This document provides information about a project on protected cultivation of gerbera flowers. It discusses the methodology used, including site selection at a floriculture park in Maharashtra. It profiles the owner of the selected polyhouse unit and provides details of the polyhouse construction, including costs. Cultural practices for gerbera production like planting, irrigation, pest and disease management are described. The economic analysis covers costs of construction, planting material, irrigation systems and the total project cost.

1. MODULE NO. : ABEL-ECON-4711
Title : Project Planning, Formulation & Evaluation
of High valued Crop
Protected cultivation of Gerbera
Credit : 20=0+20
Presented By: 1. Kale Amit R.
2.Waghmare Rahul S.

2. INTRODUCTION

3. Methodology
Site Selection:-
 Policy Decision Taken by Government of Maharashtra at 5th July 2002
to Boost the Floriculture Industry.
 Due To Favourable Climatic Condition A Floriculture Park Was
Established in Maval Taluka At Talegaon Dhabade.
 In the Floriculture Park , A Ideal Gerbera Producer V.D.Patil Sir’s Farm
Was Selected for Our Experiential Learning.
Method of Data Collection:-
I. Primary Data:-
1.Discusion With Entrepreneur , Supervisor , Labour.
2.Market Intermediary.
II. Secondary Data:-
1.Records.
2.Bank.
3.Internet.

4. Analysis of Data:-
1.Tabular Method.
2.Simple Average Method.
3.Diffrent Graphs and Charts.
Analytical Tools:-
1.Current Ratio.
2. Liquidity ratio.
3. Turnover ratio.
4. Profitability ratio.
5. Net Income.
6.B:C ratio.
7.IRR.

5. NAME OF POLYHOUSE
NAME OF OWNER Mrs. Vijaya Vijay Patil
AGE 55 Years
EDUCATION B. A
TEL. NO. 9822301119
TYPE OF POLYHOUSE SAW TOOTH
TYPE OF OWNERSHIP INDIVIDUAL
CATEGORY OF POLYHOUSE SMALL
YEAR OF ESTABLISHMENT 2006
AREA 141 R
GROWING CROP Gerbera
VARIETY Savhana, Danailin ,Zingaro,
Goliath, Rosalian
Dalama
Profile

6. Location

7. 1. Importance Of High-tech Agriculture
 Best way to utilizing the Potential of Gerbera.
 Extend support to GM plants or plant bio-technology
 Efficient utilization of chemicals and Fertilizers.
 Water requirement of crops very limited and easy to
control.
 The yield may be 10-12 times higher(a life line for
small land holders)
 Export oriented view.
 Major beneficiary to small holding farmer.

8. • Gerbera flowers are Beautiful and attractive.
• Available in Different type of colours.
• Used in Decorations of various Events.
• Used in Bouquet.
• Gerbera as cut flowers Used in Flower Pots.
• Used in Dry Flowers Industry.
• Possibility to Export.
• Scope for Research and Development in local
condition.
2. Importance and Scope of Gerbera Flowers

9. Source: Indian Horticulture Database-2011
Area and Production of Flowers In INDIA
YEAR
AREA PRODUCTION
(IN 000' HA)
LOOSE CUT
(IN 000' MT) Million Flowers
2006-07 144 880 37175
2007-08 166 868 43654
2008-09 167 987 47942
2009-10 183 1021 66671
2010-11 191 1031 69027

10. Source: Indian Horticulture Database-2011
Area and Production of Flowers In INDIA
Production
Loose
in
000’
MT
Cut
in
Million
Flowers
0
10000
20000
30000
40000
50000
60000
70000
2006-07
2007-08
2008-09
2009-10
2010-11
144 166 167 183 191
880 868 987 1021 1031
37175
43654
47942
66671 69027
Years
Area Loose Flowers Cut Flowers

