ENTREPRENEURIAL OPPORTUNITIES IN LIVESTOCK SECTOR :NURTURING LIVESTOCK BASED STARTUPS IN INDIA
Compiled & Edited by Dr. Rajesh kumar singh
Livestock sector plays an important role in rural livelihood, employment and income generation. Major livestock products like milk and milk products, meat and eggs contribute around one-sixth of the calories and one-third of the proteins in the per capita food supplies of the world.
Increase in cost of production reduces the profit margin. Animal husbandry is the second largest economic activity of rural India. In Arid and semi arid regions, livestock sector ranks first in earnings to skilled, semi skilled and unskilled populations. Animal husbandry is a growth engine and annual growth rate in dairying is 5 % and in poultry it is 10% and will alleviate rural poverty and uplift the rural farmer. If the country has to sustain economically, livestock sector has to be strengthened. The availability of per capita animal protein is 10.8g whereas the requirement as per world average is 25g. National sample survey reports that 70-75% of their food budget is for milk and milk products. The need of the hour is increase in production, productivity and improvement in the marketing channel. In the case of failure in agriculture, livestock sector forms the source of income and gives insurance to any intervals of agriculture failure. With regard to production and consumption of milk, it is a golden era in the dairy sector. Organized sector grows more than 10% per annum. Milk production is increasing in Asia and India and increasing prices are favorable to developing countries. International Farm Comparison Network (IFCN), Germany reported that India has lowest cost of milk production when compared to developed countries.
Productivity and Quality
According to recent reports 70% of Indian cows and 60% buffaloes have very low productivity. Average milk yield from local cows is about 3 to 3.5liters, of buffalo 3.96 to 5.39liters and of cross bred cow between 5.82 to 7.80 liters per day which is significantly lower than the productivity in developed countries. According to the Economic Survey, productivity in agriculture sector is far below global standards; India has around 300 million numbers of cows and buffalos in dairy production and is the global leader in milk production: about 135 million tones a year. But productivity per cattle is comparatively less. The best run farms in the world produce 1.6 kg of milk for every kg of feed, in India it’s less than a kg. Scientific breeding, feeding and management practices along with quality inputs and extension support services are required for achieving better productivity. There exists a wide deficit in the supply of feeds and fodders countrywide. Strategic programmes are required for reaching out among small holder population for facilitating technology transfer and extension support.
Startups in Livestock and Agri allied sectors
India is emerging as a global destination for Innovation, Incubation and Start-ups and provides great opportunities. Government of India has come up with exciting programmes to support startup ecosystem and to nurture innovations and launched Startup India action Plan for bringing in policies and frameworks that can support and nurture the start up eco-system. India ranks third in Start up ecosystem after United States and UK and is emerging as a hub for innovation and has a large population of youth with untapped ideas. Innovations can trigger social change and solve problems faced by contemporary India. Bangalore ranks first in innovation and start-up destination in the Country. Recent findings reveal that success rate in start-ups are only 30 percent. International trading system, economic impact, policies, technology solutions and digital innovations are the major areas which facilitates Startups in the country.
Agri Incubators are breakthrough simulation game that helps disruptive entrepreneurs to create break through innovations, develop stronger business models and entrepreneurial strategies. The presence of vibrant entrepreneurial ecosystem is one of the key features of developed nation and a critical enabler for finding solutions to the regional problems. Precision agriculture, aimed at increasing productivity from the land is acquiring momentum across the globe. There are systems in which Irrigation, dispersion of nutrients and fertilizers are being done by drones which are emerging as third dimension mode of transportation.
While thinking of innovation we should keep in mind why we need to innovate? More than 52 percent companies among the Fortune 500 companies disappear because of poor sustainability. Need of the hour is to identify technologies which can be scaled up across the growing population. Internet of things, Sensors, solutions, transactions, transportation, online platform and social entrepreneurship are gaining momentum across the world. India is still an agrarian economy and has more than 50% of the working population involved in agriculture. This sector had shown significant fall in growth from 25 to 14%. This has resulted in widening of growth inequities between urban and rural areas. Improving productivity, quality of crops and value addition of agriculture produce would boost farm incomes and promote agribusiness industries which can provide gainful employment to rural youth. Innovative technologies will help to improve farm productivity.
Livelihood issues, Entrepreneurship, Food security and food safety issues, One health and public health issues, Demographic dividend towards youth and Increasing consumerism are some of the recent trends in agriculture. Prospects for Ready to cook and ready to eat products are emerging at a time when Women are working as home managers and started outsourcing foods. Programmes to prevent Protein malnutrition with Consumer awareness programme have immense prospects for scaling up. The National dream is clean air, clean water and clean India. India ranks 69 in the world in gross development index.
Today youth is emerging as job creators rather than job seekers. There are ample opportunities for innovation in information technology and Biotechnology. In India services sector supersedes all other sectors. Now there are no services available in India without ICT or online. The number of internet users in India is likely to more than double by 2022 of which more than 75 percent of new users would come from rural areas. Interestingly 75 percent of new users are expected to consume data in local languages. E commerce market in India is expected to double by 2022.The number of online shoppers is likely to more than triple to 225 million from current 70 million. By 2022 India will have an estimated 1000 million smart phones in use and mobile phones will emerge as the preferred device for shopping, accounting for 70 percent of total online shopping. Two Billion people in the world are using internet. One Billion people are regularly browsing Face book. Power of innovation is changing day by day. Future business is going to be through social media. We will have to think of next generation IT solution for 2022. By 2022 consumer, expectations and innovations will change.
In India basic challenge is between automation and skilled labour, documenting Vs knowing and advanced manufacturing vs jugaad. Capacity building will create talent pool. Genomics, food production, health and hydrogenation are important. In the Agriculture sector farm to fork is acquiring momentum. 30% production loss occurs in agriculture sector. Innovation needs to be linked to market need. Learn and experimentation is more important. India has 126 million hectare of arable land. Cultivable lands are 185 million hectares. More than 50% land is for primary food production. Agriculture is the largest private enterprise. Initially it was ship to food or ship to mouth. Now it is aimed at self sufficient in food production. Innovation is changing in the context. Average Indian consumer is looking for convenience, quality and safety. Agriculture should focus on demand driven value chain. There are huge prospects for organic and safe to eat products in Agriculture, Dairying, livestock and allied sectors. Recently consumers realised the deleterious effect of foods with excess antibiotics and pesticides. It has been projected to double the income of farmers by 2022 which will facilitate technologies. Irrigation, soil health and water conservation were given due coverage in the recent budget. Organic farming has been identified as one of the key areas for sustainable agriculture. Value addition, connectivity to market and e commerce are some of the recommendations in the budget which facilitates market led production. 100 percent foreign direct investment has been allowed in e commerce &food processing sector. Innovation has volatility, uncertainty, ambiguity and complexity. It is the process of dreaming and doing. How fast we are implementing the dream is important in innovation decision making process. Cloud, mobile, data, design and flat world are part of innovation. Cloud involves architecture changes, open source and new business models.
