2011

FINANCIAL FEASIBILITY OF WATER INDUSTRY: PACKAGED DRINKING WATER BOTTLING PLANT

Project Report
On

FINANCIAL FEASIBILITY OF WATER INDUSTRY: PACKAGED DRINKING WATER BOTTLING PLANT

A Study Submitted For The Partial fulfillment of the requirements of two years full time

Master of Business Administration

(MBA)
At

GEA NATIONAL COLLEGE

GUWAHATI, ASSAM, INDIA
(Under Punjab Technical University)

Submitted by: Rupamjyoti Das Roll No Session Page 2 of 91 : 9208230235 : 2009 - 2011

PREFACE

Page 3 of 91

CERTIFICATE

This is to certify that, Rupamjyoti Das, a student of my college of MBA 4th semester holding Punjab Technical University Roll No. 9208230235 has done his project titled FINANCIAL FEASIBILITY OF WATER INDUSTRY: PACKAGED DRINKING WATER BOTTLING PLANT I found him good during his course tenure in my college. I wish him success in life.

Mr. Nabajyoti Bharali Managing Director GEA National College Guwahati

Page 4 of 91

CERTIFICATE

This is to certify that, Rupamjyoti Das, a student of our college of MBA 4th semester has done his project titled FINANCIAL

FEASIBILITY OF WATER INDUSTRY: PACKAGED DRINKING WATER BOTTLING PLANT for the partial fulfillment of his MBA degree. I found him good during his course tenure in our college. I wish him success in life.

Mr. Prantim Thakur Institutional Project Guide Department of Management

Page 5 of 91

SELF CERTIFICATE

I do hereby state that, the project report entitled, FINANCIAL FEASIBILITY OF WATER INDUSTRY: PACKAGED DRINKING WATER BOTTLING PLANT has been done by me only and submitted for the partial fulfillment of the degree of Master of Business

Administration at GEA NATIONAL COLLEGE, Guwahati. I also declare that all the contents of this report has not been submitted anywhere for the award of this degree.

Rupamjyoti Das MBA 4th Semester GEA National College Guwahati

Page 6 of 91

ACKNOWLEDGEMENT

At the very beginning, I would like to express my sincere gratitude to my respected, admirable & honorable external guide Mr. Prantim Thakur for his invaluable suggestions, instruction, advice and inspirations. I express my profound sense of Mr. P. Banarjee and Mr. Rohit Sharma for their guidance and suggestions in the project. I would also like to thank all the other faculty members of our college who helped me a lot in completing this project successfully. Lastly, I would like to express my whole hearted credit to all my classmates specially Jibrail , Rumi, Bhaskar, Arun, Hurmuj, Foijuddin & Mridusmita and all well wishers for their encouraging advices that have helped me made this project a possible endeavor in my life. I am very thankful to Almighty, my parents and all my friends. Thanking you all. Rupamjyoti Das MBA 4th Semester GEA National College Guwahati
Page 7 of 91

EXECUTIVE SUMMARY
Project Title : Financial Feasibility of Water Industry: Packaged Drinking Water Bottling Plant.

Duration Place of work Name of the Organisation

: : :

50 days. Kataki Para, Lalung Gaon, Lakhara, Guwahati 34. CRG Beverages and Food Products, (Champion Packaged Drinking Water). Mr. Prantim Thakur; Mr. P. Banarjee.

Institutional Guide

Organizational Guide

Mr. Vinod Kumar, Manager, CRG Beverages and Food Products. (Champion Packaged Drinking Water).

Page 8 of 91

CHAPTER -1

INTRODUCTION

Page 9 of 91

Project Prologue
WATER INDUSTRY  Distilled Water

 Packaged Drinking Water

      Mineral Water Water Softner Water Treatment Chemical Water Purification (PURIFIER) Ice Manufacturers Packaged Soda

Water is a key 1. To the social equity; 2. To environmental stability; 3. To cultural diversity;

Water is firmly linked with health. Pure and Safe drinking water has always been a necessity. The tradition & style of serving drinking water in India, has however changed quiet dramatically during the last decade. The introduction of Bottled Water or Packaged Drinking Water has changed the tradition of serving water. This has also ushered the use of POLYMERS or PLASTICS as a mean for water storage & distribution.

The categories of Bottled Water in India are a) Packaged Natural Mineral Water; & b) Packaged Drinking Water;

Page 10 of 91

In India, the Bottled Water Industry colloquially is called the Mineral Water Industry. Now-a-days, this industry is a symbol of new life style in India. The Packaged Drinking Water industry in India is estimated at Rupees 850.00 Crores with over 200 brands floating in the market; most of which have restricted territorial distribution. This is a growing market in India as hygiene & quality consciousness among the consumers is on the rise. The Bottled Water market is growing at a rapid rate of around 20%. At this growth rate, the Rupees 850.00 Crores per year market is estimated to overtake the Soft Drinks market soon. There are around 180 brands in the unorganized sector; the small players account for nearly 20% of the total market. In India, the per capita consumption of Bottled Water is less than half a liter per year, whereas the per capita consumption of Bottled Water in France is 111 liters per year & 45 liters per year in the U.S. These facts points towards the future potential and high growth prospects of the Water Industry in India.

