MR.

BHALCHANDRA
SAMBHAJI
JAGTAP
AT SOHALE, POST SOHALE,

TALUKA MOHOL, DIST. SOLAPUR,

(M A H A R A S T R A )

PROJECT REPORT

FOR

HIGH QUALITY POMEGRANATES

 PROJECT REPORT

OF

HIGH QUALITY POMOGRANATE

 MR. BHALCHANDRA S. JAGTAP

PROJECT REPORT INDEX

SR. NO PARTICULARS
1. Introduction
2. Activity
3. Cropping Pattern / Pomogranate Varieties
4. Infrastructure
5. Proposed Means of Finance
6. Project Implementation
7. Sales Estimates
8. Profitability
9. Sensitivity Analysis
10. Debt Service Coverage Ratio
11. Cost of Project
12. Conclusion

Annexures to Project Report

1. Statement showing cost of Project and Proposed Means of Finance
2. Projected Profitability Statement
3. Details of Profitability Index
4. Details of Depreciation Schedule
5. Details of Cash flow statement
6. Details of Repayment Schedule
7. Projected Balance Sheets
 1. INTRODUCTION

M/S. BHALCHANDRA S. JAGTAP is a owner of Agricultural

land for manufacturing of high quality export oriented Pomegranates.

Proprietor have decided to establish a modern and qualitative export

oriented Pomegranates plant in the state of Maharashtra and particularly in
village At Sohale Post Sohale, Taluka Mohol, Dist. Solapur.

The above mentioned proprietor having a good knowledge of

technical aspects. They also having experience in Pomegranate cultivation.

2. ACTIVITY

The Proprietor is mainly established for the purpose of –

1. Establishment of export oriented production of

Pomegranates in good hygiene conditions.

2. Marketing of best quality horticulture produce mainly

Pomegranates in the export market and good quality table
Pomegranates in the domestic market.

Pomegranates in Maharashtra

Pomegranate is an important fruit crop of Maharashtra. It is cultivated

in an area of 43,151 ha with a total production of 4, 31,510 tonnes producing
about 85% of the total Indian production, thereby leading in Pomegranate
production in the country. Within Maharashtra, production of Pomegranate
is mainly concentrated in the Western Maharashtra region and the
Marathwada region. Pomegranates are commercially cultivated in Solapur,
Sangli, Nashik, Ahmednagar, Pune, Dhule, Aurangabad, Satara, Osmanabad
and Latur districts. The variety Ganesh, Bhagwa (Red Ruby) cultivated in
Maharashtra is suitable for export purposes. At present fair amounts of
exports of Pomegranate takes place from the state in Reefer containers by
sea. For production of quality planting material one nursery of 4 ha has been
proposed to be established in the Solapur district under private sector and
another small nursery of 1 ha in the public sector in Pune district. The new
areas should be brought under Ruby, Bhagwa and Arakta varieties.
Considering the importance of pomegranate, the National Horticulture
Mission has proposed to bring 10,000 ha area under new plantation and
rejuvenation of 5000 ha of area is also proposed.
Plantation of ruby variety should be encouraged for export oriented
production. Though Maharashtra leads in the production of pomegranate,
post harvest infrastructure of the state needs to be strengthened. The present
post harvest infrastructure already existing in the state should be utilized
along with proposed pack houses, cold storage and reefer vans.
Most of the pomegranate is marketed as a fresh fruit, although some
quantity of its produce is also stored in cold stores since it has good shelf-
life. Maximum arrivals of pomegranate in Delhi markets are during January
– February but prices are usually the lowest during November – December.
Lowest arrivals in Azadpur market, Mumbai, Ahmedabad and Bangalore are
during April to June months. It costs Rs.5000- 8000 per quintal in Delhi
markets as against Rs. 3000 - 6000 per quintal in Maharashtra. An AEZ for
Pomegranate has been set up in districts of Solapur, Sangli, Ahmednagar,
Pune, Nasik Osmanabad and Latur for integrated development of this crop.

Propagation: Seed propagation is common. Hard wood stem cuttings are

easy. It can also be propagated by simple layering or through root suckers.

Irrigation: First irrigation is provided in case of mrig bahar crop in the

middle of May followed by regular irrigation till the monsoon sets in.
Weekly irrigation in summers and that during winters at fortnightly intervals
is recommended. The check basin system of irrigation is usually followed

Planting: The rooted cuttings or layers are usually planted in the beginning
of the monsoon or in spring season in square or hexagonal system.

Spacing: 2mtr apart.

Pruning: The plant produces suckers from base which do not bear any crop.
The suckers are to be removed as soon as they arise. The fruits are born
terminally on short spurs arising from mature shoots.

Flowering: Ambe bahar, Mrig bahar and Hasta bahar are the flowering
seasons. Farmers of Pomegranate are advised to take Hasta Bahar flowering
by pruning in August and harvesting in March. This practice helps to prevent
bacterial blight (Xanthomonas axonopodis cv. Punicae) problem.