11. S TAT E
AREA
(in 000 ha)
PRODUCTION
(in 000 MT and Cut in Lakh Nos)
2008-
09 2009-10 2010-11
2008-09 2009-10 2010-11
LOOSE CUT LOOSE CUT LOOSE CUT
TAMILNADU
29.14 32 32 233.7 0 247.3 0 247.3 0
West Bengal
21.07 21.9 23.1 52.00 21232 55.2 22170 59.2 23919
Karnataka
26 27 27 203.9 5867 203.9 5860 203.9 5860
Maharashtra
16.4 17.5 17.5 89.4 5728 91.1 7914 91.1 7914
OTHER
73.91 84.5 91.3 408.4 15115 423.1 30727.4 429.8 31334.4
INDIA 166.52 182.9 190.9 987.4 47942 1020.6 66671.4 1031.3 69027.4
Source: Indian Horticulture Database-2011
Area and Production of Flowers In States

12. Major Cut Flower Producing State’s 2010-11

13.  To work out cost of erection of Polyhouse of selected Unit.
 To estimate cost of Gerbera production of selected Unit.
 To study the market management aspects of Gerbera Flowers
of the selected Unit.
 To estimate the Profitability of selected Gerbera Flowers
Unit.
 To study the problems in the production and marketing of
Gerbera Flowers.
O B J E C T I V E S

14. Government Schemes
NHB
• Offers 20% Subsidy on project cost limited to ₹ 25
lakh /project.
NHM
• Gives 50% Subsidy
• Up to 1 Acres
APEDA
• 25% For Cold Storage.
• Warehouse and Godowns.
GOI and
GOM
• Gives Subsidy for Irrigation System.

15. Country
2008-2009 2009-2010 2010-2011
Qty Value Qty Value Qty Value
United States 7,111.5 7,213.5 5871.1 5,305.6 7153.9 5686.5
Germany 3,589.8 3,966.3 3688.2 4065.0 4511.6 4280.6
Netherland 4,640.2 5,987.2 3146.3 4217.9 2989.5 4162.0
United Kingdom 4,369.7 4,284.5 3707.3 3788.3 4116.0 3761.8
Japan 965.3 1,791.0 970.9 1558.7 576.7 1,151.9
United Arab
Emitates 762.7 991.8 971.7 1071.1 812.8 959.1
Italy 1268.3 1,373.3 1453.7 714.4 1,234.0 856.8
Canada 782.4 1,135.3 534.1 769.0 532.8 798.4
Belgium 1,084.3 845.5 470.2 484.4 762.0 774.3
Ethiopia 99.0 1,657.0 706.2 1,746.7 69.1 633.5
Other 6,125.4 7,636.0 5294.4 5,625.6 5,017.8 5,580.5
Total
30,789.3 36,881.4 26,814.5 29,446.4 27,776.2 28,645.4
Qty in Mt
Value in Lakhs
Source: Apeda Website February 2012
Export of flowers from India

16. Horticultural Practices

17. Particulars
April May June July August
1
w
k
2
w
k
3
w
k
4
w
k
1
w
k
2
w
k
3
w
k
4
w
k
1
wk
2
wk
3
wk
4
wk
1
wk
2
wk
3
wk
4
wk
1
wk
2
wk
3
WK
Land Development
Greenhouse
foundation
Bedding material
Application : Red soil
FYM
Rice Husk
Greenhouse Erection
Polythene fitting
Bedding Material
Mixing
Fumigation
Bed Preparation
Drip &Misting System
Spraying System
Hosing Tap
Mixing of Neem cake
,Silica dust,Sterameal
Wormicompost
Mixing Besal Dose
Plantation
Labour quarter
Commencement Of
Flower
PROJECT CALENDER

18. General Practices
Ploughing

19. • Highly porous, well drained, airy
• Gravel Sand- Bottom + Organic manure + Soil.
• Basal Dose- (2080 sq.mt. )
SSP- 500kg and MgSO4- 100 kg
70cm
30cm
30cm 70cm
45 cm
35 cm
BED PREPARATION

