A project Report on

Project name

Submitted by Aakansha

MBA
In University
2011-2012

STUDENT DECLARATION

This is to certify that I have completed the Project titled ---------- under the guidance of
----------- in the partial fulfillment of the requirement for the award of the degree of
Master in Business Administration from Rukmini Devi Institute of Advanced Studies,
New Delhi. This is an original work and I have not submitted it earlier elsewhere.

Name of the student:

Course:
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CERTIFICATE (From Guide)

This is to certify that the project titled --------------- is an academic work done by
------------- submitted in the partial fulfillment of the requirement for the award of the
degree of Masters in Business Administration from Rukmini Devi Institute of Advanced
Studies, New Delhi. under my guidance and direction. To the best of my knowledge and
belief the data and information presented by him in the project has not been submitted earlier
elsewhere.

Name(Project Guide)

ACKNOWLEDGEMENT

I offer my sincere thanks and humble regards to Rukmini Devi Institute Of Advanced
Studies, GGSIP University, New Delhi for imparting us very valuable professional training
in MBA.

I pay my gratitude and sincere regards to name of faculty, my project Guide for giving me
the cream of his knowledge. I am thankful to him as he has been a constant source of advice,
motivation and inspiration. I am also thankful to him for giving his suggestions and
encouragement throughout the project work.

I take the opportunity to express my gratitude and thanks to our computer Lab staff and
library staff for providing me opportunity to utilize their resources for the completion of the
project.

I am also thankful to my family and friends for constantly motivating me to complete the
project and providing me an environment which enhanced my knowledge.

About COMPANY

'Jagat', although registered in 1986 was formally launched in November 1992.

In 1994, Ms. Sudha Pawa, a textile designer by qualification, took over the reins of Jagat
Agro Commodities Pvt. Ltd. and began supervising promotions and sales of the
products.

On January 3, 1995 the company had the honour of receiving Trans World Gold Star
Award for excellence in quality from the Institute of Economic Studies, presented by
Honourable Deputy Chief Minister of Goa, Shri Wilfred D'Souza.

Jagat has successfully established its Quality Management System according to ISO
9001:2000.

The company, with its network of offices in major mandies of rice-producing states has
full infrastructure to procure the best quality of paddy. This paddy is then milled in two
rice milling plants at Delhi and Rajasthan (Haryana).

Delhi based company has carved a niche for itself in the domestic market, and today
Jagat Basmati Rice has become a name synonymous with quality.

With its network of over 200 distributors and three lakh retailers, Jagat Basmati Rice has
launched its products in various parts of India.

The company is on its path of achieving its target turnover of Rs. 240 crores for the year
ending.

Jagat is all geared up to enter the exports market.

Introduction
About jagat basmati rice
Rice is intimately involved in the culture as well as the food ways and economy of many
societies. For example, folklore tells us that when the Kachins of northern Myanmar (Burma)
were sent forth from the center of the Earth, they were given the seeds of rice and were directed
to a wondrous country where everything was perfect and where rice grew well. Rice is an
integral part of their creation myth and remains today as their leading crop and most preferred
food. In Bali, it is believed that the Lord Vishnu caused the Earth to give birth to rice, and the
God Indra taught the people how to raise it. In both tales, rice is considered a gift of the gods,
and even today in both places, rice is treated with reverence, and its cultivation is tied to
elaborate rituals.
Chinese myth, by contrast, tells of rice being a gift of animals rather than of gods. China
had been visited by an especially severe period of floods. When the land had finally drained,
people came down from the hills where they had taken refuge, only to discover that all the plants
had been destroyed and there was little to eat. They survived through hunting, but it was very
difficult, because animals were scarce. One day the people saw a dog coming across a field, and
hanging on the dog's tail were bunches of long, yellow seeds. The people planted these seeds,
rice grew, and hunger disappeared. Throughout China today, tradition holds that "the precious
things are not pearls and jade but the five grains", of which rice is first.
According to Shinto belief, the Emperor of Japan is the living embodiment of Ninigo-nomikoto, the god of the ripened rice plant. While most modern Japanese may intellectually
dismiss this supernatural role, they cannot deny the enormous cultural importance of rice on life
in their country - and so it is in much of the rice world.

LITRATURE REVIEW

ABSTRACT Descriptive sensory analysis has identified over a dozen different aromas and
flavors in rice. Instrumental analyses have found over 200 volatile compounds present in rice.
However, after over 30 years of research, little is known about the relationships between the
numerous volatile compounds and aroma/flavor. A number of oxidation products have been
tagged as likely causing stale flavor. However, the
Amounts of oxidation products, singly or collectively, that need to be present for rice to have
stale or rancid flavor have not been established. Only one compound, 2- acetyl-l-pyrroline (2AP; popcorn aroma) has been confirmed to contribute a characteristic aroma. Furthermore, 2-AP
is the only volatile compound in which the relationship between its concentration in rice and
sensory intensity has been established. This article discusses the challenges of measuring aroma
and flavor instrumentally and by human sensory panels and reviews research examining the
effects of genetic, preharvest, and postharvest factors on volatile compound profiles and the
aroma and flavor of cooked rice. Rice is an important provider of nourishment for the worlds
population. Unlike most food crops, rice is generally eaten whole without seasoning, making the
sensory properties of the rice grain itself important. Small variations in sensory properties,
especially aroma, can make rice highly desired by or unacceptable to consumers. Consequently,
aroma and flavor have been rated as the major criteria for preference among consumers.
There has been a quest for >30 years to understand how genetic, preharvest (e.g., environment,
cultural methods), and postharvest (e.g., drying, milling, storage, cooking method) factors affect
the aroma and flavor of cooked rice and to relate these effects to the numerous volatile
compounds in rice. The desired outcome is to identify important marker compounds that will
allow preharvest and postharvest strategies to be enacted to assure that cooked rice will have the
expected aroma and flavor. Most researchers have taken the approach of correlating preharvest
and postharvest variables with changes in volatile compounds and have drawn conclusions as to
which compounds possibly affect aroma and flavor based on concentration or aroma value (AV).
Few have conducted preference or descriptive sensory analyses with concurrent volatile
Analyses. The result is that, with the exception of 2-acetyl-l-pyrroline (popcorn aroma), no
single marker compound has been identified to allow monitoring and control of preharvest and
postharvest factors that affect aroma and flavor. This article will focus on the challenges of
measuring rice aroma and flavor and using these measures to understand what effects these
sensory properties in cooked rice.

SENSORY ANALYSIS OF AROMA AND FLAVOR

The aroma of rice is detected when its volatile compounds enter the nasal passage and are
perceived by the millions of tiny, hair- like cilia that cover the epithelium located in the roof of
the nasal cavity (Meilgaard et al 2007). The sensitivity of receptors to different volatile
compounds varies over a range of >10^sup 12^ (Harper 1972; Meilgaard 1975). Generally there
is only a 100-fold difference between the threshold (minimum detectable level) and
concentration that produces saturation of the receptors. A good perfumer can differentiate 150200 odorous qualities (Meilgaard et al 2007). Rice aroma is typically described by trained
panelists using a lexicon with 10-12 descriptors.

Flavor is the impression perceived through the chemical senses from a product in the mouth
(Caul 1957). According to Meilgaard et al (2007), when defined in this manner, flavor includes
aromatics (olfactory perceptions caused by volatile substances released from a product in the
mouth through the posterior nares); tastes (gustatory perceptions [salty, sweet, sour, bitter]
caused by soluble substances in the mouth); chemical feeling factors that stimulate nerve ends in
the soft membranes of the buccal and nasal cavities (astringency, spice heat, cooling, bite,
metallic flavor, umami taste).
The aroma and flavor of rice can be characterized and analytically measured by panelists trained
in descriptive sensory analysis (Meilgaard et al 2007). Descriptive analysis is useful in
evaluating sensory changes over time with respect to preharvest and postharvest conditions and
shelf life (Meilgaard et al2007). Combined use of descriptive and preference sensory panels can
provide accurate assessment and identify quality characteristics desired by various markets.
Descriptive scores can also be correlated to volatile compound concentrations using various
statistical methods to determine which compounds are responsible for perceived aroma and
flavor or serve as markers for these attributes. Some researchers have developed statistical
correlations based primarily on linear regression (Bett and Boylston 1992), while others have
used multivariate statistics to correlate two sets (or more) of measurements. Multivariate
statistical analysis (multiple linear regression, principle component analysis, and partial least
squares) allows for the integration of all the individual volatile compounds in a mixture to be
related to sensory responses (Meilgaard et al 2007).

The advantage of this approach is that it more accurately models the synergistic and interactive
nature of flavor and nonflavor active components that produce the total sensory impression. The
disadvantage is that some components may be chosen for the flavor model only because they
were highly correlated but not causative agents (Nobler and Ebler 2002). To eliminate this
problem, researchers have developed models from only those compounds shown to be flavor
active from gas chromatography-olfactometry (GC- O) (Luning et al 1994; van Ruth and
Roozen 1994).

Origin and Diffusion of Rice

The origins of rice have been debated for some time, but the plant is of such antiquity that
the precise time and place of its first development will perhaps never be known. It is certain,
however, that the domestication of rice ranks as one of the most important developments in
history, for this grain has fed more people over a longer period of time than has any other crop.