Page 11 of 91

Brief history about the product

Page 12 of 91

Properties
RAW WATER CHARACTERISTICS pH Total Suspended Solids Total Dissolved Solids Iron as Fe Total Hardness as CaCo3 Total Alkalinity as CaCo3 P.alkalinity as CaCo3 Chloride as CaCo3 Fluoride Sulphate as CaCo3 Total Silica as CaCo3 Sodium as Na : 6 to 8 : Nil : 2000 : <1 : 1000 : 250 : Nil : <200 : <1 : 25 : <50 : <50

N.B.: The above figures of raw water analysis are assumed.

Page 13 of 91

BIS Specifications & Requirements

REQUIREMENTS TO BE COMPLIED WITH BY THE APPLICANT OF PACKAGED DRINKING WATER FOR GRANT OF BIS LICENCE ACCORDING TO IS 14543:2004

A. GENERAL REQUIREMENTS

PRODUCT CERTIFICATION SCHEMES

(Updated on 21 05 2007)
The Product Certification Scheme of BIS aims at providing Third Party Guarantee of quality, safety and reliability of products to the ultimate customer. Presence of ISI certification mark known as Standard Mark on a product is an assurance of conformity to the specifications. The conformity is ensured by regular surveillance of the licensee's performance by surprise inspections and testing of samples, drawn both from the market and factory.

1. INTRODUCTION
The Bureau of Indian Standards, empowered through a legislative Act of the Indian Parliament, known as the Bureau of Indian Standards Act, 1986, operates a product certification scheme, and has till date granted more than 30,000 licenses to manufacturers covering practically every industrial discipline from Agriculture to Textiles to Electronics. The certification allows the licensees to use the popular ISI Mark, which has become synonymous with Quality products for the Indian and neighbouring markets over the past 50 years. The Bureau's predecessor, the Indian Standards Institution began operating the product certification Scheme in 1955. Presently more than 19,000 licenses are in operation covering about 1,000 products.

2. OPERATING PRINCIPLE
The BIS Product certification Scheme operates in an impartial, non discriminatory and transparent manner. The documents stating the powers, rights and responsibilities of BIS and the affected sectors of society are published by the Government of India as the Bureau of Indian Standards Act, 1986, Rules and (Certification) Regulations, 1988. The specific procedure for operating a license is given in another document called the Scheme of Testing and Inspection (STI), described later. Procedures provide for maintaining a very high degree of confidentiality and integrity among its personnel who perform certification related tasks. A body called the ' Certification Advisory Committee' composed of persons from varied sectors like manufacturers, consumers, Government agencies, industries associations reviews the performance of the scheme and advises on key policy issues. Internally, a senior functionary designated as 'Additional Director General (Marks)' is Page 14 of 91

responsible for ensuring that the scheme operates within the framework of rules and procedures established.

3. CERTIFICATION SYSTEM
The BIS product certification scheme is essentially voluntary in nature, and is largely based on ISO Guide 28, which provides general rules for third party certification system of determining conformity with product standards through initial testing and assessment of a factory quality management system and its acceptance followed by surveillance that takes into account the factory Quality management system and the testing of samples from the factory and the open market. All BIS certifications are carried out in accordance with Indian Standards, which are amenable to certification. A large number of operational elements of the BIS product certification scheme correspond with the requirements of ISO Guide 65.

4. TYPES OF LICENSING
Although, the scheme itself is voluntary in nature, the Government of India, on considerations of public health and safety, security, infrastructure requirements and mass consumption has enforced mandatory certification on various products through Orders issued from time to time under various Acts. While BIS continues to grant licenses on application, the enforcement of compulsory certification is done by the notified authorities. For the list of items brought under mandatory certification, together with the corresponding Indian Standard Number, and the authorities responsible for enforcing the orders. Under separate arrangements with statutory agencies, some products have been placed under special certification schemes of lot or batch inspection carried out by BIS inspecting officers. A majority of Gas cylinders, regulators and valves are certified through such schemes. Under agreement with UNICEF, Deep well hand-pumps, a critical potable water supply source for rural areas is also certified under a lot inspection scheme. For all other products, the manufacturer is permitted to self certify the products after ascertaining its conformity to the Standard licensed for. Through its surveillance operations, the Bureau maintains a close vigil on the quality of certified goods.

5. OPERATIONAL AREAS
The BIS Product Certification Scheme is open to manufacturers in all countries without discrimination. While a license can be granted for any Indian Standard specifying product characteristics, which is amenable to certification, the broad areas of technologies now under certification are: Textiles Chemicals and Pesticides Rubber and Plastic products Cement and concrete products Building materials Page 15 of 91

Pumping, irrigation, drainage and sewage equipment Pipes and fittings for water supply Basic metals and fabricated metal products Machinery and equipment Electrical, electronics and optical equipment Automotive components Agriculture, food and tobaccos Black tea and beverages Packaged drinking water and Natural mineral water Leather products Wood products Paper and pulp products Testing instruments

6. RESOURCES
The finances of the Bureau are self managed, with certification operations accounting for more than 90 percent of the revenue. The BIS employs a staff complement of engineers and scientists to cater to all its fields of operations. They are trained into evaluation and assessment techniques to a high degree of professional competence. All preliminary and surveillance inspections are carried out by qualified personnel only. BIS has set up eight laboratories in different cities of India for testing samples of products taken during preliminary and surveillance operations. In addition, independent laboratories having demonstrated ability and a quality system complying with ISO/IEC Guide 17025:1999 have been recognized for testing of samples. The certification scheme operates through a network of 33 Branch Offices set up in State capitals or major industrial towns and 5 Regional Offices overseeing the work of the Branch offices.

