introduction
TRANSCRIPT
1
“Cooperative is a form of the organization where in persons voluntarily
associate together as human being on the basis of equality for the promotion of
the economic interests of themselves’.
Hubert Calvert
A co-operative is a business organization owned and operated by a group of
individuals for their mutual benefit. Cooperatives may be defined as autonomous
associations of persons united voluntarily to meet their common economic, social, and
cultural needs and aspirations through jointly owned and democratically controlled
enterprises. A cooperative may also be defined as a business owned and controlled
equally by the people who use its services or by the people who work there.
Cooperative enterprises are the focus of study in the field of cooperative economics
(www.pbco-operative.gov.in).
The co-operative movement has been necessitated to protect the interests of
the weaker sections of the society. The primary objective of this movement is “how to
protect the economically weaker sections of society”. In all forms of organizations be it a
sole trade, partnership or joint stock Company, the primary motive is to increase profits.
The businessmen try to promote his interest through all possible means including
exploitation of consumers. The cooperative form of organization is a democratic set up
run by its members for serving the interest of them. It is self help through mutual help.
The philosophy behind cooperative movement is All for One and One for All
(www.pbco-operative.gov.in)
“A society which has its objective: the promotion of economic interests of its
members in accordance with cooperative principle”.
The Indian cooperative societies Act, 1912 (Section 14
Thus, a co-operative society can be described as a voluntary association started
established to provide services to members.
2
Cooperative Societies Act, 1912
As per section 6 of the Co-operative Societies Act, 1912, any ten persons who are
competent to enter into contract and who wish to form a cooperative society which
make an application to the Registrar of cooperative societies of the state, wherein they
propose to establish the cooperative society. The society is managed by the managing
committee. The members of which are elected annually at the general meeting of the
society. Each registered society is required to frame its own by-laws, which have got to
be registered with the Registrar of cooperative societies. Any change in the bye-laws,
which have got to be registered with the registrar of co-operative societies. Any change
in the by-laws will be effective only if it has been approved by the registrar of the
cooperative societies. From the liability point of view, the cooperative societies may be
of two types:
a.) Limited liability societies: The liability of the members of a limited liability society
is limited. In the event of loss the members cannot be made liable to pay more than
the nominal values of shares held by them. No member other than the registered
society can owe more than 20 percent of the shares of the society or the values of
shares should not increase more than Rs. 1000.
b.) Unlimited liability societies: The liabilities of the members will be unlimited if the
object of the society is to raise funds in order to lend money to its members or
where the majority of the members are creditors of the society.
Co-operative societies Act 2 of 1912: A new Act was passed (in 1932) to
make an improvement over the Act of 1907; the purpose of this Act was to facilitate the
formation of cooperative societies for the promotion of thrift and self help amongst
agriculturists, artisans and persons of limited means. All types of societies could be
registered under this Act. The societies were to transfer one fourth of its annual profits
towards a reserve fund. It could spend 10 percent of the profits for the welfare of
members (www.pbco-coperative.gov.in)
3
Co-operatives are divided into three levels:
Tehsil society: - co-operative marketing society.
District society: - District whole sale society.
State society:- Federation
The Punjab Markfed registered with the state level Federation (the Punjab co-
operative supply and marketing federation). Punjab Markfed is a marketing federation of
over three thousand societies representing the interests of over a million farmers in the
State of Punjab,
MARKFED
Punjab farmers, under the banner of the cooperative movement organized him to
form federal credit structure with primary societies at village level, control cooperative
bank at district level and an apex bank at the state level to coordinate their functions.
The village credit societies were reorganized to become service cooperatives.
A cooperative marketing society was set up in each regulated market in the state
with distinct market society at each district head quarters. In the chain of this set up the
apex institution, The Punjab State Cooperative Supply and Marketing Federation came
into being in the September of 1954 with 13 members, a share capital Rs.54000 and
three employees, popularly known as Markfed. It is an important milestone in the history
of the Indian cooperatives; which is serving millions and is partner in their progress and
prospers.
Ingredients of Markfed:
Its cooperative structure,
Govt. support,
Progressive policies,
Innovative plans and
Dedicated personnel at managerial and field level.
4
The usage of state of the art technology/methodology and cooperative philosophy
has further helped in its progress. Markfed continuously motivates the farmers to adopt
innovative strategies in production and marketing, which in turn, has resulted in creating
a substantial base for production and marketing of value added agro food products,
both for domestic and foreign markets while meeting the highest standards of quality
and safety. Markfed is not a totally commercial organization. It considers its social
responsibilities also. Free service rendered to the farmers to help them obtain optimum
from chemical fertilizers and quantity/quality of water used.
Markfed has suffered losses in the past, but with proper financial management,
inventory control, project planning and with improved system of management and
modernization of marketing of manufactured items, Markfed started generating profits
since 1985-86 that has amply improved its dwelling financial position.
Markfed cooperative philosophy which involves development based on mutual help,
justice and equality, service above profit, democratic set up and shared prosperity
makes it a true friend of Punjab’s farmers. Employing this principle of brotherhood,
Markfed has emerged as a significant contributor to various socio economic
development programs. Markfed’s success is the true reflection of the spirit and
dynamism of the people it represents: the people of Punjab.
Markfed began its operations in 1954 with 13 members and a share capital of 6,000
USD. Today, it has grown to become the largest marketing co-operative in Asia with an
annual business turnover of over Rs. 10671 Crores with nearly 2,710 employees and 20
industrial units.
At present, about 3069 societies are its members. Markfed has emerged as a very
solid and stable organization committed to the service of the farmer community of the
State of Punjab.
Markfed has been awarded National Productivity Awards in various fields like co-
operative marketing activities, food processing, cattle feed production etc., to name a
few.
5
Several innovative incentive schemes have been introduced for the benefit of the
farmers and the member co-operative societies. Markfed has also introduced an
insurance scheme which provides compensation in case of accidental death or
permanent disablement of its farmer members.
Markfed contributes to research and development through the Punjab
Agricultural University, Ludhiana (Punjab). It also sponsors the weather forecast on
India’s National TV channel telecast for the benefit of the farmers.
Markfed has been regularly distributing its profits as dividend to its members,
contributing to co-operative development and the Common Good Fund. A fair amount is
also re-invested in the setting up of new projects, modernization and diversification of
existing plants.
Markfed is also looking for collaboration, technical know-how, high-tech
processes, joint ventures, domestic and export oriented units with buy-back
arrangements in the international market in all associated fields of interest.The sales
turnover and the profit/loss during the last 3 years have been as follows:
(www.markfedPunjab.com)
Table 1.1
Sales Turnover
(Figures in. Crore)
Financial Year Sales Turnover Profit (Actual)
2006-07 7957 8.57
2007-08 10671 13.44
2008-09 14156 12.02
(www.markfedpunjab.com)
6
Table 1.2
The detail of Business Turnover
(www.markfedpunjab.com)
Fig 1.1
Its shows the Business Turnover
2006-07 2007-08 2008-09 0
2000
4000
6000
8000
10000
12000
14000
16000
WheatPaddyFertilizerCotton CellPlantsOverheadsTotal
Key Strengths
7
Business
Activity
2006-07 2007-08 2008-09
Wheat 3099 3964 6520
Paddy 3593 4920 5613
Fertilizer 563 986 1026
Cotton Cell 100 179 234
Plants 522 543 689
Overheads 80 79 74
Total 7957 10671 14156
Asia’s largest marketing cooperative.
Punjab Markfed is a marketing federation of over three thousand societies.
With a turnover of over Rs. 10671 Crores, Markfed has won recognition and
many awards from the Government of India in various fields of excellence.
Representing the interests of over a million farmers in the State of Punjab,
(India).
