distilled water unit

8/7/2019 Distilled Water Unit

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Distilled Water Unit

Presented by:

Dr.Namrata SharmaMr. Jayasankar M.


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INTRODUCTION

Growing number of cases of- water borne

diseases, increasing water pollution,

increasing urbanization, increasing scarcity of

pure and safe water etc.- bottled water

became important

international and national brands water

bottles are available in Indian market


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per capita consumption of mineral water in

India 0.5-liter -111 liter in Europe and 45-liter

in USA

UN study conducted in 122 countries, in

connection with water quality, India's number

was dismal 120 India's bottled water segment is largely

unregulated

Industry worth nearly 10000 crore rupees


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Bottled Water Industry in IndiaBottled Water Industry in India

about Rs 1,000 Crore

growing at whopping rate of 40 per cent

more than 200 bottled water brands in India and

among them nearly 80 per cent are local brands

India ranks in the top 10 largest bottled water

consumers in the world

per capita per annum consumption of bottled

water is estimated to be five litres which is

comparatively lower than the global average of

24 litres


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Bottled water top players in India major international giants like Coca cola, Pepsi,

Nestle and noticeable presence of nationalplayers like Mount Everest, Manikchand,Kingfisher, Mohan Meakins, SKN Breweries ,Indian Railways

western region accounts for 40 per cent of themarket and the eastern region just 10

1,200 bottling water plants in India, 600 are inTamil Nadu


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Bisleri continues to hold 40 per cent of the

market share

Kinley and Aquafina are fast catching up, with

Kinley holding 20-25 per cent of the market

and Aquafina approximately 10 per cent


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Variety of packages pouches and glasses, 330 ml bottles, 500 ml

bottles, one- litre bottles and even 20- to 50-litrebulk water packs

formal bottled water business in India:

premium natural mineral water, natural mineralwater and packaged drinking water

Premium natural mineral water - Evian, SanPelligrino and Perrier, which are imported andpriced between Rs.80 and Rs.110 a litre


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Natural mineral water, with brands such as

Himalayan and Catch, is priced around Rs.20 a

litre

brands such as Parle, Bisleri, Coca-Cola's

Kinley and PepsiCo's Aquafina- range of Rs.10-

12 a litre. Artesian well water Water from a well that

taps an aquifer--layers of porous rock, sand

and earth that contain water--which is underpressure from surrounding upper layers of

rock or clay


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Mineral water Water from an undergroundsource that contains at least 250 parts per

million total dissolved solids Spring water Derived from an underground

formation from which water flows naturally tothe earth's surface. Spring water must becollected only at the spring or through aborehole tapping the underground formationfeeding the spring

Well water. Water from a hole bored ordrilled into the ground, which taps into anaquifer


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Tap Water Some bottled water also comes

from municipal sources--in other words--the

tap. Municipal water is usually treated beforeit is bottled


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Raw Water

fromSource

Raw

WaterStorage

Raw

Water

Lifting

Pump

Sand

Filter

Activated

CarbonFilter

De

Salting

High

Pressure

Pump

System

Micro

Filteration

System

Ultra Violet

Disinfection

Base

Exchange

Softener

Mixing

Storage

of

TreatedWater

Polishing

Filteration

UV

Disinfectionsystem

Filling ,

Sealing andCapping


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Production CapacityProduction Capacity

Quantity Produced per Annum : 45 lakh Litre /

Annum Quantity Produced per day : 15,000 Litre / day

No: of Working Days : 300/ annum ( 3 shifts )

Installed Capacity : 20,000 litre Capacity Utilisation : 70% first year , 75% second year

, 80% Third year

Man Power : 18

Utilities

Motive power : 40 KW / Day

Water Utilised per day : 25KL


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Financial AspectFinancial Aspect

SL Component Cost in Lakhs

1. Land and Building 32.00

2. Plant & Machinery 26.1

3. Other fixed assets 9.8

Total 67.9

TOTAL FIXED COST


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Calculation of Working Capital per

Month

RAW MATERIALS

SL Materials Total (Rs

in lakhs)

1. PET/PVC bottle including cap

labels etc. 1 lit. size @ 4.0

(3.75 lakh bottles)

15

2. Chemicals and Reagents etc. (L.S.) 0.80

3. Corrugated boxes, strip, tap etc. 3.10

Total 18.9


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Salary and wages Non technical

Sl

No.