It has been envisaged that by 2030 number of students in the higher education sector will increase from 30 million to 70 million with the GER of 50 percent. It has been forecasted that 23 Universities will reach the top 200 of the World by 2030. The coming years will witness spectacular employment opportunities in E commerce, Innovation, communication, new media, Business analytics, Entrepreneurship, cloud services, biosciences, Retail industry, Agribusiness and Food processing sectors. India needs to create 2 Crore jobs per year for the next ten years to provide employment to youngsters. India is second largest smart phone market in the World and third largest country for downloads in 2021 within the Google Play Store. 76 Apps installed per user, 33 used daily.
Mobile, the low cost technology with hi speed self service and fastest growth is emerging as the Flat world platform for distribution and monetization. There are huge opportunities for digital led innovations in marketing. It can be ICT or smart phone based. Digital led deliverables are required for knowledge, production and marketing since knowledge is production. In order to increase production and to increase productivity with market led approach startups with appropriate innovations are required. In agriculture sector success depends on integration or convergence of different sectors like dairying, livestock, fisheries, etc. Kerala Veterinary and Animal Sciences University launched a novel project called startup village through integrating different sectors to promote the production of safe to eat products in kole lands. At a time when food safety issues are emerging across the country, production of organic/safe to eat products with ICT deliverables will help to promote employment and sustainability in agriculture. University’s E Vetconnect and advisory call centres provide appropriate information and services as and when required. Students need to think of appropriate innovation based on their ideas and to incubate and accelerate with appropriate deliverables. As demand increases start-ups in agriculture has lot of prospects ahead.
The demand for animal sourced foods (ASF) is increasing both quantitatively and qualitatively. During the past five years, the milk and meat sectors are growing at about six percent, annually. The government of India is now pegging on livestock to increase the economy from the current value of US $ 3 trillion to US $ 5 trillion by the year 2025. Under “Make in Rural India Initiative” NDDB will provide the financial assistance to private dairy units for processing in order to double the milk processing capacity by the year 2025, increasing the outreach in the unexplored market and improving milk quality at the milk collection centres. Besides this Government of India is also taking measures to improve the meat and egg production through small ruminants and backyard poultry since the growth rate in meat and egg sector is more than 5 and 10 percent, respectively. The policy announced by the Prime Minister of India on decentralized food production and processing systems is a great opportunity for generation of the employment in rural India besides better lives for livestock owning farmers through promotion of micro and small entrepreneurship in livestock sector in rural India. Hence, this article is designed to share knowledge and technologies in milk, meat and egg production and processing, improving the efficiencies of livestock production systems, products making, financing, marketing and branding the products so as to promote entrepreneurship in rural livestock sector for employment generation and double the farmers income and helping the Indian economy to become US $ 5 trillion by the year 2025.
India, the world’s second-most populous country is home to over 1.32 billion people, 512 million livestock and more than 1 billion poultry in a much diversified ecosystem spread across 3.3 million sq. km. These interconnected system of human, animal and environment is under tremendous pressure to increase livestock production for a growing human population in our developing economy.
The last two decades have witnessed significant growth in the poultry and dairy sectors in India, mainly dominated by intensive livestock production by organized commercial farmers, cooperatives and organizations. This development in the organized and commercial livestock production sector is well supported in the supply of veterinary products and services by private companies and government policies. Such supports are good for bringing production efficiency in organized sector and livestock products (milk, meat and egg) for large population.
Now we need such interventions in unorganized livestock sector. Around 70 million rural smallholders own livestock, mainly indigenous cattle, buffalo, goat, sheep and pigs, suffer with problems especially in women and kids.
On the one side, India is the largest producer of milk in the world and among leading egg and meat producing nations but on the other hand, nearly 48% of children under the age of five are stunted, and 55% of women and 24% of men are anaemic.
Furthermore, the informal sector cannot be transformed into large organized livestock farming instantly due to various grassroots constraints such as lack of resources and low land-holdings. As a consequence, the informal smallholder livestock sector will remain in place for the foreseeable future. Resource constrains and factors affecting animal input and service delivery at grass root level are also reported viz.poor physical infrastructure, financial, awareness, availability of animal health service providers etc. Compromised awareness, lack of availability of appropriate products for smallholder livestock farmers at affordable price further increase this last mile gap in veterinary products and service delivery. Producers of livestock and livestock products are supported by cooperative, organized market and direct market linkage in limited areas while majority of producers are still dependent on informal intermediaries who take relatively more benefits in value chain. Cost of production is increasing while corresponding return are compromising due to intermediaries. Value addition technologies in livestock products are still not reached to large masses handling livestock products. This list of challenges will go on, therefore now we can think on potential of social innovators in solving these problems in livestock sector.
The increasing significance and visible impact of entrepreneurship in wealthcreation and employment-generation has been accepted globally as the engine of economic growth. Entrepreneurs have been recognised for the significant role played in sustainable economic development. Indian livestock sector plays an important role in the national economy and in the socioeconomic development of the country. This sector also plays a significant role in supplementing family incomes and generating gainful employment in the rural sector, particularly among the landless labourers, small and marginal farmers and women, besides providing food and nutritional security to millions of people. Livestock are the best insurance against the vagaries of nature like drought, famine and other natural calamities. The summer school is aimed to provide an excellent opportunity to the participants to obtain hands on entrepreneurship training as a tool for empowering our I n d i a n f a r m e r s t h r o u g h entrepreneurial development in livestock sector. This will include how entrepreneurship training can play role of positive catalyst in the growth and development of livestock sector in toto. How this effective art and science can be used for launching an enterprise de novo or diversifying from an existing one to eradicate poverty, to help people learn the art of making money and lead a prosperous and dignified life.
| LIVESTOCK ENTREPRENEURSHIP |
- Entrepreneur associated to livestock farming / business, production of raw materials related to livestock farms and livestock related processing industries is considered as livestock entrepreneur.
