Presentation on theme: "Global Investors’ Meet"— Presentation transcript:
1Global Investors’ Meet - 2012 2nd & 3rd Nov. 2012, RaipurInvestment Opportunities in Minor Forest Produce Sector in ChhattisgarhPresentation byA.K.Singh, IFSPrincipal Chief Conservator of ForestsManaging DirectorChhattisgarh State Minor Forest Produce (Tr. & Dev.)Co-operative Federation Limited, RaipurChhattisgarh, INDIA
2in Global Investors’ Meet - 2012 Warm Welcometo all Investorsof M.F.P. Sectorin Chhattisgarhin Global Investors’ Meet
3National ScenarioIndia is home to the oldest, richest and most diverse traditions associated with herbal and medicinal plants and is the birthplace of AYUSH medicines.The country enjoys strong farming capacity along with robust manufacturing facilities of herbal and medicinal products.A steady increase in the AYUSH hospitals in India will further increase the demand for AYUSH medicines throughout the country.60% of the exports from India is medicinal plants and 40% are Herbal products.The demand for neutraceuticals and cosmetic products is increasing at a fast pace due to growing health consciousness globally. So this sector has the potential to become the hot bed for investments.
4C.G. M.F.P. Federation and C.G. Medicinal Plant Board Chhattisgarh State Minor Forest Produce (T & D) Co-op. Federation Ltd., Raipur is the Apex body for trade and development of Minor Forest Produce / Medicinal Plants in the state. The Federation promotes the sector through the following:Purchase of full quantity of nationalised MFP from the collectors.Purchase of limited quantity of non-nationalised MFP from the collectors.Value addition and processing of MFP, Product Packaging and marketing.4. CGMFPFED has introduced “Chhattisgarh Herbals” as the brand name for its products.The Chhattisgarh State Medicinal Plants Board was set up in 2004 to create an enabling environment for the development of the medicinal plant sector as a whole.
5Trade of MFP in Chhattisgarh Due to huge availability of Minor Forest Produce and Medicinal Plants, the State has been declared as Herbal State. S. No.Category of NWFPSpeciesEstimated Annual Trade(In Rs. Crores)1.NationalisedTendu leaves, Sal seed, Harra, Kullu Gums, Dhawda, Babul and Khair Gums7502.Non - NationalisedImli, Mahua, lac, Kosa, Mahul Leaves, Chironjee, Baibaring, Vanjeera, Kalmegh, Aonla etc.Total1500State is not earning any revenue from the trade of MFPs except different taxes.
9Gum Category-1 (Kullu) Trade Collection SeasonCollected Quantity(In Quintals)Collection Wages (In Rs. Crores)Sold QuantitySale Price (In Rs. Crores)864.191.331.402.973.13389.680.861.05131.490.360.52760.00Estimated1.92560.001.75
10Gum Category-2 (Dhawda, Khair & Babool) Trade Collection SeasonCollected Quantity(In Quintals)Collection Wages (In Rs. Crores)Sold QuantitySale Price (In Rs. Crores)560.000.110.126126.96.36.1996.740.010.0284.500.0250.034955.00Estimated0.21460.00
11Sharing of Profit From Trade Entire value of the Nationalised MFP's realised from purchasers is ploughed back to the MFP collectors.Primary Co-operative Societies are the basic unit for calculating the amount of profit. This results in competitive spirit among primary co-operative societies so as to earn maximum income through quality control.The whole profit earned from the trade of Nationalised MFP's is distributed in the following manner.1.80% of profit as incentive wages to the Collectors.2.15% of profit for purchasing, processing and storage of non-nationalised MFP's by Primary Co-operative Societies.3.5% of profit for the fund created to temporarily meet the loss from the trade of the Societies.
