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Dr. Hon’ble president of India during his address to the National on the eve
“Our private sector has also made significant progress in food processing
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Acknowledgment
To start with I would first of all thank “God Almighty” for the successful
the able and experienced guidance of Mr. They possess excellence ability to
deeply for guiding me the way to soil through this once looking
insurmountable work.
continued guidance and support. Without them it was very difficult to make
the report.
I also give sincere thanks to my friends who helped in me the making the
reference to Allahabad.
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I am indebted to all those who have been helped throughout the process of
writing this report of waiting this report but as the cliché, I am solely
Last but not least, it is a pleasure to express my heartfelt thanks to all those
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Content
1. Acknowledgment............................................................................................3
2. Mission, Approach..........................................................................................7
3. Company Profile.............................................................................................8
4. Product Profile..............................................................................................27
5. IFFCO’s Landmarks.....................................................................................31
19. Finding........................................................................................................100
20. Conclusion..................................................................................................102
21. Recommendation........................................................................................105
22. ....................................................................................................................105
23. Questionnaire..............................................................................................106
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24. Bibliography...............................................................................................113
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Mission, Approach
Mission:
IFFCO mission is “To enable Indian farmers to prosper through timely
supply of reliable, high quality agriculture inputs an environmentally
sustainable manner and to undertake other activities to improve their
welfare.”
Approach
To achieve their mission, IFFCO as a Cooperative society, undertakes
several activities covering a broad spectrum of areas to promote welfare of
member Cooperative and farmers. Activities envisaged to be covered are
exhaustively defined in IFFCO’s Bye-laws.
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Company Profile
During mid sixties the Co-operative sector in India was responsible for
distribution of 70 percent of fertilizer consumed in the country this sector
had adequate infrastructure to distribute fertilizers but had no production
facilities of its own and hence depend on public/private Sectors for supplies.
To overcome this lacuna and to bridge the demand supply gap in the country,
a new cooperative society was conceived to specifically cater to the
requirement of farmer. It was a unique venture in which the farmers of the
country through their own Co-operative Societies created this new institution
to safeguard their interest. The number of Co-operative Societies associated
with IFFCO has risen from 57 in 1967, 39564 at present.
Indian farmer fertilizer Co-operative limited (IFFCO) was recognized on
November 3, 1967 as a multi-unit Co-operative Society. On the enactment of
the Multistage Cooperative Societies act 1984 & 2002, the society is deemed
to be registered as a Multistage Cooperative Society. The society is primarily
engaged in production and distribution of fertilizers. The byelaws of the
Society provide a broad frame work for the activities of IFFCO as a
cooperative society.
IFFCO commissioned an ammonia-urea complex at Karol and NPK/DAP
plant at Kandla both in the state of Gujarat in 1975. Another ammonia-urea
complex was set up at Phulpur in the state of Uttar Pradesh in 1981. The
Ammonia-urea unit at Alona was commissioned in 1988.
In 1993, IFFCO had drawn up a major expansion programme of all the four
plants under overall aegies of IFFCO VISION 2000. The expansion project
at Aonla, Kalol, Phulpur and Kandla has been completed on schedule. Thus
the entire project conceived as part of part Vision 2000 have been realised
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without time or cost overruns. All the production unit of IFFCO has
established a reputation for excellence and quality. A new growth path has
been chalked out to realize newer dreams and greater height though vision
2010 which is presently under implementation. As part of new Vision,
IFFCO has acquired fertilizer unit in Paradeep in Orissa in September 2005.
As a result of these expansion project and acquisition, IFFCO’s annual
capacity has been increased to 3.69 million tones of urea and NPK/DAP
equivalent to 1.71 million tonnes of P2O5.
IFFCO has made strategy investment in several joint ventures. Godavari
fertilizers and Chemical Ltd (GFCL) & Indian Potash Ltd (IPL) in India
industries, industries Chimiques du Senegal (ICS) in Senegal and Oman
India fertilizer Company (OMIFCO) in Oman are important fertilizer joint
venture. Indo Egyptian fertilizer Co (IEFO) in Egypt is under
implementation. As part of strategic diversification, IFFCO has entered into
several key sectors. IFFCO-Tokio General Insurance Ltd. (ITGI) is a foray
into general insurance sector. Though ITGI, IFFCO has formulated new
services of benefit to farmer. ‘Sankat Haran Bima Yojana’ provides free
insurance cover to farmers along with each bag of IFFCO fertilizer
purchased. To take the benefits of emerging concepts like agricultural
commodity trading, IFFCO has taken equity of emerging concepts like
agriculture commodity trading, IFFCO has taken equity in National
Commodity and Derivative Exchange Power Ltd (ICPL) which is under
implementation is yet another foray to move into core area of power. IFFCO
is also behind several other companies with the sole intention of benefiting
farmers.
