PULSES

By: Group 3

• India accounts for about 35% of the world area and 27% of the world production of pulses.

• Pulses are grown in India in an area of 26-27 million hectares with an annual production of 17-19 million tons (mt) of which 87% is

rain fed

• About 90% of the global pigeon pea, 65% of chickpea and 37% of lentil area falls in India, corresponding to 93%, 68% and 32% of

the global production, respectively.

Source:- FAOSTAT

Pulses Scenario

6.4

4.69 4.2

7.126.06 6.19

7

8.36

9.8810.46

11.12 11.03 11.26 11.5

14.76 14.57 14.66

18.2417.09 17.45

18.5

0

2

4

6

8

10

12

14

16

18

20

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

Pro

du

ctio

n(m

t)

Kharif Rabi Total

Source: DES-Directorate of Economics and Statistics

The production of pulses in India increased by 3.35% per annum

during the last decade

In the year 2013-14, India produced 19.5mt pulses, that being its best

performance till this year

The production of pulses in India in MY 2014-15 in estimated to

18mt, slightly less than 2013-14

Pulses production Scenario in India

21

22

23

24

25

26

27

28

0

100

200

300

400

500

600

700

800

2009-10 2010-11 2011-12 2012-13 2013-14

Are

a (

mh

a)

Yie

ld (

kg

/ha

)

Yield and area under production of pulses in India

Yield(kg/ha) Area(mha)

• The average yield in India has

increased by 100 kg/ha

(around 15%) since 2009-10,

yet it is below world average of

910 kg/ha.

• The area under production has

increased from 23mha in 2009

to 27mha in 2013

14.7

18.217.1 17.45

18.5

3.4 2.5 3.3 3.5 3

18.1

20.7 20.4 20.95 21.5

0

5

10

15

20

25

2009-10 2010-11 2011-12 2012-13 2013-14

mill

ion

to

ns

Production, import and supply of pulses in India

Production Import Total Supply

• The ever increasing demand of

pulses in India has yet not been

satisfied by its production

• The current supply of pulses is

22.5mt

Source:- www.indiastat.com

State wise statistics of pulses in India

24%

15%

13%10%

38%

Major states producing pulses(Kharif)

Maharashtra

Rajasthan

UP

MP

Others

33%

19%11%

9%

28%

Major states producing pulses(Rabi)

MP

UP

AP

Maharashtra

Others

• Maharashtra has the largest production

in karif season followed by Rajasthan

and UP

• MP has the largest production

during rabi season followed by

UP and AP

Source:- DEC

Pulses Market in India

Source : BCG Report

7

Pulse supply chain

Potential for savings through disintermediation in Urad

Source : BCG Report

Trader’s Details

Name Firm Name Address Contact

Chirag Agarwal(Manager) Jai Balaji Traders3-3-108/A/4,Present Park Colony ,Near Janapriya,Hyderguda, Attapur, Hyderabad - 500048

9505327848

Chetan Goyal(Director) Komal AgroTech Private LimiedD.No. 15-9-10, 1st Floor Mukhtiyar Gunj, Hyderabad - 500012

8043043926

Vishal Agarwal(Owner) Sri Annapurna Store And Supplyhimayat nagar,street no 10,Masjid Banda, Main Road, near hamstech college, Hyderabad -500084 8048570713

Nanda (Owner) Adya NaturalsHouse No. 3-4-114/5, Saichitra Nagar, Ramanthapur, Hyderabad - 500013

9849110622

Hari Nath (owner) Annapoorna Home NeedsH.No- 531, D V Colony, Secunderabad, Hyderabad - 500003

8049443739

Brajesh Panda(Trader) P. S. International India Private Limited

H No. 1-10-68/4, 301, Srinivasa Nilayam, Chikoti Gardens, Begumpet, Hyderabad - 500016

8048116885

Suresh Kumar Geosky ExportsRoad No. 1, Banjara Hills, Hyderabad - 500034, Telangana, India

9000868151

Satya Kodali(Owner) Sristi NaturalsPlot #280, Jal Vayu Vihar, Kukatpally, Hyderabad - 500072, Telangana, India

9866647534

Manohar SMR EnterprisesM. I. G. 134, Balajinagar, Kukatpally, Hyderabad - 500072, Telangana, India

9966734455

Raja Sekar(Manager) Celesta International24,West Car Street, Begumpet, Hyderabad - 500016, Telangana, India +91-4634-

506601

Santosh (Managing Director)