VANASPATI & ALLIED INDUSTRIES KHANNA
MARKFED Vanaspati & allied industries (MVAI) Khanna is now a vast vegetable
oil complex which was initially registered as a co-operative solvent oil mills limited,
Khanna on 28.02.1965 as on oil mills and solvent extraction plant. Subsequently, it was
merged with MARKFED with effect of 1.1.1971. A Vanaspati unit of 50 MT/Day capacity
under license from the Govt. of India was added to it and commissioned on
25.12.1971.The Vanaspati plant capacity has been doubled 200 TPD and wit this
equipment production of 125 TPD can be achieved.
It promotes oil seed farming and to provide cooking medium to rural & urban
marketing, MVAI Khanna produces range of Edible refined oils & Vanaspati including
Cotton Seed, Sun Flower, Mustard, Ground Nut and Soybean Oils. The unit also
manufactures Kachi Ghani & Paki Ghani Mustard Oils. The multiple products viz
Vanaspati and Refined oils are produced in 15 Kg/Ltr, 10 Ltr, 5 Ltr, 2 Ltr, 1Ltr,1/2 Ltr
packs. For better logistics/marketing, the plant out sources some oils.
Table 1.3
Details of production of Vanaspati and oils
(www.markfedpunjab.com)
EDIBLE OIL
8
Vanaspati & Oil ACTUAL
2006-07
ACTUAL
2007-08
ACTUAL
2008-09
Sale (in KL) 19635 19297 22511
In India, Mustard / rapeseed is produced in states of Rajasthan, Uttar Pradesh,
Haryana, Punjab, Gujarat, Madhya Pradesh, Jammu and Kashmir, West Bengal,
Punjab, Assam, Bihar, Himachal Pradesh & Orissa
Rajasthan and Uttar Pradesh account for majority share, contributing to over 50
percent of the total Indian produce that stands at an average of 5 million tons.
These areas also have maximum area under cultivation for this crop.
India’s oilseeds processing sector is made up of the three groups viz Ghanis,
solvent extractors and oil refiners engaged separately.
Edible oils constitute an important component of Indian households’ expenditure
on food. According to NSS 60th Round (January-June 2004), average monthly
per capita consumption expenditure (MPCE) of edible oil in food was 8.2 percent
in rural India, and 8.2 percent in urban India. The share of edible oil has
increased in successive NSSO surveys.
According to the Second Advance Estimates released by the Ministry of
Agriculture on February 5, 2007, total oilseeds production during 2006-07 is
expected at 23.62 million tones (mt), representing a decline of 15.6 percent over
2005-06. The decline in oilseeds production is due to lower output of rapeseed,
groundnut and castor seed.
(www.tradeindia.com/manufacturers/indianmanufacturers/mustard-oil.html)
Oilseeds Sector in India: Size
India is one of the world’s largest edible oil economies with 15,000 oil mills, 689
solvent extraction units, and 251 Vanaspati plants and over 1,000 refineries
employing more than one million people. The total market size is at Rs. 600,000
Mln. and import export trade is worth Rs.130, 000 Mln.
India being deficient in oils has to import 40 percent of its consumption
requirements. With an annual consumption of about 11 Mln Tones’, the per
capita consumption is at 11.50 Kgs, which is very low compared to world average
of 20 Kgs. China is currently at 17 kg.
9
India is also a leading producer of oilseeds, contributing 8-10 percent of world
oilseed production. India is estimated to account for around 6 percent of the
world’s production of edible oils. Though it has the largest cultivated area under
oilseeds in the world), crop yields tantamount to only 50-60 percent of the world’s
average.
India is the fifth largest producer of oilseeds in the world, behind US, China,
Brazil, and Argentina.
Three oilseeds - Groundnut, Soybean and Rapeseed/ Mustard - together account
for over 80 per cent of aggregate cultivated oilseeds output. Mustard seed alone
contributes Rs.120, 000 Mln. turnover out of Rs.600, 000 Mln. oilseed based
Sector domestic turnover. Cottonseed, Copra and other oil-bearing material too
contribute to domestic vegetable oil pool.
Currently, India accounts for 7.0 percent of world oilseeds output; 7.0 percent of
world oil meal production; 6.0 percent of world oil meal export; 6.0 percent of
world veg. oil production; 14 percent of world veg. oil import; and 10 percent of
the world edible oil consumption.
With steady growth in population and personal income, Indian per capita
consumption of edible oil has been growing steadily. However, oilseeds output
and in turn, vegetable oil production have been trailing consumption growth,
necessitating imports to meet supply shortfall.
(http://www.tradeindia.com/manufacturers/indianmanufacturers/mustard-oil.html).
Table 1.4
Oilseeds Production (2001-02 to 2005-06)(Qty in million tonnes)
Major oilseeds 01-02 02-03 03-04 04-05 05-06 06-07*Groundnut 7 4.1 8.1 6.8 8 4.4Rape/Mustard 5.1 3.9 6.3 7.6 8.1 7.6Soybean 6 4.7 7.8 6.9 8.3 8.7Other Six 2.6 2.1 3 3.1 3.6 2.9Sub-Total 20.7 14.8 25.2 24.4 28 23.6
Source: Rabo BankTable 1.5
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Market Potential: Edible Oil Demand Projection
2004 2010 2015
Total Demand (Mln. Tones) 10.9 15.6 21.3
Total Area under Oilseeds (Mln.
Hectares) 23.4 28 32
Yield (Tones/hectare) 1.07 1.2 1.4
Production of Oilseeds (Mln. tones) 25.1 33.6 44.8
Domestic supply of edible oils (Mln.
tones) 7 10.1 13.4
Total edible oil imports - (Mln. tones) 4.3 5.9 8.3
Imports as share of demand
39.40
percent
38.10
percent
39.50
percent
Source: Rabo Bank
India will continue dependence on imports to the extent of 40 percent of its
consumption requirements. The improvement in yields and the increase in area under
cultivation will ensure that the domestic oilseed production is sufficient to meet 60
percent of consumption requirements.
MUSTARD OIL
The term mustard oil is used for three different oils that are made from mustard
seeds:
A fatty vegetable oil resulting from pressing the seeds,
An essential oil resulting from grinding the seeds, mixing them with water, and
extracting the resulting volatile oil by distillation.
An oil made by infusing mustard seed extract into another vegetable oil, such as
soybean oil
11
Mustard oil is versatile oil that can be used for both therapeutic uses and culinary
applications. As one of the more common types of seed found in the Mediterranean,
mustard seeds produce an oil that is both aromatic and soothing to the skin. Mustard oil
also lends itself well to infusion with other herbs and spices, making it possible to
produce a number of oils that are ideal for cold dressings as well as cooking.
When it comes to the use of oils as a soothing topical agent, mustard oil is
considered to be helpful with the pain and discomfort associated with arthritis. Along
with leaving relatively little residue, mustard oil provides a pleasant aroma that may also
appeal to the user of the oil. The use of mustard oil as an ointment for stiff joints has a
long history, and is still recommended by persons who prefer to use natural agents to
treat various health ailments.
In cooking, mustard oil works differently from most other oils. With mustard oil, it is
important to allow the oil to reach the smoking point before using the compound in stir-
fry and other dishes that are prepared on a stovetop. Mustard oil that is allowed to reach
the temperature necessary for smoking will actually achieve a smoother mustard flavor
that will be very appealing.
Storage of containers of mustard oil is not difficult. As long as the container
remains unopened, the mustard oil can be stored in a cabinet at room temperature.
Once opened, the container should be kept in the refrigerator. Using this method, it is
possible to keep mustard oil fresh and usable for several months.
Mustard oil is not commonly found in supermarkets, although the oil is beginning
to be carried by chains that are adding lines of organic vegetables and a wider range of
ethnic food choices. If local supermarkets do not have mustard oil, it is relatively easy to
purchase the product at Indian or Mid-Eastern grocery stores.
(http://en.wikipedia.org/wiki/Mustard_oil).
