Chemical Leasing for agrochemicals Common presentation of the international working group

34 Pages·2013·1.62 MB·English

by  Marie Schmid

Chemical Leasing in Agriculture
Presentation developed by Lakmini Edirisinghe, Vojislavka Satric, Reinhard
Joas, Aleksander Startzev, Aleksander Uzunov, Maria Grineva
Table of content
1. Background to Chemical Leasing for agro-chemicals
2. Experiences in Sri Lanka and Serbia
3. Other experiences
4. Conclusion
1. Background to Chemical Leasing for agro-chemicals
OECD Definition:-
Agro-chemicals are commercially produced, usually synthetic,
chemical compounds used in farming — such as a fertilizer,
pesticide or soil conditioner.
Differentiation between fertilizer and pesticides:
Fertilizers are organic or inorganic substances containing
chemical elements that improve the growth of plants and the
fertility of the soil. The percentage content of nutrients in organic
fertilizers (manure’s) is relatively low.
A pesticide is any substance or mixture of substances that is used
to prevent, destroy or control pests — including vectors of human
or animal disease, and unwanted species of plants or animals.
Global consumption of PPP and fertilizers
 Worldwide consumption of pesticides:
>1,000,000 tonnes per year
 Worldwide consumption of fertilizers:
>50,000,000 tonnes per year

Huge reduction potential exists
Chemical Leasing  Use of pesticides
Intention: Get the same result with less chemicals
Background: Overconsumption does not provide any advantages
pesticides
Classical business model: payment per kg or liter pesticides
Chemical Leasing: payment per ha agriculture area free of pest,
payment per kg of achieved yield
Improvements by intensified collaboration along the
supply chain
Selection of appropriate pesticides
Supplier of
pesticides
Timing and frequency of pesticides application
Suitable indicators for pesticides applications
User of
Maintenance of sprayers
pesticides
Suitability of sprayers
Equipment
supplier

Efficiency increase

Cost reduction

Better products

Improved competitiveness
Chemical Leasing for fertilizers
Yield
 Analysis of soil
 Analysis of plant needs
 Special additives to
standard fertilizers
Efficiency increase due
 Best practice applications
to knowledge exchange
Amount of fertilizer
Intention: use fertilizers more efficiently
Background: In most cases more fertilizers bring more yield. So simple
reduction of fertilizers amount are only a solution beyond its critical point
2. Experiences
In Sri-Lanka
Survey Results (2012) : Current Agro-chemicals
usage in Sri Lanka
(S A Bandera –University of Peradeniya, Sri Lanka)
Dosage Status Method of Selection Status
Recommended 20% Consult village level extension 10%
officers
More than recommended 60%
Consult dealers 25%
Less than recommended 10%
Consult neighboring farmers 15%
Not known 10%
Own experience 50%
Measuring Devices Stat Time of Application Status
us
Specific Container 25% Before appearance of pests 70%
Lid of pesticide bottle 55% After appearance of pests 15%
Arbitrary measurement or no 20% Before or After appearance of 15%
measurement pests
Distribution Network of Agro-chemicals in Sri Lanka
Importers
ROP
Local Formulators
Key Activities In Sri Lanka
Main Dealer
 Formulation & Packaging
Sub Dealer
Retailer
Farmer
Agriculture
Officers