 125 135 14 125 145

Starch 5 4 5 5 4 5 5 5 5

4 Sorghum

Whole Broken 0 0 0 0 0 0 0 0 0

PULSES


Whole Pulses 0 0 0 4 1 --- 0 0 5

Split (Dal) Broken 13 0 0 1375 1 135 0 0 5


Flour Besan 0 0 0 1375 125 --- 5 0 145

Roasted Fried 0 15 5 5 0 0 5 5 5


PwC 52


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


13 4 5 1375 125 135 14 125 145




13 0 5 1375 125 135 14 125 145

Papad 0 0 0 0 125 0 0 0 0


--- --- --- --- --- 0 --- --- ---


--- --- --- --- --- 1 --- --- ---

OILSEEDS



Edible Oil 5 4 5 4 4 5 5 5 5


Oil Cake 5 4 5 4 4 5 5 5 5

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 5


PwC 53


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


--- --- --- --- --- --- --- 0 ---

7 Soyabean

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 145

Soya Nuggests 13 15 14 1375 125 5 14 125 145



13 15 14 1375 125 135 14 125 145



FRUITS







PwC 54


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



5 4 5 5 4 5 5 5 5



5 4 5 5 4 5 5 5 5


VEGETABLES






--- --- --- --- --- --- --- 5 ---





PwC 55


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks




5 15 14 1375 125 135 14 125 145

SPICES

12 Chilli (Dry)


Powdered 5 4 5 5 125 5 5 0 5

13 Garlic


Dehydrated 5 15 5 5 125 5 5 125 5



Powdered 5 4 5 5 125 5 5 125 5

14 Coriander


Separated 5 4 5 5 125 5 5 0 5

Powdered 5 4 5 5 125 5 5 0 5

LIVESTOCK PRODUCE

15 Milk



PwC 56


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Buttermilk 0 0 0 0 0 0 0 0 0


Lassi 0 0 0 0 0 0 0 0 0

Curd (Unbranded) 0 0 0 0 0 0 0 0 0

Curd (Branded) 0 0 0 0 0 0 0 5 0

UHT Milk 5 15 0 5 4 5 5 5 5


13 15 14 1375 125 135 14 5 145



5 15 14 1375 125 135 14 5 145

Flavoured Milk 5 15 14 1375 4 135 5 125 145

Milk Powder 5 4 5 5 4 5 5 5 5

Khoa (Mawa) 5 15 5 5 4 0 14 125 145

Cheese 5 15 5 1375 4 135 14 125 145

Paneer 13 15 5 5 4 135 5 125 5


Cream 13 15 5 1375 4 135 5 125 145

Butter 13 15 5 1375 4 135 14 125 145


Ghee (Packaged) 13 4 5 5 4 5 14 125 145


13 4 5 5 4 0 5 5 145


PwC 57


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ice-cream Kulfi 13 15 14 1375 125 135 14 125 145

16 Eggs 0 0 0 0 0 0 0 0 0


Unprocessed 0 0 0 0 0 0 0 0 0

Processed 5 4 5 5 4 135 5 5 145

Frozen 13 15 14 1375 4 135 14 5 5



--- --- --- --- --- --- --- 5 5



PwC 58



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


On every category

Not applicable




On specific

categories

On every category

No tax Instead

LBT

No tax as per High

Court order


1 --- --- --- --- --- 1 4 ---

CEREALS

1 Rice Paddy




Paddy - Whole 1 --- --- --- --- 4 30 0 ---

Husk 1 --- --- --- --- --- 0 0 ---

Bran 1 --- --- --- --- --- 2 2 ---

Flour 1 --- --- --- --- --- 1 0 ---


1 --- --- --- --- --- 0 0 ---

2 Wheat



Bran 1 --- --- --- --- --- 0 0 ---


1 --- 2 --- --- --- 5 0 ---


Bread (Branded) 0 --- --- --- --- --- 0 0 ---

Bread (Unbranded) 0 --- --- --- --- --- 0 0 ---

Bread (Pizza) 0 --- --- --- --- --- 0 35 ---


PwC 59


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



Toast (Unbranded) 1 --- --- --- --- --- 1 4 ---

Rusk 1 --- --- --- --- --- 1 4 ---



1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

3 Maize





Flakes 1 --- --- --- --- --- 1 4 ---

Starch 1 --- --- --- --- --- 1 2 ---

4 Sorghum


PULSES



PwC 60


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Whole Pulses 1 --- --- --- --- --- 0 0 ---

Split (Dal) Broken 1 --- --- --- --- --- 0 0 ---




Roasted Fried 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Papad 1 --- --- --- --- --- 0 1 ---

OILSEEDS



Edible Oil 05 --- --- --- --- --- 05 15 ---


05 --- --- --- --- 5 05 2 ---

Oil Cake 1 --- --- --- --- --- 1 15 ---


PwC 61


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 ---

7 Soyabean




1 --- --- --- --- --- 1 4 ---

8 Mustard Oilcake 1 --- --- --- --- --- 1 15 ---

FRUITS








1 --- --- --- --- --- 1 35 ---


2 --- 4 --- --- --- 1 4 ---

VEGETABLES



PwC 62


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks






1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 2 ---

SPICES

11 Chilli (Dry)



12 Garlic


0 --- --- --- --- --- 0 0 ---

Dehydrated 1 --- --- --- --- --- 1 4 ---



Powdered 1 --- --- --- --- --- 1 4 ---

13 Coriander



PwC 63


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


LIVESTOCK PRODUCE

14 Milk







Curd (Branded) 0 --- --- --- --- --- 0 4 ---

UHT Milk 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---

Flavoured Milk 0 --- --- --- --- --- 0 4 ---

Milk Powder 1 --- --- --- --- --- 1 2 ---

Khoa (Mawa) 1 --- --- --- --- --- 1 4 ---

Cheese 1 --- --- --- --- --- 1 4 ---

Paneer 1 --- --- --- --- --- 1 4 ---

Cream 1 --- --- --- --- --- 1 4 ---

Butter 1 --- --- --- --- --- 1 4 ---



PwC 64


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ghee (Packaged) 05 --- --- --- --- --- 05 4 ---


1 --- --- --- --- --- 1 2 ---

Ice-cream Kulfi 2 --- --- --- --- --- 2 2 ---

15 Eggs 0 --- --- --- --- --- 0 0 ---


Unprocessed 0 --- --- --- --- --- 0 0 ---

Processed 1 --- --- --- --- --- 1 35 ---

Frozen 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---



PwC 65




























Promoting current



products

Better price than




External investment

Higher demand for

primary processing





PwC 66



























becomes a hindrance


PwC 67


413 Service Issues
































PwC 68






labour

41341 Attrition


for both of them




















PwC 69



Sr No




Marketing Reforms






















PwC 70


Sr No













Extension Services

Skill Development






PwC 71











Within 1 year

(by 2014-15)










(by 2014-15)







Within 1 year

(by 2014-15)


PwC 72




Madhya Pradesh










Within 1 year

(by 2014-15)







Within 1 year

(by 2014-15)





Processing

(by 2014-15)


PwC 73












Within 1 year

(by 2014-15)



Formation of FPOs






Within 3 years

(by 2016-17)







Local NGOs

Within 3 years

(by 2016-17)


PwC 74




farmers







Within 3 years

(by 2016-17)











Within 3 years

(by 2016-17)







Within 5 years

(by 2018-19)


PwC 75




Processing







Within 5 years

(by 2018-19)









Within 5 years

(by 2018-19)





Within 5 years

(by 2018-19)


PwC 76








(by 2020-21)









Within 5 years

(by 2018-19)






Within 5 years

(by 2018-19)







Within 4 years

(by 2017-18)


PwC 77









Within 5 years

(by 2018-19)


PwC 78

-

Proposed Projects

5 Proposed Projects








described below













and Barriers






Government


Issues Concerns

Mapping of issues


chains


Project Profiles


PwC 79

Proposed Projects






Sr No




Project Category













PPP mode




PPP mode



production


mode



production


operatives

Farmer Empowerment



PwC 80

Proposed Projects

















Taxation Issues


Mandi Fees Issues


stakeholders


PwC 81

Proposed Projects


Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

1

Cereals

Wheat

2 RicePaddy

3 Maize

4 Sorghum

5

Pulses

Gram

6 Pigeon Pea

7 Lentil

8

Oilseeds

Soyabean

9 Mustard

10 Groundnut

11

Fruits

Orange

12 Papaya

13 Banana

14 Guava

15 Mango


PwC 82

Proposed Projects

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

16

Vegetables

Green Peas

17 Onion

18 Tomato

19 Potato

20

Spices

Garlic

21 Chilli

22 Coriander

23

Livestock Produce

Milk

24 Eggs (Nos)

25 Poultry Meat

26 Other Meat

27 Fish

Total 22 11 20 15 21 9 27 27 10 25 22 10



PwC 83

Proposed Projects













Priority Quadrant

High

State

Government

Control

Low




Food Parks

Market Linkages


Food Testing Labs

RampD Centres

Access to Credit



Time Bound Service

Mandi Fees


Taxation


PwC 84

Proposed Projects





4) Market Linkages

5) Taxation






Sr No




Project Category








Hard Intervention









PwC 85

Proposed Projects







These areas are

Food Processing

Sector


ment


ure Developm

ent

Farmer Linkages

amp Empower

ment


ent











PwC 86

-




611 Context







612 Project

6121 Objectives







6122 Drivers








approach


Major Pulses

Rank Production

2011 12 (lsquo000 MT)





PwC 87

-

-

-

--


Major Pulses

Rank Production

2011 12 (lsquo000 MT)




Pigeon Pea (Tur)


Lentil (Masoor)


Green Gram (Moong)


Black Gram (Urad)

--- 1488 84






Gram

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)





dal making

Major Pulses

Estimated Current


(MT)


(based on demand)

2011 12 (MT)


Capacity (MT and )



2023 24

(MT)


Capacity Addition

Required by 2023 24

(MT)

Gram

453299 736543 283244 930673 477374

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)



PwC 88

- -







Major Pulses


(MT)


(MT)


Gram 248607 451144 11036

Pigeon Pea (Tur) 340166 317316 -672

Lentil (Masoor) 71151 41170 -4214


Black Gram (Urad) 43944 21804 -5038

Total 736543 930673 2636


6123 Concept



















suppliers etc


PwC 89


61232 Location













PwC 90


















613 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power



machinery --- 11000



Total 82000


PwC 91




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



616 Risk

6161 Financial Risk




PwC 92













PwC 93




PwC 94

-



621 Context








622 Project

6221 Objectives







6222 Drivers












2011 12 (lsquo000 MT)





PwC 95

- -






Wheat













wheat in the state

Major Cereal


(MT)


(MT)


Wheat 7183377 10016554 3944


6223 Concept










PwC 96












suppliers etc

62232 Location



PwC 97










Location Sehore





Milling











623 Cost Estimates






PwC 98


Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 84500



Particulars Benefit













PwC 99


Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



626 Risk

6261 Financial Risk














PwC 100

-



631 Context










632 Project

6321 Objectives







6322 Drivers











2011 12 (lsquo000 MT)





PwC 101

- - -






Paddy





Crop


2011 12

(MT)


2023 24

(MT)


Required by 2023 24

(MT)

Paddy 410340 777972 367632


6323 Concept

















PwC 102





suppliers etc

63232 Location









PwC 103



Location Satna















633 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 90000


PwC 104




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)




PwC 105


636 Risk

6361 Financial Risk














PwC 106



641 Context










on PPP model

642 Project

6421 Objectives




catchment area




6422 Drivers












PwC 107

-


Fruit amp Vegetable

Rank Production

2011 12 (lsquo000 MT)














shown below


Mosambi

Orange

Mango

Banana

Lime Lemon

Guava

Papaya

Amla

Tomato

Cabbage

Cauliflower

Potato

Onion

Bottle Gourd

Okra

Watermelon

Brinjal

Pea



PwC 108







harvesting seasons



6423 Concept

64231 PPP Model


















64232 Location



PwC 109













PwC 110







Location Ratlam




























PwC 111








643 Cost Estimates







Sr No


(in Rs Lakhs)


1 Land ~ 9000 m2 ---



4

Plant amp Machinery



---3000

8000


(HVAC) --- 5000





7 Land ~ 18000 m2 ---


9 Building (Rs15000m2) ~ 2000 m2 30000

10 Office (Rs15000m2) ~ 300 m2 4500



PwC 112



12500


14

Plant amp Machinery


--- 135000

15



--- 45000






--- 2500









Sr No

Particulars Amount

(in Rs Lakhs)









8 Maintenance 100




PwC 113








15 Maintenance 2500





Sr No



Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)



20000 310000

Total 35000 490000












PwC 114


Sr No








Terms of lease BOO



646 Risk

6461 Financial Risk













PwC 115








PwC 116



651 Context











652 Project

6521 Objectives



area




6522 Drivers











product



PwC 117

-



2011 12 (lsquo000 MT)











below


Garlic

Onion

Tomato

Cabbage


6523 Concept

65231 PPP Model













PwC 118








65232 Location








PwC 119








Location Neemuch





Dehydration Plant

















653 Cost Estimates







PwC 120



Sr No


(in Rs Lakhs)

1 Land ~ 24000 m2 ---


3 Building (Rs15000m2) ~ 2000 m2 30000

4 Office (Rs15000m2) ~ 300 m2 4500



4000


8

Plant amp Machinery


--- 120000

9



--- 22500

Total 195700






Sr No

Particulars Amount

(in Rs Lakhs)







7 Maintenance 200

Total 120700


PwC 121






Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)












Sr No








Terms of lease BOO




PwC 122


656 Risk

6561 Financial Risk


















PwC 123




PwC 124



661 Context











662 Project

6621 Objectives









6622 Drivers





meat) in the state



PwC 125

- --

-


Parameter

Meat
















Particular


(MT)


(MT)


(MT)

Meat



6623 Concept

66231 PPP Model












PwC 126






66232 Location


Indore

Bhopal






















PwC 127


663 Cost Estimates





Sr No


(in Rs Lakhs)



3 Building (Rs10000m2) ~ 1100 m2 11000

4

Utility Buildings


2500



6



--- 15000

Total 43000





(in Nos)

Approx Annual

Turnover

(in Rs Lakhs)





Sr No






PwC 128




Terms of lease BOO



666 Risk

6661 Financial Risk










PwC 129




PwC 130



671 Context
















in the mandis




672 Project

6721 Drivers






regulations

6722 Objectives





PwC 131









6723 Concept






Regulated markets


246 275 521

Principal markets


A 51 21

B 40 16

C 58 24

D 97 39

Total 246





below

672311 Phase 1






PwC 132











below


shed etc



shopsoffices etc






feasibility







672312 Phase 2


consultation)










PwC 133






(mentioned below)








Mission (NHM)








expert opinions









674 Cost Estimates






PwC 134













6761 Brief Snapshot

Title Description


Background







PwC 135

-



Means of finance






67621 Context








below




39634 7788 4 24 73942 350 46277





Details of Mandi


Area yard 2822 ha

Market fee 2


PwC 136

-


Facilities


Weighment Yes


Covered shed Yes

Warehouse No

Cold storage No

Ripening chamber No


Quality testing No


Market fee 9962

Other income 052

Total income 1048








67623 Project












PwC 137














67624 Cost Estimate






Subtotal 80800000









Sub-total 16027500








PwC 138

























59777 68744 73556 78705 84215


1195 1374 1471 1574 1684










PwC 139


67627 Risk




PwC 140



681 Context











682 Project

6821 Objectives












6822 Drivers






in the state



PwC 141

- -

-

-- -

-

-


Parameter Poultry















Particular


(MT)

Current Production

2010 11 (MT)

Estimated Demand

Supply Gap 2010 11

(MT)

Estimated Demand by

2023 24

(MT)


(MT)

Estimated Demand

Supply Gap 2023 24

(MT)

Poultry Meat 49966 12000 37966 249427 53481 195946


6823 Concept









PwC 142












1) Shivpuri

2) Bhind

3) Morena

4) Datia

5) Tikamgarh

6) Chhatarpur

7) Panna

8) Damoh

9) Sagar

10) Jhabua

11) Alirajpur

12) Barwani

13) Harda

14) Betul

15) Chhindwara


PwC 143
























683 Cost Estimates










Sr No

Requirement Unit

Amount

(Rs in

lakhs)

1st year

Amount

(Rs in

lakhs)

2nd year

Amount

(Rs in lakhs)

3rd year



operative --- 050 --- ---

2

Operating Expenses

Office

Manpower

Consumables

--- 2500 2500 2500

3



Working Capital


Rs 55000farm

Rs 25bird

Rs500farmeryr

8250

1875

075

8250

1875

075

11000

2500

100

Sub-Total 12750 12700 16100











Sr No








operative






686 Risk







691 Context





problem






692 Project

6921 Objectives














in the market

6922 Drivers



























6923 Concept





693 Cost Estimates




Sr No






- - -






Form-1 30000

Form-18 30000

Form-32 30000





Total 3755000



Sl


No

of

Units

Unit

Rate

(in Rs)

Total

Month

Total

Cost

(Rs)

Increment 10Year


1 Salary

ManagerCEO 1 20000 12 240000 240000 264000 290400


Accountant 1 6000 12 72000 72000 79200 87120


2 Travel

Salaries 3 1500 12 18000 18000 19800 21780

3 Office expenses

Office Rent 1 3000 12 36000 36000 39600 43560

Electricity 1 1000 12 12000 12000 13200 14520

Water 1 200 12 2400 2400 2640 2904

Telecommunication

(PhoneFax) 1 2000 12 24000 24000 26400 29040

Stationary - 1000 12 12000 12000 13200 14520

Cleaning 1 500 12 6000 6000 6600 7260


BoDGB 6 1000 6 6000 6000 6600 7260




expenses 1 500 12 6000 6000 6600 7260

Total 804400 804400 884840 973324

Grand Total 2662564

















Sr No










696 Risk







6101 Context






6102 Project










the local problems







issues


processed foods

61022 Drivers












61023 Concept


















Duration 4 years





2) Food Engineering







6103 Cost Estimates







Sr No


(in Rs Lakhs)





5

Pilot Plant


1 each 12500




Total 475620






Sr No


(in Rs Lakhs)





Total 26956













charges





Sr No

Tasks To be

Completed by








October 2016






6106 Risk













PwC 4

Table of Contents

Table of contents

Executive Summary 9

1 Introduction 17



22 Potential 24






3 Vision 41



33 Focus areas 41








5 Proposed Projects








611 Context 87

612 Project 87




43

79

86

87

92

Table of Contents

616 Risk


621 Context 95

622 Project 95




626 Risk 100


631 Context 101

632 Project 101




636 Risk 106


641 Context 107

642 Project 107




646 Risk 115


651 Context 117

652 Project 117




656 Risk 123


661 Context 125

662 Project 125




666 Risk 129


671 Context 131

672 Project 131

Table of Contents






681 Context 141

682 Project 141




686 Risk 146


691 Context 147

692 Project 147




696 Risk 150


6101 Context 151

6102 Project 151




6106 Risk 154

Table of Contents

Executive Summary

Executive Summary








processing industry














Produce


be processed


facilities








PwC 9

Executive Summary















Gram Pulses 1

Wheat Cereals 2


Soyabean Oilseeds 4

Rice Cereals 5

Orange Fruits 6

Onion Vegetables

7

Tomato 8

Garlic Spices 9


Papaya Fruits 11


Banana Fruits 13

Potato Vegetables

14

Mustard 15



Maize Cereals 18

Chillies Spices

19

Coriander 20

Guava Fruits

21

Mango 22


Sorghum Cereals 24




PwC 10

--

-

-

Executive Summary









Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

1

Cereals

Rice 410340 777972 367632

2 Wheat 3304922 4456812 1151890

3 Maize 46400 -- - -- -

4 Sorghum -- - -- - -- -

5

Oilseeds

Soyabean 8504654 880753 -- -

6 Mustard 310800 462037 151237

7 Groundnut -- - 5001 5001

8

Livestock Produce

Milk 968543 1127365 158821

9 Eggs (Nos) -- - -- - -- -

10 Poultry Meat -- - -- - -- -

11 Other Meat -- - -- - -- -

12 Fish -- - -- - -- -

13

Pulses

Gram 389638 451144 61506

14 Pigeon Pea (Tur)

30559 317316 286757

15 Lentil (Masoor) 20091 41170 21079

16

Fruits

Mango 7858 28565 20707

17 Guava 1045 7206 6161

18 Orange 39 7206 7167

19 Papaya 68 68 -- -

20 Banana 182 182 -- -

21

Vegetables

Green Peas 2390 2390 -- -

22 Tomato 8002 42231 34229

23 Onion 6417 6417 -- -

24 Potato 27213 667560 640347


PwC 11

--

-

-

Executive Summary

Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

25 Chillies 1069 1069 -- -

26 Spices Garlic 6417 6417 -- -

27 Coriander 3208 3208 -- -









Infrastructure

Services




follows

Sr No



Suggestions


Marketing Reforms
















PwC 12

Executive Summary

Sr No



Suggestions

products spices








2 Infrastructure







3 Services

Marketing Support

Extension Services

Skill Development






PwC 13

Executive Summary




Vision Statement






by 2024

Mission Statement



Focus Areas



















PwC 14

Executive Summary


















PwC 15

Executive Summary



PwC 16

Introduction

1 Introduction























techniques















PwC 17

Introduction











sector





Forestry






PwC 18

-










Fruits Vegetables

amp Spices

Food Processing

Sector



Grains

Pulses amp Oilseeds

Dairy

Meat amp Poultry

Fish



Consumption




Targets







PwC 19














commodities


Commodity Category



(Kgmonth)




Wheat 8068 7271 0256 0770

Rice 2130 1720 0045 0160

Maize 0599 0043

Sorghum 0274 0048


Mustard 0155^ 0145^


Gram 0045 0024 0130 0113 0108 0154



Major Fruits 0830 1477 0005 0017



Milk 3999 4814 0079 0075




Fish 0088 0043





PwC 20



MT

15000000

12703200

12000000

71

833

78

37

478

55

894

68

2486

07 18

239

59

81

490

00

62

806

00

32

903

00

22

273

00


9000000

6000000

3000000

0


6549

02

11

680

68

5375

80

5953

07

3879

93

1326

24

7451

70

577

81

1842

99

19

574

91

18

166

84

13

791

74

13

495

88

12

874

00

8696

00

7981

00

6474

86

6089

00

0

500000

1000000

1500000

2000000

2500000

Mt

or

Th

ousands




PwC 21


500000

452207 614

99

104

65

3401

66

1034

17

557

35

947

40

711

51

974

34

843

71

340

29

658

31

600

65

499

66

3446

00

3342

00

2749

04

2700

00

2553

04

2300

00

1750

71

935

70

820

00

754

04

250

00

120

00

0

100000

200000

300000

400000

MT















PwC 22

-



Sr No


scenario

1

Cereals





5

Oilseeds




8

Livestock Produce






13

Pulses




16

Fruits






21

Vegetables





25

Spices





PwC 23


22 Potential

























PwC 24

-



Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

1

Cereals

Rice 2227300 133638 2093662 1823959 410340 100 --- 1683322

2 Wheat 12703200 762192 11941008 7183378 3304922 --- --- 1799331

3 Maize 1287400 77244 1210156 387993 46400 --- --- 775763

4 Sorghum 608900 36534 572366 184299 0 --- --- 388067

5

Oilseeds

Soyabean 6280600 376836 5903764 447341 8504654 100 --- ---

6 Mustard 869600 52176 817424 331561 310800 100 --- 506624

7 Groundnut 344600 20676 323924 26164 0 100 --- 323924

8

Livestock Produce

Milk 8149000 65192 8083808 3860291 968543 --- --- 3324869

9 Eggs (Nos) 798100000 29529700 768570300 745170490 0 --- --- 23399810

10 Poultry Meat 12000 444 11556 49966 0 --- 38410 ---


12 Fish 75404 5203 70201 65831 0 --- --- 4370

13

Pulses

Gram 3290300 200708 3089592 248607 389638 --- --- 2665806

14 Pigeon Pea (Tur) 334200 20386 313814 340166 30559 100 26352 283255

15 Lentil (Masoor) 230000 14030 215970 71151 20091 100 --- 195879

16

Fruits

Mango 175071 22237 152834 97434 7858 --- --- 57699

17 Guava 255304 45910 209394 94740 1045 --- --- 114767

18 Orange 647486 40771 606715 57781 39 --- --- 550053

19 Papaya 274904 20316 254588 103417 68 --- --- 151103

20 Banana 1379174 91018 1288156 537580 182 --- --- 750394


PwC 25

-


Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

21

Vegetables

Green Peas 452207 46601 405606 61499 2390 --- --- 341717

22 Tomato 1349588 167360 1182228 595307 8002 --- --- 586346

23 Onion 1957491 146725 1810766 654902 6417 --- --- 1149447

24 Potato 1816684 163475 1653209 1168068 27213 --- --- 623050

25

Spices

Chillies 93570 5561 88009 84371 1069 --- --- 2568

26 Garlic 270000 16085 253915 55735 6417 --- --- 191763

27 Coriander 82000 5983 76017 34029 3208 --- --- 38780




PwC 26



2221 Need



























PwC 27

-




sector


















demandacceptance






Prioritization)

