1 | Page A Project Report On “Study on Retailing Techniques at Cargill India Pvt. Ltd.’’ Submitted by Student’s name: Sumit Agarwal Roll no. : 30 Session : 2015-17 Submitted in partial fulfillment of the requirements for qualifying Post Graduate Diploma in Management Under the guidance of: Name of External Guide: Name of Internal Guide: Mr. Anuj Jain Prof. Sushil Pasricha ASM Associate Professor Cargill India PVT. LTD. JRE SOM
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Summer Internship Project Report on Study on Retailing Techniques in Cargill India Pvt Ltd
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A
Project Report
On
“Study on Retailing Techniques at Cargill India
Pvt. Ltd.’’
Submitted by
Student’s name: Sumit Agarwal
Roll no. : 30
Session : 2015-17
Submitted in partial fulfillment of the requirements for qualifying
Post Graduate Diploma in Management
Under the guidance of:
Name of External Guide: Name of Internal Guide:
Mr. Anuj Jain Prof. Sushil Pasricha
ASM Associate Professor
Cargill India PVT. LTD. JRE SOM
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ACKNOWLEDGEMENT
It would be prudent to commence this report with an expression of gratitude towards all those who have
played an indispensable role in the accomplishment of this project by providing their valuable guidance. I
would like to take this opportunity to acknowledge and thank Cargill India Pvt. Ltd. for providing me with this
highly coveted opportunity to associate my Summer Internship Project with an organization of worldwide
repute.
I extend my gratefulness to Mr. Pradeep Sharma, Zonal Sales Manager and Mr. Anuj Jain, Area Sales Manager
for their help and guidance in various capacities which have been extremely proficient in getting the best out
of me by sharpening my rough edges from time to time.
I am deeply indebted to my faculty guide, Prof. Sushil Pasricha whose help, stimulating suggestions and
encouragement helped me in all time of research.
I am also thankful to all my team members for their stimulating support and co-operation. Last but not the
least, I cannot forget the help and co-operation of the employees of Cargill India Pvt. Ltd.
My special thanks to my parents without whom it would have not been possible and for everything of what I
am today.
Sumit Agarwal
PGDM (2015-17)
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CONTENTS
1. EXECUTIVE SUMMARY 1-2
2. INTRODUCTION 3
2.1 OBJECTIVES 4
2.2 OVERVIEW 5
2.3 SCOPE OF THE PROJECT 6
3. ABOUT THE COMPANY 7
3.1 COMPANY OVERVIEW 8-9
3.2 CARGILL IN INDIA 8
3.3CARGILL IN ASIA PACIFIC 9
3.4 PRODUCTS AND SERVICES 10-16
3.5 BRANDS 17-19
4. SALIENT FEATURES OF INDIAN OIL SECTOR 20
5. EDIBLE OILS IN INDIA 21-23
6. LIST OF EDIBLE OIL PLAYERS IN INDIA 24-25
7. FUTURE OF EDIBLE OIL IN INDIA 26-27
8. CONSUMPTION PATTERN OF EDIBLE OILS IN INDIA 28-29
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9. DISTRIBUTION CHANNEL OF CARGILL INDIA PVT. LTD. 30
10. ORGANISATIONAL CHART 31
11. SWOT ANALYSIS OF CARGILL INDIA PVT. LTD. 32-33
12. FORMAL TRAINING 34-45
13. SUGGESTIONS OF RETAILERS AND CONSUMERS 46
14. PROBLEMS FACED BY THE RETAILERS 47
15. HIGHLIGHTS OF SIP TRAINING 48-49
16. TERMS AND TERMINOLOGY USED 50-51
17. LIMITATIONS OF PROJECT 52
18. BENEFITS DERIVED 53
19. CONCLUSION 54-55
20. RECOMMENDATIONS 56-58
ANNEXURE 59
BIBLIOGRAPHY 60
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Prof. Sushil Pasricha
(Faculty Guide)
Declaration
I, Sumit Agarwal, hereby declare that the management project on “Study on Retailing Techniques at Cargill
India Pvt. Ltd.” is my original work. The facts and figures used in this project are authentic and reliable as per
my knowledge. I am held responsible for the veracity of such facts and figures.
Sumit Agarwal
PGDM (2015-17)
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Executive summary (Abstract)
This Study gives you an overview of the various aspects related to Distribution & Sales Management; with
emphasis on customers, competitors, dealers and employees. The study throws some light on the overview of
Cargill Foods in India, as well as in the Global Scenario. Founded in 1865, Cargill is one of the largest
international providers of food, agriculture and risk management products. With more than $120 billion turnover
and operations spread across 67 countries, Cargill today employs more than 1, 60,000 people across the world
and is trusted across for its commitment of an Cargill’s people. In India, Cargill has an access over 1000 towns
and 2, 50,000 retail outlets. Since its inception in 1987, Cargill has been a part of Cargill lives with the most
innovative and best quality products. Cargill Refined Oils India imports, refines, sells and markets a wide range
of vegetable oils and fats to wholesale trade, industrial and household consumers across India. We own and
operate Cargill vegetable oil refining facilities – three are located on east and west coast ports of India, the other
is located in western India. Refined Oils India markets a range of refined sunflower, soy, palm, olive and ground
nut oils, hydrogenated fats and bakery shortenings under Cargill national brands, Nature Fresh, Gemini, Purita™,
and other region-specific brands.
