PMCI REPORT ON COLD PRESSED

EDIBLE OILS

Submitted by:
Kavya Nandini. Vanga
R.no.: 171211

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 Certificate for PMCI analysis

This is to certify that the PMCI analysis of

_______________________ (product name) being submitted to VJIM
is bonafide work done by _____________________ (students name)
bearing roll no ________ under my guidance.

Date Name of Faculty

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 Table of contents
1.Introduction….………………………………………………………………………………5
2.Product………………………………………………………………………………………5
2.1 Product Characteristics…………………………………………………………………….5
2.2 Utility……………………………………………………………………………………...5
2.3 Composition……………………………………………………………………………….5
2.4 Production Process………………………………………………………………………...5
2.5 Advantages………………………………………………………………………………...7
2.6 Market Size………………………………………………………………………………..7
2.7 Raw Materials……………………………………………………………………………..8
3. Market……………………………………………………………………………………..10
3.1 Adani Wilmar ltd…………………………………………………………………………10
3.1.1Market Share……………………………………………………………………………10
3.1.2 Campaigns Used………………………………………………………………………..11
3.2 Ruchi Soya Industries ltd………………………………………………………………...11
3.2.1 Market Share…………………………………………………………………………...11
3.2.2 Campaigns Used………………………………………………………………………..11
3.3 Agri tech food ltd………………………………………………………………………...12
3.3.1 Pricing Strategy………………………………………………………………………...12
4. Company…………………………………………………………………………………..12
4.1 Adani Wilmar ltd…………………………………………………………………………12
4.1.1 Brand Promise………………………………………………………………………….12
4.1.2 Geographical Distribution……………………………………………………………...12
4.1.3 Product Portfolio……………………………………………………………………….13
4.1.4 Competitors…………………………………………………………………………….13
4.1.5 Innovative Practises…………………………………………………………………….13
4.1.6STP……………………………………………………………………………………...13
4.1.7SWOT Analysis…………………………………………………………………………13
4.2. Ruchi Soya Industries ltd………………………………………………………………..14
4.2.1 STP…………………………………………………………………………………...14

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4.2.2 Product Portfolio……………………………………………………………………….14
4.2.3 Brands in edible oil of Ruchi soya industries ltd………………………………………15
4.2.4 Stock Prices…………………………………………………………………………….15
4.2.5 Production of edible oils by using agriculture products………………………………..15
4.2.6 Geographical Presence…………………………………………………………………15
4.2.7 Competitors…………………………………………………………………………….15
4.3 Agro Tech Food ltd………………………………………………………………………16
4.3.1Product Portfolio………………………………………………………………………..16
4.3.2 STP……………………………………………………………………………………..16
4.3.3 SWOT Analysis………………………………………………………………………..17
4.3.4 Competitors…………………………………………………………………………….17
4.3.5 Stock Price……………………………………………………………………………..17
5. Industry……………………………………………………………………………………17
5.1Applications………………………………………………………………………………18
5.2Market and Growth……………………………………………………………………….18
5.3Objections…………………………………………………………………………………19
5.4 Trends in Industry……………………………………………………………………...19
6. Functional Analysis………………………………………………………………………..20
6.1 Adani Wilmar ltd………………………………………………………………………...20
6.2 Human resource practises………………………………………………………………..20
6.3 Marketing Function………………………………………………………………………20
6.4 Ruchi Soya Industries ltd………………………………………………………………...22
6.5 Human resource practises………………………………………………………………..22
6.6 Marketing Function………………………………………………………………………22
7. Learnings…………………………………………………………………………………24
8. Conclusion………………………………………………………………………………..24

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 Product Market Company Industry
Cold Pressed Edible Oils
1. INTRODUCTION:
Cold pressing refers to oils obtained through pressing fruit or seeds with a modern steel press.
Cold pressed oils retain all their flavour, aroma, and nutritional value, making these oils great
for cooking and skin care requirements. They contain zero grams of trans fatty acids and are
naturally cholesterol-free. It is important to note that both solvent extracted, and cold pressed
oils can be used in cosmetics and skin care, but only cold pressed will deliver goodness to the
skin.
The cold-pressed oils can be produced from grains (including seeds), fruit, nuts or germs.
Although cold pressed oils account for a modest market share of edible oils, they are becoming
more and more popular with the consumers preferring natural, traditional and low processed
food.
In the recent years the consumers are becoming health consciousness. Therefore, the diet, in
addition to the way and conditions of life, is one of the key factors influencing human health
and well-being. Recently, an increase in the consumption of cold-pressed edible oils has been
observed. These oils are much more beneficial than the refined ones in terms of nutritional
values. Such oils contain natural, nutritionally valuable food components like: tocopherols,
sterols, carotenoids, phospholipids with oxidative properties partly stripped from refined oils
or destroyed during the refining process. More and more often the consumers turn to natural
food with health

2. PRODUCT:
World cold pressed edible oil markets are increasingly dynamic, with total consumption up
nearly two-thirds in the last decade alone. Soybean oil and palm oil together account for nearly
two-thirds of world utilization, and most of the world's recent production growth.