1 Rice

2 Wheat

3 Cereals

Maize

4 Sorghum

5 Soyabean

6 Oilseeds Mustard

7 Groundnut


PwC 28

-



Prioritization)

8

Livestock Produce

Milk

9 Eggs

10 Poultry Meat


12

Pulses

Gram

13 Pigeon Pea (Tur)

14 Lentil (Masoor)

15

Fruits

Mango

16 Guava

17 Orange

18 Papaya

19 Banana

20

Vegetables

Green Peas

21 Tomato

22 Onion

23 Potato

24

Spices

Chillies

25 Garlic

26 Coriander




















PwC 29



Source PwC Analysis










PwC 30

- - - - - -

- -




Poultry (Meat)

Meat Excluding

Poultry Gram

Pigeon Pea

Lentil



10 21 94 066 038 82 110 048 100 016 008 018 40 063 038


10 100 73 073 073 051 073 037 330 013 009 016 087 009 006


10 29 86 152 069 100 138 038 079 088 237 154 537 094 109

ATTRACTIVENESS



15 60 49 15 09 00 23 17 150 002 09 10 118 20 12


10 28 05 48 24 00 04 02 29 001 07 02 100 013 10



10 04 24 12 20 100 26 10 46 00 01 02 83 24 37


10 25 39 08 01 09 23 36 13 14 10 14 33 32 02


5 09 04 03 01 05 03 14 05 092 23 08 05 032 06


10 07 21 10 18 26 21 19 33 426 83 47 39 264 14


100 2805 4438 1232 887 4271 1446 440 4424 912 1787 1445 5465 1240 880



PwC 31






10 020 024 118 015 060 050 074 086 083 024 067 019


10 005 007 020 007 044 024 006 013 058 003 009 003


ATTRACTIVENESS



15 02 04 37 03 12 14 12 18 10 002 18 03


10 01 04 21 03 28 15 30 43 08 002 07 04



10 02 20 40 120 09 23 14 22 09 143 43 299


10 39 08 57 44 34 48 100 78 60 44 16 34


5 06 06 50 37 09 16 07 05 01 08 16 05


10 42 57 46 99 53 75 43 49 44 46 100 32


100 984 1041 2663 2023 1578 2029 2193 2279 1509 1176 2086 1164



PwC 32




Gram Pulses 27

Wheat Cereals 28



Rice Cereals 31

Orange Fruits 32

Onion Vegetables

33

Tomato 34

Garlic Spices 35


Papaya Fruits 37


Banana Fruits 39

Potato Vegetables

40

Mustard 41



Maize Cereals 44

Chillies Spices

45

Coriander 46

Guava Fruits

47

Mango 48


Sorghum Cereals 50




PwC 33






quantity






000

000

000

000

1189

391

114

238

150

059

033

053

449

041

001

002

001

000

874

914

1184

000

360

Fish

Meat (Non-Poultry)

Poultry Meat

Eggs

Milk

Coriander

Chillies

Garlic

Potato

Tomato

Onion

Green Peas

Mango

Guava

Banana

Papaya

Orange

Groundnut

Mustard

Soyabean

Lentil (Masoor)

Pigeon Pea (Tur)

Gram

Sorghum

Maize

Rice

Wheat

Cereals (Major)

224

Pulses (Major)

114

Oilseeds (Major)

1147

Fruits (Major)

03

Vegetables (Major)

08

Spices (Major)

24

Livestock Produce

0 2 4 6 8 10 12 14 34 114 134


PwC 34





Sr No

Category Commodity

Produce

Production

(MT or Nos)



Level of Processing

(Commodity)


1

Cereals

Wheat 12703200 3304922 2602

2236 2 Rice Paddy 2227300 410340 1842

3 Maize 1287400 46400 360

4 Sorghum 608900 0 000

5

Pulses

Gram 3290300 389638 1184

1142 6 Pigeon Pea (Tur) 334200 30559 914

7 Lentil (Masoor) 230000 20091 874

8

Oilseeds

Soyabean 6280600 8504654 13541 11762

or 2560 (except

Soyabean)

9 Mustard 869600 310800 3574

10 Groundnut 344600 0 000

11

Fruits

Orange 647486 39 001

034

12 Papaya 274904 68 002

13 Banana 1379174 182 001

14 Guava 255304 1045 041

15 Mango 175071 7858 449

16

Vegetables

Green Peas 452207 2390 053

079 17 Onion 1957491 6417 033

18 Tomato 1349588 8002 059

19 Potato 1816684 27213 150

20

Spices

Garlic 270000 6417 238

24021 Chillies 93570 1069 114

22 Coriander 82000 3208 391

23

Livestock Produce

Milk 8149000 968543 1189 1189

24 Eggs (Nos) 798100000 0 000

000 25 Poultry Meat 12000 0 000


27 Fish 75404 0 000




PwC 35































Table 6



PwC 36

-

--

-



Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

28

Cereals

Rice 3096116 185767 2910349 777972 410340 777972 367632

29 Wheat 31242124 1874527 29367596 10016554 3304922 4456812 1151890

30 Maize 935069 56104 878965 182794 46400 -- - -- -

31 Sorghum 645754 38745 607009 128945 -- - -- - -- -

32

Oilseeds

Soyabean 11718007 703080 11014927 880753 8504654 880753 -- -

33 Mustard 1871116 112267 1758849 462037 310800 462037 151237

34 Groundnut 522493 31350 491144 5001 -- - 5001 5001

35

Livestock Produce

Milk 13704845 109639 13595206 6627713 968543 1127365 158821

36 Eggs (Nos) 838926231 31040271 807885961 1860759371 -- - -- - -- -

37 Poultry Meat 53481 1979 51503 249427 -- - -- - -- -


39 Fish 104928 7240 97688 93291 -- - -- - -- -

40

Pulses

Gram 4785056 291888 4493168 469105 389638 451144 61506

41 Pigeon Pea (Tur) 472103 28798 443305 317316 30559 317316 286757

42 Lentil (Masoor) 218112 13305 204807 41170 20091 41170 21079

43

Fruits

Mango 596179 75724 520455 195245 7858 28565 20707

44 Guava 513754 92386 421368 167077 1045 7206 6161

45 Orange 2881844 181462 2700381 665249 39 7206 7167

46 Papaya 2846041 210331 2635710 833437 68 68 -- -


PwC 37

-

--

-


Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

47 Banana 4026120 265703 3760417 1408227 182 182 -- -

48

Vegetables

Green Peas 8560527 882179 7678348 40783 2390 2390 -- -

49 Tomato 10680674 1324489 9356185 1138059 8002 42231 34229

50 Onion 16909131 1267432 15641699 1214403 6417 6417 -- -

51 Potato 8407304 756535 7650769 1807729 27213 667560 640347

52

Spices

Chillies 525868 31254 494614 188321 1069 1069 -- -

53 Garlic 1071598 63840 1007757 271562 6417 6417 -- -

54 Coriander 206502 15066 191436 74315 3208 3208 -- -




PwC 38

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 1010 1111 1212 1313 1414 1515 1616 1717 1818 1919 2020 2121 2222 2323 2424 2525 2626 2727

5000

5500

6000

6500


Th

ou

sa

nd

MT

or

La

kh

No

s

(fo

r E

gg

s) 8000

6000

4500

4000

3500

3000

2500

2000

1500

1000

500

0


18000

14000

Wh

eat

Ric

e

Ma

ize

So

rgh

um

Gra

m

Pig

eon

Pea

(T

ur)

Le

nti

l (M

aso

or)

So

ya

be

an

Mu

sta

rd

Gro

un

dn

ut

Ora

ng

e

Pa

pa

ya

Ba

na

na

Gu

av

a

Ma

ng

o

Gre

en P

ea

s

On

ion

To

ma

to

Po

tato

Ga

rlic

Ch

illi

es

Co

ria

nd

er

Mil

k

Eg

gs

Po

ult

ry M

eat

Oth

er

Mea

t

Fis

h



PwC 39





bullSpices bullFish




bullSoyabean



PwC 40

Vision

3 Vision










31 Vision Statement






by 2024




33 Focus areas














PwC 41

Vision



PwC 42





sections






desired results








Infrastructure

Services



produce


respectively


PwC 43

--

-



Farmers Government










Va

lue

Ch

ain

Ac

tor

s

an

d E

lem

en

ts Processors





bullRetail Shops


Storage


Tertiary Processing

Marketing












Bu

sin

es

se

s

Ag

ri

Va

lue

Ch

ain


PwC 44

-



Ag

ri

Va

lue

Ch

ain

Ac

tor

sP

oli

cy

Is

su

es


Warehouse Operators

Processors



Traders

Commission Agents










Income tax for FPOs


Industrial Policy


VAT schedules

Biodiversity tax



and subsidies

APMC act


Mandis

Mandi fee Entry tax


produce


of wheat

Infr

as

tru

ctu

re

Iss

ue

s

Se

rv

ice

Iss

ue

s

Roads




Roads

Electricity outages




Rake availability



Roads







Access to credit



PwC 45





































PwC 46







exemption





years






























PwC 47






































PwC 48





























sections


PwC 49



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

CEREALS

1 Rice Paddy

Whole Broken 0 0 0 4 4 --- 14 0 5




--- --- --- --- --- 1 --- --- ---

Husk 0 15 14 5 4 5 0 0 0


Flour 13 0 5 1375 125 --- 14 0 145


0 15 0 5 0 0 0 0 0

2 Wheat

Whole Broken 0 0 0 4 4 --- 0 0 5

Bran 0 15 0 5 125 0 0 0 0


0 0 0 4 0 --- 5 0 5



--- --- --- --- --- 0 --- --- ---


PwC 50


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



--- --- --- --- --- 1 --- --- ---

Bread (Branded) 0 0 0 0 0 0 0 0 145

Bread (Unbranded) --- --- --- --- --- --- --- --- 0


Bread (Pizza) 0 0 5 0 4 5 0 5 145



Toast (Unbranded) 13 15 5 1375 125 135 5 125 0

Rusk 13 15 14 1375 125 5 14 125 145

Yeast 5 15 5 5 4 135 14 125 5


13 15 14 1375 4 135 14 125 145



13 15 14 1375 125 135 14 125 145




PwC 51


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


3 Maize

Whole Broken 0 0 0 0 0 0 0 0 0

Bran 0 15 0 5 125 5 0 0 0



Flakes 13 15 0 1375 125 135 14 125 145

Starch 5 4 5 5 4 5 5 5 5

4 Sorghum

Whole Broken 0 0 0 0 0 0 0 0 0

PULSES


Whole Pulses 0 0 0 4 1 --- 0 0 5

Split (Dal) Broken 13 0 0 1375 1 135 0 0 5


Flour Besan 0 0 0 1375 125 --- 5 0 145

Roasted Fried 0 15 5 5 0 0 5 5 5


PwC 52


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


13 4 5 1375 125 135 14 125 145




13 0 5 1375 125 135 14 125 145

Papad 0 0 0 0 125 0 0 0 0


--- --- --- --- --- 0 --- --- ---


--- --- --- --- --- 1 --- --- ---

OILSEEDS



Edible Oil 5 4 5 4 4 5 5 5 5


Oil Cake 5 4 5 4 4 5 5 5 5

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 5


PwC 53


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


--- --- --- --- --- --- --- 0 ---

7 Soyabean

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 145

Soya Nuggests 13 15 14 1375 125 5 14 125 145



13 15 14 1375 125 135 14 125 145



FRUITS







PwC 54


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



5 4 5 5 4 5 5 5 5



5 4 5 5 4 5 5 5 5


VEGETABLES






--- --- --- --- --- --- --- 5 ---





PwC 55


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks




5 15 14 1375 125 135 14 125 145

SPICES

12 Chilli (Dry)


Powdered 5 4 5 5 125 5 5 0 5

13 Garlic


Dehydrated 5 15 5 5 125 5 5 125 5



Powdered 5 4 5 5 125 5 5 125 5

14 Coriander


Separated 5 4 5 5 125 5 5 0 5

Powdered 5 4 5 5 125 5 5 0 5

LIVESTOCK PRODUCE

15 Milk



PwC 56


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Buttermilk 0 0 0 0 0 0 0 0 0


Lassi 0 0 0 0 0 0 0 0 0

Curd (Unbranded) 0 0 0 0 0 0 0 0 0

Curd (Branded) 0 0 0 0 0 0 0 5 0

UHT Milk 5 15 0 5 4 5 5 5 5


13 15 14 1375 125 135 14 5 145



5 15 14 1375 125 135 14 5 145

Flavoured Milk 5 15 14 1375 4 135 5 125 145

Milk Powder 5 4 5 5 4 5 5 5 5

Khoa (Mawa) 5 15 5 5 4 0 14 125 145

Cheese 5 15 5 1375 4 135 14 125 145

Paneer 13 15 5 5 4 135 5 125 5


Cream 13 15 5 1375 4 135 5 125 145

Butter 13 15 5 1375 4 135 14 125 145


Ghee (Packaged) 13 4 5 5 4 5 14 125 145


13 4 5 5 4 0 5 5 145


PwC 57


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ice-cream Kulfi 13 15 14 1375 125 135 14 125 145

16 Eggs 0 0 0 0 0 0 0 0 0


Unprocessed 0 0 0 0 0 0 0 0 0

Processed 5 4 5 5 4 135 5 5 145

Frozen 13 15 14 1375 4 135 14 5 5



--- --- --- --- --- --- --- 5 5



PwC 58



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


On every category

Not applicable




On specific

categories

On every category

No tax Instead

LBT

No tax as per High

Court order


1 --- --- --- --- --- 1 4 ---

CEREALS

1 Rice Paddy




Paddy - Whole 1 --- --- --- --- 4 30 0 ---

Husk 1 --- --- --- --- --- 0 0 ---

Bran 1 --- --- --- --- --- 2 2 ---

Flour 1 --- --- --- --- --- 1 0 ---


1 --- --- --- --- --- 0 0 ---

2 Wheat



Bran 1 --- --- --- --- --- 0 0 ---


1 --- 2 --- --- --- 5 0 ---


Bread (Branded) 0 --- --- --- --- --- 0 0 ---

Bread (Unbranded) 0 --- --- --- --- --- 0 0 ---

Bread (Pizza) 0 --- --- --- --- --- 0 35 ---


PwC 59


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



Toast (Unbranded) 1 --- --- --- --- --- 1 4 ---

Rusk 1 --- --- --- --- --- 1 4 ---



1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

3 Maize





Flakes 1 --- --- --- --- --- 1 4 ---

Starch 1 --- --- --- --- --- 1 2 ---

4 Sorghum


PULSES



PwC 60


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Whole Pulses 1 --- --- --- --- --- 0 0 ---

Split (Dal) Broken 1 --- --- --- --- --- 0 0 ---




Roasted Fried 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Papad 1 --- --- --- --- --- 0 1 ---

OILSEEDS



Edible Oil 05 --- --- --- --- --- 05 15 ---


05 --- --- --- --- 5 05 2 ---

Oil Cake 1 --- --- --- --- --- 1 15 ---


PwC 61


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 ---

7 Soyabean




1 --- --- --- --- --- 1 4 ---

8 Mustard Oilcake 1 --- --- --- --- --- 1 15 ---

FRUITS








1 --- --- --- --- --- 1 35 ---


2 --- 4 --- --- --- 1 4 ---

VEGETABLES



PwC 62


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks






1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 2 ---

SPICES

11 Chilli (Dry)



12 Garlic


0 --- --- --- --- --- 0 0 ---

Dehydrated 1 --- --- --- --- --- 1 4 ---



Powdered 1 --- --- --- --- --- 1 4 ---

13 Coriander



PwC 63


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


LIVESTOCK PRODUCE

14 Milk







Curd (Branded) 0 --- --- --- --- --- 0 4 ---

UHT Milk 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---

Flavoured Milk 0 --- --- --- --- --- 0 4 ---

Milk Powder 1 --- --- --- --- --- 1 2 ---

Khoa (Mawa) 1 --- --- --- --- --- 1 4 ---

Cheese 1 --- --- --- --- --- 1 4 ---

Paneer 1 --- --- --- --- --- 1 4 ---

Cream 1 --- --- --- --- --- 1 4 ---

Butter 1 --- --- --- --- --- 1 4 ---



PwC 64


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ghee (Packaged) 05 --- --- --- --- --- 05 4 ---


1 --- --- --- --- --- 1 2 ---

Ice-cream Kulfi 2 --- --- --- --- --- 2 2 ---

15 Eggs 0 --- --- --- --- --- 0 0 ---


Unprocessed 0 --- --- --- --- --- 0 0 ---

Processed 1 --- --- --- --- --- 1 35 ---

Frozen 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---



PwC 65




























Promoting current



products

Better price than




External investment

Higher demand for

primary processing





PwC 66



























becomes a hindrance


PwC 67


413 Service Issues
































PwC 68






labour

41341 Attrition


for both of them




















PwC 69



Sr No




Marketing Reforms






















PwC 70


Sr No













Extension Services

Skill Development






PwC 71











Within 1 year

(by 2014-15)










(by 2014-15)







Within 1 year

(by 2014-15)


PwC 72




Madhya Pradesh










Within 1 year

(by 2014-15)







Within 1 year

(by 2014-15)





Processing

(by 2014-15)


PwC 73












Within 1 year

(by 2014-15)



Formation of FPOs






Within 3 years

(by 2016-17)







Local NGOs

Within 3 years

(by 2016-17)


PwC 74




farmers







Within 3 years

(by 2016-17)











Within 3 years

(by 2016-17)







Within 5 years

(by 2018-19)


PwC 75




Processing







Within 5 years

(by 2018-19)









Within 5 years

(by 2018-19)





Within 5 years

(by 2018-19)


PwC 76








(by 2020-21)









Within 5 years

(by 2018-19)






Within 5 years

(by 2018-19)







Within 4 years

(by 2017-18)


PwC 77









Within 5 years

(by 2018-19)


PwC 78

-

Proposed Projects

5 Proposed Projects








described below













and Barriers






Government


Issues Concerns

Mapping of issues


chains


Project Profiles


PwC 79

Proposed Projects






Sr No




Project Category













PPP mode




PPP mode



production


mode



production


operatives

Farmer Empowerment



PwC 80

Proposed Projects

















Taxation Issues


Mandi Fees Issues


stakeholders


PwC 81

Proposed Projects


Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

1

Cereals

Wheat

2 RicePaddy

3 Maize

4 Sorghum

5

Pulses

Gram

6 Pigeon Pea

7 Lentil

8

Oilseeds

Soyabean

9 Mustard

10 Groundnut

11

Fruits

Orange

12 Papaya

13 Banana

14 Guava

15 Mango


PwC 82

Proposed Projects

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

16

Vegetables

Green Peas

17 Onion

18 Tomato

19 Potato

20

Spices

Garlic

21 Chilli

22 Coriander

23

Livestock Produce

Milk

24 Eggs (Nos)

25 Poultry Meat

26 Other Meat

27 Fish

Total 22 11 20 15 21 9 27 27 10 25 22 10



PwC 83

Proposed Projects













Priority Quadrant

High

State

Government

Control

Low




Food Parks

Market Linkages


Food Testing Labs

RampD Centres

Access to Credit



Time Bound Service

Mandi Fees


Taxation


PwC 84

Proposed Projects





4) Market Linkages

5) Taxation






Sr No




Project Category








Hard Intervention









PwC 85

Proposed Projects







These areas are

Food Processing

Sector


ment


ure Developm

ent

Farmer Linkages

amp Empower

ment


ent











PwC 86

-




611 Context







612 Project

6121 Objectives







6122 Drivers








approach


Major Pulses

Rank Production

2011 12 (lsquo000 MT)





PwC 87

-

-

-

--


Major Pulses

Rank Production

2011 12 (lsquo000 MT)




Pigeon Pea (Tur)


Lentil (Masoor)


Green Gram (Moong)


Black Gram (Urad)

--- 1488 84






Gram

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)





dal making

Major Pulses

Estimated Current


(MT)


(based on demand)

2011 12 (MT)


Capacity (MT and )



2023 24

(MT)


Capacity Addition

Required by 2023 24

(MT)

Gram

453299 736543 283244 930673 477374

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)



PwC 88

- -







Major Pulses


(MT)


(MT)


Gram 248607 451144 11036

Pigeon Pea (Tur) 340166 317316 -672

Lentil (Masoor) 71151 41170 -4214


Black Gram (Urad) 43944 21804 -5038

Total 736543 930673 2636


6123 Concept



















suppliers etc


PwC 89


61232 Location













PwC 90


















613 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power



machinery --- 11000



Total 82000


PwC 91




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



616 Risk

6161 Financial Risk




PwC 92













PwC 93




PwC 94

-



621 Context








622 Project

6221 Objectives







6222 Drivers












2011 12 (lsquo000 MT)





PwC 95

- -






Wheat













wheat in the state

Major Cereal


(MT)


(MT)


Wheat 7183377 10016554 3944


6223 Concept










PwC 96












suppliers etc

62232 Location



PwC 97










Location Sehore





Milling











623 Cost Estimates






PwC 98


Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 84500



Particulars Benefit













PwC 99


Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



626 Risk

6261 Financial Risk














PwC 100

-



631 Context










632 Project

6321 Objectives







6322 Drivers











2011 12 (lsquo000 MT)





PwC 101

- - -






Paddy





Crop


2011 12

(MT)


2023 24

(MT)


Required by 2023 24

(MT)

Paddy 410340 777972 367632


6323 Concept

















PwC 102





suppliers etc

63232 Location









PwC 103



Location Satna















633 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 90000


PwC 104




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)




PwC 105


636 Risk

6361 Financial Risk














PwC 106



641 Context










on PPP model

642 Project

6421 Objectives




catchment area




6422 Drivers












PwC 107

-


Fruit amp Vegetable

Rank Production

2011 12 (lsquo000 MT)














shown below


Mosambi

Orange

Mango

Banana

Lime Lemon

Guava

Papaya

Amla

Tomato

Cabbage

Cauliflower

Potato

Onion

Bottle Gourd

Okra

Watermelon

Brinjal

Pea



PwC 108







harvesting seasons



6423 Concept

64231 PPP Model


















64232 Location



PwC 109













PwC 110







Location Ratlam




























PwC 111








643 Cost Estimates







Sr No


(in Rs Lakhs)


1 Land ~ 9000 m2 ---



4

Plant amp Machinery



---3000

8000


(HVAC) --- 5000





7 Land ~ 18000 m2 ---


9 Building (Rs15000m2) ~ 2000 m2 30000

10 Office (Rs15000m2) ~ 300 m2 4500



PwC 112



12500


14

Plant amp Machinery


--- 135000

15



--- 45000






--- 2500









Sr No

Particulars Amount

(in Rs Lakhs)









8 Maintenance 100




PwC 113








15 Maintenance 2500





Sr No



Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)



20000 310000

Total 35000 490000












PwC 114


Sr No








Terms of lease BOO



646 Risk

6461 Financial Risk













PwC 115








PwC 116



651 Context











652 Project

6521 Objectives



area




6522 Drivers











product



PwC 117

-



2011 12 (lsquo000 MT)











below


Garlic

Onion

Tomato

Cabbage


6523 Concept

65231 PPP Model













PwC 118








65232 Location








PwC 119








Location Neemuch





Dehydration Plant

















653 Cost Estimates







PwC 120



Sr No


(in Rs Lakhs)

1 Land ~ 24000 m2 ---


3 Building (Rs15000m2) ~ 2000 m2 30000

4 Office (Rs15000m2) ~ 300 m2 4500



4000


8

Plant amp Machinery


--- 120000

9



--- 22500

Total 195700






Sr No

Particulars Amount

(in Rs Lakhs)







7 Maintenance 200

Total 120700


PwC 121






Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)












Sr No








Terms of lease BOO




PwC 122


656 Risk

6561 Financial Risk


















PwC 123




PwC 124



661 Context











662 Project

6621 Objectives









6622 Drivers





meat) in the state



PwC 125

- --

-


Parameter

Meat
















Particular


(MT)