Page 16 of 91

PROCEDURE FOR GRANT OF BIS LICENCE FOR DOMESTIC MANUFACTURERS

(Updated on 21 05 2007) The applicant has the option to choose any of the following two procedures for grant of BIS license:

i) Normal Procedure In the normal procedure, the applicant is required to submit the filled in application along with required documents and requisite fee to the nearest BIS branch office. Subsequently, after recording of the application, a preliminary factory evaluation is carried out by BIS officer to ascertain the capability of the applicant/manufacturer to produce goods according to the relevant Indian Standard and to verify the availability of complete testing facility and competent technical personnel. Samples are tested in the factory and also drawn for independent testing. Grant of license is considered by BIS provided the samples pass during independent testing, preliminary evaluation is satisfactory and the applicant agrees to operate the defined Scheme of Testing & Inspection and pay the prescribed marking fee.

ii) Simplified Procedure In the simplified procedure, applicant is required to furnish the test report(s) of the sample(s) got tested by him in the BIS approved laboratories, along with the application. If the test report(s) and other documents are found satisfactory, a verification visit is carried out by BIS. The license is granted thereafter if the verification report is found satisfactory. The applicant also has the option to get the documents and other details as specified in the application, certified by a Chartered Engineer and submit the same to BIS. The license then shall be granted after scrutiny of the documents and report submitted by Chartered Engineer. By this procedure the license is expected to be granted within 30 days of receipt of application by BIS, provided all required documents are furnished and found satisfactory.

Note 1: Simplified procedure is available for all products except certain items under mandatory certification like gas cylinders, valves, regulators, cement, etc. Note 2: If any license granted as per simplified procedure is cancelled in the event of failure of verification samples, the fresh application shall only be considered as per normal procedure. Note 3: All India first licenses for any product shall be granted as per normal procedure only. Note 4: There is a separate scheme for Foreign Manufacturers and Indian Importers.

Page 17 of 91

B. PRODUCT SPECIFIC REQUIREMENTS

(FOR PACKAGED DRINKING WATER)

 List of Test Equipments, Glass wares & Chemicals  Annex A  List of BIS approved outside lab for the Product Water  Annex B  Containers (including lids/caps)  Details of samples of the product/containers to be drawn during  Annex C  BIS visits.  Acceptance of Marking Fee  Annex D  Acceptance of Scheme of Testing and Inspection (STI)  Annex E  Guidelines for assessment of Hygienic conditions with  Annex F  Explanatory notes for guidance  List of Indian Standards which a Packaged Drinking Water Industry  Annex G  Must have in original  Undertaking for getting the samples tested as per STI frequency from BIS approved/NABL accredited outside lab.  Consent letter from concerned outside lab for testing of sample (Ref. Sr. No. 8).  Copy of the appointment letter, qualification certificates for Chemist and Microbiologist  No Objection Certificate (NOC) from the concerned office of Central Ground Water Authority (if applicable in the state).  Detailed Manufacturing process indicating treatment for disinfection along with Process Flow Chart. Clause 3.2 of IS 14543:2004 specifies various processes for manufacturing Packaged Drinking Water  Copies of Medical Examination Reports of the employees engaged in washing/filling of the product for any communicable/skin diseases and fitness to work in a food industry.  Details about the arrangements of pest control treatment such as an agreement/contract with the agency. Also details of Cleaning in Place (CIP)  Declaration of Shelf-life of the product separately for each type of container (e.g. 1littre, 2 litre, 20 litre etc.).  Undertaking Regarding clause 6 (Packing) of IS 14543:2004 and clause 7.2 of IS 14543:2004 (Labelling Prohibitions)  Obtain request letter from BIS for getting the sample tested for Radio Active Residues, from BARC before submitting the application and test report received from BARC is to be submitted along with the application form.

Page 18 of 91

Uses & Applications

Page 19 of 91

CHAPTER -2

MANUFACTURING TECHNIQUES

Page 20 of 91

Flow Chart Diagram

1. 2. 3. 4. 5. 6. 7. 8. RAW WATER TANK OF CAPACITY > 20 M3 CIVIL STRUCTURE RAW WATER FEED PUMP MULTIGRADE SAND FILTER ACTIVATED CARBON FILTER 10/5 BAG FILTER ANTISCALENT DOSING SYSTEM MULTISTAGE CENTRIFUGAL PUMP (HIGH PRESSURE PUMP) R.O.MEMBRANE SKID CONSISTS OF:i. R.O. Membranes ii. Pressure Tubes MINERAL DOSING SYSTEM OZONE GENERATOR OZONE PRODUCT WATER TANK MICRON CARTRIDE MODULE 2/1/0.5 MICRON SYSTEM CONTROL PANEL RO REJECT DRAIN

9. 10. 11. 12. 13. 14.

