How startup EM3 Agri Services is tackling farmer's distress, the Uber way

[jaunty]

They have been saying this for how long now? 50 years at least I would venture.

Automation is overrated. It will increase and augment productivity for sure...but its not like that means every single job in production can be done automatically.

Plus automation is not cheap. It is unlikely that automation would dramatically get cheaper and efficient soon. We still have time.

 

[Local_Legend]

@Local_Legend

http://economictimes.indiatimes.com...lementation-of-e-nam/articleshow/53413696.cms

Centre asks states to speed up implementation of e-NAM

Great News . Slow and steady wins the race and this kind of steady follow up from the central govt makes this kind of projects on going for the benefit of people which they meant to be . I have full faith in this govt.

Plus automation is not cheap. It is unlikely that automation would dramatically get cheaper and efficient soon. We still have time.

Farmers can use machines on rent . Tractors, Reaping machines ... there is an entire sub group of people who lives on this kind of indirect job opportunity created by Agriculture.

 

[Nilgiri]

@Dungeness @AndrewJin @Shotgunner51

Please have a quick read through this thread (when you have time) and also read the following article, I would like to hear your views and any resources you have about China's earlier path in agricultural mechanisation.

@Bilal9 @farhan_9909 Same thing but current developments for BD and Pakistan respectively in this field. Would like to hear from you too.

Thanks in advance guys!

http://economictimes.indiatimes.com...s-farm-machine-sales/articleshow/54013455.cms

Costly labour boosts farm machine sales

Across the world, farm machinery outsells tractors two to one, but the availability of abundant and cheap labour has confined farm mechanisation in India to tractors, largely. That's changing now as village youths head for the cities to find better paying work in services and factories.

Experts say the shortage of farm labour and its rising cost are among the main reasons for increasing mechanisation of Indian farming. "This is not restricted to pockets but spread all across," said T R Kesavan, chairman of the technical committee and immediate past president of Tractor Manufacturers' Association. While tractors still outsell other farm equipment like power tillers and combine harvesters, the gap has closed in recent years.

The market for specialised machinery, such as threshers, rotavators, transplanters, reapers, zero till drills, laser levellers and power weeders, is worth Rs 32,000 crore now, said Surendra Singh, technical adviser to industry body Agricultural Machinery Manufacturers' Association (AMMA).He added the industry could touch Rs 37,000-40,000 crore in three-five years, growing at its present yearly rate of 5-8 per cent. That will make it as large as the tractor market is now.

While local players like Tirth Agro Technology that makes Shaktiman brand of implements have cornered 85-90 per cent of the market in the initial shift to mechanisation, the organised players have started paying closer attention to this segment. "Till recently , the segment was re served for the small-scale sector," said Kesavan. "Now that it has been thrown open, technologically superior implements and equipment will be introduced."

Tractor market leader Mahindra & Mahindra, for instance, has acquired 33 per cent stake in Mitsubishi Mahindra Agri-Machinery and 35 per cent stake in Finland-based Sampo Rosenlew, which, analysts say , will increase its presence in the agri-implements businessin India. Similarly , tractor major Escorts is considering a more significant presence in this market. Ravi Menon, CEO of Escorts' agri-machinery business, said, "Currently we have tie-ups to pick up implements as part of the total solution package we offer our customers, but we are evaluating options."

German company Lemken and Italian Maschio Gaspardo have set up manufacturing facilities in India.Grimme India, another MNC subsidiary , is offering implements for potatocrops. Ex perts say it's a matter of time before other big global players enter the field as India is a vast opportunity.

The size of the global implements business is estimated to be $131billion in 2018.

The migration of unemployed village youths to cities is unlikely to stop now. "The younger generation is shunning farming because it feels it is a menial job and the remuneration is not commensurate with the effort put in," said Kesavan, adding that, "Studies have shown that 50 per cent of India's population will live in urban areas by 2030.This migration from villages to cities will lead to a lot of proxy farmers taking care of multiple plots of land. When you have large landmasses, you have to mechanise."

Farmers' push for higher crop density is also driving the use of farm implements. It is expected to increase yields by 25-30 per cent in states with a low level of mechanisation at present, and by up to 10 per cent in states like Punjab that are already highly mechanised.

====

@PARIKRAMA @anant_s @proud_indian @ranjeet @raj76 @LA se Karachi @django

Anything else you guys can add would be great to hear from. Tag others as needed.

 

[Dungeness]

Thanks for sharing.

While it is a good news for medium to large farmers, how dose this help 300 million landless peasants/population in India, especially those farm laborers? Will they be out of job?

 

[Nilgiri]

Thanks for sharing.

While it is a good news for medium to large farmers, how dose this help 300 million landless peasants/population in India, especially those farm laborers? Will they be out of job?

