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Agricultural Produce

Distribution System

Agricultural Produce Distribution System


Introduction:
70 % people in Rural India - contributing 20 + %
GDP
50 % employment
No.1 in Fruits ; No.2 in Vegetables Cultivation
Hurdles:
Post harvesting Loss,
Transportation issues,
Many Intermediaries.
Profits are shared by intermediaries

Agricultural Produce Distribution System


Hurdles (classified based on Survey)
Transparency in pricing
Wastages
Relative Risk Vs Realization
Operation of Agriculture Market Yard
Quality,Hygiene & Shelf-Life

Farmer-Many types of intermediaries-Customers-Consumer

There is never been a chance for a farmer for selling


their produce to their consumer

Vs
Modern
market.

Tradition
al
market.

Agricultural Produce Distribution System

Agricultural Produce Distribution System

Schematic Diagram of Supply Chain

Traditional Supply Chain

Coordinated Supply Chain


Sorted, graded and packaged produce from
these associations and centers are received
and then auctioned at the market.
SAFAL also has forward linkages to a number
of retail outlets (Cash and Carry Stores)..

Agricultural Produce Distribution System

Agricultural Produce Distribution System


To have organized SCM for Agriculture produce. The
followings should be focus on
Procurement or sourcing
Logistic management
Transportation
Material management
On the premise of supplying mostly from production not stock

Warehousing
Logistics Network modeling
Organizational management
Contracting
Strategic alliances and partnerships
Vertical integration
Long term storage , Packaging technology , Cold chain management ,Energy
efficient transport & Quality and safety

Agricultural
Agricultural Produce
Produce Distribution
Distribution System
System

Changes in Agri SCM & Response of Existing


Channels
Wastage would be reduced
Cold Storage,Warhousing & Logistics Cost
Consumers will be benefited
No major changes in immediate future
No successful model so
far(More,FoodWorld,Safal etc)
Direct Procurement is in
Question(Consolidators)
Benefits to farmers as planned or proposed??

Agricultural Produce Distribution System


Changes in Agri SCM & Response of Existing
Channels
Range of products farm level
Retailers using low price strategy for pulling
customers
Differentiation in product Premium pricing:
Stretch filming, organic, Non-GMO
concepts etc.

Thank you

Raghavendra Prasad 14020848016


SathishKumar K
14020848018

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