ACKNOWLEDGEMENTS

My summer Internship at Ruchi Soya Industries Ltd. has given me a wonderful

industrial exposure. My learning, from the very first day at the refinery plant has
been very informative and useful. During the internship I gained substantial
knowledge and I got accustomed to traditional environment, got exposure to
enterprise tools and got an opportunity to apply my knowledge. I feel obliged to
express my gratitude thanks to those people who have rendered their invaluable
help throughout my project.
First of all, I consider myself fortunate to have, Production In charge (Refinery)
as my guide. I sincerely thank him for providing me to perform the training at
RSIL and for his valuable guidance at all stages of this project work.
I would like to thank all the respondents who spared time for filing up the
Questionnaires and for inspiring me in their own way. Their help is gratefully
acknowledged.

1
 CONTENTS

Acknowledgement……………………………………………………………………………
…..3
Introduction……………………………………………………………………………………
…….5
Company Profile-
Ruchi group promoter companies………………………………………………7
Ruchi Soya Industries Ltd. …………………………………………………………11
Ruchi Soya ‘Products……………………………………………………………….16
Edible Oil Introduction-
Edible Oil Market in India………………………………………………………….18
IMPORTANCE OF EDIBLE OILS IN THE COUNTRY………………………20

SOYA-

SOYBEANS………………………………………………………………………………
……..21
SOYABEAN
OIL……………………………………………………………………………….22
SOYUMM………………………..…………………………………………………………
…..23

PROJECT PROFILE-

RSIL –BOAD OF
DIRECTORS……………………………………………………………25
REFINERY
DEPARTMENT………………………………………………………………..25
TECHINCAL
DEPARTMENTS……………………………………………………………26
REFINERY…………………………………………………………………………………
…….28
PROCESS
DESCRIPTION…………………………………………………………………..31
FLOW
CHARTS…………………………………………………………………………………35
Process
parameters………………………………………………………………………...38
2
 DISTRIBUTION
NETWORK………………………………………………………………..40
FINDINGS, CONCLUSIONS AND SUGGESTIONS………………………………..42
REFERENCES……………………………………………………………………………
…….…43

3
INTRODUCTION

The 30-year old Ruchi Soya Industries Limited is the flagship company of Ruchi
Group of Industries. It’s recent merger with sister concerns ( Aneja Solvex Ltd,
General Foods Ltd, Ruchi Credit Corporation, Ruchi Health Foods Ltd, Param
Ind. Ltd, Ruchi Private Ltd and soya businesses of MP Glychem) has catapulted
it among the top five FMCG players in the country, with a turnover of 8625
crores. This merger illustrates the strength that is to be found in increased
transparency, firm market position and better control of systems.

Besides being a leading manufacturer of high quality edible oils, vanaspati,

bakery fats and soya foods, Ruchi Soya is also the highest exporter of soya meal
and lecithin from India. Nutrela (soya chunks, granules, soya flour) is the largest
selling soya foods brand in the country today.

Ruchi Soya is the undisputed leader in the branded edible oil category as well
with brands like Nutrela Soyumm (Soyabean Oil), Ruchi Gold (Palmolein Oil),
Sunrich (Sunflower Oil) and Mandap (Mustard Oil). New healthy oil variants
like Nutrela Vitamin Sunflower oil and Nutrela Groundnut oil make Nutrela a
trusted option in edible oils as well.

Superior procurement and trading skills, continuous innovation, an endeavor to

meet consumer needs and stringent quality control standards have enabled Ruchi
to emerge as a highly-respected and admired Indian company. The scrip is listed
and the BSE code is 500368, while the NSE code is RUCHISOYA.

