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Entrepreneurial Opportunities In Food Processing Units (With Special References To Byadgi Red Chilli Cold Storage Units In The Karnataka State)

P. Ishwara ()
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P. Ishwara: Department of Studies and Research in Commerce, Mangalore University

Annals of the University of Petrosani, Economics, 2010, vol. 10, issue 1, 119-128

Abstract: After the green revolution, we are now ushering in the evergreen revolution in the country; food processing is an evergreen activity. It is the key to the agricultural sector. In this paper an attempt has been made to study the workings of food processing units with special references to Red Chilli Cold Storage units in the Byadgi district of Karnataka State. Byadgi has been famous for Red Chilli since the days it’s of antiquity. The vast and extensive market yard in Byadagi taluk is famous as the second largest Red Chilli dealing market in the country. However, the most common and recurring problem faced by the farmer is inability to store enough red chilli from one harvest to another. Red chilli that was locally abundant for only a short period of time had to be stored against times of scarcity. In recent years, due to Oleoresin, demand for Red Chilli has grow from other countries like Sri Lanka, Bangladesh, America, Europe, Nepal, Indonesia, Mexico etc. The study reveals that all the cold storage units of the study area have been using vapour compression refrigeration system or method. All entrepreneurs have satisfied with their turnover and profit and they are in a good economic position. Even though the average turnover and profits are increased, few units have shown negligible amount of decrease in turnover and profit. This is due to the competition from increasing number of cold storages and early established units. The cold storages of the study area have been storing Red chilli, Chilli seeds, Chilli powder, Tamarind, Jeera, Dania, Turmeric, Sunflower, Zinger, Channa, Flower seeds etc,. But the 80 per cent of the each cold storage is filled by the red chilli this is due to the existence of vast and extensive red chilli market yard in the Byadgi. There is no business without problems. In the same way the entrepreneurs who are chosen for the study are facing a few problems in their business like skilled labour, technical and management expertise, power and finance. To conclude, at present many oleoresin extracting units are located at Kerala, Tamil Nadu, West Bengal and in other Countries. Byadgi has got good infrastructure facility which is essential to oleoresin extraction units. Hence, recently an oleoresin extraction unit is established in Byadgi. And also it is necessary to open more oleoresin extraction units. This will increase the demand for the Cold Storages in the study area.

Keywords: entrepreneurs; turnover; profitability; food processing units (search for similar items in EconPapers)
JEL-codes: L26 L66 (search for similar items in EconPapers)
Date: 2010
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