China is the largest consumer (around 25 million tons in 2008-09) followed by India. European
Union, United States, Indonesia, Malaysia and Brazil are the other large consumers of
vegetable oils.

The Indian cold pressed edible oil economy is the world’s fourth largest after the US, China
and Brazil, harvesting about 25 million tons of oilseeds against the world.

2.1 Characteristics:
 Cold Pressed Oils will provide a vital contribution to your healthier life:
 They are cholesterol free.
 They are not refined.
 They do not contain harmful solvent residues.
 Proteco Cold Pressed Oils contain no added chemicals or preservatives.

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  They contain natural antioxidants such as tocopherols (e.g. Vitamin E) and
phosphatides (e.g. Lecithin).
 The natural flavour and odour is retained, enhancing your favourite recipes.
Edible oil pressing machinery through the Cold Press Process to produce seed oil, the result is
a natural dark colour, high flavour and strong aroma oil. This Cold Press Process method with
300 years of experience and increases nutrients extracted from the seed and gives a more robust
nutty flavour and deeper colour, which shows the quality and proves it have the highest benefits
to your health.

2.2 Utility:
Uses for Cold-Pressed Edible Oil.
 Cooking is the primary use for cold-pressed oil.
 Olive, sesame, sunflower, canola and coconut oil can all be extracted using cold-
pressed methods and used for flavour in marinades, salad dressings and baked goods.
 Traditional uses: In Ayurvedic medicine cold pressed edible oil is used
for massaging as it is believed to rid the body of heat due to its viscous nature upon
rubbing.
 Low-grade oil is used locally in soaps, paints, lubricants, and illuminants.

2.3 Composition:
Cold pressed edible oil is composed of the following fatty acids: linoleic acid , oleic
acid, palmitic acid, stearic acid and others in small amounts.

2.4 Cold-pressed oil production:

Cold-pressed oils are derived from seeds and fruit of oil plants having more than 15% fat
content. The exception is the oil extracted from Amaranthus seeds whose fat content is 4.9 –
8.1 %. Oils can be obtained from seeds (e.g. canola, flax, poppy, borage, Hippophae or sea-
buckthorns, pumpkin, blackcurrant, grapes), fruit (e.g. plums, Hippophae or sea-buckthorns),
nuts or kernels (e.g. hazel, walnuts, Argan) or sprouted grains (e.g. wheat germs) [25]. Cold-
pressing is one of the most ancient natural ways of oil extraction.
Cold-pressing is one of the most ancient natural ways of oil extraction. This method is generally
recognized as safe (GRAS) since no solvents are used. It is performed using hydraulic or
expeller (screw-type) press equipped with cooling system. This method is relatively easy and
inexpensive.
STEP:1 - Seed defattening
Crush and then gently roast the oil seeds at a low temperature prior to pressing by our edible
oil pressing machinery. This roasting process increases the flavour of the seed oil and also

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draws more of the nutrients from the body of the oil seed. The roast is temperature controlled
to ensure no overheating or damage to the delicate essential fatty acids contained in the oil.
Enables to obtain better quality of oils (brighter color, higher oxidative stability) and meal,
though it is not used on an industrial scale due to some technological difficulties. This process
improves the oil quality by reducing the content of chlorophylls and other substances such as
metals.

STEP-2 - Seed fragmentation (crushing)

Transfer the 'oil seed mash' into a cylinder with hundreds of tiny holes and simply squeeze with
a lot of pressure from both ends. As there is minimal movement no friction or heat is generated
during the squeeze. The oil runs through the holes into a collection tank. The 'left over' oil seed
body which is made up of concentrated protein, carbohydrate and non-fat soluble vitamins and
minerals forms a large 'oil cake'. The oil cake can be used as the stock feed.
It permits to extract the oil by a partial destruction of the seed structure and hull, opening some
cells, enlarging the oil spillage area and lowering the cell resistance. Crushed seeds should
immediately be subjected to further processing the quality and stability of cold-pressed oil is
time-dependent.

