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Quantity and Costs of shipping
The portable milk machine costs $1995 Canadian (Singh, 2016). Transporting the product to Nepal will be quite expensive and will not be easy. For one portable milking machine to be shipped it will cost $1800 via UPS (UPS, 2016) and A1 freight forwarding cargo shipping (A1 Freight Forwarding, 2016). This price is based on the weight and dimensions of the portable milk machine. Most of the cattle and buffalo live in the hills and mountains (Joshi, D.D., n.d) which means it would make the most sense to have the milk machine be shipped to that part of Nepal. That way multiple farmers in the same community can use it, depending when each farmer chooses to milk their cattle in a day. It would be the most realistic to export about 5-10 milking machines annually because of the cost of transportation and the cost of the milk machine.
Absence of foundation in market
The current high costs of milk production is a result of the increasing cost of inputs and lack of improved technologies which are needed in order to evaluate the money farmers are spending in order to produce milk and then seeing how that relates to the price of milk.
Poverty
Around 40% of the population in Nepal lives in poverty (Joshi D.D., 2001). An average Nepalese family will earn approximately $210 US in gross national product in a year, which is about 14389.53 rupees (Bank of Canada, 2016). The shipping and cost of the milk machine is very expensive coming to a total of about $3975 Canadian which is equal to approximately 201481.80 rupees (Bank of Canada, 2016). It will take one farmer over a decade to be able to afford one milking machine, therefore it would be better if multiple farmers purchase one portable milk machine together.
Scarcity of Agriculture education
The fact that so many farmers lack the ability to read and live in poverty is restricting their ability to communicate and get involved in the market because they are not able to read, this results in complications in the process (FAO, 2008). About 59% of males and 86% of females unable to read, the fact that farmers can’t read can sometimes result in them missing market opportunities which can sometimes be costly for the farmer (FAO, 2008).
Transport of Product to Farmers in faraway Areas
The roads in Nepal are not very good so it will be difficult for transportation to gain access to the farmers in order to deliver the milk machines (Donnges, 2005). However the milk machine does have wheels on it so it is possible for the farmer to pick up the milk machine at the closest location to the farm and then carefully wheel the milk machine to the farm.
The portable milk machine costs $1995 Canadian (Singh, 2016). Transporting the product to Nepal will be quite expensive and will not be easy. For one portable milking machine to be shipped it will cost $1800 via UPS (UPS, 2016) and A1 freight forwarding cargo shipping (A1 Freight Forwarding, 2016). This price is based on the weight and dimensions of the portable milk machine. Most of the cattle and buffalo live in the hills and mountains (Joshi, D.D., n.d) which means it would make the most sense to have the milk machine be shipped to that part of Nepal. That way multiple farmers in the same community can use it, depending when each farmer chooses to milk their cattle in a day. It would be the most realistic to export about 5-10 milking machines annually because of the cost of transportation and the cost of the milk machine.
Absence of foundation in market
The current high costs of milk production is a result of the increasing cost of inputs and lack of improved technologies which are needed in order to evaluate the money farmers are spending in order to produce milk and then seeing how that relates to the price of milk.
Poverty
Around 40% of the population in Nepal lives in poverty (Joshi D.D., 2001). An average Nepalese family will earn approximately $210 US in gross national product in a year, which is about 14389.53 rupees (Bank of Canada, 2016). The shipping and cost of the milk machine is very expensive coming to a total of about $3975 Canadian which is equal to approximately 201481.80 rupees (Bank of Canada, 2016). It will take one farmer over a decade to be able to afford one milking machine, therefore it would be better if multiple farmers purchase one portable milk machine together.
Scarcity of Agriculture education
The fact that so many farmers lack the ability to read and live in poverty is restricting their ability to communicate and get involved in the market because they are not able to read, this results in complications in the process (FAO, 2008). About 59% of males and 86% of females unable to read, the fact that farmers can’t read can sometimes result in them missing market opportunities which can sometimes be costly for the farmer (FAO, 2008).
Transport of Product to Farmers in faraway Areas
The roads in Nepal are not very good so it will be difficult for transportation to gain access to the farmers in order to deliver the milk machines (Donnges, 2005). However the milk machine does have wheels on it so it is possible for the farmer to pick up the milk machine at the closest location to the farm and then carefully wheel the milk machine to the farm.
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