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PROJECT REPORT
ON
ANKUR SEEDS PRIVATE LIMITED
NAGPUR (M.S.)
Submitted to
MAHARSHI DAYANAND UNIVERSITY, ROHTAK
In Partial Fulfilment of Requirement for the award of the degree of
MASTER OF BUSINESS ADMINISTRATION
(INDUSTRY INTEGRATED)
(II Semester)
Submitted by,
NAME : Kailash Somnathe
Reg. NO. :1073901744
GURU GRAM BUSINESS SCHOOL
ELC Code :151012055
Plot No 467, Near H B Town , Old Pardi Naka,Bhandara Road,Nagpur,
MaharashtraAUGUST 2011
INDEX
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y TITLE PAGEy CERTIFICATEy DECLARATIONy ACKNOWLEDGEMENTy CONTENTS
CERTIFICATE
This is to certify that Kailash Somnathe , a student of the Maharshi
Dayanand University , Rohtak , has prepared his Project Report entitled
Detail Study Of Ankur Seeds Private Limited Nagpur , at Guru
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Gram Business School , under my guidence . He has fulfilled all
requirements leading to award of the degree of MBA ( Industry Integrated )
. This report is the record of bonafide training undertaken by him and no
part of it has been submitted to any other University or Educational
In
stitution
for award of an
y other degree or simillar title or prizes.
I wish him all success in life.
Mr. Ajay Patole
Program Coordinator
Guru Gram Business School
2
STUDENTS DECLARATION
I hereby declare that Project Report Conducted at
Ankur Seeds Pvt.Ltd, Nagpur(M.S.)
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Under the guidance
of Mr. AJAY PATOLE
Submitted in partial fulfilment of the requirement
for the Degree of
MASTER OF BUSINESS ADMINISTRATION
(Industry Integrated )
TO
MAHARSHI DAYANAND UNIVERSITY, ROHTAK
is my original workand the same has not been submitted for the award of
any other Degree /diploma /fellowship or other simillar titles or prizes.
Place: _________
Date: _________
Mr. KAILASH SOMNATHE
Regn.No.1073901744
ACKNOWLEDGEMENTS
I have taken efforts in this project. However, it would not have been possible
without the kind support and help of many individuals and organizations. I would
like to extend my sincere thanks to all of them.
I am highly indebted to NIAM for their guidance and constant supervision as wellas for providing necessary information regarding the project & also for their
support in completing the project.
I would like to express my gratitude towards my parents & member of GURU
GRAM BUSI NESS SCHOOL NAGPUR for their kind co-operation and
encouragement which help me in completion of this project.
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I would like to express my special gratitude to Mr. Ajay Patole and thanks to
industry persons for giving me such attention and time.
My thanks and appreciations also go to my colleague in developing the project
and people who have willingly helped me out with their abilities.
CONTENT
CHPTER
NO.
CONTENTS SUB CONTENTS PAGE NO
1. Introduction General Introduction 8
1.1 Origin andDevelopment of theIndustry
1.2 Growth and Present
status of the Industry
23
1.3 Future of theIndustry
29
2. Profile OfTheOrganization
2.1 Origin of theOrganization
32
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2.2 Growth andDevelopment of theOrganization
2.3 Present status of theOrganization
33
2.5 Organizationstructure andOrganization chart
43
2.6 Product and Service profile of the
Organ
ization
42
2.7 Market profile of theOrganization
44
3. Discussions onTraining
SWOT analysis 50
Bibliography 51
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CHAPTER- 1
INTRODUCTION
1.1 General Introduction About Agriculture Sector
Agriculture is the backbone of Indian economy. About 65% of the population
depends directly on agriculture and it accounts for around 22% of the Indias
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GDP. Agriculture is important because of the vital supply and demand link with
the manufacturing sector. Share of agriculture sector inIndias GDP has declined
from 48% in 1950 to around 20% in 2007.
In past few years India has sustainable growth in food production and incomes
alon
g with diversification
both in
con
sumption
an
d production
. Food security an
dsustainability our major goal has been fulfilled. Now agriculture sector is at point
from where it can take big leap.
It has been growing at rate of2.2% which very Hindu rate growth. IfIndia needs
to sustain its economic growth rate of 9% in coming years agriculture sector
growth rate needs to be pushed to around 4-5% level, task seems difficult but it
can be achieved through proper planning.
NEW AVENUES INAGRI SECTOR:
Apart from basic food grain production, other agricultural activities have come up
that can lead us to next level of agricultural development. The activities are:
Livestock
Fisheries
Horticulture
Organic farming of commercial crop
STRATEGY FOR THE DEVELOPMENT
Need for public private partnership in policy development and research.
Linking of markets-domestic and international through efficient supply chain.
Turning agricultural sector into organized business. Where farmer is an
entrepreneur.
Making farming an activity for profit rather than for subsistence. India being so
diverse in climate, soil types, geography and all the more disparities in the growth
level in different state, it is utter most important to plan growth through micro
level initiatives.
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The strategy paper of eleventh five year plan has laid out target for the following
in order to meet the five year:
Plan for developing rate of growth of irrigated area.
Improving rain water harvesting and watershed development.
Bridging the knowledge gap through effective extension.
Diversifying the high value output.
Access to affordable credit. Improving incentives structure and functioning of the
market.
Refocus on land reforms.
Promote animal husbandry and fisheries.
ANNUAL GROWTH RATE AGRI SECTORAND SHARE OF AGRI
SECTOR IN GDP AT 1999-2000 PRICE:
YEAR ANNUAL GROTH RATE IN %
2000-2001 O
2001-2002 5.9
2002-2003 -5.9
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2003-2004 9.3
2004-2005 0.6
2005-2006 5.8
CHALENGES IDENTIFIED TO INCREASE GROWTH OF AGRI
SECTORS:
Declining Productivity.
Poor irrigation and water management.
Declining agricultural research.
Distorting market due to government intervention.
Declining public and private investment.
Unorganized credit and insurance.
Poor infrastructure.