The distribution of IFFCO’s fertilizer is undertaken through over 37,000 Co-
operative Societies. The entire activities of distribution, sales and promotion
are coordinated by marketing central office (MKCO) at New Delhi assisted
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BOARD OF DIRECTORS
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CORPORATE OFFICE:
Indian farmers fertilizer cooperative limited (IFFCO)
IFFCO sadan, C-1, district centre, Saket place
New delhi- 110017
Phone: 011-42592626, 26542625
Fax: 011-42592650
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Marketing Division
Marketing Director
IFFCO sadan, C-1, District Centre, Saket Place
New Delhi- 110017 Key official
Phone: 011-42592626, 26542625
Fax: 011-42592650 Farmer service centre
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↓
SR. GNRL MGR Executive Director
(Mktg) (Trnsp.) Exct. Dir (R & D)
Zonal MGR SR. Ext Dirtector
↓
State Mktg MGR Ext. Director (P&A)
↓ Chief Vigilance
↓
Dypty. MGR General Manager (System)
↓ Executive Director
Field officer (Technical Service)
(Corporate Affairs) ↓
Senior general Manager
(Finance & Account)
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Objective of IFFCO
IFFCO has build its present structure based on four broad objectives defined
initially by its founder. These are
Production of quality chemical fertilizers urea, NPK Complex and
DAP
Services to the framing community
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materials, finished products, bye-products and other waste product and also
enter into joint marketing and product exchange agreement with other
Cooperative institution, public sector Undertaking or any other agency.
11. To enter into collaboration with Cooperative or other in India or in foreign
countries for machinery and equipment and for technical know-how,
consultancy, designing, engineering. Construction, erection, operation and
maintenance of fertilizer, chemical and other plants and marketing of the
produce of the same.
12. To setup agriculture farm by purchasing, acquiring and taking on lease of
land from Government Institution and private for agency for research and
development of agriculture.
13. To set up institutes for providing training to the farmers and other in the
modern and improved agricultural technology and other areas of Human
Resource Development.
14. To establish Branch offices and sales depots in India and abroad
15. To undertake research and such other activities as are incidental and
conductive to the development of the industries as well as IFFCO.
16. To undertake processing, marketing, import and export of form output,
chemicals, pesticides, implements, agricultural tool and machinery.
17. To set up forestry and undertaken processing and marketing of foresty
products
18. To acquire real estates in rural and urban areas and also promotes
Cooperative Housing for employees and member.
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MANAGEMENT OF IFFCO:
The Representative General Body (RGB) forms the supreme body that
guides the various activities of IFFCO.
The RGB consist of:
Member of the boards of director
One delegate from each of the member societies holding shares of the
value of Rs. 100 thousands and above.
Delegates to be elected from amongst the representative of the member
societies.
The Board Directors’ of IFFCO carries out all the function as specified under
the multi state co-operatives Societies Act/Rules. The board of director
frames policies, direct the various activities of the society and undertaken
any other activities conductive to overall growth and development of society.
The chairman heads the board.
Cooperative Societies
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37381 39564
35072
30200
28134
26960
25528
Members
57
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Membership:
The membership of IFFCO is open to the following
National Cooperative federation of agriculture credit/market/
processing/supply/ and other agricultural Cooperative societies.
State level Cooperative federation of agriculture credit/market/
processing/supply/ and other agricultural Cooperative societies
District, regional and primary Cooperative credit/market/processing
/supply/ and other agricultural Cooperative societies including cane
unions.
Primary agricultural Cooperative credit, service, multipurpose, cane
irrigation, farming societies and other village agricultural societies.
National Cooperative Development Corporation.
Government of India
Public financing institution
Any Cooperative society, activities of which are augmentative to the
activities and conductive to overall growth of IFFCO.
Bye Laws:
The bye laws of IFFCO provide the framework within IFFCO as a
Cooperative society operates. They define the objective and guideline for
membership and other rules for administrating operations of the society. The
broad objective of IFFCO is enshrined in the bye laws are to promote the
economic production/development of fertilizers, bio-fertilizers, petro-
chemicals, industrial chemicals, their inputs and technologies, and their
allied products/by-products and to provide facilities like storage,
transportation and marketing. The bye laws also provide for manufacturing
processing/conversion of farm products including sugar-cane, derived
products and by-products, pesticides, seeds, farm produces, bio-technology,
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Sales:
IFFCO undertakes distribution of its fertilizer products – urea, NPK
(10:26:26 and 12:32:16) and DAP, throughout the length and breadth of
India. Being a cooperative society the sales are mostly canalized through
cooperative societies. However the member cooperatives have no obligation
to buy from IFFCO. At the state level the APEX Cooperative marketing
federation actsa as a wholesaler to route IFFCO’s fertilizer business in any
state of India, direct supllies are made to the Cooperative societies. In the
case the Cooperative system is either weak or non-existent in any state,
IFFCO’s fertilizer are routed through other institutional agencies like agro-
industries Corporation of that state. In addition, IFFCO has 167 farmers
service centers (FSC) spread over through which fertilizers sales are
undertaken.
