Friday, 17 August 2012

Start a Plantation of Roses for Export Purpose


(362). Start a  Plantation of Roses for Export Purpose
Depending on the species and varieties, roses have various uses. They may be used as cut flowers, and garden plants. They may also be used in making rose oil, rose water and gulkhand.This information is on production of roses for use as cut flowers, which have an important place in preparation of bouquets, floral arrangements, worship, social occasions and presentation of gifts. Measured in terms of volume of trade in the international market cut roses rank first in popularity.
In India, according to a recent survey about 4330 ha. area, producing 874 million stems valued at Rs.44.00 crores, is under rose cultivation in the states of Tamil Nadu, Karnataka, Maharashtra and West Bengal .
The cultivation is mostly done under open filed conditions. The varieties grown are not popular in the international trade. The plant density is low (8000-15000/ha). Scientific post-harvest management is hardly followed. The cold chain essential for export is almost absent. The cultivation is in the hands of small growers, who are unable to make sizeable investment. In Europe and USA, commercial cultivation of roses for production of cut flowers is mostly done under climate controlled green house, where ultra high plant density is practised. Scientific post-harvest management of the produce is scrupulously followed and there exists a strong cold chain from the farm to the florists' shop.
However, with the advancement in production and marketing of cut roses in the countries of northern hemisphere, there has been a concomitant increase in the investment cost, due to the need for climate controlled green house, and production cost, on account of the need for heating and cooling system and high labour wages. As a result, an opportunity for development of cut roses (and other cut flowers) arose in the countries of southern hemisphere, such as, Columbia, Mexico, Kenya, Zimbabwe. The prospects has further brightened by development of rose varieties which could be cultivated under high temperature. Thus, while the production of cut roses in the main market has remained static, new centres of rose production under low cost plastic green houses have developed in the countries of southern hemisphere for export to the countries of northern hemisphere, where demand for cut roses is increasing at the rate of 9% per annum.
Due to the above developments and also on account of recent economic liberalisation there has been an upsurge of interest in production of cut roses in plastic green houses in India also.

