MANGO (2024)

MANGO

1.INTRODUCTION

Mango (Mangifera indica L.) belonging to Family Anacardiaceae is the mostimportant commercially grown fruit crop of the country. It is called the king of fruits. India has the richest collection of mangocultivars.

2. OBJECTIVE
The main objective of the study is to promote commercial cultivation of the crop by small and middle scale farmers by projecting a one acre bankable model project. 
3. BACKGROUND
 
3.1 Origin

Cultivation of mango is believed tohave originated in S.E. Asia. Mango is being cultivated in southern Asia fornearly six thousand years.

3.2Area & Production

India ranks first among world’smango producing countries accounting for about 50% of the world’s mangoproduction. Other major mango producingcountries include China, Thailand, Mexico, Pakistan, Philippines, Indonesia,Brazil, Nigeria and Egypt. India’s share is around 52% of world production i.e.12 million tonnes as against world’s production of 23 million tonnes (2002-03).

An increasing trend has beenobserved in world mango production averaging 22 million metric tonnes per year.Worldwide production is mostly concentrated in Asia, accounting for 75%followed by South and Northern America with about 10% share.

Area under cultivation andproduction trends of mangoes in India during 1997-98 to 2001-02 are depicted ingraphs 1 & 2. Major producingStates are Andhra Pradesh, Bihar, Gujarat, Karnataka, Maharashtra, Orissa,Tamil Nadu, Uttar Pradesh and West Bengal.Other States where mangoes are grown include Madhya Pradesh, Kerala,Haryana, Punjab etc. (Ref. Table-1)

MANGO (1)


The state-wise area and productionof mangoes are given in Table 1below:

Table 1 : State-wise Area, Production & Productivity

of Mangoes during 2001-02

State

Area

(‘000 Ha.)

Production

(‘000 MT)

Andhra Pradesh

341.2

2445.8

Uttar Pradesh

253.0

1950.0

Maharashtra

164.4

559.0

Bihar

139.3

1253.5

Karnataka

115.4

1130.6

Tamil Nadu

110.8

438.7

Orissa

107.3

402.4

West Bengal

65.4

585.0

Gujarat

65.3

457.6

Others

213.7

797.6

TOTAL

1575.8

10020.2

Source : Database of National Horticulture Board, Ministryof Agriculture , Govt. of India.

The crop accounts for 39% of areaunder fruit corps in India and 23% of production of these crops.

3.3 Economic Importance
 

The fruit is very popular with themasses due to its wide range of adaptability, high nutritive value, richness invariety, delicious taste and excellent flavour. It is a rich source of vitamin A and C. The fruit is consumed rawor ripe. Good mango varieties contain 20% of total soluble sugars. The acidcontent of ripe desert fruit varies from 0.2 to 0.5 % and protein content isabout 1 %.

Raw fruits of local varieties ofmango trees are used for preparing various traditional products like raw slicesin brine, amchur, pickle, murabba, chutney, panhe (sharabat) etc. Presently,the raw fruit of local varieties of mango are used for preparing pickle and rawslices in brine on commercial scale while fruits of Alphonso variety are usedfor squash in coastal western zone.

The wood is used as timber, anddried twigs are used for religious purposes. The mango kernel also containsabout 8-10% good quality fat which can be used for saponification. Its starch is used in confectionery industry.

Mango also has medicinal uses. Theripe fruit has fattening, diuretic and laxative properties. It helps toincrease digestive capacity.

4. MARKET ANALYSIS AND STRATEGY
4.1 Demand and Supply patterns

4.1.1World Trade

Among internationally tradedtropical fruits, mango ranks only second to pineapple in quantity and value.Major markets for fresh and dried mangoes in 1998 were: Malaysia, Japan,Singapore, Hong Kong and the Netherlands, while for canned mango were:Netherlands, Australia, United Kingdom, Germany, France and USA.

Southeast Asian buyersconsume mangoes all year round. Their supplies come mainly from India,Pakistan, Indonesia, Thailand, Malaysia, Philippines, Australia and mostrecently South Africa.

Each exporting country hasits own varieties, which differ in shape, colour and flavour. Prices are verylow for Indonesian and Thailand fruit and are on the higher side for Indianfruit. In the United States of America, the prices vary with the season, higherprices found during February and March, when mango availability is lowest.