I started my summer training on 1st May ’2016. During my summer training I had to report at the
area(field) at sharp 10:00 am and was asked to work till 4:00 pm. I had given 3 territories for my
training project i.e. Bulandsheher, Moradabad and Bareilly. I had started with Bulandsheher region, where I
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used to go to the distributor point and through distributor we did retailing. Firstly I checked the inventory
before retailing then we will go in the market. In retailing I had sold Gemini Vanaspati Ghee and soyabean
oil and also I had to take feedback from the retailer and focus on the complaints(if persist). I had covered 7
distributors and 474 retailers . In Moradabad region I had covered 9 distributors and 201 retailers. In Bareilly
region I had covered 1 distributor and 118 retailers
I need to take care that our product should be displayed properly on the shelf so that the product should
be in the reach of the customer.
There is 1 thing that I have found that the peoples working at Cargill India pvt. Ltd. are very much
helpful in all areas. Every time they come to me and told me that they are available at any time for
me anything, which really boost me and motivates me towards my goal and objectives. The culture of
Cargill India Pvt. Ltd. Is very much friendly. I completed my project on 30th June’ 2016 and during the
project I have achieved my all objectives of my project. The project deals with the market development
and selling of Gemini Vanaspati Ghee.
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INTRODUCTION
Dairy products have been part of the human diet since time immemorial. They play an important role in a
healthy diet, both for nutritional value and personal enjoyment. Milk and milk products naturally provide 15
essential nutrients for normal growth and for the maintenance of good health. In addition to its unique nutritional
value, milk is fortified with vitamin D. Consumed alone or in recipes, dairy products provide unparalleled taste,
texture, versatility and variety.
Vanaspati is also an Indian/South Asian slang for Vanaspati ghee, a fully or partially hydrogenated vegetable
cooking oil, often used as a cheaper substitute for ghee. In India, vanaspati ghee is usually made from palm oil.
Hydrogenation is performed using a catalyst known as "supported nickel catalyst", in reactors at low-medium
pressure (3-10 bar). Vanaspati ghee is very high in trans fats, which may compose up to 50% of Vanaspati.
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OBJECTIVES
To determine the problems faced by the retailers in the market.
To ensure timely delivery of Gemini Vanaspati to the retailers.
To ensure the visibility of Gemini Vanaspati on the shelves of the retailers
To increase the sale of Gemini Vanaspati and its market development in the regions of Bulandshaher,
Moradabad, Bareilly.
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OVERVIEW
Ghee industry was one of the very old industries in India. The evolution of this industry is Unknown . Generally
when we look upon the past, the production was very limited to the villages, the possible reason could be high
population of milch and livestock animals confined in the villages with a predicted urban to rural ratio of 3:10(acc
to www.ncap.res.in). Even in olden days peoples in rural areas and even in semi urban areas uses Ghee for cooking
foods because of a single reason of easy availability of milk and so the ghee. In present situation the uses of Ghee
is not only situated in rural areas but its uses is now very wide spread. Ghee is getting popularity even in urban
areas of our country. There are many of the reason behind this trend; some are as follows 1) Good taste of Ghee
made foods 2) Most of the time work as preservative 3) High Fat content, so gives high energy compared to any
other food item. But though the use of Ghee is increased manifold compared to some decade ago, year on year it
was recorded that the sales of ghee were declined considerably. The basic reason suggested is high price of Ghee
and high cholesterol content. So the price conscious consumers are start preferring Vanaspati Ghee as it is
available in very less price with same energy content like Ghee. Vanaspati Ghee industry was started in the year
of 1930 with a production of 303 tones.
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SCOPE OF THE PROJECT
The main purpose of the project was to boost the sales of Gemini Vanaspati and its market development. This
project helped me in understanding that despite sales being high in most of the regions, Bareilly needed
exceptional attention. My major focus was development of Gemini Vanaspati brand value in these regions.
In this report, the data was collected within the 3 territories i.e. Bulandsheher, Moradabad and Bareilly region as
the focus is given for vanaspati ghee in retailing point of view, As it will create a high demand of sales in the
market, the techniques used in these regions can be used in other regions also to boost the sales, but it is within
the scope of the Indian retailing market.
This will give an oppurtunities to the reader to get the brief idea about the study and the limitations in the report
and they can try to cope up with those limitations. The Organization can utilize the information to formulate and
present their market strategy according to the customer expectation.
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ABOUT THE COMPANY
Cargill, Inc. is an American privately held global corporation based in Minnetonka, Minnesota, a Minneapolis
suburb. Founded in 1865, it is now the largest privately held corporation in the United States in terms of revenue.
If it were a public company, it would rank, as of 2015, number 12 on the Fortune 500, behind McKesson and
ahead of AT&T.
