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One line Business Description: Manufacturing and Marketing Biofertilizers; providing customized solutions to the farmers along with a host of other augmented services City: Bangalore Operational Plant: Prakasham District, Andhra Pradesh Stage: Conceptualizing and Envisioning igreeni

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Concept Overview/Business Description

Primary Activity: We plan to start up a venture that promises to offer millions of Indian farmers a sustainable alternative to chemical fertilizers and chemical pesticides by the use of Biofertilizers and Biopesticides. Our target customer are the farmers who are using fertilizers in rural areas of India Augmented Activity: We will be setting up soil testing units. We plan to tie up with co-operatives and rural banks. We will provide training to the farmer regarding the usage and benefit of biofertilizer.
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Team
Rikdev Bhattacharya: Lead Finance (Strategy and Resource allocation) Arindam Das: Lead Marketing (Promotions And Brand Building) Suvarchala Chiravuri: Lead Production And Quality K.Vanalakshmi: Lead Relationship Manager (Strategic Tie-ups)

M.Himabala: Lead Human Resources (Employees, Suppliers, Cooperatives And Other Channel Partners)
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Product / Service Description

We plan to manufacture and market high quality bio-fertilizers to the farmers across India and other neighboring SAARC nations We would be providing a complete solution (Soil testing, Training, Expert advice ) to improve over all soil health and crop productivity We would be providing customized solutions to the needs of the farmers depending on the nature and texture of the farmland We will be establishing a robust distribution channel, tying up wit dealers, retailers, Co-operatives, Agri-banks, NGOs, Panchayats among others to help reach the farmers

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What is the size of the opportunity?

Potential:
Agriculture sector contributes 25% to the GDP As per the analysis, currently fertilizer consumption in India is 26.6 million tonnes a year Bio-fertilizers is required for the Indian agriculture market is 344,800507,032 tonnes Bio-fertilizers with an installed capacity of 18,500 tonnes The estimated demand for 2011-2012 is 28.5 million tonnes Hence we plan to fill in the demand-supply gap
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Market Segment of Fertilizer Industry in India ( in Million tonnes )
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What is the size of the opportunity?

Potential:
India contributes 8% to the fertilizer exporting market; we can avail the opportunity of exporting our product to the SAARC nations to begin with As most of the State Govts. across India prohibited the usage of chemical fertilizers, there is a huge scope and opportunity for bio-fertilizers in the future

Our Target Markets:

We will be targeting marginal(1-10 acres), medium (11-50 acres) and large (>50 acres) farmers through various channels of distribution 1st Production Plant: Prakasham district, Andhra Pradesh Reason: Lower cost of production, closer vicinity to the farmers & local knowledge We plan to operate from another plant in West Bengal in the near future which would cater to the needs of the farmers in the east and north-east of the country
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Business Model
The market price of the liquid form of bio fertilizers is approximately around 600-625 INR per liter.

Our Pricing Strategy: Penetrative Pricing

Our Products Selling Price: 575 INR per litre. i.e. at least 5% discounted rate as compared to our competitors.
The manufacturing, distributing and selling cost will be around 325- 350 INR per litre. The rest will be the profit to the company. We also seek to establish tie-ups with the Central Government which provides subsidy for farmers for buying bio-fertilizers hence advocating the usage of eco-friendly Biofertilizers.
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R and D Materials Biofertilizers STORAGE Soil Testing Data
STREAM OF CASH FLOW STREAM OF CASH FLOW

NGOs and Cooperatives

Retail Units

Agri-Banks and Micro-finance Institutions

Panchayat Pradhan/ Influencers

Marginal Farmers

Large Farmers

Medium Farmers
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STREAM OF CASH FLOW

Implementation Plan
Pilot Survey at Prakasham District, Andhra Pradesh A team of Soil testers, R&D specialists and Lab technicians for regular inspection Mobile Soil testing centers Products will be based on Soil testing centers and R&D reports; maintaining Quality
Standards Shot term contracts will be established with vendors

Employing marketing executives who will reach individual farmers and demonstrate
about the product Appointing villagers as our sales agents by providing them with adequate training

Selling through co-operative societies, Zilla Parishads, Panchayats, Farmers Association

like NABARD association, NGOs and Self Help Groups Multi Level Marketing Strategies igreeni
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Facility and Manufacturing Unit R and D Facility Storage Units

NGOs and Cooperatives

Retail Units

Agri-Banks and Micro-finance Institutions

Panchayat Pradhan/ Influencers

Farmer

Soil Testing Centers

Monthly Soil Testing

Farmers Cooperative

Farmer
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Your Goals
For 2015: To be present in all the states of India; exporting our product in all the major
SAARC nations For 2014: Establish our second manufacturing plant in West Bengal For December 2012 : Establish Plant in the Prakasham District of Andhra Pradesh For March 2012: Undergo detailed market research understanding the key requirements and the buying behavior of the farmers

Current achievements / status: We have formulated the basic plan to

launch our product; shortlisted Prakasham district for doing the initial market research for our product and thereby establishing the manufacturing unit igreeni
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Competitive Landscape
Who will you compete with?
Chemical and Bio-Fertilizer manufacturing companies, other local manure manufacturers and Imported agricultural products

Why would someone choose you over them?

Our promise of low cost , high quality and eco-friendly products and customized solutions to the farmers along with a host of other augmented services

Why do you have a chance to be a dominant player?

Customized Solutions-a first ever by any other player in the market Reaching even the remotest farmer through our robust distribution channel igreeni Awareness camps and Adopting a farmer per village concept
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Funding Objective
How much do you need? The total capital required is Rs. 93, 72, 000. The total fixed capital required is Rs.41,20,000 and working capital is Rs. 13, 48, 000. What do you need the money for? Fixed Assets (Equipments and Machinery) Leasing of facility Research and Development Operation & Maintenance Salaries-Technical and administrative Sales and Distribution Branding & Marketing
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TOTAL INVESTMENT
Partners External Sources Debt-Equity Ratio 21,00,000 INR 72,72,000 INR 3.4 : 1

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Exit Potential
How is the investor going to earn a good return? Our venture assure the investors a very a high ROI if and when he chooses to exit. The following are the feasible options:

1st Alternative: Reorganization and Recapitalization (increasing equity) 2nd Alternative: IPO 3rd Alternative: Merger with another bio-fertilizer company

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