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GUIDED BY: PROF. CHIRAG V. ERDA FOR THE PARTIAL FULFILMENT OF THIRD YEAR B.B.A. SUBMITTED TO SAURASHTRA UNIVERSITY RAJKOT. SHRI G.H. GOSRANI COM. (ENG. MED.) AND SHRI D.D. NAGDA B.B.A. COLLEGE, JAMNAGAR.
PREFACE
Becoming a successful Entrepreneur is the dream of any individual. To become a successful Entrepreneur, a person has to acquire the practical knowledge for what is going on in the market. There is much difference between theoretical knowledge, which we sturdy in classrooms, and practical knowledge, which we have to apply in any particular field in future. To cop up that difference, we have to carry out such type of activities gaining practical knowledge leading to the skills, aptitudes of a persons life. Hence, as part of our subject, my self, Hardik P. Vadhar student of T.Y.B.B.A. of Shri Dharamshi Devraj Nagda B.B.A. College, Jamnagar presents this Product Project Report on RAMOJI NAMKEENS. This project report contains all the information starting from establishment of unit till calculation of expected return on project and about expected percentage of BEP in normal condition. So I am sure that my preparation of this project report will give me a glimpse of the knowledge that is contained in the nature of a successful entrepreneur. My effort will be a sense of attempt made my me to fulfill the need of Saurashtra University.
ACNOWLEDGEMENT
Product project report is an effort made by a student of T.Y. B.B.A. to ensure that he/she has a change given by the syllabus of Saurashtra university to prove his/her capabilities contained in him/her to be a successful entrepreneur. Product Project Report is one of the important document which may help the promoters of small scale industries to get the lone from GSFC, banks etc. The product project report helps the financiers to know the profitability of the unit. It helps the financiers to know the long term liquidity of the business and also to know that whether the lone taken will be paid back or not. For this purpose, I have selected sugar plant. I am very much thankful to Mr. Chirag V. Erda for giving his valuable time and guidance and giving us guidance to prepare this project report. Finally, I would like to thank Saurashtra University for giving a great task of preparing such a product project report, which may help to highlight an overall view of a persons inner capabilities Place: Jamnagar Date Signature
PROJECT
DETAILS
INTRODUCTION
Dal Moth, Chanachur & Bhujia are considered important, as processed foods. These are food products having no exact historical background. Long ago, people did not hear the name of Dalmoth, Chur or Bhujia like food products. But now a days, it is well known the world over. These are mainly consumed during breakfast periods & during social & cultural periods. These are used as tasty & flavored food, because of their digestive carminative, simulative, and almost all types of salty properties. India produces
processed food products of grains like Grams, Pulses etc. It aids in digestion and adsorption of food anathematic and antiseptic properties. The main raw materials for these products are Gram, pulses & spices. The various food additives & colors may be used to provide sophistications in the products. The raw materials, are available in India in plenty. These salty food products get a broad market in foreign countries. Hence, there is a lot of scope and market abroad for these products. These food products have a long shelf life and easy to transport in any part of the world without the fear of deterioration. Since India is surplus in food grains production these items can prove to be good force earner. possesses
These products impart flavor and aroma. They have been widely used during breakfast and festive occasions. These are also used in the appetizing and digestive purposes as a medicinal way. They have carminative simulative and digestive properties. These products are uses during the journey. These products are so useful for fun time & light snacks parties.
PLANT ECONOMICS
Plant Capacity. : = 1000 Kgs / day. 300 MT/annum.
Products.
Basis.
: =
Construction Period.
4 to 6 months.
Employment Potentials.:
30 Nos. of employees.
PROJECT COST
----------------------------------------------------------------------------------------No. Particulars Rs. Lacks ----------------------------------------------------------------------------------------1. 2. 3. 4. 5. 6. 7. 8. Land & Building. Plant & Machinery. Office Furniture / Empts / Vehicles. Electrical Installation, Erection Cost etc., Technical Know-How Cost. Preliminary & Preoperative Costs. Contingencies. Margin Money. 10.00 15.00 01.00 02.00 03.00 01.00 03.00 05.00
ARRANGEMENT OF FUNDS
Debit : Equity Ratio = 3:2
No. 1. 2.
Total
40.00 --------
No.
Particulars
(Rs.lacs)
1. 2. 3. 4.