Most international trade in fresh mangoes takes place within short distances.Mexico, Haiti and Brazil account for the majority of North America’s imports. India and Pakistan are the predominantsuppliers to the West Asian market. Southeast Asian countries get most of their supplies from thePhilippines and Thailand. European Union buyers source mangoes from SouthAmerica and Asia. Although Asia accounts for 75 percent of world production,its dominance does not translate into international trade.

4.1.2International Marketsfor Indian Mango

Asian producers find iteasier to expand sales to the European Union. Europe’s acceptance of different varieties is greater, because ofa large demand from Asian immigrant groups. Phytosanitaryrestrictions are less stringent. Transportationcosts are not as big a factor in exporting mangoes to the European Union as inexporting to the United States market: for example, India and Pakistan are ableto compete with non-Asian suppliers to the European Union, whereas proximitygives Mexico and Haiti a clear advantage in supplying to the United Statesmarket.


Fifty-fourpercent of European Union imports enter during the periods May to July andNovember to December, with peak imports in June. French imports reach peak inApril and May, whereas United Kingdom imports are concentrated during the Mayto July. German imports are spread moreevenly throughout the year. Of the top suppliers, Brazil provided chieflyduring the period November to December, the United States during June toOctober, South Africa during January to April and Venezuela during April toJuly. Pakistan supplies the majority of its exports to the European Unionduring June and July; Indian exports take place mainly during the monthof May.

Although a lion’s share of Indianmango goes to the Gulf countries, efforts are being made to exploit European,American and Asian markets. About 13,000 MT of Alphonso variety is exported toMiddle East, UK and Netherlands every year.

The different products of mangowhich are exported include mango chutney, pickles, jam, squash, pulp, juice,nectar and slices. These are being exported to U.K., U.S.A., Kuwait and Russia.Besides these, the fresh mangoes are being exported to Bangladesh, Bahrain,France, Kuwait, Malaysia, Nepal, Singapore and U.K.

The varieties in demand at the international market include Kent, Tomy Atkin, Alphonso and Kesar. Varieties such as Alphonso, Dashehari, Kesar, Banganapalli and several other varieties that are currently in demand in the international markets are produced and exported from India. 
‘Mahamango’, a co-operative society was established in 1991 with the support of Maharashtra State Agricultural & Marketing Board (Pune). This was mainly formed to boost the export of Alphonso mangoes as well as for domestic marketing. Facilities like pre-cooling, cold storages, pack house, grading packing line etc. have been made available at the facility centre of Mahamango for which the financial assistance was given by APEDA, New Delhi and Maharashtra State Agricultural & Marketing Board (Pune). 
A similar type of association named ‘MANGROW’ has been formed for the export of Kesar mangoes from Aurangabad district of Maharashtra.

4.2Import/Export trends

India's mango exports were estimatedat 45 thousand tonnes worth Rs 100 crore (Rs 1 billion) in 2002-03. Fresh mangoes are exported to Bangladesh,U.A.E., Saudi Arabia and U.K. and mango pulp to U.A.E., SaudiArabia, Kuwait, Netherlands, U.S.A and U.K.Processed mango products viz. pickle and chutney are exported to U.K.,U.A.E., Saudi Arabia, Germany, Netherlands, U.S.A and U.K.

The trend inexport of mangoes during the period 1999-2000 to 2002-03 is given in Graph3 and destination wise exports during 2001-02 are shown in Table-2.

MANGO (2)

Table-2 : Country-wise export of mangoes from India during 2001-02.

Country

Quantity

(‘000 Tonnes)

Value

(Rs. in crores)

Bangladesh

21.03

24.10

U.A.E

12.81

28.19

Saudi Arabia

2.94

6.62

U.K.

1.37

4.54

Kuwait

0.98

3.10

Oman

0.88

1.88

U.S.A.

0.73

1.63

Bahrain

0.60

2.01

Others

3.09

8.92

Total

44.43

80.99

Source : APEDA, New Delhi


The biggest importer of mango is theUnited States importing an average of 1,85,000 metric tonnes annually (about45% of the total world import volume). Europe’s top importers of mango includeNetherlands, France, UK, Germany and Belgium with an aggregate average volume of95,000 metric tonnes imported annually.