STEP-3 - Seed fragmentation (crushing)

Do not need to bleach, deodorise, antifoam or filter your seed oil, it is simply left to sit for a
few days in our storage tanks, before bottling, so that any fine particles of oil seed can settle to
the bottom. The seed oil is then taken from the top and put into dark glass bottles ready for
capping, labelling and delivery to the customers.
Roasting in the ovens by exposing the pulp to the temperature of approx. 1000C and if
necessary moisturizing it to the optimal humidity. This treatment positively affects the oil
extraction; however, it negatively influences the oil and meal quality

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 Edible oils

Refined Oils Un refined Oils

Raw/Pure or Virgin Extra Virgin

Cold pressed oils

 Refined oils have been bleached and or deodorized. E.g.: coconut oil. If you taste your
oil and it does not have a taste (ex: coconut oil does not taste like a coconut) then your
oil is refined.
 Unrefined oils are minimal heat processed oils (cold or expeller pressed) that have not
been bleached or deodorized after extraction.
 Under the unrefined umbrella you have “raw”/” pure” or “virgin” and “extra virgin”
oils which indicates how many times the fruit was pressed to get the oil out and that
they have not been refined.
 Extra virgin just means that the oil is extracted from the first pressing only. E.g.: Olive
oil.
 Unrefined oils tastes like they fruit they are extracted from.

2.5 Advantages:
1. Oilseed crops are largely grown under rain-fed condition (>70%) and are more prone to
biotic and a-biotic stresses. Only one fourth of oilseed producing area remains under the
irrigation.
2. Oilseeds are energy rich crops but are grown under energy starved conditions (with minimum
inputs with high risk).

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 3. Majority of oilseed growers (more than 85%) are small and marginal farmers having poor
resource base.
4. High seed rate (number of seeds (Kg) to be used per hector or acre for maximum yield) and
cost of seeds coupled with non-availability of quality seeds of varieties and hybrids.
5. Limited adoption of improved varieties and technologies.
6. Unorganized marketing infrastructure and procurement mechanism.
7. External price shock on account of dependence on import is a major challenge in this sector.
8. The cultivation of oil seed farms such as palm has long gestation period of about 3-7 years
before the cultivators could actually begin to derive benefit from thereof.

Best known cold pressed oils are:

 Coconut Oil.
 Sesame Oil.
 Olive Oil.
 Sunflower Oil.
 Peanut Oil.
 Rice Bran Oil.
 Colza Oil.

2.6 Market Size:

 India plays an important role in the global edible oil market, accounting for 10-12%
share of consumption; 6-8% share of oilseed production; 4-6% share of edible oil
production, and 12-14% share of world edible oil imports for OY151.
 Although India is a major producer of oilseeds, per capita oil consumption in India is
only 10.6 kg/annum, which is very low compared to 12.5 kg/annum in China, 20.8
kg/annum in Japan, 21.3 kg/annum in Brazil and 48.0 kg/annum in USA.
 Vegetable oil consumption has increased following a considerable rise in household
incomes and consumer demand. India imports almost half of its edible oil requirement,
which makes it the world’s third-largest importer of edible oil.
 The country buys soya oil from Argentina and Brazil and palm oil from Malaysia and
Indonesia.
 Currently, India accounts for 11.2 per cent of cold pressed edible oil import and 9.3 per
cent of edible oil consumption.

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The following diagram describes about the market share of variety of cold pressed edible oils
in the country:

2.7 Raw Materials:

 The average bottle of cooking oil contains vegetable oil, with no additives,
preservatives, or special flavorings.
 The oil comes from various parts of plants, in most cases from what are commonly
called seeds (including sunflower, palm kernel, safflower, cotton, sesame, and
grapeseed oils) or nuts (including peanut, soybean, almond, and walnut oils).
 A few special cases involve merely squeezing the oil from the flesh of the fruit of the
plant. For example, coconut oil comes from the coconut's white meat, palm oil from the
pulp of the palm fruit, and olive oil from the flesh of fresh olives.

Company Profiled
 The Adani Wilmar Ltd.
 Ruchi Soya Industries Ltd
 Argo tech foods
 Param Industries
 Others

3. MARKET
3.1 Adani Wilmar Ltd: any
3.1.1 Market Share:
 Adani Wilmar is the largest manufacturer of palm oil in India with a market share of
about 20%. It is a joint venture between Adani Enterprises Limited and Singapore based
Wilmar International Limited.

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  As per the retail audit report, Fortune currently enjoys a 10 per cent share of the national
refined oils market.