Turn Over, p.a. Operating Profit Profit to Sales Ratio Rate of Return (% p.a.)
1.
are considered essential for house holds, defense, restaurants, bars, tea-stalls etc. 3. Travelers & drinkers consume these namkeens essential and
so do average to high status families with their tea-time. 4. 5. 6. This project is pollution - free. It can be located near market place. This Agro-based industry has a high export potential and set-up as 100% EOU. However, the scale of
can be
Screen drum, Starter, air-blower, dust-collector. 2. Disintegrator, complete with motor and suitable starter, filled
screen beaters etc. 3. Drying oven (cabinet Type) 10 Trays with thermostat control
arrangements (Electrically heated up to 15* C). 4. 5. Sieving screens. Skin Peeling bares drums with 2 H.P. Motor & Other
Accessories. 6. 7. 8. 9. Filling and Sealing machines (Manual). Weighing Machines. Eccentric roll type impacting machine. Working tools, testing equipments, material handling
equipments etc.
1. 2. 3. 4. 5. 6.
Gram, Moong grains & other pulses. Salt. Spices. Food pigments / Flavors / Preservatives. Edible Oils. Packaging Materials & misc. stores.
MARKET POSITION
Eatables have always been in great demand and will continue to be. Liking or disliking a particular food product is, altogether a distinct matter and varies from person-person. This is why a good number of eatables have been developed and many more can be expected in years to came. Moreover, in this age of science and technology, when the distance between countries has only been matter of hours & the sense of international brotherhood has gained momentum, and the business has spread globally, it becomes necessary to provide them with the eatable they like the most. Namkeens have gained popularity among people of all countries, religions and sects.
The production of namkeens in India is far behind its demand. Taking into consideration the export potential, the demand-supply gap runs in thousands of tones. This leaves a bright scope for many new entrepreneurs.
PRESENT MANUFACTURERS
1. M/s. Blossom Food Indutries, Khopali, Dist. Kolaba, (MR). 2. M/s. Cornfield & Industries, Haily Mandi, Distt Gurgaon, Haryana. 3. M/s. Dega Poha Industries, Khariyar Road, Distt. Kalandi, Orrissa. 4. M/s. D. D. Hari Savan, Amritsar (Pb.). 5. M/s. G & E Morton (I) Ltd., P. O. Marhowrah, Distt, Saran, Bihar.
6.
7.
M/s. Hindustan Brefeafast Foods Mfg. Co., 64-65 Najafgarh Road, Indl Area, New Delhi.
8.
9.
10.
M/s. Maltex Chemocal & allied, Industries, Maltex House, Clement Town, Dehradun (U.P.).
11.
12.
13.
MANUFACTURING PROCESS
The manuacturing process of these food products is nearly same with a little difference.:
A.
DALMOTH:
The process comprises soaking of pulses (archer, Moong, etc.) in water and washing in a tanks. It is adaptable in batch or continuous processing. The outer skin, then peels off in a skin peeling barrel drum. The skin peeling is necessary to facilitate removal of moisture. The pulses are then dried. The drying may be done in sun but sun drying takes a long time for which an electrical drier is best suited. Generally, the pulses are loaded in a trolley fitted with suitable trays & fed to the drier. The drying temperature is around 50-60*C. After drying, whole of the pulses are fried in deep edible hydrogenated oil at 100-180*C for about 60-90 seconds. Excess oil is drained from the pulses. These are mixed with common salt preservatives powder and spices. These are Packed in polythene bags. Storage can be prolonged by preventing rancidity, adding antioxidant and a synergist to the frying oil.
B.
CHANACHUR:
Initially the required amount of chana is soaked in water in washing tanks, and then, it is beaten by light hammer manually. Machine hammering is preferred for higher put put. Now it is sent to frying section, and then, mixed with common slat, powder & other spices. These are packed in polythene bags. Before packing addition of antioxidant and synergies can be done.
C.
BHUJIA:
Both yellow and white varieties of maize can be used
for preparation of Bhujia. Wheat & Gram can also be used to prepare bhujia. The Gram or maize seeds are cleaned and sintered and then these are polished, so that any foreign material deposited on its upper surface are removed. Then seeds are sent to pulverize. The ground flours coming from pulverize, which pass through sieve of mesh no. purpose. 1, are good for the
M/s. N. K. Engg. Works, 8007 - 8/11, Multani Dhandha, Paharganj, New Delhi - 55. Ph : 522232
M/s. Babbar Engg. & Electric Workers, 688/335, Munshi Ram Bagh, New Ranjit Nagar, New Delhi - 8. Ph : 570 5367.