Plenty of light, humid and moderate temperature ranging from 15 0C to 28 0C may be considered as ideal conditions for roses in the tropical and subtropical climate of India. At temperature below 15 0C roses can be grown, but the interval between flushes become longer. At higher temperature, say above 30 0C, roses can be grown provided high humidity is maintained and evaporation is slowed down.
Well drained soil rich in organic matter and oxygen is good for roses. Organic matter as high as 30 per cent in the top 30 cm of the growing beds is preferred by many growers. The pH of the soil should be around 6 to 6.5.
The selection of location for production of roses or any other flowers for export purposes depends mainly on three factors :
  • Cost of Production
  • Quality
  • Cost of transportation
Only the production of high quality flowers at low cost can stand upto international competition. Based on these considerations, the location should be decided. The floriculture expert committee set up by the Ministry of Commerce, Government of India, has identified the following growth centres for production of cut roses for export purposes.
  • Hyderabad and places around
  • Bangalore and places around
  • Nasik, Pune and places around
However, based on the basic factors indicated in the preceding paragraphs, other centres can also be selected.
The beneficiaries could be individual entrepreneurs/partnership firms / companies / cooperatives. Technical / marketing tie-up with foreign firms / Indian Research Institutes / export houses could be considered as additional advantages.
Services of qualified/experienced floriculturists are essential for the success of the project.
An export oriented project has to adopt innovative technology as per requirement of the chosen overseas markets. The key elements of the export oriented innovative technology are suitable varieties, which are popular in overseas markets, ultrahigh planting density, cultivation in green house, maintenance of grades and quality innovative technology that might be followed are outlined below :
6.1. Pre-Harvest Technology
6.1.1 Types of Roses and Varieties
The major types of roses which are commercially important are as under:-
  • HYBRID TEA Roses : These have large flowers (4 cm.) long stems (125 cm). Yield varies from 100-200 stems/sqm. Hybrid Teas fetch higher price than other types. A few well-known varieties of this group are SONIA, VIVALDI, TINEKE, MELODY, DARLING and ONLY LOVE.
  • FLORIBUNDA Roses : These have small flowers (2.5 cm) and shorter stems (less than 60 cm), but yield much higher than other types. Examples of this type are FRISCO, MERCEDES, JAGUAR, KISS and FLORENCE.
  • SPRAY Roses : A single stem of this type may carry 5-6 flowers, but stem yield per sqm is low. Important varieties belonging to the type are EVELIEN, JOY and NIKITA.
6.1.2 Green House
Green house refer to structure covered with a transparent material which permits natural light for plant growth. It is essential for production of good quality cut roses without blemishes. Details are given in Annexure Q.
6.1.3 Layout and Planting
There could be 5 beds each of 1.20m width per 8m bay. The width of path could be 0.40m. There could be two rows of plants per bed. There may be ridged so that roots are well aerated and kept clear of any standing water. The lower number of rows per bed and higher number of paths allow better air circulation.
The plant density in Holland varies from 55,000 to 80,000 per gross hectare. The distance between the plants in the rows and between the rows varies so that either way the planting density ends up as 60,000 to 70,000 plants per hectare.
In the present model row to row distance could be 30 cm and plant to plant distance 17cm. Each row of 24m length could contain 140 plants so that planting density of 70,000 plants per hectare might be achieved.
Planting may be done in the months of February to April and/or July to September in a phased manner.
6.1.4 Bed Support System:
Close density as recommended above inhibits branching. Such plants grow about 2 cm in height. They are, therefore, required to be supported by wire.
The other technical parameters could be as under :
6.1.5 Manuring
Organic manures are required to be added so that top 30 cms. of the soil has 30% organic matter content. A dose of 15 Kg. manure per square metre has been taken into account for estimating the cost
6.1.6 Fertilizer Application
Application of nutrients should be based on analysis of soil and plant. However, in the present model the cost has been estimated based on the following doses.
Nitrogen and Potassium = 200 PPM
No. of applications = Twice a week for 7 months along with irrigation
Phosphorus = Soil application @ 1.8 kg/m3
Other Nutrients = Lumpsum provision has been made
6.1.7 Irrigation and drainage
Rose plants require a lot of water, at least 6mm / day i.e. about 60 cum / ha / day. Design of the drip system to deliver above quantity of water could be as under :
Main Line - 70mm
Sub-Main Line - 40mm
Lateral Line - 32mm
(In between two rows)
A drainage line may be laid below the beds for disposal of excess water.
6.1.8 Pruning
