.Please proofread..... (Urgent)
Please refer your letter (ref no: MF/MKT/2007-08/54) dated April 11, 2008 regarding the sale of private brand fresh milk and encroachment of area. Our clarifications are given below:
Sale of Private Brand Fresh Milk:
with regard to the marketing of products from MF, you will agree with me that this issue has be under consideration since September 2007. We have discussed many issues with your Director Marketing and finally the issue on marketing of MF products was sorted out after discussion with you on 04.04.2008 at your office. Subsequently, we placed a Purchase Order on 08.04.2008 (copy attached) against which we have received supplies on 16.04.2008.
We would also further request you that, in addition to the milk products, we want to start marketing on liquid items from our store and the arrangement is probably finalised within this week. We would like to start marketing other liquids in our store apart from milk products, the arrangements for which will probably be finalised this week.
Please note that we are not marketing other products except the food products and the sale of private brand items is as per the interest of customers of the city when they had asked for these items. Please note that we are only marketing food products and private brand items based on customer demand.
Encroachment of area:
As you may be aware, PNT stores were started with the objective of making F&V items available to the buyers in the city so that the logistical inconvenience of coming to the central depot in order to take part in an auction process can be avoided and the market avaliability for the farmers' produce can be improved. The entry of organized players [competitors] into the retail sector has become a challenge to PNT in terms of scaling up the business as they also target the same set of buyers for balancing their requirement for their stores and the leftover at the end of the day. It is also realized that these competitors will probably also focus on various options including wholesale operations which would mean that competition will get really hot in the F&V sector.
The option of PNT getting into the retailing of F&V has been a well planned move to capture the opportunity that has been emerging, considering the fact that PNT has got its core competency in the Backward Linkages where farmers are organized into Growers Associations capable of arranging any required quality & quantity of F&V produce at the right price to meet both present and future demands. It is not clear if it is PNT or the Growers Associations that are capable of this.
We would like to inform you that the modifications have been done to the buildings and no encroachment / civil structure has been changed in the MF area.
We hope you will acknowledge the changing scenario in horticulture and F&V retailing and will appreciate the proactive steps that PNT has taken to continue its contribution to the farmersí welfare in the State as well as the holding the F&V prices to reasonable levels in order to protect the interest of the consumers.
We also expect that MF will extend all its support in this endeavor to help make it a great success and role model for other states.
Thank you ......