12
Income target of mustard oil
The government is increasing its focus on the edible oil industry, given that it has
the second largest import bill after crude petroleum. The supported price of mustard
seed, which was Rs 11,000 per MT in 2001, was increased to Rs 17,250 per MT by
2006. Consequently, mustard seed cultivation also increased from 5 MMT to 7.0 MMT
in 2006. The main emphasis of the government is on reducing the import bill, and this
step has helped to a certain extent.
Indian market for Rapeseed/Mustard Oil
India occupies 3rd position in the list of rapeseed / mustard producing countries.
India also ranks as the third largest producer of mustard/ rape oil in the world.
The entire Mustard oil production is consumed domestically.
The demand comes mainly from eastern and northern belts.
Two basic types of mustard oil are traded in the market - viz. Kachi Ghani and
Pakki Ghani (Expeller Grade Mustard Oil).
Rapeseed/Mustard is traded in all major Indian commodity exchanges viz.
National Commodity & Derivatives Exchange Ltd, Multi Commodity Exchange of
India Ltd, Multi Commodity Exchange of India ltd and National Board of Trade,
Indore.
MAJOR PLAYERS
Edible Oils
National Dairy Development Board (Anand)
ITC Agro-Tech (Secunderabad)
Marico Industries (Mumbai)
Ahmed Mills (Mumbai)
13
Vanaspathi
Hindustan Lever (Mumbai)
Wipro (Bangalore)
Rasoi (Calcutta)
Avi Industries (Mumbai)
SOHNA MUSTARD OIL KACHI GHANI
Kachi Ghani sohna Brand Mustard oil has already reached the market of middle
cost and Canada and is a highly sought after brand in the domestic market. MARKFED
procures mustard seed and sunflower to process them in its Oil complexes at Khanna.
Company manufacture and export a range of quality kachi ghani mustard oil that
has more oxidants and vitamins than any other normal oil. It is very helpful in preventing
early ageing and is cholesterol free. This kachi ghani mustard oil is also widely used for
cooking foods. We offer our range of kgm oil in different sizes as per our clients’
requirement. The packing of Sohna kachi ghani mustard oil follow as: 15kg Tin, 15 ltr
Tin, 5 ltr plastic packing, 2ltr plastic packing, 2 ltr Bottle, 1 ltr Bottle, 1ltr Bottle, ½ ltr
Bottle,250 ml Bottle. Khanna plant used to pack 15 to 20 tonnes in day.
(www.markfedpunjab.com).
Preferences for Kachi Ghani Mustard oil
100 percent naturally processed
Contains no synthetic or chemical additives
Least absorbed in food
Makes food tastier & Healthier
One of the India’s largest selling mustard oil Brands.
14
PROCESSING OF MUSTARD OIL KACHI GHANI
Selection of seeds: seeds are selected meticulously for the production of the best
quality of edible oil.
Kachi Ghani or Crude oil: The seeds are cleaned and loaded through conveyors
into the crushers under controlled temperature to maintain pungency.
PRODUCT CHARACTERISTICS
Visual Clear free from Sediments,
Suspended matter, Separated matter.
Specific gravity at 30 degree cell 0.907 to 0.910
Iodine value 96 to 112
Unsaponifiable matter 1.20 percent max
Percentage of natural essential oils 0.25 to 0.60
Acid value 1.5 max
Colour 0.25 max
Moisture and insoluble matter Added coloring matter
Mineral oil test Negative
Taste & flavor Characteristic
It is beneficial in many ways but still banned for internal consumption in some countries.
Mustard oil is considered to be oil that has low saturated fat as compared to
other cooking oils. This pungent tasting oil is mostly used for cooking in parts of Gujarat,
Bengal, Assam, Bihar, Orissa, Haryana and some other parts of India. It basically
consists of fatty acid, oleic acid, erotic acid and linoleic acid. It has antioxidant and
cholesterol reducing properties. It is also loaded with essential vitamins. Though this oil
is nutty tasting it is good for heart and also has many other benefits.
Not only for cooking food but also this oil has importance in North-Indian
tradition. It is used for lighting 'diyas' during Diwali. It is also used in the ceremony called
15
'Mayian'. It is performed one day before the wedding at both bride's and bridegroom's
place. Read on to know more about how mustard oil can prove beneficial in daily life.
BENEFITS OF MUSTARD OIL
Helps to stay away form coronary heart diseases
It can be used as an antibacterial oil
Helps to detoxify human body
Helps to reduce hair fall through improved blood circulation if it is massaged on
scalp
Stimulates digestion, circulation and excretory system
It can be used as an irritant for stimulating sensation in senseless organs and
muscles. Irritants are also useful for driving up muscles.
Helps preventing fungal growth, thus it can be used as anti-fungal
Helps in winter for making body warm and generating mild irritating effect through
massage on body
Helps making immune system strong
Useful for treating cough and cold
Protects teeth from germs if rubbed on gums and make gums strong
Organic mustard oil helps preventing cancer and is also helpful for slowing down
the ageing process
Helps stimulating sweat glands and helps lowering body temperature
It consist of fatty acids like omega alpha 3 and omega alpha 6 which have
beneficial properties (what beneficial properties)
16
Though mustard oil provides many benefits it is banned in some countries. It is only
sold for external use in the countries like United States, Canada and European Union as
it is considered to be harmful for consumption in these countries. It is being used in
India past so many years and also has a niche in rich Indian culture. But its side effects
have not been observed yet in India. It still has and will have a special place in future for
cooking purpose in kitchens of North India.
(www.indiaparenting.com/nutrition/data/nutrition).
GENESIS
MARKFED is a federation of 3069 (2903 PACS and 166 CMS) member
cooperative societies, directly representing the interests of over one million farmers.
MARKFED’S success is the true reflection of the spirit and dynamism of the people it
represents: the people of Punjab. In the September of 1954, what began with 13
members, a share capital of Rs54, 000/-, three employees and one bicycle has today
become Asia’s Largest Marketing Cooperative, MARKFED.
Today, this organization employs more than 2700 persons, has a network
manufacturing units, service centers & offices crisscrossing Punjab and its operations
spread around the world. the factors that have made this Rs. 8700 cores giant a
magnificent success is its cooperative structure, enlightened management, progressive
plans & policies , path-breaking innovations, a highly dedicated workforce and supreme
commitment to the objectives of the cooperative Markfed’s success is the true reflection
of the spirit and dynamism of the people it represents: the peoples.
FUNCTIONS
Markfed undertakes various activities ranging from supply of agri-inputs to the
procurement and storage of the grains. Besides, Markfed has processing units for the
production of agro-chemicals – Cattle-feed, Vanaspati oil and other cooking medium
and canned products.
17
SERVICES
Markfed has set up a state of art laboratory of international standards at Ropar
for food grain testing, which is being up-grated to Food Testing Lab by investing Rs.4.50
crores. Markfed has set up multi utility Cold storage cum pack House at Ludhiana at n
estimated cost of Rs.7.35 crores for fresh fruit & vegetables. Markfed has 19 Agro
service centers. Markfed has one mobile soil testing laboratory. Markfed has 8 soil
testing laboratories at Amritsar, Bhatinda, Ropar, Hoshiarpur, Kapurthala, Nihal
Singhwala, Sangrur and Malout.
TEAM AND MANPOWER
MARKFED Punjab is Asia’s largest marketing co-operative, it exists both
because of and for the farmers of this vibrant state. Our bottom line is our people- the
farmers. Value, for us, is the improved quality of life of millions of farmer families of
Punjab. They created history by transforming the green fields into golden fields through
the green revolution. With our support, we feel, they will also transform India into the
world’s leading agri-business player. In this Endeavour we will support them with our
total might and ensure that their future is brighter by way of being a part of our
multifarious activities. (www.markfedpunjab.com).
OPERATIONS
The operations can be divided into two parts i.e. national and international.
