SHAW FLOUR MILL

INTRODUCTION
SHAW FLOUR MILL is a new start-up in the cilty of Kolkata. It is wheat processing unit form
which they will get by product form whet such as flour (Atta), Maida, sooji.
MARKET POTENTIAL.
Whole wheat flour is used in making Chapattis, Puries, Parotha and other roasted cereal based
products. Wheat flour or Maida is a basic raw material for making Bread, Biscuits Cakes and
other bakery products. Sooji / Rava is used in many sweetmeat products. Bran separated on
milling is used as cattle feed. The products sold under brand names are very few. The concept for
branded cereal flour products is now increasing. There are many bakery, sweet shop and fast food
centre who require flour on regular basis as well as they purchase in bulk. The big giants Satendra
atta , Aashirvad atta and many local player in Kolkata etc. have the market share in wheat product
industry.
Demand forecasting: the demand for flour in increasing every year but there are many players in
the market who already have their own customer and the market is quite challenging. Shaw flour
mill have to compete with the competitor for the market share with quality product and a
reasonable price. The population of Kolkata is around 14,485,277 and there are around 2700
bakery and more than3500 restaurant in Kolkata. The main target customer would be the
institutional buyer like hotels restraints and the retail customers.
Market Planning: For creating a brand in the market, SHAW FLOUR MILL will make
advertisement on television, newspaper, radio, hording etc. SHAW FLOUR MILL will incur high
cost during first 3 year after that SHAW FLOUR MILL will reduce it. SHAW FLOUR MILL will
give credit of 1 month which is higher than any manufacture of flour.
Manufacturing Process / Technology:
Production Details & Process of Manufacture
Wheat is first cleaned thoroughly to remove dust, stone and other foreign matters clean wheat is
tempered before grinding by treating with water so that the bran is separated from the endosperm.
The tempered wheat is crushed between corrugated rollers (Break rolls). The first break rolls are
set relatively far apart to grind the wheat lightly, while successive break yield finer and finer
products. The first break is separated by sieving or bolting in to very fine particles (flour),
intermediate particles (middlings) and coarse particles (stock). The stock is then sent to second
break rolls. This process may continue through 5 to 6 breaks. The stock contains pieces of
endosperm and bran and the stock from the last break is principally bran. The middlings contain
endosperm, bran and germ which are then successively classified and some of the bran removed
are sent to reduction rollers. These are smooth rollers, but like the break rolls they are graduated
so that successive reduction becomes finer and finer. After each reduction, sifters separate the

flour, middling and stock, this process is continued until most of the endosperm has been
removed as flour and most of the bran has been separated in the sifters.
2. Power requirement of the unit is 130 KW.
3. There are no pollution problems for unit except dust which may damage the plant and
machinery and adversely affect the health of workers also, for this cyclones may be used to
separate dust.
4. The Miller should be made aware about the energy requirement of the milling system and for
this selection of motors should be proper.
Wheat flour mill machine processing:
Model Item
Production capacity (T/24h)
Milling Techniques
and main machines
Cleaning Techniques

Products and extraction rate

(%)
Flour quality
Power required (kW)
Size of workshop(LWH,
m)

Cleaning part:

6FTF-50 Wheat Flour Mills

50
4break-4reduction-1scratch-1bran brushing,(6-6F2235
roller mill, 4-6F2240 roller mill,4-83 double section
plansifter,1-conveyor,1-bran brusher)
1 sifting-2 scouring-2 destoning-2 magnetic separating-1
washing-1 air separating or 2 sifting-2 scouring-2
destoning-3 magnetic separating-1 washing-1 air
separating
Grade 1 flour:65%,Grade 2 flour:75%,Standard
flour: 80%
Better than GB1355-88 (National standard of China)
Around 110
3077

Beat: to remove dust sand small seed, bacterial count and insect seed.
Screening: to remove large and small impurities in the wheat seed.
Destoner: to remove stone in the wheat.
Magnetic separator: remove metal material in the wheat.
Dampening: to ensure the brans integrity during the milling
processing.

Flour milling
part:

Mill: to break the integrity by the roller moving

Sifter: to separate the flour and bran, also separate large size and
small size to enssure flour quality.

Packing part:

The packing part can be manual one also can be auto one.

Advantages of this wheat flour mill:

1. Roller mills are manufactured precisely and controlled by manual or pneumatic mode. It can
make better grinding effect comparing with other ordinary mills.
2. Complete sets of wheat flour mill adopt various configuration modes for different choices.
There are streamlined design, reasonable layout, beautiful performance. It can be installed on a
steel frame structure or in a concrete building.
3. The flour mill is with advanced technical process and flexible adjustment. It can produce grade
one (A) flour and special flour etc.
4. Good after-sales service and spare parts is supplied for complete set of flour mill.