12Development of Forest and Forest Produce From the net trade profit of tendu leaves and salseed, 20% amount of the collection year 1998 and 15% of the collection year 1999 to 2007 amounting Rs Lakhs has been provided for the development of forest and forest produce to the District Unions to enhance the production of Minor Forest Produce.The Peoples’ Protected Areas are developed by C.G. Forest Department and C.G.M.F.P. Federation to conserve and sustainably harvest MFP.CollectionSeasonAmount Available( In Rs. Crores)199811.7811.5820016.6920028.5920037.1020045.582007Salseed4.15Total55.47
13Support to Tendu Leaves Pluckers 1. The State Govt. provides every year one pair of footwear to each Tendu leaves plucker family.2. Jan Shree Group Insurance Scheme for Tendu Leaves PluckersJan Shree Group Insurance Scheme for all the Tendu leaves plucker’s family head was started fromThe family head or his nominee gets following amount on his death/disability :-Normal death – Rs /-Partial disability due to accident – Rs /-Accidental Death or Permanent disability – Rs /-Two children of the family head studying between 9th and 12th class and ITI get half yearly Rs. 600/- under Shiksha Sahyog Scheme.The 50% amount of the insurance premium is paid by Government of India and 37.50% and 12.50% of the amount is paid by State Government and Federation respectively.
14Support to Tendu Leaves Pluckers 3. Old Group Insurance Scheme for Tendu Leaves PluckersGroup Insurance Scheme for Tendu leaves plucker’s except head of the family.Age of the member between 18 and 60 years.The 50% amount of the insurance premium is paid by M.F.P. Federation and 50% of the amount is paid by Government of India.The insured plucker or his nominee gets following amount on his death/disability :-Normal death – Rs /-Partial disability due to accident – Rs /-Accidental Death or Permanent disability – Rs /-
15Support to Tendu Leaves Pluckers 4. Atal Group Insurance Scheme for Tendu Leaves PluckersAtal Group Insurance Scheme for all the Tendu leaves plucker’s family except head was launched inAge of the member between 18 and 60 years.The amount of the insurance premium is paid by M.F.P. Federation.The nominee of insured plucker gets an amount of Rs. 4000/- on his death.
16Support to Tendu Leaves Pluckers 5. Meritorious Student Award Scheme for the Children of Tendu Leaves Pluckers FamilyThe scheme has been launched from the education session In every Primary Co-operative Society one boy and one girl from the children of tendu leaves pluckers family heads, who score the highest marks, are being given the following cash awards :-Examination Prize AmountClass VIII Rs. 2000/-Class X Rs. 2500/-Class XII Rs. 3000/-
17Support to Tendu Leaves Pluckers 6. Scholarship For Professional Education of Children of Tendu Leaves Plucker’s FamilyTo encourage the professional education after 12th exam like Medical, Engineering, Law, MBA, Nursing etc., one student in every Primary Co-operative Society who scores maximum marks in 12th exam is given scholarship as follows :-First Year Rs /-Second Year Rs /-Third Year Rs /-Fourth Year Rs /-
18Support to Tendu Leaves Pluckers 7. Scholarship For Non-Professional Education of Children of Tendu Leaves Plucker’s FamilyTo encourage the non-professional education after 12th exam like B.A., B.Com., B.Sc. Etc., one student in every Primary Co-operative Society who scores maximum marks in 12th exam is given scholarship as follows :-First Year Rs /-Second Year Rs /-Third Year Rs /-Total Rs /- in three years.
20Important Non-nationalised MFP of State S.No.Name of MFPsApprox. Annual Production(Lakh Quintals)Approximate Value(Rs. in Crores)13.Dhawai Flowers(Woodfordia fruticosa)0.262.6014.Ber Fruits (Zizyphus mauritiana)0.302.4315.Bael (Aegle marmelos)0.162.4016.Nagarmotha (Cyperus rotundus)0.152.1017.Baheda (Terminalia bellirica)0.292.0318.Karanj Seed (Pongamia pinnata)2.0019.Kalmegh (Andrographis paniculata)0.141.9020.Palas Flowers (Butea monosperma)0.221.5421.Malkangni (Celastrus panicculatus)0.031.0022.Others---30.90Total750.00
21Bamboo Scenario The annual production of the bamboo in C.G. Industrial Bamboo – sale unitsCommercial Bamboo – sale unitsA national bamboo mission has been established by the government to promote theProduction in forest and non forest areas.Processing and Value addition.Skill development.Marketing of Bamboo products, both in India and abroad.