A lot are still employed as the farm labour. Others are moving to the cities to join construction and such from the hindi heartland to the coastal cities and Delhi etc.....and increasingly tier II cities as well.

Many are being given asset creation work through the MNREGA in rural areas too. It will be expanded to skills/vocation training I have heard.

 

[Dungeness]

Thanks for sharing.

While it is a good news for medium to large farmers, how dose this help 300 million landless peasants/population in India, especially those farm laborers?

@Dungeness @AndrewJin @Shotgunner51

Please have a quick read through this thread (when you have time) and also read the following article, I would like to hear your views and any resources you have about China's earlier path in agricultural mechanisation.

@Bilal9 @farhan_9909 Same thing but current developments for BD and Pakistan respectively in this field. Would like to hear from you too.

Thanks in advance guys!

http://economictimes.indiatimes.com...s-farm-machine-sales/articleshow/54013455.cms

Costly labour boosts farm machine sales

Across the world, farm machinery outsells tractors two to one, but the availability of abundant and cheap labour has confined farm mechanisation in India to tractors, largely. That's changing now as village youths head for the cities to find better paying work in services and factories.

Experts say the shortage of farm labour and its rising cost are among the main reasons for increasing mechanisation of Indian farming. "This is not restricted to pockets but spread all across," said T R Kesavan, chairman of the technical committee and immediate past president of Tractor Manufacturers' Association. While tractors still outsell other farm equipment like power tillers and combine harvesters, the gap has closed in recent years.

The market for specialised machinery, such as threshers, rotavators, transplanters, reapers, zero till drills, laser levellers and power weeders, is worth Rs 32,000 crore now, said Surendra Singh, technical adviser to industry body Agricultural Machinery Manufacturers' Association (AMMA).He added the industry could touch Rs 37,000-40,000 crore in three-five years, growing at its present yearly rate of 5-8 per cent. That will make it as large as the tractor market is now.

While local players like Tirth Agro Technology that makes Shaktiman brand of implements have cornered 85-90 per cent of the market in the initial shift to mechanisation, the organised players have started paying closer attention to this segment. "Till recently , the segment was re served for the small-scale sector," said Kesavan. "Now that it has been thrown open, technologically superior implements and equipment will be introduced."

Tractor market leader Mahindra & Mahindra, for instance, has acquired 33 per cent stake in Mitsubishi Mahindra Agri-Machinery and 35 per cent stake in Finland-based Sampo Rosenlew, which, analysts say , will increase its presence in the agri-implements businessin India. Similarly , tractor major Escorts is considering a more significant presence in this market. Ravi Menon, CEO of Escorts' agri-machinery business, said, "Currently we have tie-ups to pick up implements as part of the total solution package we offer our customers, but we are evaluating options."

German company Lemken and Italian Maschio Gaspardo have set up manufacturing facilities in India.Grimme India, another MNC subsidiary , is offering implements for potatocrops. Ex perts say it's a matter of time before other big global players enter the field as India is a vast opportunity.

The size of the global implements business is estimated to be $131billion in 2018.

The migration of unemployed village youths to cities is unlikely to stop now. "The younger generation is shunning farming because it feels it is a menial job and the remuneration is not commensurate with the effort put in," said Kesavan, adding that, "Studies have shown that 50 per cent of India's population will live in urban areas by 2030.This migration from villages to cities will lead to a lot of proxy farmers taking care of multiple plots of land. When you have large landmasses, you have to mechanise."

Farmers' push for higher crop density is also driving the use of farm implements. It is expected to increase yields by 25-30 per cent in states with a low level of mechanisation at present, and by up to 10 per cent in states like Punjab that are already highly mechanised.

====

@PARIKRAMA @anant_s @proud_indian @ranjeet @raj76 @LA se Karachi @django

Anything else you guys can add would be great to hear from. Tag others as needed.

China has a very different situation. In theory, there is no so called "landless farmers" in China, thanks to Mao's "land reform" which confiscated farm lands from Landlord Class, and Deng's de facto "land privatization" in the 70's, which redistributed collectively owned farm land to each and every farmers based on the number of people in the family. The land ownership can't not be transferred, but it can be leased out.

The mechanization of agriculture means the liberation of farm hands, and surplus farmers either became employees in the village/township owned factories or business (most of them have already been privatized), or became part of the 100 million strong migrant workers who fueled the China's economic growth from 80's to present time.

When the bad times hits, they simply go back to their village where they still own house and land. If they can make it in the city, they buy a home here and become so called "New City Dweller". That is why you see hundreds million people migrating between cities and villages around Chinese New Year, but you don't see slums in Chinese cities.