Of late Asianmarket has been expanding.China's market has been increasing andranks second among the top importers in the world.Other Asian marketssuch as Malaysia, UAE, Saudi Arabia and Singapore have been among the top tenimporters exhibiting an export growth average of 20% annually.

4.3Analysis and Future Strategy

Mango has an established exportmarket and poses bright opportunities for export in the international marketwhether in fresh or processed forms. Similarly, the mango industry has providedlivelihood opportunities to its growers and those involved in its marketingchannel. Creation of essentialinfra-structure for preservation, cold storage, refrigeratedtransportation, rapid transit, grading, processing, packaging and qualitycontrol are the important aspects which needs more attention.

There is need for developingprocessing industries in the southern region of the country where post harvestlosses in handling and marketing are higher.

There is scope to establish mangopreservation factories in cooperative sector. Mango growers cooperatives on the lines of Mahamango need toencouraged to come up in major mango producing States. This will add to their income throughprocessing and create additional employment opportunities for the rural people.

Considerable amount of wastematerial, e.g, mango stones, peels remain unutilized which can be used properlyby the processors to earn more profit. This will also help to improve sanitary conditions around factorypremises.

5.PRODUCTION TECHNOLOGY

5.1Agro-climatic requirements

Mango is well adapted to tropical and sub-tropical climates.It thrives well in almost all the regions of the country but cannot be grown commerciallyin areas above 600 m. It cannot stand severe frost, especially when the tree isyoung. High temperature by itself is not so injurious to mango, but incombination with low humidity and high winds, it affects the tree adversely.

Mango varieties usually thrive wellin places with rainfall in the range of 75-375 cm. /annum and dry season. Thedistribution of rainfall is more important than its amount. Dry weather beforeblossoming is conducive to profuse flowering. Rain during flowering isdetrimental to the crop as it interferes with pollination. However, rain duringfruit development is good but heavy rains cause damage to ripening fruits.Strong winds and cyclones during fruiting season can play havoc as they causeexcessive fruit drop.

Loamy, alluvial, well drained,aerated and deep soils rich in organic matter with a pH range of 5.5 to 7.5 areideal for mango cultivation.

5.2 Growing and Potential Belts

Mango is cultivated in almost allthe states of India. The state-wise growing belts are given in the following :

State

Growing belts

Andhra Pradesh

Krishna, East and West Godavari, Vishakhapatnam, Srikakulam, Chittoor, Adilabad, Khamman, Vijaynagar

Chhattisgarh

Jabalpur, Raipur, Bastar

Gujarat

Bhavnagar, Surat, Valsad, Junagarh, Mehsana, Khera

Haryana

Karnal, Kurushetra

Jammu & Kashmir

Jammu, Kathwa, Udhampur

Jharkhand

Ranchi, Sindega, Gumla, Hazaribagh, Dumka, Sahibganj, Godda.

Karnataka

Kolar, Bangalore, Tumkur, Kagu

Kerala

Kannur, Palakkad, Trissur, Malappuram

Madhya Pradesh

Rewa, Satna, Durg, Bilaspur, Bastar, Ramnandgaon, Rajgari, Jabalpur, Katni, Balagha

Maharashtra

Ratnagiri, Sindhudurg, Raigarh

Orissa

Sonepur, Bolangir, Gajapati, Koraput, Rayagada, Gunpur, Malkanpuri, Dhenkanal, Ganjam, Puri

Punjab

Gurdaspur, Hoshiarpur, Ropar

Tamil Nadu

Dharmapuri, Vellore, Tiruvallur, Theni, Madurai

Uttaranchal

Almora, Nainital, Dehradun, Bageshwar, UdhamSingh Nagar, Haridwar

Uttar Pradesh

Saharanpur, Bulandshahar, Lucknow, Faizabad, Varanasi

West Bengal

Malda, Murshidabad, Nadia

5.3Varieties Cultivated

In India, about 1,500 varieties ofmango are grown including 1,000 commercial varieties. Each of the mainvarieties of mango has an unique taste and flavour.