M/s. Modern Engineering & Welding Works , A-263, Phase - I Okhla Industrial Area, New Delhi - 20.
B.
DISINTEGRATOR:
M/s. Modern Foundry & Machine Works, Ahmed Nagar. M/s. S. P. Engg. Corpn., 77, Fazalganj, Kanpur.
C.
OVENS:
M/s. Bagsing Electronic Industries, Vytela, Ernakulam, Kerala.
M/s. Flora Engg. Co., Karim Court, 3rd Pasta Lane, Bombay -5.
M/s. Kilburn & Co. Ltd., Allenby Court, 1/I Allenby Road, Calcutta - 20.
D.
SIEVING MACHINE:
M/s. Andrew Yule & Ltd., Yule House, 8 Clive Row, P.B. 1664, Calcutta - 1.
M/s. Eimco - K. C. P. Ltd., Rama Krishna Building, 38, Mount Road, Madras - 6.
M/s. Tata Robins Frasev Ltd., 11, Station Road, Burmch Mines, Jamshedpur -7.
M/s. Pentagon Engg. Ltd., Mandu Mukund, Sion (East), Bombay 22.
PROJECT HANDLING:
The total project activities can be broadly divided into two groups. In the approval first group, there will be activities involving firm various government department such as of company Affairs,
registration of the company with local office of the Registrar of Companies in the in the department allotment of land, sanction of power registration or letters of intent with DGTD or other statutory body, connection, no objection of long term authority, certificate from pollution control board, sanction
loans from Financial Institutions, cash credit facility with bank etc. Approval of foreign collaborations from competent clearance from SEBI for public issue etc. are necessary.
(YOU CAN BRIEFLY WRITE THE ACTUAL STATUS AND FUTURE PLANNING OF THE PROPOSED PROJECT AS EXPLAINED IN THE FOLLOWING EXAMPLE).
In
proposed
required land and formalities of diversion is already completed. Clearance from pollution control brad is not required. Further the state electricity board has already given their written consent for necessary power connection and lastly the financial institution has agreed to provide working capital finance. The major part of formalities are in progress and as soon as the term loan is approved by bank and actual implementation so the project can be started without delay.
Further firm has already selected consultants for necessary technical assistance in selected of plant and machinery etc. Civil drawing details layout is already prepared to avoid delay.
PROJECT SCHEDULING
The management will be scheduling these activities so as to complete the job in an acceptable time span and finally control the conduct of the scheduled work. In matters of planning. Them management will consider the requirement, availability and employment of the necessary man power and facilities for carrying out the programmed in such a manner that cost and time required are properly balanced and excessive demands on key resources is avoided.
A detailed programmed in the form of CPM network will be prepared conversing all the key contracts. The detailed will highlight the dates for i) Invitation of tenders, ii) receipt of of bids, iv) receipt of materials and into consideration the time quotations iii) Scrutiny
required for preparation of bids and delivery periods of various purchased items. A schedule of work in will be prepared to set in detail all the units comprising the project. A complete procurement specification will be prepared for each item of plant and machinery and for civil and structural work.
TIME SCHEDULE:
accomplish the desired objectives within a time span which is as short aas possible without being excessively curtailed. A time span of Eight months for project completion defined by erection and commissioning of the plant is estimated. The following table gives the time schedules for major works carried out in the implementation of the project.
SCHEDULE OF IMPLEMENTATION:
Sr. No. 1. 2. 3. 4. 5. 6. 7. 8.
Activities Land Acquisition Loan Sanctioning Legal Formalities Site Developments Civil Construction Election, Installation & Procurement of P & M. Selection of Staff Commissioning
Duration in month
Some of the guiding principles for detailed plant layout will be discussed for the benefit of those making layout decisions for the first time.
STORAGE LAYOUT:
intermediate and
finished products may be located in isolated areas or in adjoining areas. Hazardous materials become a decided menace to life and property when stored in large quantities and should consequently be isolated. Storage in adjoining areas to reduce materials handling may introduce an obstacle toward future Arranging storage of materials so as to expansion of the plant.
facilitate or simplify handling is also a point to be considered to design. Where it is possible to pump a single material to an elevation so that subsequent handling can be accomplished by gravity into intermediate reaction and storage units, costs may be reduced. Liquids can be stored in small containers, barrels horizontal or vertical tanks and vats, either indoors or out of doors.