CONTROL PANEL CONSISTS OF: A) Flow Meters B) Pressure Monitors C) Online Conductivity/pH Meter D) Sampling Tap E) Operation Switches
Page 21 of 91

Formulae detailed process of manufacture

Processing and Bottling Raw water to be processed is collected in tanks. A known quantity is pumped into the above tank where the water is dozed with alum for coagulation with heavy metals or insoluble matters. The water after coagulation is allowed to settle for an hour. The impurities may be removed by Reverse Osmosis techniques also. The supernatant water is taken to the chlorination tank where primary disinfection is brought about by bubbling chlorine gas. The water is then passed through sand filters for trapping of undissolved impurities. The water after sand filtration is passed through Carbon filters for removal of odour, colour and also for dechlorination. It is then passed through series of micro fillers comprising 5 micron, 1 micron and 0.4 micron filter followed by ultraviolet disinfection system for terminal disinfection. Packing is done in PET bottles of Half/One/Two litre(s) capacity through an automatic rinsing, filling, and capping machine fitted with an Ozone generator. The bottles after capping are shrink wrapped (Optional) and packed in corrugated boxes of one dozen each.

Page 22 of 91

Technical specification
(MECHANICAL) RAW WATER PUMP:
Quantity offered Type Operating flow rate Operating Pressure Material of construction Type of drive KW/RPM Make : : : : : : : : One No. Mono-block Centrifugal. 4 M3/Hr 4.0 kg/cm2 SS-316 I phase, squirrel cage induction motor. 1.5/2900 (Approx). N/A

MULTIGRADED SAND FILTER (MSF)

Quantity offered Type Size Operating flow rate Operating Pressure Type of Media Supporting Media M.O.C. of Shell Make : : : : : : : : : One No. Down flow 16 x 65 4 M3/Hr 4 kg/cm2 Dual Sand and Anthracite. Gravels and Silex FRP N/A

ACTIVATED CARBON FILTER (ACF)

Quantity offered Type Size Operating flow rate Operating Pressure Type of Media Qty. of Resin M.O.C. of Shell Make : : : : : : : : : One Nos. Down flow 16 X 65 4 M3/Hr 3.5 kg/cm2 Activated Carbon flakes 150 Kgs FRP N/A

MICRON CARTRIDGE FILTER

No. of Cartridges Type : : Two Nos Disposable
Page 23 of 91

Operating flow rate Operating Pressure Micron Rating M.O.C of Housing Make

: : : : :

4 M3/Hr 3 kg/cm2 5/1 Micron FRP N/A

ANTISCALENT DOSING UNIT

Quantity offered Type Operating flow rate Make : : : : ONE Nos. Electronic Diaphragm 5 LPH N/A

HIGH PRESSURE PUMP

Quantity offered Type Operating flow rate Operating Pressure Material of Construction Make of Pump Type of drive KW/RPM Make of Motor : : : : : : : : : One Nos. Multistage Centrifugal. 4 M3/Hr 10 to 15 kg/cm2 Stainless Steel -316 N/A Three phase, Squirrel cage induction motor. 2.75/ 2900 (Approx) N/A

R.O. SKID (SS -304)

Number of stream offered Type of membrane Make Operating Pressure Material of Construction Material of Housing Make : : : : : : : One Spiral wound TFC brackish Water Membrane. N/A 10 to 15 kg/cm2 Polyamide - Thin Film Composite. FRP N/A

MINERAL DOSING SYSTEM

Quantity offered No. of Dosing Pumps Type Operating flow rate Make : : : : : 1 No. 3 No Drip Injection. 5 LPH N/A

Page 24 of 91

OZONATOR
Quantity offered Generation flow rate M.O.C Make : : : : One No 2 Gram SS -316 N/A

PRODUCT WATER STORAGE TANK:

Quantity Required Material of Construction Capacity Make : : : : One Nos. SS-304 2 M3 (2000 LITERS) N/A

MICRON CARTRIDGE MODULE

No. of Cartridges Type Operating flow rate Operating Pressure Micron Rating M.O.C of Housing M.O.C of Cartridge Make : : : : : : : : Three Nos. Disposable Cartridge. 2 M3/Hr 3.0 kg/cm2 2/1/0.5Micron SS -316 Polypropylene. N/A

ULTRA VIOLET DISINFECTION SYSTEM

Quantity offered Type Operating flow rate Operating Pressure M.O.C of Housing Make of UV Lamp Make : : : : : : : 3 Nos. Horizontal. 2 M3/Hr 1.0 kg/cm2 SS -304 Philips
N/A

Page 25 of 91

CHAPTER -3

MARKET SURVEY

Page 26 of 91

Present market position

Page 27 of 91

Expected future demand

Page 28 of 91

Statistics of import & export

Page 29 of 91

Exports prospects

Page 30 of 91

Names & Address of existing units

Page 31 of 91

CHAPTER -4

PERSONNEL REQUIRMENTS

Page 32 of 91

Requirement of staff & labor

Administrative Personnel
1. 2. 3. 4. 5. Factory Manager Clerk-cum Computer Operator Store cum-Purchase Officer Accountant-cum-Cashier Sweeper (part time)

Technical Personnel
1. 2. 3. 4. 5.
6.

