Agribusiness Model of Jain Irrigation for Replication in ... · for Replication in Newer...

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AAaaa “Inclusive and Sustainable Agribusiness Model of Jain Irrigation for Replication in Newer Geographies with Small Holder Agriculture”

Transcript of Agribusiness Model of Jain Irrigation for Replication in ... · for Replication in Newer...

AAaaa

“Inclusive and Sustainable Agribusiness Model of Jain Irrigation

for Replication in Newer Geographies with Small Holder

Agriculture”

Technologies have to be Smallholder Compatible

India is a country of Smallholders

87 % Farmers have land holding less than 2 hectares

What Small Holder needs?

Increased Income Through Increased

Productivity

Small holder needs

Motivation

High Tech Agri Inputs

Technology and Knowledge Input

Financing of Agri Inputs

Access to Market

Jain Irrigation has achieved this

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The Jain Virtuous Self Sustaining Agri Cycle

Climate

Manpower

Soil Water

Hi-tech Agri Inputs

Incr

ease

d

Pro

du

ctiv

ity

Pro

du

ct

Dev

elo

pm

en

t

Markets

Ass

ure

d

Pri

ce

Qu

alit

y G

oo

ds

Credit

Adequate & Timely

Repayment & Security

R&D Agronomic

Support

Knowledge

Feedback

• Sustainable Environment Renewable Energy , Bio Energy Solar Energy Watershed Planning Water harvesting oil/Water Conservation Water Source Development Waste Land Development

• Better Productivity • Cost Savings Drip & Sprinkler Irrigation Tissue Culture Plants Bio Fertilizers Green houses PVC Piping Systems HDPE Piping Systems

• Improved Quality • Higher Value Turnkey Projects Agri Consulting Training Agronomy Advise Market Information Irrigation Scheduling Fertigation Scheduling

• More Investments • More Profits contract Farming dehydrated Onion & vegetable Processed Fruit

Newer approaches through High-Tech Agriculture

• Vertical cultivation- Mitigate Land Shrinkage • Climate independent cultivation • Use of micro irrigation • Fertigation • Precision Farming • IPDM and INM • Application of biotechnology • Energy efficient agri and food processing • Modern food processing • Infrastructure and logistics • IT&C and Knowledge Input at all levels • Market access

SUSTAINABLE AGRICULTURE AT JAINS WHAT IS INCLUDED…..

• Contract farming • Backward linkages • Sustainability reporting • Carbon foot-printing • Water foot-printing • Jain GAP • International initiatives for sustainable agriculture • Development of supply chain – crop specific • Initiative for village development • PPP experiments

Agricultural Biotechnology, R&D, Analysis & Testing

• Tissue culture plants especially bananas, pomegranate, citrus, sugarcane, potato; bio-fertilizers & bio-cultures.

• Thrust areas of R&D.: Molecular characterization, crop improvement & enhancement of product quality of onion, jatropha, pomegranate, mango and aonla; biochemical and molecular markers for varietal authentication; genetic transformation; fresh fruits and vegetables product development and processing of organic waste.

• Quality parameters testing of plants, soil, water, and food products.

• World’s largest & India’s best tissue

culture lab

• Production Capacity – 80 million

plants / year

• Grand Naine variety Banana

plantlets,

• Pomegranate, Onion, Teak, Papaya,

strawberry and many more plant

species

• Greenhouses for primary hardening

and shade houses for secondary

hardening

• Early and uniform maturity, Disease

free, Vigorous growth and higher

yields

• Every plant is subjected to virus

indexing

Tissue Culture

Plants

Tissue Culture Banana, Onion & Pomegranate

JAIN TISSUE CULTURE PLANTS

What all happened?

• Our sales increased by 10 times.

• Our profitability increased 7 times.

• Farmers’ productivity increased 3.5 times.

• Salary of associates increased 4 times.

• Employment went up 3 times.

• Water saving increased 3.5 times.

• Energy saving grew by 2 times.

• Reduced rejection by about 10 times.

• Increased productivity per unit of resource employed.

• Excellence in management of:

Human resources.

Quality improvements.

Innovation in every aspect of operation.

R & D support.

Economics of scale.

• Profit did not come from increase in price

Where did profit come from?

• All in all, our approach was that we care and share with every stakeholder:

The customer: Better product at reduced price.

The associates: Higher compensation.

The environment: Saving of Water and energy.

Share holder: Higher Dividend.

Government: Higher Tax revenue.

The society: Employment generation, rural development and women empowerment.

How did each stake holder benefit?

