Presentation by- A. Praveen Reddy Ex. MLA President, MCRBMS - - PowerPoint PPT Presentation

Success story of

Mulkanoor Co-operative Rural Bank and Marketing Society Ltd.,

Presentation by-

• A. Praveen Reddy Ex. MLA

President, MCRBMS Director, IFFCO

Out here, in the interiors....

14 villages surrounded by and Dried Canals Craggy Hillocks, Dried Tanks,

You will meet poor farmers…

Who really put in honest toil,

Ploughing Harvesting Sowing Weeding

Growing Maize Ground Nut Cotton Paddy

and smiles of prosperity…

Because, they are farmers and not supposed to live on some one else's dole...

that their grandfathers built a temple of trust, a hand that helps. a Co-operative,

This is not a story about the Co-operative.

But of the farmers

without whom there would be no Co-operative.

Tribute to the man who made it happen

Late Sri. A. K. Vishwanatha Reddy Founder President (1926-1986)

Prevailed Conditions

Prior to formation of MCRBMS

Poor Soils Lack of power supply Lack of communication Exploitation by money lenders

Poverty Stage Dignified Life

Vision

by uplifting Socio-Economic Status

Mission

“ Voluntary, Democratic, Accountable, Self Reliant Cooperative to ensure farmer control over Agricultural Production & Marketing ” a farmer from

Cooperative Ensures

 Membership is voluntary  Democratic approach  Surplus distributed equitably  Work with other like organisations  Participation in social activities

Progress

• Several Cooperatives were formed in 1950’s in rural India
• This cooperative too was formed in 1956

1956 2017 Members 373 7404 Shares

• Rs. 2,300
• Rs. 15.85 Crores

Thrift Deposit

• Rs. 26.89 Crores

Employees 1 138 Storage Capacity

• 38,078 M T

SC ST BC OC Total Male 874 477 4076 1023 6450 Female 156 44 551 203 954 Total 1030 521 4627 1226 7404

Marginal

Less than 1 Hectare

Small

1 Ha – 2 Ha

Big

More than 2 Ha

Total

• No. of Members

3795 2723 886 7404 Percentage 51% 37% 12%

Membership Pattern

Services

Loaning

• Seasonal Crop Loan
• Medium Term Loan
• Long Term Loan
• Normal Crop Loan

Savings

• Shares
• Thrift Deposits
• Fixed Deposits
• Saving Deposits
• Current Deposits

Economic

Consumer

• Cloth Shop
• Food Grains Shop
• Petrol Pump
• Cooking Gas (LPG)

Welfare Services

• Funeral Expenses
• Drinking Water
• Scholarships to Students
• Animal Health Camps
• Member Health Camps

Social

Inputs

• Fertilizers
• Pesticides
• Seeds
• Technical Support

Marketing

• Agri. Produce

Procurement

• Value Added Services
• Sale of Products

Paddy Seed Rice Cotton Bales

Agriculture

Seasonal Crop Loan Financial Services

Paddy Cotton

Amount

• Rs. 28,000 / Acre

Interest Rate 7% p.a

• n repayment in

time

7% Int. Rebate upto Rs. 1 Lakh 4 % int Rebate Rs. 1-3 Lakh

Maize Ground Nut

• Medium Term Loan
• Agri. Implements

Agri. Machinery Allied Activities Welfare Activities

Digging Well Power Sprayer Poultry Toilets

Electric Motor

Power Tiller Dairy Solar Inverter Pipe Line Rotavator Sheep LPG Gas Sprinklers Tractor Trailer

Horticulture

Drip Irrigation

Maize Sheller

• Medium Term Loan

Interest Rate 12% p.a Loan Amount as per unit cost

Repayment in 3 Years i.e. 6 Installments / Each season as one Instl

• Long Term Loan

Financial Services

Harvester Tractor Citrus Mango

 Repayment in 7 Years / 14 Installments / Each season as one Instl.  5 Years gestation period for Orchards