3.1.2Campaigns used:
 Adani Wilmar has joined hands with Paytm for its new campaign, 'Make Your Fortune'. The
campaign is aimed at their edible oil brand 'Fortune's' Sunflower variant.
 The campaign assures that buying a Fortune Sunflower Oil pack gives consumers up to Rs 100
Paytm cash. Moreover, it provides the customers a chance to win various other prizes. Under
the promotional campaign, users will get Rs.30 and Rs.100 Paytm cash on purchase of every
1ltr pouch and 5ltr jar of Fortune Sunflower Oil.
 Fortune, the flagship brand of Adani Wilmar has launched its latest television campaign
- Har maa ke dil mein today. Rooted in the philosophy that there is no greater joy
than the joy of eating home cooked meals, the brand Fortune is built around the emotion
of families coming together and enjoying great food.
 "Rs 25 crore spent in brand building through advertising and other communications has
catapulted the Fortune brand to the numero uno position with the support base of a vast
distribution network of 1,100 distributors across the country and more than two lakh
retail outlets," according to Mr Gautam Adani, Chairman of the company.

3.2 Ruchi Soya Industries Ltd:

3.2.1 Market Share:
 Ruchi Soya enjoys 18% share of the Indian edible oil market.
 Ruchi Gold's market share in southern states ranges from 50 to 85 percent. The brand
has grown from 35 percent to 40 percent compound annual growth rate (CAGR)
since its introduction.

3.2.2 Campaign used:

 Nutrela, the flagship and premium brand of Ruchi Soya Industries Limited launched
its new marketing campaign.
 The objective of the campaign is to highlight the superiority of Nutrela which is now
Healthier, Tastier & more Hygienic. Nutrela will be launching two 45 seconds TVCs
carrying the messages – ‘Ab Healthy ho jao sirf 10-rupee mein’ and ‘Life Ki
demand hai zyada’.
 The first TVC that went on-air from 10th June 2016 was of a Sikh school boy having
his meal during lunch break. The TVC brings the innocence of two boys Tony and
Sikh boy wherein the Sikh boy confesses that Tony’s veg food prepared out of
Nutrela soya is much tastier than the non-veg food that his mother cooks.
 The second TVC plays on the humorous tension in a father and son in-law
relationship. The TVC depicts how a son-in-law is keeping his demands in front of
his father-in-law tactfully by projecting it to be the needs of his daughter and
grandchildren and how father-in-law tackles his demands. The hero of the film is of
course the product, which becomes the instrument which the father-in-law uses to
make his point clear to his son-in-law.
Both the TVCs highlight the attributes of the product – 52% protein, 99% fat-free and filled
with calcium and iron. The campaign will be spread across 6 weeks with TV campaign

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across Hindi GEC, Regional GEC, Movies and Food channels delivering at least 1000
GRP’s so as to breakthrough clutter. The campaign will also be supported with print &
ground activation coupled with massive visibility drive in trade.

3.3 Agro tech food:

3.3.1Pricing stratagey:
 Since sun drop oil commands a premium of 15% over other edible oil brands, the
company should be able to cater to the demand of all the customers from different
purchasing power groups.

4. COMPANY
4.1 Adani Wilmar Ltd: any Profile
Sector: Consumer Staples
Industry: Consumer Products
Sub-Industry: Packaged Food
Parent Company: Adani Enterprises Limited
Adani Wilmar Ltd. provides edible oil and specialty fats. The Company offers oil products
such as soyabean, sesame, sunflower, cottonseed, ground nut, mustard, coconut, and vegetable
to households and business institutions. Adani Wilmar markets its products worldwide.
 Fortune is the brand of Adani.
 ADANI Wilmar Ltd.’s refined edible-oil brand `Fortune' has emerged as the single
largest brand in its segment.
 Adani Wilmar has a 600-tonnes-per-day refinery (large by Indian standards) at
Mundhra in Gujarat and has its own HDPE/PET container and multi-layer polyfilm
manufacturing plant.
 The brand includes refined soyabean oil, sunflower oil, cottonseed oil and groundnut
oil catering to different tastes and regional preferences.
 In the refined soyabean oil segment, a tough market considering traditional Indian tastes
and preferences, Fortune has garnered a 45 per cent market share. The leadership
position has been achieved because of the first mover advantage as the company
correctly read the emerging market conditions ahead of its competitors.

4.1.1 Brand Promise:

 Brand promise ‘For a healthy growing India’.

4.1.2 Geographical Distribution:

 Following the success in India, AWL introduced branded Edible oil to Middle-East
and is now exporting its products to more than 19 countries in the Middle-East, South
East Asia & East Africa including Singapore, Australia & New Zealand.