20. Digging of Beds Bed Preparation

21. Application of Basal Dose
Before Plantation
Showering Before Plantation of
Gerbera Crop

22. Making Holes on the Beds.

23. 1. Crown of Plant 1-2cm above soil.
2. Don’t Disturb root ball.
3. Distance row-row = 35cm.
- plant-plant = 30cm.
1. Propagation by tissue culture method.
2. Select proper harden plants.
3. Disease and pest free Plants.
4. At planting time 4 to 5 leaves - each
plants.
Properties
Precautions
Gerbera Plantation

24. Plantation of Gerbera Crop

25. Spraying
of
Chemicals

26. Application of Fertilisers
Drip method Direct method

27. Harvesting
Maturity
Indices

28. Packaging
Of
Flowers

29. GERBERA
Box Size- 100X40X20cm
No. of Bunches - 50
No. of Flowers - 500

30. 1.To Maintain
Health of Plant.
2.Size of Flowers
Dis-budding De-Leafing
(To loose the top soil of
the beds.)
1.Aeration.
2.Weeding.
Raking
Special Cultural Practices in Gerbera
1. Sanitation.
2. Bud Initiation

31. Production Management Techniques Applied

32. Light Trap

33. Recycling
of waste
Material

34. Blue and Yellow Gum Cards for Controlling Thrips and Leaf Minor
Respectively.

35. Washing the Polythine Paper

36. Management of Different Inputs

37. Sr.No. Particulars Qty(Grm.) Monthly Rate/Kg
A. Up to 3 Months After Plantation
1. 19:19:19 4200 . 79.60
2. MgSo4 200 288
3. Fe Chilated 150 480
B. After 3 Months of Plantation
1. 13:00:45 3200 81025
2. 00:52:34 1600 109.4
3. Fe Chilated 160 480
4. Cano3 3000 5 48.9
Application of Fertilizers
C Particulars Qty(Kg) Yearly Rate/Kg
5 Warmicompost 300 600 6
6 Neemcake 550 1100 9
7 Stera meal 4500 900 10
9 Phoret 30 60 40
Mon
Wen. Fri.
12
Fri.
Wen.
Mon
12

38. Major Pest and Disease

39. Powdery
Mildew
Caterpillar Botrytis
APSA-80 = 0.3 ml
Bavistin = 2.0 gm
Captop = 1.5 gm
Rocko = 1.0 gm
APSA-80 = 0.3 ml
Cloropyriphose=1.5ml
Lannet = 1.5 gm
APSA-80 = 0.3 ml
Rocko = 1.0 gm
Quintal = 0.5 gm

40. White Fly Leaf Minor Snale
1.Confider =0.5 ml
2.Pride = 0.3 gm
APSA-80= 0.3 ml
Cloropyriphose =1.5ml
Caledon = 1 gm
APSA-80 = 0.3 ml
Kombad khat
Thrips
Regent =0.5ml
Confidore =0.5ml
APSA-80 = 0.3 ml

41. Human Resource Management

42. Process of HRM
Selection of Labour or Supervisor
Training
1.On Job Training.
2.Off Job Training.
Evaluation of Labour
Recruitment
1.Internal Sources.
2.Extrnal Sources.
Motivation
1.On time Payment
2.offers Bonus
Promotion

43. Types of Polyhouses

44. MAXI-VENT POLYHOUSE FAN & PAD POLYHOUSE
WOODEN POLYHOUSE
SAW TOOTH POLYHOUSE

45. GLASSHOUSE POLYTUNNEL
SHADOWHALL SHADOW HOUSE
Types
of
Polyhouses

46. ERECTION OF POLYHOUSE

47. SITE SELECTION CRITERION
 Soil Ph 5.5 to 6.5 & EC less than 0.5 ms/cm
 Continuous water source
 Water Ph 5.5 to 7 & EC less than 0.3 ms/cm
 construction- higher than the surrounding land
 Scope for future expansion
 Communication , Road & Market facility
 Availability of cheap labour
 Trees at least 30 m apart

