Study of Awareness and Competitive Environment of Bio-fertilizers uses in Hadoti district of Rajasthan

 

Deepak Pal1, Laveena Sharma2

1Business Associate, Business Planning and Development Unit, JNKVV, Jabalpur, M.P. 482004

2Business Manager, Jawahar R-ABI, Institute of Agribusiness Management, JNKVV, Jabalpur, M.P. 482004

*Corresponding Author E-mail: deepakpal2010@gmail.com

 

ABSTRACT:

The green revolution brought impressive gains in food production but with insufficient concern for sustainability. In India the availability and affordability of fossil fuel based chemical fertilizers at the farm level have been ensured only through imports and subsidies. Dependence on chemical fertilizers for future agricultural growth would mean further loss in soil quality, possibilities of water contamination and unsustainable burden on the fiscal system. The Government of India has been trying to promote an improved practice involving use of bio-fertilizers along with fertilizers. This study revealed that the in the study area dealers did not know about the Bio-fertilizers and in the present time dealers as well as farmers are less aware about the advantages and use of bio fertilizers, companies are facing high competition from various fertilizers companies. Bio-fertilizers being a new entrant had to struggle with players who have been in the market for a long period. In the study various tools and techniques were used to create awareness and competitive environment about Bio-fertilizers.

 

KEYWORDS: Biofertilizers, Awareness, Competitive environment, Hadoti, Agri dealer.

 

 


1. INTRODUCTION:

Bio fertilizers are ready to use live formulates of such beneficial microorganisms which on application to seed, root or soil mobilize the availability of nutrients by their biological activity in particular, and help build up the micro-flora and in turn the soil health in general.

 

The green revolution brought impressive gains in food production but with insufficient concern for sustainability. In India the availability and affordability of fossil fuel based chemical fertilizers at the farm level have been ensured only through imports and subsidies.

 

Dependence on chemical fertilizers for future agricultural growth would mean further loss in soil quality, possibilities of water contamination and unsustainable burden on the fiscal system. The Government of India has been trying to promote an improved practice involving use of bio-fertilizers along with fertilizers. These inputs have multiple beneficial impacts on the soil and can be relatively cheap and convenient for use. Consistent with current outlook, the government aims not only to encourage their use in agriculture but also to promote private initiative and commercial viability of production, but the policy and the instruments of intervention need to be designed with care.

 

2. SIGNIFICANT EFFECT OF BIO-FERTILIZERS IN INDIAN ECONOMY:

Main challenge for agriculture development is to increase agriculture production and productivity of land. The green revolution brought impressive gains in food production with the help of chemical fertilizer, but with insufficient concern for sustainability. Uses of chemical fertilizer not only impoverished soils, destroyed ecological balances and lead to environment damage but also adversely affected human health. Bio-fertilizers are the best, supplement of chemical fertilizers. They are alternative means of accessing plant nutrient without polluting environment with sustainability. Bio-fertilizers, more commonly known as microbial inoculants, are artificially multiplied cultures of certain soil organisms that can improve soil-fertility and crop productivity by increasing the activity of certain useful bacteria and also help in providing nutrients like nitrogen via fixation and phosphorus via increasing solubility that are naturally abundant in soil or atmosphere but unusable for plants. Bio-fertilizer in context of Indian agriculture and also looks its effect on environment, soil fertility and productivity.

 

Bio-fertilizers are very useful but less popular in India. Bio-fertilizer has various benefits; besides accessing nutrients, different bio fertilizers also provide growth-promoting factors oxine, jibreline and indole acetic acid to plants and some have been successfully facilitating composting and effective recycling of solid wastes. By controlling soil borne diseases and improving the soil health and soil properties these organisms help not only in saving, but also in effectively utilizing chemical fertilizers and result in higher yield rates. Bio-fertilizers are not only effective for that particular crop in which they used, but also increased the production of next crops. Bio-fertilizers are cheap inputs, free from the environmentally adverse implications that chemical fertilizers have. Bio-fertilizers offer a new technology to Indian agriculture holding a promise to balance many of the shortcomings of the conventional chemical based technology. Dependence on chemical fertilizers for future agriculture growth would mean further loss in soil quality, possibilities of water contamination and unsustainable burden on the fiscal system. Bio-fertilizers are cheap and have various benefits. It is very effective for sustainable agriculture development so the government of India has been trying to promote an improved practice involving use of bio-fertilizers along with fertilizers (Anon., 2013a).