(MT)


(MT)

Meat



6623 Concept

66231 PPP Model












PwC 126






66232 Location


Indore

Bhopal






















PwC 127


663 Cost Estimates





Sr No


(in Rs Lakhs)



3 Building (Rs10000m2) ~ 1100 m2 11000

4

Utility Buildings


2500



6



--- 15000

Total 43000





(in Nos)

Approx Annual

Turnover

(in Rs Lakhs)





Sr No






PwC 128




Terms of lease BOO



666 Risk

6661 Financial Risk










PwC 129




PwC 130



671 Context
















in the mandis




672 Project

6721 Drivers






regulations

6722 Objectives





PwC 131









6723 Concept






Regulated markets


246 275 521

Principal markets


A 51 21

B 40 16

C 58 24

D 97 39

Total 246





below

672311 Phase 1






PwC 132











below


shed etc



shopsoffices etc






feasibility







672312 Phase 2


consultation)










PwC 133






(mentioned below)








Mission (NHM)








expert opinions









674 Cost Estimates






PwC 134













6761 Brief Snapshot

Title Description


Background







PwC 135

-



Means of finance






67621 Context








below




39634 7788 4 24 73942 350 46277





Details of Mandi


Area yard 2822 ha

Market fee 2


PwC 136

-


Facilities


Weighment Yes


Covered shed Yes

Warehouse No

Cold storage No

Ripening chamber No


Quality testing No


Market fee 9962

Other income 052

Total income 1048








67623 Project












PwC 137














67624 Cost Estimate






Subtotal 80800000









Sub-total 16027500








PwC 138

























59777 68744 73556 78705 84215


1195 1374 1471 1574 1684










PwC 139


67627 Risk




PwC 140



681 Context











682 Project

6821 Objectives












6822 Drivers






in the state



PwC 141

- -

-

-- -

-

-


Parameter Poultry















Particular


(MT)

Current Production

2010 11 (MT)

Estimated Demand

Supply Gap 2010 11

(MT)

Estimated Demand by

2023 24

(MT)


(MT)

Estimated Demand

Supply Gap 2023 24

(MT)

Poultry Meat 49966 12000 37966 249427 53481 195946


6823 Concept









PwC 142












1) Shivpuri

2) Bhind

3) Morena

4) Datia

5) Tikamgarh

6) Chhatarpur

7) Panna

8) Damoh

9) Sagar

10) Jhabua

11) Alirajpur

12) Barwani

13) Harda

14) Betul

15) Chhindwara


PwC 143
























683 Cost Estimates










Sr No

Requirement Unit

Amount

(Rs in

lakhs)

1st year

Amount

(Rs in

lakhs)

2nd year

Amount

(Rs in lakhs)

3rd year



operative --- 050 --- ---

2

Operating Expenses

Office

Manpower

Consumables

--- 2500 2500 2500

3



Working Capital


Rs 55000farm

Rs 25bird

Rs500farmeryr

8250

1875

075

8250

1875

075

11000

2500

100

Sub-Total 12750 12700 16100











Sr No








operative






686 Risk







691 Context





problem






692 Project

6921 Objectives














in the market

6922 Drivers



























6923 Concept





693 Cost Estimates




Sr No






- - -






Form-1 30000

Form-18 30000

Form-32 30000





Total 3755000



Sl


No

of

Units

Unit

Rate

(in Rs)

Total

Month

Total

Cost

(Rs)

Increment 10Year


1 Salary

ManagerCEO 1 20000 12 240000 240000 264000 290400


Accountant 1 6000 12 72000 72000 79200 87120


2 Travel

Salaries 3 1500 12 18000 18000 19800 21780

3 Office expenses

Office Rent 1 3000 12 36000 36000 39600 43560

Electricity 1 1000 12 12000 12000 13200 14520

Water 1 200 12 2400 2400 2640 2904

Telecommunication

(PhoneFax) 1 2000 12 24000 24000 26400 29040

Stationary - 1000 12 12000 12000 13200 14520

Cleaning 1 500 12 6000 6000 6600 7260


BoDGB 6 1000 6 6000 6000 6600 7260




expenses 1 500 12 6000 6000 6600 7260

Total 804400 804400 884840 973324

Grand Total 2662564

















Sr No










696 Risk







6101 Context






6102 Project










the local problems







issues


processed foods

61022 Drivers












61023 Concept


















Duration 4 years





2) Food Engineering







6103 Cost Estimates







Sr No


(in Rs Lakhs)





5

Pilot Plant


1 each 12500




Total 475620






Sr No


(in Rs Lakhs)





Total 26956













charges





Sr No

Tasks To be

Completed by








October 2016






6106 Risk












Table of Contents

Table of contents

Executive Summary 9

1 Introduction 17



22 Potential 24






3 Vision 41



33 Focus areas 41








5 Proposed Projects








611 Context 87

612 Project 87




43

79

86

87

92

Table of Contents

616 Risk


621 Context 95

622 Project 95




626 Risk 100


631 Context 101

632 Project 101




636 Risk 106


641 Context 107

642 Project 107




646 Risk 115


651 Context 117

652 Project 117




656 Risk 123


661 Context 125

662 Project 125




666 Risk 129


671 Context 131

672 Project 131

Table of Contents






681 Context 141

682 Project 141




686 Risk 146


691 Context 147

692 Project 147




696 Risk 150


6101 Context 151

6102 Project 151




6106 Risk 154

Table of Contents

Executive Summary

Executive Summary








processing industry














Produce


be processed


facilities








PwC 9

Executive Summary















Gram Pulses 1

Wheat Cereals 2


Soyabean Oilseeds 4

Rice Cereals 5

Orange Fruits 6

Onion Vegetables

7

Tomato 8

Garlic Spices 9


Papaya Fruits 11


Banana Fruits 13

Potato Vegetables

14

Mustard 15



Maize Cereals 18

Chillies Spices

19

Coriander 20

Guava Fruits

21

Mango 22


Sorghum Cereals 24




PwC 10

--

-

-

Executive Summary









Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

1

Cereals

Rice 410340 777972 367632

2 Wheat 3304922 4456812 1151890

3 Maize 46400 -- - -- -

4 Sorghum -- - -- - -- -

5

Oilseeds

Soyabean 8504654 880753 -- -

6 Mustard 310800 462037 151237

7 Groundnut -- - 5001 5001

8

Livestock Produce

Milk 968543 1127365 158821

9 Eggs (Nos) -- - -- - -- -

10 Poultry Meat -- - -- - -- -

11 Other Meat -- - -- - -- -

12 Fish -- - -- - -- -

13

Pulses

Gram 389638 451144 61506

14 Pigeon Pea (Tur)

30559 317316 286757

15 Lentil (Masoor) 20091 41170 21079

16

Fruits

Mango 7858 28565 20707

17 Guava 1045 7206 6161

18 Orange 39 7206 7167

19 Papaya 68 68 -- -

20 Banana 182 182 -- -

21

Vegetables

Green Peas 2390 2390 -- -

22 Tomato 8002 42231 34229

23 Onion 6417 6417 -- -

24 Potato 27213 667560 640347


PwC 11

--

-

-

Executive Summary

Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

25 Chillies 1069 1069 -- -

26 Spices Garlic 6417 6417 -- -

27 Coriander 3208 3208 -- -









Infrastructure

Services




follows

Sr No



Suggestions


Marketing Reforms
















PwC 12

Executive Summary

Sr No



Suggestions

products spices








2 Infrastructure







3 Services

Marketing Support

Extension Services

Skill Development






PwC 13

Executive Summary




Vision Statement






by 2024

Mission Statement



Focus Areas



















PwC 14

Executive Summary


















PwC 15

Executive Summary



PwC 16

Introduction

1 Introduction























techniques















PwC 17

Introduction











sector





Forestry






PwC 18

-










Fruits Vegetables

amp Spices

Food Processing

Sector



Grains

Pulses amp Oilseeds

Dairy

Meat amp Poultry

Fish



Consumption




Targets







PwC 19














commodities


Commodity Category



(Kgmonth)




Wheat 8068 7271 0256 0770

Rice 2130 1720 0045 0160

Maize 0599 0043

Sorghum 0274 0048


Mustard 0155^ 0145^


Gram 0045 0024 0130 0113 0108 0154



Major Fruits 0830 1477 0005 0017



Milk 3999 4814 0079 0075




Fish 0088 0043





PwC 20



MT

15000000

12703200

12000000

71

833

78

37

478

55

894

68

2486

07 18

239

59

81

490

00

62

806

00

32

903

00

22

273

00


9000000

6000000

3000000

0


6549

02

11

680

68

5375

80

5953

07

3879

93

1326

24

7451

70

577

81

1842

99

19

574

91

18

166

84

13

791

74

13

495

88

12

874

00

8696

00

7981

00

6474

86

6089

00

0

500000

1000000

1500000

2000000

2500000

Mt

or

Th

ousands




PwC 21


500000

452207 614

99

104

65

3401

66

1034

17

557

35

947

40

711

51

974

34

843

71

340

29

658

31

600

65

499

66

3446

00

3342

00

2749

04

2700

00

2553

04

2300

00

1750

71

935

70

820

00

754

04

250

00

120

00

0

100000

200000

300000

400000

MT















PwC 22

-



Sr No


scenario

1

Cereals





5

Oilseeds




8

Livestock Produce






13

Pulses




16

Fruits






21

Vegetables





25

Spices





PwC 23


22 Potential

























PwC 24

-



Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

1

Cereals

Rice 2227300 133638 2093662 1823959 410340 100 --- 1683322

2 Wheat 12703200 762192 11941008 7183378 3304922 --- --- 1799331

3 Maize 1287400 77244 1210156 387993 46400 --- --- 775763

4 Sorghum 608900 36534 572366 184299 0 --- --- 388067

5

Oilseeds

Soyabean 6280600 376836 5903764 447341 8504654 100 --- ---

6 Mustard 869600 52176 817424 331561 310800 100 --- 506624

7 Groundnut 344600 20676 323924 26164 0 100 --- 323924

8

Livestock Produce

Milk 8149000 65192 8083808 3860291 968543 --- --- 3324869

9 Eggs (Nos) 798100000 29529700 768570300 745170490 0 --- --- 23399810

10 Poultry Meat 12000 444 11556 49966 0 --- 38410 ---


12 Fish 75404 5203 70201 65831 0 --- --- 4370

13

Pulses

Gram 3290300 200708 3089592 248607 389638 --- --- 2665806

14 Pigeon Pea (Tur) 334200 20386 313814 340166 30559 100 26352 283255

15 Lentil (Masoor) 230000 14030 215970 71151 20091 100 --- 195879

16

Fruits

Mango 175071 22237 152834 97434 7858 --- --- 57699

17 Guava 255304 45910 209394 94740 1045 --- --- 114767

18 Orange 647486 40771 606715 57781 39 --- --- 550053

19 Papaya 274904 20316 254588 103417 68 --- --- 151103

20 Banana 1379174 91018 1288156 537580 182 --- --- 750394


PwC 25

-


Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

21

Vegetables

Green Peas 452207 46601 405606 61499 2390 --- --- 341717

22 Tomato 1349588 167360 1182228 595307 8002 --- --- 586346

23 Onion 1957491 146725 1810766 654902 6417 --- --- 1149447

24 Potato 1816684 163475 1653209 1168068 27213 --- --- 623050

25

Spices

Chillies 93570 5561 88009 84371 1069 --- --- 2568

26 Garlic 270000 16085 253915 55735 6417 --- --- 191763

27 Coriander 82000 5983 76017 34029 3208 --- --- 38780




PwC 26



2221 Need



























PwC 27

-




sector


















demandacceptance






Prioritization)

1 Rice

2 Wheat

3 Cereals

Maize

4 Sorghum

5 Soyabean

6 Oilseeds Mustard

7 Groundnut


PwC 28

-



Prioritization)

8

Livestock Produce

Milk

9 Eggs

10 Poultry Meat


12

Pulses

Gram

13 Pigeon Pea (Tur)

14 Lentil (Masoor)

15

Fruits

Mango

16 Guava

17 Orange

18 Papaya

19 Banana

20

Vegetables

Green Peas

21 Tomato

22 Onion

23 Potato

24

Spices

Chillies

25 Garlic

26 Coriander




















PwC 29



Source PwC Analysis










PwC 30

- - - - - -

- -




Poultry (Meat)

Meat Excluding

Poultry Gram

Pigeon Pea

Lentil



10 21 94 066 038 82 110 048 100 016 008 018 40 063 038


10 100 73 073 073 051 073 037 330 013 009 016 087 009 006


10 29 86 152 069 100 138 038 079 088 237 154 537 094 109

ATTRACTIVENESS



15 60 49 15 09 00 23 17 150 002 09 10 118 20 12


10 28 05 48 24 00 04 02 29 001 07 02 100 013 10



10 04 24 12 20 100 26 10 46 00 01 02 83 24 37


10 25 39 08 01 09 23 36 13 14 10 14 33 32 02


5 09 04 03 01 05 03 14 05 092 23 08 05 032 06


10 07 21 10 18 26 21 19 33 426 83 47 39 264 14


100 2805 4438 1232 887 4271 1446 440 4424 912 1787 1445 5465 1240 880



PwC 31






10 020 024 118 015 060 050 074 086 083 024 067 019


10 005 007 020 007 044 024 006 013 058 003 009 003


ATTRACTIVENESS



15 02 04 37 03 12 14 12 18 10 002 18 03


10 01 04 21 03 28 15 30 43 08 002 07 04



10 02 20 40 120 09 23 14 22 09 143 43 299


10 39 08 57 44 34 48 100 78 60 44 16 34


5 06 06 50 37 09 16 07 05 01 08 16 05


10 42 57 46 99 53 75 43 49 44 46 100 32


100 984 1041 2663 2023 1578 2029 2193 2279 1509 1176 2086 1164



PwC 32




Gram Pulses 27

Wheat Cereals 28



Rice Cereals 31

Orange Fruits 32

Onion Vegetables

33

Tomato 34

Garlic Spices 35


Papaya Fruits 37


Banana Fruits 39

Potato Vegetables

40

Mustard 41



Maize Cereals 44

Chillies Spices

45

Coriander 46

Guava Fruits

47

Mango 48


Sorghum Cereals 50




PwC 33






quantity






000

000

000

000

1189

391

114

238

150

059

033

053

449

041

001

002

001

000

874

914

1184

000

360

Fish

Meat (Non-Poultry)

Poultry Meat

Eggs

Milk

Coriander

Chillies

Garlic

Potato

Tomato

Onion

Green Peas

Mango

Guava

Banana

Papaya

Orange

Groundnut

Mustard

Soyabean

Lentil (Masoor)

Pigeon Pea (Tur)

Gram

Sorghum

Maize

Rice

Wheat

Cereals (Major)

224

Pulses (Major)

114

Oilseeds (Major)

1147

Fruits (Major)

03

Vegetables (Major)

08

Spices (Major)

24

Livestock Produce

0 2 4 6 8 10 12 14 34 114 134


PwC 34





Sr No

Category Commodity

Produce

Production

(MT or Nos)



Level of Processing

(Commodity)


1

Cereals

Wheat 12703200 3304922 2602

2236 2 Rice Paddy 2227300 410340 1842

3 Maize 1287400 46400 360

4 Sorghum 608900 0 000

5

Pulses

Gram 3290300 389638 1184

1142 6 Pigeon Pea (Tur) 334200 30559 914

7 Lentil (Masoor) 230000 20091 874

8

Oilseeds

Soyabean 6280600 8504654 13541 11762

or 2560 (except

Soyabean)

9 Mustard 869600 310800 3574

10 Groundnut 344600 0 000

11

Fruits

Orange 647486 39 001

034

12 Papaya 274904 68 002

13 Banana 1379174 182 001

14 Guava 255304 1045 041

15 Mango 175071 7858 449

16

Vegetables

Green Peas 452207 2390 053

079 17 Onion 1957491 6417 033

18 Tomato 1349588 8002 059

19 Potato 1816684 27213 150

20

Spices

Garlic 270000 6417 238

24021 Chillies 93570 1069 114

22 Coriander 82000 3208 391

23

Livestock Produce

Milk 8149000 968543 1189 1189

24 Eggs (Nos) 798100000 0 000

000 25 Poultry Meat 12000 0 000


27 Fish 75404 0 000




PwC 35































Table 6



PwC 36

-

--

-



Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

28

Cereals

Rice 3096116 185767 2910349 777972 410340 777972 367632

29 Wheat 31242124 1874527 29367596 10016554 3304922 4456812 1151890

30 Maize 935069 56104 878965 182794 46400 -- - -- -

31 Sorghum 645754 38745 607009 128945 -- - -- - -- -

32

Oilseeds

Soyabean 11718007 703080 11014927 880753 8504654 880753 -- -

33 Mustard 1871116 112267 1758849 462037 310800 462037 151237

34 Groundnut 522493 31350 491144 5001 -- - 5001 5001

35

Livestock Produce

Milk 13704845 109639 13595206 6627713 968543 1127365 158821

36 Eggs (Nos) 838926231 31040271 807885961 1860759371 -- - -- - -- -

37 Poultry Meat 53481 1979 51503 249427 -- - -- - -- -


39 Fish 104928 7240 97688 93291 -- - -- - -- -

40

Pulses

Gram 4785056 291888 4493168 469105 389638 451144 61506

41 Pigeon Pea (Tur) 472103 28798 443305 317316 30559 317316 286757

42 Lentil (Masoor) 218112 13305 204807 41170 20091 41170 21079

43

Fruits

Mango 596179 75724 520455 195245 7858 28565 20707

44 Guava 513754 92386 421368 167077 1045 7206 6161

45 Orange 2881844 181462 2700381 665249 39 7206 7167

46 Papaya 2846041 210331 2635710 833437 68 68 -- -


PwC 37

-

--

-


Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

47 Banana 4026120 265703 3760417 1408227 182 182 -- -

48

Vegetables

Green Peas 8560527 882179 7678348 40783 2390 2390 -- -

49 Tomato 10680674 1324489 9356185 1138059 8002 42231 34229

50 Onion 16909131 1267432 15641699 1214403 6417 6417 -- -

51 Potato 8407304 756535 7650769 1807729 27213 667560 640347

52

Spices

Chillies 525868 31254 494614 188321 1069 1069 -- -

53 Garlic 1071598 63840 1007757 271562 6417 6417 -- -

54 Coriander 206502 15066 191436 74315 3208 3208 -- -




PwC 38

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 1010 1111 1212 1313 1414 1515 1616 1717 1818 1919 2020 2121 2222 2323 2424 2525 2626 2727

5000

5500

6000

6500


Th

ou

sa

nd

MT

or

La

kh

No

s

(fo

r E

gg

s) 8000

6000

4500

4000

3500

3000

2500

2000

1500

1000

500

0


18000

14000

Wh

eat

Ric

e

Ma

ize

So

rgh

um

Gra

m

Pig

eon

Pea

(T

ur)

Le

nti

l (M

aso

or)

So

ya

be

an

Mu

sta

rd

Gro

un

dn

ut

Ora

ng

e

Pa

pa

ya

Ba

na

na

Gu

av

a

Ma

ng

o

Gre

en P

ea

s

On

ion

To

ma

to

Po

tato

Ga

rlic

Ch

illi

es

Co

ria

nd

er

Mil

k

Eg

gs

Po

ult

ry M

eat

Oth

er

Mea

t

Fis

h



PwC 39





bullSpices bullFish




bullSoyabean



PwC 40

Vision

3 Vision










31 Vision Statement






by 2024




33 Focus areas














PwC 41

Vision



PwC 42





sections






desired results








Infrastructure

Services



produce


respectively


PwC 43

--

-



Farmers Government










Va

lue

Ch

ain

Ac

tor

s

an

d E

lem

en

ts Processors





bullRetail Shops


Storage


Tertiary Processing

Marketing












Bu

sin

es

se

s

Ag

ri

Va

lue

Ch

ain


PwC 44

-



Ag

ri

Va

lue

Ch

ain

Ac

tor

sP

oli

cy

Is

su

es


Warehouse Operators

Processors



Traders

Commission Agents










Income tax for FPOs


Industrial Policy


VAT schedules

Biodiversity tax



and subsidies

APMC act


Mandis

Mandi fee Entry tax


produce


of wheat

Infr

as

tru

ctu

re

Iss

ue

s

Se

rv

ice

Iss

ue

s

Roads




Roads

Electricity outages




Rake availability



Roads







Access to credit



PwC 45





































PwC 46







exemption





years






























PwC 47






































PwC 48





























sections


PwC 49



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

CEREALS

1 Rice Paddy

Whole Broken 0 0 0 4 4 --- 14 0 5




--- --- --- --- --- 1 --- --- ---

Husk 0 15 14 5 4 5 0 0 0


Flour 13 0 5 1375 125 --- 14 0 145


0 15 0 5 0 0 0 0 0

2 Wheat

Whole Broken 0 0 0 4 4 --- 0 0 5

Bran 0 15 0 5 125 0 0 0 0


0 0 0 4 0 --- 5 0 5



--- --- --- --- --- 0 --- --- ---


PwC 50


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



--- --- --- --- --- 1 --- --- ---

Bread (Branded) 0 0 0 0 0 0 0 0 145

Bread (Unbranded) --- --- --- --- --- --- --- --- 0


Bread (Pizza) 0 0 5 0 4 5 0 5 145



Toast (Unbranded) 13 15 5 1375 125 135 5 125 0

Rusk 13 15 14 1375 125 5 14 125 145

Yeast 5 15 5 5 4 135 14 125 5


13 15 14 1375 4 135 14 125 145



13 15 14 1375 125 135 14 125 145




PwC 51


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


3 Maize

Whole Broken 0 0 0 0 0 0 0 0 0

Bran 0 15 0 5 125 5 0 0 0



Flakes 13 15 0 1375 125 135 14 125 145

Starch 5 4 5 5 4 5 5 5 5

4 Sorghum

Whole Broken 0 0 0 0 0 0 0 0 0

PULSES


Whole Pulses 0 0 0 4 1 --- 0 0 5

Split (Dal) Broken 13 0 0 1375 1 135 0 0 5


Flour Besan 0 0 0 1375 125 --- 5 0 145

Roasted Fried 0 15 5 5 0 0 5 5 5


PwC 52


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


13 4 5 1375 125 135 14 125 145




13 0 5 1375 125 135 14 125 145

Papad 0 0 0 0 125 0 0 0 0


--- --- --- --- --- 0 --- --- ---


--- --- --- --- --- 1 --- --- ---

OILSEEDS



Edible Oil 5 4 5 4 4 5 5 5 5


Oil Cake 5 4 5 4 4 5 5 5 5

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 5


PwC 53


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


--- --- --- --- --- --- --- 0 ---

7 Soyabean

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 145

Soya Nuggests 13 15 14 1375 125 5 14 125 145



13 15 14 1375 125 135 14 125 145



FRUITS







PwC 54


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



5 4 5 5 4 5 5 5 5



5 4 5 5 4 5 5 5 5


VEGETABLES






--- --- --- --- --- --- --- 5 ---





PwC 55


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks




5 15 14 1375 125 135 14 125 145

SPICES

12 Chilli (Dry)


Powdered 5 4 5 5 125 5 5 0 5

13 Garlic


Dehydrated 5 15 5 5 125 5 5 125 5



Powdered 5 4 5 5 125 5 5 125 5

14 Coriander


Separated 5 4 5 5 125 5 5 0 5

Powdered 5 4 5 5 125 5 5 0 5

LIVESTOCK PRODUCE

15 Milk



PwC 56


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Buttermilk 0 0 0 0 0 0 0 0 0


Lassi 0 0 0 0 0 0 0 0 0

Curd (Unbranded) 0 0 0 0 0 0 0 0 0

Curd (Branded) 0 0 0 0 0 0 0 5 0

UHT Milk 5 15 0 5 4 5 5 5 5


13 15 14 1375 125 135 14 5 145



5 15 14 1375 125 135 14 5 145

Flavoured Milk 5 15 14 1375 4 135 5 125 145

Milk Powder 5 4 5 5 4 5 5 5 5

Khoa (Mawa) 5 15 5 5 4 0 14 125 145

Cheese 5 15 5 1375 4 135 14 125 145

Paneer 13 15 5 5 4 135 5 125 5


Cream 13 15 5 1375 4 135 5 125 145

Butter 13 15 5 1375 4 135 14 125 145


Ghee (Packaged) 13 4 5 5 4 5 14 125 145


13 4 5 5 4 0 5 5 145


PwC 57


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ice-cream Kulfi 13 15 14 1375 125 135 14 125 145