1.1. DOMESTIC OPERATIONS: Further these operations can be divided as:
1.1.1 Procurement & Trading operations:
Markfed, being a State Government procuring agency is engaged in procurement of
paddy under support price operation of Govt. of India. The paddy stocks are got milled
from the private rice mills allotted by the Director , Food & Supplies, Punjab and the
resultant rice is delivered to FCI in central pool. Markfed procured 24.25 lac MTs paddy
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during crop 2007-08. Paddy stocks milled and resultant rice delivered to FCI in Markfed
account.
1.1.2 Procurement and distribution of fertilizer in the state through cooperative:
Markfed has been entrusted distribution of fertilizers since 1967 by the state Govt.
against ‘B’ component. The supplies were being made to the farmers at the right time in
required quantity and good quality which had ultimately helped in increasing the
agricultural production of the state. Markfed distributes fertilizers through more than
3500 PACS covering the demand of the farmers at village level i.e. at their door-step.
The private trade on the country is mainly operating in the urban areas and from limited
points. In order to ensure regular supply of fertilizers to the cooperative in the state,
Markfed maintains buffer stocks and incur heavy expenditure on interest, storage etc.
so that the fertilizer is available in time to the farmers. The total distribution of fertilizers
and agrochemicals were being made to the cooperative through Markfed 1987.
A) PROCUREMENT: Procurement is one of the main activities of Markfed. It procures
wheat, paddy, Cotton, oil-seeds like mustard, sunflower at its own and on
behalf of Govt. of India through FCI / NAFED as part of Minimum Support Price (MSP)
policy / Price Support Scheme. The food-grains business comprises around 92 percent
of the sales turn-over of the Markfed
B) PADDY & RICE: Markfed plays a vital role in paddy procurement in the state. The
paddy milling for the crop year 2007-08 has been completed. The year wise details of
paddy procured by Markfed are as under:
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Table 1.6
Details of Paddy Procured by Markfed
Year Budgeted Procurement Milling(Financial
Year) percent
2006-07 24.65 lac MT 21.78 lac MT 87.94
2007-08 23.00 lac MT 24.25 lac MT 85.29
2008-09 24.55 lac MT 27.74 lac MT 68.26
(www.markfedpunjab.com)
Markfed has 9 rice mills with 44-ton paddy milling capacity per hour. Three units
at Nawanshahre, Machhiwara and Bagha Purana are of Indian origin; whereas, the
remaining six units, at Batala, Chuslewar, Gidderbaha, Goniana, Jaitu and Nushera
Pannuan are Korean.
1.1.3 AGRI-INPUTS: Markfed undertakes distribution of fertilizers, Agro- chemicals
and seeds etc. for cooperative societies in the state of Punjab.
a) FERTILIZERS: Markfed has been appointed as a nodal agency for procurement &
distribution of DAP fertilizers through cooperatives since last three years. It holds a
market share of 45 percent in the state of Punjab.
The state always relies on Markfed for the rescue of Punjab Farmer. The year-wise Sale
of Fertiliser is as under:-
Table 1.7
20
Year-wise Sale of Fertiliser
FERTILISER ACTUAL
2006-07
ACTUAL
2007-08
ACTUAL
2008-09
SALES(MTs) 4.09 7.54 9.60
UREA 2.92 4.68 6.19
DAP 1.11 2.79 3.39
OTHERS 0.06 0.07 0.02
AGRO-CHEMICAL
ACTIVITY
ACTUAL
200607
ACTUAL
2007-08
ACTUAL
2008-09
Sale / Income 22.93 34.51 46.51
(www.markfedpunjab.com).
b) AGRO-CHEMICALS: To facilitate efficient crop management, Markfed has an
Agro-Chemicals unit at Mohali, to formulate about 36 pesticides mostly ISI marked. This
unit is ISO: 9001-2000 certified since 2004. Besides formulating, the unit out sources
pesticides and seed for BT cotton, paddy and maize for cooperative network.
c) BT Cotton seeds: Markfed supplied 82000 packets (of 450 gm.) of BT cotton seed
during the year 2007-08 whereas in the year 2008-09 the number of packets distributed
has increased to 1,74,000. These seeds are arranged from leading and reputed seed
companies like Mahyco and Rashi. During the current year Markfed targets to distribute
2.5 lac packets which are 20 percent of the market.
1.1.4 Manufacturing of edible products and non-edible products:
Markfed has Agro based processing units for manufacturing SOHNA brand Vanaspati,
Refined Oils, Processed and Canned foods and Rice besides Cattle feed. Markfed’s
SOHNA brand has become a household name for these products.
1.2 EDIBLE PRODUCTS:
21
CATTLE FEED PLANTS: To promote sale of quality cattle feed, Markfed has two units
which manufacture cattle feed for Dairy Farmers and these are located at Kapurthala
and Gidderbaha.
Table 1.8
Year-wise, sale of Non-Edible Product
Cattle feed ACTUA
L
2006-07
ACTUAL
2007-08
ACTUAL
2008-09
Sale (in MT) 39965 50803 60228
In the year 2009-10 the capacity of both the plants is contemplated to be
enhanced from 100 TPD to 150 TPD
The production is expected to raise from 60000 MT to 87000MT
Source: www.markfedpunjab.com
NEW PROJECTS TO BE TAKEN UP: Food Processing Unit at Rajpura for
processing Fruit and Vegetables under study.
INTERNATIONAL OPERATIONS
Markfed has carved a distinct identity for itself by setting up a number of export-
oriented units to process agricultural produce like basmati rice, cotton, oilseeds,
vegetable, fruits, etc. Markfed helps farmers by procuring their produce and organizing
exports. It has been declared as Punjab’s nodal agency for the export of fruits,
vegetable and food grains by the government of India. A vast range of products from
Markfed have found markets in the UAE, UK, US, Canada, Germany, Poland, Hungary,
Czechoslovakia, Afghanistan etc. Annually Markfed exported 2.25 million MTs of wheat
till 30/09/2003 to UAE, Sudan, Yemen, Vietnam, Bangladesh, Korea, Oman, Sri Lanka
and Ethiopia, through the major food players of the world like Cargil, Toepfer,
22
Allanasons, Noble Grain, Louis Dreyfus & Kotak Agri, Topical Grains & Feed, and Adani
Exports etc. (www.markfedpunjab.com)
OBJECTIVES OF THE COMPANY
To make arrangements for procuring, marketing/ trading, processing/
manufacturing of agricultural products as well as by-products of its affiliated
members and their members to their best advantage within the country and
outside the country.
To find out and adopt latest technology and supply of goods on co-operative
basis and to act as agent to its constituents and other persons and institutions
approved by the Registrar, Cooperative Societies, Punjab.
To raise funds for its own business.
To make arrangements for distribution of agricultural inputs in retail to members
and non-members.
To undertake processing, manufacturing, grading and packing activities and
establish industrial units.
To arrange for construction of buildings necessary for business of the Federation
and its members and also to take up the construction work of other government/
institutional agencies.
To carry out publicity and propaganda in respect of Cooperative marketing and
supply by publication of suitable literature, arrangement of demonstration by
organizing marketing, processing and supply societies conferences, participation
in exhibitions and other-wise.
To run warehouses.
To undertake interstate trade, import and export of agricultural produce, farm
equipments and consumer goods.
To do all things that may be incidental or conductive to the attainment of any or
all the aforesaid objects or for the advancement of the Co-operative movement in
general. (www.markfedpunjab.com).
23
OBJECTIVES OF THE STUDY
To know about the brand awareness of the Sohna Products.
To find out the competitor brands of Sohna Mustard Oil Kachi Ghani
To know the market size of the Markfed Sohna Mustard Oil Kachi Ghani.
To recommend ways by which the company can attract more and more
consumers and increase its sales for Sohna Mustard Oil Kachi Ghani.
CONCLUSION:
A co-operative is a business organization owned and operated by a group of
individuals for their mutual benefit. Punjab Markfed is a marketing federation of over
three thousand societies representing the interests of over a million farmers in the State
of Punjab. The Punjab State Cooperative Supply and Marketing Federation came into
being in the September of 1954 with 13 members, a share capital Rs.54000 and three
employees, popularly known as Markfed.
