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7/23/2019 The Agricultural Sector of Bangladesh
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“The Agricultural Sector of Bangladesh”
Course: Fin470 Section: 01
Prepared for:
M. Ahsanur Rahim (ARM)
Prepared By
Name Id
Refa E Alam 1110884 030Rahat Md shihab 112 092 030Rahat Mustasin Ishaque 1110!0 030Md. abir !ossain 112 0072030Ramisa Mali"at 1110781 030Shira# Sabina 112 0790 030M$. Tuna%%in&'l&Arefin
111 071! 030
$ate of submission( )*+,)+-,*
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Table of Content:
No $escri/tion
*. "etter o# $ransmitta%
-. Ac&no'%eement
). *+ecuti,e Summar-
. ntrouction
Sector escri/tions (n etai%):
0. Cro/s
1.Fisheries
2. "i,estoc&
3. air- #arm
4. ou%tr-
10. Foo e,erae
11. Conc%usion
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5etter of Transmittal
$o
M. Ahsanur Rahim
Senior "ecturer Schoo% o# usiness
5orth South 6ni,ersit-
ate: !th Ma- 2014
Sub#ect( Submission of 6in2, 6inal 7ro#ect.
ear Sir
As /art o# our Financia% Ris& Manaement course 'e ha,e com/%ete this /roect
/ro/osa% uner -our instructions. $he to/ics -ou ha,e assine to us are re%e,ant to
Financia% Ris& Manaement course (Fo%%o' Fin470 oo& res/ecti,e%-).
For our /roect /ro/osa% 'e ha,e chosen an Aricu%tura% Sector in an%aesh. e
ha,e athere the necessar- in#ormation an trie our est to ans'er the uestions
as reuire - this /ro/osa% in the conte+t o# this sector.
e hum%- reuest -our acce/tance to our sumission o# this re/ort.
Sincerel" "ours8
• M. $una;;in<6%<Are#in = 111 071! 030
• Ramisa Ma%i-at = 111 0781 030
• M. >air?ossain = 112 0072 030
• Rahat M. Siha = 112 092 030
• Rahat Mustatasin shaue = 111 0!0 030
• Re#a * A%am = 111 0884 030
• Shira Saina = 112 0790 030
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ACKNOWLEDGEMENTS
$he three o# us 'ou% %i&e to e+/ress our ratitue to our course instructor M.
Ahsanur Rahim #or i,in us the o//ortunit- an uie%ine to conuct this
research as 'e%% as #or teachin us the e#initions theories an techniues that 'e
ha,e use in 'ritin this /a/er. First 'ou% %i&e to than& A%miht- A%%ah to %ess
us 'ith hea%th an &no'%ee to com/%ete the research o,er,ie'.
$he research o,er,ie' 'ou% ha,e een a%most im/ossi%e to com/%ete 'ithout the
he%/ o# m- teacher 'ho he%/e us to o a%% the necessar- thins to com/%ete the
research o,er,ie' in time. ?e a%so a,e us a #a,ora%e ea%ine to com/%ete the
research. $here#ore 'e are tru%- rate#u% to him #or he%/in us to o the research
o,er,ie'.
oin the research o,er,ie' 'as inee a ,er- oo e+/erience 'e ha,e come to
&no' a reat ea% o# thins an 'e ho/e to %earn e,en more in the research /art.
e ha,e %oo& #or'ar to recei,e the same treatment #rom our teacher an 'ou% e
rate#u% to %earn ne' thins #rom him.
t 'as a reat satis#action 'or&in toether in a rou/ uner a teacher 'ho 'as
he%/in enouh to %et us o the /roect 'ithout an- trou%e.
Fina%%- 'ou% %i&e to than& a%% m- c%assmates #or i,in me e+traorinar- he%/
in e,er- ste/. a%so than& a%% m- #riens at m- uni,ersit- #or i,in me su//ort.
'ou% a%so %i&e to than& a%% seniors an uniors 'ho assiste me time to time
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Exect!"e S##ary
$his is a s-no/sis o# the /roect /ro/osa% carrie out in the /erio o# our
&no'%ee an an o,er,ie' o# our /roect /ro/osa% throuh the Aricu%ture Sector.
As an%aesh is an aricu%tura% countr- aout 70@ o# /eo/%e are irect%- an
inirect%- re%ate in this sector. n this reason that 'e are chosen this sector. ur
maor sector is Aricu%ture an this sector 'as contriute some su sector<
$his sector is a re/ute an ua%it- #ocuse the /art o#< cro/s %i,estoc& /ou%tr-
#isheries #oo e,erae an #armin. ,er the -ears this sector has e,e%o/e
an nurture a c%ose re%ationshi/ 'ith the #armers /ro,iin them inno,ati,e ancost e##ecti,e /roucts an ser,ices. Aricu%ture is a sin%e %arest /roucin sector
o# econom- since it com/rises aout 30@ o# the countr-Bs an em/%o-in
aroun 0@ o# the tota% %aor #orce. in aricu%ture an its /rice is ec%inin
ecause o# there is too man- /eo/%e has irect%- an inirect%- re%ate in this
sector. an%aesh has a /rimari%- ararian econom-. $he /er#ormance o# this
sector has an o,er'he%min im/act on maor macroeconomic oecti,es %i&e
em/%o-ment eneration /o,ert- a%%e,iation human resources e,e%o/ment an
#oo securit-.
