Welcome to online India.
In
previous episode we have discussed over general study on future of Organic Farming.
Many
Questions arises in our mind that-
2. Why we are discussing about Organic Farming?
3. How would we get benefit by learning Organic Farming?4. What will be the strategy?
Now we come in point to point answers & discuss elaborately on topic: -
Now let’s come to the point: -
1. Why we are here today?
We are here to make a team identifies a business opportunity
and acquires and deploys the necessary resources required for exploitation Entrepreneurship
in Organic Farm Business which targeting a great economy growth developing
potential in India. It belongs to a strong supply demand chain & seems to
grow rapidly in future.
Organic Farm
products have infinite Opportunities for Entrepreneurs willing to set up their
Enterprise in this domain.
2.
Why we are discussing about Organic
Farming?
Top Ten reasons that Organic food is getting popular today:-
1.
Organic Farming reduces The Toxic Load: Keeps
Chemicals Out of the Air, Water, Soil and our Bodies, so supporting organic agriculture
doesn’t just benefit your family; it helps all families live less toxically.
2.
Eliminate Off Farm Pollution
3.
Protects Future Generations
4.
Builds Healthy Soil
5.
Organic Food Tastes Better with Truer Flavour
6.
Assist decent Family life & good earning of
Farmers
7.
Avoids Hasty and Poor Science in our Food chain
& enhance immunity power
8.
Organic Food Eating with a Sense of Pride –
since it’s truly natural.
9.
Promotes Biodiversity
10. Celebrate the Culture of Agriculture
3. How would we get benefit by learning
Organic Farming?
A shift from ‘agriculture’ to ‘agri-business’ is being
viewed as an essential pathway to revitalize Indian agriculture. While, the
share of agriculture in total GDP is declining, it is still the single largest
contributor to the GDP and plays a vital role in the overall socio-economic
development of India. The share of agri-business will not and is bound to go up
with the demand for value addition continuously increasing.
India's agricultural
sector highly depends upon the monsoon season as heavy rainfall during the time
leads to a rich harvest. But the entire year's agriculture cannot possibly
depend upon only one season. Taking into account this fact, a second Green Revolution
is likely to be formed to overcome such restrictions. An increase in the growth
rate and irrigation area, improved water management, improving the soil
quality, and diversifying into high value outputs, fruits, vegetables, herbs,
flowers, medicinal plants, and biodiesel are also on the list of the services
to be taken by the Green Revolution to improve the agriculture in India.
OBJECTIVES OF THE STUDY:
The present study is based on the following objectives:
·
To study the overview opportunities for
entrepreneurs that exists in agribusiness in India.
·
To examine the scope for agribusiness in India
and reasons for low rate of success in agribusiness.
·
To study the challenges and growth opportunities
for entrepreneurs in agribusiness.
·
To assess the strategy for promotion of
successful enterprises in agriculture sector in India.
DEVELOPING ENTREPRENEURS IN AGRICULTURE CAN IMMENSELY BENEFIT
INDIAN ECONOMY BY:
·
Reducing the burden on agriculture
·
Generating employment opportunities for rural
youth
·
Reducing the need for migration from rural to
urban areas, thereby reducing pressure on urban cities etc.
·
Increasing individual and national income
4.
WHAT WILL BE OUR KEY ROLE & BUSINESS
STRATEGY FORMING ENTREPRENEURSHIP IN
ORGANIC FARM BUSINESS?
Entrepreneurship in Organic Farm Business.
Now what is Entrepreneurship?
Entrepreneurship is a noun which means the activity of
setting up a business or businesses, taking on financial risks in the hope of
profit. "the new business opportunities have encouraged entrepreneurship
on a grand scale"
In elaborately Entrepreneurship is the creation or
extraction of value. With this definition, entrepreneurship is viewed as
change, generally entailing risk beyond what is normally encountered in starting
a business, which may include other values than simply economic ones. More
narrow definitions have described entrepreneurship as the process of designing,
launching and running a new business, which is often initially a small
business, or as the "capacity and willingness to develop,
organize and manage a business venture along with any of its risks to make
a profit. The people who create these
businesses are often referred to as entrepreneurs. While definitions
of entrepreneurship typically focus on the launching and running of businesses,
due to the high risks involved in launching a start-up,
a significant proportion of start-up businesses have to close due to "lack
of funding, bad business decisions, government policies, an economic crisis,
lack of market demand, or a combination of all of these. In the field of economics,
the term entrepreneur is used for an entity which has the ability to translate
inventions or technologies into products and services. In this sense, entrepreneurship describes
activities on the part of both established firms and new businesses.
