INNOVATIONS IN AGRICULTURAL SUPPLY CHAIN FINANCE
Sponsored Links
This presentation is the property of its rightful owner.
1 / 11

INNOVATIONS IN AGRICULTURAL SUPPLY CHAIN FINANCE 17th March 2007 PowerPoint PPT Presentation


  • 85 Views
  • Uploaded on
  • Presentation posted in: General

INNOVATIONS IN AGRICULTURAL SUPPLY CHAIN FINANCE 17th March 2007. Presentation by Kishore Kumar N.S. Executive Vice President (Agriculture Business & Microfinance) HDFC Bank Ltd. KEY CONCERNS. Supply Chain output leakages and price inefficiency. Small and marginal farmers

Download Presentation

INNOVATIONS IN AGRICULTURAL SUPPLY CHAIN FINANCE 17th March 2007

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


INNOVATIONS IN AGRICULTURAL SUPPLY CHAIN FINANCE

17th March 2007

Presentation by

Kishore Kumar N.S.

Executive Vice President

(Agriculture Business & Microfinance)

HDFC Bank Ltd


KEY CONCERNS

  • Supply Chain output leakages and price inefficiency.

  • Small and marginal farmers

  • Fragmentation of land

  • Dependence on traditional revenue streams.


KEY REQUIREMENTS FOR EFFECTIVENESS OF SUPPLY CHAIN FINANCING

  • Scale of operation

  • Production flexibility

  • Assured input supplies

  • Strategic tie-ups

  • Quality control and traceability

  • Communication and transparency


INNOVATIONS TO COUNTER / MITIGATE CONCERNS

  • Non-cash disbursals of crop loans - for direct input supplies from manufacturers of fertilisers, seeds, etc., as part of channel finance for Corporates.

  • Financing based on contracts through large retailers / processors / exporters.


INNOVATIONS TO COUNTER / MITIGATE CONCERNS

Contd…

  • Huge scope in horticulture, where cold chain is extended by buyers

  • Formation of small / marginal farmers into SHGs to absorb microfinance, not merely from growing crops but for agri trade


INNOVATIONS TO COUNTER / MITIGATE CONCERNS

Contd…

SUPPLY OF SERVICES

  • Financing agricultural extension

    From Source-Universities

    To User-Farmers


INNOVATIONS TO COUNTER / MITIGATE CONCERNS

Contd…

EVOLVED FINANCING MODELS

Supply Chain asset backed

Cash flow financing

Farmer Credit Risk


INNOVATIONS TO COUNTER / MITIGATE CONCERNS

Contd…

  • Financing ICT innovatives / delivery channels servicing farmers.

  • Integrated effort to rural “family” financing - one family, multiple enterprises, reducing dependence on farm income - intra family supply groups.


SUCCESS STORIES

  • Agglomeration of tribals for microfinance in organic farming for exports.

  • Engagement of NGOs to coordinate groups of small farmers to identify crop surpluses, grade, store, transport and collect payments.


SUCCESS STORIES

Contd…

  • Customised financing for Micro Dairy farming and logistics through corporate tie-ups.

  • Marketing linkage of sericulturists with weavers, backed by firm offtake by textile company.


Thank You


  • Login