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Introduction(
an%aesh is /rimari%- an ararian econom-. Aricu%ture is the sin%e %arest /roucin sector
o# econom- since it com/rises aout 30@ o# the countr-Bs an em/%o-in aroun 0@ o#
the tota% %aor #orce. Aricu%ture /%a-s a /i,ota% ro%e in an%aeshDs econom- an in the %i,es o# the ,ast maorit- o# its /o/u%ation. $he situation is #urther ara,ate ue to %oa% 'armin
scenarios. $he share o# ini,iua% su sectors are aout 13@ #or cro/s 3@ #or %i,estoc&
!@ #or #isheries an 2@ #or #orestr- $houh 'e ma&e this o,er,ie' 'ithout the #orestr- sector.$he ra/i ro'th in /o/u%ation 'ith the ec%ine in cu%ti,a%e %an threatene to e a i /ro%em
#or an%aesh. At /resent an%aesh has a /o/u%ation o# aout 132 mi%%ion. $he tota%
eora/hica% area o# an%aesh is aout !000 suare mi%es (143998 suare >i%ometer) out o#
'hich aout 9 mi%%ion hectares are cu%ti,a%e %an. ?o'e,er e,er- -ear the cro/%an is shrin&in#or human sett%ement. t is estimatin that the ro'in /o/u%ation /ressure 'i%% use u/ !0 /ercent
o# the countr-Ds cu%ti,a%e %an - 202!. *,er- /erson 'or&in in the aricu%ture sector no'
o'ns on%- an a,erae o# 0.12 hectares o# cro/%an. Accorin to the c%assi#ication o# %an out o# the tota% area 3@ has use #or cu%ti,ation 'hi%e 4.38 /er cent #or rura% an uran housin an
the rest inc%ues #orest cu%ti,a%e 'aste%an. n an%aesh most o# the /eo/%e %i,in eneath
the /o,ert- %ine are #armers. $hese are the /eo/%e to ro' the #oo that #ees us ut the-themse%,es o hunr-. $his is most%- ecause natura% resource tens to an e+cessi,e amount o#
%aor in its e+traction. $his causes a misa%%ocation o# %aor so that there is a /roucti,it- %oss.
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$he share o# in aricu%ture an its /rice is ec%inin ecause there is too man- /eo/%e an
in this sector. *,en thouh income is increasin #or /eo/%e 'or&in in ser,ice an inustries
sector the amount o# #oo the- consume is not increasin as much. ut their eman #or other oos is increasin hence creatin more o o//ortunities in the non<#arm sector.
Im/ortance of agriculture(
Aricu%tureDs share in ross omestic /rouct () has #a%%en o,er time urin the %ast ecae
#rom one<uarter to one<#i#th. 5e,erthe%ess aricu%ture remains e+treme%- im/ortant as it
/ro,ies the u%& o# em/%o-ment (ust !0 /ercent) as 'e%% as nationa% #oo securit-.
$!%& !n t'e a(r!cltral %ector:
7roduction or "ield ris9( %oss o# /rouction or %o'er -ie% o# cro/ ue to isaster or other causes. rice or mar&et ris&: re#errin to uncertainties aout /rices /roucers 'i%% recei,e #or
commoities or /rices the- must /a- #or in/uts<
Asset ris9 : re#errin to the /otentia% %oss or amae to /h-sica% ui%ins eui/ment ,ehic%es
an im/%ements ue to #ire the#t 'ater amae or accientsE.
Institutional ris9( re#errin to une+/ecte chanes in o,ernment reu%ations o,ernin ta+esEen,ironmenta% /rotection em/%o-ment ru%es 'or&/%ace conitions /rice or income su//orts
re/atriation o# /ro#its su//ort /a-ments other susiies /ro/ert- con#iscation an the %i&eE
:/erational ris9( re#errin to uncertainties in scheu%in or usin eui/ment at critica% timesma&in or recei,in shi/ments o# critica% in/utsout/uts an han%in o# %aor is/utesE
6inancial ris9 : re#errin to risin costs o# ca/ita% e+chane rate mo,ements insu##icient
%iuiit- to meet %iai%ities %oss o# euit- an the /ros/ect o# %oans ein ca%%e - %enersE
7ersonal ris9( re#ers to uncertainties an ris&s connecte to hea%th an /ersona% re%ations such asaccients i%%ness eath an i,orce.
;ute
$o ienti#- ris&s an manae those in ute sector ris& manaement some s-stems are use.
an%aesh Gute Commoit- *+chane ris& manaement s-stems are esine to su//ort as/ot mar&et in#rastructure an manaement. an%aesh Gute Commoit- *+chane ris&
manaement strate- oes not on%- #ocus on ris& a,oiance ut a%so the ienti#ication an
manaement o# an acce/ta%e %e,e% o# ris&. t acce/ts ris& in a%most e,er- acti,it- it unerta&esin /ursuit o# its usiness oecti,es #rom memershi/ acuisition to #ina% e%i,er- o#
commoities an so senior manaement /erioica%%- e#ines its ris& a//etite aainst &e- ri,ers
o# success. $he ris&s #ace - the sector an the 'a- the- are manae are iscusse e%o'.
