SABRAS Combining Cause and Commerce
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Transcript of SABRAS Combining Cause and Commerce
SABRASCombining Cause and Commerce
Purshottam SonagraManager(Operations)
Sabras Processing & Marketing Pvt. Limited“ISHAVASYAM”
Opp. Lajpatnagar, Eeshita Towers Road, Navrangpura, Navjeevan, Ahmedabad-380 014
SABRAS - Inception, ideology and initiator
SABRAS is India's first poor owned, poor controlled, professionally managed (not poorly managed) for-profit company that aggregates the small marginalized Agariyas(vernacular for salt pan workers)
SABRAS is a successful example of helping small salt producers rise in the value chain through a corporate entity - ensuring creation and distribution of wealth
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“During cremation, feet of the Agariyas do not burn along with rest of the body as they contain lots of salt, collected due to constant touch with saline water.”
“The cost of the bag carrying salt is more than the price of the salt paid to salt producer”.
Two shockers which moved us to take up the cause
SABRAS – Organization and impact
Our Partners & Affiliations
SABRAS at present
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For Salt ProducersSabras has successfully installed and operationalized 12 solar pumps replacing diesel pumps (savings of 60%)
Increased procurement price from Rs 185/MT to Rs 230/MT from Agariyas – 56%
For SABRASIncreased volume of annual sales from 7,500 MT to 15,000 MTsProcurement increased from 28 to 40 producers Sales from 4 buyers to 13 buyers
Primary Producers AHRS
Exclusive relationship with Agariya Hit Rakshak Sangh, Union of Agariyas with
4,500 members
SABRAS has an exclusive partnership
with this union
Technical CSMCRIStrategic development advice provided by Central Salt & Marine Chemicals Research
Institute, Government of India InstituteTechnical consultancy
for salt and by-products
Government GLPC Gujarat Livelihood Promotion Company, Government of Gujarat
Investment MoU signed in 2011 to promote
livelihood
Pilot Project Partner NABARD National Bank for Agriculture and Rural
Development
Loan for pilot solar pump under Rural Innovation Fund
India’s production
estimated to be double by 2020
to 40 million tones
India is third largest
producer of salt globally
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Overview of the Salt Industry
Current India Production
20 million tones per yearGujarat Produces 70% of India’s Salt
Production14 million tones per year Salt is produced in
Gujarat*
Gujarat has two types of Salt
Marine(78%)
* 2005 Figures
3 million tones
Inland(22%)
11 million tones
Salt Production in Gujarat
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Marine Salt (78%)
Geographical Area
Number of people employed
• Shoreline of Gujarat
• Greater Rann of Kutch• Little Rann of
Kutch
• Little Rann of Kutch
• 70,000 people *Also includes laborers
Little Rann of Kutch is the focus area for SABRAShoping to impact approximately 30,000 individuals involved in the process of salt production
Little Rann of Kutch is land mass spread over 5180 Sq Kms having dual characteristics of saline desert and wetland
Source
Sea Brine
Inland Salt (22%)
• 30,000 people *Also includes laborers
Sub Soil Brine
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Our Workspace – The Little Rann of Kutch
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Our Workspace – The Little Rann of Kutch
• Estimated production per year : 40,00,000 MTs (40 lacs or 4 million MTs)
• SABRAS wants to capture 10% market share in next 5 years• Each Agariya produces approximately 2000 tonnes per year• Over the next five years SABRAS aims to reach out to 200 Agariyas• Estimated Agariya families in LRK: 10, 000• LRK has six major salt producing zones with pre-dominance of two
types of saltZone Name Typicality Sea Brine or Inland
Dhangadhra Good for Poda InlandSantalpur Good for Poda InlandKharaghoda Good for Poda InlandAdesar Good for Karkatch Inland
Maliya Goodfor Karkatch Both
Halvad Good for Karkatch Inland
• Currently SABRAS’s operations are most active in Dhangadhra and Halvad regions
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Salt Business and the Players in LRK
Agariya
A Chemical Company e.g. DCW Ltd – Industrial
Consumption
Wagon Quota Holder
Big Trader + Holds a Captive
Processing Unit
Processor, One who makes and packs refined salt
Wagon Quota Holder
Bulk Buyers in Northern
India, Nepal, Bhutan
A Chemical Company
Some other Industrial unit like a Tannery
Exports
Big Trader/SABRA
S
Wagon Quota Holder
A Chemical Company
Some other Industrial unit like a Tannery
Salt Processor
Refined SaltExports
Retail shelves if own label
Dealer/Distributor of an established brand - Job-work
Industrial Uses in India
SABRAS – Operates in Salt Business Ecosystem
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Sabras wants to install and operationalize 200 solar pumps replacing diesel pumps over next 5 years
Salt Produce
rTrader Transporte
rWholesaler
Processor
Retailer
Industrial
Use Consumer
Rs 145/MT
Rs 5200/MT
Salt Value Chain
Salt producer gets only about 1% to
8% of Rs 4,600/MT
Sabras’ intervention and business model
Fair flow of margins results in better incomes for salt producers
Salt Produce
r
Sabras
TraderTransporte
r
Wholesaler
Processor
Sabras
SabrasRetailer
Industrial
Use Consumer
Rs 200/MT Rs 5200/MT
Solar Pump
Belongs to salt producers once pump value paid back
Salt
Salt
Credit
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1 family = 4 members4 members work for 180 days
So ,180 days ×4 members=720 working days
1 pan produces 700 tones app.3× 700=2000 tones salt app.
