29/05/2013
Rural Warehouse & Seed Programe
Warehouse Project
We have ensued this project mainly keeping in mind the less privileged farmers holding little plot of farmland. JPCl will collaborate with these farmers and build warehouses at their land. JPCl will construct the warehouse and run its entire operation.
Advantages :
1. The small and marginal farmers will incur a lucrative amount of profit every month by renting the warehouses. 2. The bigger farmers will save additional expenses and avoid much of the inconveniences by taking the advantage of the warehouse in their vicinity farmland.
This scheme has been adopted by JPCL for small and marginal farmers with meagre land holding seeking for alternative source of income generation. These farmers can incur a lucrative profit through this scheme. We have targeted construction of 50 go down in the first phase of the scheme. To materialise the scheme, JPCL has chosen such area f operation which do not have a warehouse in its vicinity or which still are in due need of more warehouses.We have chose such farmers who have land apt for such construction. These farmers will sign Memorandum of Understanding with JPCL and will incur equal profit share as the company.The responsibility of constructing and running the warehouse will be completely commenced by JPCL.
Land needed for the construction of warehouse : 1 acre
Capacity of the Warehouse : 50,000 bags.
Estimated Minimum Cost Per Bag : Rs 4/-
Monthly rent of the warehouse : Rs 200000
Estimated expense in constructing the warehouse : 1 Crore
(If land is held as collateral then no deposit as collateral is needed. )
Instalments to be paid : Rs 100000 (to maximum 8 years)
Expense in running the warehouse : Maximum Rs 25,000
Net Income : Rs 200000
Net Expense : Rs 1,25,000
Net Profit : Rs 75,000
Therefore the farmer will incur : Rs 37,500.
( since the farmers and JPCL are equal profit sharers)
After clearing the loan, the net profit will increase upto Rs 1,00000 (approx)
Seed Program
JPCL with the collaboration with Government agencies is already working in the production of high quality foundation seeds by the farmers. In this seed production program JPCl is producing seeds of value of 22crores per season.