Today, it has grown to become the largest marketing co-operative in Asia.
Markfed procures mustard seed and sunflower to process them in its Oil complexes at
Khanna. It specializes particularly in the edible oils. India is one of the world’s largest
edible oil economies with 15,000 oil mills. India is the fifth largest producer of oilseeds in
the world, behind US, China, Brazil, and Argentina. Mustard oil is versatile oil that can
be used for both therapeutic uses and culinary applications. The present study is an
attempt to find out the prospects of Sohna Mustard Oil Kachi Ghani in the Indian market
in general and Punjab market in particular.
24
25
REVIEW OF LITERATURE
Review of literature is a survey of the concerned literature of the research
problem. When an investigator proceeds on the path of research he has to take
advantage of his predecessors. He has also to take the help from what has already
been done. It would save him not only from the trouble but trial and error too. It would
also lead to the economies in his efforts. There are various hypotheses available. From
these hypotheses, the investigator has to select those that are useful to him. Apart from
this literature that directly concerned with the similar problem are also useful to a
researcher as it helps him in the formulation of the problem in clear-cut manner.
American Heart Association (1995) in their study concluded that mustard oil is
better than Olive Oil from the health point of view. It is not only good for healthy people
but is also good for "Heart Patients". Further, mustard oil is used for the food linked to
Indian culture and identity. Where other edible oils lack either of the two essential fatty
acids, rapeseed-mustard provides both essential fatty acids to the human body – oleic
acid and Linolenic acid. In comparison to the refined oils and the health-friendly olive oil,
it is mustard oil that seems to be best for heart.
Puri (2000) found that food specialists in India are promoting mustard-based oil
as the latest healthy food choice, claiming its properties to fight diseases and preventing
health problems. The vegetable oil of mustard is nutritionally 38 percent to 42 percent of
the seed. The study concluded that people who use mustard oil for frying reduce their
risk of heart attack by almost 71 percent.
Chowdhury (2004) conducted a study on fatty acids. Analysis of five types of
locally consumed edible oils (n = 22) was carried out using a Gas Chromatograph (G.C)
equipped with a Flame Ionization Detector (FID) and stainless steel packed column.
26
The results showed that sunflower oil contained the highest percentage of long chain
mono and polyunsaturated fatty acids (91.49 ± 1.91 percent ) compared to soybean
oil (81.14 ± 1.49 percent ) mustard oil (86.80 ± 3.07 percent ), palm oil (53.30 ± 0.36
percent ) and coconut oil (7.12 ± 0.51 percent ). Two varieties of mustard oil, low erucic
(= 5 percent , n=3) and high erucic acid (>14 percent , n=2) and two varieties of
sunflower oil high linoleic-low oleic (61-66 percent & 22-27 percent , n=2) and low
linoleic- high oleic (29-38 percent and 53-63 percent , n =3) were found. Sunflower oil
with the highest percentage of mono and polyunsaturated fatty acids especially the high
linoleic- low oleic variety appeared to be superior and most suitable edible oil for
Mass consumption.
27
Manchanda (2005) found that mustard oil is considered to be one of the
healthiest edible oils as it has the lowest amount of saturated fatty acids and a high
amount of monounsaturated and polyunsaturated fatty acids, which are good for health.
The study found that chances of heart disease drop by nearly 70 percent on use of
mustard oil as a cooking medium. Renowned cardiologists have now started comparing
the nutritional benefits of mustard oil with olive oil and have conclusive proof about
mustard oil's superiority. mustard oil is healthier than olive oil because it has no trans-
fats, has low saturated fats, high mono-unsaturated fats, high polyunsaturated fatty
acids such as omega-3 and stability at high temperatures, which makes it ideal for
cooking and even deep frying,
Mustard oil is composed of oleic fatty acid, linoleic acid and erucic acid. At 5 percent, it
has the lowest saturated fat content and a high amount of monounsaturated and
polyunsaturated fatty acids, which are good for health. It also has the ideal ratio of
omega-3 and omega 6 fatty acids, a high content of antioxidants and vitamin E, as well
as the fact that it is cold pressed add to the nutrition value of this oil. The Alpha linolenic
acid found in mustard oil reduces the adhesion-aggregation tendency of blood platelets
which decreases the risk of a heart attack.
CONCLUSION
There are too many food product companies that are mushrooming day by day
in India Thus, every company has to do marketing mix in order to know about the
position of it products in the market and the strategies followed by the other food
product company for their products. Though, the above listed scholars tried to find out
in their respective studies about the different dimensions of co-operative industries.
However, most of the studies are not quantitative in nature and are based on the
personal judgment of the researchers. The present study tries to fill the vacuum. To be
specific, this study will help to know the prospects of Markfed Sohna Mustard Oil Kachi
Ghani in Punjab market.
28
29
RESEARCH METHODOLOGY
About Research
Research is a diligent enquiry and careful search for new knowledge through
systematic, scientific and analytical approach in any branch of knowledge. Research
helps to discover new facts. The search for new knowledge also helps to accept, reject
or modify existing facts or knowledge. It is a systematic effort to gain knowledge, truth or
board principal in a verifiable and objective way. According to Slessinger and Stevenson
(1930), social science research aims to extend, collect or verify knowledge whether that
knowledge aids in the construction of a theory or in the practice of an art.
Young (1988) describes social research as the systematic methods of
discovered new facts or verifying old facts, their sequences in the relationship, casual
explanation and the natural laws which govern them.
Mere compilation of facts will never constitute research. As Khuran (1973) aptly
points out that compilation is like a police constables statement of the scene of a crime,
which itself is not dedication. The main aim of research is to search deeply and
penetrate into the research of occurrence and relationship. Thus, research as young
points out does not simply demand a search for the fact but a thinking of the issues and
problems involved in every step of research uses studies and principles thereof to
unravel the facts intangibly while craft a man condemn such process.
There are certain steps which are to be followed for making an effective
research it depends upon organization to organization and person to person to adopt a
certain strategy in research which is termed as research methodology. Research
Methodology followed by me in the organization is:
Visiting different departments.
Conversation with highly skilled and qualified employees.
Data collection from different sources.
Guidance from project guide.
Preparation of project report.
30
Research Methodology is the logical and scientific technique to solve a
problem. When we talk of research methodology, we not only talk of research methods
adopted to get desired results but we also consider the logic behind these methods.
For the perfect thesis one has to know each and every aspect of the concept
thoroughly. So acquiring the data regarding this I gone through by several things like:
Books;
Magazines
Journals; and
Web site.
In order to understand the marketing mix in cotton county v/s other garment
companies as per the objective stated, the various steps which are to be followed are
given below:
a) Planning the research design.
b) Selecting the research method.
c) Selecting the sampling procedure.
d) Data collection.
e) Evaluating the data.
f) Preparing and presenting the research report.
RESEARCH DESIGN
A sound research design is fundamental to the success of any formal research
project. Its function is to ensure that the required data are collected and they are
collected accurately and economically. It is a blueprint of research that is followed in
completing as study.
In order to get the appropriate results on a clearly defined research topic, the
design chosen by the research is exploratory in nature.
31
Exploratory studies: This research is carried out to make the problem suited to
more precise investigation or to frame a working hypothesis from an operational
prospective. It is not used in case where definite result is desired as in our research
case where only impact is to be studied.
DESCRIPTIVE:
Descriptive research includes surveys and face finding inquiries of different
kinds. The major purpose of descriptive research is description of the state of affairs as
it exists at present. In social science and business research we quite often use the term
ex post facto Research for descriptive research studies. The main characteristic of this
method is that the researcher has no control over the variables; he can only report what
has happened or what is happening.