48. FOUNDATION STRUCTURE
Columns
Purlins
Gutters
Bracings
Ridges
Side Vents
-Dugged 90 pits
-Traditional
-Telescopic
Erection Of Polyhouse

49. POLYTHENE POLYLOCKS
ALUMINIUM
Light transmission- 88 %
Life time - 2-3 years
Thickness- 200 microns
Continue.....

50. Polyfilm Fitting Fumigation
Continue.....
Formalin :Water
=1:10

51. Installation of Irrigation System

52. Factors Influencing Selection of the Emitter
• Sandy,Loamy-clay/sand,Clayey
Soil Type
• Canopy , Evaporation rate, Crop
Factor
Water
requirement
• Humidity, Micro climate, etc
Climatic
requirement
• Power & water availability
Site Conditions

53. Types of Emmiter
Emmiters
Drippers
Online
Inline
Mini
Sprinklers
Foggers

54. Inline- Driper
Integral Driplines
Application
-Row Crops
-Close spaced Crops
Installation of Irrigation System

55. Installation of Weather Control Devices

56. Major
components
of
climate
Light (Lux meter )
Temperature (Dry bulb)
Humidity (Hair hygrometer)
Wind (Anemometer)
Rainfall, Precipitation(Rainfall indicator)
Climatic Factors and Measuring
Instruments

57. PROTECTED CULTIVATION
Solar Radiation
Heat
PAR
Rain
Wind speed
Top
Ventilation
Outside Temperature
RH
Condensation
Transpiration
CO2
Inside Temperature
RH
Water
uptake
Side
Ventilation

58. PROTECTED CULTIVATION
PAR
Rain
Wind speed
Top
Ventilation
Outside Temperature
RH
Condensation
Transpiration
CO2
Inside Temperature
RH
Water
uptake
Side
Ventilation
Solar Radiation

59. • High production
• Good product quality
• Proper harvest planning
• Risk management (prevention of calamities)
• Optimum greenhouse climate in view of crop condition
• Cost management

60. Artificial Cooling- (Humidifiers)
Ventilation
Shading Net
Greenhouse Cooling
Methods

61. Visit To Our Farm

62. Continue.....

63. Economical Part

64. SR.
NO.
PARTICULARS
AMOUNT
( ₹)
PERCE
NT
(%)
1.
Cost of construction material for
framed structure @ ₹ 400 per
sq.m. 8,32,000
90.9
2.
Cost of labour for construction
of framed structure @ 10%
83,200
9.09
Total construction cost
9,15,200
100
Cost of Construction of framed structure

65. SR.
NO.
PARTICULAR
AMOUNT
( ₹)
PERCENT
(%)
1
Construction cost of
framed structure 9,15,200
61.98
2 Cost of planting material 3,40,200 23.04
3
Cost of irrigation & fogger
systems 2,21,154
14.98
TOTAL 14,76,554 100
Total Cost Erection Cost Of Polyhouse
Total cost of erection of polyhouse =₹14,76,554/-
Per unit Cost of erection = ₹709.88/sq.mt.

66. Sr.
No.
Particulars
Cost
(₹)
1
a . Fixed Assets (Cost –B+C) 2065190.00
c. Working Capital for one Year (2011-12) 710209.21
Subtotal: 2775399.21
2
Means of Finance
a. Owners Capital Investment 415190.00
b. Term Loan from Bank 1650000.00
Subtotal: 2065190.00
Expected Assistance from NHB 410000.00
3
Bank Finance Required
a. Term Loan 1650000.00
b. Cash Credit 710209.21
Crop:-Gerbera
Area:-2080 Sq.M.(52M.×40M.)
Spacing:-30cm×35cm.
No of Plants:-12600
FINANCIAL OUTLAY OF THE PRJECT