- In other terms, a person who is linked directly or indirectly to the animal husbandry or livestock sector is referred as livestock entrepreneur.
| EMPLOYMENT OPPORTUNITIES FOR VETERINARIANS |
- Apart from the above avenues, there are vast employment opportunities available to the Veterinarians. Some of them are listed below:
- Government Veterinary Doctors
- Amul / Aavin milk plants – Manager / Doctors
- Meat Inspector – in Corporations
- Education – Assistant Professors in various Universities
- Insurance Companies – Technical Officers
- Eco-jobs such as Wild life ecologist, Conservation scientist etc.,
- Central and State Civil Services
- Clinical data management-It is an emerging field which was hitherto unexplored. There is a lot of demand for Veterinary graduates in IT industry in clinical data management domain.
- Private practice
- There is a greater demand for veterinarians in foreign countries as farm consultant , scientists etc.,
- Scientists in ICAR and other government departments
- Researchers in Private, Central, State and International research institutions
- Private sector jobs such as Veterinary /Technical officer/Marketing executives in dairy, poultry, equine and pharmaceutical sectors
- Extension Agents in NGO’s
- Military Service – Remount Veterinary Corps in Indian army
- Bank – Technical Officers
- Services for Livestock Business such as Transport, Cold Storage, Quality Inspection and Certification etc.,
| CLIENTS’ EXPECTATIONS FROM VETERINARIANS |
- In the face of unprecedented competition, the veterinarian and his/her team must provide their patients and clients the best scope of medical and surgical care but also a variety of services and products. For some veterinarians, these services and products are not considered to be ‘ethical’ or part of their responsibility. However in the eyes of the owners, the veterinarian is the expert, so it is quite normal and ‘expected’ that he or she would fulfill these needs. The ‘animal doctor’ is expected to propose such services or products. However, it is well known that there is a potential cultural conflict. Most veterinarians will mention that they have not studied medicine and surgery to ‘sell dog food, or shampoos’. In such case, the barrier is the veterinarian, not the owner.
Expectations & needs
- There are several kinds of expectations. Those who are expressed or so-called ‘explicit’ and those who are not expressed by the customers or so-called ‘implicit’ expectations. It is quite important to know what are the client’s implicit expectations since by definition these will not be mentioned by people. A perfect example is the fact that people expect the personnel and staff in a veterinary clinic to have a ‘professional medical look’ (white or medical types of clothes), if it is not the case, people may be surprised or even upset, but they will not mention it. It is implicit for them. Veterinarians specifically need to have a good understanding of that category of expectations. Some classical implicit expectations of the consumers include:
- Availability (no wait, flexible hours, easy access & parking, sufficient stock, etc.)
- Patience (Clients expect their doctor to be patient with them, allow sufficient time for them)
- Explanatory (Answering the questions calmly, not avoiding them, clarify their doubts and explains even the minute details)
- Transparency (prices should be clearly marked; invoices should be itemized, etc.)
- Choice (various products and services, ‘freedom of choice’, etc.)
- Environment (comfortable, neat, clean, odourless, friendly, modern, etc.)
- Clarity of the offer (prices listed, estimations, badges, etc.)
- Services (various services adapted to their needs as pet owners)
- Various surveys have shown that what clients were looking for in a veterinarian was by order of importance his or her:
- kindness
- affordability
- availability
- patience to listen
- his or her competency
- approach
- Measuring client satisfaction in a practice can help maintain a more stable, satisfied client base. Satisfaction will often be a measure of client perception of quality. The highly satisfied client will feel they have received a high quality service, whereas the dissatisfied client will be disappointed by the quality of service.
- Client service is the ability to meet client requirements. Services are experienced, and veterinarians, as service providers, are as much in managing the client’s experience as in providing technical expertise.
- “Any business that wants to succeed must be aware of its customer’s requirements. Failure to do so is a missed opportunity to satisfy client needs and to maximize profits. Many practitioners are focused on the medical and technical issues. They do not realize that their services do not match necessarily what their clients expect and do not listen to them.
| AVENUES OF LIVESTOCK ENTREPRENEURSHIP |
- Livestock Farms
- The veterinarians can start their own livestock farms with their vast technical knowledge; they can infuse scientific management techniques in their own farms. In the WTO (World Trade Organisation) era, GMP (Good Manufacturing Practices) and SPS (Sanitory and Phytosanitory) measures are of great importance for export of livestock commodities, as the emphasis in international trade is on quality and food safety. If veterinarians start their own scientifically managed livestock enterprise, they can exploit this opportunity. Further, practicing proven scientific management techniques will improve productivity of animals that would lead to overall quantitative and qualitative improvement of livestock sector.
- Feed Manufacturer
- The veterinary graduates can start their own feed mill units for various livestock and poultry species. Commercial feed availability for various unconventional poultry species such as Quail, Emu, Ostrich, etc. are far less than the demand. Manufacturing feed for these species is a niche business as their energy requirement is different from the existing commercially available broiler or layer feed.
- Fodder Supplier
- The main constraint which hampers the growth of livestock production is the inadequacy of nutritious fodder. As there is more than 60% fodder deficit in India, veterinarians can combine together, purchase fertile land and produce quality fodder and supply them to the nearby livestock farmers. They can also start seed / fodder banks in the potential areas.
- Farm Equipments manufacturer / Dealer
- Number of farm equipments are needed for livestock farms. For example, in case of dairy farms, chaff cutter, milking machine, feeding manager, etc. are needed. Poultry farmers need debeaker, vaccinator, automatic feeder, waterer, etc. Demand for farm equipments increases with the wide adoptation of intensive livestock and poultry farming system. The veterinarians can either start on their own or they can act as dealer for these equipments.
- Dog breeder
- Dog breeding is an ever green field with potential opportunities in urban areas. Dogs with good pedigree record fetches good price and the veterinarians can readily exploit this opportunity. Combining dog breeding with veterinary consultancy services offer excellent earning opportunity.
- Hatchery
- Though starting a hatchery requires higher investment, it offers good return.
- Pet Animal / Large Animal/ Mobile Clinic:
- It is the widely practiced by the veterinarians which offer them good earnings in both rural as well as urban areas.
- Livestock products processor
- Value addition to the livestock products such as milk, egg, meat, and fish have huge profit potential. Value of the products get increased many folds during processing, and thereby provide excellent returns. Veterinarians can start milk parlour, where they can sell processed milk and milk products like flavoured milk, goa, ice cream, etc. or meat centre where fried chicken, chicken 65, mutton khima, etc. could be sold. Marketing of these value added products could be done in their own brand name and they can start chain of parlours / hotels later.
- Farm consultant
- Livestock farm consultant is a lucrative avenue. Veterinarians with skill and knowledge can earn well in specialized dairy farms, stud farms, breeder farms, hatchery, sheep / goat farms. After some years of experience in managing the farms, they can start their own farms independently or with partnerships.