 

3. METHODOLOGY:

3.1 Location of the study:

Survey was conducted in the Hadoti Region of Rajasthan. The region was selected purposively. The reason for selection is possibility of selling and future growth of Bio-fertilizers in Hadoti region. Soil of this region is black cotton soil and medium black soil. The major crops of the region are Coriander, Citrus, Wheat, and Gram. These crops covered most of cultivated area of Hadoti Region. Hadoti is a region of Rajasthan state in western India. It includes the districts of Bundi, Baran, Jhalawar and Kota, and is bounded on the west by the Mewar, on the northwest by Ajmer regions of Rajasthan, and on the south by the Malwa, on the east by the Gird regions of Madhya Pradesh state

 


 

 


Fig.1 Map of Hadoti region of Rajasthan (Indicative)


3.2 Sampling Technique:

Simple random sampling technique was adopted as per the objectives of the   study. First of all 3 districts were selected randomly from Hadoti region of Rajasthan and 5 talukas from each district and 10 dealers from each taluka were selected. Thus 50 dealers from one district and 150 dealers from Hadoti region were selected.

 

 

3.3 Selection of Taluka:

Out of 7 Tehsils of Jhalawar district, 7 Tehsils of Baran district, 5 Tehsils of Kota district 5 Tehsils was selected purposively from each districts respectively for the study because large number of dealers was present in these talukas as compared to other.

 

Table: Selection of taluka and sample dealers

Sr. No.

District

Talukas

Sample Dealers

1

Jhalawar

Jhalarapatan

10

Khanpur

10

Pirawa

10

Gangdhar

10

Aklera

10

2

Baran

Baran

10

Anta

10

Chabda

10

Atru

10

Chipabarod

10

3

Kota

Kota

10

Sangod

10

Ramgang Mandi

10

Pipalda

10

Digod

10

Total

3

15

150

 

3.4 Sampling Size:

Dealers: 150        

 

3.5 Type of Data:

The method of data collection is an essential part of research study. Two types of data were collected.

 

Primary Data:

·       Questionnaire:

For this study, for the collection of various data requirement, structured questionnaire was used. This questionnaire contains qualitative and quantitative information of the dealers. The questionnaire contains of both open-ended and close ended questions, which would help to full fill the objectives of study.

·       Interview:

For this study, for the collection of various data requirement, personal interview of respondent was conducted. Interview is a face-to-face conversation with the respondent. It is slow, expensive, and they take people away from their regular jobs, but they allow in-depth questioning and follow-up questions.

 

Secondary data:

The secondary data was collected through agricultural departments, organizations and internet.

 

3.6 Statistical Analysis:

Simple statistical tools like,

·       Tabular Analysis

For the purpose of data analysis, percentage method was used for calculation and result was interpreted.

 

                        No. of Respondents

 Percentage =   -------------------------- × 100

                         Total Respondents

 

·       Graphical method (Bar graph, Pie graph): For the purpose of presentation of data graphical method (Bar graph, Pie graph) was used.

 

4. RESULTS AND DISCUSSION:

4.1 Awareness of Bio-fertilizers among the dealers:

Regarding the awareness of bio fertilizer in selected regions most of the dealers answered that bio fertilizer are very effective for production of crop. But in present time dealers as well as farmers are less aware about the advantages and use of bio fertilizers. Dealers reported that most of the bio fertilizers are costly and farmers did not have knowledge for their application. Biofertilizers Company has to come forward to educate the dealers about the type of bio fertilizer, recommended doses, time of application and methods of application.