Materials and Inputs:

Product Mix: The installed machinery will produce 3 product form one raw material that is
wheat. The three products are flour (atta), Maida and Sooji. From 1 kg of wheat we get 400gm of
flour, 300 gm of Maida and 2 gm of Sooji. The will be 100 of normal loss in the production
process.
Plant capacity: The capacity of the plant for producing Flour, Madia and Sooji combined is
18250 Ton per annum. The mill will run at 50% capacity in the first 2 year there after the capacity
will increase by 10%. The main material is require for the production of flour, maida, and sooji is
wheat.
Location and site: The mill will be located at sub urban area of 24 Pargana a district in west
Bengal, the cost of plant in that location is cheap compare to the other area and its have proper
infrastructure for industry.
Machineries and equipment:
Land and Building
A readymade shed of around 300 sq mt. near the district of southe 24 parganas a distric in west
Bengal and near the city of kolkata can accommodate machine as well as storage and packing
space. It will cost Rs.15, 00,000/-.
Machinery

Automatic flour machines which have a capacity of 50 Ton per day. The cost of plant is
3575000 and the installation charges is 425000.
Miscellaneous Assets
Some other support assets like storage racks, weighing scale, sealing machine and furniture
& fixtures shall be required for which a provision of 500000..
Utilities
Power requirement shall be 130 kw whereas per day water requirement would be around 700750 ltrs. Inclusive of potable and sanitation purposes.
Raw and Packing Materials
The major raw materials are wheat and corn flour and some flavours and colours. Since the
overall quantities of each material shall not be much, no difficulty is envisaged in procuring
them. Packing materials like plastic bags and second-hand cartons shall be required.
MANPOWER REQUIREMENTS
Monthly Salary
supervisor
9000

Total Monthly Salary

18000

Total Annual Salary

Supervisor

Nos
.
2

Helpers

4500

18000

216000

Salesman

12000

24000

288000

Total

60000

720000

Particulars

216000

Preliminary & Pre-operative Expenses

There will be many pre-production expenses like registration, establishment and
administrative charges, market survey expenses, interest during implementation, trial run
expenses etc. for which an amount of Rs.50,000/- is provided for.

Working Capital (Per Month).

Personnel:
S.No.

Designation.

No.

1.
2.
3.
4.
5.
6.
7.
8.
10.

Millercum-Chemist.
Plant Foreman
Electrician
Operator
Un-Skilled Workers.
Accountant
Clerk / Store keeper
Sales Supervisor
Security Personal

1
1
1
3
10
1
2
1
1

Salary,
(PM)
10,000
7000
5000
4000
2500
6000
4000
6000
2500
Total
i)

Total (Rs.)
10,000
7,000
5000
12,000
25,000
6000
4000
6000
2500
84,000

Raw Material. (Per Month).

S.N
o.
1.

Particulars

Value (Rs.)

Wheat blended of different category 750 MT @ Rs.1100ton

1207500

2.

Gunny Bags 6750 No. @ 15 each.

Total Rs.

101250
1308750

ii)

Utilities (Per Month) ;-

Electricity 130000kw @800 paisa per kw

1
2

104000

Water 20 litres per day

Total
IV)

1.
2.
3.
4.
5.
6.
7.

18000
122000

Other Contingent Expenses (P.M.)

Postage and Stationery.

Telephone Charges
Consumable Stores
Repair & Maintenance.
Advertisement & publicity.
Transport Charges.
Other Miscellaneous Expenses.
Total

1,000
1,000
2,000
2,000
3,000
60,000
1,000
70,000

Total working capital per month = 1584750

FINANCIAL ANALYSIS.

Cost of plant
Amount
3575000
425000
4000000

Particular
Cost of plant
Installation charges
Total
Initial investment
Amount
4000000
2500000
1584750
8084750

Particular
Cost of plant
Cost of land
Working capital requirement
Total

Means of Financing: The amount of 4000000 for purchase of plant and 2000000 for
purchase of land will be finance by loan @ 8% and the principle amount will be repaid during
10 year. The rest of the amount of initial investment that is 2084750 will be financed by
SHAW FLOUR MILL.
Estimation of production and sales (figures in 000)
Particul
ar
Sales

Flour
Maid
a
Sooji

Total

2016

2017

2018

2019

2020

2021

2022

1080
0

1188
0

1306
8

1437
5

1581
2

1739
4

2022 2024 2025

3
1913 2104 231 254
3
6
51
66

945
0
720
0
274
50

103
95
792
0
301
95

114
35
871
2
332
15

125
78
958
3
365
36

138
36
105
42
401
90

152
19
115
96
442
09

167
41
127
55
486
29

184
15
140
31
534
92

202
57
154
34
588
42

222
83
169
77
647
26

Cost of production of flour (figures in 000)

Particular
Raw materials

2016

2017

2018

2019

2020

579
6

650
3

729
7

818
7

918
5

Labour

403

406

409

412

416

2021

2022

2023

2024

2025

1030
6

1156
3

1297
4

1455
7

1633
3

420

424

427

429

433

Total

619
9

690
9

770
6

859
9

960
1

107
26

119
87

134
01

149
86

167
66

Cost of Maida production

Particular

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025