Based on time of ripening ,varieties may be classified as under :

Early

-

Bombai, Bombay Green , Himsagar, Kesar, Suvernarekha

Mid-season

-

Alphonso, Mankurad, Bangalora, Vanraj, Banganapalli, Dashehari, Langra, Kishen Bhog, Zardalu, Mankurad

Late

-

Fazli, Fernandin, Mulgoa, Neelum, Chausa

Hybrids:

Amrapalli(Dashehari x Neelum), Mallika (Neelum x Dashehari), Arka Aruna (Banganapalli xAlphonso), Arka Puneet (Alphonso x Janardhan Pasand), Arka Neelkiran (Alpohonsox Neelum), Ratna (Neelum x Alphonso), Sindhu (Ratna x Alphonso), Au Rumani(Rumani x Mulgoa), Manjeera (Rumani x Neelum), PKM 1 (Chinnasuvernarekha x Neelum),Alfazli, Sunder Langra, Sabri, Jawahar, Neelphonso, Neeleshan, Neeleshwari, PKM2 (very few of these hybrid varieties are grown commercially in the country).

State

Varieties grown

Andhra Pradesh

-

Allumpur Baneshan, Banganapalli, Bangalora, Cherukurasam, Himayuddin, Suvernarekha, Neelum, Totapuri

Bihar

-

Bathua, Bombai, Himsagar, Kishen Bhog, Sukul, Gulab Khas, Zardalu, Langra, Chausa, Dashehari, Fazli

Goa

-

Fernandin, Mankurad

Gujarat

-

Alphonso, Kesar, Rajapuri, Vanraj, Jamadar, Totapuri, Neelum, Dashehari, Langra

Haryana

-

Dashehari, Langra, Sarauli, Chausa, Fazli

Himachal Pradesh

-

Chausa, Dashehari, Langra

Jharkhand

-

Jardalu, Amrapalli, Mallika, Bombai, Langra, Himsagar, Chausa, Gulabkhas

Karnataka

-

Alphonso, Bangalora, Mulgoa, Neelum, Pairi, Baganapalli, Totapuri

Kerala

-

Mundappa, Olour, Pairi

Madhya Pradesh

-

Alphonso, Bombay Green, Langra, Sunderja, Dashehari, Fazli, Neelum, Amrapalli, Mallika

Maharashtra

-

Alphonso, Mankurad, Mulgoa, Pairi, Rajapuri, Kesar, Gulabi, Vanraj

Orissa

-

Baneshan, Langra, Neelum, Suvarnarekha, Amrapalli, Mallika

Punjab

-

Dashehari, Langra, Chausa, Malda

Rajasthan

-

Bombay Green, Chausa, Dashehari, Langra

Tamil Nadu

-

Banganapalli, Bangalora, Neelum, Rumani, Mulgoa, Alphonso, Totapuri

Uttar Pradesh

-

Bombay Green, Dashehari, Langra, Safeda Lucknow, Chausa, Fazli

West Bengal

-

Bombai, Himsagar, Kishen Bhog, Langra, Fazli, Gulabkhas, Amrapalli, Mallika

5.4Planting

5.4.1Planting Material

Mango can be propagated from seed orpropagated vegetatively. Plants are generally propagated vegetatively by usingseveral techniques like veneer grafting, inarching and epicotyl grafting etc.

5.4.2Planting Season

Planting is usually done in themonth of July-August in rainfed areas and during February-March in irrigatedareas. In case of heavy rainfall zones,planting is taken up at the end of rainy season.

5.4.3Spacing

The planting distance is 10m. x 10m.and 12m. x 12m. in dry and moist zones respectively. In the model scheme, a spacing of 8m. x 8m. with a population of 63plants per acre has been considered which was observed to be common in areascovered during a field study.

5.5Training of Plants

Training of plants in the initialstages of growth is very important to give them a proper shape specially incases where the graft has branched too low.

5.6Nutrition

Fertilizers may be applied in twosplit doses , one half immediately after the harvesting of fruits in June/Julyand the other half in October, in both young and old orchards followed byirrigation if there are no rains. Foliar application of 3 % urea in sandy soilsis recommended before flowering.

The following table gives thedetails of fertilizer applied (depending upon the age of the plants) :

Age of the plant

(in years)

Fertilizer applied

1*

100g. N, 50g. P2O5, 100g. K2O

10

1kg. N, 500g. P2O5, 1kg. K2O

11

-do-

*The dosesapplied in the subsequent years should be increased every year upto

10 years inthe multiple of the first year’s dose.