Two Year 7 month Old Plantation

2 year 10 Month Old Plantation

Comparison of UHDP with Conventional Planting

Particular Planting Type

Conventional Medium

Density UHDP

Plant Density / ac 40 170-200 674

Gestation Period

(years) 7-9 4-5 3-4

Years to reach full

potential 12-15 7-8 4-5

Yield potential Medium High Very

High

Orchard management

activities Very difficult Manageable Easy

Jain Gap- Farm Level Food Safety

• Primarily designed TO REASSURE CONSUMERS of

the Processed Products about how food is produced on

the farm by

1. Taking care of the Food Safety & health Hazard aspects

2. Reduce risks associated with the use of pesticides &

other chemical inputs

3. Ensuring workers health, safety, Hygiene, sanitation

& animal welfare

4. Sustainability of agriculture & other farm resources

5. Complete traceability of the Product upto farmer level

JAINGAP STANDARDS • JAINGAP is a Country Level scheme and

Trying to established itself as a key reference for Good Agricultural Practices any where in the country for Small & Marginal Farmers

• Pre farm-gate standard –JAINGAP covers the process from farm inputs through all farm activities till the produce leaves the farm

Innovative Approach

• The initiation of Jain GAP is innovative approach as this is happening for the first time in India in corporate agriculture.

• This will also facilitate introduction of Good agricultural practices to a vast segment of farming community of small and marginal farmers, which otherwise would not have been possible.

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Jain Irrigation in the water sector is active across all levels of shared value creation

Clusters and Framework Conditions

Advocating for financial incentives that encourage greater efficiency Supporting water rights markets with appropriate valuation and water rights trading mechanisms Promoting better watershed management and/or co-investing in strengthening water infrastructure

Value Chain Productivity

Using more water-efficient processes Increasing supplier awareness of process innovations

Products and Markets

Enabling agricultural users to use water more efficiently and sustainably Enabling industrial users to reduce water consumption and reuse industrial byproducts Enabling water utilities to improve water quality and increase service reliability Enabling consumers to use less water or purify water to potable standards

The most common level of shared value creation for companies today is around value chain productivity

Integration of following components is referred as IIS

Development of Water Source.

Conveyance of water from source thru closed piping up to farm gate.

On farm Irrigation thru Micro Irrigation which applies water to roots.

Provision of Pumping, Power* network, Automation & Civil work.

O & M, training & capacity building of beneficiaries through WUAs.

What is Integrated Irrigation Solution (IIS)?

* Either Solar or Electrical.

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Water footprint of Onion and Dehydrated Onion

Virtual water trade reduced

= 15,000 (total ton)*1200

(WF)*1000* 30% (DHO produced on

drip irrigated onion)

= 1,80,00,000 m3

= 18 MCM per Annum

The pilot study by Limno Tech +Nature Conservancy +Jain Irrigation + IFC

on De-Hydrated Onion (DHO) with and without drip irrigation.

Key results :

Water foot print for DHO with Drip Irrigation : - 1800L/kg

Water Foot print for DHO on Flood Irrigation : - 3000L/Kg

Savings = 1200 L/Kg per annum

Water footprint of raw onion produced in farm on flood and drip irrigation

Crop Yield (MT/ha)

Conventional Drip % Yield increase

Water Savings (%)

Increase in water use efficiency (%)

Banana 57.5 87.5 52 45 176

Grapes 26.4 32.5 23 48 136

Sweet Lime 100 150.0 50 61 289

Pomegranate 56.0 109.0 98 45 167

Tomato 32.0 48.0 50 31 119

Water Melon 24.0 45.0 88 36 196

Chilies 4.2 6.1 44 63 291

Sugarcane Cotton

90.0 1.2

170 2.6

83 108

56 48

204 122

Food security

Water

security

Energy Security

What does it means? For food-water-energy nexus

CONTRACT FARMING ONION

PPP Experiments

• Project Unnati -Development of mango supply chain with Coca Cola

• Collaboration with Vibrant Gujarat

• PPP-IAD projects with Govt of Maharashtra on Cotton and Onion

• Initiatives for Modernization of Africa and Project Nurture

• Private-Private Partnership with Unilever, Syngenta, Bayer Crop-Science, Cutrale & Coke

Continent Plant Warehouse & Sales offices

Distributor

South & Latin America 2 5 200

North America 5 7 257

Europe 4 9 253

Asia (Other than India) 3 - 26

Australia 1 1 150

Africa - - 15

Total 15 22 901

Not to Scale

Sales & Service – Global Network

• Irrigation development and enabling infrastructure

• Renewable energy (solar and bio-gas) systems for Agriculture

• Capacity building and institution building for sustainability of initiatives

• Market linkages and off take of agricultural produce

• Processing and value addition infrastructure

• Reverse logistics and distribution of farm inputs to the project area including high yielding tissue culture planting material

• Establishment of tissue culture laboratory

• Credit support, assured farming and guaranteed price discovery

• Replication of the project learning, demonstrations and scaling up

Model Integrated Project for Africa

JAIN IRRIGATION The Best Bottom Line is a Farmer’s Smile