4
COMPANY
PROFILE

5
 Ruchi Group Promoter Companies

RUCHI Infrastructure Limited

RUCHI Infrastructure Limited is primarily engaged in the businesses of storage and
transportation of edible oils, petroleum, liquid bulk chemicals, agricultural products etc., in
refining of edible oils and manufacturing of vanaspati. Ruchi Infrastructure Limited is
having storage terminals at major ports (jamnagar, haldia, mangalore, chennai, cochin,
karwar etc) and at railway side terminals (kanpur, doraha, jaipur, hyderabad & cuttack).

Ruchi Infrastructure Limited is forayed into the field of agricultural warehousing which
would be guided by principles of direct sourcing from farmers, cleaning, grading, packing,
processing, scientific storage through capacity building and infrastructure creation.

6
 Ruchi Soya Industries Ltd.
HISTORY
Ruchi Soya Industries, a company which has been in the business of edible oils for over two
decades. They are offering a cooking medium to match the various tastes of this vast and
varied nation. They are the leader in edible oil and soya food businesses in India. They are
the first exporter of Soya Bean Meal from India. They are the also leading manufacturer of
Textured Soya Protein and Vanaspati.

At Present, Ruchi Soya Industries has only one subsidiary namely Ruchi worldwide Ltd.
The company plants are located at Indore, Shajapur, Narsinghpur and Mandla in Madhya
Pradesh, Mangalore in Karnataka, Raigad and Nagpur in Maharashtra, Haldia in West
Bengal, Gandhidham in Gujarat, Thiruvallur in Tamilnadu, Sriganganagar and Bundi in
Rajasthan.

Ruchi, a pioneer Soya Processor Group started operations in the year 1972-73. In the year
1986 the company became a Public Limited company. In March 1991, the Production in
Vanaspati Plant, Edible Soya flour and Oil Commenced with capacity of 7,500 MT, 60,000
MT, 12,000 MT respectively.

During the year1991-92, the Company increased their existing capacity of Textured Soya
Protein by 12,000 MT to 24,000 MT and Vanaspati by 7,500 MT to 15,000 MT. Also they
commenced the production in their Lecithin Plant during the year.

During the year 1992-93, the company increased the production capacity of Vanaspati from
15,000 MT to 30,000 MT. Also they installed Soyabean Extraction with a capacity of 60,000
MT. In the year 1994-95, the production capacity of oil has been increased from 30,000 tpa
to 55,000 tpa and Soyabean Extraction from 60,000 tpa to 1,85,000 tpa. In the year 1995-96,
they further increased the production capacity of Soya bean extraction, oils and Vanaspati by
2,47,000 tpa, 53,000 tpa, and 22,500 tpa respectively.

In the year 1997-98, the company launched two new brands namely SUNRICH for
Sunflower Refined Edible Oil and RUCHI GOLD for Refined Edible Palmolein Oil. In the
year 1998-99, the Company launched two products namely Ruchi Sona and Ruchi Star.

In the year 1999-2000, the company has invested in equity shares of Ruchi Health Foods
Ltd which has become wholly owned subsidiary of the company. Also in the same year,
Imperial Exports Ltd has ceased to be a subsidiary of the company.

In the same year, one of the subsidiary company has set up a Refinery unit near Chennai
which has commenced commercial production in the month of January, 2000. The Company
has also increased the capacity of Vanaspati by 70000 MT during this period.

During the Year 2001-2002, the Company has set up a composite unit comprising of
Refinery, Vanaspati and Texturised Vegetable Protein Plants at Mangalore. The production
7
capacity of Texturised Soya proteins has been increased by 30,000 MT to 54,000 MT and
Oil by 189000 MT to 297000 MT.

During the Year 2002-2003 the capacity of Soyabean Extraction, Oil and Vanaspati has
increased to 555,000, 687,000 and 172,500 respectively. During the year 2003-2004 the
Company set up a composite Unit Comprising of edible oil refinery and Vanaspati Plant at
Raigad in Maharashtra. The Company acquired a Solvent Extraction Plant at Sriganganagar
in Rajasthan through its Wholly owned Subsidiary Aneja Solvex Ltd during the year.