Stems are cut back leaving 4-5 nodes on the basic stock frame, removing all weak shoots and redirecting the wayward ones. This may be practised in a phased manner so that flowering takes place from September to March. Generally, flowering takes place 45 days after pruning.
6.1.9 Pests and Diseases
The principal pests of roses are :
  • Red spider mite
  • Leaf rollers
  • White fly
  • Thrips
  • Aphids
  • Nematode
The principal diseases are :
  • Powdery mildew
  • Downy mildew
  • Botrytis
  • Pruning die back
  • Black leaf spot
The preventive spray programme with a volume of 1500 litres/spray at an average interval of once in a week is suggested.
The chemicals could be as under.
  • Dithane M-45 0.6 gm/litre
  • Metasystox 1.25 ml/litre
  • Karathane 1.00 ml/litre
6.2. Harvest and Post - Harvest Management
6.2.1 Harvest :
The post-harvest management of roses starts with their harvest. Roses should attain the right stage for harvesting. If cut too early,
flowers miss reserve food and therefore, may not develop into full flowers. If cut too late, longevity diminishes. As such, roses should be cut just as the buds are opening, after the sepals have almost fully curled up and the colour is fully visible. In small flowered varieties and Floribundas, the flowers are cut just when they begin to open the cluster. The cutting may be done in the evening or early morning with long stem. The lower end of cut stems are immediately placed in clean plastic buckets containing a clean solution of 500 ppm citric acid or in chrysal - RVB. Thereafter, the buckets containing cut roses are brought to the grading and packing Shed/Hall.
6.2.2 Hydration
Ideally, roses immediately after harvest should be graded, packed, precooled and despatched by refrigerated vehicle. In case of delay in grading and packaging flowers are shifted to the cold store. Before shifting to the cold store, it is advisable to re-cut the stems, about 2 cm. above the previous level without removing lower leaves/thorns and again place them in clean containers in clean warm (40-480C) water, adjusted with citric acid to pH 3.0-3.5. This treatment will prevent vascular blockage and hence neck drop.
6.2.3 Preservatives
The followers are removed from the citric acid after 30-60 minutes (or when the leaves and petals are fully turgid) and put in the preservative solution. Thereafter, the flowers are shifted to the cold storage at 0 to 20C. Roses may be kept for 4-5 days in a preservative solution in cold store, after that longevity may suffer. The composition of floral preservative is as under :
  • Citric acid - 100-700 mg/litre.
  • HQC/captan - 16 mg/litre.
  • Sucrose - 20 mg/litre.
  • STS - 0.2 - 4 mM.
  • Cytokinin - 1.0 to 100.00m.
6.2.4 Grading
Flowers should be graded to different classes according to their qualities. The European Community's common quality standards are given in Annexure B. Grading is done on a mechanical grader or by hand grading tables or work stations.
6.2.5 Packing
Packing comprises three steps : bunching, wrapping and packing.
The heads of roses are evened up and their stem tied with a rubber band into bunches in 10s, 20s, 25s, or 50s depending on the ultimate market. They are cut so that all the stems are of the same length. The bunches are placed in preservative solution and may be shifted to the cold store.
They are brought back to the packing hall and the buds are wrapped and the bunches are sleeved in transport polyethylene. The wrap is a 15-20 cm. wide plastic strip which acts as a cushion for the buds.
Many different cardboard boxes are used for packing. For long term transport it is best to use telescopic style boxes made of corrugated fibreboard. The size could be 100 cm x 45 cm x 22 cm. There may be 400 to 1000 stems per box and weight may vary from 14 to 18 kg/box.
Depending on the market, the box is either filled with one variety, one grade, or mixed colour one grade.
6.2.6 Pre-cooling
Normally, flowers immediately after harvest should be graded, packed, and pre-cooled before keeping in the cold store or transportation by refrigerated vehicle, unless it is decided to put them in preservative solution. However some farms pre-cool the flowers before shipment only. Pre-cooling reduces the heat produced by respiration, which prevents moisture from condensing on flowers and decreases the amount of ethylene inside the package. As such, it is very important for longevity of cut flowers. Pre-cooling is best done by forcing cold air through boxes, which have vents at both ends. If such facility is not developed, the best way to pre-cool cut roses is to leave boxes open and put them in cold store for atleast 8 hours. This may be possible when volumes of production are small.
6.2.7 Storage
After pre-cooling blooms must be kept under continuous refrigeration during distribution for maximum benefit. Pre-cooling has little or no value if low temperatures are not maintained during subsequent periods. The recommended temperatures for storage of roses are as under :
Type of storage Temperature Duration
Wet storage 0.5 to 20 C 4-5 days
Dry storage 0.5 to 00 C 2 weeks
6.2.8 Transport