67. Sr.No. Particulars Unit Quantity
Rate
Total Cost
(₹)
A. 1.Land Cost (@₹2.40 lakhs/acre) Acre 0.5 240000 120000
B. Fixed Capital
1 Greenhouse Erection. Sq.M. 2080 440 915200
2 Shade Net Sq.M 2080 18 37440
3 Drip and Fogging System Sq.M. 2080 80 166400
4 Spraying System Extension No. ₹
1.HTP 1 9900 9900
2.3 HP Motor 1 7900 7900
3.5 HP Motor 1 12824 12824
4.1.5 Hp Motor 1 6250 6250
5. Genset 1 32000 32000
6.Other Charges - 17880 17880
Sub Total 86754
5 Labour Quarter(1) Sq.ft. 120 275 33000
6 Water Storage Tank 122000
7 Tools and Equipments 15000
TOTAL-(B): 1375794
PROJECT COST

68. Sr.No. Particulars Unit Quantity
Rate
Total Cost
(₹)
A. 1.Land Cost (@₹2.40 lakhs/acre) Acre 0.5 240000 120000
B. Fixed Capital
1 Greenhouse Erection. Sq.M. 2080 440 915200
2 Shade Net Sq.M 2080 18 37440
3 Drip and Fogging System Sq.M. 2080 80 166400
4 Spraying System Extension No. ₹
1.HTP 1 9900 9900
2.3 HP Motor 1 7900 7900
3.5 HP Motor 1 12824 12824
4.1.5 Hp Motor 1 6250 6250
5. Genset 1 32000 32000
6.Other Charges - 17880 17880
Sub Total 86754
5 Labour Quarter(1) Sq.ft. 120 275 33000
6 Water Storage Tank 122000
7 Tools and Equipments 15000
TOTAL-(B): 1375794
PROJECT COST

69. C Capital Cost : Unit Qty. Rate I II III IV V VI
1 Land Preparation
a. Ploughing Acre 0.5 1500 750
b. Harrowing Acre 0.5 1500 750
c. Levelling Acre 0.5 21000 10500
d. Murum Brass 90 325 29250
Total Land Preparation 41,250
2 Bed Preparation
a Red Soil Brass 180 667 1,20,060
b FYM Brass 80 1200 96,000
c Wormicompost Mt 8.3 3000 24,900 24,900
d. Neem Cake Mt 2 8000 16,000 16,000
e Rice Husk Mt 8.3 2000 16,600
f Single Super Phosphate Mt 0.3 3500 1,050 1050
g Fumigation Sq.M. 2080 4 8,320
h Labour Charges (Bed Prep
n
) Sq.M. 2080 9 18,720
Total Bed Preparation 3,01,650 41950
B Planting Cost:
a. Planting Material Per plant 12600 27 3,40,200 18000
b. Transport Per plant 12600 0.12 1,512 200
c. Planting Cost (Labour) Sq.M. 2080 2.3 4,784
Total Planting Cost 3,46,496 18200
TOTAL C: 689396 60150
TOTAL (A+B+C): 2185190

70. Sr. No. Particulars Unit Quantity
Rate Total Cost
(₹) (₹)
1 Manures & Fertilizers per month 12 7,902.5 94830
2 Intercultural & Labours per month 12 10900 130800
3
Plant Protection and GR per month
12 5,800 69594
4
Transportation and
Commission
per month
12 5,385 49260
5 Packing Material per flower 6,04,800 0.28 169344
6 Supervision Charges per month 12 4,000 48000
7 Light charges per month 12 767 9204
8 Water charges per month 12 1325 15900
9 Phone Bill per month 12 400 4800
10 Depreciation Yearly 94477.21
11 Other expenses per month 12 2000 24000
TOTAL 710209
Working Capital Requirement (2011-12)