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4.1.3 Product Portfolio:
 Fortune is the most prestigious brand in the Adani Wilmar portfolio.
 The product portfolio of Adani Wilmar spans under various brands such as - Fortune,
King’s, Bullet, Raag, Avsar, Pilaf, Jubilee, A-Kote, Fryola, Alpha and Aadhaar.

4.1.4 Competitors:
 Competition among established players in the burgeoning branded edible-oil market.
Hindustan Lever (Dalda), Agrotech (Sundrop), Marico (Sweekar and Saffola), NDDB
(Dhara) and Godrej are some of the well-known names in the market.

4.1.5 Awards:
 Fortune became the no.1 brand in the market within just 2 years of its launch and
continues to be a leader.
 Reader’s Digest honoured Fortune as the Most Trusted brand for 4 years, most
recently in 2014, and it was adjudged as a ‘The Economic Times Best Brands 2014’.
Besides these it has also won “Mint Strategy Award” in 2014 & 2015.
 Fortune has grown from strength to strength and continues to deliver the ‘joy of
eating’ to Indian households.

4.1.6 Innovative Practises:

 Its recently introduced brand for diabetes care VIVO, both the initiatives aim to
promote a healthy lifestyle among customers.

4.1.7 STP:
Segment Health conscious adults

Target Group All age groups, middle and high income, health conscious
people.
Positioning For people who want to stay high and active.

4.1.8 SWOT Analysis:

Strengths:
 Dominant player and highest seller of
edible oils.
 Uses health platform.
 Mass market for edible oil through its
low-priced brand crystal.
 Strong distribution network.
 High market share.
Weakness:
 Limited market penetration in rural
area.
 Limited market penetration in food
product.
 Price of product is slightly high that
affect the demand.
 Low advertising and visibility.

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 Opportunities: Threats:
 Sharp increase in demand for edible  A large number of domestic s well as
oils. multinational players.
 High market awareness in  High competitive industry.
metropolitan city of branded oil.  Strong Competition.
 Health conscious people increasing.  People reducing the use of oil because
 Product line extension. of health reasons.

4.2 Ruchi Soya Industries Ltd:

Major Industry: Food, Beverage, and Tobacco

Sub Industry: Edible fats and oils.
Sector: Food and beverages and FMCG
Category: FMCG and Food products
Parent Company: Ruchi Group

4.2.1 STP:
Segment Cooking oil and soya soap

Target Group Household women

Positioning Provide healthy oil to consumers

 Ruchi Soya is India's largest manufacturer of edible oil.

 Ruchi Soya has been ranked at 175 in the top 250 consumer products companies, in
the "Global Powers of the Consumer Products Industry 2016", according to report
published by Deloitte Touche Tohmatsu.
 Ruchi Soya is known as the country’s largest integrated oilseed solvent extraction
and edible oil refining company in terms of oilseed crushing and oil refining
capacity.

4.2.2Product Portfolio:
1. Mahakosh Oil
2. Sunrich Sunflower Oil
3. Nutrela Oil
4. Nutri Gold Vanaspati
5. Nutrela
6. Ruchi No.1 Soap

 Ruchi Soya Industries Limited, through its subsidiaries, engages in the manufacture
and sale of edible oils, vanaspati, bakery fats, and soya food primarily in India.

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  It also offers soya chunks, granules, and soya flour products.

4.2.3 Brands in edible oils of Ruchi Soya Industries:

 Ruchi's wide range of food products include cooking oils, soya foods, vanaspati and
bakery fats.
 The edible oil range holds a number of brands including Mahakosh, which is an
umbrella brand containing Soyabean oil, Cottonseed oil, Groundnut oil; Ruchi Gold
Palmolein and Ruchi Gold Mustard oil; Nutrela oils, namely Nutrela Soyabean oil,
Nutrela Mustrad oil, Nutrela Sunflower oil, Nutrela Groundnut oil and Nutrela Rice
Bran oil; and Sunrich sunflower oil.
 Nutrela is the largest selling soya foods brand in the country, with more than 50%
market share. The two vanaspati brands, Nutrigold and Ruchi No. 1 are regional
leaders in their respective categories.
 It also manufactures the soap brand Ruchi No. 1, available in four variants.