- Contract Farming
- Contract farming is a emerging system where the livestock farmers are given all the inputs such as chicks/animals, feed, medicines, technical inputs, etc. Farmers have to rear the chicks/animals and the integrator will take care of the marketing activities. Veterinarians can join together and venture into contract farming. Being technical savvy would help them in getting loans, maintaining farm business and marketing the products.
- Leather Industry
- Leather industry is so far unexplored by the Veterinarians. It offers great profit potential. The skin and hide from animals are usually purchased by the intermediaries in the villages at a throw away prices and are sold to the processors at a huge margin. The processors add value to the raw skin and make products and export / sell them at a very high price. The veterinarians can perform the role of this intermediaries.
- Agents for by products utilization
- The livestock feed manufacturers and pharmaceuticals require several ingredients such as bone meal, fish meal, blood meal etc. which they are getting from the agents at contract basis. Here, veterinarians can make interventions. They can make a tie-up and could meet the requirements of feed manufacturers at a reasonable price and also can earn money.
- Veterinary Pharmaceutical Industry
- It is also a lucrative opportunity but needs huge investment. After working some years in the pharmaceutical industry and learning experience, veterinarians can initially start a small one with fewer drugs which can be expanded later to the needs of local farmers. From thereon, they can grow slowly.
| ESSENTIAL CRITERIA FOR DEVELOPMENT OF ENTREPRENEURSHIP IN LIVESTOCK SECTOR |
Entrepreneurship theory has been evolving over the last 20 years and is ever growing. It is defined as a verifiable and logically coherent formulation of relationships, or underlying principles that either explain entrepreneurship, predict entrepreneurial activity or provide normative guidance (prescribing the right action in particular circumstance). Entreprenuership is interdisciplinary and contains various approaches that would increase one’s understanding of it. One way to examine these theories is with a ‘schools of thought’ approach that divides entrepreneurship into specific activities. These activities may be within a ‘macro view or a micro view’, but all address the conceptual nature of entrepreneurship.
- Creativity:Creativity and innovation are often used to mean the same thing, but each has a unique connotation. Creativity is the ability to bring something new into existence. Ideas usually evolve through a creative process whereby imaginative people bring them into existence, nurture them, and develop them successfully. The creative process for an idea contains five stages – germination, preparation, incubation, illumination, and verification.
- Germination:The manner in which an idea is germinated is a mystery. Most ideas can be traced to an individual’s interest in or curiosity about a specific problem or area of study.
- Preparation:After germination, creative people start on a conscious search for answers. It may be a problem to solve – such as the determination of people like Bharat Ratna C. Subramaniam and Dr. M.S. Swaminathan to make India self sufficient in food and to help the Indian farmers resulted in Green Revolution. If it is an idea for a new product or service, then market research is the business equivalent.
- Incubation:Incubation is a stage of mulling it over while the subconscious intellect assumes control of the creative process and may take time depending upon the problem, individual, etc. This is a crucial aspect of creativity because when we consciously focus on a problem, we behave rationally to attempt to find systematic resolutions.
- Illumination:It is the fourth stage which occurs when the idea resurfaces as a realistic creation. It may be triggered by an opportune incident, as in the case of Alexander Flemming’s discovery of Penicillin. This stage is critical for entrepreneurs because ideas, by themselves, have little meaning unless and otherwise they are converted into reality. It is the recognition of idea as being feasible solution.
- Verification:It is a stage of development that refines knowledge into application. This is often tedious and requires perseverance by an individual committed to finding a way to harvest the practical results of his or her creation. An idea may be good and useful, but if it lacks applicability, it could not be executed.
- Innovation :Entrepreneurs innovate and is the specific instrument of entrepreneurship which differentiates them from others. It is the act that endows resources with a new capacity to create wealth and in fact creates a resource. Successful entrepreneurs, whoever they may be or whatever their aim may be, try to create value and to make a contribution. Still successful Entrepreneurs aim high and not content simply to improve on what already exists, or to modify it. They try to create new and different values and it is the most important function of an entrepreneur, according to Joseph Schumpter and is the core attribute of an entrepreneur. For an innovator, the market is never too saturated. The entire world progress based on innovation only.
| BASIC REQUIREMENTS FOR ENTREPRENEURIAL INITIATIVES IN LIVESTOCK AND ALLIED SECTOR |
Techno-Economic feasibility of the enterprises under different conditions
- A number of critical factors are important for new-venture assessment. One way to identify and evaluate them is with a checklist. In most cases, however, such a questionnaire approach is too general. The assessment must be tailor-made for each activity.
- A new venture goes through three specific phase: pre start-up, start-up, and post start-up. The pre start-up phase begins with an idea for the venture and ends when the doors are opened for business. The start-up phase commences with the initiation of sales activity and the delivery of products and services and ends when the business is firmly established and beyond short-term threats to survival. The post start-up phase lasts until the venture is terminated or the surviving organizational entity is no longer controlled by the entrepreneur.
- The pre start-up and start-up phases, are the critical segments for entrepreneurs. During these two phases, five factors are critical:
- The relative uniqueness of the venture,
- The relative investment size at start-up,
- The expected growth of sales and/or profits as the venture moves through its start-up phase,
- The availability of products during the pre start-up and start-up phases, and
- The availability of customers during the pre start-up and start-up phases.
New – venture idea checklist
- Basic feasibility of the venture
- Competitive advantages of the entrepreneur with reference to venture
- Customer interest in the product/service
- Production of the goods and services
- Marketing of the goods and services
- Staffing decisions in the venture
- Control of the venture
- Financing the venture
- Sustainability of the venture
Technical Feasibility
- The evaluation of a new-venture idea should start with identifying the technical requirements and the technical feasibility for producing a product or service that will satisfy the expectations of potential customers. The most important of these are:
- Functional design of the product and attractiveness in appearance.
- Flexibility, permitting ready modification of the external features of the product to meet the changing customer demands or technological and competitive changes. Adaptability to newer changes is an essential criterion for the success of the product.
- Quality of the ingredients from which the product is made.
- Reliability, ensuring performance as expected under normal operating conditions.
- Product safety, posing no potential dangers under normal operating conditions to the customers.
- Reasonable utility-an acceptable rate of obsolescence.
- Ease and low cost of maintenance.
- Standardization which meets the regional standards and which are good for the public health.
Types of Enterprises Different types of ventures in agri-business.
1. Farm Level Producers: At the individual family point, every family is to be treated as venture, to enhance the production by making best use of the technology, possessions and demand in the market.