Entrepreneurship is an act of being an entrepreneur,
or "the owner or manager of a business enterprise who, by risk and
initiative, attempts to make profits". Entrepreneurs
act as managers and oversee the launch and growth of an enterprise.
Entrepreneurship is the process by which either an individual or a team
identifies a business opportunity and acquires and deploys the necessary
resources required for its exploitation. Entrepreneurs create something new,
something different—they change or transmute values. Regardless of the
firm size, big or small, they can partake in entrepreneurship opportunities.
The opportunity to become an entrepreneur requires four criteria. First, there
must be opportunities or situations to recombine resources to generate profit.
Second, entrepreneurship requires differences between people, such as
preferential access to certain individuals or the ability to recognize
information about opportunities. Third, taking on risk is a necessity. Fourth,
the entrepreneurial process requires the organization of people and resources.
According
to the Austrian economists Joseph
Schumpeter; an entrepreneur is a person who is willing and able to
convert a new idea or invention into a successful innovation.
Entrepreneurship employs what Schumpeter called "the gale of creative
destruction" to replace in whole or in part inferior innovations across
markets and industries, simultaneously creating new products including new business
models. In this way, creative destruction is largely responsible for the
dynamism of industries and long-run economic growth.
The exploitation of entrepreneurial opportunities may
include:
- Developing
a business plan
- Hiring
the human resources
- Acquiring
financial and material resources
- Providing
leadership
- Being
responsible for both the venture's success or failure
- Risk
aversion
Entrepreneurship may operate within an entrepreneurship
ecosystem which often includes:
·
Government programs and services that promote
entrepreneurship and support entrepreneurs and start-ups
·
Non-governmental organizations such as
small-business associations and organizations that offer advice and mentoring
to entrepreneurs (e.g. through entrepreneurship centres or websites)
·
Small-business advocacy organizations that lobby
governments for increased support for entrepreneurship programs and more small
business-friendly laws and regulations
·
Entrepreneurship resources and facilities
(e.g. business incubators and seed
accelerators)
·
Entrepreneurship education and training programs
offered by schools, colleges and universities
·
Financing (e.g. bank loans, venture capital financing, angel
investing and government and private foundation grants
TYPES OF ENTERPRISES:
While promoting entrepreneurship, we may consider different
types of enterprises in agri-business:
·
Farm Level Producers: At the individual
family level, each family is to be treated as an enterprise, to optimise the
production by making best use of the technology, resources and demand in the
market.
·
Service Providers: For optimising
agriculture by every family enterprise, there are different types of services required
at the village level. These include the input procurement and distribution, hiring
of implements and equipment like tractors, seed drills, sprayers, harvesters,
threshers, dryers and technical services such as installation of irrigation
facilities, weed control, plant protection, harvesting, threshing,
transportation, storage, etc. Similar opportunities exist in the livestock
husbandry sector for providing breeding, vaccination, disease diagnostic and
treatment services, apart from distribution of cattle feed, mineral mixture,
forage seeds, etc.
·
Input Producers: There
are many prosperous enterprises, which require critical inputs. Some such
inputs which can be produced by the local entrepreneurs at the village level
are bio fertilizers, bio pesticides, vermicompost, soil amendments, plants of
different species of fruits, vegetables, ornamentals, root media for raising
plants in pots, agricultural tools, irrigation accessories, production of
cattle feed concentrate, mineral mixture and complete feed. There are good opportunities
to support sericulture, fishery and poultry as well, through promotion of
critical service facilities in rural areas.
