PROJECT CHARTER

National Agriculture Innovation Project

GOVERNMENT OF INDIA, NEW DELHI

Group Assignment for PMGT701

Names of Group members
Shashank Chirammel – 300875517
Jaspreet Kaur – 300888228
Kesav Padmaja – 300889628

DATE: 30TH MARCH 2017

National Agriculture Innovation Project, 30 March 2017 1

 1. Exec
utive summary
This investment decision is made to eliminate the poverty and hardships that exist in the
agricultural sector in India due to the lack of technological and scientific knowledge in this field.
This project specifically focuses on generating more income to the farmers by introducing new
technology and scientific methods for increasing production by crop diversification, mixed
cropping and the use of machinery instead of costly and time taking labor. And to make the rain
fed areas cultivable all throughout the year by rain water harvesting projects which conserves
rain water for all year around use. This project promises a good return to the investors and also
processes some risk that arise with the change in government. The estimated duration of this
project is 6 years with a proposed budget of 250 million USD[ CITATION The06 \l 1033 ].

2. Introduction

The main purpose of the project is to develop the agricultural sector in the different parts of
the country with the establishment of the new resources and technology skills. The project
mainly focused the agricultural skills, which help the farmers as well as government to generate
income from the sector, which also help the economy of the country[ CITATION The06 \l 1033 ].

3. Project Justification / Business Case

The National Agricultural Innovation Project (NAIP) will upgrade the agricultural sector as a
whole which focuses on the increase in Income of the farmers that ultimately lead to the
increase in GDP as agriculture contributes to over 70 percent of the total employment. There
were three other alternatives considered; however due to the facts that those alternatives will
have an adverse impact in future was the reason for it being rejected. Some of the reasons
being incompatibility in the emerging markets, increasing the gap between the private and
public sectors were some of the reasons the rejection of the other projects.

4. Project Objectives
This investment project focuses on attaining self-sufficiency in the agriculture sector in six
years to increase the income of the people working in agricultural sector. Also, to make the rain
fed areas cultivable all throughout the year by water conservation projects.

5. Project Scope, Deliverables, and Boundaries

This project focuses on increasing income of farmers which contribute to 70 per cent of the
employment in India and by developing this sector the government focuses on increasing the
per capita income and alleviation of poverty in India and also to make India self-sustainable in
agricultural sector.

a) Project Scope: This focuses on attaining self-sufficiency in the field of agriculture in

India achieving goals such as crop diversification and mixed farming so that the farmer
does not focuses on only one crop for income. Even if one crop fails he will be supported
with the other crop he is cultivating. Also, conservation of water is very important for
areas which focuses majorly on the availability of rain for cultivation, conserving water

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 will help them to cultivate all around the year. Educating farmers is yet another task of
this project and is very significant as it is the backbone of the Indian economy.
b) Deliverables: There are mainly four deliverables in this projects and they are mainly
focused on self-sufficiency in agricultural sector. The first being the proper education of
farmers about the various schemes and policies available to them and technical and
scientific knowledge about farming which focuses on maximum output. It then targets
rain fed areas and ensure the availability of water throughout the year. Crop
diversification, rotation and mixed cropping will help in sustainable development and
ensure maximum production all these will help increase the GDP by increasing the
income of farmers.
c) Boundaries: The project focuses on the whole of India and a part of the project is
focused on the hilly areas of eastern India. This project does not focus on crops like
rubber, tea, coffee where the lifespan of the crops are more than 3 years.

6. Project Duration and Milestones

Milestone Date Milestone Name Milestone Description
March 31 2007 Educating farmers The first mission is to educate the farmers on the
about the project available technology and the many schemes
provided to them.
March 31 2009 Completion of water The second milestone is the completion of the
conservation projects rainwater conservation project by construction of
various check dams and rain water harvesting
systems in the hilly areas to make sure that water
is available throughout the year
March 31 2012 Implementing new This step focuses on the farmers using machines
technology in farming more instead of labor and also scientific and
leading to self- recession farming to make maximum output from
sustainability and the available land and also crop diversification.
increase in income of This will lead to increase in the income of farmers
customer. and self-sustainability of agriculture

7. Project cost estimate and sources of funding

The total estimated cost of the project is 250 million USD being the resources needed
according to the current situation. The first 3 years of the project will be crucial which will need
60% of its funds to achieve its milestones and produce its deliverables. And the remaining 3
years will need 40% of the total capital raising. And the remaining 10% will be used as a reserve
for the project as it is essential in the transaction of the project. The sources which will raise our
fund are the Business angels, Venture capital, Debentures, Issuing shares and the Project
Grants.

8. Project Assumptions
The basic assumptions of this case are that the government rules and policies remain the
same, the funds will be available, the company will not be becoming bankrupt and everyone will
work as a team until all the objectives of the project are accomplished. India being corrupt in

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most of the sector, the innovation project should be free from corruption and the people who are
addicted to it. All the milestone should be achieved in the allotted time of the project duration.
We also assume that our innovators will give their best to improve the status of the project.

9. Project Constraints
In the National Agricultural Innovation Project the cost and the design of the project would
the crucial constraints. These should be framed and used appropriately before the primary
objectives have been focused. Due diligence would be the second important constraint making
it professional. Human resource will be the other issue that should be arranged as per the
staffing of the appropriate size of the project. In terms of over costing or any failure every year
budgeting will also be needed.

10. Project Risks

There are two known risk for this investment decision being the change of government in
every 5 years and the risk of the new government not following up this project and one of the
major risk is the technology. Technology is something which changes every day and by the time
this project is completed, the proposed technology will be outdated. There are many possible
risks like inflation, the artificial conditions made for increasing the production may lead to rise in
global temperature and change in climatic conditions and the uncertainty of available
investments and return policy.

11. Project Organization

a) Stakeholders
The project help the country to increase the GDP and economy rate. However there such
departments which get impacted with the development of the project. The main stakeholders
which are mostly affected by the project in the country would be Government of the country,
Private investors, and Public investors.

Government of the country is impacted in all aspects as this project help to improve the
economy rate of the country somehow with this the legal authority will also increase their profit
share in the market globally through the invention the agriculture sector.

Private investors are those individuals who are investing in this project for their own benefit
as they want to increase their market share as compared to their competitors.

Public investors are the impacted with this project in both the ways positive and negative
because through this project they are going to improve their shares with the issue of new shares
as well as also help the government in the increase of GDP of the country.

b) Project Roles and Responsibilities

Role Responsibilities
Manager     provide plan and directions, the decisions for the day to day
activities which are evaluated during the project
 
Executes the proper plan and duties to the staff and check out

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 Executive daily outcome from the available project

c) Project Manager
Project manager has the total burden of the project hence in out project the manager have
to plan the strategies of the project. He will sequence the strategies according to the project
need, resource planning will be essential at this point. He will also be responsible for developing
the schedules, time estimation and even cost estimation over the duration. This also requires
documentation and budgeting. The next comes the risk analysis following with the progress
report. Team leadership will enhance the team mates to perform better and maintaining
relationships with the vendors. If the progress is positive, then the quality control will the
important role for the manager.

12. Project Authorization

Approved by the Project Sponsor/s

The World Bank Group, Date: 31/03/2017

Agriculture Irrigation and Natural resource.
South Asia, India.

References
The World Bank. (2006, April 20). India - National Agricultural Innovation Project (English).
Retrieved from World Bank:
http://documents.worldbank.org/curated/en/483851468051265487/India-National-
Agricultural-Innovation-Project

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