Well decomposed farm-yard manure maybe applied every year. For trench application of fertilizers, 400g. each of Nand K2O and 200g. of P2O5 per plant should beprovided. Micro-nutrients may be applied as per the requirement in the form offoliar sprays.

5.7Irrigation

The frequency and amount ofirrigation to be provided depends on the type of soil, prevailing climaticconditions, rainfall and its distribution and lastly the age of the trees. Noirrigation is required during the monsoon months unless there are long spellsof drought.

Age of the plant (in years)/Growth stage

Irrigation schedule

1

· Irrigated at an interval of 2-3 days during dry season.

2-5

· Irrigation interval- 4-5 days .

5-8/ fruit set to maturity

· Irrigated after every 10-15 days

Full bearing stage

· 2-3 irrigations after fruit set.

Frequent irrigation during 2-3months prior to the flowering season is not advisable as it is likely topromote vegetative growth at the expense of flowering. Irrigation should begiven at 50% field capacity. Generally inter-crops are grown during the earlyyears of plantation and hence frequency and method of irrigation has to beadjusted accordingly. The method usually followed for irrigating mango plantsis basin irrigation. However, use of Drip Irrigation will not only reduce thewater requirements but will also help in fertigation in root zones of theplants.

5.8Intercultural Operations

The frequency and the time ofinter-culture operations vary with age of the orchards and existence of inter-crops.The weed problem may not exist immediately after planting the mango crop but itis advisable to break the crust with hand hoe each time after 10-15 irrigationsare applied. In case of mono-cropping, the area between the basins should beploughed at least three times in a year i.e. during the pre-monsoon,post-monsoon period and in the last week of November.

5.9Inter-cropping

Intercropping can be taken up till themango trees attain suitable height and develop canopy (at 5-6 years ofa*ge).Leguminous crops like green gram, black gram, gram etc., cereals likewheat, oilseeds like mustard, sesame and groundnut, vegetable crops such ascabbage, cauliflower, tomato, potato, brinjal, cucumber, pumpkin, bitter gourd,tinda, lady’s finger etc. and spices like chillies can be grown as intercrops. Thepartial shade loving crops like pineapple, ginger, turmeric etc. can becultivated in fully grown orchards. In addition to field crops, some shortduration , less exhaustive and dwarf type inter- fillers like papaya, guava,peach, plum etc. can be grown till these do not interfere with the main mango crop.It is advisable to take vegetable crops as inter crops for better returns.

The average cost of inter croppingwould be Rs.10,000 / Acre and it would yield on an average of 6 tonnes / Acres.

5.10Crop Management

5.10.1 Regulation of Bearing

Proper cultural practices likeaddition of fertilizers and control of diseases and insect pests may be adoptedto regulate growth and bearing. Regularbearing varieties viz. Dashehari and Amrapalli may be grown. Deblossoming ofthe panicles with NAA @ 200 ppm. (20 g./100 l. water) during ‘on’ year may helpto regulate the bearing.

5.10.2 Regulation of Fruit Drop

Embryo abortion, climatic factors ,disturbed water relation, lack of nutrition, attack of disease and pest,hormonal imbalances are the major factors that lead to fruit drop. A spray ofAlar (B-Nine) @ 100 ppm. or 20 ppm. 2,4-D (2g. in 100 l. water) in the lastweek of April or in the last week of May will control to some extent the summerfruit drop in Langra & Dashehari.

5.11 Plant Protection Measures
5.11.1 Insect Pests
Insect pests mostly observed are mealy bug, hopper, inflorescence midge, fruit fly and scale insects. For controlling these insects, spraying with carbaryl, monocrotophos, phosphamidon & methyl parathion are recommended.
5.11.2 Diseases and Disorders

The crop is suspect to diseases likepowdery mildew, anthracnose, die back, blight, red rust, sooty mould, etc. In order to control these diseases sprayingof appropriate chemicals/fungicides have to be undertaken preferably onpreventive basis.

Disorders can also affect the cropif proper case and control measures are not taken. The major among these are malformation, biennial bearing, fruitdrop, black tip, clustering etc. Thegrower needs to seek advice and professional assistance to prevent/controldiseases and disorders in the crop.