SOURCES OF INFORMATIONS:
Primary data
Secondary data
PRIMARY DATA:
For the purpose of my study, we have collected primary data with the help
of Questionnaires. This data was collected to know about the awareness, attitude and
opinion and behavior of the respondents towards Markfed Sohna Mustard Oil Kachi
Ghani.
SECONDARY DATA:
This data is the already existing data. It can be either the internal records of the
organization or external records like trade association reports and publications etc. We
have collected secondary data from Markfed internal records, trade and business
publication etc.
Annual reports
Websites (www.markfedpunjab.com)
Publication
32
Relevant diagrams and charts like bar charts to give pictorial presentation of data
collected for better understanding.
Questionnaire Design
The primary objective of the questionnaire survey was to obtain an insight into
the customer satisfaction about Sohna Mustard Oil Kachi Ghani. The questions asked
pertained to various factors that affect their sale of the sohna mustard oil kachi ghani..
The resultant final questionnaire was of an intermediate structured – undisguised type.
It contained 14 questions.
STATISTICAL TOOLS USED:- Different statistical tools have been used in the
study. For example Mean, chi-square etc.
MEAN SCORE (AVERAGE):- Average is an attempt to find one single figure to
describe whole of figures. An average is sometimes described as whole of figures. It is
easy to understand and compute. It is based on all the terms.
The formula for calculating mean is:
Mean = X̄ =∑fx / ∑f
The formula for calculating chi-square (χ2 ) is:
x2= (o-e)2/e
SAMPLING:
Sampling is that part of statically practice concerned with the selection of an
unbiased or random subset of individual observations within a population of individuals
intended to yield some knowledge about the population of concern, especially for the
purposes of making predictions based on statistical inference. Sampling is an important
aspect of data collection.
33
Researchers rarely survey the entire population for two reasons (Adder,
Mellenbergh, & Hand, 2008): the cost is too high, and the population is dynamic in that
the individuals making up the population may change over time. The three main
advantages of sampling are that the cost is lower, data collection is faster, and since the
data set is smaller it is possible to ensure homogeneity and to improve the accuracy
and quality of the data.
Each observation measures one or more properties (such as weight, location,
color) of observable bodies distinguished as independent objects or individuals. In
survey sampling survey weights can be applied to the data to adjust for the sample
design. The way of selecting the sample depends on the researcher. It can be either
probability sample or non-probability sample. For the purpose of this study, we have
taken Probability Sample. Probability sample is one in which each item has equal
chance of getting selected.
SAMPLING FRAME:
In the most straightforward case, such as the sentencing of a batch of material
from production (acceptance sampling by lots), it is possible to identify and measure
every single item in the population and to include any one of them in our sample.
However, in the more general case this is not possible. There is no way to identify all
rats in the set of all rats.
Sampling frame can be defined as “source of list from, which the sample is
drawn”. The sampling frame for the purpose of my study is the market of Chandigarh
and Mohali. It consists of the residents of Chandigarh and Mohali.
Sample design procedure
Defining the target population.
Determined the sampling frame i.e. list or set the direction for identifying target
population.
Selecting sampling techniques.
34
PROBABILITY SAMPLING:
A probability sampling scheme is one in which every unit in the population has
a chance (greater than zero) of being selected in the sample, and this probability can be
accurately determined. The combination of these traits makes it possible to produce
unbiased estimates of population totals, by weighting sampled units according to their
probability of selection.
Probability sampling includes: Simple Random Sampling, Systematic
Sampling, and Stratified Sampling, Probability Proportional to Size Sampling, and
Cluster or Multistage Sampling. These various ways of probability sampling have two
things in common:
Every element has a known nonzero probability of being sampled and
Involves random selection at some point.
NON-PROBABILITY SAMPLING
Non-probability sampling is any sampling method where some elements of
the population have no chance of selection (these are sometimes referred to as 'out of
coverage'/'under covered'), or where the probability of selection can't be accurately
determined. It involves the selection of elements based on assumptions regarding the
population of interest, which forms the criteria for selection. Hence, because the
selection of elements is nonrandom, non-probability sampling does not allow the
estimation of sampling errors. These conditions give rise to exclusion bias, placing limits
on how much information a sample can provide about the population. Information about
the relationship between sample and population is limited, making it difficult to
extrapolate from the sample to the population.
Non-probability Sampling includes: Accidental sampling, quota sampling and
purposive sampling. In addition, nonresponsive effects may turn any probability design
into a non-probability design if the characteristics of nonresponsive are not well
35
understood, since nonresponsive effectively modifies each element's probability of
being sampled.
SAMPLING SIZE:
It refers to the number of items to be selected from universe that constitutes a
sample and an optimum sample is one which fulfills the requirement of efficiency,
reliability, representative and flexibility of the sample. The sample size for the purpose
of our study constitutes 60 consumers.
SAMPLING PROCEDU: - In sampling procedure, we have used questionnaires
and direct interview method.
OBSERVATIONS:- The observations carried out while the training period was to
observe and study the whole procedure of how the food grains are procured, how it is
stored, how it is sold.
PERIOD OF STUDY:
I have completed my project on the topic “A Study To Find Out The
Prospects Of Sohna Mustard Oil Kachi Ghani Vis-À-Vis Other Major Oil Brands”
under the training from Markfed for the period for which the training research was
carried out was from 1st June to 15th July (for 6 weeks) which proved to be of great help
as it gave an exposure to the corporate world.
36
DATA ANALYSIS & INTERPRETATION
37
The data, after collection, has to be processed and analyzed in
accordance with the outline laid down for the purpose at the time of developing the
research plan. This is essential for the scientific study and for ensuring that we have all
relevant data for making contemplated data analysis. Technically speaking, processing
implies editing, coding, classification and tabulation of collected data so that they are
amenable to analysis. The term analysis refers to the computation of certain measures
along with searching for pattern of relationship that exist among data-groups. Thus, “in
the process of analysis, relationships or differences supporting or conflicting with
original new hypothesis should be subjected to statistical test of significance to
determine with what validity data can be said to indicate any conclusion”. Further, the
interpretations are done for the purpose of drawing inferences from the collected facts
after an analytical and/or experimental study.
The number of respondents, sample size determination, methods of data
collection and the appropriate techniques used has already been discussed in detail in
the previous chapter. In this chapter, an analysis of the data collected has been carried
out.
Table 4.1
Cooking oil used
38
(Figures in numbers and values in percent)
Group No. of respondents Percentage
Mustard Oil 25 41
Refined Oil 35 59
Source: primary survey.
Fig. 4.1
Ratio
mustard oilrefined oil
Table 4.1, indicate which cooking oil is being used by the respondents i.e.
mustard oil or refined oil. As from primary survey in the market for daily sale, the highest
59 percent number of respondents uses refined oil for cooking and 41 percent
respondents who use mustard oil for cooking.
Table 4.2
Which brand of mustard oil is used?
39
(Figures in numbers and values in percent)
Group No. of respondents Percentage
Hafed 25 41.66Sohna 8 13.33Fortune 10 16.66Surya 7 11.67Dalda 6 10Others 4 6.67
Source: primary survey.
Fig. 4.2
Table 4.2 gives the detail of market share of different competitors’ brands. It can
be evidenced from the table that Hafed has highest 41.66 Percent market share
whereas 13.33 percent of market share is bagged by Markfed sohna brand of mustard
oil, 16.66 percent of the market share is in the hands of Fortune, 11.67 percent with
Surya and 10 percent of market share with Dalda mustard oil. Share of other brands of
40
mustard oil in the market stands at 6.67 percent. This has further been empirically
verified.
Hypothesis Testing H0= All the brands are equally sold H1= All the brands are not equally sold
Group Used Unused R
Hafed 25 35 60Sohna 8 52 60
Fortune 10 50 60Surya 7 53 60Dalda 6 54 60Others 4 56 60
Total 60 300 360
Expected value (E) = R*C/N =60*60 / 360 Expected value = 10
Observed value
(O)
Expected value(E)
(O-E) (O-E)2 (O-E)2/ E
25 10 15 225 22.58 10 -2 4 0.4
10 10 0 0 07 10 -3 9 0.96 10 -4 16 1.64 10 -6 36 3.6
60 29
the Observed value (O) is 60, (E) is Expected value and x2 = 29 for the different six
brands.