EQUIPMENT LAYOUT:
In making a layout, ample space should be assigned to each piece of equipment ; accessibility is an important factors for maintenance. It is extremely poor economy to fit the equipment layout too closely into a building. A slightly larger building than appears necessary will cost little more than one that is crowded. The extra cost will indeed be small in comparison with the in order to iron out the kinks, penalties that will be extracted if, the building must be expanded.
The operations that constitute a process are essentially a series of unit operations These that may be filtration, carried on simultaneously. include evaporation,
crystallization, separation,
are repeated several times in the flow of materials, kit should be possible to arrange the necessary equipment into groups of the same kinds possible to arrange the necessary equipment into groups of the same kinds. This sort of layout will make possible a division of operation labors so that one or two operators can be detailed to tend all equipment of a like nature.
The relative levels of the several pieces of equipment and their accessories determine their placement. Although gravity
flow is usually preferable, it is not altogether necessary because liquids can be transported by lowing or by pumping, and solids can be moved by mechanical means. said to a cost nothing Gravity flow may be to operate, whereas the various
mechanical means of transportation involve the first cost of the necessary equipment and the cost of operation and maintenance.
But material must be elevated to a level where gravity flow must start. However, gravity flow usually means a multistory layout, whereas the factors favoring a single-story plant may largely, if not entirely, compensate for the cost of mechanical transportation. Access for initial construction and maintenance is a necessary part of planning. for example, overhead equipment must have space for lowering into place, and heat-exchange equipment should be located near access areas where trucks or hoist can be placed for pulling and replacing tube bundles. and replacement Thus, space should be provided for repair way around doors and underground hatches.
SAFETY:
A great deals of planning is governed by local and national safety and fire code requirements. Fire protection consisting of reservoirs, routing mains, hydrant, forces hose houses, fire pumps, for reservoirs, sprinklers in building, explosion barriers and directional of explosion to clear areas, and dikes combustible-product storage tanks must be incorporated to
PLANT EXPANSION:
Expansion must always be kept in mind. The question of multiplying the number of units or increasing the size of the prevailing unit merits more study than it can be given here. Suffice it to say that one must exercise engineering judgment ; that as a penalty for bad judgment, scrapping of present serviceable equipment constitutes but one phase, for shutdown due to remodeling may involve a greater loss of money than that due to rejected equipment. Nevertheless, the cost of change must sometimes be borne, for the economies of larger units may, in the end, make replacement imperative.
FLOOR SPACE:
Floor space may or may not be a major factor in the design or a particular plant. The value of land may be a considerable item. the engineers however, follow the rule of practicing economy of floor space, consistent with good housekeeping in the plant land with proper consideration give to line flow of materials, access to equipment, space to permit working on parts of equipment that need frequent servicing, and safety and comfort of the operators.
UTILITIES SERVICING:
The distribution of gas, air, water, steam, power, and
electricity is not always a major item, inasmuch as the flexibility of distribution of these services permits designing to meet almost any condition. But a little regard for the proper placement of each of these services, practicing good design, aids in ease of operation, orderliness, and reduction in costs of maintenance. No pipes should be laid on the floor or between the floor and the 7-ft level, flexibility where the operator must pass or work. of standard Chaotic arrangement of piping invites chaotic operation of the plant. The pipe fittings and power-transmission mechanisms renders this problem one of minor difficulty.
BUILDING:
After a complete study of quantitative factors, the selection of the building or buildings must be considered. Standard factory buildings are to be desired, but, if none can be found satisfactory to handle the space and process requirements of the chemical engineer, then a competent architect should be consulted to design a building around he process - not a beautiful structure into which a process must fit. It is fundamental in chemical engineering industries that the buildings should be built around the process, instead of the process being made to fit building of conventional design.
In many cases only the control area requires housing, with the process equipment created outdoors. This is known as outdoor construction and such layouts should be considered for many types of plants. his design to fit and What consideration must be given to old building or building space already for him and be was limiting is more buildings depends upon conditions. It the designer must adapt erected, his problem is cut out
conditions. However, the selection of the design of a new building to meet the requirements of the process scientific. In this case, one finds before him practically all types of standard building, built in units, interlocking or otherwise, ready for shipment and erection.
