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Value Chain Analysis of Fishery in Puri and Ganjam District of Orissa

Value Chain Analysis of Fishery in Puri and Ganjam District of Orissa

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Draft Report on “<strong>Fishery</strong> Supply <strong>Cha<strong>in</strong></strong>”<br />

Confidential<br />

8.5 Cost <strong>of</strong> operation <strong>of</strong> the players <strong>in</strong> the value cha<strong>in</strong><br />

8.5.1 Fisherman<br />

The cost <strong>of</strong> operation <strong>of</strong> the fisherman depend<strong>in</strong>g on the type <strong>of</strong> craft <strong>and</strong> the size <strong>of</strong> operation has<br />

been calculated on the basis <strong>of</strong> the primary study <strong>in</strong> <strong>Puri</strong> <strong>and</strong> <strong>Ganjam</strong> district. The cost <strong>of</strong><br />

operation <strong>of</strong> the producer segments is given below.<br />

Table 8.2 Cost <strong>of</strong> operation <strong>of</strong> the fisherman<br />

Traditional boat owners<br />

(without motors) <strong>in</strong> Rs.<br />

Boat owners with<br />

motorized eng<strong>in</strong>e <strong>in</strong> Rs.<br />

Cost heads<br />

Trawler owners <strong>in</strong> Rs.<br />

Fixed cost<br />

Boat/ craft 20700 47391 1166667<br />

Net 65500 98682 333333<br />

Motor NA 24864 Cost is <strong>in</strong>cluded <strong>in</strong> boat.<br />

License 156 213 400<br />

Sub total 86356 171150 1500400<br />

Variable cost<br />

Fuel 0 149250 316667<br />

Repair 4450 10043 50000<br />

Insurance 97 189 1000<br />

Renewal <strong>of</strong><br />

license<br />

Sub total 4547 159483 367667<br />

Total 90903 330633 1868067<br />

* All the costs are averages <strong>of</strong> the respondent from the primary study.<br />

8.5.2 Middleman <strong>and</strong> Wholesaler<br />

The cost <strong>of</strong> operation <strong>of</strong> the middleman <strong>and</strong> the wholesaler has been calculated on the basis <strong>of</strong><br />

the primary study. The cost<strong>in</strong>g is an <strong>in</strong>dicative list <strong>of</strong> expenses borne by the service providers <strong>in</strong><br />

lieu <strong>of</strong> their roles <strong>in</strong> the supply cha<strong>in</strong>. The cost <strong>of</strong> operation <strong>of</strong> the service providers is given below.<br />

Table 8.3 Cost <strong>of</strong> operation <strong>of</strong> the middleman <strong>and</strong> wholesaler<br />

Cost sheet for the middleman <strong>in</strong> the Regional market<br />

Fixed cost<br />

Variable cost<br />

Fixed cost depends on Auction<br />

Re. 1 /Kg<br />

the size <strong>of</strong> operation Sort<strong>in</strong>g <strong>and</strong> weigh<strong>in</strong>g Salaried employee<br />

<strong>and</strong> the volume <strong>of</strong><br />

Packag<strong>in</strong>g<br />

Salaried employee<br />

trade<br />

Ic<strong>in</strong>g<br />

Salaried employee<br />

Load<strong>in</strong>g Daily wages (Rs. 45-50)<br />

Rs. 350-500/ Q on road<br />

Transportation Rs. 170/ Q on railways<br />

Cost <strong>of</strong> ice<br />

Rs. 40-50/ 60 kg<br />

Cost <strong>of</strong> pack<strong>in</strong>g<br />

material<br />

Rs. 10 / 60kg<br />

Commission agent 5- 7% <strong>of</strong> the auction price<br />

Sales tax<br />

1% <strong>of</strong> the sale value<br />

All the costs are averages <strong>of</strong> the respondent from the primary study<br />

.<br />

Fixed cost<br />

Cost sheet for the wholesaler <strong>in</strong> the Regional market<br />

Variable cost<br />

Submitted by -: NiMble System Pvt. Ltd.<br />

Submitted to -: OXFAM (India) Trust 56

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