In the same year, the company has launched two new product in the bakery segment namely
Avanti and Bakefat. Also they launched Nutrela Proflo defatted soya flour, which offers the
consumers another option to include soya in their diet.

During the year 2004-2005, the company has set up a solvent extraction plant and refinery
unit at Nagpur in Maharashtra. The Company has also commissioned wind turbine of 1.2
MW capacity at Nagda Hills, Dewas in Madhyapradesh for generation of Power for captive
use. The Capacity of Textured Soya Proteins, Seed Extraction, Oils, were also increased to
84,000 MT, 10,47,000 MT and 11,01,000 MT respectively.

In the year 2005-06, General Foods Limited, Ruchi Health Foods Limited, Ruchi Credit
Corporation Limited, Aneja Solvex Limited, Param Industries Limited and Ruchi Private
Limited have been amalgamated with Ruchi Soya Industries Limited. The SVF business of
Anik Industries Limited formerly known as Madhya Pradesh Glychem Industries Limited
has also been acquired by the Company on slump sale basis.

In the same year, the company has increased their production capacity for Textured Soya
Proteins by 30000 MT to 114000 MT, Seed Extraction by 847224 MT to 1894224 MT, Oil
by 951000 MT to 2052000 MT and for Vanaspati by 237000 MT to 469500 MT.
Food business sales comprising Nutrela and branded oils. From Rs 5,544 crore in 2011-12,
the company steadily increased the contribution of branded sales to Rs 9,094 crore in 2015-
16.

An unprecedented crash in global prices of the castor seed in January last year — of Rs 3,051 per quintal
from a high of Rs 5,100 in January 2015 — coupled with falling revenues in the oil business dealt a
crippling blow to the agri-food FMCG company. For the first time since it was founded in 1986, Ruchi Soya
crashed into the red in the year ended March 2016, with a loss of Rs 878.7 crore. Debt ballooned to Rs
4,513.8 crore from Rs 2,568.05 crore two years back.

Ruchi Soya as on 2019 is the second largest producer of edible oils in India and holds 14%
of the total market share second to Adani Wilmar.

8
THE SOYA REVOLUTION

In early 1960s, when Mr. Mahadev Shahra went about convincing farmers in
M.P., about the potential of Soya, he would not have imagined that he will be
instrumental in bringing up a small green revolution in the State, by introducing
and encouraging Soya bean cultivation on a commercial scale. The family was in
the business of commodities trading and subsequently, they entered the business
of ginning and oil milling. The family's efforts, along with that of the others,
resulted in Soya revolution in M.P. Today M.P. is considered as Soya bowl of the
country, and contributes to 70% of its production. Despite all odds, Ruchi Soya is
now the largest player in the country in edible oils, Soya foods and processed
foods categories. This is largely due to its strict quality commitment and
continuous innovation to keep with the times. Also, Ruchi Soya has evolved
from being a large manufacturing firm to a respected brand. Its Nutrela and
Ruchi Gold brands have captured leading positions in the Soya foods and edible
oils categories respectively. Ruchi Soya has also ventured into other businesses
like bakery specialties, where it foresees a big potential for growth. With Ruchi's
innate manufacturing and logistics advantages, and its foray into the branded
sector, one only sees immense potential for growth in the future

VISION OF RUCHI SOYA

• We will strive to become India's No.1 packaged goods company in related

businesses of Edible oils and Soya based food products.
• We will constantly explore innovative methods of driving growth &
profitability.
• We will maintain overall leadership position in the Edible Oils & Soya Foods
Industries.
• Our promise to the consumer is to provide him/her with value for money
product at the lowest cost, with utmost quality assurance