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Mar9et Ris9
an%aesh Gute Commoit- *+chane ensures that c%earin memers ha,e ai%- a%%o'a%etrae %imits an the- can on%- trae 'ithin these %imits. an%aesh Gute Commoit-
*+chane has so#t'are in /%ace to ensure that a%% c%earin memersD transactions are assesse
aainst their re%e,ant %imit an re/ortin /rocesses #or %imit reaches. an%aesh Gute Commoit- *+chane o/erates at a ai%- /rice %imit to %imit %osses to in,estors #rom sini#icant
mar&et mo,ements.
<redit Ris9
Creit ris& arises 'hen a c%earin memer #ai%s to meet their /a-ment o%iation. an%aeshGute Commoit- *+chane has /o%icies reuirin memers to e a//ro,e e#ore the- traeE
ensurin that the- ha,e /re</ai into their train accounts. Creit ris& ue to short#a%% in
memers account is mitiate - nettin areements an cash e/osits in the #orm o# sett%ement
uarantee #un.
5iquidit" Ris9
an%aesh Gute Commoit- *+chane has strate- to measure an monitor the %iuiit- o#
sett%ement uarantee #un an to ensure that there are su##icient #uns to meet c%earin memerstransaction e+/osures. $his is one - /re/arin scenario ana%-sis o,er an a//ro/riate time#rame
o# %i&e%- in#%o's an out#%o's o# #uns.
Re/utation and image ris9
an%aesh Gute Commoit- *+chane has a /o%ic- o# o/enness trans/arenc- an #airness to
a%% sta&eho%ers to ensure that its re/utation or stanin in the communit- is not iminishe.an%aesh Gute Commoit- *+chane has stron communication an meia team seein to
that. $he se%ection o# an a//ro/riate ris& manaement strate- to aress each o# its omains is
ase on soun unerstanin o# the uner%-in ris& a#ter a com/rehensi,e assessment o# theris& an a oo sense o# an%aesh Gute Commoit- *+chane Ds a//etite #or ris&.
an%aesh Gute Commoit- *+chane Ds ris& a//etite is /erioica%%- re,ie'e e#ine an
rati#ie - senior manaement.
T=o ma#or ris9 factors of li>estoc9 and cro/s(
1) C%imate chane im/act an 2) Socio<economic im/act
IM7A<T :6 <5IMATE <!AN?E(
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H ?ih morta%it- ue to irect /h-sica% in#%uence o# heat an co%. ecause the e+treme
c%imatic conition isru/t the interna% homeostasis o# the anima%s 'hich a##ects the norma%
/h-sio%o- o# anima%s an irs.
H ?ih outrea& o# emerin an remerin iseases.
H irect %oss o# anima%s ue to natura% ha;ars %i&e #%oo c-c%one storm sures earthua&e$sunami $ornao Ai%a Sir etc.
H Sa%ine intrusion amain the /asture %an.
H Scarcit- o# /ure rin&in 'ater #o%%o'in F%oo C-c%one Sa%ine intrusion SirAi%a
H "oss o# /rouction ue to hih tem/erature%o' tem/erature.
H ?ue morta%it- o# /ou%tr- ue aru/t #%uctuation o# tem/erature.
H utrea& o# emerin iseases.
Socio&economic Im/act(
H 6nem/%o-ment ue to amae o# /ou%tr- an air- #arms s/ecia%%- the sma%% meium an
marina% #armers. n rura% an in /eri<uran areas hunres o# thousans o# -outh are in,o%,e
in /ou%tr- an air- #armin an it is their on%- source o# em/%o-ment an means o#%i,e%ihoo.
H Ma%nutrition in a maor section o# the societ-.
H 6nem/%o-ment.
H ncrease ,u%nerai%it- amon 'omen marina% #armers ue to %oss o# anima%s.
H ro%em is increasin in %i,e%ihoo o# rura% an /er uran %i,estoc& &ee/ers.
H ncreasin the /rice o# the /rouct.
H ecrease e+/ort.
H ncrease socia% unrest ue to unem/%o-ment.
$!%& #ana(e#ent pol!cy
National li>estoc9 /olic"(
$he o,ernment uetar- /ro,ision #or the %i,estoc& su<sector 'i%% e increase to ensure
sini#icant e,e%o/ment in this su<sector an increase /ro,ision o# traine man/o'er 'i%% e
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%in&e to e+/an nation'ie out#it o# "S. $he o,ernment has a//ro,e the 5ationa%
"i,estoc& o%ic- 'hich ienti#ies ten critica% /o%ic- areas. $hese areas areE
(i) e,e%o/ment o# air- an meat /rouctionE
(ii) e,e%o/ment o# /ou%tr-E
(iii) m/ro,ement o# ,eterinar- ser,ices an anima% hea%thE
(i,) Mar&etin o# %i,estoc& /rouctsE
(,) e,e%o/ment o# internationa% trae in these sectorsE
Ris9 Reduction(
$he Secretar- o# Ministr- 'i%% ensure #o%%o'in res/onsii%ities in aition to his norma% uties.