The earliest settlements of those persons responsible for domestication undoubtedly were in
areas offering a wide range of plant and animal associations within a limited geographical area.
Such sites offered a variety of food sources over a span of seasons to societies dependent on
hunting and gathering for their food supply. These earliest settlements might well have been near
the edge of the uplands, but on gently rolling topography and close to small rivers that provided
a reliable water supply. For centuries, humans maintained themselves by fishing in the rivers,
hunting in the forests, and gathering edible plant products. The earliest agriculture, a simple
form of swidden, may have developed by accident when women of the settlement recognized
that the mix of plant life growing around the midden was especially rich in edible forms. The
earliest agriculture was probably focused on plants that reproduced vegetative, but the seeds of
easily shattering varieties of wild rice such as Oryza fatua may have found their way to the
gardens at an early date.
Cultivated rice belongs to two species, O. sativa and O. glaberrima. Of the two, O. sativa is
by far the more widely utilized. O. sativa is a complex group composed of two forms endemic to
Africa but not cultivated, and a third from, O. rufipogon, having distinctive partitions into South
Asian, Chinese, and New Guinean, Australian, and American forms. The subdivision of O.
sativa into these seven forms began long ago and came about largely as a result of major tectonic
events and worldwide climatic changes.
It is postulated, based on measurements by electrophoresis that the Australian form of O.
sativa began to diverge from the main forms about 15 million years ago. At that time, during the
Miocene, the Asian portion of Gondwanaland collided with the Australia/New Guinea portion,
creating a land bridge across which O. sativa migrated. Once the blocks separated, the
Australian form was free to follow an evolutionary path somewhat different from that followed
by the O. sativa on the mainland.

Divergence between the South Asian and Chinese forms, the ancestors of what are
commonly referred to today as Indica and japonica types, is believed to have commenced 2-3
million years ago. At that time, migration of fauna across the proto-Himalayas was still possible,
and with the animals went wild rice. The climate was suitable for rice even in what today is
Central Asia, and north China had almost ideal conditions.
Botanical evidence concerning the distribution of cultivated species is based chiefly on the
range and habitat of wild species that are believed to have contributed to the cultivated forms.
The greatest variety of such rice is found in the zone of monsoon rainfall extending from eastern
India through Myanmar, Thailand, Laos, northern Vietnam, and into southern China. This
diversity of species, including those considered by many to have been involved in the original
domestication process, lends support to the argument for mainland Southeast Asia as the
heartland of rice cultivation.
Linguistic evidence also points to the early origin of cultivated rice in this same Asian arc.
In several regional languages the general terms for rice and food, or for rice and agriculture, are
synonymous. Such is not the case in any other part of the world. Religious writings and practices
are also seen as evidence of the longevity of rice as a staple item of the diet. Both Hindu and
Buddhist scriptures make frequent reference to rice, and in both religions the grain is used as a
major offering to the gods. In contrast, there is no correspondingly early reference to rice in
Jewish scriptures of the Old Testament, and no references exist in early Egyptian records.
Archeologists have found evidence that rice was an important food in Mohenjo-Daro as early as
2500 B.C. and in the Yangtze Basin in the late Neolithic period (Chang 1967a).
The earliest and most convincing archeological evidence for domestication of rice in
Southeast Asia was discovered by Wilhelm G. Solheim II in 1966. Pottery shards bearing the
imprint of both grains and husks of O. sativa were discovered at Non Nok Tha in the Karat area
of Thailand. These remains have been confirmed by 14C and thermo luminescence testing as
dating from at least 4000 B.C. This evidence not only pushed back the documented origin of
cultivated rice but, when viewed in conjunction with plant remains from 10,000 B.C. discovered
in Spirit Cave on the Thailand-Myanmar border, suggests that agriculture itself may be older
than was previously thought. No parallel evidence has been uncovered in Egyptian tombs or
from Chaldean excavations.

Early Spread of Rice

From an early beginning somewhere in the Asian arc, the process of diffusion has carried rice in
all directions until today it is cultivated on every continent save Antarctica. In this early hearth
area, rice was grown in forest clearing under a system of shifting cultivation. The crop was
grown by direct seeding and without standing water. Rice was grown on "farms" under
conditions only slightly different from those to which wild rice was subject. A similar but
independent pattern of the incorporation of wild rices into an agricultural system may well have
taken place in one or more locations in Africa at approximately the same time. It was in China
that the processes of pudding soil and transplanting seedlings were likely refined. Both
operations became integral parts of rice farming and remain very widely practiced to this day.
Puddling breaks down the internal structure of soils, making them much less subject to water
loss through percolation.
With the development of puddling and transplanting, rice became truly domesticated. In China,
the history of rice in river valleys and low-lying areas is longer that its history as a dry land crop.
In Southeast Asia, by contrast, rice was originally produced under dry land conditions in the
uplands, and only recently did it come to occupy the vast river deltas. Migrant peoples from
South China or perhaps northern Vietnam carried the traditions of wetland rice cultivation to the
Philippines during the second millennium B.C., and Deutero-Malays carried the practice to
Indonesia about 1500 B.C. From China or Korea, the crop was introduced to Japan no later than
100 B.C.
Movement to western India and south to Sri Lanka was also accomplished very early. The date
of 2500 B.C. has already been mentioned for Mohenjo-Daro, while in Sri Lanka, rice was a
major crop as early as 1000 B.C. The crop may well have been introduced to Greece and
neighboring areas of the Mediterranean by the returning members of Alexander the Great
expedition to India 344-324 B.C. From a center in Greece and Sicily, rice spread gradually
throughout the southern portions of Europe and to a few locations in North Africa.
Interestingly enough, medical geographers in the 16th century played an important role in
limiting the adoption of rice as a major crop in the Mediterranean area. During the 16th and
early 17th centuries, malaria was a major disease in southern Europe, and it was believed to be
spread by the bad air (hence the origin of the name) of swampy areas. Major drainage projects
were undertaken in southern Italy and wetland rice cultivation was discouraged in some regions.
In fact, it was actually forbidden on the outskirts of a number of large towns. Such measures
were a significant barrier to the diffusion of rice in Europe.

The suspicion that rice fields cased "mal-air" did not entirely disappear with the end of the
Renaissance. In late 1988, the United States Environmental Protection Agency and the National
Science Foundation both issued reports on the "greenhouse effect" They agreed that there has
already been some warming of the earth; that irrespective of whatever action governments may
take, the world is destined for a further temperature increase of at least 2o C; and that without
strong human intervention the increase may be much greater. The greenhouse effect is caused in
large part by the release, through human activity, of certain gases that dirty the atmospheric
window and prevent the escape of the earth's heat to outer space.
Carbon dioxide has long been the prime suspect, but it is now known that, molecule for
molecule, methane traps 20 times more energy. Both reports also agree that methane
concentrations are increasing at the rate of approximately 1%/yr. A major methane source,
perhaps even the largest of all, is flooded Riceland. Not only do methane-producing bacteria
thrive in such an environment, but rice plants themselves act as gas vents, putting greater than
expected concentrations into the atmosphere. The problem is, of course, magnified by the
extension of rice area, by the expansion of irrigation facilities, and especially by the enlargement
of double-cropped rice areas. Rice fields are suspected of putting 115 million tonnes of methane
into the atmosphere each year. This is at least equal to the total production from all of the
world's natural swamps and wetlands. As a result of Europe's great Age of Exploration, new
lands to the west became available for exploitation. Rice cultivation was introduced to the New
World by early European settlers. The Portuguese carried it to Brazil, and the Spanish
introduced its cultivation to several locations in Central and South America. The first record for
North America dates from 1685, when the crop was produced on the coastal lowlands and island
of what is now South Carolina. The crop may well have been carried to that area by slaves
brought from Madagascar. Early in the 18th century, rice spread to Louisiana, but not until the
20th century was it produced in California's Sacramento Valley. The introduction in the latter
area corresponded almost exactly with the timing of the first successful crop in Australia's New
South Wales.
India is an agricultural land and with the blend of technology in agro field and lots of immense
work in R&D the country have developed many new varieties of rice, few are completely new
and few are hybrid of existing. Few varieties of rice in India are given below:

Rice
1009 Kar

ADT 39

Alur Sanna

Ambemohor Basmati

Amira Mogra Basmati

Amira Tibar Basmati

Amire Full Basmati

Amras Non Basmati

andra Sanna

anekombu Sanna

anekowe

Annapoorna

AP Raw Rice 5293

AP Raw Rice Baptla Ponni

AP Raw Rice PLR Soma

AP Raw Rice SilkyRaw

AP Raw Rice-1001

AP Raw-Rice Sona Ponni

Arcot Kichikdi

Arti Mashuri

BPT

Balesuli

Bangar Kaddi

Bangarkhovi

Bangarsanna

Bantwal

Basamti Dawat

Basmati (Rose)

Basmati Car

Basmati Charmi

Basmati Dawat Roz-(20KG)

Basmati Golden Sela New

Basmati Golden Sela Old

Basmati Haryana Raw (New)

Basmati Haryana Raw (Old)

Basmati Haryana Sela(New)

Basmati Haryana Sela(Old)

