Agrimech August 2015

AGRI MECH (YOUR FARM TECHNOLOGY NAVIGATOR)

RNI No. HARENG00941

VOL I | ISSUE 4 | AUG 2015

Dimensions of 21st Century Indian Agriculture "The farmer needs right type of seeds, fertilizers, pesticides at the right time and at right source."

APJ Abdul Kalam

Need to establish Agro-Processing Centres in agriculture production catchments of Haryana

Dr. Joginder Singh Malik Professor of Extension Education CCS Haryana Agricultural University

Estimating of Farm Establishment Costs Professor William Edwards Agricultural Economist IOWA State University, USA

The 11th President of India, reluctant poli cian, one of the most prominent nuclear scien sts, Dr APJ Abdul Kalam stated during convoca on at the Anand Agricultural University, “It is not the subsidy what the farmers want, the farmer needs right type of informa on about seeds, fer lizers, pes cides at right me and at right source.”

The first farm magazine in agriculture was published in Paris in the year 1763 called “Agriculture De Franche”, followed by “Census Agriculture” by United States of America in Washington in 1840. The journal called “Poultry World” was published in London. By the middle of 19th century, there were many farm journals on agriculture, poultry, dairy and allied subjects from various countries.As a result of increase in literacy rate, the changing agricultural scenario and fast changing technology which needs to be disseminated at a faster rate for rapid agricultural development calls for publica on of farm magazines or agricultural journals. Thus, the agricultural journalism is concerned with: (i) carrying agricultural informa on to the farming community and (ii) to get genuine problems of farmers as feedback to researchers.

It is o en our experience to see that during trade exhibi ons and similar mee ngs of farmers even the illiterate farmers collect the publica ons and other literatures and if they find the subject is interes ng, they would get them read either by their literate children or by the school teacher, postman or other village func onaries. Thus, the logic behind bringing out agricultural publica on is self-evident.Generally readers refer the back issues in order to update themselves while adop ng the technologies in their fields or solving the problems related to crops or field that they come across in their farming. This could be the reason for as high as 63.33 per cent respondents occasionally referring the old issues.

As AGRIMECH is commi ed for promo ng improved farming prac ces, hence improved crop yields through the use of farm machineries, we reiterate, at the expense of being repe ous, must be adopted in Asia, Africa and other developing con nents. We will keep relying agricultural engineers to join our team in this crusade.

Heavy cost is involved to deliver the best and a rac ve design, high level informa on and high quality ar cles by top authors. AGRIMECH is your best adver sing solu on in targe ng all aspects and markets of agriculture. As an adver ser, you have the opportunity to showcase your company to thousands of poten al buyers who are looking to buy your products & services. This magazine will be serving among the top manufacturers, dealers, distributors and farmers all around the globe.

According to Oscar De La Hoya, “There is always space for improvement, no ma er how long you've been in the business.”

We are looking forward to your comments and sugges ons to make AGRIMECH more useful and informa ve in its upcoming issues.

Our Team

Editorial policy is independent, Views expressed by authors are not necessarily those held by the editors.

Registered as Monthly Magazine by Registrar of Newspapers for India. Vide RNI no. HARENG00941

S K Ali Managing Editor skali85@gmail.com

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Editorial and adver sements may not be reproduced without the wri en consent of the publishers. Whilst every care is taken to ensure the accuracy of the contents of AGRI MECH. The publishers do not accept any responsibility or liability for the material herein.

Publica on of news, views and informa on is in the interest of posi ve development of Global Farm Mechaniza on. It does not imply publisher’s endorsement.

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Unpublished material of industrial interest, not submi ed elsewhere is invited.

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Publisher, Printer: S K Ali on behalf of RK Media and Communica ons, Delhi Printed at: Jaiswal Prin ng Press, Chaura Bazar, Karnal Published at: 821, Sector – 13, Urban Estate, Karnal – 132 001 (Haryana) Editor in Chief: S K Ali All legal matters are subject to Karnal jurisdiction.

Contents 06 09

Role Of Agricultural Mechaniza on In The Economic Development

Dimensions of 21st Century Indian Agriculture

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Estimating of Farm Establishment Costs

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12

Need to establish Agro-Processing Centres in agriculture production catchments of Haryana

5 Actual Uses For Drones In Precision Agriculture Today

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15

Selec on of exhibi ons to par cipate

Drones to help Rajasthan, Gujarat farmers detect crop diseases

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21

Agriculture Equipment Market : 2015-2020

World Bank to approve $400 million as guarantee for Ghana's Eurobond

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Agriculture: Then and Now

Editorial Committee Dr Gyanendra Singh M.Tech , Ph.D Member Task Force Committee (Agriculture), Government of Madhya Pradesh Member Academic Council, JNKVV, Jabalpur

Dr. Said Elshahat Abdallah Associate Professor Agricultural Process Engineering Department of Agricultural Engineering, Faculty of Agriculture, Kafrelsheikh Univ.

Kafr Elsheikh 33516, Egypt

Dr Shimon Horovitz Roberto B.Sc. Agronomy Consultant - Open fields and greenhouses Jerusalem, Israel

DOUGLAS AYIREBIDE ALEKIBA Production Supervisor Mim Cashew and Agricultural Products Ltd., Mim – Brong Ahafo, Ghana

Dr. Joginder Singh Malik Professor of Extension Education CCS Haryana Agricultural University Hisar-125 004 (Haryana) INDIA

Yash Agrawal Business Development Associate BIS Research

Dr. Ghanshyam T. Patle Assistant Professor College of Agricultural Engineering & Post Harvest Technology Central Agricultural University, Imphal Manipur (INDIA)

A. S. SUBBARAO Sr.Manager - Agronomy SBU - South Agronomy Department NETAFIM, India

ROLE OF AGRICULTURAL MECHANIZATION IN THE ECONOMIC DEVELOPMENT Human labor is s ll the main source of power used in agricultural work in developing countries. It is also responsible for approximately half of the cul vated area in the world. In small-scale farms like this agricultural machinery with low cost and technological adequacy make rural farmers easy to operate.

The popula on of the world is expected to reach eight billion by the year 2025. It also a fact that more than 90% of the world popula on increase is occurring and will con nue to occur at higher rates in developing countries.

Some research says that of the poten al size of cul vable land, which is about 3 billion hectares or only 22% of the world’s land mass, less than half is being used produc vely. The challenge faced by these developing countries is to feed their increasing popula ons where there is li le to no addi onal cul vable land available. This means that in order to meet the future food demands, these countries have no a d o p t m o re i nte n s i ve c ro p p i n g prac ces using all possible mechaniza on and management techniques. For intensive cropping, meliness of opera ons is one of the

most important factors which can only be achieved only with appropriate use of agricultural machines.

Agricultural mechanism in economic development was adapted in Great Britain by AG engineer, Ferguson, in

1930. He visualized a tractor and implement working together as a single integrated machine rather opera ng as two units. He reported that “Agricultural is more important to mankind that all other industries put together”. In 1974, UK earned at least £1000 (or USD billion) es mated for sales and export of tractors.

The economic situa on at agricultural industry has been change rapidly from 1999-2015, the popula on in farming areas decreased sharply and the labor

demand increased. The farm size and farm rural wage have been increased.

These were the driving force of agriculture mechaniza on industry. It had made off-farm employment opportunity and improves socio economic status of rural farmers. To sustain income status of small scale farmers and Welfare of rural farming communi es, the manual power is now gradually replaced by single axle mul purpose machines from land prepara on to post- harvest. We should be plan for joint u liza on s y s t e m o f a g r i c u l t u ra l m a c h i n e r y, to i m p rove quality and quan ty produc on of agricultural products. Also the market status of agricultural produc on should be opened to boast small scale farmer’s income.

By sta s cal observa on, Agriculture provides 80% of the occupa on in Nigeria and crude oil about 20% (federal sta s cal report 2010) Agricultural mechaniza on is an enterprise that create wealth and youth empowerment in which one liter of palm oil or groundnut oil is more expensive than one liter of petrol or diesel in Nigeria.

Contact : DHARMESH ENTERPRISES PVT. LTD. B28/B, GR. FLR., GHATKOPAR INDL. ESTATE L.B.S. MARG, GHATKOPAR (WEST) MUMBAI, MAHARASHTRA 400086 Mobile : 09323039797 Email : heatgun@vsnl.com

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greatest factor of produc on in study zone. Agricultural mechaniza on technology to succeed in the study zone there must be adequate tractors, electric motors, diesel and petrol engines to power the field implement and sta onery equipment associated with them.