22Sustainability/Value Addition of Minor Forest Produce To ensure the long run availability and enhancement in the income of the rural collectors, 49 non-nationalised MFPs are harvested using non-destructive harvesting techniques.Seventy four microenterprises have been established for collection and processing of MFPs like Tamarind, Lac, Mahul leaves, Medicinal Plants etc.Sale and purchase of non-nationalised MFPs / Forest Products in the State through 6 NWFP Marts.Sale of 70 processed herbal medicines/products through 42 Sanjeevani Centres.In 46 Vanaushdhalayas situated in interior part of the State, primary health care is provided to the villagers by the traditional healers (Vaidyas).Social and economic upliftment of the rural collectors by the employment generated in non-nationalised MFPs collection.
23Products of C.G.M.F.P. Federation Name of MFPProductsRaw HoneyProcessed honey in different size packing.Herbal TeaHerbal Tea and Herbal CoffeeMedicinal OilSomraj Oil, Malkangni Oil, Arand Oil, Karanj Oil, Pain Reliving Oil, Mahavishgarbh Oil and Mahanarayan OilChurnaMadhumeh Nashak Churna, Mahila Mitra Churna, Blood Pressure Niyamak Churna, Sardi Khassi Niyamak Churna, Panchsam Churna, Pushyanug Churna, Udramrit Churna, Sitopladi Churna, Ashwagandhadi Churna, Avipatticar, Satawarikalp Churna and Sandhiviathar ChurnaCosmetic ProductsPayokill Dant Manjan, Face Pack, Heal Care, Shikakai Churna and Herbal Keshpal ChurnaGeneral Health CareTriphla and Chywanprash
24Deseeded & De fibered Tamarind Paking of Tamarind Bricks Tamarind TreeDeseeded & De fibered TamarindPaking of Tamarind BricksPacked Tamarind
25Livelihood generation by Women SHGs Processing of Mahul Leaves Lac Production
33Lac Production Enhancement C.G. State M.F.P. Co-operative Federation is providing livelihood to the beneficiaries through scientific cultivation of lac in naturally growing large no. of host plants like Kusum, Palas and Ber and processing and value addition of lac in the State.The beneficiaries of lac cultivation projects are provided training and free brood lac and tool Kit.Lac is used for manufacturing of medicine, conservation of food items, manufacturing of electric products being good conductor, polish, varnish, decorative and cosmetic items.Establishment of State level lac training and extension centre at Kanker is under progress to promote the lac cultivation.Various Lac Projects of the FederationS.No.Name of the ProjectNo. of AreasNo. of BeneficiariesNo. of Host Trees01Lac development Project421322334726002SGSY Project261321424500003European Commission Project171130035585604TRIFED Project(Work completed in March 2012)5252040Total8638262950156Estimated Annual Income per Host PlantKusum Tree = Rs Palas Tree = Rs Ber Tree = Rs
34Organic Certification The organic production and certification is carried out according to National program on organic production of the government of India which aims to increase the market prices for MFPs by providing them certification which is globally accepted as a hallmark of quality organic products.The certification provides the assurance to the customer that the produce is free from chemical fertilisers and insecticides and fetches the price premium to the producer.CGCERT is amongst the only such 22 accredited certification agencies in India by the Ministry of Commerce and Industries, Government of India for export market. CGCERT is the first agency in the country accredited by Ministry of Agriculture, Government of India for domestic market.This facility will help the investors of C.G. to get higher rates of their organic products in the niche market.
35Proposed Organisations A dedicated Lac research and training institute will soon be operational at Kanker.A well equipped testing laboratory by AYUSH Department.An Ayurveda university.
36Attraction of Chhattisgarh For Establishing MFP Based IndustriesLarge no of MFP collection centers in India- Chhattisgarh boasts of lakh MFP gatherer families and over collection centers in the State.There are 7887 joint forest management committees and 915 primary cooperatives engaged in the conservation, collection and marketing of MFPs including Medicinal, Aromatic and Dye plants.The villagers engaged in collection of MFPs are mostly the local tribals who possess the knowledge, skills and experience required for such collection and primary processing activities.Highly skilled and cost effective labour.Peaceful & conducive labour environment- The man days lost in the state due to labour unrest are lowest in the country.Directions have been issued to the Divisional Forest Officers to authorised the trader to issue the transit pass of 17 non-nationalised species like Tamarind, Ber and Nagarmotha and all the non-nationalised species for whom the transit pass has been issued once to facilitate the movement of MFP.