Ideally, roses should be transported as early as possible after cutting since many varieties do not have vase life more than 7 days. The transportation from the farm to the airport should be refrigerated van. Temperature within the box should be around 2-40C. In case of delay in flight, flowers should be put in cold store at the airport. Some airlines have arrangements for maintaining temperature of the flower boxes within safe limits. KLM may provide reusable Insulation Bag' which ensure a stable temperature for more than 24 hours. Air France has the JPP isothermicontainer, which is temperature controlled +40C to +60C and Lufthansa provide the refrigerated LD 7 (Igloo). However, it needs to be verified whether such facilities are available from India.
Accordingly to the report of the Expert Committee on Floriculture set by the Ministry of Commerce, Government of India the world trade on cut flowers was US$ 2.3 billion during 1990. Rose occupies the prime position in this trade. The developed countries in Northern Europe, namely West Germany, Holland, U.K. and also US/import sizeable quantities of roses. Apart from Europe and USA, Middle East, Japan and far East (Hongkong and Singapore) have been identified as the potential market for cut flowers. The expert group set up by the Planning Commission has recommended an annual export target of Rs.100 crores for cut flowers. Availability of cheap and skilled manpower, conducive climate in many parts of the country proximity to market and advanced industrial base, as compared to other developing countries, may enable India to meet the target.
The project may comprise the following major components :
8.1 Land
Minimum area of 3 acres for construction of green house and other facilities would be required.
8.2 Greenhouse / Polyhouse
Plastic green house with gross size of 1 ha. on the lines of the specification given under para 7.1.2 has been proposed. While the steel frame will have long life, plastic cover may have a life of only 2-3 years. In the present project the plastic will have a thickness of 200 micron. It is expected that if properly maintained with some repairing it will have a life of 3 years.
8.3 Planting Material
Imported 6 month old grafts have been proposed to be planted. It may also be possible to raise grafts in India by importing only budsticks of popular rose varieties from abroad. In that case, the cost per graft could be much cheaper than the 6 month old imported grafts.
8.4 Irrigation system
Roses for export can be cultivated only under assured irrigation. Therefore, the following facilities need to be developed :
  • Tube well 3"
  • Motor 3 HP
  • Overhead tank - 1000 litres
  • Pump house - 2m x 2m x 3m
  • Drip System
8.5 Drainage System
Since beds will receive heavy doses of irrigation quite frequently, sometimes 3-4 irrigation a day, a sub-surface drainage system of tiles could be laid down.
8.6 Grading and Packing Shed
For grading and packing of harvested roses, a hall with capacity to handle 10,000 to 12,000 stems (maximum productivity of a day per hr. during peak period) would be desirable. However, in the present model only a shed with pucca cemented floor and roof of corrugated shed and open on three sides (against cold store and office building) has been proposed with a view to economise the cost. Since the principal production period is from September to March when rainfall is scanty, the proposed type of shed is justified.
8.7 Pre-cooling and Cold Store
Separate precooling facility for rapid removal of field heat has been proposed. Ideally, as already pointed out, roses immediately after harvest should be graded, packed, precooled and transhipped. In practice, grading and packing may be delayed. Likewise, immediate transhipment of roses may not be possible due to volume insufficiency and /or the vehicle may be in transit. Therefore, cold store facility at the farm gate is desirable for export purposes, particularly for export to Europe/USA/Far East. The proposed size, 120cum, cold store could be adequate for taking care of 4-5 days peak production (40,000 - 50,000 stems).
8.8 Reefer Van
Since there should not be any break in the clod chain from harvest to the florists shops, a refrigerated van would be needed for carrying the roses from the farm gate to the airport.
8.9 Office Equipment
Fax machine, telephone etc., have been proposed to facilitate deals with foreign buyers.
Since the proposed technology is innovative in terms of existing status of rose cultivation in India, engagement of Indian/Foreign consultants (subject to Government of India regulations) as and when required may be helpful.
Except planting material, all materials and equipment could be locally procured. The import of grafts of those varieties, which are popular abroad is considered as desirable.
Roofing material for green house i.e. Low Density Polyethylene (LDPE) would be available from IPCL.
(Rs. lakhs)
A. Fixed cost, vide Annexure C 78.27
B. Recurring cost vide Annexure G (only 1st year recurring cost has been proposed to be capitalised) 4.77
C. Total Capital Cost 83.04
Rose plants are expected to commence commercial yield from the 2nd year. The economic life under ultra high density planting is expected to be about 7-8 years. During the prime of their life (3 to 7 years) it is expected that they will produce, on an average, 140 stems / m2 (Annexure I).