Basmati Mogra (Raw/New)

Basmati Mogra (Raw/Old)

Basmati Paddy

Basmati Silky Kohinoor

Basmati Super Kohinoor

Basmati Trophy

Basmati U.P. (New)

Basmati U.P. (Old)

Basmati-370

Basmati-385

Basmati-386

Basmatibar (Raw/New)

Basmatibar (Raw/Old)

Basmatidubar Raw/New

Basmatidubar Raw/Old

Basumathi

Bellary Sanna

Bile Kagga

Boiled Rice

Broken Rice

Broken Rice(Kanki)

BT Sona

Byra (Red Rice)

Champakali

Chikkahalga

China Sanna

Chinoor

Chinoor Non Basmati

Chintamani Sanna

CO 36

CO-43 (Medium) Boiled

Coarse

Coarse (I.R.20)

Coimbatore Kaddi

Coimbatore Sanna

Common

CR 1009 (Coarse) Boiled

Culture Ponni1

Culture Ponni2

Dappa

Dash Non Basmati

Dawal Full Basmati

Dawat

Dawat Kinki

Dawat Mogra

Dawat Tiwar

Dhoon Full Basmati

Dhoon Mogra Basmati

Dhoon Tibar Basmati

Dilkhus Basmati

Doly Non Basmati

Doon Dubar

Doon FUll Basmati

Doon Kinki Basmati

Doon Mini

Doon Mogra (Basmati

Doon Tiwar Basmati

Dosa Rice

Dubraj Daboo Ji Non Basmati

Duplicate Basmati

Durbar Basmati

Early St.

EMR Boiled

Export Parmal

Farm Kaddi

FCI Non Basmati

FCI Parmal

Fine

Fine(Basmati)

GMR Steam

Golden Sela Best

Govt. Quality

Gowrisanna

H.Y.V.

Hallo Dubar Basmati

Hallo Full Basmati

Hallo Mogra Basmati

Hallo Tibar Basmati

Halubbulu (H 137)

Hamsa St.

Hansa

Hassan Dappa

HMT Fine Raw

Hmt Rice-Non Basmati

HMT Sona Best

HMT Sona Medium

III

Intan

IR 20

IR 20 Fine Raw

IR 20 Medium Boiled

IR 50

IR20 Parboiled

IR-8

IR-8 Raw (New)

IR-8 Raw (Old)

IR-8 Sela (New)

IR-8 Sela (Old)

IR-8 Wand

Jaya

Jeera Samba

Jenugudu

Jhilli Medium

Jirigesanna

Kachha Basmati

Kaddi

Kalimuch

Kapila Sanna

Karekagga

Kattasambar

Kesari (Coorg)

Kichudi

Kohinoor Durbar Basmati

Kohinoor Full Basmati

Kohinoor Kinki Basmati

Kohinoor Mini Durbar Basmati Kohinoor Mogra Basmati

Kohinoor Tibar Basmati

Kohinoor Trophy Basmati

Kohinoor Trophy Durbar

Kolam-Non Basnati

Lajbab Non Basmati

Lashkari

Long Bold

Madhu (MR 136)

Maharani Dubar Basmati

Maharani Kinki Basmati

Maharani Mini Dubar Basmati Maharani Mino Mogra basmati

Maharani Mogra Basmati

Maharani Tiwar Basmati

Malnad gidda

Mandya-vani

Mangal (MR 272)

Manila

Masoori-Non Basmti

Masuri

Mataa Parboiled

Medium

Milled

Mini Basmati

Mnadyavani

Mogra Basmati

Motta (Coarse) Boiled

Mull Bhatte

Naya

Nellore Sanna

Non Basmati Jhilli Safri Best

Non Basmati Kalimunch

Noorjahan Non Basmati

NT2

Original Basmati

Other

Padma

Parimal (New)

Parimal (Old)

Parmal

Parmal (Paddy)

Parmal Kachha

Parmal Raw (New)

Parmal Raw (Old)

Parmal Sela

Parmal Sela (Old)

Parmal Sels (New)

Parmal Wand

Parmal Wand (Old)

Phalguna

Ponni

Ponni (Fine) Boiled

Ponni Fine Raw

Ponni parboiled

Popular Basmati

PR-103

PR-106

PR-108

PR-111

Prakash

Punjab Parmal Non Basmati

Pusa Basmati (Paddy)

Pusa Basmati Raw (New)

Pusa Basmati Raw (Old)

Pusa Basmati Sela (New)

Pusa Basmati Sela (Old)

Puspa (MR 301)

Putta Bhatta (White Rice)

Rajahamsa

Rajbhog

Basmati group varieties are called superfine varieties whereas the Non basmati Group PR
varieties are medium fine & other are thick rice varieties.

Objectives

to analyses the jagat products such as jagat royal and jagat malai
to know the customer satisfaction level after consuming the product
to meet the require ment of price conscious consumers
to dispatch goods in a given period of time
to analyse sub brands with their patent brands of jagat agro
to find out ways to promote jagat royal, jagat malai manpasand , sadabahar, and many
other products
to enquire roceting demand of jagat basmati rice and reson behind it
Agricultural and Processed Food Products Export Development Authority (APEDA)
Basmati rice means the "queen of fragrance or the perfumed one.

This type of rice has been grown in the foothills of the Himalayas for thousands of
years. Its perfumy, nut-like flavor and aroma can be attributed to the fact that the grain is
aged to decrease its moisture content. Basmati, long-grained rice with a fine texture is
the costliest rice in the world and has been favored by emperors and praised by poets for
hundreds of years. According to the Agricultural and Processed Food Products Export
Development Authority (APEDA), India is the second largest producer of rice after
China, and grows over a tenth of the world's wheat. In 1993, Basmati rice attracted the
highest premium because it is very-long grained rice, with an aroma of its own which
enhances the flavors its mixed with.

PRODUCTS

Jagat Agro Commodities Pvt. Ltd. has established itself as a processor of world class
basmati rice. The premium brand of basmati from the company is adored by all and
consumed by those who value taste and expect nothing but the best.
In synergy with prevailing market dynamics, the company offers various grades of raw
basmati rice and par boiled rice to suit different budgets and tastes.

JAGAT MALAI

Call it the 8th wonder of the world or the Jacob Diamond from the Nizam's collection, Jagat
Malai Basmati Rice is the best rice to fill the palate of the elite. A perfect blend of traditional
basmati 370 and 386 is sourced entirely from Punjab near the Himalayan Belt. With an average
length of 7.25mm, it elongates to over double the length on cooking. With a perfect separation
and aroma, it will leave a lingering taste in the mouth for quite a long period.

JAGAT KHUSHBU

As the name suggests, the aroma of Jagat Khushbu Basmati Rice fills the room once it is cooked
and served at the dining table. A blend of Taraori basmati and basmati 1 is
sourced from the Belt of Haryana. With an average length above 7.1 mm, it is one of the best
rice available in this price range.
[Available in 1kg, 5kg, 20kg and 35kg packs]

JAGAT MANPASAND

Jagat Manpasand Basmati Rice is everybody's delight. A perfect blend of basmati 1, Taraori
basmati and desi basmati has made it affordable without disturbing the inherent qualities of
traditional basmati rice.

JAGAT SADABAHAR

A fast moving item, it is the real value for money. It is a blend of basmati 1 and desi basmati,
where the latter is basmati originating from Dehradun, entirely grown now in the foothills of
Nainital in Uttaranchal. The elongation of the same is almost 2 times on cooling and gives the
perfect taste and aroma.

JAGAT EVERYDAY/SUPER EVERYDAY

As the name suggests, Jagat Everyday Basmati Rice is priced at almost the rate of non basmati
rice. It consists of 40% full grain and 60% or broken basmati rice, much better than the so
called Tukra in the market.
[Available in 1kg, 5kg, 20kg and 35kg packs]
JAGAT SPECIAL SELLA
Biryani rice eater's delight, Jagat Special Sella Basmati Rice is a blend of Taraori and basmati 1
Rice parboiled at the paddy stage with a processing of steaming and drying. When cooked for
Biryani or pulao, each grain separates out, thus making rice eating a memorable experience.

JAGAT PEARL
Each grain is treated to make Jagat Pearl Parmal Rice silky. It is the perfect match for people
who eat only non basmati rice. With less than 2% brokens, it is like the beads in a plate. Note:
The above blends are subject to change depending on the availability.

INDUSTRY PROFILE

India being the largest producer and exporter of basmati rice commands a premium over its
traditional rivals in terms of price and quality. It shows that the total rice market in the country is
estimated to be worth around Rs 1, 00,000 crore of which only 10 per cent of the rice is branded
this is reported in 2007. The branded rice sales have taken off in recent years and have been
growing at around 15 per cent in the domestic market compared to 5 per cent for unbranded rice.
The branded rice sales growth is an impressive 25 per cent in the international market as
compared to stagnant sales of unbranded rice. Added to this, of the Rs 3500 crore worth of
basmati rice produced, only around Rs 500 crore worth is sold in branded form. On the pricing
front, Basmati rice prices are expected to increase by Rs 7-8 per kg due to steady export demand
supported by lower crop.