3 pans require 2 diesel engines for 200 daysCost of diesel per engine= 8-10 liters/day
Per season an Agariya produces 2000 tones of salt from 3 salt pans
Statistics of salt production per season
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No Activity Diesel pump Solar pump
1 Labor for making of the Pans ( 5×3×200 )
3000/- 3000/-
2 Maintenance of diesel engine/ Solar pumps
10,000/- 10,000 /-
3 Cost of diesel (200×8×45 )
72,000/- Nil
4 Labor for taking out the finished product from
the salt pans ( 10 × 3× 200 )
6000/- 6000/-
5 Total expense 91000/- 19000/-
Income1000 ton ×145=1,45000
Expense for 1000 ton Salt production
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Financials
Income Expense Savings1,45000/-
91,000/- 54,000
Diesel Pump
To ensure savings of 54,000/- 2 members of the family works
for 180 daysBringing their savings to 54,000/360 = 150Rs/ day
Solar Pump
Income Expense Savings1,45000/-
19,000/- 1,26000/-
To ensure savings of 1,26000/- 2 members of the family works
for 180 daysBringing their savings to
1,26000/360 = 350Rs/ day
Models AvailableNo Capacity of Pump TYPE Depth Litre /Day1 900 W-PV Monobloc 10 Ft 1,00,000 Lt2 1400W-PV Submersible 30 Ft 1,25,000 Lt3 1800 W-PV Submersible 50 Ft 1,30,000 Lt4 3000 W-PV Submersible 70 Ft 1,30,000 Lt5 5000 W-PV Submersible 100 Ft 1,75,000 Lt
Capacity Of PumpsNo Pump Capacity Depth Litre /Day1 1400 W 10 Ft 2,00,000 Lt
30 Ft 1,25,000 Lt50 Ft 1,00,000 Lt
2 1800 W 10 Ft 2,50,000 Lt30 Ft 1,75,000 Lt50 Ft 1,30.000 Lt
• Solar panel : Waaree Engineers Pvt ltd.• DC Pump with motor : Lorenz, Germany.• Panel Structure : Bright Solar Pvt ltd• HDPE PIPE : Reliance Industries ltd• Cable : ISI standard brand
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We use
Our special Features
• India’s first low cost self run pump on Solar energy
• Can work on any water level• Extensive R& D ensures extra features and latest
technology• Low cost makes it easier for any one to install• Free from night time farming• Get water without electric connection• Government approved
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Financial helpCapital subsidy of
30 % of the total amount
Facts
Warranty/lifeWarranty of 5 years
for all the systemLife of the system is
25 yearsApplicationsFarming through bore
wellFarming through river
& canalDrip irrigation &
drinking water
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Special features of Monobloc Pump :
No Model BS-9-SF Bs-18-SF BS-30-SF
1 Capacity of the Solar
panels
900 W 1800 W 3000 W
2 Capacity of the pumps
1 h.p. 2 h.p. 3 h.p.
3 Foot Depth 10Foot 21 Foot 21 Foot4 Discharge
pipe1 inch 2 inch 3 inch
5 Water out flow from 18 feet depth/
hour
12,000 24,000 44,000
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Special Features of Submersible pump :
No Model BSPL-9- SB
BSPL-18 SB BSPL-30 -SB BSPL-50-SB
1 Capacity of the Solar panels
900 W 1800 W 3000 W 5000 W
2 Maximum depth
capacity
60 Feet 100 Feet 200 Feet 300 Feet
3 Discharge pipe
1.25 inch 1.25/2 inch 2/3 inch 2/3 inch
4 Water out flow from
30 feet depth/ hour
50,000 1,25 ,000 3,00,000 5,00,000
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Thank you for your timePurshottam Sonagra
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Trust in SABRAS for the second salt march