RUCHI'S MARKETING STRENGTHS

The extensive distribution network, built over the years, is a major

strength for Ruchi. Catering nationally through 3 Lac retail stores,
with 38 Company depots, 36 Super Stockiest and a sales staff of
over 200, Ruchi has attempted to penetrate depth wise, along with
opening new markets. With its emphasis on providing value goods
9
to consumers, Ruchi's dual strategy of popular and premium range
works well. Ruchi Gold is our value for money offering but with
no compromise in quality. This positioning helps generate large
sales volumes for the products. Nutrela series is more premium,
and offers healthy options in soya foods and edible oils. This dual
strategy is based on our cultivated understanding of the Indian
consumer psyche.
We also have a firm footing in modern retail due to our undivided
focus on new channels of distribution. With our alliances with big
players like Pantaloon and visible presence in all leading national
and regional supermarkets, we hope to grow our consumer base
and product portfolio.

RUCHI’S REFINING AND CRUSHING STRENGTHS

Ruchi Soya is one of the few edible oil companies in the country that has a
balanced mix of inland and port based refineries. This enables it to optimize
production depending upon the availability of cheaper alternatives – local
oilseeds or imported crude oil. Moreover, multi- location refineries have reduced
road travel costs leading to significant transportation cost advantage. Ruchi Soya
has fifteen refineries and ten inland crushing plants.

STRENGTHS OF BRANDS

Over the years, Company has grown to become a multi-million US Dollar

company. Two of our strongest brands, Nutrela and Ruchi Gold are category
leaders.

Nutrela, the biggest Soya foods brand in the country, enjoys more than 50% of
the market share. It has enjoyed the trust of consumers for last 20 years now, and
continues to expand its range to cater to varying needs of its consumers. It has
become generic to the soya category. We have effortlessly strived to educate
people about health and goodness of Soya as our firm commitment is to provide
healthy solutions to the consumers.

Edible oils brands like Ruchi Gold and Nutrela Soyumm enjoy mass
acceptability and acclaim from the people. Ruchi Gold is the leader in the
10
palmoline category. As a part of packaged goods thrust, ‘Ruchi Gold' was
introduced about 6 years back in Chennai. The market share in southern states
ranges from 50 to 85%. The brand has grown from35% to 40% CAGR since its
introduction. Today, it enjoys the number one position in branded palmoline oil
category.

Nutrela Soyumm ranks in the top three soya oils category, and continues to strive
to reach the top position. Both brands symbolize health and quality.It is also
leader in the vanaspati category with brands like Ruchi No 1 and have also
ventured into bakery and special fats category.

RUCHI'S EXPORTS

Ruchi Soya is the Flagship Company of Ruchi Group, a pioneer Soya Processor
group, which started operating back in 1972-73 and is the first exporter of
Soyabean Meal from India.

Ruchi is one of the largest crushers of Soya beans in India, and has installed a
crushing capacity of 4150 mts. per day in Indore, which is the largest crushing
capacity at a single location. On a yearly basis, Ruchi crushes 25% of the soy
crop in India. This has lead to the export of 30% of India's Soya bran meal on a
yearly basis. Soya meal is the crushed seed after the oil has been extracted. It has
a big export market, and is used to feed cattle/chicken. It also accounts to the
export of value added products like the edible defatted soy flour, full fatted
edible flour, Soya lecithin, Soya granules and Soya chunks. All the products are
made from non GMO beans. The countries of exports include Indonesia,
Vietnam, South Korea, Thailand, Philippines, Japan, Taiwan and all the Gulf
countries, apart from those in the Indian subcontinent.
Ruchi's Soya Products
Ruchi Soya Industries Limited (RSIL) has a large team of experts, technicians, scientists,
administrators who are involved from the very beginning of the process of selection of
soyabeans, processing and transporting them to most advanced plants. The products are
produced under the supervision of an expert. The competent quality control team keeps close
watch right from the beginning to dispatch to the dealers.

