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11-17-2011, 02:26 AM
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COM619 agricultural sector of pakistan-project report
(1) IMPORTANCE OF AGRICULTURAL SECTOR OF PAKISTAN
Agriculture sector is considered as the most important sector of Pakistan As: · population depend 70% · labor force employed 50% · Share in GDP 25% (2)MECHANIZATION-KEY DETERMINANT FOR GROWTH OF AGRICULTURAL SECTOR Mechanization is considered as the key determinant for the growth of agricultural sector as growth in agricultural sector can be taken by the following two ways. a) By increasing total farm area b) By increasing per acre yield For both ways we are dependent upon mechanization. (3)CURRENT SITUATION OF AGRICULTURAL SECTOR OF PAKISTAN Current situation of agricultural sector of Pakistan is as follows: Approximated Total Area 75 million hectors Total Farm Area . 30 million hectors Total Cultivated Area 22 million hectors Total No of Tractors (50 HP)needed for total cultivated area....... 1,092,720 Current no of tractors ... 500,000 No of tractors still needed .. 592720 No of tractors destroyed each year 25,0000 No of tractors inducted each year .. ... 25000-30000 Maximum no of tractors can be inducted each year . 60,000 Untapped market as % of total market ... . 50% (1) SWOT ANALYSIS (A)STRENGTHS MTL Head office and plant are at same location (so effective communication and close control) Highly differentiated, strongly established and Accepted product Strong company image (as first in market) Liked by drivers ( as they feel comfortable and More efficient) AGCO distributor for Afghanistan AGTL Emphasize on strategic programming ( that is fit for stable tractor industry) Differentiated, strongly established and accepted product Low product cost Plant location at D G Khan( as reduces material costs due to centralized location and offers labor force at lowest cost due to backward area) Centralization (fit for stable tractor industry) Strongly developed informal networks Engine design fir for local market ( as does not heat up) Unique benefits allocation to employees ( that makes available the motivated workforce at low cost) 94% shares held by two giants; Al-Futtaim group and CNH Establishment of committees for succession planning, remuneration, cost cutting etc Outsourcing of all 85% local components (as cost decreases) New agreement with principal CNH for introduction of new models of tractors (D) MTL OBJECTIVES present Not available proposed To increase the market share up to 55% FY 2004-3005 To decrease the cost of raw material by 5% in FY 20004-2005 To increase no of MTL tractor dealers, spare parts dealers and workshops by 5% in FY 2004-2005 (2) MTL strategies present Maintain marketing effectiveness Improve product development efforts proposed Improve marketing effectiveness Improve cost structure 
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