Inefficient supply chain and marketing strategy.
Slow development of agro processing units.
Indian productivity compared with world best:Agriculture being constrained by the availability of land, the productivity remains
the crucial factor based on which is the future ofIndias food security.
FOOD ITEM YIELD(INDIA)
Unit:Ton per
hector
POTENTIAL
YIELD
HIGHESTIN
WORLD
RICE 3.03 9.71(EGYPT)
WHEAT 2.69 8.89 (NAMIBIA)
TOTAL 2.39 10.41 (IRELAND)
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CEREAL
PULSES 0.6 5.14
(BARBADOSO)
EDIBLE OIL
SEEDS
0.25 42.9 (PERU)
SUGARCANE 6.07 122.7 (MALAYSIA)
Poor irrigation and water management:
Irrigation and water management is the most important issue on which growth of
agri sector largely depends. Still the agriculture sector largely depends on the
monsoon. The irrigation potential ofIndian agri sector is 140 million hectares of
which only 70% is being exploited.
Public and private investment in agriculture sector:
Indian agriculture sector is in dire need of investment to meet the expenses of
irrigation, research and development, rural infrastructure and electricity to further
increase the productivity and strengthening the agri sector inIndia.
GROSS CAPITAL FORMATION INAGRICULTURE AT 1999-00 PRICE:
INVESTMENT INAGRICULTURE SECTOR(Rs Crore)
YEAR PUBLIC
SECTOR
PRIVATE SECTOR TOTALINVESTMENT
1999-
2000
1716 35757 43472
2000-
2001
7155 31580 38735
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2001-
2002
8746 38297 47043
2003-
2004
7962 38861 46823
2004-
2005
9376 35766 45132
2005-
2006
10267 38309 48570
2006-
2007
13219 41320 54539
Agri credit and insurance:
There is need to increase credit and insurance policies for the farmers. There
are incidences of increase in farm debts, primarily due to lack of organized
credit. It has also been pointed out that due to lack of credit availability that
adoption of improved seeds, fertilizers and modernization could not be taken
up.
New marketing and supply chain model:
Agri sector requires revamping of all the level of supply chain input delivery,
credit, irrigation facility, farmers diversifying, cold storage chain, better and
efficient marketing technique, efficient processing, warehousing and
competitive retailing.
WTO AND INDIANAGRICULTURE:
India has been emphasizing that the WTO agricultural agreement must
include:
Removal of distorting subsidies by the developed countries to level the
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playing field.
Appropriate provision designed to safeguard food and livelihood security and
to meet the rural development needs of developing countries.
India has also taken the stand that the government must foster stable and
remunerative prices for domestic producers in order to increase productivity
and gradual move away from dependence on low productivity agriculture. For
these meaningful and effective instrument i.e.; special products and special
safeguard mechanism is important for developing countries like India.
WHY WE ARE BULLISH ONAGRICULTURE SECTOR:
In order to have food security government have to restructure the agriculture
sector. We expect significant step in coming years will be taken like collective
farming or maybe corporate farming. So that yields increases. Agricultural
sector is at the cross road of structural change.There is supply demand mismatch of agri product across the globe which is
pushing the price northward. Increasing price will enhance the profitability of
agriculture sector and hence smart money will flow into the sector.
The arable land is limited in supply it cannot be increased. So supply
constraint will remain. Only way to fill the gap of demand and supply is by
increasing the agriculture productivity.
Ever increasing population will demand more food and hence increase in price
of food product.
The rural India innot leveraged and hence companies will move rural sector
fornext growth. This will increase employment opportunity in rural India and
hence decrease burden on agriculture sector. This will help government in fine
tuning the policy for agriculture sector in terms of lands.
NAME PRODUCT SALE IN
CRORE
MARKET PRICE IN
Rs.
RCF FERTILISER 8455 76.85
RALLIS PESTICIDE/CHEMICAL 852 615
MONSANTO PESTICIDE/AGROCHEMICAL 391.25 1570
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UNITED
PHOSPHOROUS
CHEMICAL SPECIALITY 2437 144
JAIN
IRRIGATION
DRIP IRRIGATION 2188 650
ADVANTA SEED /TISSUE CULTURE 129 646
M& M TRACTOR 3093 712
DCM SHRIRAM DIVERSIFIED 3596 52
CHAMBAL FERTILIZER 4643 65
TATA CHEMICAL CHEMICAL/INORGANIC/CAUSTIC 8574 221
COMPANIES INAGRICULTURE SECTORS AND ALLIED ACTIVITY:
CONCLUSION:
This is the need of the hour that government should look towards the rural India.
We expect the budget to shower blessing on the agricultural sector. Government is
expected to increase spending in the agricultural sector to boost the share of
agriculture in GDP.
The increasing price of agriculture product is shifting the focus of the company
from urbanIndia towards rural India. Increasing price is making the farm produce
more profitable and hence increasing the disposable income of the rural India. Thecompany associated with the agri economy is expected to do better in the coming
years.
The agricultural sector is safe bet and has not got affected by the down turn in the
global economy. This is because it is the necessity of every individual rather than
luxury. The demand supply gap also makes it safe bet.
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We advice our long term investor to take exposure in the companies related to
agriculture sector.
Climate:
India has Monsoon climate in which a year has been divided into two distinctseasons of summer and winter. Rainfall occurs mainly in summer.
Agro Climatic Zones:
India has diverse agro-climatic zones from north to south and from east to west. It
has been divided into fifteen different agro-climatic zones, which signifies its
diversified agricultural production from tropical to temperate crops.
Major Crops:
Rice, Wheat, Sugarcane, Oilseeds, Pulses, Cotton, Jowar, Bajra, Ragi, Tea,
Coffee, Coconut, Cashew, Rubber, Spices, Cauliflower, Onion, Cabbage, Mango,
Banana, Sapota, Acid lime.
Farm Size:
Indian Agriculture is characterized by small and marginal operational holdings.
About 85% of total cultivated land has been fragmented into less than 10-hectare
land. About 60% of farmland is less than 4 hectare in size.
