by Paul Joseph
February 8, 2012
Featured
Rose demand spikes by 25% ahead of V day; single stem to cost over Rs 60 Growing at a compounded annual growth rate of about 30 per cent, India’s floriculture industry is likely to cross Rs 8,000 crore mark by 2015, apex industry body ASSOCHAM said today. Currently, the floriculture industry in India is poised at about Rs 3,700 crore with a share of a meagre 0.61 per cent in the global floriculture industry which is likely to reach 0.89 per cent by 2015, according to a study titled, ‘Indian Floriculture Industry: The Way Ahead’ released by The Associated Chamber of Commerce and Industry of India (ASSOCHAM). Besides, the global floriculture industry is likely to cross Rs 9 lakh crore mark by 2015 from the current level of about Rs 6 lakh crore and is growing at a CAGR of 15 per cent, said the ASSOCHAM study. With a share of about 65 per cent rose flower industry in India accounts for over Rs 2,400 crore of the overall floriculture industry and rose accounts for 75 per cent of the global floriculture industry, said the study. Rising demand from tier II and III cities apart from urban centres is likely to spur demand for roses this Valentines’ Day as price of export quality cut rose is likely to quadruple from its current average ruling price of about Rs 15 to Rs 20 per stem, apex industry body ASSOCHAM said today. The Associated Chamber of Commerce and Industry of India (ASSOCHAM) interacted with about 250 rose merchants including the cultivators, exporters, wholesale flower dealers and florists in Bangalore, Chennai, Delhi, Mumbai and Pune to gauge the scenario vis-à-vis business of rose flower during the Valentine’s week considering India is also world’s biggest rose grower. Demand for roses has spiralled upwards by over 25 per cent in domestic and by about 30 per cent in international markets as the V-Day draws closer, said over 55 per cent of all the respondents. Fall in the value of rupee against major currencies is the prime reason behind this upsurge in demand for roses in international markets of Australia, Germany, Greece, Italy, New Zealand, the Netherlands,the United States, the United Kingdom and other countries of Europe and the Middle East. While, growing demand for roses from cities like Ahmedabad, Chandigarh, Hyderabad, Surat, Kanpur,Lucknow, Patna among others is driving the high demand for roses in the domestic circuit. Besides, majority of flower growers also said they are hoping for about 30 per cent rise in terms of revenue during February alone with a turnover of about Rs 10 crore. Labour dogs and rising input costs, high fuel and freight costs apart from sky-rocketing prices of fertilisers tough competition from major rose producing countries like Israel, Kenya and Ethiopia are constantly hurting the margins of the domestic rose industry, said about 70 per cent of respondents. Crude handling of cut flowers after cutting leads to poor realization of Indian roses in the international markets, said majority of respondents emphasizing that it is imperative to increase production levels to ensure India has a better and bigger share in the global rose market. Many rose cultivators and growers said they are experimenting by growing genetically modified roses thereby injecting roses with different types of genes to help them fight diseases, fungal pathogens after they have been picked up and extend their ‘vase life’ by making roses live longer. About 40 crore cut roses are grown across India every year and Karnataka alone accounts for about 75 per cent followed by Maharashtra, Tamil Nadu, Bihar, West Bengal, Uttar Pradesh, Haryana, Punjab, Jammu and Kashmir, Andhra Pradesh and Madhya Pradesh, said ASSOCHAM. Source : ASSOCHAM
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by Paul Joseph
February 7, 2012
Featured
So, you want to pick up some food from your favourite restaurant on your way back home, but don’t have the time to wait after placing the order? A website called Justeat.in helps you place your order online and even reserves tables across 1500 restaurants, serving 52 different types of cuisines. Started by IITian Ritesh Kumar Dwivedy, Justeat.in, not only allows you to search and locate restaurant of your choice, but also provides with restaurant listings and reviews of over 10,000 restaurants across 10 cities. Yourstory catches up with Dwidvedy and finds out more on how Justeat is catering to the hungry surfers and the response so far. How did Just Eat happen? Why a food based venture? When I was working as a developer in 2004-2005, often we would work on weekends, when the cafeteria food was not available. We used to order food from nearby restaurants, but faced a lot of problems due to unavailability of a quality guide. We also found it difficult to communicate our choices with the restaurant as the order takers are usually too busy to listen carefully. This experience planted the initial seed. Like many others, soon I also got bored with my job and decided to take the plunge. It was not a hasty decision though, a lot of time was spent on finding if the model was viable and if a market exits. Where are your offices? We currently operate out of 3 offices in Bangalore, Delhi and Mumbai. These offices also work as nodal centres for the respective regions i.e. South, North and West giving us presence in 26 cities in India currently. We have a 60 member team currently and will be 100 by end of Q1 2012. When was your venture established? The journey has been very difficult but enriching. Hungry Zone, which is the former name of Just Eat, was started in 2006. We always knew that growing this business wouldn’t be easy, but we also knew that later on it will become our USP. Tell us a bit about the market size that you are trying to capture via your website? The organized restaurant industry in India (excluding street food) is valued at $15 billion, growing at 21% per annum. However, the share of online orders is very low. With increasing real estate cost, restaurants too are focusing more on takeaways to grow their business. The advent of international brands has also spurred the growth in takeaways and home deliveries of food. All these augur well for a seamless one stop platform for food ordering. How has the response to your portal been so far? We are very strong in Bangalore and have been growing by 50% month on month in Mumbai and Delhi NCR. Although, registration on our portal is not mandatory, we have now over 100,000 registered users and 300,000 unique users. Do users have to pay for your services? What is your revenue model like? Our services are free to users. We charge a commission from restaurants on confirmed orders. Our margins usually vary from 10-15% of order volumes Which are the main regions that drive your business? We are operational in Bangalore, Delhi NCR, Mumbai and 23 other cities through our partners. Currently, Bangalore is our biggest market as it is our oldest. However, we expect Delhi and Mumbai to take over soon due to their sheer size. What were the challenges you faced while setting up Just Eat? We are the first-of-its kind in India. There was no model to emulate and the technology to handle the unique business requirements was difficult to build. We have strived very hard and have successfully built a scalable solution. For more information, visit www.justeat.in Author: Rohit Rohan
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