Production Manager- cum-Chief Chemist Lab. Assistant Production Supervisor Skilled Workers including Electricians and Mechanic Driver Un-skilled Workers Chowkidar

Page 33 of 91

Personnel management

Page 34 of 91

Skilled & Unskilled labor

Page 35 of 91

CHAPTER -5

PLANT AND MACHINERY

Page 36 of 91

List of plant & machineries

Sl. No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Names of Plant & Machineries Aluminum Treatment Tanks Reverse Osmosis Plant 2000 Liters Chlorination tanks made of stainless steel Sand filter Activated Carbon filter Micron filters(5, 1 and 0.4 Micron) Ultraviolet disinfectant system Electronic dozer for aluminum Electronic dozer for Chlorine Ozone Generator Raw and Purified water collection tanks with motor and accessories Automatic rinsing filling and capping machine Shrink wrapping machine for bottle Miscellaneous tools equipments, pipeline etc. and Plastic crates etc. Laboratory testing and Quality Control, Micro-biological instruments etc

Quantity in Nos. 3 1 2 1 -3 1 1 2 1 4 -----

Page 37 of 91

Miscellaneous items & accessories

Page 38 of 91

Instruments
(INSTRUMENTATION) PRESSURE MONITORS Type Quantity M.O.C Dial Size Mounting Connection Range : : : : : : : Bourdon tube type. One lot. wetted parts SS 150 mm. Bottom entry Field. Back entry Panel 1/4 BSPT 0 150 psi low pressure 0 600 psi high pressure

FLOW INDICATOR Quantity Type Location Material of Construction Make : : : : : Two Nos. Panel Mounted R.O. Product and Reject. Acrylic, Float SS 304 N/A

ONLINE TDS/CONDUCTIVITY METER Quantity Type Range Make ONLINE pH METER Quantity Type Range Make : : : : One Nos. Inline digital. 0 1990 ms/cm N/A : : : : One Nos. Inline digital. 0 1990 ms/cm N/A

Page 39 of 91

Laboratory equipments & accessories

LIST OF EQUIPMENT

                       

BOD Incubator : Range 0-60 Incubator : Range 0-110 Oven : Range 0-300 Autoclave Balance Colony counter Centrifuge Fume Hood Distilled Water Plant Hot Plate Heating Mental Magnetic Stirrer Micro Scope Muffle Furnace P.H.Meter Screw gauge Spectrophotometer Laminar Air flow Vibrating table Vernier Caliper Vacuum pump Water bath Turbidity meter Thermometer 0-50C

LIST OF GLASS WARE S.NO. 1 2 3 4 DESCRIPTION BEAKER GLASS -DO- DO-DOCAPACITY 50 ML 100 ML 250 ML 500 ML UNITS 6 6 6 6

Page 40 of 91

5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

-DOBEAKER PLASTIC -DO-DOBURETTE -DOBURETTE STAND BUTTER PAPER CONICAL FLASH GLASS -DO-DO- (PLASTIC) DESICCATOR GLASS DESICCATOR VACCUM DERHAM TUBES DISTILLATION ASSY GLASS DROPPING BOTTLES DROPPERS EVAPORATING DISH FILTRATION ASSEMBLY SS FILTER PAPER SHEET FILTER PAPER WHATMAN FILTER PAPER 0.45 MICRON FUNNEL FUNNEL -

1000 ML 100 ML 500 ML 1000 ML 50 ML 25 ML -

2 6 3 2 2 1 3 1 SET

50 ML 250 ML 250 ML 500 ML 60 ML 10 ML 100 ML 1000 ML 75 ML 100 ML

3 6 3 1 1 I PACKET 1 6 6 3 1 I SET 1 PKT 25 NOS 3 3

Page 41 of 91

29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52

GAS STRIPPING APPARATUS IODINE FLASK MEASURING CYLINDERS -DO-DO-DO-DOMICRO SLIDES NESSLER S TUBE NESSLER S TUBE NESSLER S TUBE STAND NON ABSORPTION COTTON PETTRI DISH PIPPET VOLUMETRIC -DO-DO-DO-DO-DO- GRADUATE -DO-DOPIPPET STAND PLATINUM LOOP REAGENT BOTTLE GLASS

