BUSINESS OF LITCHI

Yesterday, was a tough day, expected though, but the surprises came in as shocks. We are food processors, 90% of our revenues come in from litchi, Bihar is the largest producer of litchi in the country, almost 80% of indian consumption is met by Bihar. It is a solace to all food processors, as they are able to sustain themselves round the year by manufacturing only for 20 days in a year.
Out of some 10 players in the litchi market, we must be 7th largest as far as turnover is concerned, considering we have only two seasons to our credit, this is a fair rank. Dabur, is the largest buyer for pulps and litchika is the largest seller for tinned litchi.

My day was made by both the biggies. Absence of Dabur last year due to problems in Nepal, led to extra Stocks in the market. We managed to survive the year through making newer clients, adding value. It was a tough task. As litchika had exhausted thier stocks, we managed to get an entry into the southern markets, in the bargain we also managed to sell some to litchika itself.
It was ethical business, market forces were dictating terms.
Then it all changed yesterday, when I called for my payments, the lithcika boss, enquired "how well do you know me". I told him, that he was a leader in the market, an enterprenur who had almost single handedly laid the foundation of the litchi market". He added "that besides this, I am also a big goon, a politician and someone with a lot of money and influence" that I have been targetting his customers and he could get me killed for it. As far as money is concerned, he is not going to pay me for next seven years.
This is a bombay business man, I am a Bihari. This was the other way round. I am not sure how to react, besides sharing it with you. But one thing is sure, my resolve gets stronger, the 20 year king will take 5 years to vanish. Through the market route, obviously. the writing is on the wall, guess, i am on the right track.
Dabur, with whom we have been negotiating for months now, was a damp squib, after giving indications for purchases worth 5000K, cut the order size to 20%.
It was too much for a day.
If it wasnt for Priety, it would be difficult to start today. All of them are still asleep.
Sweet dreams honey...ss.