Wednesday, July 18, 2012

Custom hiring centers - Opportunities

Appropriate mechanization is very critical for reducing drudgery and for meeting the shortage of labour. The main objective of custom hiring centers is to supply of farm implements to small and marginal farmers at nominal rates on hire. This enables the small and marginal farmers to take up farm operations on time.  Small equipment like weeders, markers, sprayers, drum seeder etc should be available in custom hiring centers.

Study is conducted in three districts viz Medak, Mahabubnagar and Ranga reddy. Following are the outcomes of the study in Budda samudram village of Mahabubnagar district:


Total farmers: 425

Area in Acres: 1000 Acres

Bore wells: 180

S.No
Crop
Khariff Area in Acres
Rabi Area in Acres
1
Cotton
600

2
Paddy
350
400
3
Chillies
50

4
Fodder
50

5
Vegetables
50


Equipment required for rain fed crops:

S.No
Operations
Equipment required
1
Sowings
Manual
2
Ploughing
Tractor
3
Land preparation
Ploguh bullocks/Tractor
4
Weeding
Ploguh bullocks/Manual labour
5
Fertiliser /organic manure application
Seed drill/Plough bullocks
6
Botanical extracts/Pesticide application
Power sprayer /Tractor mounted sprayer
7
Picking
Labour
8
Drying
Trapalin
9
Transportation
Tractor

Paddy:  

S.No
Operations
Equipment
1
Ploughings
Tractor
2
Transplantation
Manual/Drum seeder
3
Weeding
Weeder/Manual
4
Botanical extracts/pesticides
Power sprayer
5
Harvesting
Harvester/Manual
6
Threshing
Tractor/Plough bullocks
7
Transportation
Tractor

Economics:

Tractor:

Investment required
S.No
Component
Amount
1
  Engine
500000
2
Trailer
100000
3
Discs
50000
4
Cultivator
20000
5
Cage wheels
20000
6
 Gorru
7000
7
Rotavetor
100000
8
 12 Discs set
30000
9
Sprayer
15000
10
Total cost
8,42,000


Expected income from 1000 Acres (Scope):


S.No
Expected income for 1000 Acres



1
Operation
Rent per Acre
Area in Acres
Expected income
2
Ploughing
500
1500
750000
3
Gorru
750
600
450000
4
Puddling
400
650
260000
5
Spraying (three times)
200
400
240000
6
Rotavetor
200
600
120000
7
Manure/Tank silt application (Trips)
250
2000 trips
500000
8
Transportation
1400
100 trips
140000
9
Total income expected


2460000

Costs and returns:  

Four tractors are working in the village. As these four tractors are not able to meet the demand on time one more tractor is proposed by SHG members and farmers. Costs and returns for four and five tractors are as follows
Costs and Returns
S.No

Four tractors
Five Tractors
1
Installments
5,60,000
7,00000
2
Driver salary
2,16,000
270000
4
Disel
8,80,000
8,80,000
5
Maintainance
40,000
50,000
6
Total cost
16,96,000
19,00000
7
Net income
7,64,000
5,60,000
          
Net income for each tractor
1,91,000
59,333


Power tiller:

Power tiller is useful for following operations:

A.      Ploughing

B.      Puddling

C.      Transportation (30 bags)


It is useful for in case low-lying lands and for small holdings. Business is available for one power tiller in spite of availability of tractors.


Engine - 12 HP
95,000
MB plough, tiller etc
25,000
Trailer
15,000
Total cost
1,35,000


Expected income for a power tiller:
 

S.No
Operation
Rent per acre
Area in Acres
Expected income
1
Ploughing
300
150
45,000
2
Puddling
300
250
75,000
3
Transportation
500
50
25,000
4
Total income


1,45,000



Costs and Returns:
 

S.No
Componet
Amount
1
Installments
12,000
2
Disel
58,000
3
Maintainance
3,000
4
Total cost
73,000
5
Net income
72,000
 

Combine harvester:
 

Chain type
17,00,000
Tyre type
20,00,000


Expected income:

Area in Acres
Rent
Expected income
400
1700
680000


Costs and Returns:

S.No
Component
Four tractors
1
Installments
80,000
2
Driver salary
60,000
3
Disel
1,20,000
4
Maintainance
10,000
5
Total cost
2,70,000
6
Net income
4,10,000

Taiwan sprayers:


Cost: Rs.17,000/-


Expected income:


Area in Acres
No of sprayings
Rent
Expected income
600
3
50
90,000


Costs and Returns:

There eight sprayers available in the village. SHG members suggested five more sprayers will meet the demand:  

Cost of sprayer
17,000

Petrol
45,000
(1lt for four acres
Maintenance
1500
Engine oil etc
Total cost
63,500

Net income in first year
26,500

Net income from second year
43,500

Net income from existing sprayers
5,437

Net income from 13 sprayers
3,346



Tarpaulins:

Nos
Expected income
Tarpaulins
100
1500


Equipment for custom hiring center in the village:


S.No
Equipment
Nos required
Approximate cost in Rs.
1
Tractor with all attachments
One
8,42,000
2
Power tiller
One
1,35,000
3
Power sprayers
Five
85,000
4
Tarpaulins
100
10,000
5
Markers
3
1,800
6
Weeders
10
6,500

Total cost

10,80,300

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