Interest Rate 12% p.a Loan Amount as per unit cost

• Normal Loan

Financial Services

• Int. Rate

12% p.a Marriages Chronic Diseases Higher / Technical Education Agriculture Development

Particulars Amount Disbursed FY 2014 – 2015 Rs FY 2015 – 2016 Rs FY 2016 – 2017 Rs

Crop Loan 49,41,19,560 76,05,88,454 92,14,51,778 Medium Term Loan 3,07,20,410 7,95,32,050 4,50,87,840 Long Term Loan 1,76,64,887 1,26,72,794 2,53,83,017 Normal Loan 64,49,69,800 89,84,71,000 90,53,42,100

Total 118,74,74,657 175,12,64,298 189,72,64,735

Loans Disbursed to farmers

• Rs. 189 Crores of credit has been facilitated to farmer members

Resources

Rate of Interest per annum

Financial Services  SHARE CAPITAL 15% Dividend  THRIFT DEPOSITS 8%  FIXED DEPOSITS 7%  SAVING DEPOSITS 4%  CURRENT DEPOSITS

• 

State Bank of India  NCDC – National Cooperative Development Corporation

Financing Institutions

Agriculture Inputs Service

Fertilizers Pesticides Seeds Electric Motors Sprayers

• Agri. Impli.

Farmers Training

• Agri. Tech. Services

Field Training

Supply of Agriculture Inputs

FY 2014 – 2015 Rs.

FY 2015 – 2016 Rs. FY 2016 – 2017 Rs. Fertilizers 11,10,34,895 7,23,67,678 9,11,50,064 Paddy Seed 1,18,50,460 77,37,260 1,29,21,206 Cotton Seed 1,31,88,242 75,94,035 64,23,520 Pesticides 75,87,478 61,14,912 85,53,029

• Agri. Implements

1,08,81,989 1,36,42,929 1,79,98,544

Total 15,45,43,064 10,74,56,814 13,70,46,363

Procurement

• Paddy Procurement at the Village Godown
• Purchase of Paddy at market rate / MSP which ever is high
• Post harvest storage risk is reduced
• Risk of Transportation is reduced
• Market Exploitation is Eradicated
• Human Resource is saved
• Saving of Rs. 100/- per quintal

Particulars FY 2014 – 2015 Quintals

FY 2015 – 2016 Quintals FY 2016 – 2017 Quintals Paddy 1,87,300 38,671 62,134 Paddy Seed 1,36,633 82,185 1,12,804 Cotton 44,200 87,700 62,519

Economic Benefit on Paddy Procurement – One Hectare Farmer

Particulars MCRBMS (Rs.) Open Market (Rs.) Difference (Rs.) Purchase Rate 1510/- 1440/- 70 Transportation 10 40 30 Market Fee (1%)

• 13

13 Trading Commission (2%)

• 26

26 Weight Loss

• 25

25 Bonus Amt per Quintal 85

• 85

Benefit per one quintal of Paddy 249 1 Ha, (70 Quintals X 249/-) 17,430/-

for One Quintal

• In case of cotton procurement, Benefit per quintal of cotton is Rs. 703/-
• Small farmer gets a yield 25 quintals / Ha. So, the farmer get economic benefit
• f Rs. 17,575/- (25 X 703/-) on cotton

Value Added Services

• Para Boiled Rice Mill with JAPANESE Satake Technology– 4 Tons / Hr Capacity
• 7 Seed processing units with 18 tons / Hr
• 35 cotton ginning machines with bales pressing unit

Branding & Marketing- Paddy Seed

FY Area Covered Acres Quantity Tons Value 2014 - 15 3,41,074 10,232 19,21,55,690 2015 - 16 3,34,077 10,022 21,41,01,860 2016 - 17 3,66,453 10,993 25,26,63,607  Multiplication of breeder paddy seed into Foundation seed than to truthful seed in progressive farmers fields under the supervision of our society Agriculture Officers  Varieties  BPT 5204  RNR 15048  MTU 1010  MTU 1001  IR 64

Branding & Marketing - Rice

FY Raw Rice Boiled Rice Total Qty

Tons

Value

Rs.