·
Processing
and Marketing of Farm Produce: Efficient management of post-production operations
requires higher scale of technology as well as investment. Such
enterprises can be handled by People’s Organisations, either
in the form of cooperatives, service societies or joint stock companies. The
most successful examples are the sugar cooperatives, dairy cooperatives
and fruit growers’ cooperatives in many States. However, the success
of such ventures is solely dependent on the integrity and competence of the
leaders involved. Such ventures need good professional support for managing the
activities as a competitive business and to compete well with other players in
the market, particularly the retail traders and middlemen.
· India is endowed with varied ago-climate, which facilitates production of temperate, sub-tropical and tropical agricultural commodities.
·
There is growing
demand for agricultural inputs like feed and fodder, inorganic fertilizers,
bio-fertilizers.
·
Biotechnology
applications in agriculture have vast scope in production of seed, bio-control
agents, industrial harnessing of microbes for bakery products.
·
Export can be
harnessed as a source of economic growth. As a signatory of World Trade Organization,
India has vast potential to improve it present position in the World trade of
agricultural commodities both raw and processed form. The products line include
cereals, pulses, oilseeds and oils, oil meal, spices and condiments, fruits and
vegetables, flowers, medicinal plants and essential oils, agricultural advisory
services, agricultural tools and implements, meat, milk and milk products, fish
and fish products, ornamental fish, forest by products etc.
·
At present
processing is done at primary level only and the rising standard of living
expands opportunities for secondary and tertiary processing of agricultural
commodities.
·
The vast coastal
line and internal water courses provides enormous opportunity for production of
marine and inland fish and ornamental fish culture gaining popularity with
increase in aesthetic value among the citizens of India.
·
The livestock wealth
gives enormous scope for production of meat, milk and milk products, poultry
products etc.
·
The forest resources
can be utilized for production of by-products of forestry.
·
Beekeeping and apiary can be taken up on large
scale in India.
·
Mushroom production
for domestic consumption and export can be enhanced with improvement in the
state of art of their production.
·
Organic farming has
highest potential in India as the pesticide and inorganic fertilizer
application are less in India compared to industrial nations of the world. The
farmers can be encouraged and educated to switch over for organic farming.
·
There is wide scope
for production and promotion of bio-pesticides and bio-control agents for
protection of crops.
·
Seeds, hybrid and
genetically modified crops, have the highest potential in India in the future,
since the productivity of high yielding varieties have reached a plateau.
·
Micro-irrigation
systems and labor saving farm equipments have good potential for the years to
come due to declining groundwater level and labor scarcity for agricultural
operations like weeding, transplanting and harvesting.
·
Production of
vegetables and flowers under greenhouse conditions can be taken up to harness
the export market.
·
Trained human
resources in agriculture and allied sciences will take on agricultural
extension system due to dwindling resources of state finance and downsizing the
present government agricultural extension staff as consulting services.
·
The
enhanced agricultural production throws open opportunities for employment in
marketing, transport, cold storage and warehousing facilities, credit, insurance
and logistic support services.
STRATEGY FOR
PROMOTION OF SUCCESSFUL ENTERPRISES:
·
Considering the
present problems faced by the entrepreneurs engaged in agri-business, it is necessary
to create a congenial atmosphere in the field. Some of the important conditions
necessary for successful agri-business are presented below:
·
There should be a
unanimous option among government officials and farmers about the need and
benefits of promoting self-employed youth or private entrepreneurs to
facilitate the farmers to enhance agricultural production and profitability.
·
The Government
should discontinue the practice of providing free services in those sectors
where the work has been assigned to private entrepreneurs.
·
The technical skills
and ability of the entrepreneurs should be evaluated to ensure high standards.
There should be a monitoring agency to check the quality of the services and
the charges collected from the farmers to avoid exploitation.
·
To popularise the
services of the entrepreneurs, the Agricultural Extension Agencies and Farmers
·
Organisations should
give wider publicity about the services available to the farmers. Such publicity
can enhance the credibility of the services provided by the entrepreneurs.
·
The Government
should encourage the entrepreneurs by introducing various concessions and
incentives. Networks of entrepreneurs may be established to share their
experiences. These networks can also establish a close link with Research
Institutions and Universities to become acquainted with the latest research
findings and seek solutions for their field problems.
“Here is the
end of today’s episode.
Thank you for
listening.
We will come
with updated matter of discussion in a new episode shortly.
Stay tuned
with us”.