The Company offers a great range of products in Soya foods and Oils as well. Its range of
Soya Foods include Nutrela Soya Chunks, Nutrela Soya Mini Chunks, Nutrela Soya
Granules, Defatted Soya Flour, etc. The range of oil offers a variety of low cholesterol health
prone products such as Soyumm (Pure refined Soyabean Oil), Sunrich & Pamban(Refine
Sunflower Oil), Nutrela Vanaspati, Mandap (Pure refined mustard oil ).It also offers Soya
products such as Prosoy (Soyabean Meal) and Ruchithin.
11
 EDIBLE OIL
INTRODUCTION

12
EDIBLE OIL MARKET IN INDIA

India accounts for 9.3 percent of world oilseed production. It has the world’s fourth largest
edible oil economy. Yet, about 43 percent of edible oil available in India is imported. In
1999 India ranked as the world’s largest importer of edible oils, displacing China. The bulk
of edible oil India imports under the Open General License (OGL) are RBD Palmolein of
Malaysian and Indonesian origin.
India has approximately 300 crude edible oil refining units. 60-70 percent of which are
small. Unlike the bigger refiners. The small ones are unable to import huge quantities of
crude either due to their low capacity or lack of financial resources, and may be forced to
close down or sell out to the bigger ones in the foreseeable future.

The total import of edible oils during the period form November 1998 to October 1999
totaled 4.4 million tones valued at more than Rs. 9.000 crores. That was against a demand –
supply gap of 1.4 million tones in 1998-99. Imports have therefore deluged the market.

The import of relined palm oil was put under OGL (Open general License) in March 1994.
Other edible oils were put under OGL in April 1995 (when an item is brought under OGL, it
means that the item can be imported without seeking any approval).

Originally, there was no discrimination between refined and non refined edible oil as far as
import duty concerned. The duty on both was 65 percent. Duty was the slashed to 30 percent
for both, then to 20 percent in 1996 and 15 percent in then 1999-2000 budgets.

On December 30, 1999 a differential duty structure was introduced. Duty on refined oil was
fixed at 27.5 percent (25 percent plus 10 percent surcharge) while that on crude was retained
at 16.5 percent (15 percent plus 10 percent surcharge) But only actual users (as opposed to
traders) are allowed to avail of this reduced duty on crude oil. Traders are nevertheless
allowed to import crude at the reduced duty but only to sell to actual users on a high seas
basis. This requires that the actual users fills in the import documents (and pays the reduced
duty) but leaves the importing process to the trader.

13
In most parts of the world, the import duty on oilseeds is lower than that on oils. But, in
India it is higher 40 percent. That is why no import of oilseeds of oil bearing material has
taken place in India. The industry wants the duty to be lowered from the present 40 percent
to 5 percent.

Edible oils prices in the Indian market have crashed due to large imports by multinational
trading houses see table.

Oilseeds and edible oils are two of the most sensitive essential commodities. India is one of
the largest producers of oilseeds in the world and this sector occupies an important position
in the agricultural economy and accounting for the estimated production of 28.21 million
tonnes of nine cultivated oilseeds.

IMPORTANCE OF EDIBLE OILS IN THE COUNTRY’S

ECONOMY

Oilseeds and edible oils are two of the most sensitive essential commodities. India is one of
the largest producers of oilseeds in the world and this sector occupies an important position
in the agricultural economy and accounting for the estimated production of 25.14 million
tonnes of nine cultivated oilseeds during the year 2003-2004. India contributes about 8-9%
of the world oilseeds production. Export of oil meals, oilseeds and minor oils has increased
from 2.28, million tones in the financial years 2003-2004. In terms of value, realization has
gone up from Rs.2653/- crores to Rs.5447/- crores. India accounted for about 6.4% of world
oil meal export.
India is fortunate in having a wide range of oilseeds crops grown in its Different agro climate
zones. Groundnuts, mustard/rapeseed, sesame, safflower, linseed, Niger seed/ castor are the
major traditionally oilseeds. Soya been and sunflower have also assumed importance in
recent years. Coconut is most important amongst the plantation crops. Efforts are being made
to grow oil palm in Andhra Pradesh, Karnataka, Tamil Nadu in addition to Kerala and
Andaman and Nicobar Islands. Among the non-conventional oils, rice bran oil and
cottonseed oil are the most important. In additional, oilseeds of tree and forest origin, which
grow mostly in tribal inhabited areas, are also a significant source of oils.