Timely supply of input in adequate at the right time and place of the factors
in crop production. Delay or non availability of input like fertilize, seeds and
agro-chemicals has found to decrease the crop yields. Due to paucity of time,
farmers are hard pressed to arrange for the inputs before sowing. It is
therefore, necessary to make available all the inputs under one roof so that
farmer can purchase at one place and to make use of them efficiently with
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the technical know –how available at the supplying centers (FSC) for the
benefits to farmers to make sure the availability of inputs along with
technical know-how under one roof.
IFFCO opened first farmer service centre at kalol in Haryana state in 1976
and subsequently expanded in a phased manner to 167 FSC’s with following
objectives:
To supply timely and adequate quantity of inputs at reasonable price.
To provide technical know-how.
To supply farm implements and equipments free of cast for
community use.
To supply input at the door step of farmers in IFFCO adopted villages.
To educate the farmers through IFFCO’s promotional and extension
and educational programmes.
IFFCO fertilizers-urea and NP/NPK grades are supplied through FSC’s.
Besides agro-chemicals are purchased from reputed organizations made
available to the farmers through FSC’s. IFFCO produces its own seed and if
necessary, additional quantity of seeds is purchased from the national/state
level seeds corporation and it’s supplied through the FSC’s. Thus a complete
package of inputs along with technical know-how is available under one
roof.
The marketing Director
Mr. D. K. Bhatt
The marketing Director is vested with the responsibility of all marketing
operations including sales, promotion and agricultural extension activities.
The marketing director operates from the marketing Central office, New
Delhi.
Mr. D. K. Bhatt, the present marketing Director has a rich exposure to all the
facets of marketing & distribution, agricultural services to farmer, fertilizer
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Marketing offices:
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the IFFCO. IFFCO’s marketing activities are coordinated through five Zonal
offices oversees the activities of the state offices which in turn coordinate the
various activities of the Area Offices. Area Offices conducts IFFCO’s
marketing operation in few districts through field officers. At present, about
450 field officers undertake distribution of fertilizers and various other
promotional activities. IFFCO undertake a large number of these
programmes to educate the farmers on the latest facts of t\modest agriculture
practices.
Promotional activities:
development.
♦ Farmer’s training at various agricultural institutes and research farms.
♦ Extension Education Programmes.
♦ Soil testing cum publicity vans.
♦ Village adoption
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Village adoption:
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societies, this was brought down to nil. The co-operative societies hold the
majority of share holding which transform IFFCO in to a cent percent
Cooperative.
Product Profile
Introduction:
IFFCO Product range initially includes three NPK grades viz. 10:26:26,
12:32:16 and 14:34:12 and urea. The NPK grades are DAP based and are
produced by adding MOP while DAP is still in the slurry stage. The grades
were new introduction to Indian fertilizer market; however these were
suitable for basal application to different soil type having varying degree of
soil K status as these grades had P2O5 ratio of 1:1, 2:1, 3:1 the test marketing
of these grades started in these grades started in the seeding performance
itself. Initially the material was imported from the USA. Later on only two
grades of NPK 10-26-26 and 12-32-16 were produced at Kandla. A shift
product range was introduced in 1981-82 with the production of small
quantity of DAP so that the areas with high soil K do not unnecessary apply
K through NPK grade material.
The present product range of NPK complex for Kandla is quite among the
framers. IFFCO NPK grades are high analysis material. Once it was thought
that IFFCO should consider to produce grades like 17:17:17 or 20:20:20
were the per bag price is low compared to the IFFCO NP, NPK grades,
however, this idea was not accepted because it was decided that the cost of
nutrients rather than the price of bags loads should be taken into account.
Consequently, IFFCO continues to produce the existing grade.
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Liquid fertilizer
Packaging
With the substantial increase in the volume of sale, IFFCO will have to
penetrate into inaccessible, backward and hilly areas where the level of
consumption is low, purchasing power of the farmer is limited and
transporting is difficult. IFFCO will consider 25 kg., 50 kg packing in order
to tackle problem faced in these areas. Packing of the product also play
significant role in the marketing. Therefore, continuous review is made about
the packing of IFFCO fertilizer so that it become attractive and acceptable to
farmers.
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Oman. (Gulf country) the project comprises two urea plants of 2.1750
MTPD and 2.2530 MTPD respectively.