The situa onal changes to Agricultural sector, such as hikes in rural wages, increase in off farm jobs opportuni es, strong demand for improved welfare and lack of government interest to purchase farm machinery had retarded agricultural mechaniza on in the study zone.

The role of agricultural mechaniza on in the economic development should b e c h a l l e n ge w i t h a i d o f state government to improved agricultural produc on in study zone, using the following methodology. Hoffen in (1960) reported, that farmers in developing countries have been using hand tools for thousand years, draught animal for century and mechaniza on for decades.Stout (2000) stated that, to ensure an adequate and safe food supply for expanding world popula on tractor is the prime source of power in agriculture mechaniza on in the developing countries.

Mechaniza on systems are o en categorized into man, animal and engine powered technology on the basis of sophis cated capacity to do work and in some cases precision and effec veness. Agriculture mechaniza on is an enterprise that creates job opportunity with applica on of machines. It r e d u c e s

drudgery and save me in of rou ne farm opera ons. kyu-hong and sukwa kang reported (2000) that, the total popula on lived in farming area is rapidly decreasing by 58%,demand for off- farm sector is increasing on daily basis. The rural manual farmer’s popula on is decreasing by 4,000 every year. If it con nuous what will be the fate of a g r i c u l t u re i n future? Thus, mechanized farms should be encouraged in the study zone.

Therefore, mechaniza on emerges as essen al for management of e c o n o m i c development.

Mechaniza on i n c r e a s e Economic returns to small scale farmers. With mechaniza on and more lands under cul va on, the scale of opera on of the farmer is increase.

If a farmer is using hand tools, he may be restricted to 2 ha, but with mechaniza on he can cul vate farm land up to 10 ha in size.

In sufficient tractors and other power unit for farm opera on in rural areas is the

Mechaniza on systems are o en categorized into man, animal and engine powered technology or the basic of sophis cated capacity to do work effec vely. Thus, the benefits of power overall in agricultural produc on have helped the developed countries of Europe and North America developed their agriculture, such that only few parentage of farmers involved in farm produc on.

The observa on indicates that the current focus on agriculture Mechaniza on in study zone had improved the economy status of small

scale farmers, while the demand for mechaniza ons is increasing in the study zone. Most of the demand concentrates on single axle mul purpose machines for pre- harvest a n d p o s t- h a r v e s t o p e r a o n s .

Agricultural mechaniza ons had played role in transforming small scale holders but with introduc on of suited and lower cost mul purpose machines available in the market.

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Agriculture: Then and Now

If you ask your grandparents how they got their food, they might have a different answer than you think. Why is this? It’s because agriculture has changed throughout history.

There are over seven billion people in the world and that number is expected to grow to nine billion by the year 2050 (Simmons, 2011). That’s a lot of people to feed! How will we be able to provide safe, nutri ous food to all these people? The answer: through changes and advances in the agricultural system.

Over 200 years ago, 90 percent of the world’s popula on lived on farms and produced their own food to eat. But today, only two percent of the p o p u l a o n p ro d u c e s t h e fo o d , including fruits, vegetables, meats and dairy, which everyone eats. That’s a large change in the amount of people associated with producing food and making sure that everyone has enough to eat.

Farmers use technology to make advances in producing more food for a growing world. Through the use of technology, each farmer is able to

feed 155 people today, compared to 1940, when one farmer could feed only 19 people. Farmers use technologies such as motorized equipment, modified housing for animals and biotechnology, which allow for improvement in agriculture.

Be er technology has allowed farmers to feed more people and requires fewer people to work on farms to feed their families.

Changes in equipment have made a large impact on the way farmers are able to farm and grow food. In the past, farmers would have to do field work by hand or with h o rs e - d raw n equipment. This work would take a long me to complete, which meant that farms were smaller because farmers could only work so much land. Horses were not very fast, and they would re out so farmers would have to let the horses rest. Today, most farmers use t ra c t o r s a n d o t h e r m o t o r i ze d equipment to help with fi e l d

work. Tractors are larger and move faster than horses, so farmers are able to work on more land and grow more food. Tractorss ll need to be taken care of because they can break down just like a car. But they can run for longer periods of me and work when the farmer needs them.

The way in which farm animals are raised and where they live has changed as well. Through research with animals, scien sts have discovered what types of housing are best for animals to live in and produce food. Dairy cows now live in barns that have so ma resses, sand beds or water beds for them to sleep on, nutri onists to feed them special diets, and fans and sprinklers to keep them cool when it is hot outside. In the past, farmers did not know what made a cow comfortable, but now that farmers have more informa on, they can be er take care of their animals.

This allows cows to make more milk.

Chickens now live indoors most of the me to protect them from predators such as hawks and foxes and also to protect them from diseases that might be carried by wild birds. When chickens live inside, both the eggs and the meat they produce are protected from diseases, and farmers can make sure that consumers receive healthy products.

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of our natural resources. Farmers are now taking stock of how they use resources and making a commitment to be er use those resources for a more sustainable world.

Through the use of technologies, farmers are able to provide extra care for the land.

From 1944 to 2007, farmers have been Biotechnology in agriculture is the use of technology to make advances in crop a b l e to re d u c e t h e a m o u nt o f produc on and in animals. Seed resources needed on a dairy farm and technology has changed from the past the amount of waste coming from the to today, where crops are able to farm (Capper et al., 2009). Cows of withstand harsh weather condi ons today are also able to produce more such as drought and flooding. In the milk and have decreased their carbon past, whole harvests could have been footprint by 41 percent per kilogram of destroyed by a drought because the milk produced (Capper et al., 2009). plants were not designed to withstand The beef industry has those condi ons. But now, thanks to also reduced their use of b i o t e c h n o l o g y a n d g e n e c resources by using 69.9 e n g i n e e r i n g , c ro ps a re a b l e to percent of beef ca le, withstand harsh condi ons which 8 1 . 4 p e r c e n t o f means that even in bad weather years, feedstuffs, 87.9 percent farmers are s ll able to harvest crops of water and only 67 and provide food to the market. p e rc e nt o f t h e l a n d Farmers can grow a variety of things in required to produce one their fields because seeds are designed billion kilograms of beef to adapt to different condi ons. This f r o m 1 9 7 7 t o 2 0 0 7 means that farmers can grow different (Capper, 2011). Farmers foods and add diversity into our diets. are working hard to Pes cides and herbicides, when used in control the waste that is modera on by farmers, offer the generated by their farms chance to protect crops against and many have implemented Nutrient unwanted pests such as insects and Management Plans. These plans help weeds. By decreasing the amount of to track how waste, such as water and pests, farmers are able to yield more manure, is stored on the farm and how food which allows them to sell more manure is used as fer lizer. Farms are food to the market and ensure that g r o w i n g i n s i ze b e c a u s e o f people have enough to eat. increased efficiency. In the past, Environmental standards, which are cows had to be milked by hand, and rules for protec ng the environment, it took a long me to do this. But have changed over me and today, cows are milked with special allow for be er machines that take less me to milk u s e

This allows farmers to milk more cows, and produce more milk for you and your family to drink. There are fewer farmers today because farmers are able to produce more food with the land that they have.

This allows food to be more affordable in the store so fewer people go hungry. Also, because farmers can produce more food, those not involved in farming can work in fields such as educa on, s c i e n c e , h i s t o r y, m e d i c i n e , journalism or many other occupa ons.

Today, people can s ll grow their own food at home. You could plant a garden at home to grow your own food, and see what it is like to be farmer on a small scale. There are

many different types of farms that have different prac ces for growing food.

One thing remains the same about agriculture today as it did centuries ago: farm families own and operate farms. Whether it is your next door neighbor or farm miles away from you, farmers and their families are working hard to bring healthy and the cow and fewer people have to affordable food to your dinner spend me milking. plate.

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Need to establish Agro-Processing Centres in agriculture production catchments of Haryana

The agro-processing and value addi on is a very important ac vity which can effec vely increase the profitability of farmer, provide local employment, reduce the losses in handling and transport. Prosperity of any developing country depends upon the prosperity of its rural areas and that is possible only when the villages become self-

sufficient. There is frustra on and feeling of insecurity among the villagers especially youth due to unemployment, under-employment, idleness etc.

Villagers tend to migrate to urban areas because of rural push due to hard boring work, long hours, li le money, few ser vices, no prospects and dwindling land holdings due to division of lands among family members and on urban pull due to be er chances of jobs, higher income, be er health care and educa on facili es etc. A venue of gainful employment has to be

found out and they have to be found right in the villages themselves. To create more employment opportuni es, there should be even expansion and diversifica on of agricultural products.