4.2.4 Stock prices:

Current Price (1/12/2018): 19.65

4.2.5 Production of edible oils by using Agricultural Products:

4.2.6 Geographical Presence:

1. Central India – Indore & Shujalpur (M.P)
2. Western Region - Nagpur & Raigad (Maharashtra)
3. Southern Region – Mangalore (Karnataka), Kakinada (Andhra Pradesh), Chennai,
4. Eastern Region – Haldia (West Bengal)

4.2.7 Competitors:
1.AgrotechFoods
2. Sanwaria Agro Oils Ltd

4.3 Agro tech food:

Parent Company: Agro Tech Foods
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Category: Food Products
Sector: Food and Beverages
Slogan: Healthy oil for healthy people
Agro Tech Foods Limited is a company with a dominant market position in the edible
oils and branded foods sector, in India. ATFL is a public limited company engaged in the
business of marketing food and food ingredients to consumers and institutional customers.
The company is engaged in the production of agricultural products.

The company has well-known brands like Sundrop, Health World, ACT II and Rath in its
portfolio. The company has two business segments namely Branded Foods Segment and
Bulk and Processed Commodities Segment.

4.3.1 Product Portfolio:

Sun Drop Oils
1. Superlite Advanced
2. Heart
3. Goldlite
4. Olivea
5. Nutrilite
6. Nutrifit
7. Lite
8. Heart care
9. Superlite
10. Slimlite
Act II Popcorn
1. Microwave popcorn
2. Instant popcorn
3. Ready to eat popcorn
Sundrop peanut butter
Crystal sunflower oil

4.3.2 STP:
Segmentation People looking for a good quality oils and food brand.

Target Group Health conscious, urban middle and upper middle-class families

Positioning A healthy and nourishing oil food brand

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4.3.3 SWOT ANALYSIS:

Strengths: Weakness:
 Strong distribution network.  Low presence in rural market.
 Popular for its healthy and nourishing  Limited market share in food segment
products. due to competition.
 A leading brand in edible oil and
foods sector in India.
 Sundrop has large market share in
sunflower oil market.
 Strong brand loyality and brand recall.
 Products perceived as healthy and
nutritious.
 C.S.R activities like ‘Feeding children
better’.

Opportunities:
 Product line extension in food
segment.
 Limited market share in food segment
due to heavy competition.
Threats:
 People moving away from oily food,
by using less amount of oil.
 Low priced products pose a great
threat.
 High level of competition.

4.3.4 Competitors:
1.MotherDairy
2.Fortune
3. Saffola
4. Cargill India

4.3.5 Stock Price:

BSE: 688.90 (19 – Jan – 2018)
NSE: 687.50 (19 – Jan – 2018)

5. Industry:
 Solvent Extraction is the process used for extraction of oil from Oil Cakes of
Oilseeds after Primary processing in Oil Mill.
 It is also used for Oilseeds / Oil bearing materials with relatively lower
percentage of Oil, after preparing such materials in suitable preparatory
equipment’s like seed cracker, cooker, flakers and extruder cooker.
 Commonly processed Oilseeds and Oil bearing materials in Solvent extraction
includes oil cakes of Groundnut, Rape / mustard seeds, Sunflower, Coconut and
Castor seeds, Soybean, Cotton seed, Rice bran, Maize Germs and Sunflower are

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 processed in Solvent extraction plant, after preparing them in suitable
preparatory plant.

5.1 Applications:
 End products from Solvent Extraction plant are Solvent Extracted Vegetable oils
and Deoiled cakes.
 Solvent extracted Oils are further processed in Vegetable oil refineries to make
them suitable for human consumption.
 De-oil cakes are rich source of proteins and are widely used for Animal feeds of
different types, which has continuous growing demand. Output of such Animal
feed consuming activities produces Dairy products, Meat, Poultry and
aquaculture products etc; which are having continuous growing demand for
human consumption in the country, and thus De-oil cakes are source of protein
for human consumption, which has continuous growing demand.

5.2 Market and Growth:

India is having fast growing consumption of edible vegetable oils and hence there is
continuous growing demand for Solvent Extracted Vegetable oils in the country in
general and Maharashtra in particular. India is net importer of vegetable oils and hence
this demand is sustainable for long period.

Pros and Cons of solvent extraction process:

The chief advantages of the process are:
(1) Oil recovery is of very high order.
(2) Proteins in the process are not denatured.
(3) Oil is not caramelized in the process of extraction.
(4) Keeping property of the final meal is increased due to very low percentage of oil.
(5) Low pressing of oilseeds becomes economic.

The principal disadvantages of the solvent extraction methods are:

(1) Fire hazard involved is very high compared to other methods described.
(2) Machinery required per unit of production of oil is more expensive.
(3) Superior technical control is necessary.
(4) At present important units have to be imported from outside.

