Pear Culturing in India

Table of contents

I. The Business

A. Description of business, customer value proposition and competitive advantages, if any

B. Market Opportunity

C. Competition

D. Marketing

E. Management Team

II. Financial Data/Revenue Model

A. Balance sheet

B. Breakeven analysis

C. Pro-forma income projections (profit & loss statements)

- Three-year summary

- Detail by month, first year

- Detail by quarters, second and third years

- Assumptions upon which projections were based

D. Pro-forma cash flow

- Follow guidelines for ‘C’ above.

E. Financial feasibility analysis.

Appendices

Executive Summary

The Vision

The Mission is to help in making India a global competitive destination of pearl culturing & transform it from a pearl importing country to pearl exporting country. India has increasing demand of natural pearl for its domestic market & expanding jewelry exports this demand is catered by imports from countries like Japan, Indonesia & china.

The Business

Pearl culturing farm setting --- A Unique Opportunity

The business will be setting up of a farm for marine pearl culturing to cater growing demand of pearls both in country & international markets. To set up a pearl culturing farm is like setting up a diamond mine of your own basic difference gold in a mine will end with time but a pearl culturing farm will give wealth all the time as around 25 % of pearls harvested are of very high value & could fetch upto $1000 in international market depending on its ranking. Upto now Indian entrepreneurs not started marine pearl culturing in a big way and the delay is due to lack of awareness, risk involved in the project, high capital investment required, legal formalities & Government regulations involved in acquiring land & using marine water and level of technical skills involved in the technology. But now scene has changed & present time is the right time to get an entry as regulatory environment is in favor of entrepreneurs to get into pearl farming. The government organizations like Central Marine Fisheries Research Institute (CMFRI) & Indian Council of Agricultural Research (ICAR) are very enthusiastic to help entrepreneurs by providing technical know how & help to get through the requirements from government side.

Market Opportunity

The market of natural pearl is increasing at both domestic & global front. There is high space for Indian Entrepreneurs to setup farms & cater this growing demand

 Domestic Market:--

The pearl trade in India is reasonably high due to the people's habit of using jewellery in large scale. This demand is mostly met through imports of cultured pearls. The imported pearls are processed and sold in the domestic market as natural pearls. Very small part of the domestic requirement for marine cultured pearls is met through indigenous production and the rest through imports. India is importing marine cultured pearls from China, Japan & Philippines. Japanese pearls are costlier when compared to pearls from China & Philippines. The exact statistical figures of demand & imports of marine cultured pearls is not readily available. But according to the bulk importers & traders in the country, the domestic demand is around 92.0 tons out of which around 10% is met through domestic production and the rest through imports.

 India is the third largest importer of pearl after United States & Belgium

 Indian import of pearls & precious stones has increased by around 90 % between 2000 & 2005 from US$ 4,919,439,000 to US$ 4,919,439,000

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