The scenario of rice industry and the consumption of rice in Asian countries are given:

During 2005-2006 the total food grain production was 208.06 million tonnes in India. The
production of rice was 91.80 million Tonnes. With these production levels, India is the second
largest producer of rice in the world. Development and adoption of improved technologies
particularly improved varieties possessing high yield, resistance to important diseases and pests,
have played a major role in enhancing crop production and productivity.

From paddy to rice

Paddy undergoes certain processing treatments prior to its conversion into edible form. They are
thrashing, cleaning, drying, parboiling (optional) and milling.
Thrashing is done to separate out individual grains and is done by impact type of the thrashers.
Initial cleaning is done by winnowers and scalpers. Drying is required to remove excess
moisture from grains to increase storability and to made it suitable to undergo further treatment.
Parboiling is done to bring certain physio-chemical changes in the rice grains, so that its
nutritional value improves and it does not break during milling. It is optional as rice is consumed
in parboiled from as well as raw form. Milling is the process which converts paddy into
consumable rice.
The processes are briefly described below:
1. Pre-Cleaning:
Paddy after harvesting and thrashing contains "foreign matter" depending upon harvesting,
thrashing and handling methods. The foreign matter may be some other crops, seeds or particles.
The paddy received in the mill must be cleaned of straw, chaff, sand, stone, dust, particles of
mud and metal before it can be properly stored, otherwise it may cause deterioration of the
paddy during storage or may cause damage or obstruct the conveying and milling machinery.
Cleaning also helps to reduce storage space.
The first cleaning operation of paddy after thrashing is called "Scalping" small amount of
impurities that still remains is later removed during the cleaning done in the rice milling process.

2. DRYING:
The next Intake paddy also generally contains more moisture than is safe for store and has to be
dried. Freshly harvested paddy normally has moisture content 18-25%. This moisture must be
brought down by drying to ensure a good storage quality. The moisture content of 15% is
considered safe for short period of storage. For long storage, the grain should be dried to 13%
moisture or less. In the drying process, heat supplied by hot air or by the sun, evaporates the
moisture from the grain, while moving air carries away the evaporated moisture.

3. STORAGE
Paddy is harvested twice or thrice a year but, rice is consumed throughout the year. Therefore,
paddy is stored to supply the need between harvesting periods. Storage must keep the paddy safe
and also maintain its quality. It should provide protection against weather, insects, rats, birds,
microorganisms, moisture and any other type of contamination. Care should be taken to store
different varieties of paddy separately to avoid mix-up.
4. MILLING
Unlike other food grains, rice is mostly consumed as cooked whole grain. Milling technology is
therefore, geared to obtain maximum out of milled rice not to reduce breakage to the minimum.
The sequential steps of modern rice milling rice process are:
Cleaning : Cleaning is the first step in modern rice milling. It not only enables the production of
clean rice but also protects the milling capacity by removing foreign matter such as sand, straw,
seeds and pieces of iron from paddy.
Dehusking: The objective of dehusking ( shelling) is to remove the husk from the paddy with a
minimum damage to the brown layer and without breaking the brown rice grain. The machine
used for dehusking is Sheller which by shear action removes away paddy cover i.e. husk.

Husk Separation : A mixture of dehusked rice, remaining unshelled paddy, some broken rice
and husk that has been split off the paddy comes out of the Sheller. The mixture is processed to
separate the broken husk.
Polishing : The brown rice is next polished to remove bran layers. Some amount of polishing is
essential for easy cooking and storage, although excessive polishing reduces the nutritive value
of rice. Various types of machines are available to ensure that the grains receive white finished
and silky gloss. Such appearance nevertheless forms an extra selling in Western consumer
markets.
Grading : After polishing operation, the milled rice contains in addition to whole grains, some
bran and dust. Separation of these materials is termed as Grading.
Colour sorting : In order to ensure excellent quality of rice particularly from export point of
view many exporters use imported colour shorting machines. These machines segregate rice on
the basis of colour and separate all coloured grains and ensures final products is white and
uniform in colour.
The 90000 monochromatic is the world's standard rice machine for small and large millers,
removing brown and yellow grains and tip defects. The performance of the machinery is
enhanced by 90000 bichromatic, and the addition of infra-red gives the rejection of glass and
other foreign matter. The laboratory also plays a key role in respect of maintaining checks on
several other aspects such as size, length and the removal of broken tips.

The above production process gives our rice the delicate texture, flavour and aroma only unique
to Jagat Basmati Rice. Our machineries enable maximum yield of full grains so as to minimize
the cost of production. This ensures the competitiveness of our products, in turn ensuring that
only the finest quality of rice reaches our valued customer.

SCALPERATING AND ASPIRATING

Discriminating and highly competitive western markets have imposed exacting food laws. Many
Basmati exporters are facing formidable barriers and they find it very difficult to penetrate the
US and European markets. Scalperators and Aspirators provide an efficient high capacity way to
remove rough material and micro-filth from the rice and/or Paddy. Aspirators separate from rice
micro-filth such as rodent hair and droppings and fine dust by density or specific-gravity
through precision control of air stream. Rice processed through these aspirators completely free
of impurities.

DISTRIBUTION NETWORK OF JAGAT AGRO COMMODITIES PVT. LTD.

With its network of over 150 distributors and three lakh retailers, Jagat Basmati Rice has
launched its products in various parts of India.

STATE-WISE DETAILS OF DISTRIBUTORS

TERMS AND CONDITIONS FOR SALE OF JAGAT RICE

STATE-WISE DETAILS OF DISTRIBUTORS

EXPORT OF RICE
VARIETIES OF RICE EXPORTED FROM INDIA
BASMATI (Aromatic)
1. Raw Basmati
a. Silky Basmati.
b. Basmati Grade A
c. Basmati Grade B
d. Broom Basmati
e .Basmati Average Quality.

2. Basmati Sela (Parbolioed)

a. Basmati Silky Sela
b. Basmati Sela Grade A
c. Basmati Sela Grade B
NON BASMATI (Indica)
1. Parmal PR- 106
2. IR-64
3. IR 8
4. Gaurav
5. Terrycot
6. Pusa Basmati or Duplicate Basmati.

NOTE: Sela rice or Parboiled rice is boiled during milling prior to dehusking. This enhances the
nutritive value of rice along with making it more unbreakable.

EXPORT SALES

Jagat Agro Commodities Pvt. Ltd. was established in 1986 with a view to export basmati rice.
With the hard work of the promoters of the company, Jagat Agro made a significant
breakthrough into the exports of basmati
rice to the buyers having their own brands. It was a turning point for Jagat when it became the
sole processor for a leading multinational export house. In fact, by 1989,
the company was exporting substantial quantities totaling a turnover of above Rs10 crores ($10
million in that year convertibility) during the year.
Thereafter, with the induction of Mr. Santlal Aggarwal, the company started promoting its own
brand 'Jagat'. Instead of concentrating on the exports market, the company visualized the
potential of this market in India with its vast population. Soon it established itself as one of the
top brand players in basmati rice. Today the brand 'JAGAT' is a name to reckon within India,
with a turnover of above Rs.200 crores ($40 million) per annum.

Having established themselves significantly in the domestic market, Jagat Agro is now all
geared up to make a breakthrough in exports front by launching their brand 'JAGAT' in the
foreign market and for this purpose. In fact, we are already in negotiations with a few
distributors in the Middle East to promote and market our brand.
With 'MAGIC' Colour Sortex from Satake Corporation Japan, which removes chalky grains
along with other foreign materials and yellow discoloured

Quality Control

With the objective of providing the best rice to the customers, Jagat has made long term
investments in manufacturing, research and development facilities. In 1995, Jagat Agro
Commodities Pvt. Ltd. became the proud recipient of the prestigious Trans World Gold Star
Award for excellence in quality from the Institute of Economic Studies.

Our quality expertise starts from the very beginning i.e. purchase and storage of paddy. The
laboratory plays a key role in respect of maintaining checks on several aspects such as size,
length and removal of broken tips. The high technology instruments enable the company to
monitor quality parameters at each and every stage of processing.
Rice is judged on 4 main parameters:
1. Appearance
2. Taste
3. Aroma
4. Cooking Quality.
Taste and Aroma are subjective characteristic.
The parameter for determining appearance of rice are:-

On the basis of average length of Kernels milled rice is classified into following categories :-

Scale

Size

Length (mm)

Extra Long

> 7.50

Long

6.61 7.50

Medium

5.51 6.60

short

5.50 or less

Grain Shape is estimated by length/breath ratio of kernels.

Scale

Size

Length (mm)

Slender

Over 3.0

Medium

2.1 3.0

Bold

1.1 2.0

Round

1.0 or less

Cooking and eating qualities of rice largely dependent upon the properties of Starch that makes
up 90% of milled rice. Several components traits collectively determine cooking and eating
qualities, these are:

A. Amylase Content
The cooking quality of milled rice are function of ratio of amylose and amylopectin of the rice
grain. Amylose content also determines hardness of cooked rice, gloss of the final product and
rice water ratio.

Type

Range of Amylose Type of cooked rice

Rice water ratio

Waxy(glutinous)

0.8%

Moist, sticky, glossy

1 : 1.3

Low Amylose Inter.