Qty

Tons

Value

Rs.

Value

Rs.

2014 – 15 1465 4,16,16,669 593 1,38,16,900 5,54,33,569 2015 – 16 1527 5,03,91,000 625 1,45,96,743 6,49,87,743 2016 – 17 1080 4,08,07,300

• 4,08,07,300

 Varieties  BPT / Sona Masoori  Jai Sri Ram  RNR – 15048  Opened Retailed Outlets at  Mulkanoor  Hanamkonda  Husnabad  Kothakonda  Huzurabad

Branding & Marketing – Cotton Bales

Cotton Lint Cotton Seed Total FY Quantity

• No. of Bales / Tons

Value Rs. Quantity In Tons Value Rs. Sale Value Rs. 2014 - 15 7052 / 1199 15,69,14,523 2361 4,25,35,038 19,94,49,561 2015 - 16 8583 /1459 17,57,52,000 2874 4,36,91,108 21,94,43,108 2016 - 17 17024/ 2894 30,55,25,899 5700 11,76,67,150 42,31,93,049

Consumer Services

LPG Gas (Bharath) Petrol & Diesel Bunk Cloth Shop Food Grains

Welfare Services … to name a few…



Society was primarily responsible for Electrification of Villages and farms in the early years after independence



Provided drinking water by digging bore well in villages when there was continuous drought



Conducting Eye / Physiotherapy camps to members regularly



Counseled the eligible couples for Family Planning when there is no awareness about the family planning



Society Liaison with NGO’s to provide clean drinking water by installing deflouride plants in the villages.



Conducting Animal Health Camps in coordination with Animal Husbandry Department regularly

Benefits “from” & “through” the Society … During 2016-17.

Society Welfare Schemes

• Rs. In Lakhs

Member Welfare Scheme 12.5 times on Welfare Deposit Amt. will be paid to the Nominee/Legal Heir of the deceased member (Min : 25000/- Max : 50000/-) 127 30.42 Funeral Expenses

• Rs. 7,500/- and 100 kg. Fine Rice on demise of Member /

Member Spouse 160 9.92 Professional Degree Scholarships Paid to Children of the member admitted in to Professional Degree Courses

(B.TECH, B.PHARMACY, BSC AGRICULTURE, BSC VETERNARY – @ Rs.10,000/- , MBBS @ Rs. 12,500/-)

78 7.90 Animal Health Camps Camps are conducted in all the villages regularly

• 3.00

Members Health Camps Eye camps / Physiotherapy / Neuro / Cardio camps are conducted in the society premises

• 3.00

Vision Centre Cataract Operations done to our members / spouse 188 9.95 Total 64.19

Economic Benefits “from” & “through” the Society … During 2016-17.

• No. Of

Members 2016 – 17 Rs. ST Corporation 1 29,100 Nabard – Dairy 338 37,57,000 Total 288 37,86,100 from Govt. Agencies

Benefits “from” & “through” the Society … During 2016-17

• Rs. In Lakhs

Insurances Schemes with society funds

Premium Paid Claims Received

Life Insurance linked with crop loan (Premium Paid to LIC under Janashree Bima Yojana & Group Insurance Scheme) 33.40

• LIC paid to deceased members to the extent of

Crop Loan from JBY & Group Insurance Scheme 23.85

• 27.81

Scholarships under the scheme (JBY)

(Two children of member will be paid scholarship @ 1200/- each studying 9th to XIIth Std.)

