Challenges faced by Distribution Channels during Pandemic : Nafa

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• Challenges faced by Distribution Channels during
  Pandemic NAFA

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Table of content

• Challenges faced by Distribution Channels during
  Pandemic NAFA

• About Us

Types of distribution channels.

• Why Challenges faced by distribution channels
  vis-à-vis the pandemic.

Financial impetus can boost efficiency.
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About Us - Financing Solutions For Climate
Resilient, Future Ready Profitable Farming.

• Netafim Agricultural Financing Agency Pvt. Ltd.
  (NAFA) was promoted by Netafim Group, Israel to
  finance the stakeholders in micro-irrigation
  value chain. Netafim invented and pioneered the
  adoption of drip irrigation system across the
  world with the mission to promote a global change
  in the way water is used in agriculture.
• One of the major hurdles in adoption, of micro
  irrigation by farmers, was their access to
  finance, hence Netafim decided to provide
  financial solutions to the stakeholders in micro
  irrigation value chain. NAFA, the Non-Banking
  Finance Company (NBFC) of Netafim Group, received
  the RBI license and commenced operations in
  March2013.

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• Challenges faced by Distribution Channels during
  Pandemic NAFA

• What are distribution channels? 
• Simply put, a distribution channel is how a
  product travels from the manufacturing or
  production facility to the final consumer or
  buyer. It is a means that companies use to bring
  their products to the end-user.
• While distribution channels sound straightforward
  as a concept, in reality, they are pretty
  complex. There are several independent agencies
  involved that make the product journey from
  production to sale possible. Efficient
  distribution channels are crucial for companies
  as they can directly impact product cost and
  subsequently on profits.

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• Types of distribution channels.

• Distribution channels are essentially the links
  between consumers of the product and their
  producers. Distribution channels can be direct
  short chains or indirect long chains with
  multiple intermediaries such as wholesalers and
  retails involved in various stages. Direct
  distribution channels tend to be cheaper and more
  cost-effective due to fewer intermediaries
  engaged in the process. Indirect distribution
  channels, on the other hand, are usually costly.
• Ideally, distribution channels must be as short
  as possible. The fewer stops that a product needs
  to make before reaching its final destination,
  the better. This works in two ways. It reduces
  the logistical and transportation cost borne by
  the manufacturer and two, and it prevents the
  shelf life wasting, i.e., the product reaches the
  end-user early in its shelf life.
• When it comes to choosing the proper distribution
  channels, there is no one right answer. Different
  kinds of products have different distribution
  requirements ensuring the correct distribution
  flow for each product proves pivotal in the
  success of the said products.

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• Challenges faced by distribution channels
  vis-à-vis the pandemic.

• Efficient management of distribution channels can
  be a challenging task that all businesses must
  pay attention to. Especially during the pandemic,
  with all the movement restrictions enforced by
  the government to flatten the curve and prevent
  the spread of Coronavirus.
• Movement restrictions also lead to a dip in
  demand for the products. As the end-users spent
  all their time being holed up in their houses and
  the retail stores remained shut, intermediaries
  at each stage of the distribution channel
  suffered.
• As things begin to slowly open and go back to
  normal, several initiatives aimed at improving
  the distribution channels with financial impetus
  shine as a beacon of hope for the organisations
  involved in distribution management.

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• Financial impetus can boost efficiency.

• It compensates for the dip in demand The
  lockdown restrictions seriously impaired the
  sales of various products due to one primary
  reason a dip in demand. With people confined to
  the four walls of their homes for the better part
  of the last year, demand for several consumer
  goods nosedived. While most bigger companies have
  contingency plans and funds in place, smaller
  businesses were caught off guard. The sudden dip
  in demand for their products made it impossible
  for them to keep up with the billing cycles
  causing all the intermediaries involved in the
  distribution process to suffer too. In such as
  scenario, financial assistance can prove to be a
  boon for the revival of distribution channels in
  India.
• It distributes the negative impact The losses
  suffered by the distribution channels are quite
  monumental. Even with the financial aids to their
  rescue, it will prove to be a gargantuan task for
  the intermediaries to cut their losses and start
  afresh. However, with significant help in
  financial assistance from various initiatives,
  the negative impact on the distribution channels
  can be mitigated. Although not entirely to a
  large extent. It can provide some buffer, a
  breathing space to smaller intermediaries that
  heavily depend upon the smooth functioning of the
  billing cycles.

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• Conclusion

• The financial impetus to distribution channels is
  a much-needed respite for all the stakeholders of
  the distribution channel systems. Running a
  business in todays day and age is complicated
  and risky as is add to it the uncertainty of a
  global pandemic and the situation becomes a lot
  more complicated.
• This can be prevented, and the distribution
  channels can be made more effective and
  well-managed with financial assistance. It can
  help the manufacturers, wholesalers, and
  retailers bring their businesses back on track
  while also streamlining the distribution process.
  With one less aspect of doing business in these
  times to worry about, they can focus their time
  and resources on other important factors.
• Our aim is to help farmers to increase their
  profit with smart financing solutions like drip
  irrigation loan, agricultural loans and
  agriculture equipment finance. Contact us to know
  more.

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What We Promote?
Sustainable Agriculture Practices by promoting
climate resilient technologies by focusing on
using water efficiently to reduce negative impact
on environment.
Access to Financial Service To small holder
farmers and Small Medium rural agri enterprises
Improving Farmers Income Level By helping him to
adopt cash-crops, increasing crop-productivity
and helping him to grow more with less
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Thank you
Netafim Agricultural Financing Agency Pvt. Ltd.
(NAFA) Registered Office 1602 1603, The
Affaires, 16th Floor, Plot no. 9, Sector 17, Palm
Beach Road, Sanpada, Navi Mumbai 400 705,
Maharashtra.
Phone Number 91-22-6170 7600 Toll-Free  1800
2677762 Whatsapp  [phone] Email
info_at_nafa.co.in customercare_at_nafa.co.in
Web https//nafa.co.in