Rural industrializa on or development of suitable agro-processing models / complexes is, therefore, a potent tool to prevent the migra on of this surplus manpower to the urban areas and boos ng developmental facili es at the village level for socio-economic upli of rural masses. The processing of agro-food material into value added products will not only increase the income of the farmers, but, will also provide significant employment opportuni es to the rural youth. Thus, the processing sector lately became very important sector for all round economic development. Post-harvest processing is a necessary step in conversion, value addi on and loss preven on of agricultural produces. In addi on, a huge amount of postharvest losses, especially in cereal, foods and vegetables can be reduced by establishing such agro-processing complexes at the village level/ at the focal points in districts. The problems of post-harvest handling are generally loca on specific and thus require development of technology suited to such situa ons.

The processing of the food commodi es at the village level will not only check the postharvest

losses but also p r o v i d e addi onal employment ( b o t h d i re c t and indirect) to the local p e o p l e .

Processing of f o o d commodi es is an essen al step in value addi on.

Rural entrepreneurship through suitable agro-processing models/ complexes is essen al to increase the income of the farmers, provide significant employment opportuni es to the rural youth and reduce huge a m o u n t o f p o s t- h a r v e s t l o s s e s e s p e c i a l l y i n c e re a l s , f r u i t a n d vegetables.

Evolving Concept of Agro-Processing Centre (APC) An agro-processing centre is an enterprise where the required facili es for primary and secondary processing, storage. Handling and drying of cereals, pulses, oilseeds, fruits, vegetables and spices are made available on rental/ charge basis to rural people. Value added agro based products and processed food items are also prepared and marketed by the centre. This type of centre is managed by individuals/ coopera ves/ community / organiza ons /

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voluntary organiza on. Machines and equipment of small to medium capacity are used for these centres so that it will be easy to operate and handle. The centre meets the processing, preserva on, handling and marke ng needs of surplus produce available in a village or a cluster of villages. Thus, it is a means of providing income and employment to rural people through agro-processing ac vi es of various produce.

B a s e d o n t h e ava i l a b l e surplus produce, technologies and equipment for processing the marketable products as per demand of m a r ke t i s d e c i d e d . T h e ac vi es of centre can be defined on the basis of available raw materials, processed products, market poten al, etc. These ac vi es could also be the basis of es ma on of capital cost investment and requirement of land and building.

suitable agro-industrial technology / equipment in rural areas, following important points should be given due considera on: - Benchmark informa on on crops grown and ongoing processing ac vi es - Volume of crops produc on and marketable surplus - Technology / process to be used for processing - Iden fica on of suitable processing technologies, plant and machinery for desired volume of produc on - Facility for storage and marke ng.

A er deciding the technologies, the components of agro-processing centre can be finalized and a specific agro-industrial model can be finally selected for installa on.

Feasibility Report A er planning an agro-processing

requirements

viii) Floor space ix) Fixed investment x) Working capital Agro-based technologies are classified into two groups: -Primary Processing Technologies -Secondary Processing Technologies The primary processing technologies are cleaning , grading , drying , dehydra on and safe storage, whereas, the secondary processing technologies includes milling/ grinding, dehusking/ shelling, extrac on, ginning, weighing and bagging. These technologies are different for different crops e.g. the process of rice milling is en rely different than wheat milling.

In India main agro-processing technologies at farm level are related to cereals, pulses, oilseeds, hor cultural produce, co on and spice e t c . Te c h n o e c o n o m i c viability of a number of appropriate post-harvest technologies have revealed that agro-processing complexes may have one or more of the following technologies/ equipments depending on the availability of resources i.e. crops, residues, by-products, local ar sans and trained labour in and around the village / focal points.

centre, “A feasibility report ” is prepared which jus fies the profitability of the project and acts as guidelines, while planning the project, each and every detail must be worked out in advance and considered carefully taking all the relevant Se ng of an APC provisions in advance. It needs the y Mini rice milling unit The proper planning of an agrodetailed study of the project, which y Baby oil expeller industrial complex requires addressing y Co on ginning carding machine includes: some basic ques ons like what, how, y Dhal mill when and by whom. The important i) Project design i.e. type of agro- y Cleaners and graders steps essen al in se ng up of an agroprocessing model and its components y Drying facili es including solar / industrial complex are described mechanical dryers ii) Details of various component parts below: y Fruit and vegetables processing iii) Raw material requirement Iden fica on of components of including minimal processing iv) Methods and processes of APC y Processing of perishables like milk, produc on For selec ng fruits and vegetables v) Safety and quality considera ons y Feed processing mill vi) Layout and installa on y Honey processing unit vii) Machine and labour

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Selec on of exhibi ons to par cipate Selec on of an exhibi on Selec ng the right show to a end can make a big difference to your success level, qualified leads and sales versus spending money, me and energy with no return. The first ques ons you should be asking are "who do you want to reach at the show?" and "what do you want to have happen?"There are two groups of shows you should be evalua ng, the shows you are presently a ending, and the shows you want to consider for future par cipa on. Who is your target market and which shows do they a end?

Selec ng the right shows means m atc h i n g yo u r s h o w ex h i b i n g objec ves with the right target audiences, the right ming to meet buyers’ purchasing pa erns and the ability to show and demonstrate your products/services. When evalua ng a show’s poten al, gather as much informa on as possible, show sta s cs / demographics and review lists of p r e v i o u s p a r c i p a n t s . Ve r i f y informa on provided by show management. Speak to past exhibitors and a endees.

Whenever possible, personally visit the show prior to exhibi ng to assess its value. Evaluate the suppor ng events and / or educa onal seminars around the show. When evalua ng a show's poten al, take geographical loca on into considera on. Usually 40-60% of a endees come from a 200 Kms radius of the show loca on. Consider your distribu on area and target audience.

Be cau ous about par cipa ng in a first me show.

Promo

onal material may be extremely persuasive, but a show without prior history is a risky venture. Every show is unique and there are many variables

direct mail campaign should be used in conjunc on with other pre-show promo onal ac vi es such as adver sing, telemarke ng, press

affec ng direc on, volume and quality of traffic past your display. Be familiar with the floor plan. Consider how close you want to be to the main a rac ons, i n d u s t r y l e a d e rs , c o m p e t o rs , restrooms, food sta ons, entrances, exits, escalators/ elevators/ li s, windows or seminar sites. Avoid obstruc ng columns, low ceilings, dead-end aisles, loading docks and freight doors, dark/poorly lit spaces, ceiling water pipes, late set-up areas or "black spots" on the floor plan.

Plan your strategy Planning is the key to the success of your pre-show direct mail campaign.

There are many facets in the planning process including the product/service, t h e m e d i a , t h e o ff e r, t h e communica ons format and an evalua on of the results.

Y o u r

rela ons, etc.

Decide which product, service, or event is most likely to a ract visitors to your trade show exhibit. For the best response, keep your promo on simple and easy to understand. Write down the objec ves for your promo on.

Make sure they e into your established trade show objec ves and marke ng strategy. Think about the response you want as well as the result you can realis cally hope to achieve. Target the people you want to respond to your mailing. Think about their interests and concerns. If you are promo ng to different markets, you o en have to reach mul ple buying influences within each company. Consider tailoring your message to the appropriate audience.

Your mailing list is the most important factor in determining whether your mailing will be

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successful. O en, who you mail to is equally, if not, more important than what you mail. Your very best mailing list is your own in-house list made up of your current and past customers and interested prospects. If you consider buying a list, consider your secondary as well as your primary markets. Merge t h e regist ra o n list f ro m s h ow management with your in-house list to avoid mailing duplicates. Your goal should be threefold: to get your piece

copy, so say something important.

An en cing offer will give prospects a reason to visit your display. The incen ve will only be meaningful and irresis ble if it is linked to a direct prospect benefit and only made available at the show by redeeming the offer at your stand. O en two-part mailings en ce a endees to visit your trade show exhibit. This usually consists of a premium item that is sent in two parts. The first half is sent prior to the

display and materials, will not only save you me and money, but also a lot of aggrava on.

The more me you have to plan, the be er able you are to organize the best transporta on op ons for your specific needs. Your four main choices are common carrier, van line and air freight or courier service. Leaving transporta on to the last minute will reduce your op ons and raise our costs.

The packaging needs of the shipment, the origin and des na on of the shipment the amount of me set aside for transporta on, and pick-up and delivery requirements.