Growth prospects:
Agricultural growth is essential for the sectors progress and for overall growth of
Indian economy. This growth rate is also a sort of essential condition for
improving living standard of those who are dependent on agriculture. The main
goal of National Agricultural Policy to achieve growth rate higher than four
percent seems to be formidable task particularly when we look at historical rate of
growth inIndian agriculture. As can be seen that growth rate inIndian agriculture
in the post Independence period is found to be 2.55 percent per annum. This
growth rate includes contribution of technological breakthrough of green
revolution and major expansion in irrigation and in area under cultivation. Out of
these three sources of output growth the scope for expansion of cultivated area is
much more limited in future compared to that experienced in the past. Net
cultivated area (NCA) has become stagnant at 142 million hectares (Table 2) and
unless serious efforts are launched to bring wastelands under cultivation there
would be no scope to expand NCA. However cultivated area as such can be
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expanded by raising more number of crops on the same piece of land i.e. by
raising crop intensity. This expansion depends heavily on provision of irrigation.
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1.2 INDUSTRY PROFILE
SEED INDUSTRY
The Indian seed industry is the eighth largest in the world with an estimated value
ofINR 49 billion (USD 1.06 Billion) and with an annual growth rate of 12% to 13
%. The industry has shown a buoyant growth over the last two years on well
supportive monsoons. The development of private seed industry is no more
confined to just production and marketing of seed. It has well acquired
technological strength to cater to the varietal needs of tomorrow. Along with
industries Indian farmers have in recent years adopted intensive cultivation
practices in order to meet the growing demand for agricultural produce.
If we look at the production capacity 70% of Indias seeds sales come from
farmer bred seeds, 26% from those bred in publicly financed institutions, and only
4% from researched hybrids. The domestic hybrid seeds market is placed at INR
4.9 Billion and is annually growing at 10% a year, against the 5% global growth
rate. Here, majors players like Monsanto India and Syngenta India dominate the
hybrid seed market. The home market works out to about 3.7% of the global
market.
As the organized Indian seed industry is just forty years old. Yet, its growth has
been phenomenal. India is among the few countries where the seed sector is
already reasonably adva
nced.
One hundred fifty years ago the United States did not have a commercial seed
industry; today we have the worlds largest. Some view this as real progress, a
form of genetic Manifest Destiny. A nation once a debtor in plant genetics now
supplies the world. In 1854, seeds were sourced in the U.S. by way of a small
number of horticultural seed catalogs, farmer (or gardener) exchange, on-farm
seed saving, and through the beneficence of the United States government.
Specifically, beginning in the 1850s, the U.S. Patent and Trade Office (PTO) and
congressional representatives saw to the collection, propagation and distribution
of varieties to their constituents throughout the states and territories. The program
grew quickly so that, by 1861, the PTO had annual distribution of more than2.4
million packages of seed (containing five packets of different varieties). The flow
of seed reached its highest volume in 1897 (under USDA management) with
more than 1.1 billion packets of seed distributed. The governments objectives in
funding such a massive movement of seed stemmed from the recognition that
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feeding an expanding continent would require a diversification of foods. To the
early colonies, the introduction of wheat, rye, oats, peas, cabbage and many other
vegetable crops was as critical to food security as was the adoption of the corn,
beans and squash. Immigrants were encourage to bring seed from the old country,
foun
din
g fathers such asT
homas Jefferson
en
gaged in
seed-exchan
ge societies,and by 1819 the U.S. Treasury Department issued a directive to its overseas
consultants and Navy officers to systematically collect plant materials.
The first commercial seed crop was not produced until 1866cabbage seed
produced on Long Island for the U.S. wholesale market. The industry flourished
to some degree, but early seed trade professionals felt their growth was stymied by
the U.S. government programs as well as the self-replicating nature of their
product (that is, the factory contained within that product). In 1883, the American
Seed Trade Association (ASTA) formed and immediately lobbied for the
cessation of the government programs. The organization developed powerful
allies, such as Grover Clevelands Secretary of Agriculture, J. Sterling Morton,
who wrote that the government giveaway was antagonistic to seed as a
commodity-form and in direct competition with the private seed trade. But the
program was very popular with constituents, and the USDAs seed budget was
kept intact at one point counting for a full 10 percent of the agencys overall
annual expenditures.
In the early part of the 20th century, the first wave of hybrids began to provide
seed companies with a potential increase in product profitability (as farmerswould now need to return to the seed distributor for materials each year).
However, most of the hybrid development was occurring at Land Grant
Universities, and these universities refused to give the companies exclusive rights
to the seed. Once again, the industry felt its growth hindered by federal programs
and complained of unfair trade practices. Mounting data also indicated a slowing
in yield increases from seed developed in government programs. The industry
used this last point to strengthen its argument for the privatization of seed
development in order to foster greater food security.
In 1924, after more than 40 years of lobbying, ASTA succeeded in convincing
Congress to cut the USDA seed distribution programs. The USDA still supported
breeding at the state agricultural schools, and for a time these programs continued
to compete with seed companies by developing finished commercial varieties.
Associations such as the American Society of Agronomy and American Society of
Horticulture Science eventually convinced the public programs that their
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appropriate role was in training plant breeders, performing fundamental research,
and creating raw materials and technologies for private industry to capitalize on.
The LGUs began to increasingly serve in this capacity, developing inbred parental
lines and breeding stock that the seed trade would use to create proprietary
varieties.
These changes in the public role, along with improvements in hybrid techniques,
led to the growth of the seed trade following World War II. The trade was well
represented during this period by regional companies. The conversion to
monocropping and large-scale corporate agriculture had not yet moved into full
swing. The Santa Clara Valley grew vegetables and fruit and not internet startups,
and Americans still planted their Victory Gardens. The seed trade reflected this
diversity in food production.
