Prudential

Fruits Processing Company Ltd established as a joint venture between kentucky company, USA and Haryana Agro Industries Corporation They set up a tomato processing plant at Kapura in Jind district of Haryana Have a tomato processing plant of high capacity The company is not getting enough supplies to meet its requirements

Strength

High capacity processing plant None of the competitors had that much capacity Good reputation for the company among international clientele

Weakness

Poor procurement system Several farmers were not successful in contract farming due to damages caused by the pest.

Opportunities

Good demand for the product, within the country as well as in abroad. Increased demand for instant foods

Threats

 

Have to compete with well established companies in India like Kissan , FSL, NAFED and volfarm. Haryana is not a traditional tomato production area as its climate did not suit the existing tomato varieties Un-reliability in supply. Lack of quality supply.

Key Issue
what should be done to procure, more quantity of tomato ?

Other Related ssues



Haryana is not a traditional tomato production area as its climate did not suit the existing tomato varieties for high yields. Large number of farmers are defaulting from their commitment to their supply. A good amount of tomato is not suitable for processing. Procurements getting disruption causing occasional shut down. Under utilization of the plant capacity.

Generating Alternatives
Supplying high yielding , disease and pest resistant, genetically improved seedlings to farmers of the state. Increase the area for tomato production in the state. Taking lands for lease and cultivating tomatoes Importing tomatoes from neighboring states like Himachal Pradesh ,U P , Punjab . Entering a contract farming with the farmers, supplying disease and pest resistant , high yielding, genetically modified varieties of seeds and fixing a good return to the farmers according to market price

Key Decision Criteria

Quality Consistent supplies Cost efficiency

Evaluation of alternatives
alternative. No Quality consistent supplies Cost efficiency Total credits out of 15

1 2 3 4 5 6

3 2 2 2 2 3

1 1.5 3 3 1.5 3

2.5 2.5 1 2 1.5 2

6.5 6 6 7 5 8

Recommendation
The management should enter contract with the farmers giving them reasonable return according to market price, providing technical advice, supplying high yielding , disease and pest resistant , genetically modified seedlings and increasing their morality by acknowledging them.