Common carriers are less expensive and it is easy to check with them on your shipment's loca on. Van lines / Specialist exhibi on freight companies offer more specialized and personalized point-to-point service. They are equipped to handle crated or blanketwrapped pieces, the same driver load and unload shipments and trucks o p e r a t e w i t h " a i r- r i d e " ( e x t r a cushioning).

Air freight offers the quickest means of transporta on to show sites as they are specialized air freight forwarders. show. If the visitor wants the second Courier service is the quickest means of half, they need to collect it at your transporta on to show site for last booth at the show. Timing is cri cal to minute details. your show mailings. Consider the need for a single or a series of mailings. Plan a Disadvantages of Common Carriers realis c meline for your campaign. The disadvantages of common carriers Use pre-sor ng to save on postage. are that they o en make several your mailing success is to establish a t ra n s fe rs ( w h i c h i n c re a s e s t h e Take advantage of show management’s possibility of shipment damage), li le promo onal materials. Purchase pre- direct contact is made with the printed postcards for pre-show exhibitor (because they usually work mailings. The best way to measure directly with the show contractor or tracking system. Use a code on each exhibi on house), the load may not be mailing. As part of your incen ve offer, able to tolerate normal road shock (not encourage visitors to bring the mailing go o d fo r s e n s i ve e q u i p m e nt ) , common carriers only accept crated to your display in exchange for a gi . material.

opened, to get it read, and to get the reader to take ac on. Think about using envelope teasers, a en on-grabbing headlines, offers, tes monials, benefit charts or response coupons. Think about size, color, whether it will contain a reply mechanism or be just a simple p o stc a rd . C o l o r i m p ro v e s yo u r effec veness. Successful copy focuses on one key message. Highlight your uniqueness and compe ve advantage by stressing the benefit that is most important to your customer. When wri ng copy, go through who, what, where, when, and how exercise. Five mes as many people read headlines as read b o d y Plan Your Transporta on Make the right transporta on decisions for your

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The disadvantage of exhibi on freight companies is they can be more expensive.

The disadvantages of air freight are that brokers don’t have allegiance to any one freight or commercial airline, high costs, airline baggage handlers o en use harsh handling techniques and freight is limited to certain sized pieces.

Select a carrier that has a dedicated

age. Ask your carrier what insurance coverage they carry for individual shipments, whether they offer an exhibi on floater insurance policy (covers the display for the en re show), and what their procedure is for taking care of damage claims. Every reputable carrier is insured against loss or delay.

C h e c k fo r s p e c i fi c s . A s k a b o u t reimbursements for loss and specific guarantees concerning inclement

exhibi on services, 24-hour tracking capability and drivers who have experience delivering to show sites.

Check references and find out what procedures they take for support before, during and a er the move.

Find out from show management if they have an official carrier for the event. A recommended carrier is likely to offer special prices as an incen ve to use its services. To get the best pricing from your carrier, consider bidding annually or consolida ng all your corporate shipping needs.

There are several insurance op ons available for your exhibit: corporate insurance policies, common carrier or v a n l i n e i n s u ra n c e , a n d extended liability cover

weather or natural disasters. Label every box, carton or crate with the show name and booth number you are shipping even if you are crea ng a skid of boxes. Make sure all shipping labels are securely a ached on top of old labels. Take pre-printed labels with the return address to replace in-bound ones.

When exhibi ng interna onally, consier using a shipper that has a worldwide fleet or established subsidiary connec ons. Check what help they will give you with customs, documenta on procedures, temporary import bonds, warehousing and consolida on. Ask for guarantees for quick customs clearance and the shortest, least expensive delivery route.

Qualifying Prospects Ques ons are a

formidable business tool. They are the keys to unlocking many doors in any sales situa on. Asking open ended ques ons that engage a prospect and reveal needs is a powerful way to gather buying informa on. Let prospects know you are interested in helping them solve their problems.

Opening ques ons Find out immediately who you are talking to and where they are from. You don’t want to spend unnecessary me with visitors you cannot help. What are your main objec ves for a ending this show and what specific products or services are you looking for?

Tell me about the project you’re presently working on.

What are some of the major challenges you’re experiencing?

Inves ga ng needs Move on to more probing, businessspecific ques ons to create the fuel for your ul mate sale.

What do you like most about the product or service you are presently using and what would you like to change?

What are your top three criteria for buying?

Are you part of the buying team and, if so, what specific informa on are you looking for?

Demonstra ng ques ons During your demonstra on, keep the prospect involved and interested.

What do you think of this product's performance and how does it compare with what you are currently using?

What specific concerns do you have regarding our products, services, and doing business with us?

Closing ques ons Using well prepared closing ques ons can help produce appropriate follow-up ac on.

How does your company decide which vendors to work with?

What else would be important for you to know and what would you like to see as the next step?

16

Interna onal Exhibitors: Know Your Audience Know your audience and how to greet and address them. Formality is the norm for most cultures, using tles rather than first names. Shaking hands is customary for most Europeans.

Asians usually avoid body contact.

Japanese welcome guests with a bow, Chinese nod, bow or clap.

The business card is like a passport showing status and iden ty. Give the same respect to a person's card as you would the person. Study cards you are given. Never write notes on them, fold or even shove them in your pocket.

Consider prin ng cards on the reverse in the local language using a professional transla on service.

Be sensi ve to the meanings of colors and symbols in different countries. To be safe, always do your research. For example, black, white, yellow and purple are o en associated with funerals in Japan (purple in Brazil and yellow in Mexico). Red and yellow are considered lucky in China. In many Asian countries "four" denotes death and should be avoided, including products packaged in fours. "Seven" and "eight" are lucky numbers.

Assess the suitability of your product and service in foreign markets and decide if modifica ons are necessary like size, design, electrical and other standards, color or special packaging requirements. Make the necessary modifica ons to product literature, w a r ra n e s , t ra i n i n g m a t e r i a l s , promo onal and adver sing media.

It is best to hire a custom house broker or freight forwarder to handle moving your products overseas. They are extremely knowledgeable about import du es, documenta on, credit transac ons, cra ng services, insurance and bonding.

W h e n

transla ng copy or business communica on always use a na ve speaker with technical knowledge of your products and industry. English is the language of interna onal business, but decide whether you need to have an interpreter available.

Understand the decision making process In North America, decisions move at a rapid pace with quick answers and quick solu ons. Execu ves are o en frustrated with a lengthy decisionmaking process.

I n A s i a n co u nt r i e s , decision making starts from the lower levels in the organiza on and works its way up the ladder. Decisions are usually made collec vely and the process is o en slow and thorough.

In Europe, top-level management a ends shows expec ng to place orders. They want to deal with their counterparts in your company. They expect to discuss technical details and will o en want to close major deals at the trade show.

Take me to build rela onships through personal contact. It may take several appearances at trade shows b e fo re yo u r c o m p a ny i s ta ke n seriously. Make duplicates of all vital paperwork. Have names, addresses and phone numbers of important contacts, including your hotel in case you get lost. Know who can service your display overseas. Pack voltage converters.

Interna onal Exhibitors: Know Your Audience Know your audience and how to greet and address them. Formality is the norm for most cultures, using

tles rather than first names. Shaking hands is customary for most Europeans.

Asians usually avoid body contact.

Japanese welcome guests with a bow, Chinese nod, bow or clap.

The business card is like a passport

showing status and iden ty. Give the same respect to a person's card as you would the person. Study cards you are given. Never write notes on them, fold or even shove them in your pocket.

Consider prin ng cards on the reverse in the local language using a professional transla on service.

Be sensi ve to the meanings of colors and symbols in different countries. To be safe, always do your research. For example, black, white, yellow and purple are o en associated with funerals in Japan (purple in Brazil and yellow in Mexico). Red and yellow are considered lucky in China. In many Asian countries "four" denotes death and should be avoided, including products packaged in fours. "Seven" and "eight" are lucky numbers.

Assess the suitability of your product and service in foreign markets and decide if modifica ons are necessary like size, design, electrical and other standards, color or special packaging requirements. Make the necessary modifica ons to product literature, w a r ra n e s , t ra i n i n g m a t e r i a l s , promo onal and adver sing media.

17

It is best to hire a custom house broker or freight forwarder to handle moving your products overseas. They are extremely knowledgeable about import du es, documenta on, credit transac ons, cra ng services, insurance and bonding. When transla ng copy or business communica on always use a na ve speaker with technical knowledge of your products and industry. English is the language of interna onal business, but decide whether you need to have an interpreter available.