The project will utilize abundant cheep reserve of natural gas in aman
and meet the urea requirement in India.
Entire urea of 16.52 lack metric Ton will be purchased by govt. under
50%.
Dept. Equity 2:1
Project zero Date:15th august 2002.
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IFFCO’s Landmarks
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Future prospect:
The marketing scenario is changing fast while there is shortage of phosphate
and potosi Fertilizers currently in the market there is a glut situation with
respect to urea. The cooperative system has not grown to the extent of
absorbing all the additional volumes offered by IFFCO and KRIBHCO. The
private trade is growing fast and is trying to the extent of absorbing all the
additional volumes offered by IFFCO and KRIBHCO. The private trade is
growing fast and is trying to make intra roads in the Cooperative system.
Under these circumstances, IFFCO has to take retook at its marketing
strategy and modify/strengthening the Cooperative system is particular to
face the competition from private trade.
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IFFCO Phulpur an ISO 9001 & ISO 14001 certified company was started in
1967. in order to cater the fertilizer need of farmers. The plants is located 34
KM away from Ganga Yamuna Sangam on the Allahabad-Gorakhpur
highway. IFFCO Phulpur is cosists of two palnts. Old plants is known as
Phulpur-I while new plant is known as Phulpur-II. Phulpur-II are IFFCO
Phulpur-II. Construction cost of Phulpur-I & Phulpur-II has been Rs. 205
crores & Rs. 1186.8 crores respectively. Total area of the plant is 1070 acres
which covers palnt area 320 acres, township 480 acres, Cordet 150 acres and
Ash pond 120 acres. Urea production capacity of Phulpur-I and Phulpu-II
plants are 1670 MT and 2620 MT respectively. Consultant for ammonia
plant and urea plant of Phulpur-I are M/s Pullman Kellogg, USA and M/s
Snam progetti, Italy respectively and for Ammonia plants and urea plants of
Phulpur-II are M/s Haldar Topasoe and M/s Snam progetti respectively.
Naphtha consumption of entire complex is around 2000 MT/hr steam
generation capacity and one 12.5 MW turbo generator set has been installed
for Phulpur-I while another captive plant-II having one oil fired boiler of 200
MT/hr steam generation capacity and one 18 MW electric turbo generator set
has been instlled for Phulpur-II.
A full fledge human Resource Management centre with technically
competent staff meets all the requirement of employee and trainees in order
for their over all development.
IFFCO Phulpur has a computer centre equipped with all the modern
facilities. All the business work like purchase store, finance and Accounts,
production, maintenance, dispatch and communication are performed
through the computer. IFFCO Phulpur also undertake the IRDP work (hand
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I. Production department
II. Technical Department
III. Research and development department
IV. Fire and safety farmers training canter
V. Moti Lal Nehru Farmers Training Center
VI. Administrative Block
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IFFCO Phulpur-I
Production capacity
Plant capacity Consultant/Supplier
Ammonia 1215 MT/Day M/S Pullman Kellogs. USA
Urea 12115 MT/Day M/S Snam progetti. Itlay
Power Boilers 3x125 MT/HR. M/S Bhel
Turbo generator 1x125 MW M/S Bhel
Main features
Zero Date May 26, 1967
Commercial production March 28, 1981
Project cast Rs 205 Crores
Total Area 1070 Acres
Palnt 320 Acres
Township 480 Acres
Cordet 150 Acres
Ash Pond 120 Acres
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IFFCO PHULPUR-II
Main features
Zero Date May 20, 1995
Commercial production Dec 22, 1997
Project cast Rs 1186.8 Crores
Indian Currency Rs. 859.8 Crores
Foreign Currency Rs. 327 Crores
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2. Farmers training
agriculture business
b. Special training programme on field management agricultural
techniques of Kharif, Ravi & jayad crops for the local villages
d. Solving problems of the local farmers by way of organizing
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3. Facilities
4. Activities
a. seed production
b. horticulture
c. green fodder production
d. milk production unit
e. Poultry farming
f. Fish farming
g. Agricultural workshop
h. Drip irrigation plant
i. Bio gas plant
j. Bio fertilizer production unit
k. Animal Diet production unit
l. Artificial insemination center
m. Sewage filtration centre
5. Services
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↓ ↓ ↓
Genaral Manager(P-I) Head Vigilence General Manager(P-II)
↓
JGM (TechSr.)