71. Sr.
No
Particulars Cost per Year
I II III IV V VI
C Recurring Cost:
a. Manures & Fertilizers 29,895 55711 65524 69972 70625 94830
b. Intercultural & Labour 45,500 87000 94800 96000 105000 130800
c. Plant Protection and
GR
29,275 58570 59690 63570 66251 69594
d. Supervision 21,000 39000 42000 42000 45600 48000
e. Light Charges 5,369 9204 9240 9420 9540 9204
f. Water Charges 3,969 6840 7110 16425 16650 15900
g. Phone Bills 3,500 2400 3000 3240 3000 4800
h. Other Charges 5,000 3500 2000 3500 2500 24000
i. Packaging 60,367 129416.7 138210.8 139286.6 155102.2 169344
j. Transport and
Commission
27,555 47100 48180 48540 47640 49260
Total-C 2,31,430438741.7 469754.8 491953.6 521908.2 615732
Yearly Working Capital Requirement

72. Years
Particulars
Variable
Cost
Fixed
Cost
Depreci
ation
Interest
Rate
Total
Cost
Gross
Income
Net
Income
2006-
07
2,31,430 21,85,190
-
1,32,000 25,48,620 721525 -18,27,095
2007-
08
4,38,742
-
191802 1,32,000 7,62,544 1571489 808945
2008-
09
4,69,755
-
156776 66000 692530 1639683 947153
2009-
10
4,91,953 60150 130468
-
682571 1526349 843778
2010-
11
5,21,908
-
110290
-
632198 1539091 906893
2011-
12
6,15,732
-
94477
-
710209 1534578 824369

73. Profit Returns & Cost Comparison
-2500000
-2000000
-1500000
-1000000
-500000
0
500000
1000000
1500000
2000000
2500000
3000000
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Cost
Returns
Profit
Years
Cost,
Returns
and
Profit
In
₹

74. 0
100000
200000
300000
400000
500000
600000
700000
1 2 3 4 5 6
Quantity
in
Stems
Years
Production of Gerbera Flowers
Series1

75. 2.51
2.55
2.61
2.63
2.58
2.67
2.4
2.45
2.5
2.55
2.6
2.65
2.7
1 2 3 4 5 6
Rates in Rs.
Years
Average Prices
Series1

76. Sr.
No.
Particulars
Years
1 2 3 4 5 6
1
Capacity Utilization 48
Flower Stems/plant per year
604800flower stems per
2080 sq.M.
47.53% 101.90% 103.87% 96.00% 98.64% 98.13%
2
Yield of Gerbera
Flowers/year
(lakh stems) 287460 616270 628231 580361 596547 593475
3
Recurring Expenditure
9,04,826 4,38,742 4,69,752 5,52,104 5,21,908 6,15,732
4
Production cost
(₹ Per Stem of flower) 3.15 0.71 0.75 0.95 0.87 1.04
5
Average Production Cost
(₹ Per Stem of flower) 1
Cost of Production per stem

77. Sr. No. Particulars
Years
1 2 3 4 5 6
1
Capacity Utilization
(percentage) 47.08% 100.94% 102.90% 95.06% 97.71% 97.21%
2
Yield of Gerbera Flowers
per year(lakh stems)
287460 616270 628231 580361 596547 593475
3
Sale Price (@ ₹ 2.59/- per
stem)
721525 1571489 1639683 1526349 1539091 1584578
4 Production cost/stem 3.15 0.71 0.75 0.95 0.87 1.04
5
Total Cost
2609620 762544 692530 682571 632198 710209
6
Net Profit (3-5)
-1888095 808945 947153 843778 906893 874369
Statement of Projected Profitability for Crop

78. Sr.
No.
Particulars
Year
2006-07 2007-08 2008-09 2009-10
1 Opening Balance 16.50 16.50 8.25 -
2 Repayment - 8.25 8.25 -
3 Closing Balance 16.50 8.25 0.00 -
4 Interest Rate (8% per annum)
1.32 1.32 0.66 -
Total Payment (Repayment +
Interest)
1.32 9.57 8.91 -
Statement of Loan and Interest

