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Friday, March 29, 2024

Fungicides from Sanson Chemical Industries for successful farming – Mr.Xavier Thomas Kondody

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  • When did you start your journey as an entrepreneur and how was it?

I have started my journey as a small entrepreneur in the year 19. My first venture has been a printing unit with a paper bag making unit.  The unit’s name was ‘Coods Industries’  Cood is the Malayalam pronouncement of paper bag.  It was a partnership firm with my family members and we have run it successfully for 7 years.  We could not scale it up due to technology deficiency and capital shortage to upgrade it.  Stopped the unit in the year 1975.

We have formed another partnership firm to locate a new small-scale unit by the name and style under Coods Agro Chemicals.  The product produced was Copper Sulphate Commercial production has been started in the year 1978.  It was in a mini Industrial estate in the village called Pampady.

It was a herculean task to procure all the licenses and product registrations from various Government agencies and departments.  Anyhow, it was a revolutionary attempt on our part.

  • What are the key challenges you have faced as an entrepreneur in the initial days of your business?

The major challenge was the stringent regulatory stipulations to start an SSI unit.  Since the unit has been located in a mini industrial estate there has not been much of problems from, the local body the ‘Panchayath.’

Since our product was a fungicide (insecticide) its registration from Central Insecticide Board, Faridabad has been a tough job. It took nearly two years, with great efforts, we could get the registration from CIB.  To complete the application for CIB, that office wanted a bonafidility certificate from Kerala State Agri department.

To get the bonafidility certificate,  Department Agriculture insisted erecting of all the plant & equipment investing the huge capital proposed.

The gestation period thus has been extended for long periods say to three years even after the full capital investment.

The major impediment is that an entrepreneur if he selects a new, different product, he has to wait for 4 to 5years to obtain all the regulatory compliances.  Since it is a serial link if anyone is broken the ultimate connection would not work.

By that time there is a chance for the product to become outdated, investment gets high beyond our original estimate and the initial years will be financially losing.  As an entrepreneur, I have lost esteem and pride on account of the delay in getting the unit established and operated.

  • How did the idea for your business come about?

I have completed Licentiate in Printing Technology in my graduate studies.  Hence the interest matured in starting a Small enterprise in Printing & Packaging sector.

Myself has been passionate in agriculture throughout my life so far.  Copper Sulphate is the active ingredient of Bordeaux mixture a traditional fungicide used in all cash crops and even in food crops extensively throughout the world.  This product is a rare item which normally new entrepreneurs dare not to venture into.  Though there was a high risk, we have decided to accept the challenge.

  • Can you explain about your Sanson Chemical Industries?

Sanson Chemical Industries is manufacturing, trading, importing and exporting copper Sulphate Technical grade.  It also invented a unique product Ready to Use Bordeaux Paint/Mixture, a first-time invention in the world.  The application is under process for granting patent from Controller of the patent, Chennai.

Inventor of Rady To Use Bordeaux Paint as a novel alternative to field level made Bordeaux Mixture.  Its extended shelf life, weatherability, quick action, the parallel fungicidal effect of neem oil and surfactant, made it a unique product.

We have been maintaining a regular presence in the market and provided education to farmers about the preparation of superior quality Bordeaux mixture, timely application and proper timing to get good results always.

We depend on personal contact, regular monitoring on their purchase and sales strategies, follow excellent communication strategy through their mother tongue, Kannada, Tulu, Hindi, and English languages are used in the State of Karnataka and Malayalam in Kerala, Tamil in Tamil Nadu. Depending on wholesale dealers for area-wise sales, keeping direct supplies to planter buyers.  Acquiring orders thru bulk tenders quoting competitive bids etc.

We have been maintaining the regular presence in the market and provided education to farmers about the preparation of superior quality Bordeaux mixture, timely application and proper timing to get good results always.

We depend on personal contact, regular monitoring on their purchase and sales strategies, follow excellent communication strategy through their mother tongue, Kannada, Tulu, Hindi, and English languages are used in the State of Karnataka and Malayalam in Kerala, Tamil in Tamil Nadu. Depending on wholesale dealers for area-wise sales, keeping direct supplies to planter buyers.  Acquiring orders thru bulk tenders quoting competitive bids etc.

  • Where would you like to see your business in the next two years?

Currently, our major problem is inadequate working capital from our financing bank.  State Bank of India.  Now after a gap of 4 years, we had submitted an application for reasonably substantial working capital and if we are fortunate to get it sanctioned our target is to double the present turnover to Rs.25 crores and Rs.30 crores in 2020 21.

We are also targeting to market extensively Ready To Use Bordeaux Paint an innovative product invented by myself in the place of the conventional field made Bordeaux mixture using our Copper Sulphate and Calcium Oxide which we are trading. The product is awaiting patent from Controller of Patent, Chennai office.

Goods and Service Tax system has also helped us to move for organic growth.

  • For how many years you have served as a president of Kerala State Small Industries Association? And what are the activities performed under your authority?

I have  served as State President of Kerala State Small Industries Association form 2002 – 2006 under two-year term each.

  1. I have made active all the 14 districts units of KSSIA with a membership of 6000 micro/SSI units.
  2. Initiated the formation of State level facilitation council under the delayed payment Act under MSME ministry, with the Director of Industries as chairman. In the first two years itself, we could settle more than Rs.3crores from PSUs & Panchayaths due to SSI units.  At least 200   units could thus survive from collapse, by the council’s intervention
  3. Attended World conference on MSME held in Taipei and chaired a session on MSMEs growth for the economic performance of India I was the only representative from India,
  4. Attended ILO conference on the “convention of decent employment thru small and medium enterprises”, held in New Delhi, as the only rep from MSME sector in India.
  5. Participated as leader of teams of Kerala based SSI units in global exhibitions conducted in China, Malaysia, Kazakistan Colombo etc.
  6. Became a member of an Empowered committee under Reserve Bank of India, Thiruvananthapuram on MSME finance.
  7. Represented Kerala twice in the top level committee (CMDs of PSUs) headed by Deputy Governor, RBI on the formulation of credit policies to MSME sector, held in MUMBAI, RBI office. Advocated for lot more credit flow to the  MSME sector.
  8. Initiated efforts for the introduction of the Credit Guarantee Trust fund scheme under which collateral free credit flow to MSMEs has been rendered and its limit enhanced to Rs.50lakhs. Now it is Rs.2crores and lakhs of units we availing credit under CGFTs.
  9. Currently actively involved in Confederation of Indian Industry as its State Council Member

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