1000 ML 250 ML 10 ML 25 ML 50ML 100 ML 250 ML 50 ML 100 ML

1 2 2 2 2 2 1 1 PKT 6 6 2 1 ROLL

150 MM 1 ML 5 ML 10 ML 25 ML 50 ML 1 ML 5 ML 10 ML

24 2 2 2 2 1 2 2 2 2 2

100 ML

12

Page 42 of 91

53 54 55 56 57 58 59 60 61 62 63 64 65 67 68 69 70 71 72 73 74

-DO-DO-DO- AMPROS BOTTLE -DOSEPARATING FUNNEL SEPARATING FUNNEL STAND SPATULLAS (NICKEL) STANDARDS FLASK -DO-DO-DO-DO-DOSTIRRER GLASS TEST TUBES TISSUE PAPER TONGS WATCH GLASS -DO-DOWIDE MOUTH GLASS STOPPER BOTTLE

250 ML 500 ML 100 ML 500 ML 125 ML

12 6 12 6 3 2

MEDIUM 25 ML 50 ML 100 ML 200 ML 250 ML 500 ML

6 2 2 2 2 2 1 6 1 BOX 3 ROLLS 3

SMALL MEDIUM BIG 1000 ML

6 6 6 1

Page 43 of 91

LIST OF CHEMICALS S.NO. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Acetic Acid Activated Carbon Aluminum Potassium Sulphate Ammonia Ammonium Acetate Ammonium Buffer Ammonium Chloride Ammonium Dichromate Di Ammonium Hydrogen Phosphate Antimony Metal L- ascorbic Acid Barium Chloride Boric Acid Brome Cresol Green Indicator Calcium Carbonate Calcium Hydroxide Chloroform Chromotrophic Acid Coboltous Chloride Copper Metal Cyclohexen DESCRIPTION QUANTITY 500 ml 500 gm 500 gm 500 ml 500 gm 500 ml 500 gm 500 gm 500 gm 100 gm 100 gm 500 gm 500 gm 1 Bottle 500 gm 500 gm 500 ml 100 gm 100 gm 100 gm 500 ml

Page 44 of 91

22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45

Dodecyl Benzene Sulphonic Acid Methyl Ester Di iso propyl ether EDTA Di sodium salt Erichrome Black T Erichrome Cyanine R Ethyl Acetate Ethanol Ferrous Ammonium Sulphate Ferric Chloride Ferric Citrate Glycerol Hexamine Gelatin Powder Hydrogen Peroxide Hydrazine Sulphate Hydrochloric Acid Hydroxylamine Hydrochloride Iso Propyl Alcohol Manganese Sulphate Methanol Methalene Blue Methyl Orange Methyl Red NEDA

100 gm 500 ml 100 gm 25 gm 25 gm 500 ml 500 ml 500 gm 500 gm 100 gm 500 ml 500 gm 100 gm 500 ml 100 gm 500 ml 100 gm 500 ml 500 gm 500 ml 25 gm 125 ml 25 gm 5 gm

Page 45 of 91

46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69

Neocuproine N, N-dimethyl P- Phenylene diamine oxalate Nitric Acid Patton & Reeder s Indicator Phenolphthalein Indicator 1-10 Phenonthroline PH Buffer Tablets 4, 7 & 9.2 Phosphoric Acid Potassium Chloro Platinate Potassium Dichromate Potassium Chromate Potassium Chloride Potassium Cyanide Potassium Iodide Potassium Permanganate Potassium Nitrate Potassium Per Iodate Silver Nitrate Sodium Chloride Sodium Bicarbonate Sodium Ascorbate Sodium Hydroxide Tri-Sodium Citrate Sodium Acetate

5 gm 100 gm 500 ml 25 gm 25 gm 5 gm 1 packet 500 ml 1.0 gm 500 gm 500 gm 500 gm 10 gm 100 gm 500 gm 500 gm 100 gm 25 gm 500 gm 500 gm 100 gm 500 gm 500 gm 500 gm

Page 46 of 91

70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91

Sodium Carbonate Sodium Nitrate Sodium Oxalate Sodium Sulphate Sodium Sulphide Sodium Thiosulphate Sulphanilamide Sulphuric Acid Starch Urea Zincon Zinc Sulphate Mac Conkey Broth Mac Conkey Agar VRL Agar DRCM DL Asparagines Proline Broth Plate Count Agar Potato Dextrose Agar Stain Kit Sulphur dioxide Nutrient Broth

500 gm 500 gm 500 gm 500 gm 500 gm 500 gm 100 gm 500 ml 500 gm 500 gm 5.0 gm 500 gm 100 gm 100 gm 100 gm 100 gm 100 gm 100 gm 100 gm 1 set 500 gm 100 gm

All the above equipment, glass ware and chemicals & reagents form the complete set up of In-house Laboratory for Chemical and Microbiological analysis as per BIS Standard (IS 14543:2004)
Page 47 of 91

Plant location

Page 48 of 91

Electrification

Page 49 of 91

Electric load & Water maintenance

Page 50 of 91

Suppliers/Manufacturers of Plant & Machineries

Addresses of Plant and Machinery Suppliers 1. M/s. Sonalifabs 71, Biren Roy Road (West) Kolkata-61. 2. M/s. Enviro Tech Utility, 32A, Main Patel Road, Opposite Wings Show Room, West Patel Nagar, New Delhi-110 008. 3. M/s. Watrion Water and Filter Engg. Pvt. Ltd. 1 Harsivan Apartment, Ground Floor, (Behind Canara Bank), West J.P. Road, Andheri (West), P.B. No. 7372, Mumbai-700 059. 4. M/s. Rital Agencies 55 III Main Road, Gandhi Nagar, Chennai-700 020. 5. M/s. Ion Exchange India Ltd. Ticcon House, Dr. E. Houses Road, Mahalaxmi, Mumbai-400 011. 6. M/s. Alpha Engineering 158, Pocket-E-20, Sector-II, Rohini, Delhi-110 085.