(a) esinate the Foca% oint #or isaster in the Ministr-.
() Conuct sectoria% ris& assessment 'ith an es/ecia% em/hasis on ir #%u an other re%ate
;oonotic iseases an /re/are a sectoria% ris& reuction action /%an.(c) *nsure uetar- /ro,ision o# the ministr- to ensure im/%ementation o# the /%an.
() Mainstream isaster manaement /rinci/%es an /ractices 'ithin the nationa% e,e%o/ment
/%an o# the Ministr- o# Fisheries an "i,estoc&.
(e) e,e%o/ /roram #or research 'ith rears to ha;ar ana%-sis an its a##ect in #isheries an%i,estoc&.
(#) *nsure uetar- /ro,ision o# the ministr- #or its isaster manaement a##airs.
() m/%ement the /o%ic- o# unerta&in ris& assessment an ris& reuction acti,ities 'hich
a##ect the ser,ices o# the Ministr-.(h) *nsure /re,ention an contro% o# emerin Ioonotic iseases 'ith /otentia% ris& o# human
hea%th 'ith s/eci#ic #ocus to A,ian n#%uen;a(i) m/%ement the /o%ic- o# unerta&in trainin a'areness an eucation /rorams 'ith
%i,estoc& an #isheries inustries concernin ris& assessment an ris& reuction acti,ities.
() Manae emerenc- /re/areness inc%uin the ienti#ication o# hih %ans #or %i,estoc&
she%ter an the stoc&/i%in o# anima% an /ou%tr- emerenc- stoc&s o# ,accines an meicines.
Ris9s Associate =ith 6isheries Sector(1. "oca% Con#%ict: Fisheries an %i,estoc& (!@)
2. $he area uner ca/ture #isheries has een ec%inin
3. ecrease o# ca/ture sector 4. A//ro/riation /ro%ems: the /rouction re%ationshi/ et'een -ie% an the %e,e% o# in/uts
is assume to e i,en an the /ro%em is ho' to a%%ocate the -ie%.
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!. ro,ision /ro%ems: ro,ision /ro%ems Jconcern the e##ects o# ,arious 'a-s o#
assinin res/onsii%it- #or ui%in restorin or maintainin the resource s-stem o,er
timeJ. $echnica% socia% economic an en,ironmenta% issues.
7. $he eman #or #ish is hih in mar&ets ut su//%- is %imite.
8. n the #ish mar&etin channe% #armersD /ro#it marins et reuce 'ith the increase innumer o# intermeiaries.
9. resence o# intermeiaries in i##erent staes in the mar&etin channe% ue to %ac& o#
o,ernment contro% o,er the trae.10. Some arriers are sho'n here.
E@ternal barriers Internal barriers
o,ernance reu%ation manaement
Contraction o# #ishin rouns (FC
/roects)
o%%ution
6rani;ation
*n,ironmenta% eraation
C%imate chane
,er#ishin
estruction o# immature #ish (o,a %ar,ae
reein #ish )
6se o# i%%ea% ears
11. ?ere are some other ro%ems a%so 'hich creates hue ris&s.
<onstraint Element
$echnica% "o' in/ut #armin s-stems
naeuate technica% &no'%ee on scienti#ic #ish #armin
oor 'ater ua%it- an #ish isease
Socia% Mu%ti/%e o'nershi/ o# /ons
oisonin o# #ish #arms
oachin o# #ish
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*conomic ?ih /rouction costs
"ac& o# #inancia% su//ort
"o' mar&et /rice o# #ish
*n,ironmenta% 6n/%anne con,ersion o# rice #ie%s to /ons
m/acts on ice #ie% ecos-stem an ioi,ersit-
C%imate chane (#%oo rouht)
Ris9 Management Associate =ith 6isheries Sector(
1. here a//ro/riate communit- ase #isheries manaement shou% e /ursue.
2. $a&e a cautious a//roach to /romotin F%oo/%ain auacu%ture (FA). $he
costs o# FA ha,e to e 'eihe aainst the ene#its. t ma- not e a//ro/riatein man- h-ro%oica% conte+ts (sa- 'hen the cost o# enc%osin the 'ater o-
is hih an ris&-).
3. u%ic 'ater oies suita%e #or auacu%ture shou% e %ease on the asis o# e##icienc- an ro'th rather than euit-/o,ert- reuction. $he- shou% e
%ease to entre/reneurs 'ith /ro,en s&i%%s in auacu%ture an access to #inance.
4. Ao%ish /en Access o%icies (199!) in o/en 'ater #isheries. $hese 'ater oies shou% e rouht uner communit- manaement.
!. /en 'ater #isheries shou% e consiere as Kan& o# the /oorL or a Ksa#et-<
netL or K%aour u##erL resource s-stem. $he ca/ture #isheries shou% not e
,ie'e as an o//ortunit- to rastica%%- increase catch. For that auacu%tureshou% e /romote.