2. Service Providers: For optimizing agriculture by every family business, there are diverse types of services requisite at the village level. These include the input borrowing and distribution, hiring of equipment like tractors, sprayers, seed drills, threshers, harvesters `dryers and scientific services such as setting up of irrigation amenities, weed curb, plant security, yielding, threshing, conveyance, warehouse, etc. related opportunities exist in the livestock husbandry sector for providing breeding, immunization, disease diagnostic and treatment services, apart from allocation of cattle feed, mineral combination, forage grains, etc.
3. Input Producers: There are many flourishing enterprises, which need critical inputs. a few such inputs which can be produced by the home entrepreneurs at the village level are biopesticides, soil amendments, biofertilizers, vermicompost, plants of diverse species of vegetables, fruits, ornamentals, root media for raising plants in pots, production of cattle feed concentrate, agricultural tools, irrigation accessories, mineral mixture and complete feed. There are good openings to support, fishery, sericulture and poultry as well, during sponsorship of critical service amenities in rural areas.
4. Processing and Marketing of Farm Produce: wellorganized management of post-production processes requires higher level of knowledge as well as investment. Such venture can be handled by People’s Organizations’, either in the form of cooperatives, service joint stock companies or societies. The most successful instances are the dairy cooperatives sugar cooperatives, and fruit growers’ cooperatives in lots of States. However, the success of such undertaking is exclusively dependent on the reliability and ability of the leaders involved. Such undertaking needs good specialized support for running the activities as a competitive trade and to contend well with other players in the market, mainly the retail traders and intermediates. Barriers of Entrepreneurship Development Entrepreneurship in agriculture is not only an opportunity but also a necessity for improving the production and productivity.
Though, the rate of achievement is extremely low in India, because of the following reason.
1. Most of the farmers, agriculture is largely a means of livelihood. In the lack of adequate information, capital, technology and connectivity with the market, it is difficult for the uneducated small owner to turn their farming into an enterprise.
2. Before promoting diverse services by self-employed people, there is a need to create consciousness among the farmers, who are the customers, about the benefits of these services.
3.For promotion of services, the present performance of providing free service by the Government organizations should be discontinued. In fact, lots of farmers, mainly the politically associated leaders are of the feeling that the government is accountable for providing extension and technical advisory services to the farmers. Though, over the years, the trustworthiness has eroded and the services of these organizations are not on hand to small farmers, particularly those living in distant areas. However, the concept of free service makes the farmers unwilling to avail of compensated services, offered by the local self-employed technicians.
4. The self-employed technicians need regular back up services in the form of technical and business information, contact with the marketing agencies, suppliers of critical inputs and equipment and research stations who are involved in the development of modern technologies.
5. There are several legal restrictions and obstacles, which come in the progress of agri-business, promoted by the People’s Organizations and Cooperatives. Private traders engaged in such business tend to ignore these rules and disturb the fair trade environment.
6. People’s Organizations often hesitate in taking the risk of making heavy investments and adoption of modern technologies, which in turn affect the profitability. With low profitability and outdated technologies, farmer members lose interest in their own enterprises as well as in that of their leaders.
10 Most Profitable Livestock Farming Business Ideas-
Since ancient times, livestock or farm animals have been a good source of income for human beings. And at present, livestock farming is undoubtedly a money-making business both as large-scale and small-scale. If you want to start a livestock production business then here are some of the most profitable livestock farming business ideas.
Since ancient times, livestock or farm animals have been a good source of income for human beings. And at present, livestock farming is undoubtedly a money-making business both as large-scale and small-scale. If you want to start a livestock production business then here are some of the most profitable livestock farming business ideas.
If you have little space at your backyard then you can start farming there or else you can acquire a space for rent. The only thing you need to keep in mind is select an animal that has good demand in the market.
Best Livestock Farming Business Ideas
Dairy Farming
Dairy farming is popular all over the world. Dairy farming is a great way for farmers to boost their income and access to more nutritious food for their families. While subsistence dairy farming gives not only fresh milk & a source of basic income, value-added products like yogurt & cheese, provide a higher source of revenue.
Goat Farming
Goat farming is one of the most profitable business livestock farming business. Goat gives us milk and meat. Goat farming is a low-investment & high-profit livestock farming business. They don’t need a big area for housing due to their small body size in comparison to other livestock animals. In addition, goat farming ensures quick and high ROI depending on the investment amount.
Crab Farming
Mud crabs are popular in the Asian countries like India, Bangladesh, Philippine, Thailand etc. These countries are the key producers of mud crabs. It must be noted that the product has huge international market demand. Also the flesh of mud crabs is appetizing. With very low capital investment, you can easily start and run a mud crab farming business.
Fish Farming
Fish farming is another money-making business for the agropreneurs who have ample water bodies. Nevertheless, you can also raise fishes on tanks. You can opt for different types of carp fishes, shrimp, catfish, prawn and salmon. While starting a fish farming business, it is important to do a market study to understand the local demand. These days, ornamental fish farming is also gaining popularity.
Pearl Farming
At present, cultured pearl industry is getting huge prominence. These cultured pearls make up almost 100 percent of the pearls sold nowadays. You can produce pearls artificially in a pearl farm. Pearl farming is a highly profitable livestock business, though it requires long-term planning.
Pig Farming
Another profitable livestock business idea is pig farming. More than 1 billion pigs are butchered every year worldwide. The largest pig exporting nations include the US, European Union & Canada. Majority of pigs are used for human food but its skin, fat & other materials are also used as clothing, cosmetics, processed foods ingredients and for medical use.
Quail Farming
Though quail is a small poultry bird but its farming is quite profitable for farmers. The benefits of quail farming are quick growth, early sex maturity, short generation interval & prolificacy in egg production. Also quail meat has less fat & fewer calories, making it an ideal food for health-conscious people. Quail eggs as well as meat are well-known for being rich source of vitamins, essential amino acids, phospholipids and unsaturated fatty acids. And all of these are essential for human physical & mental development.
Sheep Farming
Sheep farming is also a lucrative business for livestock farmers. One can raise sheep for its milk, meat, & fiber. But, you need to choose specific breeds depending on the agro-climatic condition of your region. Some of the important sheep producing countries include mainland China, Australia, India, Iran etc. Before starting sheep farming business, you must draft a clear business plan that should include financial costs & revenue.
Duck Farming
Last but not least is duck farming. There are several meat & egg productive duck breeds available all over the world. If you are planning to start a low-cost livestock farming business then you may consider duck farming. You can also raise ducks without water. As ducks are hardy birds, they don’t need extra care and management.