Cargill provides food, agriculture, financial and industrial products and services to the world. Together with
farmers, customers, governments and communities, They help people thrive by applying their insights and 150
years of experience. They have 149,000 employees in 70 countries who are committed to feeding the world in a
responsible way, reducing environmental impact and improving the communities where we live and work.
Cargill’s operations in India started in 1987. They employ more than 2,000 employees working in offices and
plants across the country and have a network of warehouses and depots.
They offer a range of products and services:
• They process, refine and market imported and indigenous vegetable oils
o Serving food industry customers with vegetable oils, fats, blends and bakery shortenings
o Serving household consumers with a portfolio of fortified and healthy branded edible oils
• They offer high quality food ingredients to serve food manufacturers and food service industry.
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COMPANY OVERVIEW
Cargill in India
Cargill’s operations in India started in 1987. We employ more than 2,000 employees working in offices and plants
across the country and have a network of warehouses and depots.
We offer a range of products and services.
We process, refine and market imported and indigenous vegetable oils.
Serving food industry customers with vegetable oils, fats, blends and bakery shortenings.
Serving household consumers with a portfolio of fortified and healthy branded edible oils.
We offer high quality food ingredients to serve food manufacturers and food service industry.
We originate, process, store, trade and market a wide range of agricultural commodities such as grains, oilseeds,
sugar and cotton.
We offer premix, compound feed and therapeutic care products to nourish animals.
We provide risk management and financial solutions.
We offer freight solutions and serve our industrial customers with energy commodities and metal products.
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CARGILL IN ASIA PACIFIC
Cargill has been in the Asia Pacific region since 1948. Today, we have 51,000 employees in 16 countries and 250
locations who are committed to feeding the world in a responsible way, reducing environmental impact and
improving the communities where we live and work. Our purpose is singular; to be the global leader in nourishing
people.
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PRODUCTS & SERVICES
Grains and oil seeds
Connecting producers and users of grains and oilseeds through origination, processing, marketing and distribution
capabilities and services.
Cargill India is one of the largest originators and marketers of food and coarse grains in India. We handle wheat,
corn, rice, pulses, millets, barley and sorghum as well as oilseeds including soybean, rapeseed, groundnut and
vegetable oils and meals. We source grains and oilseeds from the domestic market as well as import and export
them.
Our customers include leading food businesses, flour millers, feed millers, distillers, brewers and starch
manufacturers. To ensure quality, price security and supply for our customers, we offer logistical flexibility and
bring efficiencies in the supply chain. Leveraging our global market reach, we export corn and soybean meal to
the Asia-Pacific region. We import pulses to augment its supply in the Indian market and cater to the growing
demand of consumers for vegetable protein.
We are present in major grain and oilseeds producing and consuming states in India and operate through regional
merchandising and origination offices and multiple storage locations. We process and crush soybean and rapeseed
across western and central India.
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Sugar
Connecting producers and users of sugar through origination, storing and distribution capabilities and services.
Cargill India originates, stores and supplies raw and plantation white sugar and participates in export and import
depending on the surplus or deficit situation in India. We have suppliers in the sugar-producing states of Uttar
Pradesh, Maharashtra, Tamil Nadu, Karnataka and Andhra Pradesh and serve a wide range of customers.
Our customers include leading sugar manufacturers and food and beverage producers. We also serve customers
in Sri Lanka, Pakistan, Afghanistan, Nepal and Bangladesh. We use our global expertise to provide them market
insights, logistics management, price protection and quality assurance.
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Cotton
Connecting producers and users of cotton through origination, marketing and distribution capabilities and
services. Cargill Cotton, one of the world’s largest and oldest cotton businesses, is respected for its experience,
expertise, reliability and commitment to customers. Cargill’s cotton business can be traced back to 1851 when
Ralli Brothers was incorporated in Kolkata (formerly Calcutta) and Mumbai (formerly Bombay). Ralli Brothers
was bought over by Cargill in 1981 and in 2002, the name of the cotton business was changed to Cargill Cotton.
India is the world's second largest producer of cotton and cotton textiles. Our operations in India form an important
part of Cargill’s global network of buying, selling and merchandising cotton as well as cotton gins and warehouses
that service growers, ginners and textile mills around the world. We have a network of value chain participants
who help us source and supply the best cotton into and out of the country. We work closely with both suppliers
and users of Indian cotton to strengthen their competitiveness in the global markets making Indian cotton the
preferred choice by mills around the world. We offer a range of customer solutions that include price risk
management and supply chain management.
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Animal Nutrition
Offering an innovative portfolio of products and services to nourish animals.
Cargill is one of the leading suppliers of animal nutrition products worldwide. With our global expertise in
supply chain and risk management, we are able to offer distinctive value to meet our customers’ needs through
high quality feed production and efficient distribution. Our market-leading brands and on-trend products support
the care, growth, and efficiency of various livestock, aqua and leisure animals.
We strive to be the best choice in animal nutrition solutions. Our offering includes feed ingredients, feed