3.96 Janatha accidental group Policy (Premium Paid to IFFCO – Tokio)

(Sum Assured Rs. 1,00,000/-)

3.00

• Janatha accident group Policy claims Received
• 2.00

IFFCO-Tokio – Accidental Insurance claims to Members

• n sale of fertilizers
• Total

36.40 29.81

Particulars

• Rs. In Lakhs

Premium Paid Claims Received

Insurance of Milch Animals, Sheep 4.95 14.60 Insurance of Electric Motors Tractors & Harvesters 14.39

• Individual Policies of Members through Society

10.08 N.A Insurance of immovable properties 2.00

• Insurance of Stock and cash handling

8.46

• Work Men Compensation

2.5

• Total

43.99 14.60

Society as agent to Insurance Agencies Contd..

Over All Benefit to Members During the Financial Year 2016-17.

Particulars

No of Members

Amount

• Rs. In Lakhs

Society Welfare Schemes

• 64.19

Bonus on Paddy / Paddy Seed / Cotton 5583 242.93 Subsidy & Margin Money from Govt. Agencies 288 37.86 Insurance Benefits

• 29.81
• Govt. Interest Subvention Scheme

6582 259.21 Dividend (15%) 7547 237.85

• Int. on Thrift Deposits @ 9 %

7450 205.00 Telangana Govt. Debt Waiver Scheme 6822 1237.53 Total 2314.38

Member Point of View (Agri. Bonus)

A/C. Desc. Laon Amt. Int. Paid Total SAO - KF 84,600 3,291 87,891 SAO - RB 84,600 2,364 86,964 MTO – KF Instl. 4,300 1,598 5,898 Total 1,73,500 7,253 (A) 1,80,753 Variety Qty. Bonus/ Qtl. Bonus Amt. Paddy –

Grade A

110

• Paddy –

Grade B

94.02 85 7,994 Cotton 7.92 275 2,178 Paddy Seed 27.18 100 2,718 Total (B) 12,890 Admission No. : 9700 Land Holding : 5 Acres / 2.8 Ha. Member Name : Anuka Radha Bonus Amt (B) 12,890 Interest Subsidy from Govt. 5,655 Total 18,545 Interest Paid (A) 7,253 Benefit to member 11,292

Member Point of View

• Debt. Break

Loans A/C. Desc. Loan Amt. SAO 19,700 MTO

• LTO
• Additional Crop

Loan 20,000 Total (A) 39,700 Deposits & Benefits Description Amount Shares 12,900 Deposits 22,850 Welfare Fund 25,000

Group Insurance linked to Crop Loan

19,700 Total (B) 80,450

Admission No. : 7780 Member Name : Allam Yadagiri

• 80,450 – 39,700 = 40,750 Surplus to his dependants
• In most cases debt is not passed on to the children or

dependants of the deceased member

at the Time of Demise

Share Capital 15.85 Thrift Deposit 26.89 Reserves 96.93 Other Deposit 17.28 Borrowings 101.13 Payables 7.07 Surplus 5.92 Total 271.07

Financial Position As on 31-03-2017.

Availability of Funds

• Rs. In Crores

Surplus 2% Share Capital 6% Member Deposit 10% Reserves 36% Other Deposit 6% Payables 3% Borrow ings 29%

Loans O/s 111.02 Investments 64.69 Properties 31.68 Stock on Hand 40.73 Receivables 21.72 Cash on Hand 1.23 Total 271.07

Financial Position As on 31-03-2017.

Utilisation of Funds

• Rs. In Crores

Business Turnover (During 2016 – 2017) Loans & Advances 191.40 Sale of inputs 21.55 Marketing Services 70.57 Consumer Goods & Other Services 6.03 Total Turn Over 289.55

• Rs. In Crores

Loans & Advances 66% Sale of Inputs 8% Marketing Services 24% Other Services 2%

REGISTRATION

 Registered under Hyderabad Cooperative Societies Act 1952  Automatically Deemed into AP Cooperative Societies Act 1964  Converted to APMACS Act 1995 in the year 1995

Organisation Structure

MANAGING COMMITTEE GENERAL BODY PRESIDENT VILLAGE COMMITTEE’S EMPLOYEES GENERAL MANAGER MEMBERS GENERAL BODY

 Members of the society, meets at least once in a year.