In the 1960s, a few larger seed firms began to purchase smaller companies (mostlyto acquire strong hybrid holdings). But the consolidations of this period were
minor compared to the frenzy that would come with a Supreme Court ruling on
June 16, 1980, in the case of Diamond v. Chakrabarty. Prior to the Chakrabarty
decision, a plant (or animal) could be owned, but the genetics could not. This case
cleared the patenting of life forms on the bases of their genetic coding. The PTO
granted more than 1,800 such patents following the ruling. Companies that had no
historical seed interestsprimarily chemical and pharmaceutical firmsbegan
purchasing seed companies. In a few short years, there were billions of dollars in
mergers and acquisitionswith little to no regulatory oversightcreating for thefirst time a majority ownership of plant genetics by a few multinational
companies. No othernatural resource (marine, timber, minerals) has ever shifted
from public to private hands with such rapidity, such intensity of concentration,
and so little oversight..
Indias seed industry has grown in size and level of performance over the
past four decades. Both private and public sector companies/corporations are
involved with the production of seed. The public sector component comprises two
central corporations, viz. National Seed Corporation (NSC) and State Farm
Corporation of India (SFCI) and 13 State Seed Corporations. The private sector
comprises around 150 seed companies, which include national and multinational
companies and other seed producing/selling companies. The industry has made
impressive strides from a modest beginning in seed produc- tion in 196263 to
over 5 lakh hectares by 199596. The quantum of seed produced and sold has
gone up by five times from 14 lakh quintals to 70 lakh quintals during the
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corresponding period7. In 199091 the area planted with bought seed was about
10.35%. The total bought seed in 199091 was estimated at around 5.91 lakh
tonnes valued at Rs 679.80 crores
This seed component in 199091 comprised of proprietary hybrids, public-bred
hybrids and open-polli- nated varieties. In terms of quantity and value, seed of
open-pollinated varieties was the largest followed in order by public hybrids and
proprietary hybrids. Seed of he proprietary hybrids formed a significant portion of
the total seed market. In terms of quantity, although proprietary hybrids had only
32.34% share of the market, in terms of value the share was 76%. In contrast to
the 1991 scenario, the estimates in 199899 presented a different picture with
proprietary hybrids growing at the expense of the public hybrids. The area planted
to bought seed increased by 3% over that of 199091 and the market size
expanded significantly in terms of quantity and value. The total market for
purchased seed was 8.64 lakh tons valued at Rs 2249 crores. The component of
proprietary hybrid seed was estimated to be around 51,314 tonnes in 199899 as
against 19,300 tons in 199091 and valued at Rs 636 crores as against Rs 95
crores respectively. The volume of public bred hybrids came down to 38,704 tons
in 199899 as against 59,671 tons in 199091. The volume of seed of open
pollinated varieties (OPV) increased by 51% to 774,881 tonnes (tables 3 and 4).
The present contribution of OPV in the total bought seed market segment has
expanded indicating greater use of bought seed by farmers. The price paid by
farmers for all hybrid seeds was higher than that in 199091. The trend is
suggestive that price of seed is not considered a constraint in usage by the farmers,
if the seed ensures higher return through higher productivity and other value
added traits8. Table 5 gives data on the quantity of seeds marketed in 199091
and 199899 for cereals, oilseeds, fibres, potato.
b. GROWTHAND PRESENT STATUS OF SEED INDUSTRY
Seed, being the basic and most critical input, occupies a prime position in case of
agricultural production. Indian seed industry is at the 5th joint position with Japan
and Germany in the world with revenue of US $1.5 billion and is growing at the
rate of 12-13% over the past few years. With lower seed replacement rate in most
of the crops, cotton and some vegetables being exception, the potential for market
expansion is high. Hybrids are being used in case of cotton and to some extent in
corn, millet, sunflower and few vegetables. Based on estimation, the contribution
of quality seed alone to the total production is about 15 20% depending upon the
crop and it can be further raised up to 45% with efficient management of other
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in puts. Nevertheless, the awareness and attraction towards switching to high
yielding hybrids is increasing at a fast rate Private sector seed companies play a
major role in seed development, marketing and distribution. The governments
decision to utilize biotechnology as a means for achieving food security, has made
several leadin
g biotechn
ology focused multin
ation
al seed compan
ies en
ter theIndian market. The private sector accounts for 70% of the market in terms of
market turnover whereas the public sector has the greater share in terms of volume
sales.
Global and Indian Scenario
The world seed market is of the value US $40 billion. The top 10 companies cover
almost 2/3rd of the revenue. Monsanto is the leader with revenue of US $5000
million, followed by DuPont and Syngenta. The revenue also includes income
from licensing and sub licensing for utilizing biotech traits. India with a fastgrowing market houses around 400 companies, which include both indigenous
and foreign players. These can be categorized as:
1. Seed Giants - Monsanto, PHI, Bayer, Syngenta etc.
2. Mid Size growing Companies - Nuziveedu Seeds Ltd, MAHYCO, Advanta
India Ltd., JK Agri Genetics Ltd., US Agri Seeds, Shriram Bioseed Genetics Ltd.
etc.)
3. Mid Size Constant Market Share Companies - Krishidhan Seeds, Ganga KaveriSeeds, Ajeet Seeds, CP India Ltd etc.
4 Small Size Companies - Yashoda Seeds, Doctor Seeds etc
The commercial seed market in the country accounts for25% of the total market
potential and the remaining 75% is dominated by varietal seeds that farmers retain
from prominent food and commercial crops. The public sector, led by National
Seeds Corporation Ltd and 13 other State seed corporations, supplies high volume
and low value seeds of improved varieties of cereals, pulses and oilseeds
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Evolution of the Indian seed industry
Initially, the two national organisations National Seeds Corporation (NSC) and
State Farms Corporation of India Ltd (SFCI), were the prime players. Set up in
1963, NSC was assisted by Rockfeller foundation and USAID for seed quality
control and production. SFCL was established in 1969 followed by State Seed
Corporations. Private seed firms slowly emerged throughout the 60s and the 70s,
with a number of them benefitting from NSCs technical assistance. Presently
public private partnership is being given emphasis in order to take the technology
to the last farmer.