Sale price depends on the variety, size of stems, quality, season and also country in which roses would be sold. Large flowered varieties fetch higher price than the small flowered varieties. Longer stems carry higher price than the small flowered varieties. Price rules much higher in winter months, when production is lower, than in summer months in temperate/importer countries. Flowers of ClassI quality will always fetch higher price than those of other classes.
The most favourable seasons for production of roses in India is from October to March, when prices in temperate/importer countries rule high. Therefore, in the present model, it has been proposed to export roses from October to March, during which price of stem of even small flowered Kenyan roses varied from US$ 0.21 to 0.30 and large flowered roses from Zimbabwe varied from US$ 0.21 to 0.54.
In view of the above, the assumed average sale of Rs.6 (US $ 0.20) / Stem in model might be achieved. Incidentally, the sale of roses and their prices rule maximum in Europe on special days as Valentine's day (14th February) and Mother's day in May.
Results of financial analysis, based on discounted cash flow technique, are as under :-
(vide Annexure I)
NPW at 15% DF = +Rs.13.87 lakhs
BCR at 15% DF = 1.06
IRR = 21%
NABARD provides refinance support to bankable projects on export of roses. Therefore, banks may consider financing projects on export of roses on priority basis subject to their being technically feasible and financially viable.
The entrepreneurs should normally meet 25% of the project cost out of their own resources. However, NABARD may consider providing margin money assistance in suitable cases as per guidelines vide circular No.DPD.67/92-93 (Ref.No.3708/NFS-85/92-93 dated 27 February 1993).
Cost of land could be treated as part of the project cost depending on merit of individual cases. It is expected that the land is to be acquired exclusively for establishing the activity and the cost constitutes only a small portion of the financial outlay, vide circular No.NB.DPD.FS.31/92-93 dated 17/7/92.
Interest rate will be as indicated by RBI/NABARD from time to time. The existing rate of interest at the ultimate beneficiary's level is 15%p.a. for loans above Rs.2 lakhs. However, the repayment programme has been worked out at 17% interest to take care of interest tax and other charges etc.
In view of the priority attached to the export oriented schemes NABARD provides refinance to the extent of 90% of the bank loan. Therefore, banks may consider financing projects on export of roses on priority basis subject to their being technically feasible and financially viable.
Banks may obtain security as per RBI norms.
The principal and interest will be repayable in seven years, with moratorium for the 1st year on interest and for the 1st and 2nd year on principal. (vide Annexure J).
Annexure A
Area under Rose in India Cultivated Area (Ha)
Delhi 60
Maharashtra 620
Tamil Nadu 2,500
Karnataka 750
West Bengal 400
Total 4,330
Annexure B
Extra Class
Produce which qualifies for Class I without aid of any tolerance. This excludes American carnations with split calyx.
Class I
Flowers must be of good quality, characteristic of the species or variety. They must be whole, fresh, unbruised, free of animal or vegetable parasites and resultant damage, free of residues of pesticides and other extraneous matter affecting appearance and free of development defects. Tolerance permitted upto 7 per cent
Class II
Flowers which do not meet all requirements of Class I but are whole, fresh, free of animal parasites. Slight defects such as malformation, bruising, damage, small marks, weaker and less rigid stems may be present provided they do not impair appearance.
Tolerance permitted upto 10%.
EC's standards are generally applicable to all cut flowers - no separate standards for different species of cut flowers have been established with the exception of mimosa. Whereas, the United Nation's Economic Commission for Europe has recommended general as well as specific standards for a number of flowers.
The U.S.A. have no official standards for cut flowers. The society of American Florists has recommended standards for certain cut flowers which include carnations. The grades are known as Blue, Red and Green and are based on flower diameter and length of stem.
The ECE of UN or EEC standards ignore length of stem and flower diameter in making class selections. Thus Extra class may contain classified flowers with both long and short stems. Nonetheless, flowers must be sorted out according to stem length as given below:
Description Code Minimum and Maximum Stem Length in cm
0 Less than 5 cm or flowers without marked stems
5 5-10
10 10-15
15 15-20
20 20-30
30 30-40
40 40-50
50 50-60
60 60-80
80 80-100
100 100-120
120 120
In any unit of presentation - (e.g. bunch, bouquet or box etc.)
the maximum permitted difference between shortest and largest stem lengths is as follows :
Description Code Stem Length (Cms)
For stem lengths 0 - 15
<20 cms
For stem lengths20-60 5
For stem length 60 and over 60 cms 10
For a flower export company, grading hall/shed is essential.
Grading tables enable the grading of flowers according to their sizes. It is normally sufficient to have a smooth table marked with the length of each grade.
Annexure C
(Rs lakhs)
Size Rate (Rs./m2) Amount
Grading and Packing shed 150 sqm 1,000 1.50
Cold store and precooling 50 " 3,000 1.50
Office, store, toilet, lobby etc. 100 " 3,000 3.00
Green House 1 Ha 14 14.00
Fencing 0.23
Farm House 0.10
Drainage 0.70
Bed Support (Staking) 0.50
Cold Store and precooling 120 cum 7000/cum 8.4
Drip Irrigation 3.41
Genset (27.5 KVA) 1.1
Reefer Van 9
Fax Machine 0.3
Telephone 0.15
Typewriter 0.15
Equipment (Misc. ) 0.3
Tables (Grading) 0.5
Office Furniture 0.3

