Food Security Implementation through the Cluster Development Approach

By : E. Bhaskaran

Page No: 272-288

Abstract
The objective of this study is to examine the rice mill cluster at Alangulam in the state of Tamil Nadu in terms of its physical and financial performance using business analytics. Primary and secondary data was collected from enterprises, central  and state government websites. The data was analysed using structural equation modelling and data envelopment analysis, along with business analytics techniques like descriptive analysis, diagnostic analysis, correlation analysis, regression analysis, inferential analysis predictive analysis, prescriptive analysis and decision analysis. The physical and financial performance of the rice mill cluster shows an increasing trend, indicating appropriate food security. Input variables like employment, wages and machinery were effectively used over the years for output variables like production, total revenue and earnings before income tax, and depreciation through the common facility centre provided by the Governments of India and Tamil Nadu. The correlation analysis also reveals high degree of relationship among variables. Predictive or trend analysis reveals that there is an increasing trend in input and output variables. The regression analysis and structural equation modelling also show positive trends. Finally, some enterprises were found to be inefficient; it is recommended that they become efficient by following the efficient enterprises in the cluster. The common facility centre is utilized by rice mill enterprises in full and saves service charges when compared to the  open market. To conclude, food security is maintained in the rice mill cluster at Alangulam by way of the cluster development approach where their enterprise cost is minimized and profit is maximized and thus, productivity increases.

Author :
E. Bhaskaran : General Manager / Joint Director (Engineering), Department of Industries and Commerce, Government of Tamil Nadu, Chennai.
 

DOI: https://doi.org/10.32381/PROD.2024.65.03.5