Mithila Dairy Pvt Ltd.

Pandaul, Bihar

NEW BAKERY PROJECT

(Installed Capacity: - 2 MT)

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

1. INTRODUCTION
Baking industry occupies an important position among Indian food processing industries with
an annual turnover of about Rs. 60,000 Crores. The spurt in the production of bakery products
could be attributed to their advantages over other processed foods. Bakery products are ready
to eat, convenient to use and poses satisfactory nutritional quality. India is the largest
producer of Rusk. The bread industry in India comprises of organized and unorganized sectors.
Bread and Biscuits form the major baked foods accounting for over 80% of total bakery
products produced in the country. The quantities of bread and biscuits produced are more or
less same; however, value of the bread is more than biscuit. The industry has traditionally
been and largely continues to be in the unorganized sector contributing to over 70% of the
total production. Bakery products once considered as sick man‘s diet have now become
essential food items of vast majority of population. Though bakery industry in India has been
in existence since long, real fillip came only in the later part of the 20th century. The
contributing factors were urbanization resulting in increased demand for ready to eat profiles
at reasonable costs etc.

The main constituent of bakery products, the refined wheat flour is deficient in, lysine and
soybean is deficient in sulphur containing amino acids. Thus a combination of these two as
ingredients in bread/bakery products is a desirable step for not only increasing the protein
content, but also for supply of balanced amino acid pattern. The Indian bakery industry can,
therefore, explore this aspect for better food value and product quality. The use of soya flours
and soya products in bakery products would not. Only improve nutritional quality of bakery
products, but also increase profit margins of an entrepreneur due to improved product
quality.

The per capita consumption of bakery products is about 2.5 Kg. per year as products is about
2.5 Kg. per year as compared to 150 Kg. in other developed countries, indicating greater
potential for the industry as compared to the present situation. The bakery units are unevenly
spread among States. It is mainly concentrated in the States of Maharashtra, West Bengal,
Andhra Pradesh, Karnataka and Uttar Pradesh Industrially advanced States like industrially
advanced States like Maharashtra and West Bengal have very large number of bakery units.
The per capita consumption is very high in industrialized States like Maharashtra and West

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

Bengal. The Bread/Rusk are becoming quite popular in rural areas as well. Nearly 55% of
bread are consumed by rural sector. The higher consumption of bread in rural area could be
attributed to its position as a snack, longer shelf life and better taste which is liked by different
cross sections of population. There is no marketing problem as every shop is a market for
bread could be attributed to its position as a snack, longer shelf life and better taste which is
liked by different cross sections of population. There is no marketing problem as every shop
is a market for bread. Bakery products still remain the cheapest of the processed ready to eat
products in the country. The production of Bakery products has increased from 5.19 lakh
tones in 1975 to 18.95. Lakh tones in 1990 recording four-fold increase in 15 years‘ time.
Among the bakery products, bread occupy an important place as they contribute over 33% of
total products processed. Over 79% of the bread are produced by small scale sector consisting
of both factory and non-factory units.

The growth rate for bakery products is estimated at an average 20% per annum. The demand
for bakery products will continue to increase in future. The estimated growth rate of 20% is
on the lower side considering the present potentiality of bakery products, particularly in rural
areas, where about 75% of the population lives. Hence use of soya is beneficial to consumers
for nutritional improvement and to entrepreneur for earning more profit. The protein content
of biscuits varies from 7-8 percent and supplementation with 30 percent soya flour adds to the
protein content by 50 percent. Encouraging trends in consumption of bakery products by
population of lower and middle income groups indicate vast scope for consideration of
nutritional enrichment of bakery products. Protein Rich Bread can serve as means of providing
additional nutrition at affordable cost.

2. PRODUCTS AND ITS APPLICATION:

The most popular and worth manufacturing bakery products are: Biscuits /Cookies; Cakes;
Breads, Buns, Pav for PavBhaji/burgers/Dabeli etc.; Rusk, Wafer Biscuits (need specific setup),
Pizza base, Dough Nuts, Bagels, Waffles, Muffins, Cupcakes, Pies, Swiss/ cream rolls , Puff
Pastries and many others.

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

3. DESIRED QUALIFICATION FOR PROMOTER:

A good level of competence is needed to understand quality of raw materials, formulation of

products, functions of additives used in formulation, control of process and machinery to
produce end product of desired quality, taste and texture, type of packing material to be used,
market trends and penetration, etc. Technical knowledge and skills are needed for problem
solving, and to ensure good hygiene and safety in the workplace.

4. INDUSTRY OUTLOOK/TREND

Bakery industry in India is ever growing with an annual growth rate of about 7.5%. Bakery
products are mainly based on wheat flour and the present trend is to have verities such as
nutritional products, health related ingredients and specialty products.

5. MARKET POTENTIAL AND MARKETING ISSUES, IF ANY:

The Indian Bakery market is estimated to be worth Rs. 16,500 cr, growing at a healthy 7.5 %
per annum. It is one of the largest food industries consist various product categories like
breads, biscuits, pastries, cakes, buns and rusk. These bakery products are fast catching up
with the popularity trend as lifestyle of Indians are rapidly changing. The major categories are
breads and biscuits, cornering about 82% of the Indian Bakery market. Another product
segment worth mentioning is Cakes and Pastries. This segment is estimated to be worth Rs.
1,250 cr of which significant 65% is accounted for by the unorganized sector.