8.20%

Sticky, soft

1 : 1.7

Amylose

20 25%

Dry, flaky, soft

1 : 1.9

High Amylose

25 32%

Cook dry, flaky, hard 1 : 2.1

B. Grain Elongation
Lengthwise expansion upon cooking increase in girth is considered a desirable trait in high
quality rice.
C. Aroma
Basmati emits specific aroma in the field, at harvest, in storage, during milling , cooking and
eating.

D. Gelatinisation Temperature
It is the range of temperature within which the starch granules begin to swell irreversibly in hot
water and ranges from 55 to 79 degree centigrade. It is also called resistance to cooking, as time
required for cooking is determined by gelatinisation temperature.

E. Gel Consistency
Varieties with same gelatinisation temperature and amylose content differed in acceptability.
This difference is due to gel consistency. It is differentiated by cold milled rice paste and is
classified into hard( >60 mm). Basmati and other high elongating rice have medium gel length,
which is most preferred.

F. Volume Expansion
The gloss of final product is related to volume expansion and water absorption during cooking,
which are affected by amylose content. Volume expansion may be about 2-4.3 times. Grains, one
of the first of its kind of machinery in India and the Nitrogen Reusable Flushed Packing, Jagat
Agro Commodities Pvt. Ltd. is confident of achieving success in the international market.

THE BASMATI CONTROVERSY

A well known Company in USA had applied for the Patent of Basmati Rice i.e. it could label its
product as Basmati Rice and in turn nobody else could use this nomenclature for its product. It is
like somebody, says in India, and gets a patent registered for Champagne and then nobody, even
people in France (where Champagne originated from) would be allowed to call its product as
Champagne. Though the authorities in USA have rejected the claim however they have allowed
their three strains of rice to be called basmati rice. This is also against the principles as basmati
rice is only grown in UP, Punjab, Haryana and J&K in India and Punjab in Pakistan since
decades. Any rice grown elsewhere other than the above regions cannot be called Basmati, as It
cannot have the combined characteristic of aroma and elongation post cooking because of the
soil and weather conditions.

The Promoters:
SATISH PAWA: A Maths graduate from St. Stephens College, New Delhi started his career in
business in the commodity market in edible and non edible oils, but soon he switched to rice.
His constant contact with multinationals made him realize the importance of brand value and he
applied for registration of the brand 'JAGAT' in 1987.
SANTLAL AGGARWAL: After completing his education, he started broking for an export
house for their requirement of rice for the foreign market. With his agricultural background (his
family has been farmers for decades), honesty and hard work, soon the company realized his
potential and made him the key broker.
Thereafter he was the sole broker for a multinational for more than 10 years.

Fact File

WHAT IS BASMATI RICE?

Many a times people have asked what is the meaning of basmati rice. Basmati rice has been
reported in India since the early days of the 19th Century though it may have been named
differently. Bas in Hindi language means aroma and Mati means full of hence the
word Basmati i.e. full of aroma. This rice is different from other rice mainly due to the
aroma and elongation post cooking. No other rice has this combined characteristic. The post
cooking elongation of more than twice its original length, the aroma and its sweet taste has
made basmati rice a delicacy. Basmati rice is grown only in Northern India and in parts of
Pakistan touching India. One can easily call it the Champagne of India.
THE BASMATI CONTROVERSY
a well known Company in USA had applied for the Patent of Basmati Rice i.e. it could label
its product as Basmati Rice and in turn nobody else could use this nomenclature for its
product. It is like somebody, says in India, gets a patent registered for Champagne and then
nobody, even people in France (where Champagne originated from) would be allowed to call
its product as Champagne. Though the authorities in USA have rejected the claim however
they have allowed their three strains of rice to be called basmati rice. This is also against the
principles as basmati rice is only grown in UP, Punjab, Haryana and J&K in India and
Punjab in Pakistan since decades. Any rice grown elsewhere other than the above regions
cannot be called Basmati, as it cannot have the combined characteristic of aroma and
elongation post cooking because of the soil and weather conditions.

WHAT ARE THE DIFFERENT KINDS OF NON- BASMATI RICE?

Any rice other than basmati rice is called non- basmati rice. In the world it has been reported
that there are 10000 varieties of rice, the maximum number being in India. . In fact, basmati
rice equals to only 1% production of the total rice grown in India.
Non- basmati rice comes in all kinds of different shapes and sizes. Some are long and
slender, some are short and thick, some are like beads, and some may be round. None have
the same characteristics as basmati rice i.e. they do not have both the aroma and post
cooking elongation. Only some of the long slender rice is shaped like basmati rice and may
have either the aroma or the elongation but not both. Some names of non basmati rice are
Sharbati, Haryana Gaurav, shaped like basmati rice and PR, 104 IR8, from the Punjab and
Haryana, Surti colon from Gujarat and Maharashtra, Kala Joya from Nagaland, Culture from
MP, IR 64, Masuri from Andhra, Govind Bogh from W. Bengal, Tilak, Masuri from U.P.
THE DIFFERENCE BETWEEN ORDINARY AND SELLA (PAR BOILED) RICE
Many a people have the misconception that Sella Rice is a different variety of Rice. This is
not so, Sella is a Rice Milled differently i.e. the Paddy (Raw Material) is steamed and then
dried for milling. The yellow color, which it adapts, is because of this process. The color can
be also be darkened according to the requirements. Any rice can be milled with this process
basmati or non- basmati rice. The advantage of this rice is that on post cooking each grain
separates out perfectly hence it is widely used in preparing Biryani or Pulao.

WHATS THE DIFFERENCE BETWEEN BASMATI AND NON - BASMATI RICE?

As mentioned, basmati rice has both and elongation post cooking and no other rice in the
world has these characteristics in combination. The taste is also different. Once the taste
buds get used to basmati rice no other rice will be likened. But since the yield of basmati
rice, per acre of land, is less than half of that of non- basmati rice and because of higher
inputs - basmati rice has become unaffordable for most people. However Jagat Agro
Commodities (P) Ltd. has made basmati rice affordable for people of various income
brackets- with its different varieties of basmati rice, starting with Rs.15 per kg to Rs.70 per
kg. MRP.

WHAT ARE THE ADVANTAGES OF EATING BASMATI RICE

Each grain of matured old basmati rice on cooking, separates out and with its unique
characteristics of aroma and elongation post cooking, it is a treat for the diner. Also its
elongation requirement on weight basis will be less than any other rice per meal.

Research methodology
The report is based on the information & data gathered from industries, associations,
institutions, periodicals & literature on the subject matter. For this, various meetings,
interactions & interviews were held with the concerned identified cluster actors. For gathering
information from the industries & associations, a Performa was devised and necessary
information was obtained through personal visits & Interaction. The informations & data from
Institutions & other cluster actors was based on the specific requirement of this report. Since this
was a time bound assignment, the emphasis was made on personal visits & interactions.

List of approved varieties

Punjab, Kernel Basmati (Pakistan), Dehradun, Safidon, Haryana, Super basmati, Kasturi (Baran,
Rajasthan), Basmati 198, basmati 217, basmati 370, basmati 385, basmati 386, Bihar, Kasturi,
Mahi Suganda, Pusa, Ranbir, Taraori. Some non-traditional aromatic crosses with basmati
characteristics are marketed under a Sugandh designation.

Detection of adulterated strains

Difficulty in differentiating genuine traditional basmati from pretenders and the significant price
difference between them has led fraudulent traders to adulterate traditional basmati. To protect
the interests of consumers and trade, a PCR-based assay similar to DNA fingerprinting in
humans allows for the detection of adulterated and non-basmati strains. Its detection limit for
adulteration is from 1% upwards with an error rate of 1.5%. Exporters of basmati rice use
'purity certificates' based on DNA tests for their basmati rice consignments. See Protocol and.
based on this protocol, which was developed at the Centre for DNA Fingerprinting and
Diagnostics, Labindia, an Indian company has released kits to detect basmati adulteration.

Flavor
Basmati rice has a typical pandan-like (Pandanus fascicularis leaf) flavour caused by the aroma
compound 2-acetyl-1-pyrroline. Basmati Rice is the choice of rice used for
cooking Biryani, Pilaf and sometimes Kheer.

Patent battle
In September 1997, a Texas company called Rice Tec won a patent on "basmati rice lines and
grains." The patent secures lines of basmati and basmati-like rice and ways of analyzing that
rice. Rice Tec, owned by Prince Hans-Adam of Liechtenstein, faced international outrage over
allegations of biopiracy. It had also caused a brief diplomatic crisis between India and United
States with India threatening to take the matter to WTO as a violation of TRIPS which could
have resulted in a major embarrassment for the United States. Both voluntarily and due to
review decisions by the United States Patent and Trademark Office, RiceTec lost or withdrew
most of the claims of the patent, including, most importantly, the right to call their rice lines
"basmati." A more limited varietal patent was granted to RiceTec in 2001 on claims dealing with
three strains of the rice developed by the company.

Glycemic index

According to the Canadian Diabetes Association, basmati rice has a "medium" glycemic index ,
thus making it more suitable for diabetics as compared to certain other grains and products made
from white flour.