Designation No .. Salary Amount

(In Rs.)

1. Factory Manager 1 15000 15000

2. Clerk-cum Typist 1 5000 50003. Store cum-Purchase

Officer

1 10000 10000

4. Accountant-cum-

Cashier

1 7000 7000

5. Sweeper (part time) 1 3000 3000

Total 5 40,000


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Salary - Technical staff

Sl.

No.

Designation No. Salary Amount

(In Rs.)

1. Production Manager-

cum-Chief Chemist

1 9000 9,000

2. Lab. Assistant 1 5000 5,000

3. Production Supervisor 3 6000 18,000

4. Skilled Workers, including

Electricians

and Mechanic Driver

9 4000 36,000

5. Un-skilled Workers 3 3000 9,000

6. Chowkidar 3 3000 9,000

Total 20 86,000


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Salary and wages per Month

Total Salary and Wages

( Rs. 86,000 + Rs. 40,000 )

1,26,000

Perks and benefits @ 8.5% of

salary and wages

11,000

Total 1,37,000


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Utilities per Month

Total (Rs in lakhs)

i)Electricity

40 0.746 20 25 4.4 (

Industrail Unit medium Cost

in Kerala )

0.65

ii)Fuels and other 0.04

Total 0.69


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Contingent Expenses per month

SL Other Contingent expenses Amount

(In Rs.)

1) Postage and Stationery 500

2) Telephone/Fax Charges 1000

3) Consumable Stores 1000

4) Repairing and Maintenance 2000

5) Transport Charges 4000

6) Advertisement and Publicity 500

7) Insurance and Taxes 10008) Sales Expenses 5000

9) Licence and other Fees 500

10) Miscellaneous Expenses 1000

Total 16500


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Working Capital for three Months

SL Components Total (Rs in lakhs

1) Raw Materials/Packaging

Materials

18.9

2) Salary and Wages 1.37

3) Utilities 0.69

4) Recurring Expenses 0.16

Total 21.12

Working capital for 3 months

21.12

3 =

Rs 63.36 lakh


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Total Capital Investment

SL Particulars Total (Rs in

lakhs)

i) Fixed Assets 67.9

ii) Working Capital (for 3

months)

63.36

Total 1,31,26,000


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Cost of Production per Annum

SL Particulars Total (Rs in lakhs)

i) Working Capital for One year 253.44

ii) Depreciation on Building @ 5% p.a. 1.45

iii) Depreciation on Plant and Machineryand Miscellaneous @ 10% p.a.

2.61

iv) Interest on Total Capital

Investment @ 15%

19.69

Total 277.19


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TURN OVER

PARTICULARS Total

(Rs in lakhs)

By sale of 45 lakh bottles

(3.75 lakh crates of 12 bottles

@ Rs 90 per crate

(Factory premises

337.5


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Profit (per annum)

Profit (per annum)

Profit = Turnover Cost of Production= 337.5 277.19

= Rs 60.3 lakh


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Net Profit Ratio

= (Profit/ Sales Turn over) 100

= (60.31/337.5) 100

= 17.8%

Rate ofReturn

= (Profit/ Total Investment) 100

= 60.31/131.26


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Break-even Point

Total variable Cost for one year = 253.44 lakh

No: of Units produced per year = 45,00,000

Sale price of one unit = Rs 7.5

Contribution = Unit Sale Price Variable cost / unit

= 7.5 5.63 = Rs 1.87

Break Even Point in terms ofUnits

= Fixed Cost / Contribution = 67,90,000/1.87 = 36,31,016 Units


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THANK YOU

distilled water unit

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