Soyabean cooperatuve

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    SoyabeanSoyabean

    Amit Goel (29007)Anand Prakash (29008)

    Md. Irfan Basha (29021)

    NehaShankar (29022)Ravi Dhanuka (29025)

    Debashish Maitra (F071)

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    Soyabean cultivationSoyabean cultivation

    Climate: warm & moist climate

    Soil: Well drained and fertile sandy loamsoil, with a pH between 6.0-7.5,

    Temperature: mean temperatures of 20 Cto 30 C.

    Irrigation: generally does not require anyirrigation during kharif season.

    Planting: May- September

    Rainfall: 60-65 cm of annual rainfall

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    GLOBAL SOYABEAN CROPGLOBAL SOYABEAN CROP

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    Major oilseedsMajor oilseeds

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    Products of soyabeanProducts of soyabean

    Soyaoil: used mostly for production ofvegetable oil & wide variety of non-foodproducts like soap etc.

    Soyaflour: used to increase the shelf-life of

    many products and improve the colourSoyaprotein: used in various cheese &

    other milk and meat substitute products

    Soyameal: About 98 percent of soybean

    meal is used as a feed ingredient in mixedrations for poultry, hogs, and beef anddairy cattle. The remainder is used forhuman food or industrial roducts.

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    Factors influencingFactors influencingn m rk t

    Weather at all the producing centres,domestic and international. The pod bearingperiod, being the most crucial.

    Area planted, determined by the price ofsoybean against that of competitive crops,viz., maize, jowar, bajra.

    International price movement, the futuresmarket at CBOT being the major internationalreference market.

    Pests and diseases.

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    Pricing of SoybeanPricing of Soybean

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    Deviation of price atDeviation of price at

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    Indian scenario ofIndian scenario of

    Market size in India: Rs.5000 cr.

    Annual production: 6-7million tons

    6-7 lakh tons in domestic consumption

    Import soyabean oil but exports soyabeanmeal

    Refined Soya oil is fully consumeddomestically and exports are notpermitted in bulk, but only in consumerpacks

    India has price advantage in soya meal

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    Share of states inShare of states in

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    Profile of VillageProfile of Village

    Total Cultivable area-1600 acres

    Percentage of land under Soybean-60%

    Average Land holding-4 acres

    Average yield-5 quintal/acre

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    Why Bheempur?Why Bheempur?

    Traded volume through AMC is 0.071%

    Local traders are the major players

    Role of APMC : very limited in soya bean,

    majorly in cotton No big or institutional players

    Majority small and marginal farmers with asingle crop

    Inability of the farmer to hold the produce Member centrality

    Lack of marketing infrastructure

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    Participants in trade ofParticipants in trade of

    Cost Of

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    Farmer

    MandalTrader

    Commission

    Agent

    Cost OfProduction=977

    Realizedvalue=1517

    Commission of Rs3 per quintal

    Profit Margin 9.35%

    Commission of Rs3 per quintal

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    Terms of exchange betweenTerms of exchange betweenfarmers and tradersfarmers and traders

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    Terms of exchange betweenTerms of exchange betweensolvent lant and tradersolvent plant and trader

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    Objectives of theObjectives of the

    Social Objectives-Improve the socio-economic status of the farmers

    Financial Objectives- Credit linkages

    with Bank Marketing Objective- Linkages with

    country wide market to give farmers

    the better returns Technical Objectives- Linkages withagricultural specialists.

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    CooperativesCooperatives

    Pooling

    Provide storage facilities (lossesduring storage at farm levelestimated to be about 0.5%)

    Pledge finance

    Knowledge transfer to minimizeharvest and post harvest losses

    Backward linkages

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    DecisionsDecisions

    Decision regarding the terms ofexchange

    Decision regarding the supply to theSolvent Plants

    Point of sale decision

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    Storage

    Transportation tosolventplant

    Sale

    Transport to Co-

    op

    Measurement ofquantity &Moisture content

    Entry intoCo-ops

    record

    Anamat

    farme

    Secy/President/Accountant

    Secy/Accounta

    Secy/President/Mem

    Project Manager,Members, CEO

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    Exchange Between FarmersExchange Between Farmersand coo eratives (refer exceland cooperatives (refer excel

    Collect future price

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    Collect future priceoutlook fromdifferent marketparticipants

    Collect costdata of villageCo-op

    Estimation of anexpected price,period of sale

    Watch thePrice

    No

    Sale to Solventplant

    Consult themembers

    Goahead?

    Is PPexp

    Yes

    No

    Yes

    POINT OFPOINT OFSALESALE

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    Traders & Credit LinkagesTraders & Credit LinkagesH w t r k it?

    Input suppliers Long term & short term traders Advances for sowing, weeding,

    harvesting Thrift and credit 50-50: Cooperative and trader

    It still remains a challenge and our

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    Co-operative v/s Tradersn mmi i n A nt

    Institutional benefits- parking ofproduce, loan at cheaper rate,savings mobilisation

    Operational Benefits-Economies ofscale (total expenses incurred perquintal falls)

    NVA to farmers, mitigating postharvest losses, possibility of gettingout of debt-tra

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    THANKYOU THANKYOU

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    Cost of cultivationCost of cultivation