MILK PROCESSING UNIT

[EIRI/EDPR/3876] J.C.: 1990

INTRODUCTION

The importance of milk in human diet especially for children and expectant and
nursing matters is vital.

Unlike rich countries like the U.K. and the U.S. dairying in India is a subsidiary
occupation of almost all the farmers. More than 60 per cent of the families
involved in dairying belong to the small or marginal farmers or even agricultural
labourers.

In the first half of the 1900 dairying in the country was largely unorganized,
except for military farm which were established and largely stocked with the
European breeds. In the plantation areas, pure breed exotic bulls were randomly
crossbled with local cows. Apart from the "poskets" of improved animals thus
created, dairying was largely left in the hands of traditional producers, middle
man, product makers and vendors.

Some private dairies were more or less modern processing facilities were
encouraged to make pasteurized butter mainly for the British Army. In the early
1940's one such firm also become the prime supplies to the country's first official
urban milk supply scheme "The Bombay Milk Scheme". Under it chilled milk was
transported in cans by rails to Bombay from Anand in Kheda District some 425
km from Bombay.

When India became independent in 1947, are of earliest projects of its type to be
adopted was the creater Bombay Milk Scheme which consisted of a market milk
plant in Bombay, supplied with milk by the Khairs District Cooperative Milk
producers union.

The union which had its processing plant close to the town of Anand, ultimately
came to be known as the Anand Milk Union Ltd abbreviated to Amul, meaning
"beyond price" or priceless".

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The world’s largest during development programme the operation flood is
distinguished by its involvement of small holders and landless rural milk
producers. It aims to create a "flood" of usually-produced Milk assuring the farmer
of remunerative price and ready market and the urban consumer of wholesome
milk at stable and reasonable prices.

The modern dairy sector was best with problems, the more important of which
were as follows.

State Government found it difficult to effectively against milk production,

procurement processing and marketing.

The urban dairies were unable to obtain more than a 30 per cent share of their
liquid-milk markets.

"Dairy development" had after been treated as if-it were synonymous with building
dairy processing plants and there plants frequently got built in the towns where
the consumers were, rather than in the milk-sheds where milk was produced and
so they had found if difficult to organize rural milk procurement.

To provide the safest and highest quality product to the consumer, the Pasteurized
Milk Ordinance (PMO, 2005) provides standardized guidelines. The PMO is a
document from the United States Departments of Health and Human Services and
Public Health, and the Food and Drug Administration that defines practices
relating to milk parlor and processing plant design, milking practices, milk
handling, sanitation, and standards for the pasteurization of Grade A milk
products. Each state regulates their own dairy industry, but the state's guidelines
usually meet or exceed those defined by the PMO. Milk that is shipped between
states must follow the PMO regulations.

Milk is obtained from the cow (or goat, sheep, or water buffalo) under sanitary
conditions and cooled to 45°F (7°C) within 2 hours of milking. Milk is picked up by
a handler who takes a sample and then pumps the milk from farm's bulk tank
into the milk truck. A handler may pick up milk from more than one farm, so a
truck load may contain milk from several farms when it is delivered to the
processing plant.

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Before the milk can be unloaded at the processing plant, each load is tested for
antibiotic residues. If the milk shows no evidence of antibiotics, it is pumped into
the plant's holding tanks for further processing. If the milk does not pass
antibiotic testing, the entire truck load of milk is discarded and the farm samples
are tested to find the source of the antibiotic residues. Regulatory action is taken
against the farm with the positive antibiotic test. Positive antibiotic tests are rare,
and account for far less than 1% of the tank loads of milk delivered to processing
plants.

Milk at the plant is stored at less than 45°F (7°C) and is usually processed within
24 hours, but can held for up to 72 hours (3 days) before processing. Longer
holding time allows for growth of spoilage organisms that grow at refrigerator
temperatures, called psychrotrophs.

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 CONTENTS
INTRODUCTION
KINDS OF MILK
PROPERTIES DETAILED COMPOSITION OF MILK
FACTORS AFFECTING COMPOSITION OF MILK
TABLE
PROPERTIES OF MILK
TYPES OF MILK
RAW MATERIALS
MARKET OVERVIEW OF MILK PROCESSING
GLOBAL MARKET SCENARIO OF MILK
PROJECTION HIGHLIGHTS
PER CAPITA CONSUMPTION OF PROCESSED AND FRESH DAIRY
PRODUCTS IN MILK SOLIDS
PRICES
DAIRY PRODUCT PRICES
PRODUCTION
ANNUAL CHANGES IN INVENTORIES OF DAIRY HERD AND YIELDS
BETWEEN 2019 AND 2028
MILK PRODUCTION AND YIELD IN SELECTED COUNTRIES AND REGIONS
CONSUMPTION
TRADE
EXPORTS OF DAIRY PRODUCTS BY REGION
IMPORTS OF DAIRY PRODUCTS BY REGION
MAIN ISSUES AND UNCERTAINTIES
MANUFACTURING PROCESS
COOLING AND STORING MILK:
FILTERATION:
STANDARDISATION:
HOMOGENISATION:
CLARIFICATION:
PASTEURISATION
PASTERIZATION REQUIREMENTS:-
THE FOLLOWING ARE THE MAIN SYSTEM OF PASTEURIZATION.
STING
PACKING
FLOW DIAGRAM
DETAILS OF MILK PROCESSING
SEPARATING
FORTIFYING
PASTEURIZING

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HOMOGENIZING
PACKAGING
METHODS OF PASTEURIZATION & ITS BENEFITS
VAT PASTEURIZATION
HTST PASTEURIZATION
BENEFITS OF HTST PASTEURIZATION
PASTEURIZATION TEMPERATURE & TIME CHART
PASTEURIZATION CONDITION USED FOR MILK PRODUCTS
TABLE. PASTEURIZATION CONDITIONS USED FOR MILK PRODUCTS.
TECHNICALITIES IN MILK PROCESSING UNIT
SOME SIGNIFICANT BENEFITS OF MILK PROCESSING PLANTS:
STEPS TO SET UP MILK PROCESSING PLANTS
STEPS TO SET UP MILK PROCESSING
GUIDE TO START AND RUN MILK PROCESSING PLANT
MILK QUALITY AND TESTING
PASTEURIZATION
COOLING
PACKAGING AND CAPPING
QUALITY ASSURANCE
SUPPLIERS OF PLANT & MACHINERY

APPENDIX – A:
01. PLANT ECONOMICS
02. LAND & BUILDING
03. PLANT AND MACHINERY
04. OTHER FIXED ASSESTS
05. FIXED CAPITAL
06. RAW MATERIAL
07. SALARY AND WAGES
08. UTILITIES AND OVERHEADS
09. TOTAL WORKING CAPITAL
10. TOTAL CAPITAL INVESTMENT
11. COST OF PRODUCTION
12. TURN OVER/ANNUM
13. BREAK EVEN POINT
14. RESOURCES FOR FINANCE
15. INSTALMENT PAYABLE IN 5 YEARS
16. DEPRECIATION CHART FOR 5 YEARS
17. PROFIT ANALYSIS FOR 5 YEARS
18. PROJECTED BALANCE SHEET FOR (5 YEARS)

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 COST ESTIMATION

Plant Capacity 10,000 Ltr./Day

Land & Building (1500 sq.mt.) Rs. 2.09 Cr
Plant & Machinery Rs. 80 Lac
Working Capital for 2 Months Rs. 3.06 Cr
Total Capital Investment Rs. 6.18 Cr
Rate of Return 47%
Break Even Point 41%

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