PACKAGED DRINKING W MINERAL WATER - …

1 PACKAGED DRINKING WATER / MINERAL WATERPRODUCT CODE: 224103008 QUALITY AND STANDARDS: ISI Specification for PACKAGED DRINKING WATER isIS14543:1998 and for PACKAGED naturalmineral WATER is IS13428 CAPACITY: The Project is for processing and bottling of plaindrinking and MINERAL WATER of 5000 bottles (onelitre) per shift of 8 hrs. The total quantity ofwater processed and packed will be 15000 Litres/day in three AND YEAR: March, 2003OF PREPARATIONPREPARED BY:Small Industries Service Institute111 and 112, Road, Kolkata - 35 (W. B.)Phone: 577-0595, 2596, 0597 and : gram-smallindbenINTRODUCTIONIt is needless to mention that WATER , acompound of Hydrogen and Oxygen isa precious natural gift which is veryessential for survival of mankindincluding animals. The WATER used forpotable purposes should be free fromundesirable impurities.

2 The wateravailable from untreated sources suchas Well, Boreholes and Spring is generallynot hygienic and safe for DRINKING . Thusit is desirable and necessary to purifythe WATER and supply under hygienicconditions for human DRINKING the name implies, the MINERAL wateris the purified WATER fortified withrequisite amounts of minerals such asBarium, Iron, Manganese, etc. whichcan be absorbed by human body. It iseither obtained from natural resources likespring and drilled wells or it is fortifiedartificially by blending and treating withmineral salts. The MINERAL WATER shall bemanufactured and packed under hygienicconditions in properly washed andcleaned bottles in sterilised POTENTIALU nfortunately sufficient safe potablewater is not available everywhere in thecountry, either harmful chemicalsubstances are found in the layers ofearth which enter into WATER or it maybe contaminated due to pathogenicmicro-organisms.

3 If such WATER isconsumed, the body suffers from waterborn diseases. Due to this, it has become17100imperative to process and bottle safepotable WATER for the mankind inprevailing demand for purified waterbecomes more during summer few companies have alreadyentered in the bottling of safe potablewater and mineralised WATER , but stillhuge gap is there in between demandand supply at all metropolitan-cities andtowns. The product is widely acceptedin offices, restaurants, railway stations,airport, bus stands, hospitals and tosome extent even in rich there is good scope for establishingthe units for processing and bottlingplain and mineralised DRINKING WATER indifferent parts of the AND PRESUMPTIONSThis project has been drawn on thebasis of following Working hours:8per shift2 Number of:3shift/day3 Number of:300 Working daysper annum4 Total number of :72working hours5 Working:75%efficiency6 Total period for: Third yearachievingfrommaximumthe date ofcapacitycommencementutilisationof Margin money: 25% of CapitalInvestment8 Rate of Interest.

4 15% per annumof Capital9 Construction Cost of Building, Costof Land, Labour Charges and Costof Plant, Machinery and Equipmenthave been considered as perprevailing rates in the Cost of Installation and Electrificationof Machinery and Equipment hasbeen taken at the rate of 10% of thecost of Plant and Operative period of the project hasbeen considered as 7 SCHEDULEIt is expected that total time of about9 months will be taken from the date ofapproval of the scheme for completeimplementation. Break-up of theactivities and relative time for each ofthem is shown below:Nature ofTime PeriodActivity(in months)1. Preparation of Project0-1 monthand its approval2. SSI Provisional1-3 monthsRegistration3. Sanction of Loan2-5 months4. Clearance from2-5 monthsPollution Control Boardand taking permissionfrom Municipal HealthAuthority/BIS Placement Order for4-6 monthsmachinery of equipment6.

5 Installation of machin- 6-8 monthsery and equipment7. Power connection2-6 monthsarrangement fromElectricity BoardPACKAGED DRINKING WATER / MINERAL WATER1018. Appointment of staff5-8 Trial run8-9 of9 monthsProduction and perma-onwardsnent registration/mar-ketingTECHNICAL ASPECTSP rocessing and BottlingRaw WATER to be processed iscollected in tanks. A known quantity ispumped into the above tank where thewater is dozed with alum for coagulationwith heavy metals or insoluable WATER after coagulation is allowedto settle for an hour. The impurities maybe removed by Reverse Osmosistechniques also. The supernatant wateris taken to the chlorination tank whereprimary disinfection is brought about bybubbling chlorine gas. The WATER is thenpassed through sand filters for trappingof undissolved impurities. The WATER aftersand filteration is passed through Carbonfilters for removal of odour, colour andalso for dechlorination.

6 It is then passedthrough series of micro fillers comprising5 micron, 1 micron and micron filterfollowed by ultraviolet disinfectionsystem for terminal disinfection. Packingis done in PET bottles of 1 litre capacitythrough an automatic rinsing, filling, andcapping machine fitted with an Ozonegenerator. The bottles after capping areshrink wrapped (Optional) and packedin corrugated boxes of one dozen Control and StandardsThe plain DRINKING WATER has to bebottled in pet bottle as per ISSpecifications (IS:14543:1998: PACKAGED DRINKING WATER andIS:13428:1998: PACKAGED MineralWater). The details of the specificationcan be obtained from Bureau of IndianStandard, Manak Bhawan, 9, BahadurShah Zafar Marg, New Delhi CapacityQuantity : 45 lakh Bottles per annumValue : Rs. Power50 ControlAlthough this unit will not affect theenvironment, but the enterpreneurs areadvised to obtain, No ObjectionCertificate from competent authority ofState Pollution Control Board.

