Mustard
Oil
| Project cost |
: |
86 lakh |
| Uploaded on |
: |
September 2009 |
1.0 Product and its Applications
The edible oils of vegetable origin are
the most important sources of cooking oil. Mustard oil accounts
for almost 40% of the total edible oil output in the country.
Mustard is produced all over northern India and substantial
acreage is under it in Rajasthan (29 lakh tonnes), Haryana,
MP and Gujarat (20 lakh tonnes together), UP (8.8 lakh tonnes)
and Punjab .
Natural unrefined mustard oil extracted
through cold process is quite pungent. The consumers of traditional
product prefer pungent oil. Till now the extraction of pungent
oil could be possible only by Rotary Ghani due to mustard
seed moisture range of 10-12%, low temperature of extraction
in wooden bowl wherein the pungent principle - allyl isothiocyanate
does not evaporate. However, the expeller made of metallic
components and high compression ratio raises the seed temperature
up to 80-100°C resulting in loss of pungent principles.
The "Modern" oil expeller provides high pungency
mustard oil by low temperature crushing through incorporation
of a water cooled chamber and processing at critical moisture
levels of oilseed.
2.0 Market Potential
Mustard oil is the popular cooking oil
in northern, central, eastern and north- eastern region. There
exists a large scope to set up a number of small scale mustard
expellers for local production of high pungency oil, which
fetches a premium price.
3.0 Basis and Presumption
a) The unit proposes to work at least
300 days per annum on single shift basis.
b) The unit can achieve its full capacity
utilization during the 2nd year of operation.
c) The wages for workers is taken as per
prevailing rates in this type of industry.
d) Interest rate for total capital investment
is calculated @ 12% per annum.
e) The entrepreneur is expected to raise
20-25% of the capital as margin money.
f) The unit proposes to construct own
building.
g) Costs of machinery and equipment are
based on average prices enquired from machinery manufacturers.
Implementation schedule
Project implementation will take a period
of 8 months. Break-up of the activities and relative time
for each activity is shown below:
|
Scheme preparation and approval
|
01 month
|
|
SSI provisional registration
|
1-2 months
|
|
Sanction of financial supports etc
|
2-5 months
|
|
Installation of machinery and power
connection
|
6-8 months
|
|
Trial run and production
|
01 month
|
5.0 Technical
Aspects
5.1 Location
The unit can be set up in oilseed producing
regions or near the consumption centres. However, availability
of power and road connectivity should be ensured.
5.2 Salient Features of Process / Technology
The seeds are cleaned to remove dust,
dirt and foreign particles. These are cured to bring the moisture
level of 10-12% and passed through oil expeller. The oil cake
is conveyed automatically and pressed to achieve maximum oil
recovery, which is about 35% depending upon he variety and
quality of seed. The oil is filtered and filled into 1 kg
Pet bottles or 16 kg tins.
5.3 Quality
Control and Standards: As per BIS/PFA requirements
6.0 Pollution Control
There is no major pollution problem associated
with this industry except for disposal of waste which should
be managed appropriately. The entrepreneurs are advised to
take "No Objection Certificate" from the State Pollution
Control Board.
7.0 Energy Conservation
The fuel for the steam generation in the
boiler is coal or LDO depending upon the type of boiler. Proper
care should be taken while utilising the fuel for the steam
production. There should be no leakage of steam in the pipe
lines and adequate insulation should be provided.
8.0 Production
Capacity
|
Quantity
|
300 tpa
|
|
Installed capacity
|
1200 kg/day
|
|
Optimum capacity utilization
|
70%
|
|
Working days
|
300/annum (3 shifts)
|
|
Manpower
|
22
|
|
Utilities
|
|
|
Motive Power
|
8 kW
|
|
Water
|
10 kL/day
|
9.0 Financial
Aspects
9.1 Fixed Capital
9.1.1 Land &
Building Amount (Rs. lakh)
|
Particulars
|
Amount
|
|
Land 400 m 2
|
02.10
|
|
Built up area 250 m 2
|
12.90
|
|
Total cost of land and building
|
15.00
|
9.1.2 Machinery
and Equipment Amount (Rs. lakh)