 

[raj76]

हरे कृष्ण हरे कृष्ण,कृष्ण कृष्ण हरे हरे
हरे राम हरे राम, राम राम हरे हरे
08-09-2016

#Economy: FM said that the April 1, 2017 target for the GST roll-out was very stiff and the Centre along with states are ‘running against time’ to meet the deadline. This is so because there are issues yet to be resolved by the proposed GST Council.

#Finance:RBI has sought to dispel rumours and curb malpractices in banks on the pretext of KYC norms by issuing clarifications on the guidelines.The RBI guidelines say, "If your current address is not the same as the proof submitted to your bank, a simple declaration of your new address is adequate."

#Unified Payments Interface has been taken as a major move by the Indian banking sector towards more digital payments and easier small value transactions between individuals and for merchants. NPCI is attempting to get a patent for its UPI technology.

#Mera Bharat Mahaan:Train prices are all set to rise as Ministry of Railways has decided to introduce the flexi fare or surge pricing for Rajdhani, Duronto and Shatabdi trains. The new development will come into force from 9th september.The base fares will increase by 10% with every 10% of berths sold subject to a prescribed ceiling limit. There will be no change in the existing fare for 1AC and EC class of travel.

भारत माता की जय

 

[gslv mk3]

Costly labour boosts farm machine sales

It was labour shortage which led to the introduction of combine harvesters in my home village where rice is cultivated. Most of those machines come from Tamil Nadu. Manual harvesting is non-existent here.

But I am yet to see widespread use of transplantors. And it makes me sad to see so many Claas machines among very few Indian made harvester combines.

 

[raj76]

Thanks for sharing.

While it is a good news for medium to large farmers, how dose this help 300 million landless peasants/population in India, especially those farm laborers? Will they be out of job?

it is a problem no doubt but solution is to provide infrastructure as in education roads electricity internet etc they are capable enough to stand on there own feet

 

[Bilal9]

@Dungeness @AndrewJin @Shotgunner51

Please have a quick read through this thread (when you have time) and also read the following article, I would like to hear your views and any resources you have about China's earlier path in agricultural mechanisation.

@Bilal9 @farhan_9909 Same thing but current developments for BD and Pakistan respectively in this field. Would like to hear from you too.

Thanks in advance guys!

http://economictimes.indiatimes.com...s-farm-machine-sales/articleshow/54013455.cms

Costly labour boosts farm machine sales

Across the world, farm machinery outsells tractors two to one, but the availability of abundant and cheap labour has confined farm mechanisation in India to tractors, largely. That's changing now as village youths head for the cities to find better paying work in services and factories.

Experts say the shortage of farm labour and its rising cost are among the main reasons for increasing mechanisation of Indian farming. "This is not restricted to pockets but spread all across," said T R Kesavan, chairman of the technical committee and immediate past president of Tractor Manufacturers' Association. While tractors still outsell other farm equipment like power tillers and combine harvesters, the gap has closed in recent years.

The market for specialised machinery, such as threshers, rotavators, transplanters, reapers, zero till drills, laser levellers and power weeders, is worth Rs 32,000 crore now, said Surendra Singh, technical adviser to industry body Agricultural Machinery Manufacturers' Association (AMMA).He added the industry could touch Rs 37,000-40,000 crore in three-five years, growing at its present yearly rate of 5-8 per cent. That will make it as large as the tractor market is now.

While local players like Tirth Agro Technology that makes Shaktiman brand of implements have cornered 85-90 per cent of the market in the initial shift to mechanisation, the organised players have started paying closer attention to this segment. "Till recently , the segment was re served for the small-scale sector," said Kesavan. "Now that it has been thrown open, technologically superior implements and equipment will be introduced."

Tractor market leader Mahindra & Mahindra, for instance, has acquired 33 per cent stake in Mitsubishi Mahindra Agri-Machinery and 35 per cent stake in Finland-based Sampo Rosenlew, which, analysts say , will increase its presence in the agri-implements businessin India. Similarly , tractor major Escorts is considering a more significant presence in this market. Ravi Menon, CEO of Escorts' agri-machinery business, said, "Currently we have tie-ups to pick up implements as part of the total solution package we offer our customers, but we are evaluating options."

German company Lemken and Italian Maschio Gaspardo have set up manufacturing facilities in India.Grimme India, another MNC subsidiary , is offering implements for potatocrops. Ex perts say it's a matter of time before other big global players enter the field as India is a vast opportunity.

The size of the global implements business is estimated to be $131billion in 2018.

The migration of unemployed village youths to cities is unlikely to stop now. "The younger generation is shunning farming because it feels it is a menial job and the remuneration is not commensurate with the effort put in," said Kesavan, adding that, "Studies have shown that 50 per cent of India's population will live in urban areas by 2030.This migration from villages to cities will lead to a lot of proxy farmers taking care of multiple plots of land. When you have large landmasses, you have to mechanise."