41
X2 calculated = ∑ [ (O-E) / E]2
= 29
Degree of freedom = (r-1)
= 6-1
= 5
As, x2 calculated > x2 Table value
i.e. 29 at 5 percent
H1 is accepted and H0 is rejected. Hence all the brands are not equally demanded.
Table 4.3
Time period for which a particular brand is being used by the respondents
Group No. of respondents Percentage
For 1 year 24 40
More than 2 years 20 33.33
More than 5 years 16 26.67
(Figures in numbers and values in percent)
Source: primary survey.
Fig. 4.3
42
For 1 year More than 2 years More than 5 years
0
5
10
15
20
25
30
chart showing how long using particular Brands
chart showing how long using particular Brands
Table 4.3 shows that 40 Percent respondents are using a particular Brand for
last one year, 33.33 Percent of the families using a particular brand from more than 2
years and 26.67 percent of the respondents using particular brand from more than 5
years. Most of the respondent has trust on the similar type of the brands.
Table 4.4
Factors affecting the choice of a particular brand (Figures in numbers and values in percent)
Group No. of respondents PercentagePrice 10 16.67
Packaging 15 25Quality 20 33.33
Availability 5 8.33Others (like promotional
schemes) 10 16.67
Source: primary survey.
Fig. 4.4
43
Group Price Packaging Quality Availability If any other0
5
10
15
20
25
30
35
Series1Series2Series3
From table 4.4, it can be concluded that (33.33 percent) respondent found
that Quality is the factor that affects the choice of a particular Brand. Further, (25
percent) respondents found that packaging is the factor that affects the particular brand,
followed by (16.67 percent) respondents who feel that price affects the demand for a
particular brand. Lowest (8.33 percent) respondents opined that availability of the
product is the factor that affects the choice. Another (16.67 percent) of the respondents
found promotional schemes offered by the companies go a long way in affecting the
demand for a particular Brand. In nutshell, it is the quality that reflects the demand for a
particular brand.
X F Fx
1 10 10
2 15 30
3 20 60
4 5 20
5 10 50
∑f=60 ∑fx=170
44
X̄ =∑fx / ∑f
= 170 = 2.8333
60
Average Mean=2.90
The above calculation reflects that Quality reflect most to the particular brand.
Table 4.5
Knowledge about the Markfed Sohna brand(Figures in numbers and values in percent)
Group No. of respondent Percentage
Yes 45 75
No 15 25
Source: primary survey.
Fig. 4.5
Yes No0%
10%
20%
30%
40%
50%
60%
70%
80%
chart showing heard about the sohna Brand
chart showing heard about the sohna Brand
45
Table 4.5 shows the knowledge about the markfed sohna brands to the
respondents. From the above calculation it can be interpreted that 75 percent of the
respondents were aware about the markfed sohna brand. However, 25 percent of the
respondents were not aware of the markfed sohna brands. As from primary survey the
market it shows that the most of the respondents are aware of the markfed sohna brand
in market.
Table. 4.6Respondents’ knowledge about the markfed Sohna brand
(Figures in numbers and values in percent)Group No. of respondents Percentage
TV& Radio 10 16.67
Newspaper 5 8.33
Magazines 5 3.33
References 30 50
Other 10 16.67
Source: primary survey.
Fig. 4.6
Chart showing the sources of awarness
TV & RadioNewspaperMagazinesReferencesOther
46
Table 4.6 shows how the respondents came to know about the markfed sohna
brand. It can be noticed from the table that 50 percent of the respondents came to know
about the brand through their references, 16.67 percent of the respondents got
awareness through TV & radio, 8.33 percent respondents came to know through the
newspaper of the markfed sohna brand. Only 3.33 percent of the respondents came to
know through the magazines. Thus, it can be concluded that most of the respondents
come know through their references.
X F Fx
1 10 10
2 5 10
3 5 15
4 30 120
5 10 50
∑f= ∑fx=205
X̄ =∑fx / ∑f
= 205 = 3.4260
Average Mean=3.42
The above calculation reflects the fact that the customer come to know about the sohna
brand through references.
47
Table. 4.7Factors considered while purchasing sohna brand
(Figures in numbers and values in percent)Group No. of respondents PercentagePrice 4 6.67
Advertisement 0 0Quality 15 25
Reference 20 33.33Packaging 15 25Any other 6 10
Source: primary survey
Fig. 4.7
Factors
PriceAdvertisementQualityReferencePackagingAny other
Table 4.7, shows the factors considered while purchasing markfed sohna brand.
33.33 percent of respondents are purchasing markfed sohna brand out of References,
25 percent of the respondents are purchasing it because of its quality and packaging 10
percent of the respondents are purchasing the markfed sohna brand because of other
factors, 6.67 percent of respondents purchase it out of price consideration. It should be
noted that none of the respondents purchase the product under the advertisement
influence.
48
Table. 4.8Factors liked the most in sohna Brand
(Figures in numbers and values in percent)
Groups No. of respondents Percentage
Flavour 5 8.33
Quality 15 25
Healthy 12 20
Advertisement 0 0
Packaging 15 25
Others (gifts,) 13 21.67
Source: primary survey.
Fig. 4.8
Brand
FlavourQualityHealthyAdvertisementPackagingAny other
Table 4.8, shows that (25 percent) of the respondents liked the quality and
packaging each of the product. Further, (21.67 percent) of the respondents liked the
product because of attractive gifts given to the respondents etc , (20 percent) of the
49
respondents liked health factor, (8.33 percent) of the respondents liked flavor in the
markfed sohna brand.
Table. 4.9Did the respondent use Sohna Mustard oil kachi Ghani?
(Figures in numbers and values in percent)Groups No. of respondents Percentage
Yes 42 70
No 18 30
Source: primary survey.
Fig. 4.9
Yes No
0
5
10
15
20
25
30
35
40
45
Chart showing have you use sohna Mustard oil
Chart showing have you use sohna Mustard oil
Table 4.9; give the detail of the respondents use markfed Sohna Mustard oil
kachi Ghani. The calculation shows that the 70 percent of the respondents use the
markfed sohna mustard oil kachi ghani and 30 percent of the respondents do not use
the markfed sohna mustard oil kachi ghani. As from the primary survey in the market it
shows that the most of the respondent use the markfed sohna mustard oil kachi ghani.
50
Table. 4.10What did the respondent feel about the Markfed sohna Mustard oil Kachi Ghani in
comparison to other brands?
(Figures in numbers and values in percent)Group No. of respondents PercentageBest 14 23.33
Better 15 25
Good 26 43.33Not so good 5 8.33
Source: primary survey.
Fig. 4.10
Best Better Good Not so Good
0
5
10
15
20
25
30
Chart showing feel about sohna Mustard oil as compared to other Brand
Chart showing feel about sohna Mustard oil as compared to other Brand
Table 4.10 shows that 43.33 Percentage of the respondents liked the
Markfed Sohna Mustard oil is good as compared to other Brand, 25 percent respondent
liked the markfed sohna mustard oil kachi ghani is better, 23.33 percent of the
respondent liked the markfed sohna mustard oil kachi ghani is best and 8.33 percent of
the respondent liked the markfed sohna mustard oil kachi ghani is not so good.
51
Table. 4.11
Respondent’s opinion about the price of Sohna Mustard oil Kachi Ghani
(Figures in numbers and values in percent)
Group No. of respondents Percentage
Expensive 10 16.67
Reasonable 40 66.66
Cheap 10 16.67
Source: primary survey.