The Basmati Stakeholder

The Basmati Rice Farmer
Growing Basmati since centuries
Farmer families involved are more than 1.0 Million
95% own less than 5 Hectares
Suffers post harvest losses & low prices
Contributes 90% to the market value

The Basmati Rice Farmer

Growing Basmati since centuries
Farmer families involved are more than 1.0 Million
95% own less than 5 Hectares
Suffers post harvest losses & low prices
Contributes 90% to the market value

The Miller
More than 2000 rice mills in the area
6% most modern rice mills
Adds up to 5% in market able value

The Basmati Exporter

Private rice exports only after1988
500 exporters of Basmati rice
Only a 100 export more than 1000 tons
Control domestic rates.

The Government
Policy making
Regulation
Research
Indicative price

Jagat has successfully established its Quality Management System according to ISO
9001:2000. This means that all workflow, from the beginning up to the manufacturing
and test procedures, is done to the highest, precisely defined quality standard.
Jagat', although registered in 1986 was formally launched in November 1992 when the
group took over a mill in Delhi under the stewardship of its Directors, Mr. Satish Pawa
and Mr. Sant Lal Aggarwal. In 1994, Ms. Sudha Pawa, a textile designer by qualification,
took over the reins of Jagat Agro Commodities Pvt. Ltd. and began supervising
promotions and sales of the products. The company, on January 3,1995 had the honour of
receiving Trans World Gold Star Award for excellence in quality from the Institute of
Economic Studies, presented by Honorable Deputy Chief Minister of Goa, Shri Wilfred
D'Souza.
Jagat has successfully established its Quality Management System according to ISO
9001:2000. This means that all workflow, from the beginning up to the manufacturing
and test procedures, is done to the highest, precisely defined quality standard.
The company, with its network of offices in major mandies of rice-producing states has
full infrastructure to procure the best quality of paddy. This paddy is then milled in two
rice milling plants at Delhi and Rai(Haryana), all having modern machines and
equipments based on foreign technology, to produce the finest Jagat Basmati Rice with
supreme flavour and fragrance.

Limitations

TERMS AND CONDITIONS FOR SALE OF 'JAGAT RICE'

Goods will be dispatched on advance payment basis by demand draft.

Rates will be applicable as per price list prevailing on the date of dispatch.

Transportation will be to the buyers account on a "to pay" basis.

Insurance charges will be to the buyers account.

The concerned dealers will stock and sell our products of rice in their territory only. This is on
the condition that they will not stock and sell any other brand.

All benefits and promotional expenses will be to the company account.

All help will be provided for the sales promotion from time to time by the company's sales
personnel visiting and through localized promotional advertisements.

All schemes and promotional activities will be given to all our distributors from time to time.

Tax, Freight and D.D. commission as per applicable in the State will be to the buyers account.

In case we feel that one dealer is not sufficient to distribute properly in the area as assigned, we
have the right to sub divide the territory and assign it to any other dealer.

The concerned dealer should obtain all Statuary Government licenses, the copies of which are
to be filed with the Company.

Prices are Ex-Delhi based.

SOURCE OF DATA

In the data collection method, we have collected both primary and secondary data to meet our
objective.
Primary data:
The primary data was collected by a survey based on the questionnaire. It was formulated
on the basis of information gathered by me with the help of Mr. who provide useful guidelines
and objective of our study.

Secondary data:
The secondary data was collected from books and internet.

Research Approach:
The required information in the form of data is collected through survey method, with the
help of personal interview through questionnaire method.

Sampling plan:
There is a stage where the planning is done about the sample units, sample size, sampling
procedures, etc.

Sampling units:
This means, which is to be surveyed. So as mention earlier that the sample units is
potential peoples.

Sample size:
The sample size means how many people should be surveyed. So that total sample size is
45, which cover from different area of Delhi

Sampling Procedures:
I choose convenient and judgmental sampling for my research.

Data collection method :

Personal interview method is used for collection of primary data in the form of
questionnaire from respondents.

Analysis
WHERE IS BASMATI RICE COMING FROM? A GLOBAL TRADERELATED OVERVIEW

Abstract
Rice contributes on 20% towards human calorie intake of the world population and 30% of
Asian population. Worldwide paddy rice crop was 668 million tonnes in 2008, while rice
trade during the year was 30 million tonnes. Trade represents 7% of overall rice cropping.
Basmati rice export counts for high value and low volume. Although Basmati crop is
primarily from two countries, specific data related to Basmati export are scarce. Basmati trade
constituted 8.3% of rice world trade during 2008, with a record of 2.45 million tonnes. Recent
volatility of prices affects rice trade market, but less Basmati price that is still the highest on
world rice market. This paper depicts the present situation of Basmati trade and its business
prospects as a tradable commodity by analysing recent data. Basmati is now a trade-oriented
commodity and its price premium attracts number of stakeholders, even when they are far
from the original area of cropping. Hence a clarification of areas sown and seeds lines variety
might enhance authenticity of Basmati and would allow to improve reliability of Basmati
supply chain actors as well. This will act in favour of a more sustainable market for Basmati
as a Geographical Indication.

WHERE IS BASMATI RICE COMING FROM? A GLOBAL TRADERELATED

OVERVIE

Interest and important

Rice is staple food for at least 62.8% of planet inhabitants and it contributes on an average
20% of apparent caloric intake of the world population and 30 % of population in Asia. This
contribution varies from 29.5% for China to 72.0% for Bangladesh (Calpe and Prakash,
2007). Worldwide paddy rice crop is foreseen to be 667.7 million tonnes by FAO in 2008.
Rice global trade is usually low and counts for 7% of worldwide paddy crop (Calpe, 2005).
Rice global trade is estimated, on a milled basis, at 29.6 million tonnes by USDA and 30.2
million tonnes by FAO for 2008 (Childs, 2007; FAO, 2008).

While rice trade is low, varying around 6% of overall rice cropping, Basmati rice export
counts for high value and low volume. However, specific data related to Basmati export
are scarce, although it comes primarily from only two countries: India and Pakistan. Basmati
trade increased from 5.2% to 8.3% of all rice world trade from 2003 to 2008, with a record of
2.45 million tonnes on milled basis. Recent increase and fall of agricultural commodities
prices affects rice trade market, but Basmati price did not drop after spring 2008 increase and
is still the highest on world rice market (FAO, 2008). Currently, Basmati rice accounts for
around
38% of the dry rice market oriented towards direct food consumption, while the main market
for coarse rice varieties is its use, through transformation process, in the food & beverage and
the pharmaceutical industries.
Basmati is premium long grain rice. Its high value comes from its characteristic aroma in both
the raw and cooked state, and the grain is a distinctive shape, which on cooking elongates to
almost double its length whilst its width remains the same. In addition to having unique eating
qualities, Basmati rice is reported to be a good source of slow releasing carbohydrates (i.e. it
has a low glycmic index compared with other rice). Basmati rice is generally identified by
Three main factors: appearance, aroma and taste. Basmati rice is characterized by superfine
grain, pleasant aroma, soft texture and extreme grain elongation with least breadth-wise
swelling on cooking. The Basmati rice has traditionally been grown in the north and northwestern part of the Indian sub-continent for centuries. Basmati grows better and produces the
best quality grains under warm, humid, valley-like conditions.
Material and method
This paper intends to depict the present situation of Basmati trade and its business prospects
by presenting recent original data available of February 2009 sourced from several databanks
and contrasting it with previous analyses published earlier on.
Data is sourced primarily from the directorate Trade and Markets from FAO, USDA in USA,
DG Agriculture in EU, Ministry of Commerce, and to some extent from Ministry of
Agriculture, in Pakistan and India. Due to great variety of rice formats, the comparison of
price/weight ratio is meaningless when data on paddy, brown, husked, milled, parboiled and
broken rice are available.

Due to the overall harvesting, processing and packaging stages along the supply chain,
rices loss in weight varies from 10% to 37% according to variety, cropping area and kind of
machinery.
Calendar year for recording rice campaign is from April to March in India, July to June in
Pakistan, September to August in European Union and August to July in USA. For EU,
import rice data are available in tons for husked Basmati, for USA they are in metric tons
milled basis and prices are in USD on rough rice basis.
In Pakistan, exports breakdown of Basmati vs other rice is shown in value and volume, while
data of production are available in volume and acreage at district level by rice variety. In
India, data are sparsely available, mainly displayed in value when difference between Basmati
and non-Basmati is done. Data on production and acrage are available at state level without
Any detail on
variety.

Finally, data on Basmati rice are mainly provided by trade sources, while agricultural
ministries were supposed to have such database. Overall Basmati production, for both export
and domestic consumption, is still unknown as crop data from India are not available. Large
variability in rice varieties is not helpful in order to get an accurate monitoring of Basmati
production. The question is how far a hybrid can be crossbred to be still qualified as
belonging to the Basmati family due to several crossbreeding? What is the significant lineage
from pure lines for Basmati hybrids: 70%, 50%, 10%, 5%, or 1%? No scientific evidence is
published on this, whereas some trade stakeholders are likely to be prone to label as Basmati
any kind of hybrid with at least one remote lineage with Basmati (Independent Bangladesh,
2008). Growers and relevant stakeholders, from and close to the region of origin, are more
rooted to traditional pure lines.

