Sasya Syamalam Organic, diverse, high-yield agriculture

What’s Sasya Syamalam • Ownership of farm land that’s fertile, irrigated, accessible, and revenue

earning in an environment-friendly way

• A close to nature living with the farm land delivering organic produce for self-

use , as well as offering a green getaway

• An intelligent investment that steadily appreciates in asset value, as well as

offers a steady, high annual revenue involving minimal effort

Project-1: Tandur, Ranga Reddy District, Andhra Pradesh

Where?

About 120 km from Gachibowli on the Hyderabad – Gulbarga highway (Hyderabad – Moinabad – Chevella – Vikarabad – Tharur – Tandur – Gingurti village)

Project Highlights Total area: 250 – 300 acres covering several villages under Tandur mandal (including Allapur, Gingurti, Parwatapur)

Project Features:

•100% organic farming in a vast tract of fertile land (black cotton soil), irrigated by ground water supplied through drip irrigation system

•Corporate farming - Plots of 5/10 acres (or more) of farm land; a community of 20-30 land owners; cost-efficient farming leveraging economies of scale, technology, and uniform, professional methods of farming

•Predominantly mango plantation, with majority of the plantation in high-density mode – ensuring high return on investment for the owners

•A diverse eco system, with fruit-bearing plants, flowers, and commercial inter-crops

•No use of pesticides; use of organic manure, bio-compost/bio-fertilizers

•Designed, developed, maintained, and marketed by the promoter (Mr. Bhagavan Raju – a highly educated professional, with diverse experience – teaching, sports training, industrial marketing, land acquisition & real estate development, large-scale agriculture, organic farming) – over 5000 acres of mango plantation development experience

•Supported by a highly experienced team of consultants sourced from rich mango growing areas of AP- chief consultant Mr.Hanumanth Reddy has developed dozens of plantations of over 50,000 acres so far; he and the team reside on the farm land and offer 24/7 supervision and nurturing of the eco system

•A simple, professional, transparent services plan – with the promoter providing end-to-end services, including land acquisition, landscaping, water supply, plantation, maintenance, security, assistance with processing of loans, marketing of produce, building of farm-house ; and recovering the fees for the services from the land owners through development fees and marketing commission

Take a tour

The landscape

• Naturally green

• Plains, as well as natural

elevations and inclines

• Abundant groundwater

• Ideal for commercial

plantation

Fertile soil

Black cotton soil

Digging of pits

Mechanized, fast, cost-effective

Planting of saplings

Filling the pits with soil and organic manure

Procurement of plants

Planting of saplings

Planting of two and half-year old mango plants of 3 to 4 ft. in height

Two types of plantation

Traditional High Density

100-120 plants per acre 400-450 plants per acre

Glimpses of the plantation

Glimpses of the project

Existing crop in some of the land – Tur dal

One of the acquired lands being developed

Glimpses of the landscape

An ancient temple within the overall project areas

A diverse eco system

Why Sasya Syamalam? Long-term, intelligent investment. Green, healthy life style. Community of like-

minded people.

• Proximity to Hyderabad – 3 hrs drive

• Fertile land; ample availability of ground water

• Land acquisition process managed by the promoter; clear title and deed

• Hassle-free ownership – end-to-end management by the promoter

• Large scale, corporate farming: which helps to optimize resources, cut down costs, and professional management of the farm land

• Supply of organically grown rice, vegetables, pulses, fruits and flowers at economic prices

• Being developed by someone who is well-educated and passionate about organic, sustainable, profitable agriculture

• High potential to recover the overall investment made in 6 to 7 years (i.e., within the initial 3 – 4 years of commercial yield) and enjoying a high revenue earning asset that steadily appreciates in value, year-after-year

Investment & terms

Land cost: Approximately Rs. 2.5 lakh per acre + registration expenses

• 10% of overall cost as a token amount to get started on land acquisition and location planning;

• 50% of overall cost to enter into agreement (within 15 days of payment of token amount);

• 100% of overall cost at the time of registration (within 30 days of agreement)

Plantation cost: 3 lakh per acre for high density mango farming (about 400-450 plants per acre); 1.25 lakh per acre for traditional mango farming (about 100-120 plants per acre).

• The entire project is based predominantly on growing mango, especially high density mango plantation, which is a new method of mango farming wherein the number of trees grown is four times that of traditional farming – increasing revenues four fold. The actual mix of plantation – mango (traditional as well as high density), other fruit bearing plants, vegetables, etc. depends on multiple factors - the location, owner’s own ideas and interest, soil type, and owner’s financial ability. Developer can help in the planning.

• Plantation cost includes: landscaping, digging of pits, cost of saplings, and bio-compost; Drip irrigation including motor and electricity; Construction of workers' sheds, store room, and overhead tank; Hiring of tractor, trolly, excavator; workers' salaries and other overheads; consultation

• For high density farming, 50% to be paid up front. If the land owner requires a loan, the promoter can help arrange a term loan for the remaining 50%. If interested, promoter can also help you take the route of project finance, wherein we can try get a Government subsidy that can cover significant part of the loan.

• For traditional farming, 75,000 per acre has to be paid up front. If the land owner requires a loan, the promoter can help arrange a term loan for the remaining 50 k per acre.