Understand the decision making process

In North America, decisions move at a rapid pace with quick answers and quick solu ons. Execu ves are o en frustrated with a lengthy decisionmaking process.

In Asian countries, decision making starts from the lower levels in the organiza on and works its way up the ladder. Decisions are usually made collec vely and the process is o en slow and thorough.

In Europe, top-level management a ends shows expec ng to place orders. They want to deal with their counterparts in your company. They expect to discuss technical details and

will o en want to close major deals at the trade show.

Take me to build rela onships through personal contact. It may take several appearances at trade shows before your company is taken seriously. Make duplicates of all vital paperwork. Have names, addresses and phone numbers of important contacts, including your hotel in case you get lost. Know who can service your display overseas. Pack voltage converters.

Look under the bonnet of a Kubota and you will find something very special.

Three words that convey trust, quality and engineering excellence, Mode in Don’t compromise. For your own peace of mind, insist on 100% Kubota.

Contact your local Kubota dealership or contact on +91 9940337618 | Email: madalasagar.s@kubota.com

‘” ƒ”–Šá ‘” ‹ˆ ‡ www.kubota.com

Agriculture Equipment Market : 2015-2020

Farm equipment, also referred as agricultural equipment, encompasses machinery that is used for the produc on of crops and agricultural livestock. Global farm equipment market hosts a wide variety of machineries that cater to the needs of agricultural workers of different regions. Farm equipment market report provides a detailed analysis on the industry by type, by farming phase and by region. Major products in the market include tractors, llage equipment, plan ng equipment, harves ng equipment and so on which is used at different phases of crop produc on.Farm mechaniza on gained its importance in the recent years with growing popula on and growing food requirements. The global market for farm equipment has witnessed a dras c change in product offerings due to the intensifica on of farms and

large-scale farming prac ces.

Tractors account for the maximum share in this market with China and India as the dominant markets in terms of volumes. Global farm equipment market is es mated to reach $200 billion by 2020 with 5.8% CAGR during 2015-2020. Increasing government support in the form of subsidies for the purchase of farm machinery and suppor ve market prices for crops are the major drivers of the market.The support provided by the government in the form of subsidies on the purchase of farm equipment is fuelling the growth of this industry in the developing economies. Growth will be driven primarily by sales gains in rapidly developing na ons, par cularly China, Brazil, and India, as these countries con nue to mechanize their agricultural sectors. Popula on expansion and strong economic growth in these na ons and in other developing na ons will put increasing pressure o n

their farm sectors to become more efficient and produc ve, resul ng in growth in machinery sales.

Agricultural machinery demand in the Asia/Pacific region was more than twice that of any other region in 2011.

China and India will be the primary n a o n s f u e l i n g f u t u re m a r ket advances in the region, although other smaller markets, including Thailand and Indonesia, will also expand rapidly. Central and South America will post strong sales gains as well, powered by growth in Brazil and other countries with large, increasingly mechanized agricultural sectors, such as Argen na.

Sales in Industrialized na ons Throughout the industrialized world, sales of farm equipment will be determined largely by demand for replacement machinery. North America and Western Europe will both record below average growth through 2016. Demand in these regions will be driven by technological advances, as the efficiency gains afforded by new, technologically sophis cated equipment will make it economically feasible for farmers to replace their machinery more frequently. However, many farmers in developed regions delayed replacing their older machinery during the 2008-2010 economic crises, avoiding major purchases of new machinery because of an uncertain economic environment. As a result, 2011 saw the beginning of a spike in demand for agricultural machinery, as be er economic condi ons prompted farmers to finally replace older machines. Since an average replacement cycle is generally eight to nine years, high demand in 2011 will mean many farmers will not be looking to replace machinery in 2016, constraining agricultural equipment

20

d e m a n d .T h e G l o b a l A g r i c u l t u r e Equipment market is driven by robust fundamentals & strong, long-term demand & growth drivers linked directly to a rapidly growing global popula on besides growing demand from the biofuel industry for agriculture sources based feedstock. The global agricultural output is required to double itself by 2050 as against the present level, in order, to match the rate of global popula on growth, as per projec ons, amid diminishing natural resources, thus, highligh ng & underscoring the imminent & urgent need for tremendously enhancing efficiency & produc vity through precision farming.

Addi onally, the global agriculture equipment industry is in the midst of a technology-driven evolu on phase involving incorpora on & integra on of a host of ICT technologies onto product pla orms that has augmented the capabili es of these machines tremendously by delivering enhanced opera ng efficiency through detailed performance monitoring & assessment, improved opera ng economics, focus on prognos cs and remote machinery tracking as well as diagnos cs. Further, new product development efforts under way across

key global OEMs have a significant focus as well as emphasis on technological innova ons capable of delivering & transla ng into performance & p r o d u c v i t y e n h a n c e m e n t s .T h e current & near term view of the industry is, however, dominated by con nued, significant pressures on farm incomes & profitability emana ng from an altered supply side economics with record crop produc on for 2014 across key geographic regions impac ng crop prices & farm incomes directly & significantly which is likely to h a v e a significant bearing on agriculture machinery sales over near term. The mul tude of pressures on top line growth h a v e necessitated & rendered compe vene ss as crucial to protec ng profitability across industry O E M s which have been working towards op mizing & aligning their cost base & industrial footprint with emerging demand scenario.

Machinery to grow fastest Tractors account for the maximum share in the global farm equipment market with China and India as the dominant markets.

In the past decade, precision farming prac ces have evolved dras cally with the integra on of computer-aided systems.

Large-scale farming in the developed regions has led to the usage of a d v a n c e d

technological solu ons within the farming ac vi es, such as remote sensing, wireless communica on, GPS Guidance and Data analy cs. Global leaders in the market have been providing farm management solu ons that ensure low-cost and efficient farm opera ons. Con nuous innova on prevails in this industry due to ever-evolving needs of farming. However, machinery that has been developed by manufacturers needs to be tested and permi ed for safety and emission before it is commercialized.

Environmental concern in agriculture has resulted in no- ll farming and drip irriga on and these prac ces have proven to be environmentally sustainable as well as economical. No- ll farming is majorly prac ced in the Americas and the Western European regions; whereas, it is negligible

in APAC and Africa.

Plowing and cul va ng machinery is also expected to be the fastest growing product type through 2016, expanding 9.1 percent per year to $10.7 billion as farmers in developing na ons purchase larger and more complex lling equipment to increase the produc vity of their land.

A ermarket parts and a achments demand is projected to increase at the slowest rate, climbing 5.5 percent per year to $27.8 billion in 2016 as the durability of new machinery con nues to improve, thus limi ng repair and maintenance spending.

22

Dimensions of 21st Century Indian Agriculture "The farmer needs right type of seeds, fertilizers, pesticides at the right time and at right source."

APJ Abdul Kalam A PJ Abdul Kalam (15 October 1931 – 27 July 2015) was the 11th President of India from 2002 to 2007.

A career scien st t u r n e d reluctant poli cian, Kalam was born and raised in Tamil Nadu and studied physics and aerospace engineering.

Kalam was elected President of India in 2002 with the support of both the ruling and the opposi on. A er serving a term of five years, he returned to his civilian life of educa on, wri ng and public service. He was a recipient of several pres gious awards, including the Bharat Ratna, India's highest civilian honor.

He was the Chief Guest and delivered the convoca on address during the 5th Convoca on Programme scheduled to be held on 19th May, 2015 at Birsa Agricultural University Campus, Ranchi (India), Agrimech is highligh ng some important points from his lecture as a tribute to that great personality.

“I am delighted to par cipate in the 5th Convoca on of Birsa Agricultural University (BAU), Ranchi. My gree ngs to the Hon’ble Chancellor, Vice Chancellor, Members of Board of Management and Academic Council; Deans of facul es, dis nguished guests, graduates and dear students. I am happy that Birsa Agricultural University has linked its educa on, research and extension with r u r a l devel

opment. It is heartening to know that BAU is contribu ng in developing strategies for op mum income to farmers with large, medium, small and marginal farm holdings. Friends, I congratulate all the students who are gradua ng today and also the faculty for shaping the young minds. Today, when I am in the midst of future agricultural scien sts, I would like to share few thoughts on Dimensions of 21st Century of Indian Agriculture.”

Six-inch layer of top-soil Friends, a few days back, I was reading a recently published book "What a wonderful World" wri en by Marcus Chown. I want to quote a beau ful paragraph from the book that captures well the importance of agriculture to sustain human life on our planet.