Poultry Farming
A person can start poultry farming for eggs as well as meat. In general, egg-producing hens are layers & meat-producing hens are broilers. As the demand for chicken meat is growing day-by-day, poultry farming is a profitable livestock business for farmers. You can easily start poultry farming on a small-scale or large-scale basis.
Entrepreneurship Development and Employment Generation (EDEG) Scheme
The Entrepreneurship Development and Employment Generation (EDEG) Scheme is formulated under the Sub-mission of National Livestock Mission (NLM). The National Livestock Mission is designated to cover all the activities required to ensure quantitative and qualitative improvement in livestock production and capacity building of all stake holders. Under this scheme, the Government is providing financial assistance to eligible entrepreneurs. In this article, we will look at the Entrepreneurship Development and Employment Generation (EDEG) in detail.
National Livestock Mission
The national livestock mission is formulated with the objective of sustainable development of the livestock sector, focusing on improving the availability of quality feed and fodder. The NLM has been formulated by subsuming and modifying seven centrally sponsored and seven Central Sector Schemes of Government of India.
Schemes Included under the National Livestock Mission
The following schemes are included under the national livestock mission:
Central Fodder Development Organisations
- Central Sheep Breeding Farm
- Central Poultry Development Organisations
- Integrated Development of Small Ruminants and Rabbits
- Piggery Development
- Poultry Venture Capital Fund
- Salvaging and rearing of male buffalo calves
Centrally Sponsored Scheme
- Centrally Sponsored Fodder and Feed Development Scheme
- Conservation of Threatened Breeds of Livestock
- Poultry Development
- The utilisation of Fallen Animals
- Livestock Insurance
- Establishment /modernisation of Rural Slaughterhouses, including mobile slaughter Plants
- Livestock extension and delivery services
Sub-Mission of National Livestock Mission
The National Livestock Mission is organised into the following four Sub-Missions:
Sub-Mission on Livestock Development
The mission on Livestock Development concerns the overall development of livestock species including poultry, other than Buffalo and cattle with a holistic approach.
Sub-Mission on Pig Development in North-Eastern Region
This mission will strive to forge synergies of research and development organisations through appropriate interventions for holistic development of pigs in the northeastern regions including health cover genetic improvement, and post-harvest operations.
Sub-Mission on Feed and Fodder Development
This mission especially focuses on increasing both the production and productivity of fodder and feed through the adoption of improved and appropriate technologies best suited to the specific agro-climatic region in both arable and non-arable areas.
SubMission on Skill Development, Technology Transfer and Extension
This mission will provide a platform to develop, adopt the technologies including frontline field demonstrations in collaboration with the farmers, researchers and extension workers wherever it is not possible to achieve this through existing arrangements.
Entrepreneurship Development and Employment Generation (EDEG)
The EDEG includes all credit cum subsidy linked activities earlier implemented through NABARD, viz., Poultry Venture Capital Fund (PVCF), Pig Development and Integrated Development of Small Ruminants and Rabbits (IDSRR).
Objective
The objective of the Entrepreneurship Development and Employment Generation (EDEG) is given below:
Poultry Venture Capital Fund (PVCF-EDEG)
- To encourage entrepreneurship in various poultry activities and give capacity building for employment opportunities
- To improve the production of poultry products and the productivity of processing units through technology up-gradation and also encourage the introduction of innovative technology.
- To encourage nurture of other poultry species like turkeys, ducks, and quails etc. which have good potential.
- Integrated Development of Small Ruminants and Rabbits (IDSRREDEG)
- Development of Sheep for Wool and Mutton
- Development of Goat for Meat and Milk
- Assistance for the Establishment of Goat Farms in Government Sector, NGO and Private
- Assistance for the Establishment of Rabbit Breeding Farms for Wool.
- Assistance for the Training in Sheep, Goat and Rabbit Production
Pig Development (Pig Development-EDEG)
- For encouraging the commercial rearing of pigs by adopting the scientific method and creation of infrastructure
- Production and supply of improved germplasm
- Organising stakeholders to popularise scientific practices
- Create a supply chain for the pork industry
- Encourage value addition for better income.
Salvaging of Male Buffalo Calves (SMBC-EDEG)
- For salvage and rear male buffalo calves to enhance survival rate,
- Increase availability of buffalo meat for exports and domestic markets,
- Enlarge raw material base for leather industry,
- Improve availability of by-products such as tallow, meat-cum-bone meal, hides, bio-fertiliser, brushes, combs and buttons, etc.,
- Improve India’s foreign exchange earnings through export of buffalo meat and leather products,
- Create avenues of economic gain from the genetic material which otherwise go waste by linking livestock farmers and meat- leather industry
- Enhance employment opportunities in rural areas.
Implementing Agency and Area of Operation
The national bank for the Agriculture and Rural Development (NABARD) will be the implementing agency for component-EDEG in all states and UTS throughout the country
Salient Features
Entrepreneurship Development and Employment Generation (EDEG) project is designed mainly for the entrepreneurship development and technology infusion wherein the basket of activities which are bankable are placed from which the eligible applicant can choose from.
Eligibility Criteria
The eligibility criteria for the Entrepreneurship Development and Employment Generation (EDEG) is listed as follows:
- Farmers
- Individual entrepreneurs
- NGOs
- Companies
- Cooperatives
- Groups of the organised and unorganised sector which includes Self-Help Groups (SHGs) and Joint Liability Groups (JLGs).
Pattern of Assistance
The eligible activities and indicative cost norms are given in the below document:
You can get the details of the eligible proportion of subsidy for various areas and various categories of beneficiaries from the document attached here:
Rate of interest
The rate of interest on the loan will be as per the RBI guidelines and declared policy of the concerned bank. The concerned bank may charge interest on the entire amount until the subsidy portions are received and from the date of the receipt of the subsidy, interest will be charged only on the effective bank loan portion (Bank loan minus subsidy).
Time Limit for Completion of Project
The time limit for completion of the project will be as envisaged under the project, subject to the maximum period of 12 months from the date of disbursement of the first instalment of the loan. The maximum period may be extended by three months by the financing bank in cases where justification provided by the applicant is found adequate.
Security Details
- Security for availing the loan will be as per the guidelines issued by the RBI from time to time.
- The beneficiary contribution of 10% will not be required for loans than Rs.1 lakh or any amount as specified in the RBI guidelines as revised from time to time.
- Kisan Credit Cards (KCC) can be used for availing loans under the scheme.