Throughout chemical industry, much thought must be given to the disposal of waste liquors, fumes, dusts, and gases.
Ventilation, fume elimination, and drainage may require the installation of extra equipment. This may involve the design of If the latter be the case, the individual pieces of operating equipment, or it may require the installation of isolated equipment. the location of such equipment where it will be interfere with the flow of materials in process should be practiced.
The selection of the proper piece of equipment for doing this service is also an important point; the less attention the ventilating, fume, or waste-elimination systems require, the better service they may render. Sometimes air conditioning of the plant is called for an may required an elaborate setup. But the installation of such equipment, when needed, pays in better service from operators, less discomfort, greater production, and a better morale than when such conditions are left to nature.
It must be recognized that there is not only one solution to the problem of layout of the equipment. There are many rational designs. Which plant to adopt must be decided upon after exercise of engineering judgment and after striking a balance job the advantages and disadvantages of each possible choice.
Consideration of equipment for materials handling is only a minor factor in most cases of handling devices. But where this operation is paramount in a process, serious thought must be given to it. Again it should be said that engineering judgment must be exercised. Whenever possible, one should take advantage of the topography of the site location, one should take advantage in the process.
Existing or possible
future
railroads
and highways
adjacent to the plant must be known in order to plan rail siding and access roads within the plant. Railroad spurs and roadways of the correct capacity and at the right location should be provided for in a traffic study and over-all master track and road plan of the plant area.
1. 2.
Existing and future off-site main rail facilities. Permissible radius of curvature for spurs - consult local rail
ladder track and switching. 4. Adequate spur facilities a. Loading and unloading facilities for initial plant
construction and subsequent operations. b. c. d. Rack stations for liquid handling. Storage space for full and empty cars. Space for cleaning and car repairs.
1.
pedestrian and vehicular. 2. 3. 4. Heavier and wider roads for large-scale traffic. Routing of heavy traffic outside the operational areas. Roadways for access to initial construction, maintenance,
and repair points. 5. Roadways to isolated points, storage tanks, and safety
Factors
which
economic
and
operability aspect of plant site location are classified into two major groups. The primary factors listed apply to choice of a region, whereas the specific factors looked at in choosing an exact site location within the region. All factors are important in making a site location selection.
PRIMARY FACTORS:
1. RAW - MATERIAL SUPPLY: a. b. c. 2. Availability form existing or future suppliers. Use of substitute materials. Distance.
MARKETS: a. b. c. d. Demand versus distance. Growth or decline. Inventory storage requirements. Competition - present and future.
3.
a. b. c.
4.
construction. d. Costs.
5.
CLIMATE: a. b. c. Investment required for construction. Humidity and temperature conditions. Hurricane, a tornado, and earthquake history.
SPECIFIC FACTORS:
1.
TRANSPORTATION: Availability of various services and projected rates: 1. Rail - dependable for light and heavy shipping
and generally small quantities. 3. 4. Water - cheaper, but may be slow and irregular. Pipeline - for gases and liquids, particularly for
2.
3.
LABOR: 1. 2. 3. Availability of skills. Labor relations - history and stability in area. Stability of labor rates.
4.
REGULATORY LAWS: a. Building codes. b. Zoning ordinances. c. Highway restrictions. d. Waste - disposal codes.
5.
1. 2. 3. 4. 5. b. industry. 6.
SITE CHARACTERISTICS: a. b. c. d. e. f. Contour of site. Soil structure. Access to rail, highway, and water. Room for expansion. Cost of site. Site and facilities available by expansion on
a. b. c. d. e. f. 8.
Rural or Urban. Housing costs. Cultural aspects - churches, libraries, theaters. School system. Recreation facilities. Medical facilities - hospitals, doctors.
VULNERABILITY TO WARTIME ATTACK: a. b. Distance form important facilities. General industry concentration.
9.
FLOOD AND FIRE CONTROL: a. b. Fire hazards in surrounding area. Floor history and control.
C O N C L U S I O N
In
BIBLIOGRAPHY
WEBSITES:
www.google.com
www.yahoo.com
BOOKS: Desai Vasant Project Management 2nd Edition, 1999 Himalaya Publishing House. Rana T. J. and Jain Naresh 3rd Edition, 2006-2007 B.S. Shah Prakashan.