M a rc u s C h ow n w r i te s , " L et u s remember why we are here: because our farming ancestors learned the fine art of growing crops from the wild plants. Man despite his ar s c pretensions, his sophis ca on, and his many accomplishments, owes his existence to a six-inch layer of top-soil and the fact that it rains."

Agricultural produc vity Friends, it has been found that entrepreneurship plays a crucial role in the development and well-being of the society, as it creates jobs, drives and shapes innova on and promotes compe on which in-turn improves produc vity. Agricultural produc vity can grow and enrich our farmers only through integrated rural development involving agriculture and nonagricultural growth along with societal missions.

Today, one of the major problems in the field of agriculture is; small size land holding by farmers which is con nuously ge ng fragmented

due to our family structure. Under these circumstances, the only solu on for increasing the produc vity is to create a posi ve farmer coopera ve movement in our rural sector which will bring together small farmers facilita ng mechanized farming, silo storage, value addi on and marke ng of agroproducts. When the farmer's produc on increases, these coopera ves will forecast and establish networks with markets on behalf of the individual farmer members to facilitate rapid movement where there is a demand and profit cost. Also, the e n t re p re n e u rs s h o u l d p l a n fo r diversifica on and value addi on of the product needed by various sec ons of the society.

Transgenic technology Friends, last year marks the 30th anniversary of the first successful introduc on of a foreign gene into a plant. A transgenic crop plant contains a gene or genes which have been ar ficially inserted instead of the plant acquiring them through pollina on.

Depending on where and for what purpose the plant is grown, desirable genes may provide features such as higher yield or improved quality, pest or disease resistance, or tolerance to heat, cold and drought. Transgenic technology enables plant breeders to bring together in one plant useful genes from a wide range of living sources, not just from within the crop species or from closely related plants and expands the possibili es beyond the limita ons imposed by tradi onal crosspollina on and selec on techniques.

Transgenic BT corn, for example, which produces its own insec cide, contains a gene from a bacterium.

23

Good Quality Seeds Despite best efforts of all public and private agencies suppor ng agriculture in our country, availability of quality seeds to large number of farmers at reasonable price is s ll an important issue. Providing good and healthy seeds is the basic input for higher produc vity and quality produce. All stake holders in agriculture should pay added a en on to this important aspect. Par cularly, Birsa Agricultural University, Ranchi may take a mission mode opera on for providing right type of seeds at the right me at affordable cost through reliable marke ng ins tu ons, in addi on to soil tes ng Plant breeders and plant bio-technologists have to cope-up with increasing demands of quality seeds of different crops with useful characteris cs besides higher yield. The College of Biotechnology under BAU can take up the mission of providing the right type of seeds. I consider that the second green revolu on is possible only with provision of right type of quality seeds to the farmers.

Let me now discuss about o r g a n i c far

ming.

Be er value of Agriculture through organic farming Friends, in the environmental climate change; there is a need for Farmers, Agricultural Planners, Educa onists and researchers to increase the quantum of organic farming in the country. Organic agriculture recognizes that crop rota on and intensive partnership with animal husbandry is important to maintain ecological balance. In this respect, organic farming becomes a sustainable development process.

Farmers can realize be er value from the agricultural residue. Of course, various state governments have launched the unique mission giving priority and assistance to the farmers for organic farming.

Typical solu on based on scien sts and management experts An integrated development plan with employment genera on as the focus, driven by provision of the habitat, healthcare, educa on, skill development, physical and electronic connec vity and marke ng as a business proposi on in a sustainable manner is envisaged. Certain research a re a s h ave b e e n i d e n fi e d fo r agriculture sector. The Birsa Agricultural

University may like to consider taking it as a mission mode program involving R & D agencies, agricultural universi es, industry, farmers and the government: In many parts of the na on, it has been found that the soil is deficient in micro nutrients such as zinc, boron and sulphur.

There is a need to map this deficiency in different areas and bridge the gap through balanced fer liza on demonstrated on large farms and the mul -cropping system.

Providing improved quality seed varie es, matching the soil condi on and climate variability. The quality seeds have to be made available to the farmers to buy at the right me.

Forecas ng to the farmers correctly at the right me, the monsoon arrival and also the monsoon performance. Right input to the farmers accordingly should be available.

Promo ng appropriate land and water management prac ces for allevia ng water log ging and simultaneously h a r v e s n g w a t e r fo r s u b s e q u e n t supplemental irriga on. Farmers and agriculture scien sts have to work together.

Capacity building among stakeholders through training, skill development and online problem solving and knowledge

24

Capacity building among stakeholders through training, skill development and online problem solving and knowledge sharing through agri-clinics at block level.

Arranging efficient processing of produce which can result in a value addi on of 4 to 5 mes and increased shelf-life. Coopera ve farming can be introduced, par cularly for small land holding farmers, so that the seeding to the harvest and marke ng can be made more efficient.

We need research on nutri onal of aspect of food and create a plant, or farm mix which leads of efficient nutri on in the food produce.

My farmer friends tell me, that one of the key research and development area which they need is in the field of agro economics and development of proper markets for farm produce. I would also suggest research areas for BAU may include issues like forward pricing, breaking the monopoly and carteliza on of purchasers, fixing of spot prices before delivery and a market where the farmer has the choice on whom to sell.

Conclusion Friends, the second green revolu on is indeed a knowledge gradua on from characteriza on of soil to the matching of the seed with the composi on of the fer lizer, water management and evolving pre-harves ng techniques for such condi ons. The domain of a farmer’s work would enlarge from grain produc on to food processing and marke ng through coopera ves.

While doing so, utmost care would h ave to b e ta ke n fo r va r i o u s environmental and people related a s p e c t s l e a d i n g to s u sta i n a b l e development.

With this background, I would like to ask you, what would you like to be remembered for? You should write it on a page. That page may be a very important page in the book of human history. And you will be remembered for crea ng that one page in the history of the na on: Will you be remembered for planning a n d exe c u n g a s e c o n d g r e e n revolu on which can double the produc vity per hectare?

Will you be remembered for

developing new seeds which can be resistant to the weather vagaries?

Will you be remembered for evolving a strategy for biofuels, from plants and algae, which can effec vely replace fossil fuels?

Will you be remembered for implemen ng a roadmap for organic cul va on, free from harmful pes cides and chemical fer lizers which can give healthier food for all?

Will you be remembered for execu ng be er management of food processing, storage and marke ng to help farmers overcome market fluctua ons?

Will you be remembered for inven ng a new digital and computerized mechanism of managing farming equipment and machines, op mal irriga on and farm supervision?

My best wishes to all the gradua ng students and members of the faculty of Birsa Agricultural University, Ranchi for success in their mission of working towards enhancement of sustained agricultural produc vity for the na on.

May God Bless You Dr APJ Abdul Kalam

25

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Estimating of Farm Establishment Costs Machinery and equipment are major cost items in farm businesses. Larger machines, new t e c h n o l o g y, h i g h e r prices for parts and new machinery, and higher energy prices have all caused machinery and power costs to rise in recent years.

However, good machinery managers can control machinery and power costs per acre. Making smart decisions about how to acquire machinery, when to trade, and how much capacity to invest in can reduce machinery costs as much as $50 per acre. All these decisions require accurate es mates of the costs of owning and opera ng farm machinery.

Machinery Costs Farm machinery costs can be divided into two categories: annual ownership costs, which occur regardless of machine use, and opera ng costs, which vary directly with the amount of machine use.

The true value of these costs cannot be known un l the machine is sold or worn out. But the costs can be es mated by making a few assump ons about machine life, annual use, and fuel and labor prices.

Ownership costs (also called fixed costs) include deprecia on, interest (opportunity cost), taxes, insurance, and housing and maintenance facili es.

Deprecia on Deprecia on is a cost resul ng from wear, obsolescence, and age of a machine. The degree of mechanical wear may cause the value of a par cular machine to be somewhat above or below the average value for similar machines when it is traded or sold. The int

roduc on of new technology or a major design change may make an older machine suddenly obsolete, causing a sharp decline in its remaining value. But age and accumulated hours of use are usually the most important factors in determining the remaining value of a machine.

Before an es mate of annual deprecia on can be calculated, an economic life for the machine and a “salvage value” at the end of the economic life need to be specified. The economic life of a machine is the number of years over which costs are to be es mated. It is o en less than the machine’s service life because most farmers trade a machine for a different one before it is completely worn out. A good rule of thumb is to use an economic life of 10 to 12 years for most farm machines and a 15-year life for tractors, unless you know you will trade sooner.

