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eFarm

Enabling FArmers to Reach Markets

Innovations in Agri Supply Chain


The eFarm Model

Presented at :
Agri Business Forum , Krishi 2011 , Nasik

Venkata Subramanian , Founder & MD


Introductions
Venkata Subramanian
• Founder & Managing Director, Matchbox Solutions
& eFarm, Chennai

Brief profile :
MS (Computer Science), 2003,University at
Albany, NY ,
B.Arch , IIT Kharagpur ,1995 , India
12 years of experience in IT industry in both
technology & commercial roles (7+ years in
US)
Head of key outsourcing & consulting
accounts in Insurance, Capital Markets &
Banking
Currently Better known as ….

Hi-Tech Sabjeewallahs ;-)


Only a crystal clear question yields a
transparent answer
– Zen saying

PROBLEM STATEMENT
WHY IS THERE A CRISIS IN INDIAN AGRICULTURE ?
Pain areas | The Agri Supply Chain
Current State : Too Many Steps , Too Little Value Addition

Harvesting of • Unorganized , unregulated , Terminal markets to


Vegetables
unprofessional & unprofitable neighborhood wholesalers

•A Middlemen’ dominated market


1 •Adhoc /Arbitrary Decisions on quality &
price
5

Regional mandi to Wholesalers to Retailers


4 Terminal markets near
A local mandi large cities
auctioning 2

Local to Regional mandis


for Auction
6
Loss in transit
40%
Price hike Retailers to Dining Table

3 End to end
> 400%
7
Pain areas | The Farmer’s ‘REAL’ crisis

Reality Check
•Farmers cannot do “everything”.
They need professional help and
organizational support

•Farming needs to become self


sustaining and HENCE a business
activity
•High uncertainty and risks = Very
low investor interest
•Years of neglect & low esteem =
educated youth avoid an agri
career =Labour problems

Need role models and pioneers to


build the road to recovery
Pain areas | Marketing -The missing link ?

Reality Check

The missing FIFTH ‘P’ of marketing No proper


in agri context - PERISHABILITY !!
customer
Other industries have differentiated
demand data
production from marketing/sales
Agriculture – Farmer handles both roles India’s agribiz is
‘supply driven’
Brands have value !! Indian products rather than
though have wider varity and better
taste have not established a stable
‘market driven’
brand
Pain Areas | Customer Spectrum
Huge domestic demand, Escalating prices & Unmet needs
Organised retailers are crowded in this space
Competition high

Low Income Middle High Hotels & Food & Export


Group Income Income caterers Drink • ~1% of
• > 40% in Group Group • ~25% of processors volume
volume • ~ 20% in • ~5% in volume volume • ~5% of • Best quality /
• Buy from volume • Buy from volume specific
• Buy from products only
neighborhood • Buy from retail chains wholesale • Product
markets street vendors • Quality & mandi specific buyer
(evening) • Price + Quality variety • Large volume
• Pay more for conscious conscious + fixed price
less quality range

Efarm targets entire B2B segment and currently untapped areas


Lack of Data| No visibility to supply or demand

Reality Check
• No accurate , dynamic data
on supply
• No market research on
customer demand
• No data = Wild guesses ?
"We can't solve problems by using the same kind of
thinking we used when we created them."

Albert Einstein

THE SOLUTION
“Desi” Problems need ‘Jugaadu’
solutions
Key Innovations
1) Weighing machine = standardise agri business transactions !

Bundles, baskets , bags  Kilograms , Counts 


2) Simple grading = right quality to right customer!!

Mixed grades S / M / L (Or) excellent / OK /bad 

3) Simple technology = widest usage !!!

PCs, Websites  Mobile phones , Voice, SMS 


Value proposition |
Connecting the Dots
Cleaning / Packing

Quality
Inspection/ Grading
Routing
Every stakeholder is alternately a
Long haul buyer or seller of agro goods, linked
Transportation
together by a common system.
Thus :
Develop Online supply chain
Rural Produce
Collection Centres Small retailers
Local vendors Technology backbone with offline
distribution mechanisms
Farmers
Create a network of farmers,
Urban area intermediaries, logistics providers,
Distribution centre
Local
Distribution distributors and retailers
Provide common support services
like marketing , training ,
Compost/Manure
from waste
Food Processing
units
technology and agri business
consulting
Bulk buyers
(Hotels / Caterers /
Retailers)
Exports ‘Organize’ the ‘un-organized’ rural
eFarm Common Services
to urban supply chain
Planning &
Coordination
Research
Call centre /
Communication
Technology
Training &
Support Manage the network to ensure
sustainability across the chain
Rural Collection Centres
Collection centres
Chennai Distribution Centre
Distribution centre
Kisan To Jawan : Retail Outlet For Indian Army
Value addition Cut
vegetables

Peeled
onions
and garlic

Natural
Ripening
Value added lProcesing team at our Mylapore centre Of fruits

Agri waste
collection
and
composting
Training / Workshop
eFarmDirect
Enabling MORE farmers Reach WIDER Markets..
In Seconds
Data Collection
eFarmDirect
Retailers Exporters Hotels Subjiwallahs Exporters

Buyers

Farmer
Suppliers
Transport

Labour
Live Demo
Search Results
Farmer Details
Call Centre / BPO
• Fully Operated By Differently Abled Individuals
• Demo Over LIVE webcam
Thank You

Venky
venky@efarm.in
98847 61354

Valli
srivalli@efarm.in
www.efarm.in
www.efarmdirect.com

Linkedin : AgriIndia
Twitter :venky_efarm

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