14
TYPICAL % COMPOSITION OF SOYABEAN OIL

Saturates 15

Monounsaturated 23

Polyunsaturated 62

What are soybeans?

Soybeans belong to the legume family and are native to East Asia. They have been an
important protein source in the Orient for over five thousand years. Soybeans have only been
introduced to the Western world since the 20th century. Soybeans grow on a variety of soils
and a wide range of climates, ranging from tropical Brazil to the snowy island Hokkaido in
the north of Japan. As soybeans mature in the pod, they ripen into hard, dry beans. Although
most soybeans are yellow, there are also rare varieties which are black, brown or green
coloured. A given area of land planted with soybeans can produce much more protein than
land planted with other crops, or if the land were used to raise cattle.

Storing soybeans - Fresh soybeans, or edamame, should be refrigerated and used within two
days. Frozen edamame can be stored in the freezer for several months. Dried soybeans can
be kept in an airtight container for a very long period.

Cooking soybeans - Soybeans are most often transformed in other foods such as tempeh,
tofu, miso, shoyu, soy milk or other food ingredients. However, cooked soybeans can also be
used as an ingredient in soups, sauces and stews. To prepare two cups of soybeans for
cooking, soak them in about six cups of water for about eight hours. This soaking shortens
the cooking time, improves the texture and appearance of the beans and removes some of the
indigestible sugars. Drain, rinse and cook the soaked soybeans in about six cups of fresh
water. Do not add salt at this point or it will delay the softening of the soybeans. Pressure-
cook the soaked soybeans for about 40 min. When you cook soybeans, make it worth your
while by cooking two or three times what you need and freezing the rest for later use.
In processing soybeans for oil extraction and subsequent soy flour production, selection of
high quality, sound, clean, dehulled yellow soybeans is very important. Soybeans having a
dark colored seed coat, or even beans with a dark hilum will inadvertently leave dark specks
in the flour, and are undesirable for use in commercial food products. All commercial
soybeans in the United States are yellow or yellow brown.

15
To produce soybean oil, the soybeans are cracked, adjusted for moisture content, rolled into
flakes and solvent-extracted with commercial hexane. The oil is then refined, blended for
different applications, and sometimes hydrogenated.
The major unsaturated fatty acids in soybean oil triglycerides are 7% linolenic acid (C-18:3);
51% linoleic acid (C-18:2); and 23% oleic acid(C-18:1). It also contains the saturated fatty
acids 4% stearic acid and 10% palmitic acid.
Soybean oil has a relatively high proportion, 7–10%, of oxidation-prone linolenic acid,
which is an undesirable property for continuous service, such as in a restaurant. In the early
nineties, Iowa State University developed soybean oil with 1% linolenic acid in the oil.
Three companies, Monsanto Company, DuPont/Bunge, and Asoyia in 2004 introduced low
linolenic, (C18:3; cis-9, cis-12, cis-15 octadecatrienoic acid) Roundup Ready soybeans. In
the past, hydrogenation was used to reduce the unsaturation in linolenic acid, but this
produced the unnatural trans-fatty acid configuration, whereas in nature the configuration
is cis (see trans fat). This external picture from North Dakota State University compares
soybean oil fatty acid content with other oils.

Soyabean Oil
Soyabean oil is the world's largest source of vegetable oil. It is grown extensively in the

U.S.A., as well as South America and China. The North American Soya harvest, which takes

place around October each year, historically tends to determine the prices of most other

major oils, although in recent years the North American crop has increasingly come under

pressure from South American Soya, which is harvested about March, and from European

Rapeseed, which is harvested about July. Soyabean is also extensively grown in India.