Service charges & Marketing: 20% of the revenues (annually) – every year, starting from the year in which commercial yield starts

Return on Investment

Mango plantation

•Typically the returns will start from the fourth year of plantation

•Expected revenues: Rs. 1-2 lakh per acre for traditional farming; Rs. 4 lakh to 8 lakh per acre for high density farming

Organic produce for healthy living

•As the project covers its 250-300 acre projection, plantations are complete, promoter will supply organically grown rice/pulses, fruits, vegetables free of cost to the land owners (on which the produce is grown), and at farm price to other customers of the plantation; remaining produce will be sold in market and the revenues re-used in land owner’s farm plot.

Green life

•Around 6 acres is marked for farm houses: Offering of 500 - 1,000 sq. yrds. Plot, right in the middle of the overall project land, for each land owner, at cost + construction of eco-friendly cottages, at cost

•A getaway that involves farm stay, participating in farming activities, and simple, natural rejuvenation

RoI: example Investment Projected RoI

Land ownership 4 acres of high density (4 * 4 lakh)

16,00,000

Land cost (2.5 lakh * 5) 1250000 1 acre of traditional plantation (1 lakh) 1,00,000

Registration cost (5 K * 5) (approx.) 25000

Total 1275000 Total revenues 17,00,000

Plantation

4 acres of high density (4 * 3 lakh) 1200000 Promoters commission (20% of total revenues) 3,40,000

1 acre of traditional/other organic 125000 Final RoI per annum from the fourth year 13,60,000

RoI for four years (2016 to 2019)

54, 40,000

Total 1325000 Conservative appreciation of land value 200 %

Expected land value in 2019 ( 5 * 5 lakh) 25, 00, 000

Total investment made in 2012 (including loans)

2625000

Govt subsidy (30 % of project) 780000

Total investment made 18, 45,000

10% interest on investment for 7 years

17,50,000

Total value by 2019 - capital + interest 35,70,000 Total value by 2019 – land value + income 79, 40, 000

5 acre plot, with 4 acres of high density mango plantation

And we are not counting the value of roughly Rs.20,000 worth organic vegetables and other farm produce you will enjoy every year, plus the value of having a weekend getaway – a farm that you own !

RoI: example 10 acre plot, with 6 acres of high density mango plantation and 3 acres of traditional plantation

Investment Projected RoI

* Rs, 10,000 per acre discsount for 10 acre and above

Land ownership

Land cost (2.40 * 10) 24,00,000 6 acres of high density (6 * 4 lakh) 24,00,000

Registration cost (10* 5K) (approx.) 50,000 3 acres of traditional (3 * 1 lakh) 3,00,000

Total 24,50,000 1 acre of other organic produce 50,000

Plantation Total revenues per anum 27,50,000

6 acres of high density (6 * 3 lakh) 18,00,000 Promoters commission (20% of total revenues) 5,50,000

3 acres of traditional (3 * 1.25 lakh) 3,75,000 Final RoI per annum 22,00,000

1 acre of vegetables, fruits, 75,000 RoI for four years (2016 to 2019)

88,00,000

Total 22,25,000 Conservative appreciation of land value 200 %

Total investment made in 2012 (incl. loans)

46, 75,000 Expected land value in 2019 (10*5 lakh) 50,00,000

Govt. subsidy (30 % of the project) 14,00,000

Total investment made 32,75,000

10% interest on investment for 7 years 31,25,000

Total value in 2019 - capital + interest 64,00,000 Total value in 2019 (land value+income) 1,38,00,000

(Rs. 1.3 cr)

And we are not counting the value of roughly Rs.20,000 worth organic vegetables and other farm produce you will enjoy every year, plus the value of having a weekend getaway – a farm that you own !

Questions? What’s the minimum and maximum of land area that I can go for? While a minimum of 5 acres is advised and 10 acres is a highly optimal investment – one can opt for 2 acres also. There’s no specific limit on the maximum. (The cost of land will be higher if you opt for less than 5 acres, and you would get a discount for 10 acres and above)

Can I pay in installments? The entire cost of land has to be paid by the time of registration. The plantation expenses can be done in installments. The terms can be decided in discussion with the promoter

Can I go for loan to finance the plantation? Minimum 25% of the plantation cost must be paid in cash to the promoter. The promoter can help you plan the payment of the remaining through a term loan and applicable crop/agricultural project subsidies.

What’s the assurance that the promoter will manage my plantation according to a plan or in the long-term Each plantation is a part of the overall Sasya Syamalam project. The promoter will execute a plantation agreement with the land owner post land registration; and charges for the maintenance and marketing through a straight forward revenue sharing agreement.

Next steps

Decide on being a part of Sasya

Syama;am

• Decide on the amount of land you wish to own

• Pay 10% of the total land value as a token amount

Pay advance and make agreement

• Sign land sale agreement with the promoter

• Pay 40% of the total land value towards advance

Register and own

• Pay remaining 50% and registration cost

• Register the land

Within 15 days Within 30 days

Begin plantation

• Decide on plantation mix

• Pay 25% advance

Plantation completion

• Pay the remaining (either through self funding or through loan)

Within 3 months

Contact

• Narasimha Kumar - narasimhakumar@gmail.com

• Vinod Mavilla - vinodkmavilla@gmail.com

Please send email with the subject line: Sasya Syamalam