Helping Agribusinesses—Small Millets Value Chain—To Grow in India
Abstract
:1. Introduction
2. Theoretical Framework and Methodology
3. Results and Discussion
3.1. Value Chain Analysis
- (a)
- Weak Supply Chain: Unlike rice and wheat, there has been dwindling development of the supply chain, especially as it relates to support for growers, traders, marketers, subsidiaries, and processors to ensure speed and smoothness. Several cases of intermediaries’ exploitations are documented online. Therefore, cost components continue to increase. For example, according to the manufacturers, middlemen can increase the cost component by up to 40%.
- (b)
- Customer Awareness: In addition, customer awareness of the better nutritional value of millets, as well as the ability to evaluate quality, is inadequate or practically nonexistent. Customers do not buy what they do not know about. Most of the current customer awareness about millets consists of word of mouth information, or informal discussions on its potential nutritional benefits. However, based on nutritional discussions during the customer preference survey, at least 50% of non-consumers of millets indicated an interest in purchasing them.
- (c)
- Poor Yields: Average yields are still quite low [2]. Annual yields of 4–5 quintals as opposed to 20–25 quintals of rice, 18–20 quintals of wheat, and 25–30 quintals of maize are also drivers of the disparity in price and acceptability. Although, when juxtaposed with other factors, small millets have a better yield potential, since they require less area than rice, for example, and can grow in less fertile soils.
- (d)
- Inadequate or Inefficient Processing Facilities: Based on technical meetings and reports reviewed, innovation is a major stumbling block. The feedback loop needed to improve on innovation, development, and use, while reducing drudgery is absent. With a general 60–65% recovery rate during processing, the “un-exploration” of by-products also contributes to the higher final selling price.
- (e)
- Floundering Policy: After the Green Revolution, the policymakers in India have supported the production of intensive crops in more choice resource areas [19], contributing to the decline of millets (although millets require less cultivation area). Another example is that the Indian Public Distribution System (PDS) in 2017 did not include small millets.
3.2. Business Model Development
Implementation of the Open Innovation-Driven Customer Intimacy Model for the Small Millets Value Chain
- Acquisition and sharing of internal knowledge from the major players in the small millets industry.
- Acquisition of external knowledge about the customer and the small millets industry.
- Improvement of the working relationships between the different components of the small millets cluster group.
3.3. Supporting Cases
3.4. Marketing Plan
4. Conclusions
Acknowledgments
Author Contributions
Conflicts of Interest
References
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Tasks | Timeline |
---|---|
Stage 1 (Initiation): Determination of the direction and responsibility of each of the components in the small millets cluster. Redefinition of achievable goals on a 5-year scale. Discussion/resolution of concerns and potential problems. | 1 year |
Stage 2 (Engagement): Stakeholders engagement for determining the need & feasibility of innovations in their sector as well for other drivers in the ecosystem within the cluster. | 1 year (concurrent with stage 1) |
Stage 3 (Monitoring): Development of a feedback loop for sharing information within the small millets value chain cluster. Performance assessment Information review | Continuous |
Stage 4 (Continuous Improvement): Incubator organization support adjustments Review and modify information sharing loops, policies, and procedures. Analyze feedback, more surveys to access success within the small millets value chain (mostly with reach and sales). Market & Customer Surveys | Continuous |
Item | Actions |
---|---|
Nutritional awareness drive of the small millets value chain and methods of sales amongst the Indian populace | Capitalize on the healthy drive around the world Health Rallies Free giveaways at clinics as alternatives to prevent diagnosis or prognosis |
Intense Advertising | Social media: Food challenges, hashtags, promotions on Twitter®, Facebook®, Instagram®, and Snapchat® Cooking Competitions Sales Kiosks Tricycle Branding Posters Special Millet Carts for value-added products Occasional TV adverts |
Educational and Policy Drives (Campaign policy makers and the customer) | Capitalize on the wave of concerns about climate change Emphasize the effects of intensive farming |
New Product Development | Develop easy-to-use derivatives |
Product Packaging Rebranding | Surveys to determine the best size, style, acceptable price range (needed) |
© 2018 by the authors. Licensee MDPI, Basel, Switzerland. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license (http://creativecommons.org/licenses/by/4.0/).
Share and Cite
Adekunle, A.; Lyew, D.; Orsat, V.; Raghavan, V. Helping Agribusinesses—Small Millets Value Chain—To Grow in India. Agriculture 2018, 8, 44. https://doi.org/10.3390/agriculture8030044
Adekunle A, Lyew D, Orsat V, Raghavan V. Helping Agribusinesses—Small Millets Value Chain—To Grow in India. Agriculture. 2018; 8(3):44. https://doi.org/10.3390/agriculture8030044
Chicago/Turabian StyleAdekunle, Ademola, Darwin Lyew, Valérie Orsat, and Vijaya Raghavan. 2018. "Helping Agribusinesses—Small Millets Value Chain—To Grow in India" Agriculture 8, no. 3: 44. https://doi.org/10.3390/agriculture8030044