Madhya Pradesh is known to be the Soya bowl of the country.

16
Soyumm (Ultra Refined Soya Oil)
It is pure sparkling, odourless oil manufactured from selected golden yellow Soyabean With
sophisticated, advanced, most modern technology preserving and enchanting natural
flavour, taste and nutritive value of the food stuff cooked. It is healthy medium of cooking
and recipes. High in nutrition, low in calories It is high in poly - unsaturates with
approximately 55% and low in saturates.

One tbsp of Soyumm gives approximately 120 calories. It has 15% less saturated fatty acids
hence it helps in controlling cholesterol levels. It is rich in vitamin E. According to medical
experts, it is good source of essential amino acids, which are required for good health. Boon
for cooking medium In chemical terms, it is tasteless but develops taste of the recipes
cooked. not have It adds to the nutritive value of the food cooked making it more tasteful.
Earns admiration of the Housewives and cooks alike. It prepares nutritious, health effective
recipes maintaining wholesome taste. Guests and host will enjoy the dishes in their natural
enhanced flavor cooked in sparkling clear, odourless flavor preserving cooking medium of
Soyumm. Cookshanced flavor cooked in sparkling clear, odourless flavor preserving
cooking medium of Soyumm. Cooks will earn smile and admiration.

Universal Cooking Medium Soya oil is used world wide as a cooking medium. Most of the
hotels, restaurants, eateries use Soya oil as cooking medium. You must have tasted recipes
cooked in Soya oil but find the difference in dishes cooked in Soyumm. It stands unique.

It is economical and you home ministry and finance ministry will love it. Applicable and
availability Ruchi’s Soyumm is available in bulk for industrial use such as in manufacture of
mayonnaise, salad dressing, margarines, vanaspati, shortenings, surface coating and fish
canning industries. For domestic use, it is available in 15 kg tins and branded consumer
packs of ½ lt. and 1 lt. poly packs at all wholesale and retail outlets.

PROJECT
PROFILE
17
RSIL-BOARD OF DIRECTORS
 Chairman Kailash Shahra
 Managing Director Dinesh Shahra
 Director P D Nagar, S P Joshi, A B Rao
 Company Secretary R L Gupta

Refinery Department at RUCHI SOYA INDUSTRY

Various Posts and Employees (Refinery Section):

Production manager : Mr. Sudheer Gupta

Shift Incharge : Mr. Suresh Singh Kushwaha

18
 REFINERY PLANT

SEP DEPT. SOLVENT

EXTRACTION PLANT

TECHNICAL
DEPARTMENTS

BASIC PROCEDURE:
The SEP dept crushes the soya seeds and then using hexane solvent carries out
crude soya oil as the final product. This crude oil is the basic raw material for the
refinery plant. Getting refined soya oil from the crude oil is refining. This
Refined oil is then transferred to the packing Dept. Where according to demands
suitability and needs the refined oil is packed into tins, container, jams, bottles,
pouches etc.

19
EXTRACTION OF CRUDE OIL FROM SOYABEAN

SOYA SEEDS
CRUS
H
Hexene solvent is used

To extract oil From the

Soya seeds

HEXENE

+
VAPORISATION
SOYA OIL (CRUDE)

CRUDE OIL HEXENE IS REMOVED

(FINAL
PRODUCT)

REFINING

REFINED SOYABEAN OIL

20
REFINERY

Refinery is basically getting refined oil from the crude oil. Oil refineries are large scale
plants, processing about a hundred thousand to several hundred thousand barrels of crude oil
a day. Because of the high capacity, many of the units operate continuously, as opposed to
processing in batches, at steady state or nearly steady state for months to years. The high
capacity also makes process optimization and advanced process control very desirable.