The advantages of the solvent extraction industry are as follows:

(1) The recovery of oil from oilseeds is very high.
(2) It can profitably salvage oil otherwise going as waste in the oilcakes.
(3) It saves the nation a waste of oils to the tune of 2,40,000 tons, valued at 43 crores of
rupees.
(4) No damage is done to the proteins of the entering materials m the process.
(5) Nitrogen of the deoiled meal is rendered in such a form that it is easily made available
to the soil, when used as manure.
(6) Keeping property of the de oiled meal IS increased, due to less amount of residual
oil content.
(7) Mechanical pressing at low pressure (forepressing) is made economical and the end
products, both oil and deoiled meal, are rendered in readily marketable condition.
(8) It is quite possible to revive village ghanis, driven by bullocks in a most efficient
manner when worked in conjunction with a solvent extraction plant.
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 (9) Deoiled meal is more or less in powder form and, therefore, ready for immediate
use.
(10) Deoiled meal produced under hygienic conditions
(11) The production of synthetic vegetable protein fibre is made possible.

5.3 Insupportable Objections Against Solvent Extraction Industry in

India:
There are quite a number of objections raised from time to time against the advancement of
solvent extraction process in India. But explanation for the raised points has also been
mentioned.

(a) Value of Deoiled Cakes:

The first and the foremost objection is that the process renders deoiled meal useless for
cattle feed.
Explanation:
The objection has some meaning when trichloroethylene is employed as solvent. The
deoiled "triene" meal had once created a havoc in Europe when it was used as cattle feed,
due to some unknown disease, cattle died on mass scale. When employing petroleum
solvents in the process the resulting deoiled meal has been found to be quite safe. It is quite
possible to use deoiled meal as human food, when petroleum cuts are used as solvent.

(b) Traces of Solvent:

The second allegation 15 that last traces of solvent arc not removed from the final cake.
Explanation:
In the modern continuous plants, the guarantee for the solvent content in the desolventized
meal is less than 0·1 %; while in practice no traces are found. Even if due to some defective
operation of the plant, traces of solvent are left in the final meal, it is perfectly safe to make
use of this meal as cattle feed or as fertilizer.

(c) Proper Solvent:

The third objection raised is the difficulty of getting a proper solvent in India.
Explanation:
With the use of commercial hexane, however, the toxicity ceased, and this solvent is most
commonly used now-a-days throughout the world. This solvent is available in almost all
parts of the country.

It would thus appear that the so-called objections arc absolutely without any foundation in
the light of recent technical development of the solvent extraction industry.

5.4 Trends in Industry:

 India is the world’s fourth largest edible oil economy, after USA, China and Brazil,
with 15,000 oil mills, 711 solvent extraction units, and 264 vanaspati plants; and over
1,000 refineries employing more than one million people.
 The total market size is at Rs. 600 billion and import-export trade is worth Rs.130
billion.
 India being deficient in oils has to import 40% of its consumption requirements.

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  The domestic turnover of the vegetable oil industry is Rs. 70,000 crores and import-
export turnover of about Rs. 16,000 crores per annum, consist of Rs. 10,000 crores for
import of edible oils & Rs. 6,000 crores for export of oil meals, oilseeds castor oil,
groundnut oil & vegetable fats of tree borne oilseeds.
 India's edible oil industry is growing at compounded annual growth rate (CAGR) of 90
per cent. By rationalizing the import duty, the growth rate of sector may rise up to 150
per cent by 2010.
 The total size of the olive oil market in India is around 4 million euro in terms of value
and 2,000 tonnes in terms of volume, out of which Spanish companies command a share
of about 60%.
 Currently, India accounts for 7.4% of world oilseeds output; 6.1% of world oil meal
production; 3.9% of world oil meal export; 5.8% of world veg.oil production; 11.2% of
world veg.oil import; and 9.3% of the world edible oil consumption.
 India consumes over 4.5 million tons Palm Oil and other Palm Oil Products per annum,
while domestic production of Crude Palm Oil in India is hardly 60,000 tons per annum
and rising very slowly.

6.Functional Analysis:
6.1Adani Wilmar ltd:
6.1.1Human Resource practises:
a) Recruitment:
Recruitment work is very difficult that understood me when I go through whole process.