Repayment Period
Repayment period or grace period for the different activities will be as follows:
| Sl.No | EDEG Component | Repayment Period | Grace Period |
| 1 | Poultry Venture Capital Fund | 5 to 9 years | six months to 1 year |
| 2 | Integrated Development of Small Ruminants and Rabbit | Up to a maximum of nine months | Two Year |
| 3 | Pig Development | 5 to 6 years | One year |
| 4 | Salvaging of Male Buffalo Calves | 4 to 6 years | One year |
EDEG Application Procedure
The application procedure for Entrepreneurship Development and Employment Generation (EDEG) scheme is explained below:
Step 1: The entrepreneur will have to prepare a project as per the norms of Entrepreneurship Development and Employment Generation (EDEG) scheme and submit to the bank for sanction of the project.
Step 2: The bank will appraise the project as per the administrative approval issued by the DADF from time to time and if found eligible, the sanction of the total outlay excluding the margin as a bank loan.
Step 3: After sanctioning of the proposal by financing institution, they will upload the details as per the template prescribed in the EDGP portal within 30 days of sanction and block eligible subsidy amount.
Step 4: On successful upload and post validation, the bank will release the entire credit/first instalment.
- 1st instalment release /complete credit – 30 days from the date of 1st upload
- Submission to NABARD – 30 days from the date release of 1st instalment
Step 5: Project sanctioning committee of NABARD at head office will consider proposals uploaded by concerned financial institutions/banks in the portal and approve the subsidy cases of eligible applicants within one month of receipt of the proposal.
Release of Subsidy
The government of India will release funds in advance to NABARD to meet the subsidy claims submitted through EDEG online portal. Funds will be recouped after balance comes below a certain level in EDEG portal. NABARD will utilise the funds for providing a back-ended capital subsidy to eligible beneficiaries through financing banks as per their online subsidy claims.
Initiatives from the Government of India
Initiative’s by the government of India plays a bigger role in developing the Animal Husbandry sector to nurture new Entrepreneurs in the current scenario.
Flagship Initiatives from the Banner of Make in India, Startup India like Animal Husbandry challenges has let to visibility for recognition in Animal Husbandry Startups. The Department of Animal Husbandry, Ministry of Agriculture, and Farmers Welfare’s own initiative like the Kamdhenu Aaayog for improving the growth of the livestock industry in the country.
Another major initiative from the Ministry of Agriculture and Farmers welfare under Rashtriya Krishi Vikas Yojana like the RKVY RAFTAAR scheme which develops and empowers the entrepreneurship ecosystem in the country by building Hi-Performance Agri Startups through funding and Guiding them in a Structured learning environment.
Agribusiness Incubator…Key to challenges
To Enable and Empower the Country’s Startup Ecosystem building Technical Business Incubator is an essential step to empower existing Agri entrepreneur and nurturing budding Idea stage entrepreneurs.
One such aspiring and ambitious Incubator is the NIVEDI’s NaaVic Agribusiness Incubator which is powered by RKVY RAFTAAR scheme of GOI. It’s the only incubator in South India that caters to the need of Dairy Science, Veterinary services and Animal Husbandry. It empowers new and existing Agristartups in South India. The Flagship Program of Nivedi ‘s Naavic Incubator i.e NEO( Nurturing Entrepreneurs through Orientation) and NEST( Nurturing Entrepreneurs with sustainable technologies) has attracted nearly about 350 applications on Agri startups in our Cohorts for Funding. The type of Applications we received were from Idea Stage, MVP, and Commercialization based Startups. The selected startups undergo 2 months of Specialized Industry Oriented Training Program to nurture them with a specialized skill set. After that, the Best startups were scrutinized for Funding opportunities from 5 lakhs to 25 lakhs.
Infrastructure Support from NaaViC
Naavic Agribusiness Incubation Centre has the Best equipped Infrastructure in Animal Husbandry and Dairy science for Research & Development in whole south India.
1.Biosafety Laboratory 2 plus (BSL-2++): ICAR-NIVEDI offer fully-fledged BSL-2++ graded bio-safety lab to work with infectious and zoonotic microbes (bacteria, virus, and parasites) of animal origin in the country.
- National Livestock Serum Repository: NIVEDI has taken a prime position towards monitoring and surveillance of livestock diseases, this has been achieved with the exhaustive collection of animal serum samples from different parts of the country.
- Microbial Repository: NIVEDI has 1500+ various strains of Microbials which are known to cause infectious diseases in animals. This resourceful repository helps invalidation and remediation of animal diseases.
- Veterinary Disease informatics and analytical platforms: NIVEDI extends its extensive informatics tools and techniques in understanding, analyzing the data towards the welfare of animals and its health in the country.
- National Animal Health Information System: NIVEDI is fortified with Geo-location Based animal health Information System called ‘National Animal Disease Referral Expert System (NADRES)’ which is the first of its kind in the Country.
- Synergistic R&D Network: ICAR-NIVEDI with 31 collaborating units (animal disease monitoring and surveillance) spread across different states of India, is focused on research and development in animal disease epidemiology.
7.Laboratory Animal Facility: Institute also has small laboratory animals (mice, rabbit, guinea pigs) facility for conducting need-based animal experimentation as per the CPSEA norms/approval by the IAEC of the institute.
KEY SUGGESTION POINTS –
There should be a platform where different advisories and other initiatives for startups working in agriculture sector could converge in harnessing each other to achieve SDGs.
Ministry should provide incentives to encourage startups working in the area of energy generation from agri-wastes. There should be proper mechanism to nurture such startups.
Effective government intervention required to scale up startups in core sectors.
Enabling provisions for solving different problems encountered by entrepreneurs via proper Incubation policy for utilizing the network of incubators is the need of the hour.
There is a need for transformation from traditional livestock farming model to more interactive models where big data and decision making apps such as ICT apps, farm automation based on AI and machine learning and use of weather forecasting are integrated into the tools and implements used by farmers. We should find ways and means to apply these technologies especially in small farmer’s field.
Startups should be encouraged to promote commercialization of improved varieties seed developed by ICAR-IVRI. A policy for early access of varieties/ hybrids and pre-breeding lines to start-ups may be developed to encourage and facilitate them in competing with the existing seed giants.
Incentives can be given to those graduates who are interested to take up entrepreneurship in seed sector, so that their professionalism and updated knowledge are best utilized. A mechanism may be developed which may provide easy linkage with the university/institutes and hand holding for such entrepreneurs. Such motivated individuals can be nurtured through ABI network.
To encourage startups in Feed production area, special fund can be created for startups in scaling up of business. A mechanism can be devised to rebate the licensee fees or royalty to enable startups for acquiring Feeds and planting materials owned and IPR protected by public sector research institutes.