Salvage value is an es mate of the sale value of the machine at the end of its economic life. It is the amount you could expect to receive as a trade-in allowance, an es mate of the used market value if you expect to sell the machine outright, or zero if you plan to keep the machine un l it is worn out.

Interest If you borrow money to buy a machine, the lender will determine the interest rate to charge. But if you use your own capital, the rate to charge will depend on the opportunity cost for that capital elsewhere in your farm business. If only part of the money is borrowed, an average of the two rates should be used. For the example we will assume an average interest rate of 7 percent.

Infla on reduces the real cost of inves ng capital in farm machinery, however, since loans can be repaid with cheaper dollars. The interest rate should be adjusted by subtrac ng the expected rate of infla on. For o u r exa m p l e

we will assume a 2 percent infla on rate, so the adjusted or “real” interest rate is 5 percent.

The joint costs of deprecia on and interest can be calculated by using a capital recovery factor. Capital recovery is the number of dollars that would have to be set aside each year to just repay the value lost due to deprecia on, and pay interest costs.

For the example, the capital recovery factor for 15 years and 5 percent is 0.096. The annual capital recovery cost is found by first mul plying the appropriate capital recovery factor by the difference between the total deprecia on, then adding the product of the interest rate and the salvage value to it.

Taxes, insurance, and housing (TIH) These three costs are usually much smaller than deprecia on and interest, but they need to be considered.

Property taxes on farm machinery have been phased out in Iowa, except for very large inventories. For states that do have property taxes on farm machinery, a cost es mate equal to 1 percent of the average value of the machine is o en used.

Insurance should be carried on farm machinery to allow for replacement in case of a disaster such as a fire or tornado. If insurance is not carried, the risk is assumed by the rest of the farm business. Current rates for farm machinery insurance in Iowa range from $4 to $6 per $1,000 of valua on, or about 0.5 percent of the average value.

There is a tremendous varia on in housing provided for farm machinery.

P r o v i d i n g s h e l t e r, t o o l s , a n d maintenance equipment for machinery will result in fewer repairs in the field and less deteriora on of mechanical parts and appearance from weathering.

That should produce greater reliability in the field and a higher trade-in value.

An es mated charge of 0.5 percent of the average value is suggested for housing costs.

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Total Ownership Cost The es mated costs of deprecia on, interest, taxes, insurance, and housing are added together to find the total ownership cost.

Opera ng costs (also called variable costs) include repairs and maintenance, fuel, lubrica on, and operator labor.

Repairs and Maintenance Repair costs occur because of rou ne maintenance, wear and tear, and accidents. Repair costs for a par cular type of machine vary widely from one geographic region to another because of soil type, rocks, terrain, climate, and other condi ons. Within a local area, repair costs vary from farm to farm because of different management policies and operator skill.

The best data for es ma ng repair costs are records of your own past repair expenses. Good records indicate whether a machine has had above or below average repair costs and when major overhauls may be needed. They will also provide informa on about your maintenance program and your mechanical ability. Without such data, though, repair costs must be es mated from average experience.

Fuel Fuel costs can be es mated in two ways. Lists average fuel use in gallons per acre for many field opera ons.

Those figures can be mul plied by the fuel cost per gallon to calculate the average fuel cost per acre.

Lubrica on Surveys indicate that total lubrica on costs o n

most farms average about 15 percent of fuel costs. Therefore, once the fuel cost per hour has been es mated, you can mul ply it by 0.15 to es mate total lubrica on costs.

Labor Because different size machines require different quan es of labor to accomplish such tasks as plan ng or harves ng, it is important to consider labor costs in machinery analysis.

Labor cost is also an important considera on in comparing ownership to custom hiring.

Actual hours of labor usually exceed field machine me by 10 to 20 percent, because of travel and the me required lubrica ng and servicing machines.

Consequently, labor costs can be es mated by mul plying the labor wage rate mes 1.1 or 1.2.

Total Opera ng Cost Repair, fuel, lubrica on and labor costs are added to calculate total opera ng cost.

Total Cost A er all costs have been es mated, the total ownership cost per hour can be added to the opera ng cost per hour to calculate total cost per hour to own and operate the machine.

Implement Costs Costs for implements or a achments that depend on tractor power are es mated in the same way as the example tractor, except that there is no fuel, lubrica on, or labor costs involved.

Used Machinery Costs for used machinery can be es mated by using the same procedure shown for new machinery.

However, the fixed costs will usually be lower because the original cost of the machine will be lower. And repair costs will usually be higher because of the greater hours of accumulated use.

Therefore, the secret to successful used machinery economics is to balance higher hourly repair costs against lower hourly fixed costs. If you misjudge the condi on of the machine such

that your repair costs are higher than you an cipated, or if you pay too high a price for the machine so that your fixed costs are not as low as you an cipated, the total hourly costs of a used machine may be as high or higher than those of a new machine.

Total Costs per Opera on Tractor costs must be added to the implement costs to determine the combined total cost per hour of opera ng the machine.

Finally, total cost per hour can be divided by the hourly work rate in acres per hour or tons per hour to calculate the total cost per acre or per ton.

The hourly work rate or field capacity of an implement or self-propelled machine can be es mated from the effec ve width of the machine (in feet), its speed across the field (in miles per hour), and its field efficiency (in percent). The field efficiency is a factor that adjusts for me lost due to turning at the end of the field, overlapping, making adjustments to the machine, and filling or emptying tanks and hoppers.

Income Tax Considera ons The tax treatment of different methods of acquiring machine services is a major factor in evalua ng machine costs. If a machine is purchased, all variable expenses except unpaid labor are deduc ble when determining income tax liability. Housing expenses, taxes, insurance, and interest payments made on a loan to finance the machine purchase are also tax deduc ble.

Deprecia on for tax purposes is calculated quite differently from economic deprecia on due to the actual decline in value of a machine. Tax deprecia on methods reduce salvage value to zero a er a few years for most machines. Tax deprecia on expense is useful for calcula ng the tax savings that result from a machinery purchase, but should not be used to es mate true economic costs.

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5 Actual Uses For Drones In Precision Agriculture Today

Having covered the Agriculture retail industry and drones in precision agriculture over the past three years, I’ve heard a lot at this point on the subject of drone applica ons on the farm.

From the ability to image, recreate, and analyze individual leaves on a soybean plant from 400 feet, to ge ng informa on on the water-holding capacity of soil, to variable-rate water applica ons out West, the industry has been sold -and sold HARD- on how UAVs can deliver ROI for both growers and crop consultants alike.

Unfortunately, many of the promises being made to our na on’s food suppliers simply cannot be delivered or backed up by proper research… yet. The FAA is just now opening up segments of the na onal airspace for commercial research to take place.

In the coming years all of the possible uses for these flying robots will be fleshed out by the industry itself, but for now here are five applica ons that are already being

implemented on someone’s Back Forty, somewhere (as long as FAA doesn’t find out): Mid-Season Crop Health Monitoring (aka Scou ng): The ability to inspect inprogress crops from on high with Normalized Difference Vegeta ve Index (NDVI) or near-infrared (NIR)

sensors is, thus far, the #1 use for drones in farming. A task that tradi onally was done by o enreluctant college interns walking fields with notepad in hand, drones like SenseFly’s eBee Ag now allow for coverage of more acres, as well as the capturing of data that cannot be seen by the human eye (NDVI). Plus, it removes much of the human error aspect of tradi onal scou ng, though physically inspec ng areas of concern a er

v i e w i n g t h e i m a g e r y, i s s l l recommended.

Irriga on Equipment Monitoring: Managing mul ple irriga on pivots is… well, it’s a pain, especially for large growers that have many fields spread out across a county or region. Once crops like corn begin reaching certain heights, mid-season inspec ons of the nozzles and sprinklers on irriga on equipment that deliver much-needed water really becomes a pain-in-theyou-know-what.

Mid-Field Weed Iden fica on: Using NDVI sensor data and post-flight image processing to create a weed map, growers and their agronomists can easily differen ate areas of high-intensity weed prolifera on from the healthy crops g ro w i n g r i g h t a l o n g s i d e t h e m .

Historically, many growers haven’t realized how pronounced their weed problem was un l harvest me.

Variable-Rate Fer lity: Although many will argue ground-based or satellite imagery, along with a dedicated grid soil sampling program, are more prac cal for the purpose of refining Nitrogen, Phosphorus and Potassium applica ons in agriculture, drones do have their fit.