JGM Main
JGM (PRO)
JGM (UTLTY) JGM (MED &HLT) JGM (P & A) JGM (LAB)
SM PURCHASE SM STORE
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4 13 2 3 3 2 3 3 5 8 5 2 4
These are 5 Zonal officers, 20 state Curve Area Office 63 Area Offices
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60
50
40
30
20
10
0
2003-04 2004-05 2005-06 2006-07 2007-08
Year
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Scope Of Study
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Retailers
By study the retailers will have provide of obtaining sound
products which has reputation of having increased demand
and will effect on the more intake on the distributors with
the result more products will be sold and profit will be
multiplied. They are one who are in direct touch with you
and can to a large extent destroy or more your image.
Customer
They will be able to get improved products from time to
time at affordable price packages and attractive scheme to
benefit customers and persues them to more of your product.
Objective of the study
To find out marketing distribution channel involves in the
IFFCO fertilizers.
To fond out the satisfaction level of the farmer of Allahabad
district regard IFFCO fertilizer.
To study about sales promotion activities going under
IFFCO Phulpur unit.
Limitation of the study
All information from rural and urban markets of Allahabad
regarding distribution view, retailer’s view customer’s view
about “IFFCO urea” product can be applicable to anywhere
but in this study there are some Limitations.
•Due to time constraints the simple size was not as large as to
give healthy result
•Area limitation i.e. only some parts of the rural and urban
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Research methodology
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Marketing channels
Are set of independent organization involved in the
process of making a product or service available for use or
consumption.
Whole Sellers
A business enterprises that sells goods or service to those
who by for reseller business use.
A distribution system is a key external resource. It takes
years to build and it is not easily changed.
It ranks in importance with key internal resource such
manufacturing, research, Engineering, field sales, personnel
and facilities. It constitute basic fabric on which is woven
an extensive set of long term of relationship.
Functions of Distribution Channel
it Generate
Information
Promotion
Negotiation
Ordering
Finance
Risk taking
Physical possession
Payment
Title
Channel levels
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PACKS Farmer
Farmer
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Distribution system:
IFFCO distributes fertilizer mainly through APEX marketing
federation IFFCO-NCDC, societies and in some state
marketing/village cooperative societies, getting a direct supply
from IFFCO.
1. APEX marketing federation
The APEX marketing federation act as whole seller at the
state level. They route their product though district/
Tassel/ village level cooperative. They retain a same
2. Direct supplies to societies
in early 80’s financial position of some of the APEX
marketing federation and these federation were not on a
position to make the payment of fertilizer purchased from
IFFCO. On the intervention of central registrar
cooperative societies 8176 total IFFCO services.
MARKETING PERFORMANCE:
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Marketing channel
1. Distribution of fertilizer are mainly through the
cooperative system..
2. State level APEX cooperative marketing freedom
act us whole seller. .
3. Direct supplier to society in market.
4. IFFCO-NCDC Cooperative society
5. Small quantities to institutional agencies like Agro
industries Cooperation.
167 IFFCO FSC(Farmer service centre)
90
80
70
60
50
Sales
40
30
20
10
0
2003-04 2004-05 2005-06 2006-07 2007-08
Years
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35
30
25
20
15
10
0
2003 2004 2005 2006 2007
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50
40
30
20
10
0
2003-04 2004-05 2005-06 20006-07 2007-08
Investment By Iffco
(As On 31.03.2008)
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JPMC : 48%
Others
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Ware housing
Price:
Distribution channels
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Timely supply of inputs in adequate quantities at the right time and place is
one of the important factors in crop production. Delay or non availability of
inputs like fertilizer, seeds and agro chemicals has to found to decrease the
crop yield. Due to paucity of time, farmer is hard pressed to arrange for the
input before sowing. It is therefore necessary to make available all the inputs
under one roof so that farmers can purchase at the supplying centers.
Keeping these objectives in view, IFFCO has established a chain of farmer
service center (FSC) for the benefit of farmer to make sure the availability of
inputs along with the technical know how under one roof, IFFCO opened
first FSC at Karnal in Haryana state in 1976 and subsequently expended in a
phased to 167 FSC’S with following objectives.
-To supply timely and adequate quantify of inputs at reasonable price.
-To provide technical know how.
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another state in which there is sharp decline in the past two years. this
state also needs special attention.
2. In UP and Tamil Nadu the cooperative share has been declining
continuously in the last year while in other all states has kept
fluctuating without any violent.
Looking to the dismal performance of the cooperative sector in the fertilizer
business over the year coupled with inadequate growth in number of IFFCO
sales point. It is difficult task for cooperative to absorb the quantum’s to be
offered by IFFCO.
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Under the situation explain above IFFCO could the following policy with
respect to distribution channel.
1. Cooperative in its various form will continue to be the main channel
A beginning has already been made in this direction IFFCO has already
adopted 50 villages level cooperative societies in different states in its
marketing area. They are being provided financial support to the extent
of RS. 60000/- and technical and managerial support in the form of
training literature and assured supply of IFFCO fertilizer. While
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selecting these societies care has been taken to choose more of them in
states where cooperative are weak such as in Bihar where 150 societies
has been selected.