RESUTS
Basmati rice cropping
The delimitation of ancient Punjab was rather clear before the partition done in 1947 by the
Authorities of the British Empire for the independence of India and Pakistan. Old Punjab is
likely to include present western Punjab in Pakistan, eastern Punjab and Haryana in India.
Most districts of these regions are reported to be the Basmati belt. All these regions are
located in Himalayan foothills and constitute the home of Basmati, with peculiar pdoclimatic conditions and specific knowledge on traditional cropping of Basmati rice (Giraud,
2008). For example, cropping in districts Sialkot, Sheikupura, Gujranwala in Pakistan and
Kurukshetra, Amritsar in India, is known for giving high quality and aroma to Basmati.
In western Punjab, which represents 91.2% of all Pakistan Basmati crops, Basmati acreage
increased by 39.7% in ten years, yield increased by 32.8%. However, Basmati yield is still
Low with 1721 kg/ha in 2006 in western Punjab, compared to 2116 kg/ha for all rice
produced.
In Pakistan, and 3858 kg/ha in eastern Punjab and 3051 kg/ha in Haryana, which are the
major Basmati providing regions in India. As cropping area is stabilized into the studied
countries, increase of Basmati production depends on yield improvement, substitution
of Basmati instead of coarse rice crops, and improvement in milling process to a minor
extent. Basmati represented 61.6% of rice acreage and 50.3% of production in Pakistan in
2007. According to Mushtaq and Dawson, Basmati rice acreage in Pakistan is not responsive
to price shocks but more sensitive to variation in irrigated area.
While agricultural education towards farmers is still in progress in order to help them to use
best practices in rice growing, yield improvement mainly vary according to genetic selection
and crossbreeding.
.

Researchers are working hard in order to help at improving Basmati yields and spreading crop
areas ( Singh et al., 2 0 0 6 ; B a s h i r e t a l ., 2 0 0 7 ; A b e d u l l a h , 20 07 ). However, e nd -use
Characteristics are related to the growing place. The same seeds do not provide the same final
Traits according to variation in planting location. Hence the trade-off is between yield
improvement and pure lineage in Basmati parentage for new varieties.

Rice, a sensitive and special foodstuff

Rice is recognized as a sensitive and special product by some countries (Calpe and Prakash,

2007). It means that Governments are able to control, and sometimes stop the rice trade
throughout specific taxes, governmental distribution agencies and price regulation. This
exception regime is said to be leading to a more safe food security system providing rice at a
low price for local population in developing countries.

Despite its second position as rice exporter, Vietnam banned commercial exporters from
making sales for several months in
2008 (Childs, 2008). Egypt, India and Bangladesh did the same. Basmati was not included in
this ban period. According to FAO, the share of export represents 48.0% of overall 2008
production for Thailand, the first rice exporter, 54.0% for Pakistan, 55.2% for USA, 18.8%
for Viet Nam, 2.4% for India and 1.2% for China (FAO, 2008). Although related to the
diverse varieties fitting with consumers preferences, these percentages indicate various
orientations towards trade market.
This process does not affect directly Basmati market (Childs and Kiawu, 2009). However, the
authorities from India and Pakistan pay attention to rice availability for their own inhabitants.
In 2008, India applied a minimum export price (MEP) of USD 1200 per ton, plus a cess of
USD 180 on Basmati rice exports (FAO, 2009). Pakistan applied a MEP of USD 1300 per ton
for Basmati rice, and USD 1500 for super Basmati, from January to August.

Major importers
Trade in coarse rice is spread in several countries, mainly located in Asia, with five first
importers making 25% of overall rice trade in 2007. Basmati trade is rather concentrated. In
2007, the first five clients of India have a share of 84.9% and those of Pakistan 68.5% of

Respective Basmati export (India: 616.7 million USD; Pakistan: 556 million USD). India
mainly exports Basmati to Saudi Arabia, European Union, Kuwait, Union of Arab Emirates
and USA, whereas Pakistan does the same with Union of Arab Emirates, Iran, Oman,
European Union and Yemen.

Basmati trade is also concentrated by demand side. The five first importers made 44.5% of
overall market in 2007. Main importers are almost all located in the Middle East, although
European Union is the third importer.

Bahrain 22
Qatar 24
Yemen 25
USA 39
Oman 39

Basmati 10 main importers

million USD 2007

Union Arab
Emirates
306

Iran 55
Kuwait
89
European
Union
120

Saudi
Arabia
298

Of minor, but noticeable interest is that little exports to some countries are not recorded as
import by the relevant country. For instance, India and Pakistan declare to export Basmati to
Denmark in 2007-08, while no import of Basmati is recorded in Denmark, from India neither
Pakistan, since several years. This may be explained by the location of a trader(s) in
Denmark may be in a free port, which is shipping this rice to some milling company not
located in the same country. Another possibility is the general proneness to overestimate the
export and underestimate the import.
Basmati price evolution
Basmati rice attains by far, a higher price than non-Basmati rice in both wholesale and retail
markets. Basmati particularly attracts highest price on world export market. According to
Child, after nearly tripling to record highs from November 2007 to May 2008, global trading
prices have dropped sharply (Child, 2008). Price quotes for Thailands high-quality long-grain
milled rice, a benchmark for global trading prices, have declined more than 40% since May.
Prices for U.S. long-grain milled rice, which more than doubled from November 2007 to late
April 2008, have declined more than 30%.

By comparison, price of Basmati is the highest among rice from September 2007 to January
2009, but not during the peak of May 2008, with 1100 USD /T. Its evolution is more stable:
after an increase of 69.2% from September 2007 to March 2008, no drop was shown from
May to January 2009 (FAO, 2009). Factors acting on Basmati price seem to be related to
stable increase of demand from major importers and harvest variation, rather than prices
volatility on a rising market.

The price premium of Basmati attracts lot of players and increases competition between
domestic and trade markets. Hence frequent market shortages may probably also foster
fraudulent blending. The authentication of Basmati rice is an important topic since it attracts
highest price on trade market. Hence, rice trade counts several players, sensitive to the market
pressure thus increasingly the demand of Basmati rice, while the production does not always
follow this trend.

Discussion
Authentication and traceability
Authentication methods of rice, based on DNA tests, are implemented and validated since
long time (Bligh et al., 1999). A survey using DNA test was carried out in 2003 by the British
Food Standards Agency in order to measure the sincerity of labelling Basmati on rice
packages sold in UK (Burns et al., 2004). Approximately one-third of the 363 samples,
collected from a range of retail outlets and catering suppliers, were labelled as from India,
one-third from Pakistan, and the final one third were not labelled with the country of origin. A
small number of samples were labelled as mixed origin.
All samples claimed to be Basmati rice as written on their labelling. While 196 (54%)
samples were found to contain only Basmati rice, non-Basmati rice was detected in 167
(46%). In around 24% of these samples, the non-Basmati rice content was relatively small i.e.
less than 10% (and below the limit of measurement in 10% of these samples). However 63
(17%) samples had non-Basmati rice content, greater than 20%. Of great concern were the 31
(9%) samples that were found to have non-Basmati rice content greater than 60%.

On a market where demand exceeds by far supply, stakeholders are sometimes tempted to act
in borderline manner (World Trade Review, 2008). Hence, the presence of semi-basmati
and product uncertainties is noticed by literature based on field studies (Goel and
Bhaskaran, 2007). Another issue on authentication and traceability of Basmati is the genetic
selection and parentage of hybrid lines.
Lineage and parentage
The market pressure, and expected earnings from stakeholders as well, led to improve yields
of the most expensive rice. The genetic selection, so far, gave several hybrids that now
content small percent of traditional Basmati pure line.
Presently, the different recognized lines of Basmati vary from Pakistan to India. It is
questionable when the list of native and indigenous lines of Basmati will be defined according
to the GI protection in one hand and trade pressure on another. Basmati 370 was identified in
1933, Super Basmati was developed in 1995 (Bashir et al., 2007). Nowadays, Basmati 2000
& Pusa 1121 are sold as Basmati, albeit not always showing strong links to either Basmati
pure lines or Punjab

region. Some basmati-related seeds are n o w released in N e p a l ,

Bangladesh, Texas or even Italy. Basmati sowing trials are noticed in Baluchistan in Pakistan,
in Uttar Pradesh, Rajasthan and Karnataka in India.

However, agronomicand climatic

conditions are very different from Punjab. Hence genetic selection gave adapted hybrids able
to resist to water scarcity or salt abundance or very hot temperature or weeds attacks and so
on. These hybrids are coming from Basmati lines in a modest extent. Hence the final
characters of such hybrid lines are far from genuine traits of pure Basmati lines.
More generally, the long list of Basmati lines may confuse non-skilled stakeholders and
consumers as well. At least 60 lines of Basmati rice are released on the world seed market.
The list includes the name of the major pure lines and various hybrids as well.