Fig. 4.11
Expensive Reasonable Cheap0
5
10
15
20
25
30
35
40
Opinion about the price of mustard oil
Opinion about the price of mus-tard oil
Table 4.11. Shows the opinion of respondent about the price of mustard oil
kachi ghani. It can be noticed from the table that 66.66 percent of the respondents’
opinion about the price of mustard oil kachi ghani is reasonable and 16.67 percent of
52
the respondents’ opinion about the markfed sohna mustard oil kachi ghani is cheap and
expensive.
Table. 4.12Most preferred Packaging
(Figures in numbers and values in percent)Group No. of respondents Percentage
2 ltr 15 25
5 ltr 30 50
10 ltr 10 16.67
15 ltr 5 8.33
Source: primary survey.
Fig. 4.12
Packaging prefer the most
2 ltr5 ltr10 ltr15 ltr
Table 4.12; show the most preferred Packaging in the mustard oil. 50
Percentage of the respondents prefer 5 ltr packaging of the Mustard oil most of the
other type of packaging, 25 percent of the respondents preferred 2 ltr packaging of the
53
mustard oil, 16.67 percent of the respondent preferred 10 ltr packaging and 8.33
percent of the respondent preferred 15 ltr of the packaging.
Table. 4.13
Will the respondent prefer to buy a particular product if alternative is available in
market at low price and low quality
(Figures in numbers and values in percent)
Group No. of respondents Percentage
Yes 20 33.33
No 40 66.67
Source: primary survey.
Fig. 4.13
Alternative product
Yes No
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From table 4.13, It shows that will the respondent prefer to buy a particular product
if alternative is available in market at low price and low quality. The calculation shows
that the 66.67 Percentage respondents don’t want to purchase low Quality products
even at low prices. Where as the 33.33 percent of the respondent want to purchase low
quality products even at low price.
CONCLUSION:
From the above discussion, it can be concluded that the maximum 59 percent of
respondents used refined oil where as only 41 percent respondent used mustard oil. It
can be evidenced from the table that only 13.33 percent of the market share of markfed
sohna brand of mustard oil. Quality is the factor that affects the choice of particular
brands. Only 75 percent of the respondents were aware about the markfed sohna
brand. It will be notice from the table that 50 percent of the respondents came to know
about the brand through their references. Quality and packaging are factor that liked the
respondents most in the sohna brands. 70 percent of the respondents use the markfed
sohna mustard oil kachi ghani
At the end it has been highlighted that if the companies want to add more
number of customer towards their products the company should give promotional
schemes, attractive gifts etc are the best way by which companies attract customers.
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SUMMARY, CONCLUSIONS, PROBLEMS AND RECOMMENDATIONS
A co-operative is a business organization owned and operated by a group of
individuals for their mutual benefit. Punjab Markfed is a marketing federation of over
three thousand societies representing the interests of over a million farmers in the State
of Punjab. The Punjab State Cooperative Supply and Marketing Federation came into
being in the September of 1954 with 13 members, a share capital Rs.54000 and three
employees, popularly known as Markfed. Today, it has grown to become the largest
marketing co-operative in Asia. Markfed procures mustard seed and sunflower to
process them in its Oil complexes at Khanna. It specializes particularly in the edible oils.
India is one of the world’s largest edible oil economies with 15,000 oil mills. India is the
fifth largest producer of oilseeds in the world, behind US, China, Brazil, and Argentina.
Mustard oil is versatile oil that can be used for both therapeutic uses and culinary
applications. The present study is an attempt to find out the prospects of Sohna Mustard
Oil Kachi Ghani in the Indian market in general and Punjab market in particular.
There are too many food product companies that are mushrooming day by day
in India Thus, every company has to do marketing mix in order to know about the
position of it products in the market and the strategies followed by the other food
product company for their products. Though, the above listed scholars tried to find out
in their respective studies about the different dimensions of co-operative industries.
However, most of the studies are not quantitative in nature and are based on the
personal judgment of the researchers. The present study tries to fill the vacuum. To be
specific, this study will help to know the prospects of Markfed Sohna Mustard Oil Kachi
Ghani in Punjab market.
It can be concluded that the maximum 59 percent of respondents used refined oil
where as only 41 percent respondent used mustard oil. It can be evidenced from the
table that only 13.33 percent of the market share of markfed sohna brand of mustard oil.
Quality is the factor that affects the choice of particular brands. Only 75 percent of the
respondents were aware about the markfed sohna brand. It will be notice from the table
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that 50 percent of the respondents came to know about the brand through their
references. Quality and packaging are factor that liked the respondents most in the
sohna brands. 70 percent of the respondents use the markfed sohna mustard oil kachi
ghani
At the end it has been highlighted that if the companies want to add more
number of customer towards their products the company should give promotional
schemes, attractive gifts etc are the best way by which companies attract customers.
If we do an overall study we would find out that MARKFRED PUNJAB does not
follow an aggressive strategy for promotion. There is a large scope for this, which would
improve upon the production and then go in for aggressive marketing comparing. This
would improve the turnover to a much greater extent. The company has done a lot for
society and is working well but as it is said “sky is Limit”, so there is scope of
improvement here. For greater prestige, recognition, image and sales, progress
effective communication is must with the customers especially today when the
competing companies are increasing day by day.
From the discussion about marketing strategies of MARKFED PUNJAB I find
that Sohna Mustard oil Kachi Ghani is very important for Indian economy it would
widens the potential for generating employment, nurturing people and creating foreign
currency for the country.
MARKFED PUNJAB is a popular name in PUNJAB they have good brand
image in Mustard oil market. I feel if they increase their production by increasing no. of
employees and have a strong media campaigning they should also keep a strong vigil
on there competitors and have a aggressive marketing strategies.
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While doing the analysis of the study conducted, I was able to find out few
problems, which the sohna mustard oil kachi ghani were facing in the market.
THE PROBLEMS ARE:
The mustard oil kachi ghani of sohna is not easily available in the market
especially in Chandigarh.
There is lack of proper supply for sohna’s product vis-à-vis competitors like
Fortune, P-marka, Hafed etc
There are no promotional schemes related to the purchase of the products. Thus
they are not very attractive to purchase.
Advertisements, which is one of the major aids for attracting the customers is
inadequate. There is no proper long term planning for advertisement of the
products.
Dealers’ network area is very weak because of poor distribution channels.
RECOMMENDATIONS
Promotional activities and advertisement campaigns should be more activity
demonstration brand ambassador can be used.
Good discount options can be given to whole sellers.
Price reduction in Markfed products will attract more customers.
Should have more option variety in products for various needs of the customers.
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New products for children and aged segments can be introduced with more
variety.
Resolve The Conflict Between Retailers of Markfed.
Improvement in the technology.
Supply fast as per the requirement of the retailers.
Credit facility must be given to the retailers for at least 15 days
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BIBLIOGRAPHY
Bye laws of markfed
Kotler, Philip, “Marketing Management”, 12th addition, New Delhi: Pearson Prentice
Hall, 2007
C.R.Kothair, Research Methodology, New Delhi, New Age International (P) Limited,
publishers, 2005.
American Heart Association (1995)
(http://www.indiaprwire.com/pressrelease/magazines/2008070410863.html)
Puri (2000) (http://www.purioilmills.com/)
Chowdhury (2004)
(http://www.banglajol.info/index.php/bjsir/article/viewarticle/669)
Manchanda (2005)
(http://www.indiaprwire.com/pressrelease/magazines/2008070410864.html)
Websites used:
Website – www.markfedpunjab.com, links used about markfed, corporate profiles,
activities, network.
www.wikipedia.com
(www.pbco-coperative.gov.in)
(www.tradeindia.com/manufacturers/indianmanufacturers/mustard-oil.html).
Source: Rabo Bank
(http://en.wikipedia.org/wiki/Mustard_oil).
www.indiaparenting.com/nutrition/data/nutrition).
(www.markfedpunjab.com)
(http://www.yahoo.com).
(http://www.google.com).
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