Farmers' push for higher crop density is also driving the use of farm implements. It is expected to increase yields by 25-30 per cent in states with a low level of mechanisation at present, and by up to 10 per cent in states like Punjab that are already highly mechanised.

====

@PARIKRAMA @anant_s @proud_indian @ranjeet @raj76 @LA se Karachi @django

Anything else you guys can add would be great to hear from. Tag others as needed.

Bangladesh plots of farmland are mainly small, much smaller than the hundreds of acres found in India. Also - land is much more intensively farmed, with three to five crops year-round.

Four wheel tractors are not yet in widespread use in Bangladesh (the numbers are probably a lot lower than in India). However the numbers are made up by smaller two wheel tractors and various mechanical implements and power tiller accessories common in East Asia/China. The number of two wheeler tractors exceeded 500,000 as of 2012, probably much higher now.

The number of agricultural implements powered by alternative energy (e.g. solar powered irrigation pumps) continues to increase as well, like in India and Pakistan.

http://csisa.org/wp-content/uploads/sites/2/2014/06/BiggsJusticeIFPRI_DP_01443.pdf

http://repository.cimmyt.org/xmlui/bitstream/handle/10883/3394/98527.pdf

http://bangladeshchronicle.net/2014/12/farming-nearly-mechanised/

 

[Nilgiri]

Bangladesh plots of farmland are mainly small, much smaller than the hundreds of acres found in India. Also - land is much more intensively farmed, with three to five crops year-round.

Four wheel tractors are not yet in widespread use in Bangladesh (the numbers are probably a lot lower than in India). However the numbers are made up by smaller two wheel tractors and various mechanical implements and power tiller accessories common in East Asia/China. The number of two wheeler tractors exceeded 500,000 as of 2012, probably much higher now.

The number of agricultural implements powered by alternative energy (e.g. solar powered irrigation pumps) continues to increase as well, like in India and Pakistan.

http://csisa.org/wp-content/uploads/sites/2/2014/06/BiggsJusticeIFPRI_DP_01443.pdf

http://repository.cimmyt.org/xmlui/bitstream/handle/10883/3394/98527.pdf

http://bangladeshchronicle.net/2014/12/farming-nearly-mechanised/

Thanks. Has BD looked into this uber rental form of agri machinery model in the OP? I think it has some real merit for the whole subcontinent....basically the whole country becomes a bit of a collective....but driven by market dynamics.

Can even propel it finance wise using microcredit thats well established in BD.

Thanks for sharing.

While it is a good news for medium to large farmers, how dose this help 300 million landless peasants/population in India, especially those farm laborers?



China has a very different situation. In theory, there is no so called "landless farmers" in China, thanks to Mao's "land reform" which confiscated farm lands from Landlord Class, and Deng's de facto "land privatization" in the 70's, which redistributed collectively owned farm land to each and every farmers based on the number of people in the family. The land ownership can't not be transferred, but it can be leased out.

The mechanization of agriculture means the liberation of farm hands, and surplus farmers either became employees in the village/township owned factories or business (most of them have already been privatized), or became part of the 100 million strong migrant workers who fueled the China's economic growth from 80's to present time.

When the bad times hits, they simply go back to their village where they still own house and land. If they can make it in the city, they buy a home here and become so called "New City Dweller". That is why you see hundreds million people migrating between cities and villages around Chinese New Year, but you don't see slums in Chinese cities.

Yup season migrations are becoming a thing more and more in India now too. Plenty of people moving from the hinterland where "home" and physical assets are...earning their bread/remitting as needed in the cities....and enrich the hearth so to speak that they visit during off-times/festivals etc.

I think China can be closely studied so we can better anticipate what to do as this increases a large amount in say the decade 2020 - 2030. I think that will be the large expansion decade for many things in India....including the 300 million "peasants" as you call it being a more mobile manufacturing/construction workforce not tied to the land or being kicked off it by machinery etc. With increased mechanisation in manufacturing we will have to see how this works out exactly of course, but I believe the labour supply will simply bring in whatever requires mass labour still to India (due to factor cost differentials)....and there should be plenty of it still.

 

[Bilal9]

Thanks. Has BD looked into this uber rental form of agri machinery model in the OP? I think it has some real merit for the whole subcontinent....basically the whole country becomes a bit of a collective....but driven by market dynamics.

Rental of agri-equipment is not formalized however such practices have been informally practiced for a couple of decades now.

A power tiller or a thrasher not being used by a purchaser will be rented out to neighbors for a fee, often with 'operating services' included in the price (these machines are specialized as we all know).

The use of large rice/reaper or harvesters in Bangladesh is not common as of yet. However smaller rice reapers are in frequent use. Here's a series of 'infomercial' type videos on rice reaper and bed planter machines. Found them quite amusing.