Of the largest aromatic germplasm maintained at IRRI, about 86 are described by the
name Basmati irrespective of grain dimensions and intensity of aroma: Pakistan (67), India
(9), Nepal (7), Bangladesh (2) and Sri Lanka (1). Comparing these with Basmati standards,
only 18 qualify as Basmati (Singh et al., 2000). A harmonious combination of minimum
kernel dimension, intensity of aroma, texture of cooked rice, high volume expansion during
cooking made up by linear kernel

elongation with minimum breadth-wise swelling,

fluffiness, palatability, easy digestibility and longer shelf life qualify a rice to be Basmati in
consumers and traders view (Singh et al., 2000).
In September 2008, India put Pusa 1121 into the official list of Basmati lines (Gulf Times,
2008). Pusa 1121 is a hybrid released in 2003, which is the world's longest grain, but contains
just 5% of traditional Basmati line. This newly bred variety has yield two times more than
traditional tall basmati cultivars such as Taraori. It also scores high in terms of aroma, greater
elongation upon cooking and less chalky grain content. This event is the most recent of a long
list of re-branding hybrid lines into Basmati family in order to provide trade market to the
expected quantities of basmati-like rice.
Listing what is Basmati or not at this stage may lead to endless controversy, as complex figure
will perpetually come out from crossbreeding developments. It might be worth to consider
how to better and clearly define what might be the percent of parentage kept into hybrid in
order to make new varieties eligible to qualify as Basmati lineage. Instead of making such
trade-off on trade basis, it might be preferable to use the end characteristics that make the
segmentation between Basmati and coarse rice: fragrance and cooking qualities. Hence, yield
improvement would be a secondary factor, not jeopardizing Basmati authenticity and origin.
Basmati is a trade-oriented commodity that attracts number of stakeholders because of price
premium, even when they are located far from Punjab, home of Basmati. Hence a clarification
of crop areas and seeds lines variety might enhance authenticity of GI Basmati and would
allow at improving reliability of Basmati supply chain actors as well (Chandola, 2006; MarieVivien, 2008). This will act in favour of a more sustainable market for Basmati.

Conclusion
The previous observations give suitable orientation for the revision of the export standards
from India and Pakistan, and for the updating of importers Code of Practice as well. Clean
and fair practices should be promoted within the rice commodity chain in order not to mislead
the consumers. The recent move to register Basmati as GI trademark in Pakistan might lead to
improved traceability (Mohsin, 2008). Likewise protection of true to type Basmati under
national laws will add to transparency in Basmati rice trade. Whereas, the WTO Agreement
on TRIPs does not require a member to protect geographical indications unless they are
protected in their country of origin (Article 24.9), but once India and Pakistan have passed an
appropriate Law, retrospective action becomes possible to prevent firms in other countries
marketing rice grown outside the Indian subcontinent as Basmati. However, India and
Pakistan still have much to gain from taking prompt legislative measures, because a
Geographical Indication system can have retrospective effect (Pirzada, 2001).
According to the trade orientation of Basmati rice, Geographical Indication scheme might fit
better if based upon Protected Geographical Indication (PGI), rather than upon Protected
Designation of Origin (PDO). The last requires that all cropping, processing and packaging
stages must be done into the region of origin, while the first only needs the rooted location of
one of these stages. PGI fits well with the actual supply chain organisation prevailing in
Basmati industry. Based upon old reputation of products high quality and strong independent
controls of compliance with code of practices, PGI scheme is compatible with important scale
of production and broad marketing. Still under free market regime, Basmati rice trade may
take benefits from protection of rice origin in order to avoid end consumers misleading.
Consequently, a split between GI Basmati from Punjab and coarse basmati might be foreseen.
GI Basmati from Punjab would come from the region of origin with clear traceability of
varieties with strong evidence of parentage with Basmati pure lines. This must be written into
the code of practices related to the PGI certification. On another hand,

Some coarse basmati might take a fringe market share for those importers where local
consumers are more prices sensitive or under influence of strong branding strategies and
less sensitive to aroma or authenticity of rice. To be confirmed, this forecast needs further
investigations, especially by using a more complete literature overview and improved
reliability of data collected.

Interpretation
Q1 TO WHICH COMPANY YOU WILL GIVE PREFERANCE WHILE PURCHASING
JAGAT
KOHINOOR
INDIAGATE
DAVAT

45
25
10
20

Interpretation:
Jagat is one of the best selling brands in the market

Q2WHICH OF THERE TWO BRANDS U PREFER THE MOST?

Malai

40

Royal

60

Interpretation:
Royal is the most preferable brand by the consumers

Q3 WHAT IS THE CURRENT DEMAND OF CUSTOMERS IN MARKET

0 TO 1 KG

10

1 KG TO 5 KG

20

5 TO 10 KG

40

MORE THAN 10

20

KG

Interpretation:
The consumers mostly prefer to purchase 5 to 10 kg hic is there current demand

Q4 WHICH OF THE FOLLOWIN INFLUENCE THE MOST WHILE PURCHASING THE

PRODUCT?
NAME & REPUTATION OF THE

25

COMPANY
HIGH QUALITY
MORE ADITIONAL SERVICESS
PRICE

45
20
10

Interpretation:
The consumers are now a days more quality conscious than any other factor

Q5 DOES THE SUPPLY OF THE PRODUCT IS ACORDANCE TO THE MATKET

FORCESS?

Yes

80

No

20

Interpretation:
The market equilibrium is always maintained by JAGAT

Finding & Suggestions

With the objective of providing the best rice to the customers, Jagat has made long term
investments in manufacturing, research and development facilities. In 1995, Jagat Agro
Commodities Pvt. Ltd. became the proud recipient of the prestigious Trans World Gold Star
Award for excellence in quality from the Institute of Economic Studies.
Our quality expertise starts from the very beginning i.e. purchase and storage of paddy. The
laboratory plays a key role in respect of maintaining checks on several aspects such as size,
length and removal of broken tips. The high technology instruments enable the company to
monitor quality parameters at each and every stage of processing.
Rice is judged on 4 main parameters:
1. Appearance
2. Taste
3. Aroma
4. Cooking Quality.
Taste and Aroma are subjective characteristic.
The parameters for determining appearance of rice are:On the basis of average length of Kernels milled rice is classified into following categories:Scale
1
2
3
4

Size
Extra Long
long
medium
short

Length (mm)
> 7.50
6.61 7.50
5.51 6.60
5.50 or less

Grain Shape is estimated by length/breath ratio of kernels.

Scale

Size

Length (mm)

1
2
3
4

Slender
Medium 2.1
Bold
Round

Over 3.0
2.1 3.0
1.1 2.0
1.0 or less

Cooking and eating qualities of rice largely dependent upon the properties of Starch that makes
up 90% of milled rice. Several components traits collectively determine cooking and eating
qualities, these are:
PROCUREMENT PROCEDURE
The procurement may be done in one of the following ways: Directly from the farmers (in the raw form).
From the Food Corporation of India (in the semi-processed or processed form).
From various state govt. agencies (in the semi-processed or processed form).
From the rice millers (mainly in processed form).
Once the trader identifies the type he wants, the next step is to select the correct quality and
grade. Samples are tested at various laboratories ands institutions (private or Govt. run) for
conformity to various specifications like moisture content, percentage broken, foreign matter,
paddy, infestation etc. Once satisfied the supplier(s) is identified and a contractual agreement is
reached for the supply of specific quality and quantity of rice within a certain time period
subject to specified conditions of conformity to specification, packaging, transportation and
price. The contract is usually for a particular price to be paid at the future date and outlines the
delivery schedule and terms of payment.

CONCLUSION & FINDINGS

A) The various logistics are involved in marketing of JAGAT product such as
AGRICULTURE
Market functions They are as follows:
1. Buying and assembling.
2. Transporting and loading/unloading.
3. Grading.
4. Storing/warehousing.
5. Processing.
6. Financing
7. Risk-bearing Retailing
Functionaries:
The above functions are carried out by various functionaries which are as follows :
1. Traders.
2. Transporters.
3. Hamals.
4. Graders.
5. Weigh men.
6. Financers/Bankers.
7. Warehouses.
Agencies
Following agencies carry out marketing (buying and selling) at various stages :
1. Village/Itinerant merchant.
2. Wholesaler in assembling market.
3. Commission agent or Dalal.

4. Preharvest contractor (in fruit crops).

5. Wholesaler in consuming markets.
6. Processor.
7. Retailer.
Types of markets
1. Wholesale markets.
i)

In producing area.

ii)

In consuming area.

2. Retail market in consuming area.

3. Daily Mandis and weekly markets in rural areas Producers selling directly to local
consumers.
4. Annual and occasional fairs.

B) Jagat Agro Commodities Pvt. Ltd. has established itself as a processor of world class basmati
rice. The premium brand of basmati from the company is adored by all and consumed by those
who value taste and expect nothing but the best.

C) PRODUCTS
JAGAT MALAI
JAGAT KHUSHBU
JAGAT SADABAHAR
JAGAT MANPASAND
JAGAT EVERYDAY/SUPER EVERYDAY

Among them JAGAT mail is mostly preferable

C) Jagat is not only sold in India but in abroad also with the help of promoters and its brand
name
D) Jagat always meets the market demand and maintains the supply chain with the help of
farmers middle men and end users
E) The distributors play a major role in advertising the product it should try other sources also in
promoting the product like T.V. advertising etc.

BIBLIOGRAPHY

www.satnamindia.com
www.grocernewstoday.com
www.indiawest.com
www.almondz.com
www.dawaatindia.com
www.FnBnews.com
www.lalquilla.com
KRBLindia.com
Food grain milling industry-report
Indian Agriculture 2006
http:/indiabudget.nic.in