. More resources shou% e in,este in the e,e%o/ment o# ca/ture #isheries.
7. $echnica% assistance 'ith institutiona% an /o%ic- su//ort are essentia% #or sustaina%ee,e%o/ment o# auacu%ture in an%aesh.
8. $he a,ai%ai%it- o# ua%it- #ish see 'ou% ensure sustaina%e e,e%o/ment o#
auacu%ture. A%thouh a sini#icant numer o# #ish hatcheries e+ist these must ereu%ate an monitore #or ua%it- see /rouction. Access to ua%it- #ish #r- 'ou%
he%/ to e+/an auacu%ture in the ne' areas.
9. Moreo,er the e,e%o/ment o# sustaina%e auacu%ture is ensurin an aeuate su//%- o#
ua%it- #ish #ee. Farm<mae aua#ee an inustria%%- manu#acture /e%%et #ee can econsiere #or ro'<out o/eration.
10. n orer to increase income an #oo securit- o# #armin househo%s hih ,a%ue #ish such
as /ra'n an interate rice<#ish #armin cou% e incor/orate. A asic technica%&no'%ee o# interate #ish #armin shou% e /ro,ie to the #armers 'ith the he%/ o#
F an 5s. Future tarets cou% e to interate 'ith other aricu%tura% acti,ities
es/ecia%%- i&e cro//in o# #ruits an ,eeta%es.11. *+/ort mar&et /otentia% to e e+/%ore #or /anas an ti%a/ia.
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Da!ry far#!n(
an%aesh has a suita%e en,ironment #or catt%e. $here#ore the nee #or e,e%o/in the air-
inustr- es/ecia%%- in the rura% areas has een reconi;e. Some o# the ris&s are i,en e%o'an their /ossi%e manaement /rocess to ma&e the air- #arm inustr- more /ro#ita%e is i,en
e%o'.
Information 7roblems
$he a,ai%ai%it- o# re%e,ant in#ormation is essentia% #or so/histicate em/irica% an riorouseconomic ana%-sis to arri,e at the conc%usions #or /o%ic- #ormu%ation. o,ernment ecisions at
/resent are #reuent%- ominate - res/onses to the current situation 'ithout aeuate
&no'%ee o# the inustr- an mar&et. $he #uture e##ecti,eness o# o,ernment /o%icies e/enson /%ans that are ase on more aeuate ata aout the air- #arm sector.
5ac9 of $isease+7arasites <ontrol
iseases an /arasites are a maor /ro%em #or the air- inustr- in an%aesh. iseases cause
hih morta%it- an se,ere economic %oss. Mastitis is a anerous isease #or %actatin anima%san reuces mi%& /rouction. n aition the im/ro,e ,arieties o# co's nee /ro/er meica%
attention in the tro/ica% en,ironment. ?o'e,er the meica% #aci%ities are /oor at istrict an
thana %e,e% %i,estoc& o##ices. $he /rices o# essentia% anima% rus are hih. A 30@ increase incatt%e /rouction 'ou% e /ossi%e i# these iseases 'ere /ro/er%- contro%%e. $he ,accination
/roram o# the e/artment o# "i,estoc& is %imite ecause o# uetar- constraints. $he anima%
hea%th ser,ices nee to e im/ro,e at e,er- %e,e%. $here are urent emans in ,eterinar-
eucation to u/<rae an in some areas the ua%it- o# trainin /rorams. n%- in this 'a- 'i%%eucationists an research an e+tension 'or&ers reach an aeuate %e,e% o# com/etence #or their
im/ortant tas&. $houh e,er- e##ort is ein mae to im/ro,e the anima% hea%th ser,ice -
increasin the #ie% sta## an esta%ishin o# ,eterinar- centers there is a reat nee #or #urther strenthenin o# these centers an the esta%ishment o# aitiona% #aci%ities.
Shortage of ualit" Breeds$he main /ro%em o# air- e,e%o/ment %ies in its ,er- %o' /rouction an %o' /roucti,it-.
reein is the maor techno%oica% im/ro,ement /rocess in the air- inustr-. A cross<reein /roram #or catt%e 'as introuce in the countr- in 197 'ith a ,ie' to im/ro,in the mi%&
/rouction e##icienc- o# inienous co's. $he /roram ser,es 'ith a net'or& o# 847 arti#icia%insemination centers the resu%ts otaine so #ar on the orani;e #arms an research institutes isuite encourain. ?o'e,er no s-stematic stu- has een conucte in the countr- to
oecti,e%- e,a%uate the economic /er#ormance o# the cross<ree co's uner #ie% conitions.