The bakery units are unevenly spread among States. These are mainly concentrated in the
States of Maharashtra, West Bengal, Andhra Pradesh, Karnataka and Uttar Pradesh.
Industrially advanced States like Maharashtra And West Bengal have very Large number of
bakery units. The per capita consumption is very high in industrialized States like Maharashtra
and West Bengal. The Bread/Rusk are becoming quite popular in rural areas as well. Nearly
55% of the bread/Rusk are consumed by rural sector. The higher consumption of bread/Rusk
in rural area could be attributed to its position as a snack, longer shelf life and better taste
which is liked by different cross sections of population. There is no marketing problem as
every shop is a market for rusks. Bakery products still remain the cheapest of the processed
ready to eat products in the country. The production of Bakery products has increased from
5.19 lakh tones in 1975 to 18.95 lakh tones in 1990 recording four-fold increase in 15 years.

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

Among the bakery products, rusks occupy an important place as they contribute over 23% of
total products processed. Over 89% of the rusks are produced by small scale sector consisting
of both factory and non-factory units. The growth rate for bakery products is estimated at an
average of 9.8% per annum. The demand for bakery products will continue to increase in
future. The estimated growth rate of 9.8% is on the lower side considering the present
potentiality of bakery products, particularly in rural areas, where about 70% of the population
lives. Encouraging trends in consumption of bakery products by population of lower and
middle income groups indicate vast scope for consideration of nutritional enrichment of bakery
products.

Bihar is growing market for bakery products and we presume in coming days
government of bihar may provide bakery product in mid meal instead of existing
cooked pulse & rice…………….

The bakery industry comprises organized and unorganized sectors. The unorganized sector
accounts for about 67% of total biscuit production and 80% of the total bread production and
around 90% of the other bakery products, which include pastries, cakes, buns, rusks and
others (NPCS, 2007). Though bakery industry of India has very long existence, it attained
prominence only in the later part of the 20th century.

6. RAW MATERIAL REQUIREMENTS:

Major Raw Materials Requirements
Ingredients Quantity

Maida As per product ..

Ghee As per product ..
Edible Oil As per product ..
Sugar As per product ..
Salt As per product ..
Other mis items As per product ..

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

7. MANUFACTURING PROCESS:
Khari:
Weigh all ingredients as per formula. Make soft dough in a dough kneader still it becomes
smooth and glossy. Roll the dough into sheets of required dimensions and thickness, apply
flour dusting as required. Apply ghee on layers and fold it still of required size. Repeat the
process still layers are formed. Refrigerate it for 15 minutes. Remove from refrigerator, cut into
pieces of required size and dimensions. Place all the pieces in baking oven and bake at 200 °C
20-25 minutes. After that lower the temperature and bake at 180° C for another 15-20 minutes.
Cool the pieces, pack as per weight decided of SKU into poly bags and then put into
corrugated carton for dispatch.
Rusk (Toast):
Pre-mixing of ingredients as per formulation to form dough of proper consistency. The dough
is then divided and pieces put into molds for proofing, followed by first baking, cooling, second
baking and again cooling and packing. First baking to do at 200° C and second baking at 180°
C.

Nankhatai:
Weigh all ingredients and make soft dough with addition of sugar, ghee and water as per
formula. Beat the dough still it becomes soft and fluffy. Add yoghurt and best again. Keep it in
such condition for 10-15 min. Press the dough into flatten rounds and make incision with knife
at centre. Sprinkle cardamom, coconut or sesame seeds just for decoration. Bake the rounds at
200° C for 20-25 minutes.

8. MANPOWER REQUIREMENT:(assumption)
Manpower Total Requirements
Number of
Employees
Particulars
Technical Staff 4
Adm. Staff 1
Marketing Staff 3
Labour 12
Total 20

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

9. IMPLEMENTATION SCHEDULE:(assumption)

Project Stages MONTHS

1 2 3 4 5 6 7 8 9 10
Land Development
Completion of Building
Ordering of Machinery
Delivery of Machinery
Term/Wkg Loan Sanction
Installation of Machinery
Commissioning of Plant
RM/Inputs Procurement
Manpower Appointments
Commercial Production

10. COST OF PROJECT:

Cost in
Particulars Lakh’s
Land & Building 115.00
Plant & Machinery 225.00
Mis Fixed Assets 15.00
Pre-op exp & Contingency 20.00
Working Capital Margin 20.00
Total 395.00

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

11. LOCATION ADVANTAGE:

The area which we have located for setting up the project has good benefits

 Its regional connectivity (5-30kms) to the major town and cities,

 Kolkatta market is around 700 Km,

 Fast developing region,

 The agro climate zone.

Skilled and semiskilled manpower is easy availability.

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

Flow chart for rusk making:

PREPARATION OF INGREDIENTS

1. Dough mixing
2. Bulk fermentation, sponge time
3. Dividing (scaling)
4. Rounding
5. Moulding
6. Panning
7. Baking
8. Cooling
9. Slicing
10. Toasting or baking
11. Cooling
12. Packaging

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 Mithila Dairy Pvt Ltd.
Pandaul, Bihar

SWOT ANALYSIS:

STRENGTHS

• Reduced cost of production due to huge production

capacities

• High retailer and customer retainability

• Part of a bigger pie

WEAKNESS

• Large share of un-organised players

• Sensitive to commodity price fluctuations

OPPORTUNITIES

• Growing consumption of bread & Rusk

• Food retailing in India
• Bakery potential in rural India

THREATS

• Threats from the competitors

• Future rise in prices of raw materials

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