Recruitment Sources

Fresher Experienced

 Campus Interview 1. Job portals

 Walk-in-interview 2. Past employees
3. Emp. References

Other Common Methods for recruitment at AWL is:

A. Internal Method
 Promotion
 Transfer
 Job rotation
 Upgradation
 Demotion
 Retired employees
 Retrenched employees

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 B. External Method
 Employee referrals
 Walk-ins
 Employment agencies
 Other group companies
 Press advertisement
 Employment exchange
 Recruitment at factory gate
 Placement agencies

b) Selection
Selection Method

Fresher Experienced
 Aptitude Test I. Personal Interview
 Personal Interview
Recruitment & Selection Process:
Availability of Vacancy
Search for appropriate Candidate
Match their ability with company’s requirement
Look for interest
Set time according to the convenience of candidate and company
Fill the Employment Application Form
Aptitude test for fresher & assessment
Personal Interview of Candidate
Send offer letters to selected candidates

c) Separation

Employee Separation is one of the very important and crucial function / process of HR
Department. This process, if not handled in an efficient manner, can lead to various legal
complications.

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Separation process at AWL:

 Resignation request notice to reporting authority

 Resignation acknowledgement letter from HR department
 Resignation acceptance from filled by employee
 No dues certificates from all departments
 Supporting sheet with all data’s regarding the amount
 Full and final payment sheet from HR department
 Bank payment advice notice from audit department
 Experience certificate from HR department

6.1.2 Marketing Function:

Marketing mix:

Marketing Mix of Adani analyses the brand/company which covers 4Ps (Product, Price, Place,
Promotion) and explains the Adani marketing strategy.

Product:

Adani is a leading conglomerate in India. Adani’s product & service portfolio in its marketing
mix includes energy, agribusiness, logistics and resources. Its main subsidiaries are Adani Ports
& SEZ Limited, Adani Power and Adani Gas Limited. Adani enterprises is the largest producer
of cola in the world and AEL is on its way to become the largest producer of solar energy
generation in India.

Price:

As far Adani’s low-priced products are concerned such as Fortune vegetable oils, it competes
head to head with Sundrop offering good quality and value pricing, thus retaining its perfect
pricing strategies across the board.

Place:

Adani has got an excellent geographic reach. Having a global presence and Adani has also
acquired a license in 2007 issued by the Bulungan Regency by the Government of Indonesia
and also has reach in Australia. It also exports to South East Asian countries and Middle Eastern
Countries.

Promotion:

Adani’s brand name gets its boost from subtle online advertising and expensive newspaper
and TV commercials. It mostly used Above the line advertising campaigns to further its reach
and high investment plans and is projected as one of the most dependable high capital
companies in India.

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Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing
mix of Adani.

People:

Adani is a people centric organization. With more than 10,000+ employees working with
Adani, excellent Human Resource policies have been strictly formulated and implemented. Its
employees also helped build its brand image by following the Chairman’s advice to give up
LPG subsidy.

Process:

With the rapidly depleting fossil fuel reserves clearly in sight, Adani enterprises understands
the need to move to renewable energy sources keeping environmental concerns in mind.
Therefore, integrating a move to wind power is one of the key processes that Adani Enterprises
is implementing. Also, Adani Group has invested in a 40MW power plant run on solar energy
in Gujarat and is a significant extension in the renewable energy space.

Physical Evidence:

It has raised benchmarks in the 648 MW plant for solar energy in Tamil Nadu. Its Solar parks
are characterized by the plug and play model for project development of solar power
generators, thereby minimizing risks. Hence, this gives an insight in the marketing mix of
Adani Group.

6.2 Ruchi soya industries ltd:

6.2.1 Human Resource functions:
 Recruitment at AGF is done through various sources like advertising, employment
agencies, consultancies, social media etc.
 The selection process involves:
 Screening of resumes by the HR department and selecting the pool of qualified
applicants.
 Arranging telephonic interviews with the applicants and conformation of interview
details.
 Both face to face as well as video conferencing interviews are conducted with different
department heads and the HR managers.
 Final interview with the respective department head which is the technical round is
conducted in the head office.
 Offers are given to the candidates based on their skillset and job.

6.2.2 Marketing Mix:

Product:

 Raising protein content by redesigning extraction process of product.

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  Use of advanced and modern technology methods for extraction of oils.
 Increasing visibility of advantages on product pack.
 Provide samples of its other product like soya flour etc. with the existing product.

Price:

 Being a market leader Ruchi holds a market share of 50%

 Varied price products can be made available for the customer to make effective
purchases.
 Price must be challenging to the other substitutes like malted food drinks.

Place:

 Multi-channel sales can be used for increasing the reach to the customers.
 Making available on various online grocery stores to improve online presence.
 Tapping the best distribution channel in order to prevent the storage of product.

Promotion:

 Endorsements by celebrities or recommendations by various nutritionist’s.

 The major reason of their promotion is to spread awareness about the product.

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