$he ao/tion o# mi%ch crosse catt%e has rouht aout an immeiate u/'ar shi#t in the
thresho% %e,e% o# mi%& -ie% ena%in the #armers to et more mi%& at the e+istin %e,e% o# in/utuse. ?o'e,er the #armers #ai%e in conso%iatin such techno%oica% ain as the- 'ere una%e to
aust to the ne' reuirements o# the crossre techno%o-. $he arti#icia% insemination centers in
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an%aesh %ac& reuire amenities an there are none e+/erts in these centers ham/erin
smooth #unctionin o# arti#icia% insemination /rorams. n aition to the techno%o- re%ate to
reein a numer o# other areas such as #eein e##icienc- /rocessin techno%o-trans/ortation iseases an mar&etin e##icienc- a%so reuire care#u% ana%-sis. Moreo,er
a%thouh a %are numer o# ,eterinar- centers an A centers e+ist in the countr- there seems to
e no s-stem to reach the #armers to a,ise them on ,arious as/ects o# anima% /rouction anhea%th. n orer to correct the e#icienc- o# the A #aci%ities it is im/ortant not on%- to /ro,ie
aeuate trainin to the /ersonne% in chare o# the A stations an the #armers ut a%so to
im/ro,e the ua%it- o# the in#rastructura% #aci%ities 'ith the A stations.
5ac9 of Research and Training
"i,estoc& in s/ite o# its im/ortance has een a ne%ecte area o# aricu%tura% research in
an%aesh. 5o ,isi%e im/ro,ements can e mae ecause o# the asence o# a sense o# urenc-
an %o' in,estment in research. Scienti#ic research stuies re%atin to economic as/ects o#
air-in an the air- inustr- are not aeuate%- a,ai%a%e. Moreo,er ue to a %ac& o# e##ecti,eness in its research an e+tension ser,ices it has not -et een emonstrate that
%i,estoc& #armin an /articu%ar%- air- #armin can e trans#orme into an attracti,e an /ro#ita%e usiness.
5ac9 of National Mil9 ?rid and 7rocessing 7lants
A mi%& ri is a s-stem uner o,ernment #or mo,in mi%& #rom the remote rura% mi%& shes touran mi%& consumin eman centers. $his has he%/e /roucers et a oo /rice an
simu%taneous%- in e,e%o/in a reu%ar mar&et #or their mi%&. $here#ore mi%& /rouction is
eare to meet #resh ai%- reuirements o# the /o/u%ation. ?o'e,er there is no nationa% mi%& ri. $he e,e%o/ment o# a mi%& ri 'ou% he%/ to increase mi%& /rouction an current %osses
in mi%& 'ou% e reuce. Attention shou% e i,en to their esta%ishment.
Inefficient Mar9eting
Mar&etin ma&es the e+chane /rocess more meanin#u% to the /arties in,o%,e in the e+chane.
ne /art- ains in term o# nees an 'ants satis#action an the other ains /ro#it - /romotinsatis#action. $he oa% o# an- mar&etin /roram is to mo,e the /rouct #rom the /roucer to the
consumers in an economica% an orer%- manner 'hich satis#ies the customers an /ro,ies areasona%e /ro#it to the /roucer an /rocessor. $here#ore 'ith a /ro/er /ers/ecti,e mar&etin
as an a//roach can /ro,ie a meanin#u% irection to the air- e,e%o/ment e##ort. i,en that97@ o# mi%& is /rouce in rura% areas 'hi%e the /ro#ita%e mar&et #or it e+ists %are%- in the
uran areas most o# the ai%- /rouction o# mi%& o# the #arms is rouht to i##erent mar&ets o#
the uran area #or sa%e. ue to the earth o# mar&etin #aci%ities the air- #arm o'ners arecom/e%%e to se%% the u%& o# their mi%& to the tea sta%%s at a chea/er /rice. Mar&etin channe%s #or
%i,estoc& /roucts are a%so ,er- /oor /articu%ar%- #or /erisha%e /roucts o# anima% oriin. $his
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se,ere%- restricts /rouction an resu%ts in unmar&eta%e sur/%uses in some areas an shortaes
in main consum/tion areas.
!o= can be these ris9s managed(
Breeding /lan(
ros/ects #or increase eman #or mi%& in the countr- are ,er- hih as oser,e in the ear%ier
section. $his cou% e achie,e on%- i# inienous co's are re/%ace - hih -ie%in anima%s in
catt%e - cross<reein the %oca% co's 'ith e+otic rees. ith more nutritious #ee su//%- ana remunerati,e out%et #or mi%& cross<reein 'i%% ha,e a chance to succee.
eterinar" /rogram(
$he contro% an eraication o# isease on the %oca% an nationa% %e,e%s creates the o//ortunit- #or
the e,e%o/ment o# coo/eration et'een #armers. accination /rorams es/ecia%%- #or sma%%ho%ers are est carrie out at centra% /oints. $his creates man- o//ortunities #or s/reain the
messae o# anima% hea%th an nutrition. At such atherin /oints the #armersD anima%s shou% e
se/arate unti% the- ha,e een e+amine an associate isease shou% e /ointe out toini,iua% #armers an a,ice or treatment must e i,en.
Mar9eting structure(
$he u%& o# mi%& /rouction in an%aesh is in the hans o# a %are numer o# sma%% /roucers
scattere a%% o,er the countr-. For a%ance e,e%o/ment o# the air- inustr- the orani;e
mar&etin o# mi%& an mi%& /roucts is a /re<reuisite. As a resu%t much attention shou% ei,en to the ui%in u/ o# %iui mi%& /%ants mi%& schemes an mi%& /rouct #actories in maor
to'ns an cities. air- e,e%o/ment /rorams shou% e ao/te on an interate ,ie'
incor/oratin /rouction enhancement /rocurement /rocessin an mar&etin o# mi%&.
