Project of Mushroom Farming &

Preserving


Presented By:

Alok Srivastava
INTRODUCTION

œ Mushrooms are gradually becoming popular as

they are rich in minerals and vitamins and
very low on fat and sugar. Fresh mushrooms
have very limited life and hence they need
to be consumed within few hours. But
processing and canning increases their shelf
life to few months. Mushroom is a nutritious
vegetarian delicacy and has many varieties.
Most of them are edible. It contains many
vitamins and minerals but very low on sugar
and fat. It can be grown in a temperature
between 20 and 30 C and required relative
humidity is 55 to 75%.
MARKET POTENTIAL

œ mushrooms are packed in special quality

polythene bags or Canned. This variety
can be sold to far off places. Consumption
of mushrooms is increasing in the North-
East region and Guwahati, Shillong,
Kohima etc. are potential markets.
MANUFACTURING PROCESS

œ Preparation of Natural Compost


↓
œ Filling of Wooden Trays with Compost &
Pressing

↓
œ Scattering of grain spawn and covering
of Trays

↓
œ Spraying of Water and Stacking of Trays
œ
Mushroom Processing

œ Washing of Mushrooms in Cold Water


↓
œ Blanching of Mushrooms in Boiling
Water

↓
œ Dehydration and Packing

↓


œ Processing of Cans and Labelling


 Plant & Machinery

Item Qty. Price

Tray-type Dehydrator 1 70,000

Steam-jacketted Kettle 1 65,000

Can Steamer 1 20,000

Blanching Equipments 1 25,000

Straight-line Exhaust Box with 1 45,000

electric motor, gear box etc.
Canning Retort with attachment 1 35,000

Stacking Trays 200 80,000

Baby Boiler 1 60,000

Laboratory Equipments 1 35,000

Total 4,35,000
Land and Building

Particular Area(sqm.) Price

Land 200 250
Buliding 100 4,50,00
Working Capital Requirements

Particulars Period Margin Total Bank Promoters

Total Bank
Stock of
Promoters 1 Month 30% .50 .35 .15
Packing
Stock of
Materials 1 Month 25% 1.0 .75 .25
Finished Goods
Receivables 1 Month 25% 1.40 1.05 .35
Working 1 Month 100% .50 -- .50
Expenses
Total 3.40 2.15 1.25
 Cost of the Project & Means of
Financing

ITEMS PRICE

Land & Building 5,00,000

Plant and Machinery 4,35,000

Misc. Assets 1,00,000

Preliminary exps. 1,75,000

Contingency for plant. 75,000

Working Capital Margin 1,25,000

Total 14,10,000

MODE OF FINANCE

Promoter contribution 4,60,000

Bank loan 9,50,000

Debt Equity Ratio 2.07:1

Promoter contribution 32.6%

Product Qty. Tons Price/Ton Sales Value
Fresh 72 50,000 (Tonnes) (Rs.)
36
Mushrooms
Canned 36 75,000 25.5
Mushroom
Total sales 61.5
No. Particular I year II year III year IV year V year
A Installed 180 Tons 200 TONS
Capacity

Capacity 60% 65% 70% 70% 78%

Initialization

Sales 37 47 55 65 80
Realisation

B Cost Of
Production

Raw Material 11 13 14.5 16.6 20

and Packing

Utilities 2.4 3 5 6 8
Salaries 2.8 3.2 4 4.5 6
Store and 1 1.8 2 3 4
Spares

Selling 6 8 9.5 11 12
expenses

Administrative 4 5 6 6.9 8
exp.

TOTAL 27.2 34 43 49 58
C Profit Before 9.8 13 14 16 22
Int.& tax

Interest on loan 1.5 1.2 1.0 .80 1.2

(assumed @
14%)

Interest on .5 .75 .85 1.0 1.3

Working Capital

Depreciation 1.3 1.45 1.65 2.4 2.5

Profit Before Tax 6.5 9.6 10.6 11.8 17

Tax @ 33% 2.145 3.17 3.5 3.9 5.61

Profit After Tax 4.355 6.43 7.1 7.9 11.39

Repayment of 3.0 3.0 2.5 3

loan