37Attraction of Chhattisgarh for Establishing MFP Based Industries Key Drivers for Herbal IndustryAbundant availability of raw herbs. Since the collection of many species of MFPs is much below total potential, Investors have the opportunity to increase this collection substantially.The adjoining areas of Orissa, Jharkhand, AP, Maharashtra and MP having MFP production are the added advantage for investors to enhance the availability of raw material.Possibilities of large scale cultivation of Medicinal plants.Proposed herbal park in Kurud, Land available for industrial operations at reasonable rates.Single window clearance system for establishing manufacturing units.Lack of herbal processing units in the State.Investor friendly Industrial Policy of the State.Uninterrupted Power Supply.Excellent air connectivity of Raipur, excellently connected through road and rail to key retail markets in India- Raipur and Bilaspur are the two busiest and biggest stations of Chhattisgarh.Strategic location- Proximity to Vizag port; an ICD (dry port) exists at Raipur for facilitating exports.
38Attraction of Chhattisgarh For Establishing MFP Based Industries Viable Processing Opportunities in ChhattisgarhBest quality Tendu leaves for bidi manufacturing units.Quality Sal seed for Sal fat and other derivatives units and other Tree-borne oilseeds processing units.Highest Lac producer of India for manufacturing highend Lac products.Tamarind processing units.Honey processing units.Herbal extraction units.Fractional Distillation units for essential oil production and refining.Ayurvedic drug formulation units.Food grade vegetable colors and dyes.Contd…
39Attraction of Chhattisgarh For Establishing MFP Based Industries Viable Processing Opportunities in ChhattisgarhMahul leaves cups & plates processing units.Primary processing centers for raw MFPs.Chironji processing units.Herbal cosmetics production units.Mahua flower processing units.Myrobolan based products making units.Charota seed based processing units.Bamboo processing units.Value proposition to investors for establishment of Herbal Spas.
40Investment Proposition in MFP Processing Units The following 5 processing units are being established in PPP mode.S.No.CentreProcessing Units1.JagdalpurTamarind, Mahua Seeds.2.BilaspurAonla, Bel3.KankerLac4.SargujaMahul Leaves, Oil seeds and Chironji5.RaipurAyurvedic Medicine and Herbal ExtractsINR 3,200 lakhs has been earmarked for the development of these units.The entire infrastructure for all processing plants will be developed solely by Chhattisgarh Minor Forest Produce (Trade & Development) Federation, Raipur. The private partner is expected to invest in working capital only. The partner will have complete autonomy in operation, marketing and profit generation.Expression of interest from investors for these units will be soon invited.
41Opportunities for Investment Name of MFPProductsLacBleached Lac, Seed Lac, Shellac Lac and Aleuritic AcidTamarindSeeded Tamarind, Seedless Tamarind, Tamarind Bricks and Tamarind CandyAonla ProductsSeedless Aonla loose, Aonla Candy, Aonla Murraba, Aonla Sharbat/Juice, Aonla Churna and Aonla Aachar.Mahul Leaf ProductsMahul Plate (Plain/Molded/Special/Nashta) and Mahul Cup (Plain/Molded)ChironjiChironji Seeds and Chironji PackBaelBael Murabba, Bael Sharbat/Juice and Bilvadi ChurnaContd…
42Opportunities for Investment Name of MFPProductsJamunJamun Sharbat, Juice and Jamun ChurnaMahua FlowerDrinksMahua SeedOil and CakeKosaYarn and ClothsMedicinal Plants/ HerbsHerbal Extracts, Ayurvedic Medicines, Neutraceuticals and CosmeticsNagarmotha and Aromatic GrassesAromatic Oils and Perfumes
43Thank you Contact Details C.G.State Minor Forest Produce (T & D) Co-operative Federation Ltd.A-25, V.I.P. Estate, Near V.I.P. Club,Khamardih, Raipur (Chhattisgarh) Pin –Phone : to , Fax :Website :