16 Eggs 0 0 0 0 0 0 0 0 0


Unprocessed 0 0 0 0 0 0 0 0 0

Processed 5 4 5 5 4 135 5 5 145

Frozen 13 15 14 1375 4 135 14 5 5



--- --- --- --- --- --- --- 5 5



PwC 58



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


On every category

Not applicable




On specific

categories

On every category

No tax Instead

LBT

No tax as per High

Court order


1 --- --- --- --- --- 1 4 ---

CEREALS

1 Rice Paddy




Paddy - Whole 1 --- --- --- --- 4 30 0 ---

Husk 1 --- --- --- --- --- 0 0 ---

Bran 1 --- --- --- --- --- 2 2 ---

Flour 1 --- --- --- --- --- 1 0 ---


1 --- --- --- --- --- 0 0 ---

2 Wheat



Bran 1 --- --- --- --- --- 0 0 ---


1 --- 2 --- --- --- 5 0 ---


Bread (Branded) 0 --- --- --- --- --- 0 0 ---

Bread (Unbranded) 0 --- --- --- --- --- 0 0 ---

Bread (Pizza) 0 --- --- --- --- --- 0 35 ---


PwC 59


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



Toast (Unbranded) 1 --- --- --- --- --- 1 4 ---

Rusk 1 --- --- --- --- --- 1 4 ---



1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

3 Maize





Flakes 1 --- --- --- --- --- 1 4 ---

Starch 1 --- --- --- --- --- 1 2 ---

4 Sorghum


PULSES



PwC 60


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Whole Pulses 1 --- --- --- --- --- 0 0 ---

Split (Dal) Broken 1 --- --- --- --- --- 0 0 ---




Roasted Fried 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Papad 1 --- --- --- --- --- 0 1 ---

OILSEEDS



Edible Oil 05 --- --- --- --- --- 05 15 ---


05 --- --- --- --- 5 05 2 ---

Oil Cake 1 --- --- --- --- --- 1 15 ---


PwC 61


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 ---

7 Soyabean




1 --- --- --- --- --- 1 4 ---

8 Mustard Oilcake 1 --- --- --- --- --- 1 15 ---

FRUITS








1 --- --- --- --- --- 1 35 ---


2 --- 4 --- --- --- 1 4 ---

VEGETABLES



PwC 62


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks






1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 2 ---

SPICES

11 Chilli (Dry)



12 Garlic


0 --- --- --- --- --- 0 0 ---

Dehydrated 1 --- --- --- --- --- 1 4 ---



Powdered 1 --- --- --- --- --- 1 4 ---

13 Coriander



PwC 63


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


LIVESTOCK PRODUCE

14 Milk







Curd (Branded) 0 --- --- --- --- --- 0 4 ---

UHT Milk 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---

Flavoured Milk 0 --- --- --- --- --- 0 4 ---

Milk Powder 1 --- --- --- --- --- 1 2 ---

Khoa (Mawa) 1 --- --- --- --- --- 1 4 ---

Cheese 1 --- --- --- --- --- 1 4 ---

Paneer 1 --- --- --- --- --- 1 4 ---

Cream 1 --- --- --- --- --- 1 4 ---

Butter 1 --- --- --- --- --- 1 4 ---



PwC 64


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ghee (Packaged) 05 --- --- --- --- --- 05 4 ---


1 --- --- --- --- --- 1 2 ---

Ice-cream Kulfi 2 --- --- --- --- --- 2 2 ---

15 Eggs 0 --- --- --- --- --- 0 0 ---


Unprocessed 0 --- --- --- --- --- 0 0 ---

Processed 1 --- --- --- --- --- 1 35 ---

Frozen 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---



PwC 65




























Promoting current



products

Better price than




External investment

Higher demand for

primary processing





PwC 66



























becomes a hindrance


PwC 67


413 Service Issues
































PwC 68






labour

41341 Attrition


for both of them




















PwC 69



Sr No




Marketing Reforms






















PwC 70


Sr No













Extension Services

Skill Development






PwC 71











Within 1 year

(by 2014-15)










(by 2014-15)







Within 1 year

(by 2014-15)


PwC 72




Madhya Pradesh










Within 1 year

(by 2014-15)







Within 1 year

(by 2014-15)





Processing

(by 2014-15)


PwC 73












Within 1 year

(by 2014-15)



Formation of FPOs






Within 3 years

(by 2016-17)







Local NGOs

Within 3 years

(by 2016-17)


PwC 74




farmers







Within 3 years

(by 2016-17)











Within 3 years

(by 2016-17)







Within 5 years

(by 2018-19)


PwC 75




Processing







Within 5 years

(by 2018-19)









Within 5 years

(by 2018-19)





Within 5 years

(by 2018-19)


PwC 76








(by 2020-21)









Within 5 years

(by 2018-19)






Within 5 years

(by 2018-19)







Within 4 years

(by 2017-18)


PwC 77









Within 5 years

(by 2018-19)


PwC 78

-

Proposed Projects

5 Proposed Projects








described below













and Barriers






Government


Issues Concerns

Mapping of issues


chains


Project Profiles


PwC 79

Proposed Projects






Sr No




Project Category













PPP mode




PPP mode



production


mode



production


operatives

Farmer Empowerment



PwC 80

Proposed Projects

















Taxation Issues


Mandi Fees Issues


stakeholders


PwC 81

Proposed Projects


Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

1

Cereals

Wheat

2 RicePaddy

3 Maize

4 Sorghum

5

Pulses

Gram

6 Pigeon Pea

7 Lentil

8

Oilseeds

Soyabean

9 Mustard

10 Groundnut

11

Fruits

Orange

12 Papaya

13 Banana

14 Guava

15 Mango


PwC 82

Proposed Projects

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

16

Vegetables

Green Peas

17 Onion

18 Tomato

19 Potato

20

Spices

Garlic

21 Chilli

22 Coriander

23

Livestock Produce

Milk

24 Eggs (Nos)

25 Poultry Meat

26 Other Meat

27 Fish

Total 22 11 20 15 21 9 27 27 10 25 22 10



PwC 83

Proposed Projects













Priority Quadrant

High

State

Government

Control

Low




Food Parks

Market Linkages


Food Testing Labs

RampD Centres

Access to Credit



Time Bound Service

Mandi Fees


Taxation


PwC 84

Proposed Projects





4) Market Linkages

5) Taxation






Sr No




Project Category








Hard Intervention









PwC 85

Proposed Projects







These areas are

Food Processing

Sector


ment


ure Developm

ent

Farmer Linkages

amp Empower

ment


ent











PwC 86

-




611 Context







612 Project

6121 Objectives







6122 Drivers








approach


Major Pulses

Rank Production

2011 12 (lsquo000 MT)





PwC 87

-

-

-

--


Major Pulses

Rank Production

2011 12 (lsquo000 MT)




Pigeon Pea (Tur)


Lentil (Masoor)


Green Gram (Moong)


Black Gram (Urad)

--- 1488 84






Gram

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)





dal making

Major Pulses

Estimated Current


(MT)


(based on demand)

2011 12 (MT)


Capacity (MT and )



2023 24

(MT)


Capacity Addition

Required by 2023 24

(MT)

Gram

453299 736543 283244 930673 477374

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)



PwC 88

- -







Major Pulses


(MT)


(MT)


Gram 248607 451144 11036

Pigeon Pea (Tur) 340166 317316 -672

Lentil (Masoor) 71151 41170 -4214


Black Gram (Urad) 43944 21804 -5038

Total 736543 930673 2636


6123 Concept



















suppliers etc


PwC 89


61232 Location













PwC 90


















613 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power



machinery --- 11000



Total 82000


PwC 91




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



616 Risk

6161 Financial Risk




PwC 92













PwC 93




PwC 94

-



621 Context








622 Project

6221 Objectives







6222 Drivers












2011 12 (lsquo000 MT)





PwC 95

- -






Wheat













wheat in the state

Major Cereal


(MT)


(MT)


Wheat 7183377 10016554 3944


6223 Concept










PwC 96












suppliers etc

62232 Location



PwC 97










Location Sehore





Milling











623 Cost Estimates






PwC 98


Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 84500



Particulars Benefit













PwC 99


Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



626 Risk

6261 Financial Risk














PwC 100

-



631 Context










632 Project

6321 Objectives







6322 Drivers











2011 12 (lsquo000 MT)





PwC 101

- - -






Paddy





Crop


2011 12

(MT)


2023 24

(MT)


Required by 2023 24

(MT)

Paddy 410340 777972 367632


6323 Concept

















PwC 102





suppliers etc

63232 Location









PwC 103



Location Satna















633 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 90000


PwC 104




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)




PwC 105


636 Risk

6361 Financial Risk














PwC 106



641 Context










on PPP model

642 Project

6421 Objectives




catchment area




6422 Drivers












PwC 107

-


Fruit amp Vegetable

Rank Production

2011 12 (lsquo000 MT)














shown below


Mosambi

Orange

Mango

Banana

Lime Lemon

Guava

Papaya

Amla

Tomato

Cabbage

Cauliflower

Potato

Onion

Bottle Gourd

Okra

Watermelon

Brinjal

Pea



PwC 108







harvesting seasons



6423 Concept

64231 PPP Model


















64232 Location



PwC 109













PwC 110







Location Ratlam




























PwC 111








643 Cost Estimates







Sr No


(in Rs Lakhs)


1 Land ~ 9000 m2 ---



4

Plant amp Machinery



---3000

8000


(HVAC) --- 5000





7 Land ~ 18000 m2 ---


9 Building (Rs15000m2) ~ 2000 m2 30000

10 Office (Rs15000m2) ~ 300 m2 4500



PwC 112



12500


14

Plant amp Machinery


--- 135000

15



--- 45000






--- 2500









Sr No

Particulars Amount

(in Rs Lakhs)









8 Maintenance 100




PwC 113








15 Maintenance 2500





Sr No



Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)



20000 310000

Total 35000 490000












PwC 114


Sr No








Terms of lease BOO



646 Risk

6461 Financial Risk













PwC 115








PwC 116



651 Context











652 Project

6521 Objectives



area




6522 Drivers











product



PwC 117

-



2011 12 (lsquo000 MT)











below


Garlic

Onion

Tomato

Cabbage


6523 Concept

65231 PPP Model













PwC 118








65232 Location








PwC 119








Location Neemuch





Dehydration Plant

















653 Cost Estimates







PwC 120



Sr No


(in Rs Lakhs)

1 Land ~ 24000 m2 ---


3 Building (Rs15000m2) ~ 2000 m2 30000

4 Office (Rs15000m2) ~ 300 m2 4500



4000


8

Plant amp Machinery


--- 120000

9



--- 22500

Total 195700






Sr No

Particulars Amount

(in Rs Lakhs)







7 Maintenance 200

Total 120700


PwC 121






Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)












Sr No








Terms of lease BOO




PwC 122


656 Risk

6561 Financial Risk


















PwC 123




PwC 124



661 Context











662 Project

6621 Objectives









6622 Drivers





meat) in the state



PwC 125

- --

-


Parameter

Meat
















Particular


(MT)


(MT)


(MT)

Meat



6623 Concept

66231 PPP Model












PwC 126






66232 Location


Indore

Bhopal






















PwC 127


663 Cost Estimates





Sr No


(in Rs Lakhs)



3 Building (Rs10000m2) ~ 1100 m2 11000

4

Utility Buildings


2500



6



--- 15000

Total 43000





(in Nos)

Approx Annual

Turnover

(in Rs Lakhs)





Sr No






PwC 128




Terms of lease BOO



666 Risk

6661 Financial Risk










PwC 129




PwC 130



671 Context
















in the mandis




672 Project

6721 Drivers






regulations

6722 Objectives





PwC 131









6723 Concept






Regulated markets


246 275 521

Principal markets


A 51 21

B 40 16

C 58 24

D 97 39

Total 246





below

672311 Phase 1






PwC 132











below


shed etc



shopsoffices etc






feasibility







672312 Phase 2


consultation)










PwC 133






(mentioned below)








Mission (NHM)








expert opinions









674 Cost Estimates






PwC 134













6761 Brief Snapshot

Title Description


Background







PwC 135

-



Means of finance






67621 Context








below




39634 7788 4 24 73942 350 46277





Details of Mandi


Area yard 2822 ha

Market fee 2


PwC 136

-


Facilities


Weighment Yes


Covered shed Yes

Warehouse No

Cold storage No

Ripening chamber No


Quality testing No


Market fee 9962

Other income 052

Total income 1048








67623 Project












PwC 137














67624 Cost Estimate






Subtotal 80800000









Sub-total 16027500








PwC 138

























59777 68744 73556 78705 84215


1195 1374 1471 1574 1684










PwC 139


67627 Risk




PwC 140



681 Context











682 Project

6821 Objectives












6822 Drivers






in the state



PwC 141

- -

-

-- -

-

-


Parameter Poultry















Particular


(MT)

Current Production

2010 11 (MT)

Estimated Demand

Supply Gap 2010 11

(MT)

Estimated Demand by

2023 24

(MT)


(MT)

Estimated Demand

Supply Gap 2023 24

(MT)

Poultry Meat 49966 12000 37966 249427 53481 195946


6823 Concept









PwC 142












1) Shivpuri

2) Bhind

3) Morena

4) Datia

5) Tikamgarh

6) Chhatarpur

7) Panna

8) Damoh

9) Sagar

10) Jhabua

11) Alirajpur

12) Barwani

13) Harda

14) Betul

15) Chhindwara


PwC 143
























683 Cost Estimates










Sr No

Requirement Unit

Amount

(Rs in

lakhs)

1st year

Amount

(Rs in

lakhs)

2nd year

Amount

(Rs in lakhs)

3rd year



operative --- 050 --- ---

2

Operating Expenses

Office

Manpower

Consumables

--- 2500 2500 2500

3



Working Capital


Rs 55000farm

Rs 25bird

Rs500farmeryr

8250

1875

075

8250

1875

075

11000

2500

100

Sub-Total 12750 12700 16100











Sr No








operative






686 Risk







691 Context





problem






692 Project

6921 Objectives














in the market

6922 Drivers



























6923 Concept





693 Cost Estimates




Sr No






- - -






Form-1 30000

Form-18 30000

Form-32 30000





Total 3755000



Sl


No

of

Units

Unit

Rate

(in Rs)

Total

Month

Total

Cost

(Rs)

Increment 10Year


1 Salary

ManagerCEO 1 20000 12 240000 240000 264000 290400


Accountant 1 6000 12 72000 72000 79200 87120


2 Travel

Salaries 3 1500 12 18000 18000 19800 21780

3 Office expenses

Office Rent 1 3000 12 36000 36000 39600 43560

Electricity 1 1000 12 12000 12000 13200 14520

Water 1 200 12 2400 2400 2640 2904

Telecommunication

(PhoneFax) 1 2000 12 24000 24000 26400 29040

Stationary - 1000 12 12000 12000 13200 14520

Cleaning 1 500 12 6000 6000 6600 7260


BoDGB 6 1000 6 6000 6000 6600 7260




expenses 1 500 12 6000 6000 6600 7260

Total 804400 804400 884840 973324

Grand Total 2662564

















Sr No










696 Risk







6101 Context






6102 Project










the local problems







issues


processed foods

61022 Drivers












61023 Concept


















Duration 4 years





2) Food Engineering







6103 Cost Estimates







Sr No


(in Rs Lakhs)





5

Pilot Plant


1 each 12500




Total 475620






Sr No


(in Rs Lakhs)





Total 26956













charges





Sr No

Tasks To be

Completed by








October 2016






6106 Risk












92

Table of Contents

616 Risk


621 Context 95

622 Project 95




626 Risk 100


631 Context 101

632 Project 101




636 Risk 106


641 Context 107

642 Project 107




646 Risk 115


651 Context 117

652 Project 117




656 Risk 123


661 Context 125

662 Project 125




666 Risk 129


671 Context 131

672 Project 131

Table of Contents






681 Context 141

682 Project 141




686 Risk 146


691 Context 147

692 Project 147




696 Risk 150


6101 Context 151

6102 Project 151




6106 Risk 154

Table of Contents

Executive Summary

Executive Summary








processing industry














Produce


be processed


facilities








PwC 9

Executive Summary















Gram Pulses 1

Wheat Cereals 2


Soyabean Oilseeds 4

Rice Cereals 5

Orange Fruits 6

Onion Vegetables

7

Tomato 8

Garlic Spices 9


Papaya Fruits 11


Banana Fruits 13

Potato Vegetables

14

Mustard 15



Maize Cereals 18

Chillies Spices

19

Coriander 20

Guava Fruits

21

Mango 22


Sorghum Cereals 24




PwC 10

--

-

-

Executive Summary









Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

1

Cereals

Rice 410340 777972 367632

2 Wheat 3304922 4456812 1151890

3 Maize 46400 -- - -- -

4 Sorghum -- - -- - -- -

5

Oilseeds

Soyabean 8504654 880753 -- -

6 Mustard 310800 462037 151237

7 Groundnut -- - 5001 5001

8

Livestock Produce

Milk 968543 1127365 158821

9 Eggs (Nos) -- - -- - -- -

10 Poultry Meat -- - -- - -- -

11 Other Meat -- - -- - -- -

12 Fish -- - -- - -- -

13

Pulses

Gram 389638 451144 61506

14 Pigeon Pea (Tur)

30559 317316 286757

15 Lentil (Masoor) 20091 41170 21079

16

Fruits

Mango 7858 28565 20707

17 Guava 1045 7206 6161

18 Orange 39 7206 7167

19 Papaya 68 68 -- -

20 Banana 182 182 -- -

21

Vegetables

Green Peas 2390 2390 -- -

22 Tomato 8002 42231 34229

23 Onion 6417 6417 -- -

24 Potato 27213 667560 640347


PwC 11

--

-

-

Executive Summary

Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

25 Chillies 1069 1069 -- -

26 Spices Garlic 6417 6417 -- -

27 Coriander 3208 3208 -- -









Infrastructure

Services




follows

Sr No



Suggestions


Marketing Reforms
















PwC 12

Executive Summary

Sr No



Suggestions

products spices








2 Infrastructure







3 Services

Marketing Support

Extension Services

Skill Development






PwC 13

Executive Summary




Vision Statement






by 2024

Mission Statement



Focus Areas



















PwC 14

Executive Summary


















PwC 15

Executive Summary



PwC 16

Introduction

1 Introduction























techniques















PwC 17

Introduction











sector





Forestry






PwC 18

-










Fruits Vegetables

amp Spices

Food Processing

Sector



Grains

Pulses amp Oilseeds

Dairy

Meat amp Poultry

Fish



Consumption




Targets







PwC 19














commodities


Commodity Category



(Kgmonth)




Wheat 8068 7271 0256 0770

Rice 2130 1720 0045 0160

Maize 0599 0043

Sorghum 0274 0048


Mustard 0155^ 0145^


Gram 0045 0024 0130 0113 0108 0154



Major Fruits 0830 1477 0005 0017



Milk 3999 4814 0079 0075




Fish 0088 0043





PwC 20



MT

15000000

12703200

12000000

71

833

78

37

478

55

894

68

2486

07 18

239

59

81

490

00

62

806

00

32

903

00

22

273

00


9000000

6000000

3000000

0


6549

02

11

680

68

5375

80

5953

07

3879

93

1326

24

7451

70

577

81

1842

99

19

574

91

18

166

84

13

791

74

13

495

88

12

874

00

8696

00

7981

00

6474

86

6089

00

0

500000

1000000

1500000

2000000

2500000

Mt

or

Th

ousands




PwC 21


500000

452207 614

99

104

65

3401

66

1034

17

557

35

947

40

711

51

974

34

843

71

340

29

658

31

600

65

499

66

3446

00

3342

00

2749

04

2700

00

2553

04

2300

00

1750

71

935

70

820

00

754

04

250

00

120

00

0

100000

200000

300000

400000

MT















PwC 22

-



Sr No


scenario

1

Cereals





5

Oilseeds




8

Livestock Produce






13

Pulses




16

Fruits






21

Vegetables





25

Spices





PwC 23


22 Potential

























PwC 24

-



Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

1

Cereals

Rice 2227300 133638 2093662 1823959 410340 100 --- 1683322

2 Wheat 12703200 762192 11941008 7183378 3304922 --- --- 1799331

3 Maize 1287400 77244 1210156 387993 46400 --- --- 775763

4 Sorghum 608900 36534 572366 184299 0 --- --- 388067

5

Oilseeds

Soyabean 6280600 376836 5903764 447341 8504654 100 --- ---

6 Mustard 869600 52176 817424 331561 310800 100 --- 506624

7 Groundnut 344600 20676 323924 26164 0 100 --- 323924

8

Livestock Produce

Milk 8149000 65192 8083808 3860291 968543 --- --- 3324869

9 Eggs (Nos) 798100000 29529700 768570300 745170490 0 --- --- 23399810

10 Poultry Meat 12000 444 11556 49966 0 --- 38410 ---


12 Fish 75404 5203 70201 65831 0 --- --- 4370

13

Pulses

Gram 3290300 200708 3089592 248607 389638 --- --- 2665806

14 Pigeon Pea (Tur) 334200 20386 313814 340166 30559 100 26352 283255

15 Lentil (Masoor) 230000 14030 215970 71151 20091 100 --- 195879

16

Fruits

Mango 175071 22237 152834 97434 7858 --- --- 57699

17 Guava 255304 45910 209394 94740 1045 --- --- 114767

18 Orange 647486 40771 606715 57781 39 --- --- 550053

19 Papaya 274904 20316 254588 103417 68 --- --- 151103

20 Banana 1379174 91018 1288156 537580 182 --- --- 750394


PwC 25

-


Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

21

Vegetables

Green Peas 452207 46601 405606 61499 2390 --- --- 341717

22 Tomato 1349588 167360 1182228 595307 8002 --- --- 586346

23 Onion 1957491 146725 1810766 654902 6417 --- --- 1149447

24 Potato 1816684 163475 1653209 1168068 27213 --- --- 623050

25

Spices

Chillies 93570 5561 88009 84371 1069 --- --- 2568

26 Garlic 270000 16085 253915 55735 6417 --- --- 191763

27 Coriander 82000 5983 76017 34029 3208 --- --- 38780




PwC 26



2221 Need



























PwC 27

-




sector


















demandacceptance






Prioritization)

1 Rice

2 Wheat

3 Cereals

Maize

4 Sorghum

5 Soyabean

6 Oilseeds Mustard

7 Groundnut


PwC 28

-



Prioritization)

8

Livestock Produce

Milk

9 Eggs

10 Poultry Meat


12

Pulses

Gram

13 Pigeon Pea (Tur)

14 Lentil (Masoor)

15

Fruits

Mango

16 Guava

17 Orange

18 Papaya

19 Banana

20

Vegetables

Green Peas

21 Tomato

22 Onion

23 Potato

24

Spices

Chillies

25 Garlic

26 Coriander




















PwC 29



Source PwC Analysis










PwC 30

- - - - - -

- -




Poultry (Meat)

Meat Excluding

Poultry Gram

Pigeon Pea

Lentil



10 21 94 066 038 82 110 048 100 016 008 018 40 063 038


10 100 73 073 073 051 073 037 330 013 009 016 087 009 006


10 29 86 152 069 100 138 038 079 088 237 154 537 094 109

ATTRACTIVENESS



15 60 49 15 09 00 23 17 150 002 09 10 118 20 12


10 28 05 48 24 00 04 02 29 001 07 02 100 013 10



10 04 24 12 20 100 26 10 46 00 01 02 83 24 37


10 25 39 08 01 09 23 36 13 14 10 14 33 32 02


5 09 04 03 01 05 03 14 05 092 23 08 05 032 06


10 07 21 10 18 26 21 19 33 426 83 47 39 264 14


100 2805 4438 1232 887 4271 1446 440 4424 912 1787 1445 5465 1240 880



PwC 31






10 020 024 118 015 060 050 074 086 083 024 067 019


10 005 007 020 007 044 024 006 013 058 003 009 003


ATTRACTIVENESS



15 02 04 37 03 12 14 12 18 10 002 18 03


10 01 04 21 03 28 15 30 43 08 002 07 04



10 02 20 40 120 09 23 14 22 09 143 43 299


10 39 08 57 44 34 48 100 78 60 44 16 34


5 06 06 50 37 09 16 07 05 01 08 16 05


10 42 57 46 99 53 75 43 49 44 46 100 32


100 984 1041 2663 2023 1578 2029 2193 2279 1509 1176 2086 1164



PwC 32




Gram Pulses 27

Wheat Cereals 28



Rice Cereals 31

Orange Fruits 32

Onion Vegetables

33

Tomato 34

Garlic Spices 35


Papaya Fruits 37


Banana Fruits 39

Potato Vegetables

40

Mustard 41



Maize Cereals 44

Chillies Spices

45

Coriander 46

Guava Fruits

47

Mango 48


Sorghum Cereals 50




PwC 33






quantity






000

000

000

000

1189

391

114

238

150

059

033

053

449

041

001

002

001

000

874

914

1184

000

360

Fish

Meat (Non-Poultry)