Total Fixed Cost 78.27
Annexure D



Particulars 1 yr. 2 yr. 3-8 yrs.
Land Preparation and Layout 5,000 -
Bed Preparation 10
mandays/bed, 250 beds 62,500 -
Manures and Fertilizers
(i) Manures 10,800 10,800
(ii) Fertilizers 29,400 29,400
Plant Protection
chemicals 38,280 38,280
Electricity for irrigation 500 500 500
(i) 400 mandays in 1 year 10,000 37,500 50,000
(ii) 1500 mandays in year 2
(ii) 2000 mandays in year 3
156,480 116,480 128,980
(wage rate Rs.25/manday)
Annexure E
(Rs. Lakhs)

Particulars 1 yr. 2 yr. 3 yr. 7-8 yr.
Preservatives and chemicals - 2.10 2.80 2.10
@ Rs.0.25/stem
Packing Box 700 stems/box - 1.20 1.60 1.20
@ Rs.100/box
(a) from Farm to Airport (Export) - 0.34 0.45 0.34
(b) from Farm to Local cities @ Rs.0.10/stem - 0.21 0.28 0.21
Air Freight @ Rs.1.20/stem (Each box 14kg 700 stems/Box Freight Rate Rs. 60/kg) - 10.08 13.44 10.08
Year 2 750 - 0.19 0.25 0.19
Year 3 1000 - - - -
Cost of running precooling - 0.53 0.68 0.53
unit, cold store and refrigeration
Commission on sale - 12.60 16.80 8.40
(a) EC, (b) Agent
Total - 27.25 36.30 23.05
Annexure F
A. Salary per year Rupees
Manager -1 60,000
Assistants -2 (production, marketing and office) 72,000
Clerk-cum-Typist-1 24,000
Guards - 3 27,000
Driver for van 10,000
Mechanic/overseer 12,000
Contingencies 5,000
Sub total 210,000
B Office overheads
Stationery 2,500
Postal 2,500
Electricity 3,000
Travels 2,000
Sub total 10,000
C. Insurance from 1st year and onwards 100,000
D. Repairs and Maintenance 100,000
Annexure G
(Rs. Lakhs)
1yr. 2 yr. 3 yr. 4 yr. 5 yr. 6 yr. 7 yr. 8 yr.
i) Cultivation Expenses 1.57 1.17 1.29 1.29 1.29 1.29 1.29 1.29
ii) Post Harvest Expenses - 27.25 36.30 36.30 36.30 36.30 36.30 3.05
iii) Replacement of LDPE - - - 4.16 4.16 - 4.16 -
iv) Overhead 2.20 2.20 2 .20 2 .20 2.20 2. 20 2. 20 2. 20
v) Insurance, Repair and maintenance 1.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00
TOTAL 4.77 32.62 41.79 45.95 41.79 41.79 45.95 28.54
Annexure H
(Rs. lakhs)

Particulars 1 yr. 2 yr. 3 - 7 yrs. 8 yr.
No. of flowering stems /plant - 15.00 20.00 15.00
No. of flowering stem /m2 - 105.00 140.00 105.00
No. of flowing stems / ha - 10.50 14.00 10.50
No. of export quality flowers Year 2 : 80%
Year 3 : 90%
- 8.40 11.20 8.40
(a)Export @ Rs. 4/stem - 50.40 67.20
(b)Domestic @ Rs. 4/stem - 2.10 2.80 2.10
(c)Gross - 52.50 70.00 35.70
*Export @ Rs. 4/stem (due to deterioration in quality at old age
Residual value - - - 5.00
Annexure I
(Rs. Lakhs)

1yr. 2 yr. 3 yr. 4 yr. 5 yr. 6 yr. 7 yr. 8 yr.
Cost 83.04 32.62 41.79 45.95 41.79 41.79 45.95 28.54
Benefit -- 52.50 70.00 70.00 70.00 70.00 70.00 40.70
Incremental Benefit (1.B) -0.10 52.04 69.90 69.90 69.90 69.90 69.90 40.60
P.W.of cost
at 15% DF 72.24 24.66 27.50 26.28 20.77 18.05 17.28 9.33 =216.11
PW of net 1.B at 15% DF -0.087 39.61 45.99 39.98 34.74 30.19 26.28 13.28 =230.57
Net 1.B -83.14 19.78 28.11 23.95 28.11 28.11 23.95 12.06
PW of net 1.B at 15% DF -72.33 14.95 18.50 13.70 13.97 12.14 9.05 3.98 =+13.96
PW of net 1.B at 20% DF -69.25 13.73 16.28 11.54 11.30 9.41 6.68 2.81 = +2.50
PW of net 1.B at 25% DF -66.51 12.65 14.39 9.82 9.22 7.36 5.03 2.03 = -6.01
NPW = =Rs. 13.87 lakhs, BCR = 1.06,
IRR = 20 + 5 (2.50 ) 2.50 - (-6.01)
= 21.46 % = 21%
Annexure J
Year Net Incremental benefit Bank loan outstanding at the beginning of the year Interest at 17% Repay
ment of Interest
ment of Principal
Bank loan
ding at
the end
of year
-83.14 62.28 5.29* - - 67.57 -
19.78 67.57 10.58 15.87 - 62.28 3.91
28.11 62.28 10.58 10.58 12.28 50.00 5.25
23.95 50.00 8.50 8.50 10.00 40.00 5.45
28.11 40.00 6.80 6.80 15.00 25.00 6.31
28.11 25.00 4.25 4.25 17.00 8.00 6.86
23.95 8.00 1.36 1.36 8.00 - 14.59
Annexure K
(Amount in Rupees)
A. Green house structure
1 M S angle (40 x 40 x 5 mm) 42 tonnes 588,000
2 12 mm rod - 400 tonnes 56,000
3 Labour cost @ : 1300/tonne 59,800
B. Green house qutter
G.I. sheet 550 sq.m. 88,000
Labour cost Rs.10/sq.m. 5,500
C. RCC Pole (size 0.05 m3)
For 600 poles @ RS.80/pole 48,000
12 mm rod 2.2 tonnes 31,000
D. LDPE sheet
14650 sq.m. @ Rs.25/sq.m 366,000
Labour @ 20 mandays/unit 1000 mandays @ Rs.50/day (skilled labour) 50,000
E. Curtain wall 75,000
Total 1,367,300
Say Rs. 14.00 lakhs
NB : For details see carnation project
Annexure L
No. of Grafts Required