22

Agribo x, a Boulder, CO-based ag drone service startup, has used NDVI maps to direct in-season fer lizer applica ons on corn and other crops.

By using drone-generated, variablerate applica on ( V R A ) maps to determine the strength of nutrient uptake within a single ďŹ eld, the farmer can apply 60 pounds of fer lizer to the struggling areas, 50 pounds to the medium areas, and 40 pounds to the healthy areas, decreasing fer lizer costs and boos ng yields.

Ca le Herd Monitoring: Many growers

adding ca le or swine opera ons.

Drones are a solid o p o n f o r monitoring herds from overhead, tracking the quan ty and ac vity level of animals on one’s property. And they are especially helpful for nightme monitoring due to the human eye’s inability thus far to evolve to the point

during the days of depressed commodity prices in the late-90s to early 2000s made the call to diversify their farms b y

of seeing in the dark.

So there you have it. As the calendar turns to 2015, these are the current most-common uses we are seeing for drones in precision agriculture. Of course, we do expect this

list to undergo explosive growth in the

near-future as more and more research t a ke s p l a c e , s o s t a y t u n e d t o DroneLife.com and our ongoing coverage of drones in precision agriculture.

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Drones to help Rajasthan, Gujarat farmers detect crop diseases "Remote sensing through unmanned aerial vehicles allows nondestruc ve sampling to observe agronomic indicators every square meter.

We did a pilot project l a st ye a r a n d w i l l increase its coverage across Rajasthan and Gujarat this year," said Ja n Singh, CEO of SKYMET.

NEW DELHI: Farmers in Gujarat and Rajasthan could soon have an unmanned aerial vehicle flying over their fields to survey their crops, helping them map crop diseases along with assis ng insurance companies in se ling claims.

Weather forecaster SKYMET has already conducted a pilot project in p a r t s o f G u j a rat to m a p t h e groundnut crop along with Agriculture Insurance Company (AIC) of India and will soon be flying across field in the coming summer.

help AIC in giving farmers claims."

The automa c and remote controlled UAVs cover 5 sq km in a single flight, with generally two flights (missions) per day. UAVs send images every five seconds and provide geo referenced images.

"It's a beneficial technology for states that have digi zed land records or are in the process of digi zing. Pictures clicked by the unmanned aerial vehicles can be superimposed on digital maps of states and we can iden fy farms and The technology has crops sown," said PJ Joseph, been in use in the chairman and managing director of United States and AIC. other developed countries to map crop Joseph said that with farmers not posi on, control farm declaring the correct crop for s u b s i d i e s , d e t e c t insurance, the technology helped p e s t s , m o n i t o r them find out total area under a nutri onal and water par cular crop sown. "UAVs are stress on crops, and being used the world over. I feel that even spray fer lizer o n a c o m m e r c i a l b a s i s t h e a n d p e s c i d e s o n technology is cheaper than sending people in fields," he said. crops.

S K Y M E T provides weather informa on to governments, SKYMET, along with companies, commodity markets, the AIC and Gujarat government, interna onal organiza ons and used satellite remote sensing banks. technologies and drones across 10 villages in Morbi district of Gujarat In 2014, it raised $4.5 million from a consor um of investors led by Asia last year.

Pacific, an investment arm of the "We covered the groundnut crop, UK's Daily Mail Group. clicking images a few cen meters away, which is not possible via The company plans to use proceeds satellite," said Singh. Satellite's from the series B round of financing, resolu ons are less and if a cloud in which SKYMET's exis ng investor, cover comes, then you can't use the the Godrej group-backed Omnivore images, he said, adding, "At a me Partners also par cipated, to when land holdings are less and introduce new instrumenta on for there is mul cropping we were tracking hail and frost, research and able to help Gujarat government in d e v e l o p m e n t f o r w e a t h e r monitoring of the agriculture area forecas ng, forecas ng for crop and crop yield. The data area and yield, and to expand the c o u l d market for its services.

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33

Robot farmers are the future of agriculture

This highly popular robot attaches to a tractor and thins out lettuce fields. It can also spray insecticide and weed the rows between crops.

Will robot feet in near-future me walk upon England's mountains green? And will there be drones flying overhead from England's pleasant pastures seen?This highly popular robot a aches to a tractor and thins out le uce fields. It can also spray insec cide and weed the rows between crops.

A new vision of robots patrolling the meadows and cornfields of the UK may seem dark and satanic to some, but according to farmers and the government it is the future, and will bring efficiencies and benefits, and an end to some of the most back-breaking jobs around the farm.

An increasing number of "farmbots" are being developed that are capable of finicky and complex tasks that have not been possible with the large-scale agricultural machinery of the past.

For instance, a "le uce bot" is capable of hoeing away ground weeds from around the base of plants. A "wine bot" trundles through vineyards pruning vines. Other bots are under development to remotely check crops for their growth, moisture and signs of disease.

Owen Paterson, the secretary of state for the e nv i ro n m e n t , fo o d a n d r u ra l a ffa i rs , enthusias cally embraced the prospect at the Oxford Farming Conference this week, saying: "I want our farmers and food producers to have access to the widest possible range of technologies, from new applica ons of robo cs and sensor technology to new LED ligh ng in greenhouses and cancer-

figh ng broccoli."

The government has set out for the first me an "agri-tech" strategy, with £160m in public funding. Of this cash, about £70m will go to commercializing new agricultural technologies – including robots, and £90m will be spent on se ng up centres for agricultural innova on that will seek to develop farm technology for export, with the help of a new unit within UK Trade and Investment. There will even be a new "agri-tech business ambassador", Paterson boasted, charged with driving forward exports of new technologies.This machine picks strawberries with alarming speed and efficiency. Sensors on the robo c arms can actually tell which berries are ripe and which aren't based on the shape and size of the unpicked berry. It even packs them in boxes!

It is not just on the ground that technology promises to transform farming. Unmanned air vehicles, or drones, are also coming into play on farms. In South America, with its vast ranches, drones are being used for the surveillance of widely dispersed herds and crop monitoring, and in Japan smaller models are programmed to spray pes cide on crops. In the US, there are experiments under way to use drones for surveillance and perhaps even herding.

In the UK, there is likely to be less scope for drones – our farms are smaller and easier to manage on the ground, and the prospect of filling the sky with a profusion of small aircra is likely to raise safety concerns.

Peter Kendall, president of the Na onal Farmers Union, said technology had been key to raising farm produc vity, and this would con nue with more "futuris c" appliances such as robots. He pointed out that automated "robo c" milking machines are becoming increasingly common on large dairy farms.

These can milk many cows at a me, some mes on a revolving pla orm that li s the cows to the milking sta on. Some research suggests this could be be er for the cows and improve yield. Arable and vegetable farmers have also made great use of GPS for mapping their crops, he added, and monitoring yield, weed incidence and other vital data, leading to

"real rewards".This big but low cost orangepicking gadget can clear an orange tree for as li le or less than what human labor would cost.

That means picking an orange every two to three seconds which might sound slow. But remember: This robot never gets red.

Kendall said: "The use of unmanned robots is rather more futuris c but people are working on it. As well as field opera ons, there is poten al in fruit harves ng and even livestock management. It is certainly an exci ng me to be involved in farming."

But there is also scep cism over how likely it is that new robot technology will take off. Emma Hockridge, head of policy at the Soil Associa on, said: "The poten al use of robots on farms has been discussed for years, but we haven't yet seen anything prac cal close to reaching the market."

While the prospect of replacing seasonal workers with robots may be a rac ve for farm bosses looking to consolidate into bigger units, farm workers may be less keen. Hock ridge said t h e g o v e r n m e n t a n d fa r m e rs s h o u l d concentrate on the be er use of exis ng technologies: "In food and farming, which is now our biggest manufacturing industry, we think the priority should be crea ng more and good quality meaningful jobs. Organic farms provide almost 50% more jobs per hectare and over 30% more jobs than non-organic farms."

Even enthusiasts for such technology acknowledge that the advanced robots now being drawn up will take years and probably decades to reach the commercial stage. Prof Simon Blackmore, head of engineering at Harper Adams University, told the Oxford conference on Wednesday that his vision was for "farming with robots in 2050", by which me he believes this should be prac cal.

Some may never catch on. Perhaps the oddest robot yet under development and most unse ling for anyone a ached to tradi onal farming prac ces – is the development of a robot for herding livestock. The bot wheels around pastures on remote control, drawing stragglers back to the herd, though without actually having to nip at their heels. Presumably the dogbot dreams of electric sheep.

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