79. SR. NO. YEAR BENEFIT COST NET RETURN D.F. 12% NPW
1 2006-07 721525 2532619 -1811094 0.8929 -1617049
2 2007-2008 1571489 762544 808945 0.7972 644886
3 2008-09 1639683 692530 947153 0.7118 674165
4 2009-2010 1526349 682571 843778 0.6355 536236
5 2010-11 1539091 632198 906893 0.5674 514596
6 2011-2012 1534578 710209 824369 0.5066 417651
TOTAL 1170485
Net Present Worth
NPW is Positive hence the Selected Gerbera Unit financially
Feasible so the Project is accepted.
Conclusion:-

80. SR.
NO.
YEAR BENEFIT COST D. F. 12% PWB PWC
1 2006-07 721525 2532619 0.8929 644218 2261267
2 2007-2008 1571489 762544 0.7972 1252781 607895
3 2008-09 1639683 692530 0.7118 1167094 492930
4 2009-2010 1526349 682571 0.6355 970022 433786
5 2010-11 1539091 632198 0.5674 873322 358726
6 2011-2012 1534578 710209 0.5066 777465 359814
TOTAL 5684903 4514418
B:C = 1.259277
Benefit Cost Ratio
Benefit Cost Ratio is >1 hence the Selected Gerbera Unit
financially Feasible so the Project is accepted.
Conclusion:-

81. SR.
No.
YEAR
NET
RETUR
N
D. F. 25% D. F. 30%
NPW @
L.D.R
NPW @
H.D.R
1 2006-07 -1811094 0.8000 0.7692 -1448876 -1393150
2 2007-2008 808945 0.6400 0.5917 517725 478666
3 2008-09 947153 0.5120 0.4552 484942 431112
4 2009-2010 843778 0.4096 0.3501 345611 295430
5 2010-11 906893 0.3277 0.2693 297171 244253
6 2011-2012 824369 0.2621 0.2072 216103 170790
TOTAL = 412677 227100
IRR 36.12
Internal Rate Of Return
Conclusion:-
IRR is > Lower Discounting Rate hence the Selected Gerbera
Unit financially Feasible so the Project is accepted.
When D.F. Is 38% then NPW is nearly Zero and B:C Ratio =1 hence IRR is 38%

82. BEP
BEP= Fixed Cost
(Selling Price Per Unit –Variable Cost Per Unit)
BEP= 2185190
(2.59-1)
BEP= 13,74,333 Stem
Pay Back Period =2 Years and 9 Months

83. Sr.
No.
Packaging
material
Qty Rate
(kg)
Box
(₹)
Bunch
(₹)
1 Box 1 50 50
2.86
2 Rubber 150 215 6
3 Poly Bag 500 120 75
4 Patti 3 80 3.52
5 Clip 3 60 8.82
Total 143.34
Packaging Material Cost
Per Bunch Packaging Cost of Gerbera Flowers is 2.86 ₹
Conclusion:-

84. Visits

85. Sources of Finance
1. Owners Equity.
2. Bank Loan.
3. Government Subsidise.

86. Flow Chart for Obtaining the NHB Subsidy
Project Report Preparation By Promoter
Submission of Application to Bank / FI for Term Loan (40% min.)
Request to NHB by Bank/ FI for In Principal Approval along with Brief Project Profile.
Issue of Case No By NHB to Bank/ FI
Release of Term Loan by Bank/FI Promoter

87. Submission of II Joint Inspection Report to NHB HQ By State Office of NHB.
Presentation of Project for II Release.
Release of II and Instalment of Subsidy to Bank /FI by NHB HQ.
Only One Inspection Where NHB Subsidy is up to Rs.10 Lacks.
After Release of Term Loan Bank /FI write to NHB State Office for I joint Inspection of
Project.
Continue.....