Marketing Set Up
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Seeding Programme
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Computerization
Phase I
1. To connect all the zonal office with the head MKCO and plants. This
has already been completed and email facility is already in placed.
2. Implementation of management information system with agriculture
services in the (MISAS). In all the area offices of the entire zone.
3. Implementation of various software applications in area of P&A,
financial accounting, sales and inventory, system in MKCO and its
hall the state offices.
4. Connecting all the state office through VSNL TCP/IP account where
connectivity is not there.
5. IFFCO intranet facility at every zonal state office through IFFCO
intranet
6. State wise dispatches from plant will be available at every zonal state
office through IFFCO intranet.
7. Software development of computerized application for FSC’S
8. First Phase of computerization was completed by March 1999.
PHASE II
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Phase III
1. To connect all the FSC and field offices with respective zonal offices
and electronic communication of all report and data via their state/area
offices.
2. Development and implementation of computerized system and field
offices
3. Phase III completed by March 2001
Phase IV
1. To connect all IFFCO adopted societies and NCDC societies with area
offices.
2. To connect all the federation with state/Zonal offices.
3. Phase IV will be completed by March 2002.
Phase V
offices/area offices.
2. This phase will be completed by March 2005.
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Promotional activities
Promotional activities are mean to appraise the customer i.e. farmer about
the effectiveness of the IFFCO fertilizers. Marketing of the products in
incomplete in the promotional work as far as fertilizer is concerned the
objective is to create awareness and motivate the farmers to adopt the
practice which are responsible for increasing fertilizer use and its efficiency.
In programming a product, interpersonal communication and mass media are
effectively utilize to reach to farmer and cooperative form this IFFCO’s field
staff also get a feed back being about and improvement in the marketing
operations. Promotional programmers are broadly divided as follow:
1. Publicity programmes:
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3. Seed Multiplication
4. Village Adoption
1. Demonstration
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2. Field programmes
Depending on location situation number of fields programmes
are conducted to educate the farmer on the various aspect of
crops production technology. These programme address to a
group of farmers and some times even to large number of
farmers. These programmes include farmers meeting field days.
Crop seminar, agricultural and social campaign. These
programmes are organized well in advance of the sowing season
of something during the crop growing period. A coordinated
approach is followed to involve agricultural voluntary
organizations. Cooperative institute and other developmental
agencies to help the farmers to solve their problem related to a
form production.
3. Farmer meeting
4. Field days
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Promotional activities:
1) Publicity programmes
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Supply of agro input in right quantities. Time and place is the key to enhance
crop production. It is important that all the input are available under one root
to avoid hardship to farmer at the time of showing. IFFCO has established a
chain of FSC to cater the need of farmer at the time of showing. IFFCO has
also launched Cooperative development programme in collaboration with the
national Cooperative development (NCDC) to improve their performance
activities of these centers are broadly divided as under follows.
1.IFFCO farmers services centre
Timely supply of inputs in adequate quantities at the right time and place is
one of the important factors in crop production. Delay or non- availability of
input like fertilizer seeds and agro chemicals has found to decrease the crop
yields. Due to paucity of time, farmer is hard pressed to arrange for the input
before sowing. It is therefore necessary to make available all the input under
one roof so that farmer can purchased at one place and to make use them
efficient with the farmer can purchased at one place and to make use of them
efficiently with the technical know how available at the supplying centre.
Keeping these efficiently one roof so that farmer can purchase at the
supplying centres. Keeping these objective in view IFFCO has established a
chain of farmer services centres (FSC) for the benefits of farmers to make
sure the availability of inputs along with the technical know how under one
roof
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IFFCO opened first FSC at karnal in Haryana state in 1976 and subsequently
expanded in a phased in a phased manner to 167 FSC’s with following
objectives.
I. To supply timely and adequate quantity of inputs at responsible price.
II. To provide technical know how
III. To supply farm implements and equipments free of cast for
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supply of inputs to the centre IFFCO has brought out has brought out a
publication entitled farmer service center manual to help the staff for
the smooth functioning of the center. A total number of 168 FSC were
operative during year 1997-98 in 11 states. The total turnover of these
centers furing the year 1996-97 was Rs. 109.10 crores as against Rs.
107.40 crores during 1997-98. decline in the total turnover is
attributed to non availability of zinc sulphate for distribution through
FSC, the average turnover per FSC was RS. 69.94 lakh and Rs. 6391
during 1996-97 and 1997-98 respectively. On an average each FSC
sold 805 MT fertilizer during 1996-97 and 714 MT during 1997-98. A
perusal on performance of IFFCO FSC’s which reveal that Uttar
Pradesh, panjab and Haryana contributed from 46% in 1997-98
whereas the percent share of Punjab and Haryana decreased from 23%
to 15% and 20D% 18% respectively during it.