Density 70,000/Ha

Mortality 3,500

Total 73,500

Price US$ 1.20/plant

(6 months old)

Freight (10%) $ 0.12/plant

Total US $ $ 1.32/plant

Assuming US $ Rs. 83.04

Price per plant Rs. 83.04

say Rs. 83.00

Therefore, Total Cost Rs.73,500 x 40 Rs. 29.40 lakhs
Annexure M

Cost Estimate per 8 m Bay (Amount in Rs.)
Sub Main Line, 40mm, 8m width @ Rs.43.00/m 344
Lateral Line, 32mm 5 lines each of 24m/Bay 5x42 = 120mm @ Rs.28.00/m 3,360
Sluice valve, 40 mm 80
Tees 70mm and end plug etc. 500
Lateral connectors 5 nos. @Rs.8.00 each 40
Microtubes 60 per lateral line for 5 line, 300 nos. @ Rs. 4.77 750
Total 5,074 Say Rs. 5100
Cost/50 Bays = 50 x 5100 = 2,55,000
Cost for Mainline 70mm, say 300 m @ Rs.100/m =/- 30,000
Total cost for 1 Ha 285,000
Other items
Filtration and Fertigation 5,000
Pressure gauge watermeter 1,000
Overhead Tan (1000 litres) 6,000
Shallow Tubewell (2" / 3") 9,000
Pumpset (3HP) 5,000
Pumphouse 5,000
Gross Total Rs.3,16,000.00
Installation charges (5%) 15,800
Contingency (3%) 9,480
Rs. 3,41,280.00
Say Rs. 3,41,000.00
Annexure N
1. Refrigeration Unit in Van
7.5 HP x .75 kw x 100 x 10 hours
(Assuming 100 operational days)
= 5625 kwh
= Rs.5,625/year (Assuming electricity charges Rs.1/hours)
2. Precooling Unit
2800 watt x 200 x 8 hours
= 4480 kwh
= Rs.4,480
3. Cold Storage
12 kw x 200 x 24 hours
= 57,600 kwh
= Rs.57,600
Total = Rs.67,700.00
Annexure O
A. Manure
Farm Yard Manure @ 15kg/m2
108 Tonne/Ha
@ Rs.100/Tonne
Cost = Rs.10,800.00
B. Fertilizers
N and K @ 200 PPM. Frequency Twice a week for 7 months of
production i.e. 60 times. P @ 1.8 kg per m3 (basal)
N 1700 kg @ Rs.6/kg Rs. 10,200.00
K 1700 kg @ Rs.3/kg Rs. 5,100.00
P 1300 kg @ Rs.7/kg Rs. 9,100.00
Miscellaneous nutrients lumpsum Rs. 5,000.00
Total Rs. 29,400.00
C. Plant Protection Chemicals
Dithane M - 0.6 gm/litre 45 kg/ha @ Rs.100/kg Rs.4,500.00
Metasystox - 1.25 ml/litre 94 litres/ha @ Rs.120/litres Rs. 11,280.00
Karathane - 1.00 ml/litre 75 litres/ha @Rs.300/litre Rs.22,500.00
Total cost Rs.32,280.00
Note i) Volume of spray 1500 litres/ha
ii) No. of sprays 50/year
Annexure P
Area : Say 3 Acre Block
Perimeter = 460 m.
1. Barbed wire @ Rs.1.25/m (16 gauge)
6 strands Rs. 6 x 1.25/m
For 460 m. = Rs. 3450/-
= Rs. 3500/-
2. Angle Iron (40 x 40 x 5mm)
Length 1.5 m at the interval of 2 m i.e. Total length
230 x 1`.5 m = 345 m
= 350 m. (at Rs.3 kg/m)
= 1050 kg
= 1050 kg
= 1100 kg @ Rs.14.00/kg
Total Cost = Rs. 15,400/-
3. R.C.C. pole
@ Rs.12/pole for 230 poles = Rs.2760/-
4. Labour
Rs.3/m i.e. Rs. 4.77
Grand Total, say Rs.23,000/-
Total Length : 400 m (approx)
Width : 2 m
Area : 800 sq.m
Rate : Rs. 12/sq.m.
Cost : Rs. 9600/- say Rs. 10,000/-
Annexure Q
Green House
Green house refers to structure covered with a transparent material which permits natural light for plant growth. It is essential for production of good quality cut roses without blemishes. It enables the protection of blooms against rain, frost, storms, sudden infestations of insects, periods of excessive moisture etc. Rose flower must be protected from rain, otherwise they are infested with botrytis, which may cause complete shattering of petals. If required green house structure also enables control of temperature, light and humidity, and feeding the plants with CO2. According to some workers, production is 10 times higher in green house than in open field.