|
Description
|
Amount
|
|
MERADO' Oil Expeller () cap 1
tpd in 3 shifts) with 7.5 HP motor, starter
Filter press with pump and filter
cloth
Baby boiler, cap 200 kg steam
Shaker screen with blower
Weighing scale
Shrink wrapping machine for PET
bottles
|
07.00
|
|
Erection & electrification of
machinery & equipment @10% cost
|
00.70
|
|
Office furniture & fixtures
|
02.30
|
|
Total
|
10.00
|
9.1.3 Pre-operative Expenses Amount (Rs.
lakh)
|
Consultancy fee, project report,
deposits with electricity department etc
|
01.00
|
9.1.4 Total Fixed Capital Amount (Rs.
lakh)
|
(9.1.1+9.1.2+9.1.3)
|
26.00
|
9.2 Recurring
expenses per annum
9.2.1 Personnel
Amount (Rs. lakh)
|
Designation
|
No.
|
Salary Per month
|
Amount
|
|
Factory Manager
|
1
|
10,000
|
01.20
|
|
Supervisory staff
|
2
|
8,000
|
01.92
|
|
Office Assistant
|
2
|
7,500
|
01.80
|
|
Technician
|
1
|
6,000
|
00.72
|
|
Skilled workers
|
3
|
4,000
|
01.44
|
|
Unskilled workers
|
8
|
3,000
|
02.88
|
|
|
|
|
09.96
|
|
Perquisites @15 %
|
|
|
01.24
|
|
Total
|
|
|
11.20
|
9.2.2 Raw Material
including packaging materials Amount (Rs. lakh)
|
Particulars
|
Qty (t)
|
Rate/t (Rs.)
|
Amount
|
|
Mustard seeds
|
860
|
23,000
|
197.80
|
|
Pet bottles with cap
|
3 lakh
|
4.80 each
|
014.40
|
|
Shrink wrapping rolls
|
LS
|
LS
|
000.48
|
|
Labels
|
3 lakh
|
0.90 each
|
002.70
|
|
Cartons cap. 24 bottles
|
12,500
|
32 each
|
004.00
|
|
Gunny bags
|
LS
|
LS
|
001.12
|
|
Total
|
|
|
220.50
|
9.2.3 Utilities Amount (Rs. lakh)
|
Particulars
|
Amount
|
|
Power 55000 kWH
|
02.80
|
|
Water 3000 kL
|
00.20
|
|
Fuel for boiler
|
00.80
|
|
Total
|
03.80
|
9.2.4 Other Contingent Expenses Amount
(Rs. lakh)
|
Particulars
|
Amount
|
|
Repairs and maintenance @10%
|
00.77
|
|
Consumables, filter cloth &
spares
|
00.93
|
|
Transport & travel
|
00.80
|
|
Publicity, postage, telephone
|
01.00
|
|
Insurance @1%
|
00.20
|
|
Total
|
03.70
|
9.2.5 Total Recurring Expenditure Amount
(Rs. lakh)
|
(9.2.1 + 9.2.2 + 9.2.3 + 9.2.4)
|
219.70
|
9.3 Working
Capital Amount (Rs. lakh)
|
Recurring expenses for 3 months
|
60.00
|
9.4 Total Capital Investment Amount (Rs.
lakh)
|
Fixed capital (Refer 9.1.4)
|
26.00
|
|
Working capital (Refer 9.3)
|
60.00
|
|
Total
|
86.00
|
10.0 Financial
Analysis
10.1 Cost of
Production (per annum) Amount (Rs. lakh)
|
Recurring expenses (Refer 9.2.5)
|
219.70
|
|
Depreciation on building @ 5%
|
000.65
|
|
Depreciation on machinery @10%
|
000.85
|
|
Depreciation on furniture @ 20%
|
000.48
|
|
Interest on Capital Investment @
12%
|
010.32
|
|
Total
|
232.00
|
10.2 Sale Proceeds (Turnover) per year
Amount (Rs. lakh)
|
Item
|
Qty (t)
|
Rate/t (Rs.)