5.12Harvesting and Yield

The orchard starts bearing fromsixth year onwards and the economic life of a mango tree exceeds 35 years.

Yield of fruits varies considerablyaccording to the variety, climatic conditions, plant population etc. On an average, the yield ranges from 5 to 9t/acre. Grafted plants start bearing early.

6. POST HARVEST MANAGEMENT

6.1Grading

Grading is mainly based on the size,colour and maturity of the fruits. While grading, smaller fruits are separatedfrom the larger ones in order to achieve uniform ripening. Immature, overripe,damaged and diseased fruits are discarded in the process of grading.

The fruits are generally harvestedearly in the season at a pre-mature stage to capture early market. Such fruitsare ripened by uniformly dipping in 750 ppm. ethrel (1.8ml./l.) in hot water at52±20 C for 5 minutes. within 4-8 days under ambient conditions.Mature fruits are ripened with lower doses of ethrel for uniform colourdevelopment.

6.2Storage

The mature green fruits can bestored at room temperature for about 4-10 days depending upon the variety. Theharvested fruits are pre-cooled to 10-120 C and then stored at an appropriatetemperature. The fruits of Dashehari, Mallika and Amrapalli should be stored at120 C, Langra at 140 C and Chausa at 80 C with85-90 % relative humidity.

6.3Packing

Wooden or cardboard boxes,rectangular in shape and bamboo baskets having capacity to accommodate 5 to 8kg.of fruit is used for packaging and transportation of mango fruits. The mostcommonly used containers are ventilated card board boxes of corrugated fibreboard (CFB) cartons. Size of the box varies to accommodate 5 to 10 kg. of fruit.

Marketing of the produce is mainlycontrolled by intermediaries like wholesalers and commission agents.

7.TECHNOLOGY SOURCES

The major sources for technology, aswell as quality planting material are:

(i)CentralInstitute for Sub-tropical Horticulture, P.O. Kakori, Lucknow-226002, UttarPradesh, Tel (0522)-2841022/1023.

(ii)IndianInstitute of Horticultural Research, Hessarghatta, Bangalore-560089, Karnataka,Tel (080)-28466471/6353.

(iii)IndianAgricultural Research Institute, New Delhi-110012.

(iv)NarendraDeva University of Agriculture & Technology, Kumarganj, Faizabad-224229,Uttar Pradesh, Tel (05270)-2262097/2161.

(v)AcharyaNG Ranga Agricultural University, Rajendra Nagar, Hyderabad-500030, AndhraPradesh, Tel (040)-24015078.

(vi)Universityof Agricultural Sciences, Dharwad-580005, Karnataka, Tel (0836)-2447783.

(vii)MahatmaPhule Krishi Vidyapeeth, Rahuri-413722, Maharashtra, Tel (02426) 2243208.

(viii)Dr.Balasaheb Sawant Konkan Krishi Vidyapeeth, Dapoli District, Ratnagiri-415712,Maharashtra, Tel (02358)-2282064.

(ix)Directorateof Horticulture, Shivajinagar, Pune, Maharashtra-560003

(x)Directorateof Horticulture, Lalbagh, Bangalore, Karnataka.

(xi)Directorateof Horticulture, Hyderabad, Andhra Pradesh.

(xii)Directorateof Horticulture, Lucknow, Uttar Pradesh

8.ECONOMICS OF A ONE ACRE MODEL

8.1Highquality commercial cultivation of crop by using improved planting material anddrip irrigation leads to multiple benefits viz.

·Synchronized growth, flowering and harvesting;

·Reductionin variation of off-type and non-fruit plants;

·Improvedfruit quality;

·Earlymaturity;

·Increasein average productivity;

·High efficiencyin water application and water use efficiency;

·Highfertilizer use efficiency;

·Minimumincidence of pests and diseases.

Costs & Returns:

8.2Aone acre plantation of the crop is a highly viable proposition. The cost components of such a model alongwith the basis for costing are exhibited in Annexures I & II. A summary is given in the figurebelow. The project cost works out toaround Rs.1.50 lakhs per acre.

COST OF PROJECT

(Amount in Rs.)

Sl. No.

Component

Proposed Expenditure

1.