Aithas Food Private LimitedRoad No.39, Jubilee Hills, Near Padamma Temple, Titan Show, Room, Jubilee Hills Jubilee Hills, Hyderabad - 500033, Telangana, India

9247218393

Risk Assessment

Sr. No. What is Risk Description of Identified Risk How is risk currently managed? Type of Risk

1 Spoilage Occurrence of fungus due to M.C.

By sun drying and different

mechanical drying method

2 Weight Loss Leakage and long time storage use of pp bag

3 Transportation Risk

cost of transportation and

unavailability of vehicles at the

time

Pre booking of vehicle and mantaining

good relation with vehicle owner

4 Processing Risk Processing loss risk Skilled labour or fully mechanisation

5 Income of consumer Shift to the substitutes Not recognising the risk management

6 Quality issues: Indices

Procurement from Fragmented

farmers leads to different

indices of the pulses Grading of the commodity

7 Adulteration

Adding of the other pulses, lead

chromate, metanil yellow Quality inspection

8 Consumption Shifting

Moving towards meat and meat

products Not recognising the risk management

9 Marketing Strategy Demand and Supply

Forcasting the demand and future

trading

10 Branded pulses Big giant entered in the market

Direct selling to the large

customers(B2B)

11 Weather Risk Uncertanity in the Monsoon Weather forecasting

12

Govt Policies(GST,

Import/export) Importing pulses Not recognising the risk management

13 Commodity Market

Due to Commmodity exachange

there is high fluctuation Not recognising the risk management

Operational Risk

Strategic Risk

Global Risk

Risk Assessment

With Score

Sr. No. What is Risk Description of Identified Risk Type of RiskRisk Calculation

Impact Likelihood Score

1 Spoilage Occurrence of fungus due to M.C.

Operational Risk

3 26

2 Weight Loss Leakage and long-time storage 4 416

3 Transportation

Risk

cost of transportation and

unavailability of vehicles at the

time

3 2

6

4 Processing Risk Processing loss risk 4 416

5 Income of

consumer

Shift to the substitutes 3 26

6 Quality issues:

Indices

Procurement from Fragmented

farmers leads to different indices of

the pulses

4 5

20

7 Adulteration Adding of the other pulses, lead

chromate, metanil yellow3 3

9

8 Consumption

Shifting

Moving towards meat and meat

products3 2

6

9 Marketing

Strategy

Demand and Supply

Strategic Risk

4 416

10 Branded pulses Big giant entered in the market 4 312

11 Weather Risk Uncertainty in the Monsoon 4 4 16

12 Govt Policies(GST,

Import/export)

Importing pulses

Global Risk

3 3

9

13 Commodity

Market

Due to Commodity exchange there

is 5 fluctuation4 4

16

Inference: On the basis of telephonic conversation with the various traders, we have identified above mentioned risks which are associated with pulse trading starting from farm level to end consumers. Hence, according to the scale of impact and frequency of likelihood of its occurrence suggested by the traders we have calculated heat map.

Spoilage

Weight Loss

Transportation Risk

Processing Risk

Income of consumer

Quality issues: Indices

Adulteration

Consumption Shifting

Marketing …

Branded pulses

Weather Risk

Govt Policies(GST, Import/export)

Commodity Market

0

1

2

3

4

5

0 1 2 3 4 5

LIK

ELIH

OO

D

IMPACT

Risk Assessment Heat Map

Insignificant Mild Moderate Significant

Low

L

ow

-med

ium

M

ediu

m

M

ediu

m-h

igh

Hig

h

Recommendation/Strategy

Risk Impact Risk Level Risk Strategy

Mo

de

rate

(Ne

ed

Pro

acti

ve

Man

age

me

nt)

Level 1: • Govt. Policies needs proactive management like supply and demand scenario and according to the increase or decrease the amount of procurement

Level 2: • --

Level 3: • Spoilage• Transportation risk• Income of consumer• Consumption Shifting• Adulteration

Proactive management like direct contact to farmer and educate them for modern practicesImplement Integrated supply chain

Sign

ific

ant

(Urg

en

t A

tte

nti

on

)

Level 1: • Commodity Market Create more value to the farmer in terms of prices , information and other utilities

Level 2: • Marketing strategy risk• Weather Risk• Branded Pulses

At economic prices make available, accessible commodity to the consumer Focus on quality of the product in competitive market

Level 3: • Quality issues• Weight loss• Processing Risk

Primary processing at farm level Contract Farming

THANK YOU