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The above data clearly indicates that chemical fertilizers are most widely
used and preferred fertilizer among respondents.
It is very clear the above data that urea is used by majority of the famers in
the field following by DAP and NPK.
2. When I required about the specific brand of fertilizer which the farmers
were using following were the response
Types of fertilizer Number of respondents Percentage
Oswal 17 15%
IFFCO 35 29%
National 13 11%
Others 55 45%
Total 120 100%
By the above table we can draw the interface that the fertilizer of IFFCO
urea is mostly used at large scale and after it similarly Oswal/Indogulf and
National fertilizer is being used second and third place.
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It is evident from the above data that packaging plays an important role in
purchasing a particular brand of fertilizer i.e. IFFCO.
4. The table of given below shows role of source on providing a particular
brand of fertilizer to the users.
Goods 94 78%
Moderate 12 12%
Bed Quality 10 10%
Total 120 100%
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6. The following table shows the level of satisfaction by the farmer after
using the fertilizers.
Goods 12 10
Moderately satisfaction 62 52
Dissatisfied 19 16
Can not say 27 22
Total 120 100%
It is clear from above data the majority of the end users are moderately
satisfied by the fertilizer and suggest the use of compost fertilizer as
improved measures.
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Urea DAP
total
Agro
Cooperative
Hophade
Other
Cooperative
Total
Sudercane
Hophade
Sugar cane
other
Agro
S. N.
Block
1. Kaudihar 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
2. Holagarh 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
3. Soraw 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
4. Bahariya 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
5. Phulpur 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
6. Bahadurpur 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
7. Pratapur 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
8. Saidabad 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
9. Dhanupur 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
10. Handia 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
11. Jasra 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
12. Sankargarh 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
13. Karchana 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
14. Kaudihar 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
15. Urwa 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
16. Meza 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
17. Koraw 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
18. Manda 1800 300 73.5 2.5 1420 3590 160 100 10.5 0.5 481.5 752.5
Total 60
36000 1470 50 28397 71917 3200 200 210 10 9630 15050
0
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ZINC
MOP NPK
Cooperative
Other
Agr
Total
Total
others
Agro
Cooperative
Hophade
Sudercane
Other
Hophade
Sugar cane
Total
Agro
S. N.
Block
1. Kaudihar 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
2. Holagarh 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
3. Soraw 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
4. Bahariya 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
5. Phulpur 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
6. Bahadurpur 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
7. Pratapur 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
8. Saidabad 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
9. Dhanupur 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
10. Handia 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
11. Jasra 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
12. Sankargarh 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
13. Karchana 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
14. Kaudihar 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
15. Urwa 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
16. Meza 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
17. Koraw 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
18. Manda 2.5 0 0.75 0 112 115.25 75 70 2.35 0.5 107 254.85 0.5 4.5 5
Total
2243
2308
1500
1400
2131
5088
5.0
1.5
47
10
0
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Marketing
Not withstanding the turmoil, one factor will remain certain. The country
needs to ensure smooth and timely availability of fertilizer to all parts of the
country. The marketing division of the fertilizer industry will continue to
handle million of toes of fertilizer material. Greater responsibility will be the
trust upon the marketing personnel as they are among the limited gateways
to rural India. New opportunities are likely to unfold in the rural sector
which will encourage fertilizers industry to add new activities for their
marketing division. The emphasis will encourage fertilizer industry and
effectiveness and this will bring into focus the speed and quality of
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information flow for decision making. This will call for a radial overhaul of
the existing information system in the industry.
In a recent survey (i) increasing factors have emerged on the current status of
information technology in the fertilizer industry with respect to fertilizer
marketing. About 16 major fertilizer companies were verify their percentage
on the existing computerization and to obtain feedback on future possibilities
with special emphasis on e-commerce. The companies were selected from
public private & cooperative sectors. Almost 75% of the samples have
recorded turnovers of above Rs. 1000 crores involved marketing volumes of
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over 8 lakh tones of various type of fertilizer, with at least 1000 people on
rolls. All the companies surveyed have marketing operation in more than
state with about 60% of the sample having operations in more than 10 states.
About 45% of the companies have more than 200 field personnel while
about 50% have between 50-100. the sample studied contributes to a major
chunk of fertilizer industry’s marketing activities and the survey provides an
insight into the status of usage of I.T. in these companies.