Introduction of New Seed Development Policy (19881989) was one of the
significant steps in modernising the Indian Seed Industry. The policy made way
for the farmers to the best of seed and planting material available anywhere in the
world. The private seed industry is thus undergoing a phase of transition withintense international competition, increasing R&D costs, and the complexity of
biotechnology leading to increased consolidation of the industry with several of
the large and medium companies merging or being taken over by multinational
seed companies. Most large multinational seed companies now have their
presence in India (either as a joint venture or with 100 percent equity) with their
main focus on biotechnology.
With respect to the legislative governing bodies, The Seed Act of 1966 and the
Seed Control Order were followed earlier. However the new proposed Seed Bill
2010 has several supportive amendments and the following are the few salient
features:
y Registration made compulsory for all kinds or varieties of seeds to be sold in thecountry. Selling or supplying any seed which is not of a registered kind/variety is
prohibited. Farmers have been exempted from compulsory registration.
y Penalties proposed in the Bill are more stringent than prescribed in the existingSeed Act.
Seed Production System in India:
InIndia, the seed production and multiplication follows the limited
generations system in a phased manner There are three generations namely
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breeder, foundation and certified seeds ensuring quality and genetic purity till the
seed goes to the soil.
Breeder Seed
Breeder seed refers to the progeny ofnucleus seed of a particular variety and isproduced by the originating or sponsored breeder. Breeder seed production is the
mandate of the Indian Council of Agricultural Research (ICAR) and is being
undertaken with the help of;
a.ICAR Research Institutions, National Research Centres and All India
Coordinated Research Project of different crops
b.State Agricultural Universities (SAUs) with 14 centres established in different
States
c.Sponsored breeders recognized by selected State Seed Corporations, and
d.Non-Governmental Organizations.
ICAR also promotes sponsored breeder seed production programme through the
National Seeds Corporation (NSC) / State Farms Corporation of India (SFCI),
State Seeds Corporation (SSCs), Krishi Vigyan Kendras (KVKs) etc.
Foundation Seed
Foundation seed is the progeny of breeder seed and the responsibility for
production of foundation seed is taken up by the NSC, SFCI, State Seeds
Corporation, State Departments of Agriculture and private seed producers, with
the necessary infrastructure facilities. Foundation seed is required to meet the
standards of seed certification prescribed in the Indian Minimum Seeds
Certification Standards, both at the field and laboratory testing.
Certified Seed
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Certified seed is the first generation of foundation seed, for which it is a must
to meet the standards of seed certification as per the Indian Minimum Seeds
Certification Standards, 1988.
The production and distribution of quality/certified seeds is primarily the
responsibility of the State Governments. Certified seed production is organized
through State Seed Corporation, Departmental Agricultural Farms, and
Cooperatives etc. The distribution of seeds is undertaken through a number of
channels i.e. departmental outlets at block and village level, cooperatives, outlets
of seed corporations, private dealers etc. The private sector has also started to play
an important role in the supply of quality seeds of vegetables and crops like hybrid
maize, sorghum, Bajra, cotton, castor, sunflower, paddy
Industry Statistics
The seeds can be classified as Hybrids, OPVs and propagating materials in case
of Field crops and Horticultural crops. However, the market trend is towards
hybrids and major resource utilisation is for developing high yielding hybrids with
improved traits of pest and disease resistance. Owing to their higher yield
potential, hybrids are being projected as the solution for food security. But the
farming community is yet to completely adopt hybrid crops. In case of paddy, the
area under hybrids is 3%, while it is 30% in Maize.
However Bt cotton hybrids made a revolutionary impact, as India became a net
exporter of cotton. The area under hybrid cotton is around 8.4 million hectares
(almost 90% of total area) and this is a phenomenal increase from a mere 50,000
hectares in2002. Hence it is very evident that Cotton occupies the major share of
revenue for private players in case of field crops with Maize, Sunflower, Bajra
and Jowar to follow respectively.
In case of horticultural crop, vegetables occupy a prime position. Even here for
the private firms, hybrids form a major revenue earner. The hybrid vegetable seed
market in India is estimated to be US $40 million. Tomato occupies the 1st
position with 20% of the market followed by okra and cabbage. Vegetable seeds
play major role in export and import, as they constitute nearly 40% of the total
seed traded.
R&D focus
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With respect to the cost aspects of the companies, around 15-18% of the revenue
is spent of R&D by each company and R&D budget allocation of medium sized
companies is growing at the rate of20%. However scarcities of labour and skilled
professionals, which form the basic need for seed production, are driving the cost
of seed high. Bt techn
ology bein
g path breakin
g in
the in
dustry, compan
ies aretrying to expand the same into several crops and Brinjal being the most innews in
the recent days. Several international institutes and scientific organisations are
conducting intense study in areas viz. fortification; transgenics etc and the results
can be expected in few years to drive the world marke
Conclusion
Indian seed industry with its considerable growth rate and increasing R&D is
expected to rise to a higher level in the international market in the future years.
Consolidated effort and focus from both public and the private sector can drive themarket towards a farmer friendly and growth oriented industry.
FUTURE OF SEED INDUSTRY
Indian agriculture future of seed ranks second only to USA in sheer size
of agriculture. By industry
virtue of its large arable land area, sizeable irrigated area,
rich agri-biodiversity, diverse agro climate and well- Accounting forapproximately 30% of the national GDP, developed research system, the
country has all the agriculture is the backbone of Indian economy. It is the
potential to emerge as a global power in agriculture. The source of livelihood for
over 70% of its population. impressiv growth registered in agricultural production
in Having the largest arable area (170 million ha), India general and food grains
in particular during the last 30 years has made the country self-sufficient in
cereal grain with a sizeable surplus which can be exported. Even to remain where
we are today in terms of level of per capita consumption of food, the country has
to add another 40 million tonnes by 2010 (refs 9, 10). With no more arable landand productivity of major crop plants
plateauing, the prospects of achieving the target especially with the aid of
currently available technologies is a challenging proposition. Many of the
problems that impede the productivity of our varieties and hybrids have defied
solution through conventional breeding approach. These include wide- spread
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moisture stress (> 65% of the area particularly under rainfed and dryland
conditions), expanding sali- nity, new pests and biotypes of higher virulence and
poor shelf-life.There is thus a distinct need for innovative technologies to find
solutions to existing and emerging problems and thereby increase the overall
productivity an
d stability of our major crops. Un
like in
developed coun
tries,population growth inIndia is far in excess of its growth in agricultural production
warranting con- tinued in puts to achieve a steady increase in food production.