MANAGING COMMITTEE

 Members of the society elect 15 Managing Committee members  Meets once in a month

Financing Bank

 DCCB from 1956 to 1969  State Bank of Hyderabad from 1969 to till date

Promoted A. K. Vishwanatha Reddy Rural Development Society – in the Year 2000

Water Shed Programs – with NABARD Assistance

Strength Particulars for the Academic Year – (2016 - 17) Intermediate College Degree College Total Girls 108 157 265 Boys 112 95 207

Colleges – with MCRBMS support

Program Name Phase Sanctioned Amount (Lakhs) Work Done Amount (Lakhs) Treatment Area Nara Hari Thanda FIP 41.25 40.98 1225 Acres Mustafapur FIP 75.61 69.61 1250 Acres Vangara FIP 145.95 135.95 1225 Acres Total 265.31 246.54

Create rural capital base of Rs. 5,00,000 Crores.

Late Shri V. Kurian, Father of Indian Dairy Cooperative Movement

Mulkanoor India

Employees

112 46 Lakhs

Share Capital

• Rs. 1.15 Crores
• Rs. 47,150 Crores

Savings

• Rs. 6.00 ,,
• Rs. 2,46,000 ,,

Reserves

• Rs. 5.70 ,,
• Rs. 2,33,700 ,,

Commented about Mulkanoor Cooperative in 1981 as If 41,000 Mulkanoor like Cooperatives in India . . . .

Members

Active and Loyal Confidence in their own society Member Education Program Receive Package

• f Practices

Management

Dedicated & Honest No outside interference Transparency Compact Area Approach

Governance

Strong Leadership Strategic Vision Equality

• ne member one vote

Performance Evaluation Efficient Marketing Management Linking of Credit with Marketing

Reasons for Success

Awards / Felicitations

Late Sri A. K. Vishwanatha Reddy President from 1956 to 1985

Manager of the year – 1981 Hyderabad Management Association

Citation received on behalf of Late A. K. Vishwanatha Reddy by Sri A. Praveen Reddy

Peddi Reddy Thimma Reddy farm foundation, Hyderabad

Sri A. Praveen Reddy

President from 1987 onwards

Awards / Felicitations

Best Cooperator - 2004 Kribhco Sahakarita Vibhushan Good Working Society NCDC Biennial Cooperative Excellence - 2014

Prominent Visitors

 late Sri. Y. S. Rajashekhar Reddy, former Chief Minister of Andhra Pradesh, was chief guest at Golden Jubilee Celebrations.  Present & Former Chief Ministers, Ministers, MP’s, MLA’s and many other representatives visited the society  Many dignitaries from abroad such as U.N.O, World Bank, Universities and other institutions.  Many personalities from Cooperative Institutions, Rural Development Organisations and Farmer related associations come here to study the Society activities.  Late Sri P. V. Narsimha Rao, former Prime Minister of India is Member and served as Vice President of the Society 

• Sri. N. Kiran Kumar Reddy, former Chief Minister of Andhra Pradesh, visited to

inaugurate Cotton Ginning & Pressing Mill.  His Excellency E.S.L Narasimhan, Hon’ble Governor of AP visited the society to interact with the farmers  late Sri. Krishna Kanth, former vice president of India, unveiled the statue of founder president.  Students from IIM / ISB / NIRD / IRMA / MANAGE / ICRISAT / ICM come here to study the society activities

After all, we are proud of the past laurels we have won

“Ye Mulkanoor Nahi Hai... Ye Mulk ka Noor Hai.....”

Sri P.N. Haksar, the then Vice Chairman of Planning Commission on his visit to MCRBMS

“This is not Mulkanoor, it is light of Nation”

Thank you

• A. Praveen Reddy Ex. MLA

President – MCRBMS Director – IFFCO

• Ex. BOM, ANGRAU, Hyderabad

Ex.BOM, SVVU, Tirupathi