About three quarter of the industries placed the I.T. awareness of their field
staff is not even conversant with office automation package. About sixty
percent have reported that their field staffs are not very comfortable using
packages developed for them. When it comes to awareness level on latest
development in I.T., 13 companies have reported that their field staffs have
no idea about e-commerce. As far as overall rating is concerned, only 3
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companies have reported that their existing system are very good and six
have rated satisfactory on a scale of every good, good, satisfactory poor. In
almost all cases, it appears that the over all rating is influenced by existing
useful of the applications alone and not based on the complete potential
benefits from I.T.
An important factor that emerged from the survey was that the relatively new
entrants have managed to set up more advanced system and make more
effective use of I.T. in marketing functions. About half of the sample had
stated active computerization.
Prior to nineties have to contend with their legacy system requiring major
efforts on upgradation and integration. It is interesting to note that most of
the successful companies in this aspect have supplemented their in house
development without sourcing. This should encourage the other companies
to take advantage of downward trends in hardware and software price to
hasten the process of catching up.
It is clear from the above that fertilizer companies which are present lagging
need to immediately acquire. I.T. fitness to remain competitive in the future.
Even those companies that have running applications should not be content
with them and introduce integrated should reorganize that automation is only
one of the benefits of I.T. and further value additions to consumer services
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are possible with I.T. introduction of such innovation I.T. services is not a
luxury but a necessary in the future.
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any required manner sop that decision makers are not lost in a
confusing maze of data. The reliability and timeliness of this class of
applications depend on the speed and quality of input data. Hence
application in the other classes needs to be strengthened before these
applications reflect latest status. In addition, there is scope to provide
appropriate I.T. tools to field personnel to carry out this function at
micro level.
This class of application influence the way field personnel operate and
may involve cultural changes. Often they do not form a separate set of
application and may involve.
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v. Business applications:
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The fertilizer industry needs to ensure that the above mentioned applications
are in place at the earliest so as to not lose competitive advantage. Whole
gamuts of economical solutions exist for this purpose. A discussion on
technology options presently available is beyond the scope of this paper. It
may be useful to adopt internet based technologies as major development are
focused in this arena and substantial efforts on standardization are already
undertaken. Since it is difficult to extend speedy and reliable support to most
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of the field personnel, web based technologies will minimize the number of
tool to be used by them to a simple browser like internet explorer Netscape
etc.
Once the home PC revolution catches up in the rural India the opportunity
that will open up could be unlimited. As it is India has 37 million cable TV
connections with a substantial potion of it din rural India this broadly gives a
guestimate on the size of possible target to a series good monsoons, rural
markets are no longer ignored by even major luxury automobile producers
like Benz. Since the fertilizer industries has a talented pool of field personnel
who can be one of the conduits to spread electronic through information in
the new economy.
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Finding
fertilizer.
2. In the Cooperative there are 29 state level marketing federation, 171
they catered to the requirement of the lower societies i.e. PACS etc.
6. Over the passage of time some federation walked out of fertilizer
agricultural implements.
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11. 20% farmers say that maize are grown selected area of Allahabad
district and whole farmers near about 100% farmers are using IFFCO
Urea .
12. Major farmers (50%) using only IFFCO Urea and 60% farmer are
17. One thing is very much attracting farmers towards purchase of IFFCO
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Conclusion
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survey. I found that nearly 70% farmer listen Radio, Transistor, T.V. have
only few one which is conducted by IFFCO and benefited by expert opinion.
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Recommendation
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Questionnaire
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a. By Cheque c. By cash-credit
b. By Cash d. By credit method
5. What are the methods of proving subsidy rate of IFFCO fertilizer?
farmers?
a. Two or three times in every block level
b. Five times at district level
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market.
b. Our delivery system are so strong hence no problem of
competition in market
c. Private companies has no quality and popularity hence we have
monopoly in market
d. Till today I have no competitor in market
media
b. field officer \are responsible for sales promotional activities
13. Which type of complain do you face with the IFFCO fertilizer sales?
complains
b. Late delivery of fertilizer causes dispute in farmer
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fertilizers
c. There is need of privatization in delivery of fertilizer s
a. Farmer an d workers
b. Employees of IFFCO
d. Only public sector and people in market are share holder of the
companies
16. what is distribution channel of fertilizers and other agricultural
products in IFFCO
a. Through Cooperative and private channel both.
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very well?
a. IFFCO c. Shri Ram fertilizer
b. National fertilizer d. Tata fertilizer
3. Which company fertilizer you use mostly?
a. 5 Years c. 20 Years
b. 10 Years d. 40 Years
5. Which company fertilizer (Urea) you find in quality and easily soluble
in water?
a. Oswal Fertilizer c. Tata Fertilizer
b. National Fertilizer d. IFFCO Fertilizer
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of soil
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Bibliography
Reference:
Agricultural Service.
6. IFFCO web site: www.IFFCO.nic.in
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