The route to increase in production lies through improved agronomic practices
and availability of high quality seed1.
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CHAPTER 2 PROFILE
OF THE
ORGANISATION
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PROFILE OF THE ORGANIZATION
COMPANYNAMEANKUR SEEDS PRIVATE LTD.
RANK 11th
MARKET PRICE 325 Rs
MD M. G. SHEMBEKAR
BUSINESS
AGRI-BUSINESS IN FIELD CROP,
VEGETABLE & TRANSGENIC CROPS
START-UP YEAR 1976
SECTOR PRIVATE
LEVEL OF OFFICE HEAD OFFICE
LEVEL OF
COMPANY
INDUSTRY BASED
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COMPANYNAMEANKUR SEEDS PRIVATE LTD.
NO. OF EMPLOYEE 351-500
TOTAL
TURNOVER
10-100 CRORE
PINCODE 440018
ADDRESS 27, NEW COTTON MARKET LAYOUT,
NAGPUR - 44OO18
TEL:NO. 91-712-2726148; 2725117
WEBSITE www.ankurseeds.com
The company sold 15 lakh packets of BG-I and 9.50 lakh packets of BG-II in
almost all the cotton growing states of India during the fiscal.
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Ankur Seeds Private Limited, a forerunner in marketing of insect resistant
cotton hybrids in the country, increased its market share in Bt cotton substantially.
The total revenue of Ankur Seeds for FY 2010-11 was 325 crore.
The company sold 15 lakh packets of BG-I and 9.50 lakh packets of BG-II in
almost all the cotton
growin
g states ofIn
dia durin
g the fiscal. For distribution
ofits products, the firm has a well spread marketing network in 16 states of the
country, head office in Nagpur, 11 regional offices and six area offices.
The company organizes several regional demonstrations across the country which
is attended by 100,000farmers every year. The company has organized seven
regional demonstrations in the previous year and invited over 50,000 farmers to its
programs.
It started its research activities in cotton, okra, brin jal and chillies and has
expanded to more than 15 crops. The R&D of the company is recognized by the
Department of Scientific & Industrial Research (DSIR) and the company also
received the National Award for excellent R&D achievement from Government
of India in 1996.
Ankur Seeds has production and processing facilities spread across the various
potential production areas of the country.
The company has 11 state-of-the-art processing plants, with production capacity
of over 16,000 tons; a dehumidified storage capacity of 5,000 sq m for medium
term storage and 10,000 sq m of warehouses. Its products like Akka-Bt, Jai-Bt in
cotton; Sonam & Rupali in paddy; Ankur 40 in okra; Ankur32 in chilly; tomato
1001; Ajay, Kirti, Utkarsh in brinjal; Latika in ridge gourd; Shreya and Karishma
in bitter gourd have become extremely popular with the farmers.
In the year2010-11, Ankur Seeds applied for registration of 14 varieties in PPV
and FRA and it also released more than 20 varieties of commercial crops.
Ankur Seeds has invested significantly in marker-assisted breeding projects for
developing drought and disease resistant varieties in vegetable and rice. To
achieve this it has collaborated with national and international institutes.
Screening of drought resistant cotton transgenics is under process as per the
guidelines of DBT and will also apply for the event selection trials for Bt brinjal
that has been developed by the company.
In brin jal, the company has successfully developed cytoplasmic genetic male
sterility, which will have long term benefits in hybrid seed production technology
in brinjal.
The company has also procured a gene for insect resistance from the Indian
Agricultural Research Institute in 2009, work on which is presently underway.
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Ankur Seeds also signed a memorandum of understanding (MoU) with the
International Centre for Genetic Engineering & Biotechnology to work on a
research project on development of virus resistanc in okra.
Ankur Seeds Private Limited is a fully integrated seed organization
involved in the wide range of crops and marketing activities across the
country.Established in 1976, with its head office in the heart of central Indiaat
Nagpur, the company has been working relentlessly to uplift the
farmers' state through extensive Research & Development and rendering
quality seeds and services to meet the changing requirements of the
farming community.
For its excellent R&D achievement, Ankur bagged the most coveted
National Award from the Government of India in 1996. Many of the hybrids
developed by Ankur Seeds in Cotton, Paddy, Bajra, Maize, Okra, Brinjal,
Chilly and Watermelon are becoming instant hit and continue to be on top
of the farmers' mind. Its products like Akka-Bt, Jai-Bt in cotton; Sonam
& Rupali in paddy; Ankur 40 in okra; Ankur 32 in chilly; tomato 1001;
Ajay, Kirti, Utkarsh in brin jal; Latika in ridge gourd; Shreya andKarishma in
bitter gourd have become over the counter products.Keeping in mind the fast
changing future marketing scenarios, Ankur has focused its attention on
biotechnology to develop transgenic crops for resistance to biotic and abiotic
factors. The company pledges to use biotechnology for the benefit of the
humankind with due consideration to the safety of all the living being
and the environment.
Solid scientific base, competent production wing and professional
marketing team are assets of the company and secret for its success.
Mission
Three dynamic young agriculturists Ravidada Kashikar, Laxmandada
Aurangabadkar and Madhavrao Shembekar started on a mission, a mission to
provide quality planting material suitable for the Indian subcontinent, to bolster
the green revolution to the other parts of India.Thus was born Ankur Seeds. The mainstay of a successful crop being in
the quality of seeds sown, Ankur aimed at providing high quality seeds
to the farmer community at reasonable prices. Ankurs aim has also been to
convince the farmers about the beneficial use of high yielding
hybrids to local varieties and thus enhance production.