T'e $!%&% of Poltry far#!n( b%!ne%%:
*. Bird flu(
t is n#%uen;a or a ,irus 'hich is enemic to /ieons an some irs. $his is a%so harm#u% #or human o-. n%- one hen or chic&en 'hich a##ecte - ir<#%u can e cause #or eath o# a%%.
$hat can e resu%ts in mass estruction or %oss #or the #arm o'ner. $his ris& has no %imit.
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-. Accidental as/ects of natural calamities(
An- sort o# accient ma- ha//en. Farm can e a##ecte - an- sort o# natura% ca%amities #or
e+am/%e: ,erheatin hea,- rain #a%% storm etc. An #or that reason in an%aesh #arm o'ner
are countin %oss in mi%%ions in e,er- -ear urin the summer an rain- season.
). 5ife has no guarantee(
As 'e &no' most o# the /eo/%e ea% 'ith oi%er in /ou%tr- inustr-. t is a matter o# #act that
an- unconsciousness sho'in - the su/er,isor urin their %oo& a#ter can e cause o# eath. As
this usiness is ea%in 'ith %i,e%- /rouct the- shou% e a'are o# this %oss an ris&.
. Mar9et Ris9(
6oods got <hromium:
Recent%- an artic%e aout chic&en sho's that the #oo is i,en to the oi%ers is mae -
unhea%th- com/onent an some o# these ha;arers to human o- an a%so #or oi%ers as 'e%%.
$he #oo contains a com/onent ca%%e chromium 'hich is the main reason #or cancer to human o- an reuces %one,it- o# chic&enDs %i#e.
!igh /rice of food (
ou%tr- #armer u- there ,itamins an #oos #or oi%ers at hih /rice. An #or that reason it has
ecome har to maintain the oi%ers as it 'as e#ore. So that the o'ners are not ma&in a oo /ro#it an some o# these are countin %osses.
An it has resu%te in hih mar&et /rice o# oi%ers an es.
ut oi%ers ha,e ecome a terror to man- /eo/%e #or the ir #%u an a%so #or containinchromium in their o- ('hich irect%- comes throuh #orm their #oos). eo/%e are no more
intereste as the- 'ere e#ore to eat oi%ers. So that /ou%tr- #armers ma- ha,e #ace 'ith %osses
as it has %osses its /o/u%arit- #or ir<#%u Chromium an hih mar&et /rice.
0. <redit Ris9(
Creit ris& arises 'hen a c%earin memer #ai%s to meet their /a-ment o%iation. Creit ris& ue
to short#a%% in memers account is mitiate - nettin areements an cash e/osits in the #orm
o# sett%ement uarantee #un. Most o# the /ou%tr- #armers o# an%aesh are sma%% an a usinesso# so%e /ro/rietorshi/. An o#ten the- start their usiness - the he%/ o# short %oan #rom an& on
%o' interest.
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6ood C Be>erage sector(
Foo 'here,er 'e o us a%'a-s %oo&s #or e%icious #oo. an%aesh is a countr- 'here -ou can
#in i##erent t-/es o# #oo an e,erae /roucts. Most%- an%aeshi /eo/%e %i&e to eat s/ic-#oo. an%aesh has %arest searcha%e 2 Mar&et/%ace an usiness irector- /ro,iin a
train /%at#orm #or an%aeshi Foo roucts e,erae Su//%iers an u-ers. e ha,e a
hue ataase o# an%aesh Foo roucts e,erae Manu#acturers *+/orters an Su//%iers.
5o' 'e iscuss our #oo an e,erae sector an o,er,ie' the current situation.
e,erae mar&et in an%aesh: A#ter ine/enence the #oo hait o# an%aeshi /eo/%e has
chane a %ot. esies our traitiona% #oo consumer o# an%aesh %i&e to ta&e 'estern #ooa%so a#ter 1980s. ecause o# %oa% mar&etin this 'as not too har #or the consumers.
5e' ris&s continue to emere #or com/anies in the Foo an e,erae sectors ecause o# reu%ator- chanes an an increasin%- %oa% usiness en,ironment. ssues such as #oo sa#et-
su//%- chain ris& manaement io<terrorism securit- enetica%%- moi#ie oranisms %oa%
'armin an contamination can ha,e #inancia%%- e,astatin e##ects i# not /ro/er%- ienti#- an
aresse.
Mar9et entr"
u-ers 'ant to see the /rouct its co%or #ee% an taste e#ore the- can commit to u-in. So
'hen ma&in contact 'ith /otentia% istriutors it is a,isa%e to sen them sam/%es to he%/
them ma&e in#orme ecisions.
Some ma- 'ant to o a tria% shi/ment to test the mar&et an aue the interest %e,e% e#ore
consistent su//%- is esta%ishe.
Most e,erae manu#acturers are re/resents - aentsistriutors 'ith su##icient stoc& einho% #or short<term nees. Aentsistriutors re%- on su//%iers ein a%e to restoc& at short
notice.