Poultry Meat

Eggs

Milk

Coriander

Chillies

Garlic

Potato

Tomato

Onion

Green Peas

Mango

Guava

Banana

Papaya

Orange

Groundnut

Mustard

Soyabean

Lentil (Masoor)

Pigeon Pea (Tur)

Gram

Sorghum

Maize

Rice

Wheat

Cereals (Major)

224

Pulses (Major)

114

Oilseeds (Major)

1147

Fruits (Major)

03

Vegetables (Major)

08

Spices (Major)

24

Livestock Produce

0 2 4 6 8 10 12 14 34 114 134


PwC 34





Sr No

Category Commodity

Produce

Production

(MT or Nos)



Level of Processing

(Commodity)


1

Cereals

Wheat 12703200 3304922 2602

2236 2 Rice Paddy 2227300 410340 1842

3 Maize 1287400 46400 360

4 Sorghum 608900 0 000

5

Pulses

Gram 3290300 389638 1184

1142 6 Pigeon Pea (Tur) 334200 30559 914

7 Lentil (Masoor) 230000 20091 874

8

Oilseeds

Soyabean 6280600 8504654 13541 11762

or 2560 (except

Soyabean)

9 Mustard 869600 310800 3574

10 Groundnut 344600 0 000

11

Fruits

Orange 647486 39 001

034

12 Papaya 274904 68 002

13 Banana 1379174 182 001

14 Guava 255304 1045 041

15 Mango 175071 7858 449

16

Vegetables

Green Peas 452207 2390 053

079 17 Onion 1957491 6417 033

18 Tomato 1349588 8002 059

19 Potato 1816684 27213 150

20

Spices

Garlic 270000 6417 238

24021 Chillies 93570 1069 114

22 Coriander 82000 3208 391

23

Livestock Produce

Milk 8149000 968543 1189 1189

24 Eggs (Nos) 798100000 0 000

000 25 Poultry Meat 12000 0 000


27 Fish 75404 0 000




PwC 35































Table 6



PwC 36

-

--

-



Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

28

Cereals

Rice 3096116 185767 2910349 777972 410340 777972 367632

29 Wheat 31242124 1874527 29367596 10016554 3304922 4456812 1151890

30 Maize 935069 56104 878965 182794 46400 -- - -- -

31 Sorghum 645754 38745 607009 128945 -- - -- - -- -

32

Oilseeds

Soyabean 11718007 703080 11014927 880753 8504654 880753 -- -

33 Mustard 1871116 112267 1758849 462037 310800 462037 151237

34 Groundnut 522493 31350 491144 5001 -- - 5001 5001

35

Livestock Produce

Milk 13704845 109639 13595206 6627713 968543 1127365 158821

36 Eggs (Nos) 838926231 31040271 807885961 1860759371 -- - -- - -- -

37 Poultry Meat 53481 1979 51503 249427 -- - -- - -- -


39 Fish 104928 7240 97688 93291 -- - -- - -- -

40

Pulses

Gram 4785056 291888 4493168 469105 389638 451144 61506

41 Pigeon Pea (Tur) 472103 28798 443305 317316 30559 317316 286757

42 Lentil (Masoor) 218112 13305 204807 41170 20091 41170 21079

43

Fruits

Mango 596179 75724 520455 195245 7858 28565 20707

44 Guava 513754 92386 421368 167077 1045 7206 6161

45 Orange 2881844 181462 2700381 665249 39 7206 7167

46 Papaya 2846041 210331 2635710 833437 68 68 -- -


PwC 37

-

--

-


Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

47 Banana 4026120 265703 3760417 1408227 182 182 -- -

48

Vegetables

Green Peas 8560527 882179 7678348 40783 2390 2390 -- -

49 Tomato 10680674 1324489 9356185 1138059 8002 42231 34229

50 Onion 16909131 1267432 15641699 1214403 6417 6417 -- -

51 Potato 8407304 756535 7650769 1807729 27213 667560 640347

52

Spices

Chillies 525868 31254 494614 188321 1069 1069 -- -

53 Garlic 1071598 63840 1007757 271562 6417 6417 -- -

54 Coriander 206502 15066 191436 74315 3208 3208 -- -




PwC 38

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 1010 1111 1212 1313 1414 1515 1616 1717 1818 1919 2020 2121 2222 2323 2424 2525 2626 2727

5000

5500

6000

6500


Th

ou

sa

nd

MT

or

La

kh

No

s

(fo

r E

gg

s) 8000

6000

4500

4000

3500

3000

2500

2000

1500

1000

500

0


18000

14000

Wh

eat

Ric

e

Ma

ize

So

rgh

um

Gra

m

Pig

eon

Pea

(T

ur)

Le

nti

l (M

aso

or)

So

ya

be

an

Mu

sta

rd

Gro

un

dn

ut

Ora

ng

e

Pa

pa

ya

Ba

na

na

Gu

av

a

Ma

ng

o

Gre

en P

ea

s

On

ion

To

ma

to

Po

tato

Ga

rlic

Ch

illi

es

Co

ria

nd

er

Mil

k

Eg

gs

Po

ult

ry M

eat

Oth

er

Mea

t

Fis

h



PwC 39





bullSpices bullFish




bullSoyabean



PwC 40

Vision

3 Vision










31 Vision Statement






by 2024




33 Focus areas














PwC 41

Vision



PwC 42





sections






desired results








Infrastructure

Services



produce


respectively


PwC 43

--

-



Farmers Government










Va

lue

Ch

ain

Ac

tor

s

an

d E

lem

en

ts Processors





bullRetail Shops


Storage


Tertiary Processing

Marketing












Bu

sin

es

se

s

Ag

ri

Va

lue

Ch

ain


PwC 44

-



Ag

ri

Va

lue

Ch

ain

Ac

tor

sP

oli

cy

Is

su

es


Warehouse Operators

Processors



Traders

Commission Agents










Income tax for FPOs


Industrial Policy


VAT schedules

Biodiversity tax



and subsidies

APMC act


Mandis

Mandi fee Entry tax


produce


of wheat

Infr

as

tru

ctu

re

Iss

ue

s

Se

rv

ice

Iss

ue

s

Roads




Roads

Electricity outages




Rake availability



Roads







Access to credit



PwC 45





































PwC 46







exemption





years






























PwC 47






































PwC 48





























sections


PwC 49



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

CEREALS

1 Rice Paddy

Whole Broken 0 0 0 4 4 --- 14 0 5




--- --- --- --- --- 1 --- --- ---

Husk 0 15 14 5 4 5 0 0 0


Flour 13 0 5 1375 125 --- 14 0 145


0 15 0 5 0 0 0 0 0

2 Wheat

Whole Broken 0 0 0 4 4 --- 0 0 5

Bran 0 15 0 5 125 0 0 0 0


0 0 0 4 0 --- 5 0 5



--- --- --- --- --- 0 --- --- ---


PwC 50


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



--- --- --- --- --- 1 --- --- ---

Bread (Branded) 0 0 0 0 0 0 0 0 145

Bread (Unbranded) --- --- --- --- --- --- --- --- 0


Bread (Pizza) 0 0 5 0 4 5 0 5 145



Toast (Unbranded) 13 15 5 1375 125 135 5 125 0

Rusk 13 15 14 1375 125 5 14 125 145

Yeast 5 15 5 5 4 135 14 125 5


13 15 14 1375 4 135 14 125 145



13 15 14 1375 125 135 14 125 145




PwC 51


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


3 Maize

Whole Broken 0 0 0 0 0 0 0 0 0

Bran 0 15 0 5 125 5 0 0 0



Flakes 13 15 0 1375 125 135 14 125 145

Starch 5 4 5 5 4 5 5 5 5

4 Sorghum

Whole Broken 0 0 0 0 0 0 0 0 0

PULSES


Whole Pulses 0 0 0 4 1 --- 0 0 5

Split (Dal) Broken 13 0 0 1375 1 135 0 0 5


Flour Besan 0 0 0 1375 125 --- 5 0 145

Roasted Fried 0 15 5 5 0 0 5 5 5


PwC 52


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


13 4 5 1375 125 135 14 125 145




13 0 5 1375 125 135 14 125 145

Papad 0 0 0 0 125 0 0 0 0


--- --- --- --- --- 0 --- --- ---


--- --- --- --- --- 1 --- --- ---

OILSEEDS



Edible Oil 5 4 5 4 4 5 5 5 5


Oil Cake 5 4 5 4 4 5 5 5 5

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 5


PwC 53


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


--- --- --- --- --- --- --- 0 ---

7 Soyabean

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 145

Soya Nuggests 13 15 14 1375 125 5 14 125 145



13 15 14 1375 125 135 14 125 145



FRUITS







PwC 54


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



5 4 5 5 4 5 5 5 5



5 4 5 5 4 5 5 5 5


VEGETABLES






--- --- --- --- --- --- --- 5 ---





PwC 55


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks




5 15 14 1375 125 135 14 125 145

SPICES

12 Chilli (Dry)


Powdered 5 4 5 5 125 5 5 0 5

13 Garlic


Dehydrated 5 15 5 5 125 5 5 125 5



Powdered 5 4 5 5 125 5 5 125 5

14 Coriander


Separated 5 4 5 5 125 5 5 0 5

Powdered 5 4 5 5 125 5 5 0 5

LIVESTOCK PRODUCE

15 Milk



PwC 56


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Buttermilk 0 0 0 0 0 0 0 0 0


Lassi 0 0 0 0 0 0 0 0 0

Curd (Unbranded) 0 0 0 0 0 0 0 0 0

Curd (Branded) 0 0 0 0 0 0 0 5 0

UHT Milk 5 15 0 5 4 5 5 5 5


13 15 14 1375 125 135 14 5 145



5 15 14 1375 125 135 14 5 145

Flavoured Milk 5 15 14 1375 4 135 5 125 145

Milk Powder 5 4 5 5 4 5 5 5 5

Khoa (Mawa) 5 15 5 5 4 0 14 125 145

Cheese 5 15 5 1375 4 135 14 125 145

Paneer 13 15 5 5 4 135 5 125 5


Cream 13 15 5 1375 4 135 5 125 145

Butter 13 15 5 1375 4 135 14 125 145


Ghee (Packaged) 13 4 5 5 4 5 14 125 145


13 4 5 5 4 0 5 5 145


PwC 57


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ice-cream Kulfi 13 15 14 1375 125 135 14 125 145

16 Eggs 0 0 0 0 0 0 0 0 0


Unprocessed 0 0 0 0 0 0 0 0 0

Processed 5 4 5 5 4 135 5 5 145

Frozen 13 15 14 1375 4 135 14 5 5



--- --- --- --- --- --- --- 5 5



PwC 58



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


On every category

Not applicable




On specific

categories

On every category

No tax Instead

LBT

No tax as per High

Court order


1 --- --- --- --- --- 1 4 ---

CEREALS

1 Rice Paddy




Paddy - Whole 1 --- --- --- --- 4 30 0 ---

Husk 1 --- --- --- --- --- 0 0 ---

Bran 1 --- --- --- --- --- 2 2 ---

Flour 1 --- --- --- --- --- 1 0 ---


1 --- --- --- --- --- 0 0 ---

2 Wheat



Bran 1 --- --- --- --- --- 0 0 ---


1 --- 2 --- --- --- 5 0 ---


Bread (Branded) 0 --- --- --- --- --- 0 0 ---

Bread (Unbranded) 0 --- --- --- --- --- 0 0 ---

Bread (Pizza) 0 --- --- --- --- --- 0 35 ---


PwC 59


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



Toast (Unbranded) 1 --- --- --- --- --- 1 4 ---

Rusk 1 --- --- --- --- --- 1 4 ---



1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

3 Maize





Flakes 1 --- --- --- --- --- 1 4 ---

Starch 1 --- --- --- --- --- 1 2 ---

4 Sorghum


PULSES



PwC 60


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Whole Pulses 1 --- --- --- --- --- 0 0 ---

Split (Dal) Broken 1 --- --- --- --- --- 0 0 ---




Roasted Fried 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Papad 1 --- --- --- --- --- 0 1 ---

OILSEEDS



Edible Oil 05 --- --- --- --- --- 05 15 ---


05 --- --- --- --- 5 05 2 ---

Oil Cake 1 --- --- --- --- --- 1 15 ---


PwC 61


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 ---

7 Soyabean




1 --- --- --- --- --- 1 4 ---

8 Mustard Oilcake 1 --- --- --- --- --- 1 15 ---

FRUITS








1 --- --- --- --- --- 1 35 ---


2 --- 4 --- --- --- 1 4 ---

VEGETABLES



PwC 62


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks






1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 2 ---

SPICES

11 Chilli (Dry)



12 Garlic


0 --- --- --- --- --- 0 0 ---

Dehydrated 1 --- --- --- --- --- 1 4 ---



Powdered 1 --- --- --- --- --- 1 4 ---

13 Coriander



PwC 63


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


LIVESTOCK PRODUCE

14 Milk







Curd (Branded) 0 --- --- --- --- --- 0 4 ---

UHT Milk 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---

Flavoured Milk 0 --- --- --- --- --- 0 4 ---

Milk Powder 1 --- --- --- --- --- 1 2 ---

Khoa (Mawa) 1 --- --- --- --- --- 1 4 ---

Cheese 1 --- --- --- --- --- 1 4 ---

Paneer 1 --- --- --- --- --- 1 4 ---

Cream 1 --- --- --- --- --- 1 4 ---

Butter 1 --- --- --- --- --- 1 4 ---



PwC 64


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ghee (Packaged) 05 --- --- --- --- --- 05 4 ---


1 --- --- --- --- --- 1 2 ---

Ice-cream Kulfi 2 --- --- --- --- --- 2 2 ---

15 Eggs 0 --- --- --- --- --- 0 0 ---


Unprocessed 0 --- --- --- --- --- 0 0 ---

Processed 1 --- --- --- --- --- 1 35 ---

Frozen 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---



PwC 65




























Promoting current



products

Better price than




External investment

Higher demand for

primary processing





PwC 66



























becomes a hindrance


PwC 67


413 Service Issues
































PwC 68






labour

41341 Attrition


for both of them




















PwC 69



Sr No




Marketing Reforms






















PwC 70


Sr No













Extension Services

Skill Development






PwC 71











Within 1 year

(by 2014-15)










(by 2014-15)







Within 1 year

(by 2014-15)


PwC 72




Madhya Pradesh










Within 1 year

(by 2014-15)







Within 1 year

(by 2014-15)





Processing

(by 2014-15)


PwC 73












Within 1 year

(by 2014-15)



Formation of FPOs






Within 3 years

(by 2016-17)







Local NGOs

Within 3 years

(by 2016-17)


PwC 74




farmers







Within 3 years

(by 2016-17)











Within 3 years

(by 2016-17)







Within 5 years

(by 2018-19)


PwC 75




Processing







Within 5 years

(by 2018-19)









Within 5 years

(by 2018-19)





Within 5 years

(by 2018-19)


PwC 76








(by 2020-21)









Within 5 years

(by 2018-19)






Within 5 years

(by 2018-19)







Within 4 years

(by 2017-18)


PwC 77









Within 5 years

(by 2018-19)


PwC 78

-

Proposed Projects

5 Proposed Projects








described below













and Barriers






Government


Issues Concerns

Mapping of issues


chains


Project Profiles


PwC 79

Proposed Projects






Sr No




Project Category













PPP mode




PPP mode



production


mode



production


operatives

Farmer Empowerment



PwC 80

Proposed Projects

















Taxation Issues


Mandi Fees Issues


stakeholders


PwC 81

Proposed Projects


Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

1

Cereals

Wheat

2 RicePaddy

3 Maize

4 Sorghum

5

Pulses

Gram

6 Pigeon Pea

7 Lentil

8

Oilseeds

Soyabean

9 Mustard

10 Groundnut

11

Fruits

Orange

12 Papaya

13 Banana

14 Guava

15 Mango


PwC 82

Proposed Projects

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

16

Vegetables

Green Peas

17 Onion

18 Tomato

19 Potato

20

Spices

Garlic

21 Chilli

22 Coriander

23

Livestock Produce

Milk

24 Eggs (Nos)

25 Poultry Meat

26 Other Meat

27 Fish

Total 22 11 20 15 21 9 27 27 10 25 22 10



PwC 83

Proposed Projects













Priority Quadrant

High

State

Government

Control

Low




Food Parks

Market Linkages


Food Testing Labs

RampD Centres

Access to Credit



Time Bound Service

Mandi Fees


Taxation


PwC 84

Proposed Projects





4) Market Linkages

5) Taxation






Sr No




Project Category








Hard Intervention









PwC 85

Proposed Projects







These areas are

Food Processing

Sector


ment


ure Developm

ent

Farmer Linkages

amp Empower

ment


ent











PwC 86

-




611 Context







612 Project

6121 Objectives







6122 Drivers








approach


Major Pulses

Rank Production

2011 12 (lsquo000 MT)





PwC 87

-

-

-

--


Major Pulses

Rank Production

2011 12 (lsquo000 MT)




Pigeon Pea (Tur)


Lentil (Masoor)


Green Gram (Moong)


Black Gram (Urad)

--- 1488 84






Gram

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)





dal making

Major Pulses

Estimated Current


(MT)


(based on demand)

2011 12 (MT)


Capacity (MT and )



2023 24

(MT)


Capacity Addition

Required by 2023 24

(MT)

Gram

453299 736543 283244 930673 477374

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)



PwC 88

- -







Major Pulses


(MT)


(MT)


Gram 248607 451144 11036

Pigeon Pea (Tur) 340166 317316 -672

Lentil (Masoor) 71151 41170 -4214


Black Gram (Urad) 43944 21804 -5038

Total 736543 930673 2636


6123 Concept



















suppliers etc


PwC 89


61232 Location













PwC 90


















613 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power



machinery --- 11000



Total 82000


PwC 91




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



616 Risk

6161 Financial Risk




PwC 92













PwC 93




PwC 94

-



621 Context








622 Project

6221 Objectives







6222 Drivers












2011 12 (lsquo000 MT)





PwC 95

- -






Wheat













wheat in the state

Major Cereal


(MT)


(MT)


Wheat 7183377 10016554 3944


6223 Concept










PwC 96












suppliers etc

62232 Location



PwC 97










Location Sehore





Milling











623 Cost Estimates






PwC 98


Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 84500



Particulars Benefit













PwC 99


Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



626 Risk

6261 Financial Risk














PwC 100

-



631 Context










632 Project

6321 Objectives







6322 Drivers











2011 12 (lsquo000 MT)





PwC 101

- - -






Paddy





Crop


2011 12

(MT)


2023 24

(MT)


Required by 2023 24

(MT)

Paddy 410340 777972 367632


6323 Concept

















PwC 102





suppliers etc

63232 Location









PwC 103



Location Satna















633 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 90000


PwC 104




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)




PwC 105


636 Risk

6361 Financial Risk














PwC 106



641 Context










on PPP model

642 Project

6421 Objectives




catchment area




6422 Drivers












PwC 107

-


Fruit amp Vegetable

Rank Production

2011 12 (lsquo000 MT)














shown below


Mosambi

Orange

Mango

Banana

Lime Lemon

Guava

Papaya

Amla

Tomato

Cabbage

Cauliflower

Potato

Onion

Bottle Gourd

Okra

Watermelon

Brinjal

Pea



PwC 108







harvesting seasons



6423 Concept

64231 PPP Model


















64232 Location



PwC 109













PwC 110







Location Ratlam




























PwC 111








643 Cost Estimates







Sr No


(in Rs Lakhs)


1 Land ~ 9000 m2 ---



4

Plant amp Machinery



---3000

8000


(HVAC) --- 5000





7 Land ~ 18000 m2 ---


9 Building (Rs15000m2) ~ 2000 m2 30000

10 Office (Rs15000m2) ~ 300 m2 4500



PwC 112



12500


14

Plant amp Machinery


--- 135000

15



--- 45000






--- 2500









Sr No

Particulars Amount

(in Rs Lakhs)









8 Maintenance 100




PwC 113








15 Maintenance 2500





Sr No



Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)



20000 310000

Total 35000 490000












PwC 114


Sr No








Terms of lease BOO



646 Risk

6461 Financial Risk













PwC 115








PwC 116



651 Context











652 Project

6521 Objectives



area




6522 Drivers











product



PwC 117

-



2011 12 (lsquo000 MT)











below


Garlic

Onion

Tomato

Cabbage


6523 Concept

65231 PPP Model













PwC 118








65232 Location








PwC 119








Location Neemuch





Dehydration Plant

















653 Cost Estimates







PwC 120



Sr No


(in Rs Lakhs)

1 Land ~ 24000 m2 ---


3 Building (Rs15000m2) ~ 2000 m2 30000

4 Office (Rs15000m2) ~ 300 m2 4500



4000


8

Plant amp Machinery


--- 120000

9



--- 22500

Total 195700






Sr No

Particulars Amount

(in Rs Lakhs)







7 Maintenance 200

Total 120700


PwC 121






Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)












Sr No








Terms of lease BOO




PwC 122


656 Risk

6561 Financial Risk


















PwC 123




PwC 124



661 Context











662 Project

6621 Objectives









6622 Drivers





meat) in the state



PwC 125

- --

-


Parameter

Meat
















Particular


(MT)


(MT)


(MT)

Meat



6623 Concept

66231 PPP Model












PwC 126






66232 Location


Indore

Bhopal






















PwC 127


663 Cost Estimates





Sr No


(in Rs Lakhs)



3 Building (Rs10000m2) ~ 1100 m2 11000

4

Utility Buildings


2500



6



--- 15000

Total 43000





(in Nos)

Approx Annual

Turnover

(in Rs Lakhs)





Sr No






PwC 128




Terms of lease BOO



666 Risk

6661 Financial Risk










PwC 129




PwC 130



671 Context
















in the mandis




672 Project

6721 Drivers






regulations

6722 Objectives





PwC 131









6723 Concept






Regulated markets


246 275 521

Principal markets


A 51 21

B 40 16

C 58 24

D 97 39

Total 246





below

672311 Phase 1






PwC 132











below


shed etc



shopsoffices etc






feasibility







672312 Phase 2


consultation)










PwC 133






(mentioned below)








Mission (NHM)








expert opinions









674 Cost Estimates






PwC 134













6761 Brief Snapshot

Title Description


Background







PwC 135

-



Means of finance






67621 Context








below




39634 7788 4 24 73942 350 46277





Details of Mandi


Area yard 2822 ha

Market fee 2


PwC 136

-


Facilities


Weighment Yes


Covered shed Yes

Warehouse No

Cold storage No

Ripening chamber No


Quality testing No


Market fee 9962

Other income 052

Total income 1048








67623 Project












PwC 137














67624 Cost Estimate






Subtotal 80800000









Sub-total 16027500








PwC 138

























59777 68744 73556 78705 84215


1195 1374 1471 1574 1684










PwC 139


67627 Risk




PwC 140



681 Context











682 Project

6821 Objectives












6822 Drivers






in the state



PwC 141

- -

-

-- -

-

-


Parameter Poultry















Particular


(MT)

Current Production

2010 11 (MT)

Estimated Demand

Supply Gap 2010 11

(MT)

Estimated Demand by

2023 24

(MT)


(MT)

Estimated Demand

Supply Gap 2023 24

(MT)

Poultry Meat 49966 12000 37966 249427 53481 195946


6823 Concept









PwC 142












1) Shivpuri

2) Bhind

3) Morena

4) Datia

5) Tikamgarh

6) Chhatarpur

7) Panna

8) Damoh

9) Sagar

10) Jhabua

11) Alirajpur

12) Barwani

13) Harda

14) Betul

15) Chhindwara


PwC 143
























683 Cost Estimates










Sr No

Requirement Unit

Amount

(Rs in

lakhs)

1st year

Amount

(Rs in

lakhs)

2nd year

Amount

(Rs in lakhs)

3rd year



operative --- 050 --- ---

2

Operating Expenses

Office

Manpower

Consumables

--- 2500 2500 2500

3



Working Capital


Rs 55000farm

Rs 25bird

Rs500farmeryr

8250

1875

075

8250

1875

075

11000

2500

100

Sub-Total 12750 12700 16100











Sr No








operative






686 Risk







691 Context





problem






692 Project

6921 Objectives














in the market

6922 Drivers



























6923 Concept





693 Cost Estimates




Sr No






- - -






Form-1 30000

Form-18 30000

Form-32 30000





Total 3755000



Sl


No

of

Units

Unit

Rate

(in Rs)