88.  8 “A”.
 7 “A” & 12.
 Quote of Plants.
 Quote of Irrigation .
 Quote of Polyhouse.
 Blue Print of Polyhouse.
 Bed Layout.
 Economic Projections .
 General Details of Crop & Marketing Scope .
 Owners Details.
 Soil & water Analysis Report.
 Technical Back-Up Letter.
List of Documents Required for Project Report Submission to
Bank

89. 1) G.H. Erection Contract Labour Quotation.
2) Plastic Quotation.
3) Plant Quotation.
4) Drip System Quotation.
5) Plastic Fixation Material Quotation.
6) Red Soil Suppliers Quotation.
7) Sand Suppliers Quotation.
8) Shading Net Quotation.
9) Fertilizer Quotation.
10)Insecticide /Fungicide Quotation.
List of Quotations Required to Attached with Loan Proposal

90. Procedure for Sanctioning the Bank Loan
Application for Loan to Bank
Pre Sanction Visit of Bank
In Principal Approval/Sanction of Loan by Bank
Request to NHB by Bank to issue LOI
Bank Sanctioning Authority
Detailed Document Submission to Bank
Loan Disbursement
AB-I to AB-III

91. Marketing Channel of Gerbera
Producer
Retailer
Consumer
Producer
Wholesaler
Retailer
Consumer
Producer
Consumer
I II III

92. Sr.
No.
Intermediary Particulars
Channel
I II III
1 Producers Selling Price 25 24 23.50
2 Wholesalers
Purchase Price - 23.50
Market Cost - - 0.50
Margin - - 2.0
Selling Price - - 25
3 Retailers
Purchase Price - 24 25
Market Cost - 2 2
Margin - 4 4
Selling Price - 30 30
4 Consumer Purchasing Price 25 30 30
Producers Share in Consumer Rupees 100% 80% 78.33%
Price Spread

93. 10%
70%
20%
Channel Wise Flowers Sale
Channel I
Channel II
Channel III

94. SWOT Analysis

95. SWOT
Analysis
Better Management.
Export Level Quality .
Effective Marketing Strategy.
Proper Utilization of Land.
Use of Waste Material in the Farm.
Organic Farming Partially.
Ideal Project for Research work.
Sanitary.
Better Supervision By Owner.
Strength Weakness
 No Bargaining.
 Lack of Export.
 High Packaging Material Cost.
 Unskilled Labour.
Opportunity
Export the Gerbera Flowers
Increase the Source of Income through
allied Enterprises .
Threats
 Changes in Government
Polices.
 Increasing Number of
Competitors
Fluctuation in Market Rates

96. Sr.No. Problem Area Problems Suggestions
1. Owner 1.Diversification of Labours 1.Provide Best Facilities.
2.Market Price Fluctuation. 2. Fix Marketing.
2. Technical 1.Problems in Expiry Date of
Chemicals and Fertilizers.
1.Inventory Management.
2.Forecasting.
Problems and Suggestions

97. Experience Gained

98. CONCLUSIONS
1. Total cost of construction of framed structure is
₹ 9.152 Lakh
2. Total cost of erection of polyhouse structure is
₹ 14.76554 Lakh i.e. ₹ 709.88 per sq.m.
2. Total cost of production per bunch is ₹ 10
3. The average rate of flowers per bunch is ₹ 25.90

99. 6. The Pay back period for the selected polyhouse owner is 2 years 9
months.
7. The NPW of Gerbera Crop is positive hence Project is Financially
Feasible and Accepted.
8. The estimated Benefit Cost ratio is 1.26 which is Greater than 1 so
Project is Financially Feasible and Accepted.
9. IRR= 38%
10. BEP= 13,74,333 Stem

100. 1) Horticulture training centre (HTC),Talegaon Dabhade.
2) www.htcindia.org
3) Videos from “Nimitya” enterprises on “polyhouse and shed net
technology”
4) www.masam.com
5) www.apeda.org
6) Green house management of horticulture, by S.PRASAD .G.K, Agro
bios publication.
7) Green house operation and management by Paul.V.Nelson.