business plan on cashew nuts

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Page 1: Business plan on cashew nuts
Page 2: Business plan on cashew nuts

Project of Cashew Nut Processing Unit

PREPARED BY

SAURABH MIRKAR

TRUPTI SHILWANT

Page 3: Business plan on cashew nuts

Sufficient information needs to be collected about the availability of raw material in the area, no of existing cashew processing with their processing capacity and arrangement of marketing of cashew. The annual capacity assuming working for 300 days work out to 300000 kg raw cashew and shall produce 54000 kg of whole cashew nuts, 6000 kg broken cashew nuts, 3000 kg of small bits and other products at 85% capacity utilization.

SCOPE OF THE PROJECT IN THE AREA OF OPERATION

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Market Opportunity

Untapped market

By products

Increased rates by competitors

Less competition

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FOR IMPLEMENTATION OF THE PROJECT: Obtained assurance from State Electricity Board for providing required electricity connection;

NOC from Pollution control board;

Prepared plan and estimates for civil work of main plant and other ancillary buildings;

Obtained quotations from suppliers of plant & machinery and other equipment's;

Identify market for finished products.

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MANUFACTURING PROCESS

• Drum Roasting In this process the nuts (without any conditioning) are fed into a rotating drum, which is heated initially to red hot sufficiently to allow the shell portion of the nut to ignite and burn.

• Steam RoastingThe cashew nut shell liquid (CNSL) obtained in this method from the shells is very clear and command a premium price. About 75% of the CNSL can be extracted from the shells.

Page 7: Business plan on cashew nuts

PROJECT COST/CAPITAL INVESTMENT

S.No Description Amount Rs.

1 Preliminary & Preoperative Expns 50000

2 Fixed Capital 5800000

3 Working Capital for 1 month(s) 2822500

Total Project Cost 9222500

Page 8: Business plan on cashew nuts

MEANS OF FINANCE

S.No Description %age Amount Rs.

1 Promotor Contribution 15% 1383375

2 Subsidy /Soft Loan 20% 1844500

3 Term Loan 65% 5994625

Total 9222500

Page 9: Business plan on cashew nuts

Cashew Process Equipment’s

• Vacuum Filing• Pouch Packing• Coating Pan• Tables • Tin Filing Machine• Dust Collector• Electrical Oven

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Boiler & Cooker

Shelling Machine

Humidifier

Kernel Separator

Kernel Size Grading Oil Expeller

Cashew Nut Peeling

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Equipments

Hand Operated Cutters Hand and Foot Operated cutters Trolley & Trays Tables Humidification Fans

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Name of Varieties Percentage Institutions Year Yield (Kg/tree) Nut Wt.(gm.) Kernel Wt.(gm.) Shelling (%) Export grade

Kanaka(H 1598) BLA 139xH3-13 KAU, Madakkathara

1993 12.80 6.80 2.08 30.58 W 280

Dhana (H 1608 ALGD-1x K30-1 KAU, Madakkathra

1993 10.66 8.20 2.44 29.80 W 210

Amrutha (H 1597 BLA 139xH3-13 KAU, Madakkathara

1998 18.35 7.18 2.24 31.58 W 210

Priyanka (H-1591 BLA 139-1x K-30-1 KAU, Madakkathara

1995 17.03 10.80 2.87 26.57 W 180

Madakkathara-2 (NDR-2-1)

Neduvellur Material

KAU, Madakkathara

1990 17.00 7.25 1.88 26.20 W 210

Vengurla 1 Ansur 1 KKV,Vengurla

1974 19.00 6.20 1.39 31.00 W 240

Vengurla 4 Midnapur Red x Vettur 56

KKV,Vengurla

1981 17.20 7.70 1.91 31.00 W 210

Vengurla 6 Vettur 56 x ansur 1

KKV,Vengurla

1991 13.80 8.00 1.91 28.00 W 210

Vengurla 7 Vengurla 3 x M-10/4

KKV,Vengurla

1997 18.50 10.00 2.90 30.50 W 180

BPP 4 9/8 Epurupalam ANGRAU 1980 10.50 6.00 1.15 23.00 W 400

BPP 6 T No.56 ANGRAU 1980 10.50 5.20 1.44 24.00 W 400BPP 8 (H2/16) T1xT39 ANGRAU 1993 14.50 8.20 1.89 29.00 W 210Vridhachalam 2 M 44/3)

T1668 of Katterpalli

TNAU,Vridhachalam

1985 7.40 5.10 1.45 28.30 W 320

Vridhachalam 3 (M 26/2)

Edayanchavadi TNAU,Vridhachalam

1991 11.68 7.18 2.16 29.10 W 210

Ullal 1 8/46 Taliparmba UAS, Ullal 1984 16.00 6.70 2.05 30.70 W 210

Ullal 3 5/37 Manjeri UAS, Ullal 1993 14.70 7.00 2.10 30.00 W 210Ullal 4 2/77 Tuni UAS, Ullal 1994 9.50 7.20 2.15 31.00 W 210Chintamani 8/46, Taliparamba UAS, Chintamani 1993 7.20 6.90 2.10 31.00 W 210

UN 50 2/27 Nileshwar UAS, Ullal 1995 10.50 9.00 2.24 32.80 W 180NRCC 2 2/9 Dicheria NRCC, PUttur 1989 9.00 9.20 2.15 28.60 W 210Jhargram-1 T. No.16 of

BaptalaBCKVV, Jhargram 1989 8.50 5.00 1.50 30.00 W 320

Bhubaneshwar -1 WBDC-5(V-36/3) OUAT,Bhubaneshwar

1989 10.50 4.60 1.47 32.00 W 320

Goa-1 Balli-1 ICAR Res. Centre, Goa

1999 7.00 7.60 2.20 30.00 W 210

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FLOW DIAGRAM FOR CASHEW NUT PROCESSING PLANT

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Cashew process plant - layout

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By-products• CASHEW NUT SHELL LIQUID - A versatile Industrial Raw Material

Cashew nut Shell Liquid (CNSL) is a valuable raw material obtained as a by-product during the isolation of cashew kernel. The nut has a shell of about 1/8 inch thickness inside which is a soft honeycomb structure containing a dark reddish brown viscous liquid . It is known as cashew nut shell liquid, which is present in the pericarp of the cashewnut. In India annual production of CNSL will be around 15,000 tonnes where as the potentiality available is around 45,000 tonnes and the world production of CNSL will be around 1.25 lakh tones. This raw material is used for a number of polymer based industries like paints and varnishes, resins, industrial and decorative laminates, break lining and rubber compounding resins.

Page 17: Business plan on cashew nuts

By-products

Cashew apple

Cashew Syrup

Cashew Apple Jam

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Future growth strategy

Manufacturing plant of cashew wine(fenny)

Manufacturing plant of cashew cheese

Manufacturing plant of cashew apple jam, vinegar, processed

cashew apple & syrup.

Page 19: Business plan on cashew nuts

INVESTOR EXIT STRATEGY

15 % amount of total project amount is invested by 5 partners at 20%

proportion.

If any investor wants to exit, he can exit by selling his 20 % share.

The rest of the amount is from term loan & subsidy.

Page 20: Business plan on cashew nuts

BENEFITS

• 35-40 % RETURNS ON INVESTMENT• HUGE SCOPE FOR BY PRODUCTS• EMPLOYMENT FOR WOMENS IN RURAL AREA.• HUGE EXPORT POTENTIAL.• PAYBACK PERIOD IS LESS

Page 21: Business plan on cashew nuts

THANK YOU…….