Total

Month

Total

Cost

(Rs)

Increment 10Year


1 Salary

ManagerCEO 1 20000 12 240000 240000 264000 290400


Accountant 1 6000 12 72000 72000 79200 87120


2 Travel

Salaries 3 1500 12 18000 18000 19800 21780

3 Office expenses

Office Rent 1 3000 12 36000 36000 39600 43560

Electricity 1 1000 12 12000 12000 13200 14520

Water 1 200 12 2400 2400 2640 2904

Telecommunication

(PhoneFax) 1 2000 12 24000 24000 26400 29040

Stationary - 1000 12 12000 12000 13200 14520

Cleaning 1 500 12 6000 6000 6600 7260


BoDGB 6 1000 6 6000 6000 6600 7260




expenses 1 500 12 6000 6000 6600 7260

Total 804400 804400 884840 973324

Grand Total 2662564

















Sr No










696 Risk







6101 Context






6102 Project










the local problems







issues


processed foods

61022 Drivers












61023 Concept


















Duration 4 years





2) Food Engineering







6103 Cost Estimates







Sr No


(in Rs Lakhs)





5

Pilot Plant


1 each 12500




Total 475620






Sr No


(in Rs Lakhs)





Total 26956













charges





Sr No

Tasks To be

Completed by








October 2016






6106 Risk












Table of Contents






681 Context 141

682 Project 141




686 Risk 146


691 Context 147

692 Project 147




696 Risk 150


6101 Context 151

6102 Project 151




6106 Risk 154

Table of Contents

Executive Summary

Executive Summary








processing industry














Produce


be processed


facilities








PwC 9

Executive Summary















Gram Pulses 1

Wheat Cereals 2


Soyabean Oilseeds 4

Rice Cereals 5

Orange Fruits 6

Onion Vegetables

7

Tomato 8

Garlic Spices 9


Papaya Fruits 11


Banana Fruits 13

Potato Vegetables

14

Mustard 15



Maize Cereals 18

Chillies Spices

19

Coriander 20

Guava Fruits

21

Mango 22


Sorghum Cereals 24




PwC 10

--

-

-

Executive Summary









Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

1

Cereals

Rice 410340 777972 367632

2 Wheat 3304922 4456812 1151890

3 Maize 46400 -- - -- -

4 Sorghum -- - -- - -- -

5

Oilseeds

Soyabean 8504654 880753 -- -

6 Mustard 310800 462037 151237

7 Groundnut -- - 5001 5001

8

Livestock Produce

Milk 968543 1127365 158821

9 Eggs (Nos) -- - -- - -- -

10 Poultry Meat -- - -- - -- -

11 Other Meat -- - -- - -- -

12 Fish -- - -- - -- -

13

Pulses

Gram 389638 451144 61506

14 Pigeon Pea (Tur)

30559 317316 286757

15 Lentil (Masoor) 20091 41170 21079

16

Fruits

Mango 7858 28565 20707

17 Guava 1045 7206 6161

18 Orange 39 7206 7167

19 Papaya 68 68 -- -

20 Banana 182 182 -- -

21

Vegetables

Green Peas 2390 2390 -- -

22 Tomato 8002 42231 34229

23 Onion 6417 6417 -- -

24 Potato 27213 667560 640347


PwC 11

--

-

-

Executive Summary

Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

25 Chillies 1069 1069 -- -

26 Spices Garlic 6417 6417 -- -

27 Coriander 3208 3208 -- -









Infrastructure

Services




follows

Sr No



Suggestions


Marketing Reforms
















PwC 12

Executive Summary

Sr No



Suggestions

products spices








2 Infrastructure







3 Services

Marketing Support

Extension Services

Skill Development






PwC 13

Executive Summary




Vision Statement






by 2024

Mission Statement



Focus Areas



















PwC 14

Executive Summary


















PwC 15

Executive Summary



PwC 16

Introduction

1 Introduction























techniques















PwC 17

Introduction











sector





Forestry






PwC 18

-










Fruits Vegetables

amp Spices

Food Processing

Sector



Grains

Pulses amp Oilseeds

Dairy

Meat amp Poultry

Fish



Consumption




Targets







PwC 19














commodities


Commodity Category



(Kgmonth)




Wheat 8068 7271 0256 0770

Rice 2130 1720 0045 0160

Maize 0599 0043

Sorghum 0274 0048


Mustard 0155^ 0145^


Gram 0045 0024 0130 0113 0108 0154



Major Fruits 0830 1477 0005 0017



Milk 3999 4814 0079 0075




Fish 0088 0043





PwC 20



MT

15000000

12703200

12000000

71

833

78

37

478

55

894

68

2486

07 18

239

59

81

490

00

62

806

00

32

903

00

22

273

00


9000000

6000000

3000000

0


6549

02

11

680

68

5375

80

5953

07

3879

93

1326

24

7451

70

577

81

1842

99

19

574

91

18

166

84

13

791

74

13

495

88

12

874

00

8696

00

7981

00

6474

86

6089

00

0

500000

1000000

1500000

2000000

2500000

Mt

or

Th

ousands




PwC 21


500000

452207 614

99

104

65

3401

66

1034

17

557

35

947

40

711

51

974

34

843

71

340

29

658

31

600

65

499

66

3446

00

3342

00

2749

04

2700

00

2553

04

2300

00

1750

71

935

70

820

00

754

04

250

00

120

00

0

100000

200000

300000

400000

MT















PwC 22

-



Sr No


scenario

1

Cereals





5

Oilseeds




8

Livestock Produce






13

Pulses




16

Fruits






21

Vegetables





25

Spices





PwC 23


22 Potential

























PwC 24

-



Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

1

Cereals

Rice 2227300 133638 2093662 1823959 410340 100 --- 1683322

2 Wheat 12703200 762192 11941008 7183378 3304922 --- --- 1799331

3 Maize 1287400 77244 1210156 387993 46400 --- --- 775763

4 Sorghum 608900 36534 572366 184299 0 --- --- 388067

5

Oilseeds

Soyabean 6280600 376836 5903764 447341 8504654 100 --- ---

6 Mustard 869600 52176 817424 331561 310800 100 --- 506624

7 Groundnut 344600 20676 323924 26164 0 100 --- 323924

8

Livestock Produce

Milk 8149000 65192 8083808 3860291 968543 --- --- 3324869

9 Eggs (Nos) 798100000 29529700 768570300 745170490 0 --- --- 23399810

10 Poultry Meat 12000 444 11556 49966 0 --- 38410 ---


12 Fish 75404 5203 70201 65831 0 --- --- 4370

13

Pulses

Gram 3290300 200708 3089592 248607 389638 --- --- 2665806

14 Pigeon Pea (Tur) 334200 20386 313814 340166 30559 100 26352 283255

15 Lentil (Masoor) 230000 14030 215970 71151 20091 100 --- 195879

16

Fruits

Mango 175071 22237 152834 97434 7858 --- --- 57699

17 Guava 255304 45910 209394 94740 1045 --- --- 114767

18 Orange 647486 40771 606715 57781 39 --- --- 550053

19 Papaya 274904 20316 254588 103417 68 --- --- 151103

20 Banana 1379174 91018 1288156 537580 182 --- --- 750394


PwC 25

-


Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

21

Vegetables

Green Peas 452207 46601 405606 61499 2390 --- --- 341717

22 Tomato 1349588 167360 1182228 595307 8002 --- --- 586346

23 Onion 1957491 146725 1810766 654902 6417 --- --- 1149447

24 Potato 1816684 163475 1653209 1168068 27213 --- --- 623050

25

Spices

Chillies 93570 5561 88009 84371 1069 --- --- 2568

26 Garlic 270000 16085 253915 55735 6417 --- --- 191763

27 Coriander 82000 5983 76017 34029 3208 --- --- 38780




PwC 26



2221 Need



























PwC 27

-




sector


















demandacceptance






Prioritization)

1 Rice

2 Wheat

3 Cereals

Maize

4 Sorghum

5 Soyabean

6 Oilseeds Mustard

7 Groundnut


PwC 28

-



Prioritization)

8

Livestock Produce

Milk

9 Eggs

10 Poultry Meat


12

Pulses

Gram

13 Pigeon Pea (Tur)

14 Lentil (Masoor)

15

Fruits

Mango

16 Guava

17 Orange

18 Papaya

19 Banana

20

Vegetables

Green Peas

21 Tomato

22 Onion

23 Potato

24

Spices

Chillies

25 Garlic

26 Coriander




















PwC 29



Source PwC Analysis










PwC 30

- - - - - -

- -




Poultry (Meat)

Meat Excluding

Poultry Gram

Pigeon Pea

Lentil



10 21 94 066 038 82 110 048 100 016 008 018 40 063 038


10 100 73 073 073 051 073 037 330 013 009 016 087 009 006


10 29 86 152 069 100 138 038 079 088 237 154 537 094 109

ATTRACTIVENESS



15 60 49 15 09 00 23 17 150 002 09 10 118 20 12


10 28 05 48 24 00 04 02 29 001 07 02 100 013 10



10 04 24 12 20 100 26 10 46 00 01 02 83 24 37


10 25 39 08 01 09 23 36 13 14 10 14 33 32 02


5 09 04 03 01 05 03 14 05 092 23 08 05 032 06


10 07 21 10 18 26 21 19 33 426 83 47 39 264 14


100 2805 4438 1232 887 4271 1446 440 4424 912 1787 1445 5465 1240 880



PwC 31






10 020 024 118 015 060 050 074 086 083 024 067 019


10 005 007 020 007 044 024 006 013 058 003 009 003


ATTRACTIVENESS



15 02 04 37 03 12 14 12 18 10 002 18 03


10 01 04 21 03 28 15 30 43 08 002 07 04



10 02 20 40 120 09 23 14 22 09 143 43 299


10 39 08 57 44 34 48 100 78 60 44 16 34


5 06 06 50 37 09 16 07 05 01 08 16 05


10 42 57 46 99 53 75 43 49 44 46 100 32


100 984 1041 2663 2023 1578 2029 2193 2279 1509 1176 2086 1164



PwC 32




Gram Pulses 27

Wheat Cereals 28



Rice Cereals 31

Orange Fruits 32

Onion Vegetables

33

Tomato 34

Garlic Spices 35


Papaya Fruits 37


Banana Fruits 39

Potato Vegetables

40

Mustard 41



Maize Cereals 44

Chillies Spices

45

Coriander 46

Guava Fruits

47

Mango 48


Sorghum Cereals 50




PwC 33






quantity






000

000

000

000

1189

391

114

238

150

059

033

053

449

041

001

002

001

000

874

914

1184

000

360

Fish

Meat (Non-Poultry)

Poultry Meat

Eggs

Milk

Coriander

Chillies

Garlic

Potato

Tomato

Onion

Green Peas

Mango

Guava

Banana

Papaya

Orange

Groundnut

Mustard

Soyabean

Lentil (Masoor)

Pigeon Pea (Tur)

Gram

Sorghum

Maize

Rice

Wheat

Cereals (Major)

224

Pulses (Major)

114

Oilseeds (Major)

1147

Fruits (Major)

03

Vegetables (Major)

08

Spices (Major)

24

Livestock Produce

0 2 4 6 8 10 12 14 34 114 134


PwC 34





Sr No

Category Commodity

Produce

Production

(MT or Nos)



Level of Processing

(Commodity)


1

Cereals

Wheat 12703200 3304922 2602

2236 2 Rice Paddy 2227300 410340 1842

3 Maize 1287400 46400 360

4 Sorghum 608900 0 000

5

Pulses

Gram 3290300 389638 1184

1142 6 Pigeon Pea (Tur) 334200 30559 914

7 Lentil (Masoor) 230000 20091 874

8

Oilseeds

Soyabean 6280600 8504654 13541 11762

or 2560 (except

Soyabean)

9 Mustard 869600 310800 3574

10 Groundnut 344600 0 000

11

Fruits

Orange 647486 39 001

034

12 Papaya 274904 68 002

13 Banana 1379174 182 001

14 Guava 255304 1045 041

15 Mango 175071 7858 449

16

Vegetables

Green Peas 452207 2390 053

079 17 Onion 1957491 6417 033

18 Tomato 1349588 8002 059

19 Potato 1816684 27213 150

20

Spices

Garlic 270000 6417 238

24021 Chillies 93570 1069 114

22 Coriander 82000 3208 391

23

Livestock Produce

Milk 8149000 968543 1189 1189

24 Eggs (Nos) 798100000 0 000

000 25 Poultry Meat 12000 0 000


27 Fish 75404 0 000




PwC 35































Table 6



PwC 36

-

--

-



Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

28

Cereals

Rice 3096116 185767 2910349 777972 410340 777972 367632

29 Wheat 31242124 1874527 29367596 10016554 3304922 4456812 1151890

30 Maize 935069 56104 878965 182794 46400 -- - -- -

31 Sorghum 645754 38745 607009 128945 -- - -- - -- -

32

Oilseeds

Soyabean 11718007 703080 11014927 880753 8504654 880753 -- -

33 Mustard 1871116 112267 1758849 462037 310800 462037 151237

34 Groundnut 522493 31350 491144 5001 -- - 5001 5001

35

Livestock Produce

Milk 13704845 109639 13595206 6627713 968543 1127365 158821

36 Eggs (Nos) 838926231 31040271 807885961 1860759371 -- - -- - -- -

37 Poultry Meat 53481 1979 51503 249427 -- - -- - -- -


39 Fish 104928 7240 97688 93291 -- - -- - -- -

40

Pulses

Gram 4785056 291888 4493168 469105 389638 451144 61506

41 Pigeon Pea (Tur) 472103 28798 443305 317316 30559 317316 286757

42 Lentil (Masoor) 218112 13305 204807 41170 20091 41170 21079

43

Fruits

Mango 596179 75724 520455 195245 7858 28565 20707

44 Guava 513754 92386 421368 167077 1045 7206 6161

45 Orange 2881844 181462 2700381 665249 39 7206 7167

46 Papaya 2846041 210331 2635710 833437 68 68 -- -


PwC 37

-

--

-


Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

47 Banana 4026120 265703 3760417 1408227 182 182 -- -

48

Vegetables

Green Peas 8560527 882179 7678348 40783 2390 2390 -- -

49 Tomato 10680674 1324489 9356185 1138059 8002 42231 34229

50 Onion 16909131 1267432 15641699 1214403 6417 6417 -- -

51 Potato 8407304 756535 7650769 1807729 27213 667560 640347

52

Spices

Chillies 525868 31254 494614 188321 1069 1069 -- -

53 Garlic 1071598 63840 1007757 271562 6417 6417 -- -

54 Coriander 206502 15066 191436 74315 3208 3208 -- -




PwC 38

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 1010 1111 1212 1313 1414 1515 1616 1717 1818 1919 2020 2121 2222 2323 2424 2525 2626 2727

5000

5500

6000

6500


Th

ou

sa

nd

MT

or

La

kh

No

s

(fo

r E

gg

s) 8000

6000

4500

4000

3500

3000

2500

2000

1500

1000

500

0


18000

14000

Wh

eat

Ric

e

Ma

ize

So

rgh

um

Gra

m

Pig

eon

Pea

(T

ur)

Le

nti

l (M

aso

or)

So

ya

be

an

Mu

sta

rd

Gro

un

dn

ut

Ora

ng

e

Pa

pa

ya

Ba

na

na

Gu

av

a

Ma

ng

o

Gre

en P

ea

s

On

ion

To

ma

to

Po

tato

Ga

rlic

Ch

illi

es

Co

ria

nd

er

Mil

k

Eg

gs

Po

ult

ry M

eat

Oth

er

Mea

t

Fis

h



PwC 39





bullSpices bullFish




bullSoyabean



PwC 40

Vision

3 Vision










31 Vision Statement






by 2024




33 Focus areas














PwC 41

Vision



PwC 42





sections






desired results








Infrastructure

Services



produce


respectively


PwC 43

--

-



Farmers Government










Va

lue

Ch

ain

Ac

tor

s

an

d E

lem

en

ts Processors





bullRetail Shops


Storage


Tertiary Processing

Marketing












Bu

sin

es

se

s

Ag

ri

Va

lue

Ch

ain


PwC 44

-



Ag

ri

Va

lue

Ch

ain

Ac

tor

sP

oli

cy

Is

su

es


Warehouse Operators

Processors



Traders

Commission Agents










Income tax for FPOs


Industrial Policy


VAT schedules

Biodiversity tax



and subsidies

APMC act


Mandis

Mandi fee Entry tax


produce


of wheat

Infr

as

tru

ctu

re

Iss

ue

s

Se

rv

ice

Iss

ue

s

Roads




Roads

Electricity outages




Rake availability



Roads







Access to credit



PwC 45





































PwC 46







exemption





years






























PwC 47






































PwC 48





























sections


PwC 49



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

CEREALS

1 Rice Paddy

Whole Broken 0 0 0 4 4 --- 14 0 5




--- --- --- --- --- 1 --- --- ---

Husk 0 15 14 5 4 5 0 0 0


Flour 13 0 5 1375 125 --- 14 0 145


0 15 0 5 0 0 0 0 0

2 Wheat

Whole Broken 0 0 0 4 4 --- 0 0 5

Bran 0 15 0 5 125 0 0 0 0


0 0 0 4 0 --- 5 0 5



--- --- --- --- --- 0 --- --- ---


PwC 50


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



--- --- --- --- --- 1 --- --- ---

Bread (Branded) 0 0 0 0 0 0 0 0 145

Bread (Unbranded) --- --- --- --- --- --- --- --- 0


Bread (Pizza) 0 0 5 0 4 5 0 5 145



Toast (Unbranded) 13 15 5 1375 125 135 5 125 0

Rusk 13 15 14 1375 125 5 14 125 145

Yeast 5 15 5 5 4 135 14 125 5


13 15 14 1375 4 135 14 125 145



13 15 14 1375 125 135 14 125 145




PwC 51


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


3 Maize

Whole Broken 0 0 0 0 0 0 0 0 0

Bran 0 15 0 5 125 5 0 0 0



Flakes 13 15 0 1375 125 135 14 125 145

Starch 5 4 5 5 4 5 5 5 5

4 Sorghum

Whole Broken 0 0 0 0 0 0 0 0 0

PULSES


Whole Pulses 0 0 0 4 1 --- 0 0 5

Split (Dal) Broken 13 0 0 1375 1 135 0 0 5


Flour Besan 0 0 0 1375 125 --- 5 0 145

Roasted Fried 0 15 5 5 0 0 5 5 5


PwC 52


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


13 4 5 1375 125 135 14 125 145




13 0 5 1375 125 135 14 125 145

Papad 0 0 0 0 125 0 0 0 0


--- --- --- --- --- 0 --- --- ---


--- --- --- --- --- 1 --- --- ---

OILSEEDS



Edible Oil 5 4 5 4 4 5 5 5 5


Oil Cake 5 4 5 4 4 5 5 5 5

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 5


PwC 53


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


--- --- --- --- --- --- --- 0 ---

7 Soyabean

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 145

Soya Nuggests 13 15 14 1375 125 5 14 125 145



13 15 14 1375 125 135 14 125 145



FRUITS







PwC 54


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



5 4 5 5 4 5 5 5 5



5 4 5 5 4 5 5 5 5


VEGETABLES






--- --- --- --- --- --- --- 5 ---





PwC 55


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks




5 15 14 1375 125 135 14 125 145

SPICES

12 Chilli (Dry)


Powdered 5 4 5 5 125 5 5 0 5

13 Garlic


Dehydrated 5 15 5 5 125 5 5 125 5



Powdered 5 4 5 5 125 5 5 125 5

14 Coriander


Separated 5 4 5 5 125 5 5 0 5

Powdered 5 4 5 5 125 5 5 0 5

LIVESTOCK PRODUCE

15 Milk



PwC 56


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Buttermilk 0 0 0 0 0 0 0 0 0


Lassi 0 0 0 0 0 0 0 0 0

Curd (Unbranded) 0 0 0 0 0 0 0 0 0

Curd (Branded) 0 0 0 0 0 0 0 5 0

UHT Milk 5 15 0 5 4 5 5 5 5


13 15 14 1375 125 135 14 5 145



5 15 14 1375 125 135 14 5 145

Flavoured Milk 5 15 14 1375 4 135 5 125 145

Milk Powder 5 4 5 5 4 5 5 5 5

Khoa (Mawa) 5 15 5 5 4 0 14 125 145

Cheese 5 15 5 1375 4 135 14 125 145

Paneer 13 15 5 5 4 135 5 125 5


Cream 13 15 5 1375 4 135 5 125 145

Butter 13 15 5 1375 4 135 14 125 145


Ghee (Packaged) 13 4 5 5 4 5 14 125 145


13 4 5 5 4 0 5 5 145


PwC 57


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ice-cream Kulfi 13 15 14 1375 125 135 14 125 145

16 Eggs 0 0 0 0 0 0 0 0 0


Unprocessed 0 0 0 0 0 0 0 0 0

Processed 5 4 5 5 4 135 5 5 145

Frozen 13 15 14 1375 4 135 14 5 5



--- --- --- --- --- --- --- 5 5



PwC 58



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


On every category

Not applicable




On specific

categories

On every category

No tax Instead

LBT

No tax as per High

Court order


1 --- --- --- --- --- 1 4 ---

CEREALS

1 Rice Paddy




Paddy - Whole 1 --- --- --- --- 4 30 0 ---

Husk 1 --- --- --- --- --- 0 0 ---

Bran 1 --- --- --- --- --- 2 2 ---

Flour 1 --- --- --- --- --- 1 0 ---


1 --- --- --- --- --- 0 0 ---

2 Wheat



Bran 1 --- --- --- --- --- 0 0 ---


1 --- 2 --- --- --- 5 0 ---


Bread (Branded) 0 --- --- --- --- --- 0 0 ---

Bread (Unbranded) 0 --- --- --- --- --- 0 0 ---

Bread (Pizza) 0 --- --- --- --- --- 0 35 ---


PwC 59


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



Toast (Unbranded) 1 --- --- --- --- --- 1 4 ---

Rusk 1 --- --- --- --- --- 1 4 ---



1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

3 Maize





Flakes 1 --- --- --- --- --- 1 4 ---

Starch 1 --- --- --- --- --- 1 2 ---

4 Sorghum


PULSES



PwC 60


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Whole Pulses 1 --- --- --- --- --- 0 0 ---

Split (Dal) Broken 1 --- --- --- --- --- 0 0 ---




Roasted Fried 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Papad 1 --- --- --- --- --- 0 1 ---

OILSEEDS



Edible Oil 05 --- --- --- --- --- 05 15 ---


05 --- --- --- --- 5 05 2 ---

Oil Cake 1 --- --- --- --- --- 1 15 ---


PwC 61


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 ---

7 Soyabean




1 --- --- --- --- --- 1 4 ---

8 Mustard Oilcake 1 --- --- --- --- --- 1 15 ---

FRUITS








1 --- --- --- --- --- 1 35 ---


2 --- 4 --- --- --- 1 4 ---

VEGETABLES



PwC 62


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks






1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 2 ---

SPICES

11 Chilli (Dry)



12 Garlic


0 --- --- --- --- --- 0 0 ---

Dehydrated 1 --- --- --- --- --- 1 4 ---



Powdered 1 --- --- --- --- --- 1 4 ---

13 Coriander



PwC 63


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


LIVESTOCK PRODUCE

14 Milk







Curd (Branded) 0 --- --- --- --- --- 0 4 ---

UHT Milk 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---

Flavoured Milk 0 --- --- --- --- --- 0 4 ---

Milk Powder 1 --- --- --- --- --- 1 2 ---

Khoa (Mawa) 1 --- --- --- --- --- 1 4 ---

Cheese 1 --- --- --- --- --- 1 4 ---

Paneer 1 --- --- --- --- --- 1 4 ---

Cream 1 --- --- --- --- --- 1 4 ---

Butter 1 --- --- --- --- --- 1 4 ---



PwC 64


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ghee (Packaged) 05 --- --- --- --- --- 05 4 ---