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Infrastructure
Beginning with a modest office of a little over 200 sq. ft in 1976 and
an initial production of 150 quintals Ankur received an overwhelming
response from the people of Vidarbha for its public bred varieties of
cotton
, jowar an
d okra.T
he compan
y then
expan
ded its production
acitivities to Andhra pradesh, Gujrat and other parts of Maharashtra.
TestingFacilities
For a vast country like India with varied soil and climatic conditions
production of seeds suiting each climatic and soil type was imperative.
Ankur launched its research and development activities in 1978 with a
view to providing innovative, exotic and more farmer friendly planting
material to the farmers. Ankur commenced its research activities in
vegetable crops like okra, hot pepper, cowpea, egg plant, cucurbits and
field crops like cotton.
The companies remarkable research achievements were recognized by the
DSIR government of India in 1993.
The companies testing laboratory at Kinhi provides testing facilities
for Biochemical Analysis, Fibre Testing, Molecular Biology, Tissue
Culture, Soil & Plant Analysis, Plant Physiology, Cytology, Plant
Pathology & Microbiology.The company has various regional research stations for multi location
trials of advanced generation material. Ankur has realized the future
need of the industry and has geared up for the same. Biotechnology
through bio safety for the benefit of mankind is ankurs vision for the
future.
Ankur has ventured into the field of transgenic research which includes
incorporation of insect tolerance in cotton by using Cry I Ac and Cry X
gene. The future projects include incorporation of drought tolerance
traits, improvising the quality of vegetable crops like delayed ripeningof the tomato.
Research&Development
In today's world of fierce competition, significance of employing latest
tools & techniques and making use of technological and scientific
breakthrough in developing new products play a major role in providing
competitive edge.
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Ankur has acknowledged the same beforehand and considers biotechnology
as a precious asset for improving and hastening the breeding programmes.
It simplifies the techniques of breeding and the generational studies of
the gen otypes and their characteristics are made easier by the
techn
iques such as AFLP, RAPD, RFLR Molecular markersn
ow easilyidentify the desired genes of interest in the initial generation itself.
Resistance traits of wild species against biotic and abiotic stresses
are being transferred by wide hybridization with the aid of embryo
culture and somatic fusion techniques. Keeping pace with the
developments in the field of plant biotechnology, Ankur has also
ventured in the field of transgenic research. The company has already
given transgenic cotton hybrids having bollworm and spodoptera
tolerance. Furtheron, it has been working on incorporation of tolerance
to abiotic stress and improvement in the quality of vegetables in
particular.
We do use molecular marker assisted selection methodologies for speeding
up the breeding process. We have also been developing genotypic markers
for various traits with the use of near isogenic lines that are
developed through the breeding programmes.
The company has a tissue culture division that can support in
transformation work. It is capable in supporting wide hybridization and
somatic fusion experiments. Company is also working on different
techniques for fingerprinting of its genotypes.
Greenhouse and laboratory facilities created by Ankur comply with the
norms set by Department of Biotechnology, Government of India. The
company pledges to use biotechnology for the benefit of the humankind
with due consideration to the safety of all the living being and the
environment.
Production&Processing
Beginning with a modest office of a little over 200 sq. ft in 1976 and
an initial production of 150 quintals Ankur received an overwhelming
response from the people of Vidarbha for its public bred varieties of
cotton, jowar and okra. The company then expanded its production
acitivities to Andhra pradesh, Gujrat and other parts of Maharashtra.
With an ever increasing demand for its quality seeds Ankur started
production in its own processing units in the year 1983 at Tirupati and
Kisanagar.
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The company provides employment opportunities to over 30000 persons
annually through its contract farming practices. These persons residing
in various parts of the country undertake seed production for the
compan
y un
der the able guidan
ce of our profession
als.T
he staff workshand in hand with the growers to check the isolation, genetic purity and
health of the seeds in the field to facilitate production of excellent
quality seeds. The company also provides guidance to the farmers in the
use of fertilizers. Thus the farmers gain expertise even for independent
cultivation of various crops.
The company has eleven state of the art processing plants with a
production capacity of over 16000 tons, a dehumidified storage capacity
of 5000 sq m for medium term storage and 10,000 sq m warehouses. Our
processing plants are one of the best in the country equipped with the
most modern technology.The plants provide facilities for drying,
pre-cleaning, ginning, delinting, gravity separation and fungicidal
treatments.
The seeds are subject to stringent quality control measures. The seeds
are tested for their germination, moisture content and weed seeds during
the laboratory tests. The genetic purity, seed health and vigour are
tested before the seeds are marketed. The company has also achieved high
levels of seed purity with the genetic male sterility techniques. The
failure percentage of our seeds in the lab and field tests is not even 1%.
The company has autopacking facilities for its products which ensure
airtight packing and accuracy in weight.
Marketing
With a Head office in Nagpur, 11 regional offices and 6 area offices
Ankur has a network covering all major states of India. The company
organizes several regional demonstrations across the Country which is
attended by 100 thousand farmers every year.
The company has organized seven regional demonstrations in the previous
year and invited over 50,000 farmers to its programs. This activity is
skillfully handled by the competent marketing team.
The members of the marketing team are in close contact with the farmers
from the point of sale of seeds to the time the produce is ready. The
marketing team together with the distributors and dealers provide
valuable information to the farmer for helping him in optimizing his output.
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FORWARD LOOKING OF COMPANY
It gives us immense satisfaction in bringing out the new updated version of
Company catalogue encompassing all important product details with the
blessing and inspiration of the Almighty.
Demand generation at end user level to promote the range of company products.
Successfully
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organizing and conducting farmer training camps, group meeting & mega farmer
meeting for educating the farmers about the new products and our benchmarking
products.
Strategy implementation, Rolling forecasting, and finally to achieve targeted
annual sales & collection.