 

4.1.1 Most effective mode for create awareness about Bio-fertilizers:

Most effective mode for created awareness among dealers regarding the Bio-fertilizers was analyzed in the study. It could be seen that out of the 150 respondents more than half respondents that is 54.66% percent got aware by personal contact, 39.33 per cent got aware by free samples and 6 per cent respondents got aware by leaflets. So it could be analyzed that personal contact was most effective mode for create awareness among dealers regarding Bio-fertilizers because more than half respondents got aware by personal contact followed free samples and leaflets.

 

Fig. 2 Awareness about Bio-fertilizers

 

4.2 Competitive environment of Bio-fertilizers in Hadoti region of Rajasthan:

Competitive environment of the Bio-fertilizers was analyzed by portals five forces. Study is described under following heading.

4.2.1 Bargaining power of Suppliers

4.2.2 Bargaining power of Buyers

4.2.3 Threat of substitute products

4.2.4 Threat of new entrance

4.2.5 Competitors

 

4.2.1 Bargaining power of suppliers:

According to study it was found that there are limited numbers of suppliers of raw material for Bio-fertilizers. The limited number of raw material supplier in the company could be a sign of strong supplier bargaining power. There is also good relation between suppliers and company it could be reduces suppliers bargaining power.

 

4.2.2 Bargaining power of buyers:

According to the study it was found that company sells Bio-fertilizers at high price and bargaining power of dealers is typically low but this varies across the different regions. It was also found that there is no formal contract between buyers and company. It could be found that dealer’s do not purchase the company’s products in large quantity because of this bargaining power of buyers is low.

 

4.2.3 Threat of substitute products:

A threat of substitutes exists if there are alternative products with lower prices, better quality, nutritional benefits, and availability that can be used for the same purposes (Porter, 1980). Major substitute of Bio-fertilizers was found. The results of same are presented in table given below.

 

It was found that dhanzyme and devputra are major substitute of Bio-fertilizers with the positive response of 9.33 percent for dhanzyme and devputra (18.66 per cent for both), Herbozyme and kisan are other major substitute of Bio-fertilizers with the positive response of 6.66 per cent (13.32 per cent for both), Trishul is third major substitute of Bio-fertilizers with the positive response of 5.33 per cent, Zymegold, doctor humus, biotin, are other major substitute of Bio-fertilizers. Out of total respondent 50.66 respondents did not have any idea about substitute of Bio-fertilizers.

 

 

Fig. 3 Substitute of Bio-fertilizers

 

4.2.3.1 Major organic fertilizers used for the crops in Hadoti region:

According to study it was found that zymegold is a major fertilizer used for the crop in the Hadoti region. Out of 150 dealers 43 per cent dealers said that zymegold is a major fertilizer of this region. 17 per cent dealers answered that dhanzyme is a second major fertilizer used for the crop in the area. 11 per cent dealers answered that hebozyme is third major organic fertilizer used for the crop in this area. Remaining dealers answered that doctor humus, action-100, biotin, kisan, trishul, devputra, carbomain are other important fertilizers used for the crop in the area.

 

Fig. 4 Major organic fertilizers used for crops in Hadoti region

 

 

4.2.3.2 Reasons for recommendation of these organic fertilizers:

There are many organic fertilizers recommended by the dealers in Hadoti region viz. Zymegold, dhanzyme, herbozyme, doctor humus, action-100, biotin, kisan, trishul, devputra, and carbomain. There are many reasons given by the dealers or recommendation of these organic fertilizers. The results of same are presented in fig. 5. According to fig. 5 it could be seen that out of 150 respondents 26 per cent respondents said that they are recommended these organic fertilizers to farmers because of their good quality, 14 percent answered that they recommended these because of their low price followed by discount (14 percent). 12 per cent respondents said that they recommended these organic fertilizers because of their high quantity at low price, 11 percent respondents recommended these organic fertilizers because of their image in market. Others reasons of recommendation of these organic fertilizers by dealers are reputation, pre and post sales services provided by the company and experience.

 

 

Fig. 5 Reasons of recommendations of these organic fertilizers

 

4.2.4 Threat of new entrance:

A low threat of new entrants makes an industry more attractive and increases profit potential for the firms already competing within that industry, while a high threat of new entrants makes an industry less attractive and decreases profit potential for the firms already competing within that industry (Porter, 1980).