1 --- --- --- --- --- 1 2 ---

Ice-cream Kulfi 2 --- --- --- --- --- 2 2 ---

15 Eggs 0 --- --- --- --- --- 0 0 ---


Unprocessed 0 --- --- --- --- --- 0 0 ---

Processed 1 --- --- --- --- --- 1 35 ---

Frozen 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---



PwC 65




























Promoting current



products

Better price than




External investment

Higher demand for

primary processing





PwC 66



























becomes a hindrance


PwC 67


413 Service Issues
































PwC 68






labour

41341 Attrition


for both of them




















PwC 69



Sr No




Marketing Reforms






















PwC 70


Sr No













Extension Services

Skill Development






PwC 71











Within 1 year

(by 2014-15)










(by 2014-15)







Within 1 year

(by 2014-15)


PwC 72




Madhya Pradesh










Within 1 year

(by 2014-15)







Within 1 year

(by 2014-15)





Processing

(by 2014-15)


PwC 73












Within 1 year

(by 2014-15)



Formation of FPOs






Within 3 years

(by 2016-17)







Local NGOs

Within 3 years

(by 2016-17)


PwC 74




farmers







Within 3 years

(by 2016-17)











Within 3 years

(by 2016-17)







Within 5 years

(by 2018-19)


PwC 75




Processing







Within 5 years

(by 2018-19)









Within 5 years

(by 2018-19)





Within 5 years

(by 2018-19)


PwC 76








(by 2020-21)









Within 5 years

(by 2018-19)






Within 5 years

(by 2018-19)







Within 4 years

(by 2017-18)


PwC 77









Within 5 years

(by 2018-19)


PwC 78

-

Proposed Projects

5 Proposed Projects








described below













and Barriers






Government


Issues Concerns

Mapping of issues


chains


Project Profiles


PwC 79

Proposed Projects






Sr No




Project Category













PPP mode




PPP mode



production


mode



production


operatives

Farmer Empowerment



PwC 80

Proposed Projects

















Taxation Issues


Mandi Fees Issues


stakeholders


PwC 81

Proposed Projects


Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

1

Cereals

Wheat

2 RicePaddy

3 Maize

4 Sorghum

5

Pulses

Gram

6 Pigeon Pea

7 Lentil

8

Oilseeds

Soyabean

9 Mustard

10 Groundnut

11

Fruits

Orange

12 Papaya

13 Banana

14 Guava

15 Mango


PwC 82

Proposed Projects

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

16

Vegetables

Green Peas

17 Onion

18 Tomato

19 Potato

20

Spices

Garlic

21 Chilli

22 Coriander

23

Livestock Produce

Milk

24 Eggs (Nos)

25 Poultry Meat

26 Other Meat

27 Fish

Total 22 11 20 15 21 9 27 27 10 25 22 10



PwC 83

Proposed Projects













Priority Quadrant

High

State

Government

Control

Low




Food Parks

Market Linkages


Food Testing Labs

RampD Centres

Access to Credit



Time Bound Service

Mandi Fees


Taxation


PwC 84

Proposed Projects





4) Market Linkages

5) Taxation






Sr No




Project Category








Hard Intervention









PwC 85

Proposed Projects







These areas are

Food Processing

Sector


ment


ure Developm

ent

Farmer Linkages

amp Empower

ment


ent











PwC 86

-




611 Context







612 Project

6121 Objectives







6122 Drivers








approach


Major Pulses

Rank Production

2011 12 (lsquo000 MT)





PwC 87

-

-

-

--


Major Pulses

Rank Production

2011 12 (lsquo000 MT)




Pigeon Pea (Tur)


Lentil (Masoor)


Green Gram (Moong)


Black Gram (Urad)

--- 1488 84






Gram

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)





dal making

Major Pulses

Estimated Current


(MT)


(based on demand)

2011 12 (MT)


Capacity (MT and )



2023 24

(MT)


Capacity Addition

Required by 2023 24

(MT)

Gram

453299 736543 283244 930673 477374

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)



PwC 88

- -







Major Pulses


(MT)


(MT)


Gram 248607 451144 11036

Pigeon Pea (Tur) 340166 317316 -672

Lentil (Masoor) 71151 41170 -4214


Black Gram (Urad) 43944 21804 -5038

Total 736543 930673 2636


6123 Concept



















suppliers etc


PwC 89


61232 Location













PwC 90


















613 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power



machinery --- 11000



Total 82000


PwC 91




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



616 Risk

6161 Financial Risk




PwC 92













PwC 93




PwC 94

-



621 Context








622 Project

6221 Objectives







6222 Drivers












2011 12 (lsquo000 MT)





PwC 95

- -






Wheat













wheat in the state

Major Cereal


(MT)


(MT)


Wheat 7183377 10016554 3944


6223 Concept










PwC 96












suppliers etc

62232 Location



PwC 97










Location Sehore





Milling











623 Cost Estimates






PwC 98


Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 84500



Particulars Benefit













PwC 99


Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



626 Risk

6261 Financial Risk














PwC 100

-



631 Context










632 Project

6321 Objectives







6322 Drivers











2011 12 (lsquo000 MT)





PwC 101

- - -






Paddy





Crop


2011 12

(MT)


2023 24

(MT)


Required by 2023 24

(MT)

Paddy 410340 777972 367632


6323 Concept

















PwC 102





suppliers etc

63232 Location









PwC 103



Location Satna















633 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 90000


PwC 104




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)




PwC 105


636 Risk

6361 Financial Risk














PwC 106



641 Context










on PPP model

642 Project

6421 Objectives




catchment area




6422 Drivers












PwC 107

-


Fruit amp Vegetable

Rank Production

2011 12 (lsquo000 MT)














shown below


Mosambi

Orange

Mango

Banana

Lime Lemon

Guava

Papaya

Amla

Tomato

Cabbage

Cauliflower

Potato

Onion

Bottle Gourd

Okra

Watermelon

Brinjal

Pea



PwC 108







harvesting seasons



6423 Concept

64231 PPP Model


















64232 Location



PwC 109













PwC 110







Location Ratlam




























PwC 111








643 Cost Estimates







Sr No


(in Rs Lakhs)


1 Land ~ 9000 m2 ---



4

Plant amp Machinery



---3000

8000


(HVAC) --- 5000





7 Land ~ 18000 m2 ---


9 Building (Rs15000m2) ~ 2000 m2 30000

10 Office (Rs15000m2) ~ 300 m2 4500



PwC 112



12500


14

Plant amp Machinery


--- 135000

15



--- 45000






--- 2500









Sr No

Particulars Amount

(in Rs Lakhs)









8 Maintenance 100




PwC 113








15 Maintenance 2500





Sr No



Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)



20000 310000

Total 35000 490000












PwC 114


Sr No








Terms of lease BOO



646 Risk

6461 Financial Risk













PwC 115








PwC 116



651 Context











652 Project

6521 Objectives



area




6522 Drivers











product



PwC 117

-



2011 12 (lsquo000 MT)











below


Garlic

Onion

Tomato

Cabbage


6523 Concept

65231 PPP Model













PwC 118








65232 Location








PwC 119








Location Neemuch





Dehydration Plant

















653 Cost Estimates







PwC 120



Sr No


(in Rs Lakhs)

1 Land ~ 24000 m2 ---


3 Building (Rs15000m2) ~ 2000 m2 30000

4 Office (Rs15000m2) ~ 300 m2 4500



4000


8

Plant amp Machinery


--- 120000

9



--- 22500

Total 195700






Sr No

Particulars Amount

(in Rs Lakhs)







7 Maintenance 200

Total 120700


PwC 121






Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)












Sr No








Terms of lease BOO




PwC 122


656 Risk

6561 Financial Risk


















PwC 123




PwC 124



661 Context











662 Project

6621 Objectives









6622 Drivers





meat) in the state



PwC 125

- --

-


Parameter

Meat
















Particular


(MT)


(MT)


(MT)

Meat



6623 Concept

66231 PPP Model












PwC 126






66232 Location


Indore

Bhopal






















PwC 127


663 Cost Estimates





Sr No


(in Rs Lakhs)



3 Building (Rs10000m2) ~ 1100 m2 11000

4

Utility Buildings


2500



6



--- 15000

Total 43000





(in Nos)

Approx Annual

Turnover

(in Rs Lakhs)





Sr No






PwC 128




Terms of lease BOO



666 Risk

6661 Financial Risk










PwC 129




PwC 130



671 Context
















in the mandis




672 Project

6721 Drivers






regulations

6722 Objectives





PwC 131









6723 Concept






Regulated markets


246 275 521

Principal markets


A 51 21

B 40 16

C 58 24

D 97 39

Total 246





below

672311 Phase 1






PwC 132











below


shed etc



shopsoffices etc






feasibility







672312 Phase 2


consultation)










PwC 133






(mentioned below)








Mission (NHM)








expert opinions









674 Cost Estimates






PwC 134













6761 Brief Snapshot

Title Description


Background







PwC 135

-



Means of finance






67621 Context








below




39634 7788 4 24 73942 350 46277





Details of Mandi


Area yard 2822 ha

Market fee 2


PwC 136

-


Facilities


Weighment Yes


Covered shed Yes

Warehouse No

Cold storage No

Ripening chamber No


Quality testing No


Market fee 9962

Other income 052

Total income 1048








67623 Project












PwC 137














67624 Cost Estimate






Subtotal 80800000









Sub-total 16027500








PwC 138

























59777 68744 73556 78705 84215


1195 1374 1471 1574 1684










PwC 139


67627 Risk




PwC 140



681 Context











682 Project

6821 Objectives












6822 Drivers






in the state



PwC 141

- -

-

-- -

-

-


Parameter Poultry















Particular


(MT)

Current Production

2010 11 (MT)

Estimated Demand

Supply Gap 2010 11

(MT)

Estimated Demand by

2023 24

(MT)


(MT)

Estimated Demand

Supply Gap 2023 24

(MT)

Poultry Meat 49966 12000 37966 249427 53481 195946


6823 Concept









PwC 142












1) Shivpuri

2) Bhind

3) Morena

4) Datia

5) Tikamgarh

6) Chhatarpur

7) Panna

8) Damoh

9) Sagar

10) Jhabua

11) Alirajpur

12) Barwani

13) Harda

14) Betul

15) Chhindwara


PwC 143
























683 Cost Estimates










Sr No

Requirement Unit

Amount

(Rs in

lakhs)

1st year

Amount

(Rs in

lakhs)

2nd year

Amount

(Rs in lakhs)

3rd year



operative --- 050 --- ---

2

Operating Expenses

Office

Manpower

Consumables

--- 2500 2500 2500

3



Working Capital


Rs 55000farm

Rs 25bird

Rs500farmeryr

8250

1875

075

8250

1875

075

11000

2500

100

Sub-Total 12750 12700 16100











Sr No








operative






686 Risk







691 Context





problem






692 Project

6921 Objectives














in the market

6922 Drivers



























6923 Concept





693 Cost Estimates




Sr No






- - -






Form-1 30000

Form-18 30000

Form-32 30000





Total 3755000



Sl


No

of

Units

Unit

Rate

(in Rs)

Total

Month

Total

Cost

(Rs)

Increment 10Year


1 Salary

ManagerCEO 1 20000 12 240000 240000 264000 290400


Accountant 1 6000 12 72000 72000 79200 87120


2 Travel

Salaries 3 1500 12 18000 18000 19800 21780

3 Office expenses

Office Rent 1 3000 12 36000 36000 39600 43560

Electricity 1 1000 12 12000 12000 13200 14520

Water 1 200 12 2400 2400 2640 2904

Telecommunication

(PhoneFax) 1 2000 12 24000 24000 26400 29040

Stationary - 1000 12 12000 12000 13200 14520

Cleaning 1 500 12 6000 6000 6600 7260


BoDGB 6 1000 6 6000 6000 6600 7260




expenses 1 500 12 6000 6000 6600 7260

Total 804400 804400 884840 973324

Grand Total 2662564

















Sr No










696 Risk







6101 Context






6102 Project










the local problems







issues


processed foods

61022 Drivers












61023 Concept


















Duration 4 years





2) Food Engineering







6103 Cost Estimates







Sr No


(in Rs Lakhs)





5

Pilot Plant


1 each 12500




Total 475620






Sr No


(in Rs Lakhs)





Total 26956













charges





Sr No

Tasks To be

Completed by








October 2016






6106 Risk












Table of Contents

Executive Summary

Executive Summary








processing industry














Produce


be processed


facilities








PwC 9

Executive Summary















Gram Pulses 1

Wheat Cereals 2


Soyabean Oilseeds 4

Rice Cereals 5

Orange Fruits 6

Onion Vegetables

7

Tomato 8

Garlic Spices 9


Papaya Fruits 11


Banana Fruits 13

Potato Vegetables

14

Mustard 15



Maize Cereals 18

Chillies Spices

19

Coriander 20

Guava Fruits

21

Mango 22


Sorghum Cereals 24




PwC 10

--

-

-

Executive Summary









Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

1

Cereals

Rice 410340 777972 367632

2 Wheat 3304922 4456812 1151890

3 Maize 46400 -- - -- -

4 Sorghum -- - -- - -- -

5

Oilseeds

Soyabean 8504654 880753 -- -

6 Mustard 310800 462037 151237

7 Groundnut -- - 5001 5001

8

Livestock Produce

Milk 968543 1127365 158821

9 Eggs (Nos) -- - -- - -- -

10 Poultry Meat -- - -- - -- -

11 Other Meat -- - -- - -- -

12 Fish -- - -- - -- -

13

Pulses

Gram 389638 451144 61506

14 Pigeon Pea (Tur)

30559 317316 286757

15 Lentil (Masoor) 20091 41170 21079

16

Fruits

Mango 7858 28565 20707

17 Guava 1045 7206 6161

18 Orange 39 7206 7167

19 Papaya 68 68 -- -

20 Banana 182 182 -- -

21

Vegetables

Green Peas 2390 2390 -- -

22 Tomato 8002 42231 34229

23 Onion 6417 6417 -- -

24 Potato 27213 667560 640347


PwC 11

--

-

-

Executive Summary

Sr No

Group Sub

Sector

Commodity Produce

Current Processing






Capacity (MT)

25 Chillies 1069 1069 -- -

26 Spices Garlic 6417 6417 -- -

27 Coriander 3208 3208 -- -









Infrastructure

Services




follows

Sr No



Suggestions


Marketing Reforms
















PwC 12

Executive Summary

Sr No



Suggestions

products spices








2 Infrastructure







3 Services

Marketing Support

Extension Services

Skill Development






PwC 13

Executive Summary




Vision Statement






by 2024

Mission Statement



Focus Areas



















PwC 14

Executive Summary


















PwC 15

Executive Summary



PwC 16

Introduction

1 Introduction























techniques















PwC 17

Introduction











sector





Forestry






PwC 18

-










Fruits Vegetables

amp Spices

Food Processing

Sector



Grains

Pulses amp Oilseeds

Dairy

Meat amp Poultry

Fish



Consumption




Targets







PwC 19














commodities


Commodity Category



(Kgmonth)




Wheat 8068 7271 0256 0770

Rice 2130 1720 0045 0160

Maize 0599 0043

Sorghum 0274 0048


Mustard 0155^ 0145^


Gram 0045 0024 0130 0113 0108 0154



Major Fruits 0830 1477 0005 0017



Milk 3999 4814 0079 0075




Fish 0088 0043





PwC 20



MT

15000000

12703200

12000000

71

833

78

37

478

55

894

68

2486

07 18

239

59

81

490

00

62

806

00

32

903

00

22

273

00


9000000

6000000

3000000

0


6549

02

11

680

68

5375

80

5953

07

3879

93

1326

24

7451

70

577

81

1842

99

19

574

91

18

166

84

13

791

74

13

495

88

12

874

00

8696

00

7981

00

6474

86

6089

00

0

500000

1000000

1500000

2000000

2500000

Mt

or

Th

ousands




PwC 21


500000

452207 614

99

104

65

3401

66

1034

17

557

35

947

40

711

51

974

34

843

71

340

29

658

31

600

65

499

66

3446

00

3342

00

2749

04

2700

00

2553

04

2300

00

1750

71

935

70

820

00

754

04

250

00

120

00

0

100000

200000

300000

400000

MT















PwC 22

-



Sr No


scenario

1

Cereals





5

Oilseeds




8

Livestock Produce






13

Pulses




16

Fruits






21

Vegetables





25

Spices





PwC 23


22 Potential

























PwC 24

-



Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

1

Cereals

Rice 2227300 133638 2093662 1823959 410340 100 --- 1683322

2 Wheat 12703200 762192 11941008 7183378 3304922 --- --- 1799331

3 Maize 1287400 77244 1210156 387993 46400 --- --- 775763

4 Sorghum 608900 36534 572366 184299 0 --- --- 388067

5

Oilseeds

Soyabean 6280600 376836 5903764 447341 8504654 100 --- ---

6 Mustard 869600 52176 817424 331561 310800 100 --- 506624

7 Groundnut 344600 20676 323924 26164 0 100 --- 323924

8

Livestock Produce

Milk 8149000 65192 8083808 3860291 968543 --- --- 3324869

9 Eggs (Nos) 798100000 29529700 768570300 745170490 0 --- --- 23399810

10 Poultry Meat 12000 444 11556 49966 0 --- 38410 ---


12 Fish 75404 5203 70201 65831 0 --- --- 4370

13

Pulses

Gram 3290300 200708 3089592 248607 389638 --- --- 2665806

14 Pigeon Pea (Tur) 334200 20386 313814 340166 30559 100 26352 283255

15 Lentil (Masoor) 230000 14030 215970 71151 20091 100 --- 195879

16

Fruits

Mango 175071 22237 152834 97434 7858 --- --- 57699

17 Guava 255304 45910 209394 94740 1045 --- --- 114767

18 Orange 647486 40771 606715 57781 39 --- --- 550053

19 Papaya 274904 20316 254588 103417 68 --- --- 151103

20 Banana 1379174 91018 1288156 537580 182 --- --- 750394


PwC 25

-


Sr No


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)

Consumption

(MT or Nos)

Present Processing

Capacity

(MT or Nos)


before Consumption


(MT or Nos)


(MT or Nos)

21

Vegetables

Green Peas 452207 46601 405606 61499 2390 --- --- 341717

22 Tomato 1349588 167360 1182228 595307 8002 --- --- 586346

23 Onion 1957491 146725 1810766 654902 6417 --- --- 1149447

24 Potato 1816684 163475 1653209 1168068 27213 --- --- 623050

25

Spices

Chillies 93570 5561 88009 84371 1069 --- --- 2568

26 Garlic 270000 16085 253915 55735 6417 --- --- 191763

27 Coriander 82000 5983 76017 34029 3208 --- --- 38780




PwC 26



2221 Need



























PwC 27

-




sector


















demandacceptance






Prioritization)

1 Rice

2 Wheat

3 Cereals

Maize

4 Sorghum

5 Soyabean

6 Oilseeds Mustard

7 Groundnut


PwC 28

-



Prioritization)

8

Livestock Produce

Milk

9 Eggs

10 Poultry Meat


12

Pulses

Gram

13 Pigeon Pea (Tur)

14 Lentil (Masoor)

15

Fruits

Mango

16 Guava

17 Orange

18 Papaya

19 Banana

20

Vegetables

Green Peas

21 Tomato

22 Onion

23 Potato

24

Spices

Chillies

25 Garlic

26 Coriander




















PwC 29



Source PwC Analysis










PwC 30

- - - - - -

- -




Poultry (Meat)

Meat Excluding

Poultry Gram

Pigeon Pea

Lentil



10 21 94 066 038 82 110 048 100 016 008 018 40 063 038


10 100 73 073 073 051 073 037 330 013 009 016 087 009 006


10 29 86 152 069 100 138 038 079 088 237 154 537 094 109

ATTRACTIVENESS



15 60 49 15 09 00 23 17 150 002 09 10 118 20 12


10 28 05 48 24 00 04 02 29 001 07 02 100 013 10



10 04 24 12 20 100 26 10 46 00 01 02 83 24 37


10 25 39 08 01 09 23 36 13 14 10 14 33 32 02


5 09 04 03 01 05 03 14 05 092 23 08 05 032 06


10 07 21 10 18 26 21 19 33 426 83 47 39 264 14


100 2805 4438 1232 887 4271 1446 440 4424 912 1787 1445 5465 1240 880



PwC 31






10 020 024 118 015 060 050 074 086 083 024 067 019


10 005 007 020 007 044 024 006 013 058 003 009 003


ATTRACTIVENESS



15 02 04 37 03 12 14 12 18 10 002 18 03


10 01 04 21 03 28 15 30 43 08 002 07 04



10 02 20 40 120 09 23 14 22 09 143 43 299


10 39 08 57 44 34 48 100 78 60 44 16 34


5 06 06 50 37 09 16 07 05 01 08 16 05


10 42 57 46 99 53 75 43 49 44 46 100 32


100 984 1041 2663 2023 1578 2029 2193 2279 1509 1176 2086 1164



PwC 32




Gram Pulses 27

Wheat Cereals 28



Rice Cereals 31

Orange Fruits 32

Onion Vegetables

33

Tomato 34

Garlic Spices 35


Papaya Fruits 37


Banana Fruits 39

Potato Vegetables

40

Mustard 41



Maize Cereals 44

Chillies Spices

45

Coriander 46

Guava Fruits

47

Mango 48


Sorghum Cereals 50




PwC 33






quantity






000

000

000

000

1189

391

114

238

150

059

033

053

449

041

001

002

001

000

874

914

1184

000

360

Fish

Meat (Non-Poultry)

Poultry Meat

Eggs

Milk

Coriander

Chillies

Garlic

Potato

Tomato

Onion

Green Peas

Mango

Guava

Banana

Papaya

Orange

Groundnut

Mustard

Soyabean

Lentil (Masoor)

Pigeon Pea (Tur)

Gram

Sorghum

Maize

Rice

Wheat

Cereals (Major)

224

Pulses (Major)

114

Oilseeds (Major)

1147

Fruits (Major)

03

Vegetables (Major)

08

Spices (Major)

24

Livestock Produce

0 2 4 6 8 10 12 14 34 114 134


PwC 34





Sr No

Category Commodity

Produce

Production

(MT or Nos)



Level of Processing

(Commodity)


1

Cereals

Wheat 12703200 3304922 2602

2236 2 Rice Paddy 2227300 410340 1842

3 Maize 1287400 46400 360

4 Sorghum 608900 0 000

5

Pulses

Gram 3290300 389638 1184

1142 6 Pigeon Pea (Tur) 334200 30559 914

7 Lentil (Masoor) 230000 20091 874

8

Oilseeds

Soyabean 6280600 8504654 13541 11762

or 2560 (except

Soyabean)

9 Mustard 869600 310800 3574

10 Groundnut 344600 0 000

11

Fruits

Orange 647486 39 001

034

12 Papaya 274904 68 002

13 Banana 1379174 182 001

14 Guava 255304 1045 041

15 Mango 175071 7858 449

16

Vegetables

Green Peas 452207 2390 053

079 17 Onion 1957491 6417 033

18 Tomato 1349588 8002 059

19 Potato 1816684 27213 150

20

Spices

Garlic 270000 6417 238

24021 Chillies 93570 1069 114

22 Coriander 82000 3208 391

23

Livestock Produce

Milk 8149000 968543 1189 1189

24 Eggs (Nos) 798100000 0 000

000 25 Poultry Meat 12000 0 000


27 Fish 75404 0 000




PwC 35































Table 6



PwC 36

-

--

-



Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

28

Cereals

Rice 3096116 185767 2910349 777972 410340 777972 367632

29 Wheat 31242124 1874527 29367596 10016554 3304922 4456812 1151890

30 Maize 935069 56104 878965 182794 46400 -- - -- -

31 Sorghum 645754 38745 607009 128945 -- - -- - -- -

32

Oilseeds

Soyabean 11718007 703080 11014927 880753 8504654 880753 -- -

33 Mustard 1871116 112267 1758849 462037 310800 462037 151237

34 Groundnut 522493 31350 491144 5001 -- - 5001 5001

35

Livestock Produce

Milk 13704845 109639 13595206 6627713 968543 1127365 158821

36 Eggs (Nos) 838926231 31040271 807885961 1860759371 -- - -- - -- -

37 Poultry Meat 53481 1979 51503 249427 -- - -- - -- -


39 Fish 104928 7240 97688 93291 -- - -- - -- -

40

Pulses

Gram 4785056 291888 4493168 469105 389638 451144 61506

41 Pigeon Pea (Tur) 472103 28798 443305 317316 30559 317316 286757

42 Lentil (Masoor) 218112 13305 204807 41170 20091 41170 21079

43

Fruits

Mango 596179 75724 520455 195245 7858 28565 20707

44 Guava 513754 92386 421368 167077 1045 7206 6161

45 Orange 2881844 181462 2700381 665249 39 7206 7167

46 Papaya 2846041 210331 2635710 833437 68 68 -- -


PwC 37

-

--

-


Sr No

Group Commodity


(MT or Nos)