Conducting demonstration ofnew seeds in farmer fields and providing feedback
to Management.
Providing technical support to other Junior staff (Field Assistant & Sales
Officer) regarding company products & Seeds & new Strategies.
Day to day co-ordination with RSMs & HO for Management Information
Systems.
Support promotional Activity work for GM & Ass.GMs.
Result oriented channel management (Maintaining Farmers, Dealers &
Distributors Channels)
Making analysis reports ofTarget vs. Achievement, Expenses vs. Sales.
Customers satisfaction is the motto of the company.
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Products & Services
Cash Crops
* Cotton (Akka Bt )
* Cotton (Jassi BG-I
* Sunflower (Ravikiran-1)
Field Crops
* Corn / Maize (Arun)
* Corn / Maize (Bhanu)
* Corn / Maize (Bhaskar)
* Corn / Maize
* Mustard (Ankur Sonika)
* Mustard (Ankur Suhani)
* Pearl Millet / Bajra (Ankur 602)
* Pearl Millet / Bajra (Ankur909)
* Pigeonpea / Tur
* Rice (Ankur3313 )
Vegetables
* Beans
* Brinjal
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* Brinjal (Ajay)
* Brinjal (Ankur Panna)
* Brin
jal (An
kur Shreeran
g)
* Brinjal (Kuldeep)
* Brinjal (Utkarsha)
* Cabbage
* Capsicum
* Chilli Arch
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SALE STRUCTURE OF ORGANIZATION
CHAIRMAN
DIRECTOR
GENERAL MANAGER
DEPUTY GENERALMANAGER
ZONAL AREA MANAGER
AREA MANAGER
AREA SALES MANAGER
TERRITORY SALES MANAGER
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DISTRIBUTOR SYSTEM OF COMPANY
COMPANY GODOWN
DIRECT DISTRIBUTOR
SUB DISTRIBUTOR
FARMER
SALES PROMOTION:
1. FARMERS MEETING 2. ELECTRONIC MEDIA(a) RADIO(b) T.V.(c) INTERNET3. PRINT MEDIA(a) NEWS PAPER(b) MAGAZINE4. FIELD DEMOSTRATIONS
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SCHEMES REGULATED BY COMPANY:
ADVANCED BOOKING
TARGET BASED SCHEMES
1. FOREIGN TOURS2. CREDIT POLICY3. FREE GIFT4. LUCKY DRAW5. CASH DISCOUNT
BEST MEDIA FOR PUBLICITY & SALES PROMOTION
ACTIVITIES
sub-dealer and farmers Unawareness, about Ankur seeds varieties
hence, they must take care on the Useful object such as,
1. ATTENTION/AWARENESS:It is the starting point in the sales process. The Unawareness according the
retailer must be attracted, want that the product is able to satisfy the
retailers.
2. INTEREST:By organizing Demo, Programmes or workshop ,we can Create an interest inthe mind of the subdealer and farmer ,the sub-dealer and farmer made
realize how the product will benefit him and must fill curious to know
more about product, its features and merits.
3. DESIRE:
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We must ignite the desire of the product after securing the attention and
after arousing his interest in the product. From the stage of interest to buy
the product, we must use all our powers of persuasion and conviction to
create on urge to buy.
4. ACTION:It means gaming an order. The addition of the first three Stages should be
the actual purchase of the product. The dealers must be induced to buy our
product.
MEDIA OF ADVERTISEMENT:
The advertisement message has to be convey to the Sub-dealer and farmer
through some means or channel.
DIRECT ADVERTISEMENT:
Sales literature, Samples, Circulars,Catalogues, Price List, Certification of
product,Broachers,Folders,Sending greeting cards on Occasion.
INDIRECT ADVERTISEMENT:
Press: News papers, Agro magazines, Journals, Periodicals.
Outdoor: Posters, Hoarding, Painting, Travelling display
Film, T.V.: Slides, feature films, Sponsored programmes etc
Radio: Spot and sponsored programmes.
PRACTICAL ADVERTISEMENT THROUGH POINT OF VIEW:
y Taking field demonstration, workshops, taking reviews, and appraisals.y Show them video cassettes, counter saley Purchasing plot by company itself, cultivate various varieties onThese research plots and inviting the farmers to see the results.
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DEVELOPMENT ACTIVITIES:
Company take the steps in development of research department have the
more than 100 scientist working there with high technology Laboratory
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THE LIST OF SEEDS COMPANIES IN THE MARKET
1. Nuziveedu Seeds Pvt. Ltd. 2. Ankur Seeds Pvt. Ltd.3. Nath Seeds Pvt. Ltd.SS4. Rasi Seeds Pvt. Ltd.5. Krishidhan Seeds Pvt. Ltd.6. Mahyco Seeds Pvt. Ltd.7. Nirmal Seeds Pvt. Ltd.8. Ajeet Seeds Pvt. Ltd.9. Kaveri Seeds Pvt. Ltd.10. Vibha Seeds Pvt. Ltd.11. Zuari Seeds Pvt. Ltd.12. Atash Seeds Pvt. Ltd.13. Paras/Monsanto Seeds Pvt. Ltd.14. Manish Biotech Pvt. Ltd.15. Yashoda Seeds Pvt. Ltd.16. Tulsi Seeds Pvt. Ltd.17. Vikram Seeds Pvt. Ltd.18. J.K. Seeds Pvt. Ltd.19. Pravardhan Seeds Pvt. Ltd.20. Bayer Seeds Pvt. Ltd.SWOT ANALYSIS OF ORGANIZATION
STRENGTH: 80% Farmers satisfy ofankur seeds of cotton .
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WEAKNESS: Company has small boll size of seeds varieties. There is no regular visit of
sales person to farmer thats why some farmernot satisfied.
OPPORTUNITY: Company can launch new varieties of large boll size having more no.
of branches.
THREATS:In the market there are many seeds companies
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BIBLIOGRAPHY
y INTERNET-y WWW.GOOOGLE.COMy WWW.ANKUR SEED .COMy WWW.SCRIBD.COM