Page 51 of 91

CHAPTER -6

LAND AND BUILDING

Page 52 of 91

Requirement of land area

Page 53 of 91

Rates of land

Page 54 of 91

Built up area

Page 55 of 91

Construction Schedule
It is expected that total time of about 9 months will be taken from the date of approval of the scheme for complete implementation. Break-up of the activities and relative time for each of them is shown below:
Sl No. Nature of Activity

1 2 3 4

5 6 7 8 9 10

Preparation of Project and its approval SSI Provisional Registration Sanction of Loan Clearance from Pollution Control Board and taking permission from Municipal Health Authority/BIS etc. Placement Order for machinery of equipment Installation of machinery and equipment Power connection arrangement from Electricity Board Appointment of staff etc. Trial run Commencement of Production and permanent registration/marketing

Time Period (in months) 0-1 month 1-3 months 2-5 months 2-5 months

4-6 months 6-8 months 2-6 months 5-8 months 8-9 months 9 months onwards

Page 56 of 91

Plant Layout

Page 57 of 91

CHAPTER -7

RAW MATERIALS

Page 58 of 91

List of raw materials

Page 59 of 91

Properties of raw materials

RAW WATER CHARACTERISTICS pH Total Suspended Solids Total Dissolved Solids Iron as Fe Total Hardness as CaCo3 Total Alkalinity as CaCo3 P.alkalinity as CaCo3 Chloride as CaCo3 Fluoride Sulphate as CaCo3 Total Silica as CaCo3 Sodium as Na : 6 to 8 : Nil : 2000 : <1 : 1000 : 250 : Nil : <200 : <1 : 25 : <50 : <50

N.B.: The above figures of raw water analysis are assumed.

Page 60 of 91

Availability of raw materials

Page 61 of 91

Required quality of raw materials

Page 62 of 91

Cost/Rates of raw materials

Page 63 of 91

CHAPTER -8

FINANCIAL ASPECTS

Page 64 of 91

Cost of raw materials

Page 65 of 91

Cost of Land & Building

Page 66 of 91

Cost of Plant & Machineries

Page 67 of 91

Fixed Capital Investment

Required Fixed Capital: A Land and Building Amount (Rs. in lakh) 0.00 26.00

1 2

3 Katha Own Land Total covered area required for filtration, raw material storage, packaging material storage, machinery, Spare parts, store, Finished goods, Office, Quality Control Lab, Toilets, Electrical Switch room and miscellaneous etc. 6500 Sq. ft. @ Rs 400 per Sq. ft. Boundary wall and Civil Works on gate etc. TOTAL Plant & Machinery Ind./ Qty Imp Ind. dodododo--------3 1 2 1 -3 1 1 2 1 4 ---

3.00 30.00 (Rs. in lakh) 1.20 3.20 0.80 0.50 0.60 0.40 0.32 0.30 0.30 3.15 1.60 7.50 0.15

1 2 3 4 5 6 7 8 9 10 11 12 13

Aluminum Treatment Tanks Reverse Osmosis Plant 2000 Liters Chlorination tanks made of stainless steel Sand filter Activated Carbon filter Micron filters(5, 1 and 0.4 Micron) Ultraviolet disinfectant system Electronic dozer for aluminum Electronic dozer for Chlorine Ozone Generator Raw and Purified water collection tanks with motor and accessories Automatic rinsing filling and capping machine Shrink wrapping machine for bottle
Page 68 of 91

14 15

Miscellaneous tools equipments, pipeline etc. and Plastic crates etc. Laboratory testing and Quality Control, Microbiological instruments etc TOTAL Other Fixed Assets

---

---

1.50 1.50 25.32 (Rs. in lakh) 0.88 1.30 1.00 1.50

1 2 3 4

Cost of furniture, furnishing and Official accessories Cost of deep bore tube well for water reservoir Security Deposit to Electricity Department etc. Preliminary and Pre-operative Expenses including Company Formation, Project Preparation, Technical Consultancy, Travelling Expenses, Interest during construction period, Start-up Expenses etc. Delivery van and contingency etc. TOTAL TOTAL FIXED COST

5.00 9.68 (Rs. in lakh) 30.00 25.32 9.68 65.00

1 2 3

Land and Building Plant & Machinery Other fixed assets GRAND TOTAL

Page 69 of 91

Working Capital

Required Working Capital: Raw Material A 1 PET/PVC bottle including cap labels etc. 1 lit. size @ 3.60 (3.75 lakh bottles) Chemicals and Reagents etc. (L.S.) Corrugated boxes, strip, tap etc. TOTAL (Rs. in lakh) 13.50