For effective transfer of sustainable input technologies, a policy could be framed to incentivize those startups offering innovative solutions for low-cost biofertilizers and bio-pesticides benefitting farmers.
The startup ecosystem should be nurtured to facilitate the exchange of information and knowledge between farmers and community groups, research institutes and other intermediary organizations or service providers. Considering the broad spectrum of topics beyond agricultural production technologies, there should be professional management in the ABIs to cater varied needs. Accordingly, there is a need to have professional incubation managers, who have the desired expertise of enterprise management in varied agricultural sectors.
ICTs have to be integrated into the delivery of information mechanism to realize its potential to strengthen the linkage between research, extension and farmers. Appropriate capacity building is necessary for formulating potential business ventures for diffusion of innovative solutions and advisory services in agriculture.
More cohesion and collaboration is required in the farm advisory/helpline services offered by different central /state and private agencies to ensure their reach to remotely located farmers. National level ranking framework for extension advisory services is required for ensuring quality advisory messages. Self-sustaining model should be developed in such a way that farmers learn to appreciate/acknowledge the value of farm advisory services and contribute towards cost sharing of services rendered.
A mechanism may be developed involving ICAR Institutes/SAUs for developing the content and ensuring technically sound quality of the content being broadcast by DD Kisan. Regional centres of DD Kisan may also be formed for broadcasting such programmes in vernacular language.
Gathering and storing valuable scientific and advisory service data in the current digital environment comes with a huge responsibility and requires effective data management and protection. This would require creating appropriate awareness on IT Act/Rules/Notifications, Information Technology Security Policy, Legal Authentication of E- records, Retention of E-records as per law.
Development of improved breeds in animals, poultry and fisheries should have more focus in R&D and regular updatable database on quality breed-able animal should be developed.
Attention should be given for goat value chain with proper pricing mechanism in case of its meat and milk. Regulatory mechanism should be re-framed so that the undue delay in obtaining licence for animal vaccines may be avoided which may inhibit startups in the commercialization and scaling.
Restriction in age for the slaughter of animals limits the farmers to dispose nonproductive animals causing loss in profit. The farmer may be allowed to decide in this matter based on their evaluation and preference on the productivity of animals.
Regular business interface with business counselors at institute level could be organized to encourage entrepreneurial skills and knowledge among the graduating students, farmers and other key stakeholders in the area of value addition of meat and meat products, poultry and fisheries. There is also a need for regular interface meeting with scientist-farmer-industry to identify weakness and solving issues in the value chain. Stakeholders other than scientists should take the lead in such interface meeting.
Treasure of scientific and technical archival inter-temporal and spatial data relating to agriculture domains are existing in various public sector institutions. All these available data (especially archival non-digitized data) should be brought into digital domain in a usable/standard formats.
A policy need to be framed/restructured for easy sharing/accessibility of such data along with the new startups/entrepreneurs who can provide innovative solutions to various problems in farm sectors using advanced Information Technology tools.
Presently, the application of Block Chain Technology, AI and IoT in agriculture are mostly at proof of concept stage or small scale pilots; and require not only technological scalability but also social scalability (the number and type of users). Therefore, there is a need to create an enabling ecosystem through appropriate policies and investments for implementation of these technologies. Incentives mechanism could be strengthened for those entrepreneurs who can scale up such technologies to address various problems in farm sectors in a transparent, efficient, competitive and sustainable manner.
As AI, automation, block chain, and digital solutions emerge as the future drivers of agriculture growth, capacity building and skill development is critical to ensure that these technologies permeate to the stakeholders at various levels. A Center of Excellence on digital futuristic technologies may be established that would network with various academia, universities and private sector across the globe and encourage collaborative research programs/innovation and provide experiential learning opportunities to students.
There is a crucial need to encourage startups for transforming the agriculture sector of the country by linking farmers and producers to the markets, new product development, value addition in agriculture and horticulture produce, efficient processing for reducing wastages and creating effective supply chain models. In order to increase success quotient of the startups and enterprises, strengthening and opening up of new incubators in agriculture food processing sector to provide backup technical support is of utmost importance for accelerating, nurturing and investing in innovative early stage startups.
There are many agencies which support and facilitate idea-stage enterprises using latest technologies and innovations specifically in food processing and post-harvest management sector in India such as, Upaya Social Ventures, Angel Investors, Food and Agri Value Chain Funds: Orkla Foods Fund, SEAF India Agribusiness International Fund, Rabo Equity Advisors, Omnivore Capital, Aspada Investments, Allfresh Proterra Investment Partners, Motilal Oswal Agri Fund, Parag Foods Standard Chartered PE etc. To create awareness about the startup funding sources in the country, a platform could be established that will enlist all the avenues available for the startups in this sector.
The academia and startups linkage is necessary for reducing the gap between scientific research and its translation into marketable product and processes. There is also an essential role of established industry in the food sector for a resilient startup ecosystem and widening the impact of new innovative technologies. There is a need to institutionalize a collaborative mechanism which may provide an opportunity for regular interactions between these stakeholders and discuss ground challenges through sharing of experiences.
Recognize that the young entrepreneurs and startups appreciate and value the worth of their potential IP assets. Startups need to be provided with professional qualified IP counselling to help identify needs and guide solutions from the early stage.
The IP strategy should be integrated in the business plan and related to the specific goals of the company, its size and business profile.
The public sector needs to increase its R&D spending, especially in risk taking research projects to encourage innovation for developing and commercialization of technologies which may enhance the performance of agriculture. Technology commercialization strategy should be inclusive where all stakeholders can be on board. Efforts needed to be taken up to address IPR elements such as Trademarks, GI, Trade Secrets, and Plant Varieties in agriculture sector.
More awareness and utilization of provision of loan guarantee scheme/equity participation to cover the risk of genuine failures in commercialization – based on IPRs as mortgage able assets given in section 2.16.3 of National IP Policy.
There should be a strategy and policy framework to bring in funds/capital from general venture capitalists, MNCs and other investors to scale up startups focusing in agriculture and food sector.
ICAR institutes and SAUs should allow their scientists and faculty to give their expertise service to startups, so that full benefits of the knowledge built up in the public research system can be utilized and harnessed.
The technology on which idea is based should be of high level of differentiation. Therefore, startups focusing on the applications of robotics, IoT, AI, Breeding, etc. having high potential for transformative change should be encouraged with incentives.
More focus on skill development and entrepreneurship training institute in the field of agriculture sector is required
https://www.manage.gov.in/publications/discussion%20papers/14_MANAGE_Discussion%20paper.pdf
source-On Request.