Harvest amp Post

harvest Losses

(MT or Nos)

Net Available

Production

(MT or Nos)


(MT or Nos)

Current Processing

Capacity (2011 12)

(MT or Nos)



2023 24

(MT or Nos)



Current Capacity

(MT or Nos)

47 Banana 4026120 265703 3760417 1408227 182 182 -- -

48

Vegetables

Green Peas 8560527 882179 7678348 40783 2390 2390 -- -

49 Tomato 10680674 1324489 9356185 1138059 8002 42231 34229

50 Onion 16909131 1267432 15641699 1214403 6417 6417 -- -

51 Potato 8407304 756535 7650769 1807729 27213 667560 640347

52

Spices

Chillies 525868 31254 494614 188321 1069 1069 -- -

53 Garlic 1071598 63840 1007757 271562 6417 6417 -- -

54 Coriander 206502 15066 191436 74315 3208 3208 -- -




PwC 38

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 1010 1111 1212 1313 1414 1515 1616 1717 1818 1919 2020 2121 2222 2323 2424 2525 2626 2727

5000

5500

6000

6500


Th

ou

sa

nd

MT

or

La

kh

No

s

(fo

r E

gg

s) 8000

6000

4500

4000

3500

3000

2500

2000

1500

1000

500

0


18000

14000

Wh

eat

Ric

e

Ma

ize

So

rgh

um

Gra

m

Pig

eon

Pea

(T

ur)

Le

nti

l (M

aso

or)

So

ya

be

an

Mu

sta

rd

Gro

un

dn

ut

Ora

ng

e

Pa

pa

ya

Ba

na

na

Gu

av

a

Ma

ng

o

Gre

en P

ea

s

On

ion

To

ma

to

Po

tato

Ga

rlic

Ch

illi

es

Co

ria

nd

er

Mil

k

Eg

gs

Po

ult

ry M

eat

Oth

er

Mea

t

Fis

h



PwC 39





bullSpices bullFish




bullSoyabean



PwC 40

Vision

3 Vision










31 Vision Statement






by 2024




33 Focus areas














PwC 41

Vision



PwC 42





sections






desired results








Infrastructure

Services



produce


respectively


PwC 43

--

-



Farmers Government










Va

lue

Ch

ain

Ac

tor

s

an

d E

lem

en

ts Processors





bullRetail Shops


Storage


Tertiary Processing

Marketing












Bu

sin

es

se

s

Ag

ri

Va

lue

Ch

ain


PwC 44

-



Ag

ri

Va

lue

Ch

ain

Ac

tor

sP

oli

cy

Is

su

es


Warehouse Operators

Processors



Traders

Commission Agents










Income tax for FPOs


Industrial Policy


VAT schedules

Biodiversity tax



and subsidies

APMC act


Mandis

Mandi fee Entry tax


produce


of wheat

Infr

as

tru

ctu

re

Iss

ue

s

Se

rv

ice

Iss

ue

s

Roads




Roads

Electricity outages




Rake availability



Roads







Access to credit



PwC 45





































PwC 46







exemption





years






























PwC 47






































PwC 48





























sections


PwC 49



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

CEREALS

1 Rice Paddy

Whole Broken 0 0 0 4 4 --- 14 0 5




--- --- --- --- --- 1 --- --- ---

Husk 0 15 14 5 4 5 0 0 0


Flour 13 0 5 1375 125 --- 14 0 145


0 15 0 5 0 0 0 0 0

2 Wheat

Whole Broken 0 0 0 4 4 --- 0 0 5

Bran 0 15 0 5 125 0 0 0 0


0 0 0 4 0 --- 5 0 5



--- --- --- --- --- 0 --- --- ---


PwC 50


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



--- --- --- --- --- 1 --- --- ---

Bread (Branded) 0 0 0 0 0 0 0 0 145

Bread (Unbranded) --- --- --- --- --- --- --- --- 0


Bread (Pizza) 0 0 5 0 4 5 0 5 145



Toast (Unbranded) 13 15 5 1375 125 135 5 125 0

Rusk 13 15 14 1375 125 5 14 125 145

Yeast 5 15 5 5 4 135 14 125 5


13 15 14 1375 4 135 14 125 145



13 15 14 1375 125 135 14 125 145




PwC 51


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


3 Maize

Whole Broken 0 0 0 0 0 0 0 0 0

Bran 0 15 0 5 125 5 0 0 0



Flakes 13 15 0 1375 125 135 14 125 145

Starch 5 4 5 5 4 5 5 5 5

4 Sorghum

Whole Broken 0 0 0 0 0 0 0 0 0

PULSES


Whole Pulses 0 0 0 4 1 --- 0 0 5

Split (Dal) Broken 13 0 0 1375 1 135 0 0 5


Flour Besan 0 0 0 1375 125 --- 5 0 145

Roasted Fried 0 15 5 5 0 0 5 5 5


PwC 52


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


13 4 5 1375 125 135 14 125 145




13 0 5 1375 125 135 14 125 145

Papad 0 0 0 0 125 0 0 0 0


--- --- --- --- --- 0 --- --- ---


--- --- --- --- --- 1 --- --- ---

OILSEEDS



Edible Oil 5 4 5 4 4 5 5 5 5


Oil Cake 5 4 5 4 4 5 5 5 5

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 5


PwC 53


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


--- --- --- --- --- --- --- 0 ---

7 Soyabean

De-oiled Cake (DOC) 0 4 1 0 0 0 5 0 145

Soya Nuggests 13 15 14 1375 125 5 14 125 145



13 15 14 1375 125 135 14 125 145



FRUITS







PwC 54


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



5 4 5 5 4 5 5 5 5



5 4 5 5 4 5 5 5 5


VEGETABLES






--- --- --- --- --- --- --- 5 ---





PwC 55


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks




5 15 14 1375 125 135 14 125 145

SPICES

12 Chilli (Dry)


Powdered 5 4 5 5 125 5 5 0 5

13 Garlic


Dehydrated 5 15 5 5 125 5 5 125 5



Powdered 5 4 5 5 125 5 5 125 5

14 Coriander


Separated 5 4 5 5 125 5 5 0 5

Powdered 5 4 5 5 125 5 5 0 5

LIVESTOCK PRODUCE

15 Milk



PwC 56


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Buttermilk 0 0 0 0 0 0 0 0 0


Lassi 0 0 0 0 0 0 0 0 0

Curd (Unbranded) 0 0 0 0 0 0 0 0 0

Curd (Branded) 0 0 0 0 0 0 0 5 0

UHT Milk 5 15 0 5 4 5 5 5 5


13 15 14 1375 125 135 14 5 145



5 15 14 1375 125 135 14 5 145

Flavoured Milk 5 15 14 1375 4 135 5 125 145

Milk Powder 5 4 5 5 4 5 5 5 5

Khoa (Mawa) 5 15 5 5 4 0 14 125 145

Cheese 5 15 5 1375 4 135 14 125 145

Paneer 13 15 5 5 4 135 5 125 5


Cream 13 15 5 1375 4 135 5 125 145

Butter 13 15 5 1375 4 135 14 125 145


Ghee (Packaged) 13 4 5 5 4 5 14 125 145


13 4 5 5 4 0 5 5 145


PwC 57


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ice-cream Kulfi 13 15 14 1375 125 135 14 125 145

16 Eggs 0 0 0 0 0 0 0 0 0


Unprocessed 0 0 0 0 0 0 0 0 0

Processed 5 4 5 5 4 135 5 5 145

Frozen 13 15 14 1375 4 135 14 5 5



--- --- --- --- --- --- --- 5 5



PwC 58



Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


On every category

Not applicable




On specific

categories

On every category

No tax Instead

LBT

No tax as per High

Court order


1 --- --- --- --- --- 1 4 ---

CEREALS

1 Rice Paddy




Paddy - Whole 1 --- --- --- --- 4 30 0 ---

Husk 1 --- --- --- --- --- 0 0 ---

Bran 1 --- --- --- --- --- 2 2 ---

Flour 1 --- --- --- --- --- 1 0 ---


1 --- --- --- --- --- 0 0 ---

2 Wheat



Bran 1 --- --- --- --- --- 0 0 ---


1 --- 2 --- --- --- 5 0 ---


Bread (Branded) 0 --- --- --- --- --- 0 0 ---

Bread (Unbranded) 0 --- --- --- --- --- 0 0 ---

Bread (Pizza) 0 --- --- --- --- --- 0 35 ---


PwC 59


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks



Toast (Unbranded) 1 --- --- --- --- --- 1 4 ---

Rusk 1 --- --- --- --- --- 1 4 ---



1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

3 Maize





Flakes 1 --- --- --- --- --- 1 4 ---

Starch 1 --- --- --- --- --- 1 2 ---

4 Sorghum


PULSES



PwC 60


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


Whole Pulses 1 --- --- --- --- --- 0 0 ---

Split (Dal) Broken 1 --- --- --- --- --- 0 0 ---




Roasted Fried 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 4 ---


1 --- --- --- --- --- 1 4 ---

Papad 1 --- --- --- --- --- 0 1 ---

OILSEEDS



Edible Oil 05 --- --- --- --- --- 05 15 ---


05 --- --- --- --- 5 05 2 ---

Oil Cake 1 --- --- --- --- --- 1 15 ---


PwC 61


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

De-oiled Cake (DOC) 1 --- --- --- --- --- 1 0 ---

7 Soyabean




1 --- --- --- --- --- 1 4 ---

8 Mustard Oilcake 1 --- --- --- --- --- 1 15 ---

FRUITS








1 --- --- --- --- --- 1 35 ---


2 --- 4 --- --- --- 1 4 ---

VEGETABLES



PwC 62


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks






1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 2 ---

SPICES

11 Chilli (Dry)



12 Garlic


0 --- --- --- --- --- 0 0 ---

Dehydrated 1 --- --- --- --- --- 1 4 ---



Powdered 1 --- --- --- --- --- 1 4 ---

13 Coriander



PwC 63


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks


LIVESTOCK PRODUCE

14 Milk







Curd (Branded) 0 --- --- --- --- --- 0 4 ---

UHT Milk 1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---


1 --- --- --- --- --- 1 2 ---

Flavoured Milk 0 --- --- --- --- --- 0 4 ---

Milk Powder 1 --- --- --- --- --- 1 2 ---

Khoa (Mawa) 1 --- --- --- --- --- 1 4 ---

Cheese 1 --- --- --- --- --- 1 4 ---

Paneer 1 --- --- --- --- --- 1 4 ---

Cream 1 --- --- --- --- --- 1 4 ---

Butter 1 --- --- --- --- --- 1 4 ---



PwC 64


Sr No


Madhya Pradesh


Uttar Pradesh

Bihar Chhatti sgarh

Mahara shtra

Andhra Pradesh

Remarks

Ghee (Packaged) 05 --- --- --- --- --- 05 4 ---


1 --- --- --- --- --- 1 2 ---

Ice-cream Kulfi 2 --- --- --- --- --- 2 2 ---

15 Eggs 0 --- --- --- --- --- 0 0 ---


Unprocessed 0 --- --- --- --- --- 0 0 ---

Processed 1 --- --- --- --- --- 1 35 ---

Frozen 1 --- --- --- --- --- 1 35 ---


1 --- --- --- --- --- 1 35 ---



PwC 65




























Promoting current



products

Better price than




External investment

Higher demand for

primary processing





PwC 66



























becomes a hindrance


PwC 67


413 Service Issues
































PwC 68






labour

41341 Attrition


for both of them




















PwC 69



Sr No




Marketing Reforms






















PwC 70


Sr No













Extension Services

Skill Development






PwC 71











Within 1 year

(by 2014-15)










(by 2014-15)







Within 1 year

(by 2014-15)


PwC 72




Madhya Pradesh










Within 1 year

(by 2014-15)







Within 1 year

(by 2014-15)





Processing

(by 2014-15)


PwC 73












Within 1 year

(by 2014-15)



Formation of FPOs






Within 3 years

(by 2016-17)







Local NGOs

Within 3 years

(by 2016-17)


PwC 74




farmers







Within 3 years

(by 2016-17)











Within 3 years

(by 2016-17)







Within 5 years

(by 2018-19)


PwC 75




Processing







Within 5 years

(by 2018-19)









Within 5 years

(by 2018-19)





Within 5 years

(by 2018-19)


PwC 76








(by 2020-21)









Within 5 years

(by 2018-19)






Within 5 years

(by 2018-19)







Within 4 years

(by 2017-18)


PwC 77









Within 5 years

(by 2018-19)


PwC 78

-

Proposed Projects

5 Proposed Projects








described below













and Barriers






Government


Issues Concerns

Mapping of issues


chains


Project Profiles


PwC 79

Proposed Projects






Sr No




Project Category













PPP mode




PPP mode



production


mode



production


operatives

Farmer Empowerment



PwC 80

Proposed Projects

















Taxation Issues


Mandi Fees Issues


stakeholders


PwC 81

Proposed Projects


Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

1

Cereals

Wheat

2 RicePaddy

3 Maize

4 Sorghum

5

Pulses

Gram

6 Pigeon Pea

7 Lentil

8

Oilseeds

Soyabean

9 Mustard

10 Groundnut

11

Fruits

Orange

12 Papaya

13 Banana

14 Guava

15 Mango


PwC 82

Proposed Projects

Sr No

Category Commodity

Produce

Ma

rket

ing

Infr

ast

ruct

ure

amp

Ref

orm

s

La

ck o

f C

old

Ch

ain

Rip

enin

g C

ha

mb

ers

Infr

ast

ruct

ure

Is

sues

in

Fo

od

Pa

rks

La

ck o

f T

esti

ng

L

ab

ora

tori

es amp

Ramp

D

Cen

tres

La

ck o

f T

ech

nic

al

Ed

uca

tio

na

lIn

stit

ute

s

La

ck o

f M

ark

etin

g

P

rom

oti

on

of

Ag

ril

Pro

du

ce

Dif

ficu

lty

in

Acc

ess

to C

red

it

La

ck o

f ti

me

bo

un

dse

rvic

e

Sta

tus

Issu

es

of

Co

ld S

tore

s F

PO

s

Ta

xa

tio

n I

ssu

es

Ina

deq

ua

te m

ark

etli

nk

ag

es o

f fa

rmer

s

Ma

nd

i F

ees

Issu

es

16

Vegetables

Green Peas

17 Onion

18 Tomato

19 Potato

20

Spices

Garlic

21 Chilli

22 Coriander

23

Livestock Produce

Milk

24 Eggs (Nos)

25 Poultry Meat

26 Other Meat

27 Fish

Total 22 11 20 15 21 9 27 27 10 25 22 10



PwC 83

Proposed Projects













Priority Quadrant

High

State

Government

Control

Low




Food Parks

Market Linkages


Food Testing Labs

RampD Centres

Access to Credit



Time Bound Service

Mandi Fees


Taxation


PwC 84

Proposed Projects





4) Market Linkages

5) Taxation






Sr No




Project Category








Hard Intervention









PwC 85

Proposed Projects







These areas are

Food Processing

Sector


ment


ure Developm

ent

Farmer Linkages

amp Empower

ment


ent











PwC 86

-




611 Context







612 Project

6121 Objectives







6122 Drivers








approach


Major Pulses

Rank Production

2011 12 (lsquo000 MT)





PwC 87

-

-

-

--


Major Pulses

Rank Production

2011 12 (lsquo000 MT)




Pigeon Pea (Tur)


Lentil (Masoor)


Green Gram (Moong)


Black Gram (Urad)

--- 1488 84






Gram

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)





dal making

Major Pulses

Estimated Current


(MT)


(based on demand)

2011 12 (MT)


Capacity (MT and )



2023 24

(MT)


Capacity Addition

Required by 2023 24

(MT)

Gram

453299 736543 283244 930673 477374

Pigeon Pea (Tur)

Lentil (Masoor)

Green Gram (Moong)

Black Gram (Urad)



PwC 88

- -







Major Pulses


(MT)


(MT)


Gram 248607 451144 11036

Pigeon Pea (Tur) 340166 317316 -672

Lentil (Masoor) 71151 41170 -4214


Black Gram (Urad) 43944 21804 -5038

Total 736543 930673 2636


6123 Concept



















suppliers etc


PwC 89


61232 Location













PwC 90


















613 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power



machinery --- 11000



Total 82000


PwC 91




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



616 Risk

6161 Financial Risk




PwC 92













PwC 93




PwC 94

-



621 Context








622 Project

6221 Objectives







6222 Drivers












2011 12 (lsquo000 MT)





PwC 95

- -






Wheat













wheat in the state

Major Cereal


(MT)


(MT)


Wheat 7183377 10016554 3944


6223 Concept










PwC 96












suppliers etc

62232 Location



PwC 97










Location Sehore





Milling











623 Cost Estimates






PwC 98


Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 84500



Particulars Benefit













PwC 99


Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)



626 Risk

6261 Financial Risk














PwC 100

-



631 Context










632 Project

6321 Objectives







6322 Drivers











2011 12 (lsquo000 MT)





PwC 101

- - -






Paddy





Crop


2011 12

(MT)


2023 24

(MT)


Required by 2023 24

(MT)

Paddy 410340 777972 367632


6323 Concept

















PwC 102





suppliers etc

63232 Location









PwC 103



Location Satna















633 Cost Estimates





Sr No


(in Rs Lakhs)






6 Power


7 Water supply




Total 90000


PwC 104




Particulars Benefit












Sr No




(eg MPAKVN MPSIDC)


(eg MPWLC)




PwC 105


636 Risk

6361 Financial Risk














PwC 106



641 Context










on PPP model

642 Project

6421 Objectives




catchment area




6422 Drivers












PwC 107

-


Fruit amp Vegetable

Rank Production

2011 12 (lsquo000 MT)














shown below


Mosambi

Orange

Mango

Banana

Lime Lemon

Guava

Papaya

Amla

Tomato

Cabbage

Cauliflower

Potato

Onion

Bottle Gourd

Okra

Watermelon

Brinjal

Pea



PwC 108







harvesting seasons



6423 Concept

64231 PPP Model


















64232 Location



PwC 109













PwC 110







Location Ratlam




























PwC 111








643 Cost Estimates







Sr No


(in Rs Lakhs)


1 Land ~ 9000 m2 ---



4

Plant amp Machinery



---3000

8000


(HVAC) --- 5000





7 Land ~ 18000 m2 ---


9 Building (Rs15000m2) ~ 2000 m2 30000

10 Office (Rs15000m2) ~ 300 m2 4500



PwC 112



12500


14

Plant amp Machinery


--- 135000

15



--- 45000






--- 2500









Sr No

Particulars Amount

(in Rs Lakhs)









8 Maintenance 100




PwC 113








15 Maintenance 2500





Sr No



Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)



20000 310000

Total 35000 490000












PwC 114


Sr No








Terms of lease BOO



646 Risk

6461 Financial Risk













PwC 115








PwC 116



651 Context











652 Project

6521 Objectives



area




6522 Drivers











product



PwC 117

-



2011 12 (lsquo000 MT)











below


Garlic

Onion

Tomato

Cabbage


6523 Concept

65231 PPP Model













PwC 118








65232 Location








PwC 119








Location Neemuch





Dehydration Plant

















653 Cost Estimates







PwC 120



Sr No


(in Rs Lakhs)

1 Land ~ 24000 m2 ---


3 Building (Rs15000m2) ~ 2000 m2 30000

4 Office (Rs15000m2) ~ 300 m2 4500



4000


8

Plant amp Machinery


--- 120000

9



--- 22500

Total 195700






Sr No

Particulars Amount

(in Rs Lakhs)







7 Maintenance 200

Total 120700


PwC 121






Capacity

(in MT)

Approx Annual

Turnover

(in Rs Lakhs)












Sr No








Terms of lease BOO




PwC 122


656 Risk

6561 Financial Risk


















PwC 123




PwC 124



661 Context











662 Project

6621 Objectives









6622 Drivers





meat) in the state



PwC 125

- --

-


Parameter

Meat
















Particular


(MT)


(MT)


(MT)

Meat



6623 Concept

66231 PPP Model












PwC 126






66232 Location


Indore

Bhopal






















PwC 127


663 Cost Estimates





Sr No


(in Rs Lakhs)



3 Building (Rs10000m2) ~ 1100 m2 11000

4

Utility Buildings


2500



6



--- 15000

Total 43000





(in Nos)

Approx Annual

Turnover

(in Rs Lakhs)





Sr No






PwC 128




Terms of lease BOO



666 Risk

6661 Financial Risk










PwC 129




PwC 130



671 Context
















in the mandis




672 Project

6721 Drivers






regulations

6722 Objectives





PwC 131









6723 Concept






Regulated markets


246 275 521

Principal markets


A 51 21

B 40 16

C 58 24

D 97 39

Total 246





below

672311 Phase 1






PwC 132











below


shed etc



shopsoffices etc






feasibility







672312 Phase 2


consultation)










PwC 133






(mentioned below)








Mission (NHM)








expert opinions









674 Cost Estimates






PwC 134













6761 Brief Snapshot

Title Description


Background







PwC 135

-



Means of finance






67621 Context








below




39634 7788 4 24 73942 350 46277





Details of Mandi


Area yard 2822 ha

Market fee 2


PwC 136

-


Facilities


Weighment Yes


Covered shed Yes

Warehouse No

Cold storage No

Ripening chamber No


Quality testing No


Market fee 9962

Other income 052

Total income 1048








67623 Project












PwC 137














67624 Cost Estimate






Subtotal 80800000









Sub-total 16027500








PwC 138

























59777 68744 73556 78705 84215


1195 1374 1471 1574 1684










PwC 139


67627 Risk




PwC 140



681 Context











682 Project

6821 Objectives












6822 Drivers






in the state



PwC 141

- -

-

-- -

-

-


Parameter Poultry















Particular


(MT)

Current Production

2010 11 (MT)

Estimated Demand

Supply Gap 2010 11

(MT)

Estimated Demand by

2023 24

(MT)


(MT)

Estimated Demand

Supply Gap 2023 24

(MT)

Poultry Meat 49966 12000 37966 249427 53481 195946


6823 Concept









PwC 142












1) Shivpuri

2) Bhind

3) Morena

4) Datia

5) Tikamgarh

6) Chhatarpur

7) Panna

8) Damoh

9) Sagar

10) Jhabua

11) Alirajpur

12) Barwani

13) Harda

14) Betul

15) Chhindwara


PwC 143
























683 Cost Estimates










Sr No

Requirement Unit

Amount

(Rs in

lakhs)

1st year

Amount

(Rs in

lakhs)

2nd year

Amount

(Rs in lakhs)

3rd year



operative --- 050 --- ---

2

Operating Expenses

Office

Manpower

Consumables

--- 2500 2500 2500

3



Working Capital


Rs 55000farm

Rs 25bird

Rs500farmeryr

8250

1875

075

8250

1875

075

11000

2500

100

Sub-Total 12750 12700 16100











Sr No








operative






686 Risk







691 Context





problem






692 Project

6921 Objectives














in the market

6922 Drivers



























6923 Concept





693 Cost Estimates




Sr No






- - -






Form-1 30000

Form-18 30000

Form-32 30000





Total 3755000



Sl


No

of

Units

Unit

Rate

(in Rs)

Total

Month

Total

Cost

(Rs)

Increment 10Year


1 Salary

ManagerCEO 1 20000 12 240000 240000 264000 290400


Accountant 1 6000 12 72000 72000 79200 87120


2 Travel

Salaries 3 1500 12 18000 18000 19800 21780

3 Office expenses

Office Rent 1 3000 12 36000 36000 39600 43560

Electricity 1 1000 12 12000 12000 13200 14520

Water 1 200 12 2400 2400 2640 2904

Telecommunication

(PhoneFax) 1 2000 12 24000 24000 26400 29040

Stationary - 1000 12 12000 12000 13200 14520

Cleaning 1 500 12 6000 6000 6600 7260


BoDGB 6 1000 6 6000 6000 6600 7260




expenses 1 500 12 6000 6000 6600 7260

Total 804400 804400 884840 973324

Grand Total 2662564

















Sr No










696 Risk







6101 Context






6102 Project










the local problems







issues


processed foods

61022 Drivers












61023 Concept


















Duration 4 years





2) Food Engineering







6103 Cost Estimates







Sr No


(in Rs Lakhs)





5

Pilot Plant


1 each 12500




Total 475620






Sr No


(in Rs Lakhs)





Total 26956













charges





Sr No

Tasks To be

Completed by








October 2016






6106 Risk












Date post:	04-Jan-2022
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Preparation of Vision Document for Food Processing Sector ...

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