|
Amount
|
|
Mustard Oil in 1 kg bottle
|
300
|
72000
|
216.00
|
|
Mustard cake
|
540
|
10,000
|
054.00
|
|
Total
|
|
|
270.00
|
10.3 Net Profit
per year
|
10.3 Net Profit per year
|
|
=
|
Sales Cost of production
|
|
=
|
270 232
|
|
=
|
Rs. 38 lakh
|
10.4 Net Profit Ratio
|
=
|
Net profit X 100
---------------------------
Sales
|
|
|
|
|
=
|
38X 100
----------------
270
|
|
|
|
|
=
|
14 %
|
10.5 Rate of Return on Investment
|
=
|
Net profit X 100
--------------------------
Capital Investment
|
|
|
|
|
=
|
38X 100
-----------------
86
|
|
|
|
|
=
|
44 %
|
10.6 Annual Fixed Cost Amount (Rs. lakh)
|
All depreciations
|
01.98
|
|
Interest
|
10.32
|
|
40% of salary, wages, utility, contingency
|
07.50
|
|
Insurance
|
00.20
|
|
Total
|
20.00
|
|
10.7 Break even Point
|
|
=
|
Annual Fixed Cost X 100
-----------------------------------
Annual Fixed Cost + Profit
|
|
|
|
|
=
|
20X 100
---------------------
20+38
|
|
|
|
|
=
|
34.5 %
|
11.0 Addresses of Machinery and Equipment
Suppliers
1. Nandy Eng. Works
139, Benaras Road
Howrah-711 106
2. Azad Eng. Co.
C-83, B.S.Road Industrial Area,Ghaziabad-201 009
3. Guru Tegh Eng. Co.,G.T.Road, Millerganj,
Near Fire Brigade
Ludhiana
4. Punjab Engg. Works, 32, Ram Krishna
Samadhi Road
Kolkata 700 054
5. S.P.Engg. Co.
79/9, Latouche Road ,
P.B. No. 218,
Kanpur 208 001
6. Lyallpur Engg. Co.
G.T.Road, P.B. No. 8,
Ghaziabad (U.P.)
7. Delhi Iron and Steel Co. Pvt. Ltd.
G.T.Road,
Ghaziabad (UP)
8. Swastik Engg. Works,
198, Panjara Pole Road
Mumbai 400 004
9. Parekh Machine Tools
5, Khetra Das Lane ,
Behind Broadway Hotel
Kolkata-700 012
10. Mecpro Heavy Eng Ltd.
610, Somdutt Chambers II
Bhikaji Cama Place ,
New Delhi 110 066
11. Chemical Construction International
(P) Ltd.
J-12, Basement, Saket, New Delhi 110 017
12. Japro International (P) Ltd.
Flower Valley Complex
Tower No. T-2, First Floor
Off Eastern Express Highway
Thane (West) 400 601
13. Muez-Hest Process Technologies (P)
Ltd.,
231, Blue Road Industrial Estate,
New Cable Corporation, Western Express Highway ,
Borivalli East, Mumbai 400 066
14.Om Sons International,77-A, Industrial
Estate,
Ludhiana - 141 003. 
15. Jindal Expeller Industries
58-B, Industrial Estate, Miller Ganj,
Ludhiana-141 003. 
16. Veendeep Oiltek Exports
A-67, MIDC, Taloja,
Navi Mumbai- 410 208. 
17.Troika Processes Private Limited, Mumbai
607, 6th Floor, Embassy Centre, Nariman Point,
Mumbai- 400 021. 
18. Karnataka Iron Works, Mangalore
Balmatta Road ,
Mangalore,
Karnataka- 575 002. 
19. Servotech India Limited, Mumbai
Office No. 8, a Wing, ''b'' Building, Shiv Sagar Apartments
Ram Baug,
S. V. Road, Neat Vijay Sales, Borivali [ w ],,
Mumbai- 400 092 
20. Sunman Engineers India , Faridabad
41B, New DLF Industrial Area,
Faridabad - 121 003. 
21. Vinco Industries
47 - b, Industrial Estate,
Ludhiana- 141 003. 
22. Glamptech Agro Process Pvt. Ltd
105, Charisma Centre, 19th Road, Chembur,
Mumbai- 400 071 
23. Sethia Oil Industries Limited, 2,
Exchange Place ,
Kolkata- 700 001
24.Aum Consultancy Pvt. Ltd
Odyssey 2nd Floor, Gandhi Nagar, Adayar,
Chennai- 600 020. 
25. Heiza Chem Engineers Private Limited
P-29, Sukanta Sarani,
Kolkata-700 008.
26. Ritika Projects International, New Delhi
B-365, C R Park,
New Delhi- 110 019
12.0 Other Special Features
A careful selection of product mix is
necessary based on the local market demand and availability
of raw materials. The facilities can also be utilised to manufacture
oil from copra, groundnut, sunflower etc. for fuller utilisation
of capacity.
Contact for more information:
Information Manager
TIMEIS Project
E-mail: timeis@ficci.com
|