 

According to Fig. 6 it was found that there are 5 new entrance companies which are offering similar kind of products like Bio-fertilizers. Out of total respondent 19 per cent respondents answered that Himalaya biotech limited is newly entered company which offering similar kind of product like Bio-fertilizers. 10 per cent respondent answered that Bhaskar agro chemicals ltd is second another company which is offering similar kind of product. Remaining respondents answered that Herbal hills, Pratibha biotech, Agri search pvt. ltd. are other companies which offering similar kind of product. Out of 150 respondent 46 per cent respondents did not have any idea about new entrance company.

 

 

Fig. 6 New Entrance Company offering similar kind of product

 

4.2.5 Competitors:

According to study it was found that there are large numbers of competitors are found in the market which offering similar kind of products like Bio-fertilizers.

 

According to study it was found that there are 7 major competitors of Bio-fertilizers are found in the market. Out of total dealers 44 per cent dealers replied that zymegold is major competitor of Bio-fertilizers. 17 per cent dealers answered that dhanzyme is second major competitor of Bio-fertilizers. 11 per cent respondent answered that herbozyme is third major competitor of Bio-fertilizers. Remaining dealers replied that doctor humus, action-100, biotin, kisan are also major competitors of Bio-fertilizers followed by herbozyme. 11 per cent dealers did not have any idea about major competitors of Bio-fertilizers.

 

 

Fig. 7 Major competitors of Bio-fertilizers

 

5. SUMMARY AND CONCLUSION:

Study revealed that the dealers did not know about the Bio-fertilizers and in the present time dealers as well as farmers are less aware about the advantages and use of bio fertilizers. Study also revealed that companies are facing high competition from various fertilizers companies. Bio-fertilizers being a new entrant had to struggle with players who have been in the market for a long period. Following observations were made under the study.

6. OBSERVATIONS:

Results showed that awareness of Bio-fertilizers among dealers created by personal contact, free samples, leaflets, and advertisement (TV, Newspaper, Radio, Wall paints). Personal contact and free samples have been able to create awareness among the dealers about the product because more than half dealers got aware by the personal contact and free samples followed by leaflets. Advertisement has not been able to create awareness about Bio-fertilizers because none of the dealers got aware by advertisement.

 

From the study it has been concluded that bargaining power of suppliers is low because there is good relation between suppliers and company who can reduce the bargaining power of suppliers. Threat of substitute is also low because in the market various companies provide bio-fertilizers but according to respondent’s it was found that only nine companies has substitute of Bio-fertilizers. Threat of new entry is also low because according to respondents it was found that there are 5 new entrance companies which are offering similar kind of products like Bio-fertilizers. These give favorable competitive advantage to biofertilizers companies. From the study it has been also concluded that bargaining power of buyers is high because there is no formal contract between buyers and companies. There are quite number of competitors are present in the market which offering similar kind of products like Bio-fertilizers. 

 

7. SUGGESTIONS:

·       Biofertilizers Companies should go for aggressive advertisement and wide publicity through field demonstrations, literature, posters, wall paintings, local daily radio channels.

·       Focus should be laid on advertisement through T.V, Newspaper and magazines as they have maximum recall value and leave a positive and long-lasting impact in the minds of dealers as well as farmers.

·       Companies should arrange the field experts’ visit at dealers shop as well as farmer’s field at regular interval.

·       Companies must organize awareness camp in villages and also in agricultural exhibition or fair for advertisement of products and increase brand awareness among farmers and dealers.

·       Biofertilizers Companies should focus on the strategy, strength and weakness of its competitors.

·       Solidifying relationships with favourable buyers.

·       In order to survive against the competition, low cost with high quality should be targeted by Biofertilizers companies.

·       The threat of incoming substitute products should not be ignored by companies.

 

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Received on 23.04.2020          Modified on 25.06.2020

Accepted on 07.06.2020  ©AandV Publications All right reserved

Res. J. Pharmacognosy and Phytochem. 2020; 12(3):149-155.

DOI: 10.5958/0975-4385.2020.00025.4