7 Theyshould develop Kitchen Garden in thefactory premises to utilise waste waterfrom the ConservationSuitable measures should be adoptedto use appropriate amount of fuel andelectricity. The promoters shouldarrange periodic auditing of electricalconsumption, as the unit will be runningin three shifts. Unnecessary operationof machines should be controlled toavoid excess consumption of ventilation in productionpremises may be made available to avoiduse of electrical power during day ASPECTSA. Fixed Capitali) Land and BuildingAmount(Rs. in lakh)1. Land Total covered area required , raw materialstorage, packaging materialstorage, machinery, SparePACKAGED DRINKING WATER / MINERAL WATER102 Land and BuildingAmount(Rs. in lakh)parts, store, Finished goods,Office, Quality Control Lab,Toilets, Electrical Switchroom and miscellaneousetc. 6500 Sq. ft.@ Rs 400 per Sq.

8 Boundary wall and Civil gate ) Plant and MachinerySl. (Rs. inlakhs)i)Alum. Treatment )Reverse 2000 Lit/iii)Chlorination of S. Steeliv) Sand )Activated Carbon filter-do- ) Micron filters (5, 1 and Mic)vii)Ultraviolet disinfectant )Electronic doser for alum- ) Electronic doser Chlorinex)Ozone Generator ) Raw and Purified collectiontanks with motorand accessoriesxii) Automatic rinsing filling capping machinexiii)Shrink wrapping for bottlexiv)Miscellaneous tools , pipeline Plastic crates ) Laboratory testing and Control,Micro-biologicalinstruments and Installation @ 10% of plant and ) Other Fixed AssetsTotal (Rs. in lakhs)i)Cost of furniture, Official accessoriesii) Cost of deep bore WATER reservoiriii)Security Deposit to ) Preliminary and including CompanyFormation, Project Preparation,Technical Consultancy, TravellingExpenses, Interest duringconstruction period, Start-upExpenses ) Delivery van and contingency ) Total Fixed CostTotal ( lakhs)1.

9 Land and Plant & Other fixed assets Working Capital (per month)i) Raw MaterialTotal ( lakhs)1. PET/PVC bottle including etc. 1 lit. size @ ( lakh bottles)2. Chemicals and Reagents etc. ( ) Corrugated boxes, strip, tap ) Salary and Wagesa) Administrative and SupervisorSl. DesignationNo. SalaryAmountNo.(In Rs.)1. Factory Manager160006,0002. Clerk-cum Typist125002,5003. Store cum-Purchase Officer 125002,5004. Accountant-cum-Cashier130003,0005. Sweeper (part time)110001,000 Total515,000 PACKAGED DRINKING WATER / MINERAL WATER103b) Technical StaffSl. DesignationNo. SalaryAmountNo.(In Rs.)1 Production Manager-160006,000cum-Chief Chemist2 Lab. Assistant120002,0003 Production Supervisor330009,0004 Skilled Workers,93000 27,000including Electriciansand Mechanic Driver5 Un-skilled Workers320006,0006 Chowkidar320006,000 Total2056,000 Total Salary and Wages71,000 Rs.

10 56,000 + Rs. 15,000 Perks and benefits @ of salary6,000and wagesTotal77, lakhiii) UtilitiesTotal (Rs. in lakh)i) Electricity 40 25 ) Fuels and ) Other Contingent ExpensesAmount(In Rs.)1 Postage and Stationery5002 Telephone/Fax Charges5003 Consumable Stores10004 Repairing and Maintenance10005 Transport Charges25006 Advertisement and Publicity5007 Insurance and Taxes3008 Sales Expenses32009 Licence and other Fees50010 Miscellaneous Expenses1000 Total11, lakhv) Working Capital (per month)Total ( lakhs)1 Raw Salary and Recurring capital for 3 3 =Rs lakhC. Total Capital InvestmentTotal (Rs. in lakh)i) Fixed ) Working Capital (for 3 months) ANALYSIS1) Cost of Production (per annum)Total (Rs. in lakh)i)Working Capital for One ) Depreciation on Building @ 5% )Depreciation on Plant and Miscellaneous @ 10% ) Interest on Total @ 15% ) TurnoverAmount ( lakhs)By sale of 45 lakh ( lakh crates of 12 bottles@ Rs 75 per crate(Factory premises)3) Profit (per annum) Profit = Turnover Cost of Production= Rs lakhPACKAGED DRINKING WATER / MINERAL WATER1044) Net Profit Ratio= Profit 100 Sales Turn over= ) Rate of Return= Profit 100 Total Investment= 31%6) Break-even Pointi) Fixed Cost (per annum)Amount(Rs.