2 3

0.50 3.10 17.10

SALARY AND WAGES

a) b) c) d) Administrative & Supervisor Technical Staff Utilities Other Contingent Expenses

ADMINISTRATIVE & SUPERVISOR (a) 1 2 3 4 5 Designation Factory Manager Clerk-cum Computer Operator Store cum-Purchase Officer Accountant-cum-Cashier Sweeper (part time) TOTAL Nos. 1 1 1 1 1 5 Salary 6,000.00 2,500.00 2,500.00 3,000.00 1,000.00 Amount in Rs. 6,000.00 2,500.00 2,500.00 3,000.00 1,000.00 15,000.00

Page 70 of 91

TECHNICAL STAFF (b) 1 2 3 4 Designation Production Manager- cum-Chief Chemist Lab. Assistant Production Supervisor Skilled Workers including Electricians and Mechanic Driver Un-skilled Workers Chowkidar TOTAL Nos. 1 1 3 9 Salary 6,000.00 2,000.00 3,000.00 3,000.00 Amount in Rs. 6,000.00 2,000.00 9,000.00 27,000.00

5 6

3 3 20

2,000.00 2,000.00

6,000.00 6,000.00 56,000.00

TOTAL SALARY + TOTAL WAGES (Rs.56,000.00 + Rs.15,000.00) PERKS & BENEFITS @ 8.5% OF SALARY & WAGES TOTAL

= Rs.71,000.00 = Rs. 6,000.00 = Rs.77,000.00 (i.e., Rs.0.77 Lakh)

UTILITIES (c) Expenditure 1 2 Electricity 40 0.746 20 25 2.75 Fuels and other TOTAL Total (Rs. in lakh) 0.41 0.04 0.45

Page 71 of 91

OTHER CONTINGENT/RECURRING EXPENSES (d) Expenditure 1 2 3 4 5 6 7 8 9 10 Postage and Stationery Telephone/Fax Charges Consumable Stores Repairing and Maintenance Transport Charges Advertisement and Publicity Insurance and Taxes Sales Expenses License and other Fees Miscellaneous Expenses TOTAL Amount in Rs. 500.00 500.00 1,000.00 1,000.00 2,500.00 500.00 300.00 3,200.00 500.00 1,000.00 11,000.00
i.e., Rs.0.11 Lakh

TOTAL WORKING CAPITAL

TOTAL WORKING CAPITAL (per month) Raw Materials/Packaging Materials Salary and Wages Utilities Recurring Expenses GRAND TOTAL (One Month) Working Capital For 3 Months (18.43 3) Total (Rs. in lakh) 17.10 0.77 0.45 0.11 18.43 55.29

Page 72 of 91

Project cost
Sl. No 1 2 Total Capital Investment Fixed Assets Working Capital for 3 Months Total Total (Rs. in lakh) 65.00 55.29 129.29

Page 73 of 91

Capital Formation

Page 74 of 91

Cost of Production
Sl. No 1 2 3 4 5 6 7 8 Items Cap cost Bottle cost Treatment cost Label cost Carton cost Transportation cost Others (Tapes & Case) Total cost(excluding Labor, Marketing & Tax) Amt in Rs.(Min) Amt in Rs.(Max) ---

0.25 1.50 0.10 0.15 0.50 0.10 0.25 2.85

2.50 0.25 0.25

---

0.25
---

4.25 10.00

Selling cost

Page 75 of 91

Profitability Analysis

Page 76 of 91

Break Even Analysis

Sl. No 1 2 3 4 5 Fixed Cost (per annum) Total Depreciation Total Interest 40% Salary and Wages 40% Utilities and other expenses Tax and Insurance fees etc. TOTAL Amount(Rs. in lakh) 4.95 18.04 3.70 2.64 0.10 29.43

B.E.P. =

Fixed Cost Fixed Cost + 29.43 29.43 2943 66.53 44.24% +

100 Annual Profit 100 37.10

(Say 44%)

Page 77 of 91

SWOT Analysis

Page 78 of 91

Ratio Analysis

Page 79 of 91

Cash flow statement for 5 to 10 years

Page 80 of 91

Depreciation Chart

Page 81 of 91

Projected Balance Sheet

Page 82 of 91

Land Man Ratio

Page 83 of 91

Conclusion

Page 84 of 91

ADDITIONAL:

Page 85 of 91

Bibliography

Page 86 of 91

Questionnaire

Page 87 of 91

WORD OF THANKS

Towards the end I take the opportunity to pay hearty regards to Mr.Nabajyoti Bharali (MD GEA National College) of my Institute for providing the opportunity to work with such an esteemed organisation. I express my deep sense of gratitude to all those who patiently explained and clarify me several doubts in the intricate subject, and above all guiding me throughout the internship period. I cherish the enriching learning experiences in CRG Beverages, though for a brief period. I once again thank the CRG Beverages for the invaluable opportunity and experience. I would like to thank all those reader(s) who will go through this project in future. I welcome any suggestion or comments from the reader(s).

Rupamjyoti Das.

Page 88 of 91

Research Methodology

Page 89 of 91

Recommendation

Page 90 of 91

Page 91 of 91