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$istribution channels
A numer o# #oo istriutors are a,ai%a%e to ser,ice either the su/ermar&etretai% usiness or
the #oo ser,ice sector. 5ot a%% istriutors ha,e 'arehouses. At /resent there are on%- a han#u%
o# co% storae #oo istriutors.
6unctional foodFunctiona% #oos are an- #oos that /ro,ie inherent hea%th ene#its as 'e%% as those #orti#ie
'ith concentrate inreients moi#ie in a 'a- that aims to /romote hea%th an 'e%%ein
ro'n chemica%<#ree im/ro,e /er#ormance or reuce the ris& o# isease.
<ommodit" !edging
$a&e commoit- hein #or e+am/%e 'hich #oo an e,erae e+ecuti,es ran&e as their
numer one #inancia% issue. Commoit- hein is i##icu%t #or #oo an e,erae com/anies
ecause there are rare%- enouh t-/es o# commoit- contracts o/tima%%- o##set a com/an-Bs
,arious e+/osures.
6inancing In>entor"
Another #inancia% issue o# concern to #oo an e,erae e+ecuti,es is in,entor- #inancin 'hich
'as ran&e thir hihest in the sur,e-.
<a/ital In>estment
Another im/ortant area o# #inancin in,o%,es ca/ita% e+/enitures. Face 'ith the hea'ins o#
the current c-c%e some #oo an e,erae com/anies e%a-e ca/ita% e+/enitures to /reser,e
cash. ?o'e,er re/air an re/%acement costs can on%- e e%a- #or so %on. utate eui/ment
can hurt /roucti,it- an 'ith commoities that are more o/erations that are ,a%ua%e nee to e
as e##icient as /ossi%e.
Inno>ation and Acquisitions
Foo an e,erae Com/an- is on inno,ation a 'e%%<esine acuisition strate- is im/ortant
to ca/ture ro'th o//ortunities. ?ere a s/ecia%t- %ener can e /articu%ar%- ,a%ua%e. $he %ener
can /%an an su//%- #%e+i%e #inancin. For e+am/%e a eicate #oo an e,erae %ener
&no's the mar&et/%ace an the /otentia% /oo% o# acuisition caniates.
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6inall"8 Dhat De $o In This Sector(
• E@ecution < s&i%%e on site manaement to stai%i;e an #ocus a%% o/erations on
e%i,era%es
• $isci/line < 6renc- Financia% 6%tra<C%eanrani;e nur- Free /erations
• Talent < assess ui% an e/%o- stron ase o# ta%ent across usiness teams
• <om/liance < ensure auit reainess across com/%iance /rorams < FA M?RA *A
*A S?A etc.
• <ustomer 6ocus < a customer centric /rocess esin 'or&#orce eucation an /rorams
to a,ance satis#action
• ?a/ Anal"sis < %ea com/rehensi,e assessment o# a%% contro%s ta%ent s-stems an
/rocess
• Restructure as neededF < #unctiona% areas re/ortin %ines #aci%it- conso%iation or
e+/ansion /rouct o##erins
• <ertification < ensure auit com/%iance or otain certi#ication < S<9001 5SF A
Su//%ier Certi#ication
• Boost 7erformance < continuous%- %it; J$o/ ##enersJ in o/eratin an #inancia%
/er#ormance across &e- metrics
• Teams+Technical <om/etenc" < trainin e,e%o/ment /rorams to a,ance em/%o-ee
s&i%%s an /roect teams
• 5ean+Si@ Sigma+Dorld <lass < e+/ert interation o# im/ro,ement too%s an methos
across o/erations
• M:SF Management S"stem < institutiona%i;e a manaement s-stem < >Bs tarets
/roress re,ie's actions reconition
• Technolog" < nstitutiona%i;e ne' techno%o- to a,ance com/eti,eness an to/ %ine
ro'th
• Road Ma/ < #orma%i;e /roect /%ans to c%ose Ja/sJ an set the o/eration on a /ath to
or% C%ass /erationa% *+ce%%ence.
<onclusion(
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Assurin #uture ro'th in aricu%ture 'i%% e a i##icu%t enea,or thouh it is not im/ossi%e. t
'i%% reuire actions an in,estments on man- #ronts. Since in,estment in aricu%tura% research is
hih%- re'arin an ene#icia% the o,ernment shou% raise the in,estment to at %east 2@ o# as recommene - or% an& an FA. $he increase in,estment 'i%% certain%-
encourae scientists to e,e%o/ techno%oies to co/e 'ith the ha;ars o# c%imate chane. $he
ec%ine o# #unin #or research in the /ast has ha e%eterious e##ects on its ai%it- to eneratean e,o%,e ne' techno%o-E these nees to e recti#ie urent%-. ther s/heres o# /u%ic%-
su//orte acti,it- %i&e mar&etin an e+tension ha,e a%so su##ere reuctions an increase
attention shou% i,e to these su//ort ser,ices. Fina%%- #or %oner<term ro'th 'e%%<esinemanaement o# the 'ater resources is essentia% an 'i%% e /articu%ar%- im/ortant #or aa/tation
to c%imate chane.