The frame for green house could be of bamboo, wood or steel structure. Wood or bamboo frames could be used for narrow, green house, generally under 6m in width, pipe frames can serve well upto width of 12m. Green houses under 15m width or over could be built on a truss frame. Flat steel, tubular steel or angle iron are welded together to form a truss encompassing the rafters, cords and struts. Angle iron purlins running the length of the green house are bolted to each truss. Columns could be used in very wise truss frame houses of about 21m and wider.
Various types of materials are available for covering roofs of green houses. These are float glass, plastic films, fibreglass reinforced plastic (FRP), acrylic panels and poly-carbonate panels. Each has its advantages and disadvantages. Ultimately cost and efficacy decide the selection of the roofing material. There are places where glass is still dominant for reasons including tradition, belief that light intensity is higher inside and strength to hold up against snow and wind loads. However, the predominant choice of the industry today appears to be film plastic. They are the least expensive to build. Various films of plastic used in green house include mylarband polyester, vinyl films (polyvinyl chloride/polyvinyl fluoride) and polyethylene. Polyethylene has been the principal choice of film plastics for greenhouses, specially in USA and now in Southern hemisphere. It transmits 91% of the visible light of the sun when one layer is used. Though double layer polyethylene has lesser light transmission, its lower cost compared to glass and FRP, lighter weight and the ease with which it can be adopted to a wide range frame designs make this covering suitable for inexpensive greenhouse frame. Disadvantage is its short life. The best quality ultraviolet (UV) light resistant polyethylene generally lasts three years. UV light from the sun causes the plastic to become brittle and dark in colour.
There are five principal types of greenhouses :
  • Tunnel Type : Tunnels of 2 meter height can be constructed by bending bamboo or steel tubes. The structure is covered with polyethylene.
  • Ground to Ground Type : This can be constructed by using steel tubes. Usually it has width 10m, length 30-40 m and height at the centre 3-4 m. Covering material is either polyethylene or FRP.
  • Even Span or Gable Type : This type has two roof slopes which are equal pitch and width. Height at the gutter may be 2.5 to 3 m and at the centre around 4 to 4.5m. Round or square steel tubes can be used. The covering materials could be glass, FRP or polyethylene, FRP .
  • Ridge and Furrow Type : It refers to two or more green houses connected to one another among the length of the cave. The cave serves as gutters to carry rain and snow away.
The cost of the greenhouse in the present model has been estimated based on the undernoted design consideration. Actual design should take into account wind velocity ad direction of shade.
Frame - M.S. Angle Iron of 40x40x5 mm size
Bay - 8 m width double iron bars welded with 12 mm rod.
3.90m width for sections.
Roofing - LDPE films of 200 micron thickness width 7m, UV fixed.
Ventilation - Permanently open ridge vents.
Heating )
Cooling )
Lights ) Nil
Exhaust )
Fan )
It is to be noted that green house location is as important as the greenhouse design itself. Factors to be considered while selecting the location are room for further expansion, level and well-drained site, favourable climate, labour availability, accessibility of the area and reasonable proximity to utilities and shipping routes, a plentiful supply of good quality water and electricity


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