Economic value: The edible part of the Pomegranate is the juicy out growth
of the seed called Aril. The fruit juice is considered to be useful for patients
suffering from leprosy. The bark and the rind of the fruit are commonly used
against dysentery and diarrhoea.
Food Value Per 100 g of Edible Portion*
Calories 63-78
Moisture 72.6-86.4 g
Protein 0.05-1.6 g
Fat Trace only to 0.9 g
Carbohydrates 15.4-19.6 g
Fiber 3.4-5.0 g
Ash 0.36-0.73 g
Calcium 3-12 mg
Phosphorus 8-37 mg
Iron 0.3-1.2 mg
Sodium 3 mg
Potassium 259 mg
Carotene None to Trace
Thiamine 0.003 mg
Riboflavin 0.012-0.03 mg
Niacin 0.180-0.3 mg
Ascorbic Acid 4-4.2 mg
Citric Acid 0.46-3.6 mg
Boric Acid 0.005 mg
*Analysis of fresh juice sacs made by various investigators.

The project is being established as under:

Establishment of 2 Acres of High quality oriented pomegranate farm.

3. CROPING PATTERN/POMEGRANATE VARITIES

It is proposed to plant the following varieties of Pomegranate -
BHAGAWA

4. INFRASTRUCTURE LAND

The promoters have already have a 5 Acres of Agriculture Land at At

Sohale post Sohale, Taluka Mohol, Dist. Solapur. The land is sufficient for
the establishment of 2 Acres Pomegranate farm and the post harvest
processing unit. The quality of the soil is excellent and suitable for the
proposed horticulture.

WATER

The promoters had proposed to construct 1 dugwell and 1 borewell

and is used as guaranteed Water Source. The surrounding are of proposed
land does not having any water discharge by way of borewell or any other
media, Hence there will be guarantee of good water discharge through out
the year. It is proposed to lift water from the well. The promoters have
already undertaken the excavation & construction of well at the said land.

ELECTRICITY

The promoters are already have a Power connection of 5 H.P. load to

the concerned authority. There will not be any problem of electrical lines &
transformers etc.

TRANSPORTATION

The farm is about k.m. from Mohol. and beside the State Highway
which wide enough to pass the heavy vehicles.

LABOUR

Being rural area, the skilled and unskilled labours are easily available
at proposed the location.

MARKET

All good quality Pomegranates will be Dispatched through Market

Committee. There is good local market in the district as also in other district
of Maharashtra and state like Gujrat, Rajsthan & Northen part of country is
always having good market for good quality table Pomegranates.

TECHNICAL KNOW-HOW

Promoter is having good experience in Agricultural line since last 15

years. And have also developed good technical knowledge in the
horticulture particularly in Pomegranates.
The necessary technical support is also available from National Anar
Research Institute, Solapur Maharashtra State Anar Growers Association,
Pune.

5. PROPOSED MEANS OF FINANCE

The total capital cost of Rs.6.00 lakhs is proposed to be finance as
under:

Promoters’ contribution Rs. 1.50 lakhs

Term Loan from Bank/Financial Institution Rs. 4.50 lakhs
 Total Rs. Rs. 6.00 lakhs

6. PROJECT IMPLEMENTATION

Purchase of land land development - Already done

Land development - Jan. - 2018
Drip Irrigation - Dec. - 2017
Plantation - As and When Loan Disburse
Grafting to forward Pruning - As and When Loan Disburse
First year Forward & Pruning to Harvest - As and When Loan Disburse
Harvesting - As and When Loan Disburse

Thus entire project will be completed by May 2018 and first crop will be
harvested from January 2019

7. SALES ESTIMATES

The season/year wise estimates of the sales for 10 years are given in Annx-1.
The necessary break-up for domestic sales is also given.
The rates of domestic sales are also taken on conservative basis. All
the sale will be made through Market Commitees. Estimated Sales revenue
is 50000/- per ton.

8. PROFITABILITY

The projected profitability statement for next 9 years is enclosed in

Annexure.

9. SENSITIVITY ANALYSIS

The sensitivity analysis is worked out in Annexure.i.e. Profit and loss

account.
10. DEBT SERVICE COVERAGE RATIO

The year-wise and average DSCR works out as under:

YEAR D.S.C.R.
1 Year - 2018
st
2.51
2nd Year - 2019 3.36
3rd Year - 2020 3.84
4th Year - 2021 4.33
5th Year - 2022 4.80
Average D.S.C.R. 3.77

It would be observed that the debt servicing capacity of the project would be
sound over the period of 5 years.

11. COST OF PROJECT

(Amount in Lakhs)
The detailed statement showing cost of the project is given in Annex-1

INVESTMENT IN FIXED ASSETS :- RS . In Lakhs

Land Development 2.00

Drip Irrigation & Pipeline systems 1.00
Plantation 0.25
JCB Charges 0.80
Farms equipments 0.40
Fertilizers 1.05
Pesticides 0.50
====
TOTAL COST OF THE PROJECT :- 6.00
====

MEANS OF FINANCE OF PROJECT

I) Promoters contributions 1.50

II) Term loan from Bank/Financial institutions 4.50
-------
TOTAL (I+II) 6.00
-------
12. CONCLUSION

Taking in to consideration the project, the promoters and their background,

the expected cash generations, it appears that the project is technically
feasible and economically/commercially viable.

Signature