Cultivation Expenses

(i)

Cost of planting material

2,000

(ii)

Manures & fertilizers

5,000

(iii)

Insecticides & pesticides

2,000

(iv)

Cost of Labour

8,400

(v)

Others, if any, (Power)

3,600

Subtotal

21,000

2.

Irrigation

(i)

Tube-well/submersible pump

45,000

(ii)

Cost of Pipeline

-

(iii)

Others, if any, please specify

-

Subtotal

45,000

3.

Cost of Drip/Sprinkler

25,000

4.

Infrastructure

(i)

Store & pump house

15,000

(ii)

Labour room

5,000

(iii)

Agriculture Equipments

5,4000

Subtotal

25,400

5.

Land Development

(i)

Soil Leveling

4,000

(ii)

Fencing

29,600

Subtotal

33,600

6.

Land, if newly purchased (Please indicate the year)*

Grand Total

1,50,000

*Cost of newly purchased land will belimited to one-tenth of the total project cost

8.3Themajor components of the model are:

·LandDevelopment: (Rs.4.0 thousand): This is the labour cost of shaping anddressing the land site and developing a layout.

·Fencing(Rs.29.60 thousand): It is necessary to guard the orchard bybarbed wire fencing to safeguard the valuable produce from poaching.

·IrrigationInfra-structure (Rs.45 thousand): For effective working with drip irrigationsystem, it is necessary to install a bore well with diesel/electric pumpset andmotor. This is part cost of tube-well.

·DripIrrigation & Fertigation System (Rs.25.0 thousand): This is average cost of one acre drip systemfor mango inclusive of the cost of fertigation equipment. The actual cost will vary depending onlocation, plant population and plot geometry.

·Equipment/Implements(Rs.5.4 thousand): For investment onimproved manually operated essential implements a provision of another Rs.10thousand is included.

·Buildingand Storage (Rs.20.0 thousand): A oneacre orchard would require minimally a labour shed and a store-cum pump house.

·Cultivation(Rs.21.0 thousand): This is to cover costs of land preparationand planting operations, planting material, inputs and power.

8.4Labourcost has been put at an average of Rs.70 per man-day. The actual cost will vary from location to location dependingupon minimum wage levels or prevailing wage levels for skilled and unskilledlabour.

8.5Recurring Production Cost: Recurring production costs in the pre & post-operative period areexhibited in Annexures III & III A respectively. The main components are planting material,land preparation, inputs .application ( FYM, fertilizers, liming material,plant growth regulators, plant protection chemicals etc.), labour cost onapplication of inputs, power, inter-cultural and other farm operations,interest on term loan, harvesting, packing and transportation.

8.6Returns from the Project:In the development stage returns from inter-cropping are estimated atRs.25,000 annually. The yield from theplantation is estimated at 5 tonnes in the first year of bearing rising to 7tonnes. The produce has been valued atRs. 10,000 per tonne in this exercise.

Project Financing:

8.7Balance Sheet:The projected balance sheet of the model is given at AnnexureIV. There would be threesources of financing the project as below:

Source Rs. Thousand

Farmer’s share 75.00

Capitalsubsidy 30.00

Termloan 45.00

Total 150.00

8.8Profit & Loss Account: The cash flow statement may be seen in Annexure V. Annexure VI projects the profit andloss account of the model. Gross profitincreases from Rs.25.5 thousand per annum to Rs.43.3 thousand per annum in thefirst three years of bearing and thereafter more or less stabilise.

8.9Repayment of Term Loan: The term loan willbe repaid in 11 equated 6 monthly installments with a moratorium of 72months. The rate of interest would haveto be negotiated with the financing bank. It has been put at 12% in the model (videAnnexure VII). Therepayment schedule has been presented at Annexure-VII A.

8.10Depreciationcalculations are given in Annexure VIII.

Project Viability:

8.11IRR/BCR:The viability of the project is assessed in Annexure IX over a periodof 15 years. The IRR works out to 32.59and the BCR to 1.9.

8.12TheDebt Service coverage ratio calculations are presented in Annexure X. The average DSCR works out to 3.83.

8.13Payback Period:On the basis of costs and returns of the model, the pay back period isestimated at 4.63 years (vide Annexure XI).

8.14Break-evenPoint: The break even point will be reached in the 3rdyear. At this point fixed cost wouldwork out to 55.3% of gross sales - vide Annexure XII.

MANGO (2024)
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