REFINERY AT A GLANCE:
CRUDE OIL

DEGUMMING

NEUTRALIZATION
AND WASHING

BLEACHING SECTION

DEDORISATION

REFINED OIL

21
ACTIVITY/OPERATION ENVIR
 DEGUMMING ;REMOVAL OF 
GUMS OIL

 LECITHIN PRODUCTION 

 MAINTENANCE OF PLANT AND 

MACHINERY CO

 REFINING(NEUTRALIZATION) 
OIL


 BLEACHING SPE


 DISPOSAL OF SPENT EARTH


 DEDORISATION AC

 VARIOUS CLEANING 
ACTIVITIES SOA


OF

 FILLING



 DISPOSAL OF GENERATED TAN
WASTE

22
 ACID OIL(STORAGE OF
CHEMICALS)

23
BASIC STRUCTURE OF REFINERY PLANT

24
 Process Description

Neutralizing:
The incoming oil is first heated in the Feed Economizer by outgoing bleached or deodorized
oil or in the Feed Heater during start-up. Next it is intensively mixed with phosphoric acid in
the high shear Acid Mixer (Acid Conditioning) to optimize precipitation of gums and trace
metals. When appropriate the oil temperature is reduced in the Reaction Cooler. Caustic soda
solution (lye) is mixed with the conditioned oil in the Lye Mixer, which neutralizes the acid
as well as the free fatty acids in the oil.The treated oil enters the Degumming/Neutralizing
Reactor where the reaction continues and the soap and precipitated materials agglomerate.

The mixture of oil and soap flocks is gently discharged via the Separation Heater to the
Gum/Soap Separator. There the heavy phase soap with entrained impurities is removed and
sent to intermediate storage.The neutralized oil is sent directly to bleaching if this process
incorporates the use of soap adsorbing adsorbents to supplement regular bleaching earths. If
not, the oil must first be water washed, i.e. heated, mixed with water and centrifuged in a
second separator not shown in this drawing.

DEGUMMING:
When applied as the first step of physical refining, the process depends on the type and
quality of the feed stock. Most oils can be treated in a fashion similar to neutralizing. The
main difference is that the amount of caustic is reduced to the point that the acid added to the
oil is neutralized and only a small amount of soap is created in the oil. This method is
referred to as Special Degumming.

In some cases, such as when processing certain expeller pressed and organic oils, it is not
necessary or acceptable to enhance the removal of gums by adding caustic. This process is
called Acid Degumming and typically uses using citric acid. In other cases, such as when
physically refining oils with low gum contents, the conditioned oil does not need to be
centrifuged and can be sent directly to bleaching from the Conditioning Reactor. This
process is referred to as Acid Conditioning or Dry Degumming.

25
BLEACHING:
Incoming degummed or neutralized oil is heated in the Bleaching Heater before entering the
Adsorbent Mix Tank where it is mixed with a special soap and gum attracting adsorbent
(silica). The oil and adsorbent mixture enters the Pre-filtration Dryer where the moisture in
the oil and adsorbent is evaporated.

The dry oil and adsorbent mixture is filtered in one of the three Adsorbent Filters removing
the spent adsorbent. This filter has previously been used to separate bleaching earth and
already has a layer ("packed bed") of earth on the leaves that is still active. This first
filtration results in a "press effect" that starts the bleaching process (Pre-Bleaching) before
fresh earth has been added. When combined with the silica treatment, this reduces earth
consumption by as much as 50%. In cases when the special adsorbents are not available, the
Mix Tank and Discharge Pump are simply by-passed. Most of the savings from Pre-
Bleaching are still realized.

The filtered oil is further heated in the Bleaching Heater before entering the Bleacher where
it is mixed with bleaching earth.

The earth adsorbs pro-oxidants, color bodies and other residual impurities. The Bleacher has
multiple agitated compartments and also operates under vacuum to ensure complete moisture
and air removal.

The oil and earth mixture is filtered in another one of the three Adsorbent Filters. The
bleached and filtered oil is sent to intermediate storage via one of the alternating Polish
Filters and, typically, an economizer located upstream in degumming or neutralizing.

The system includes three filters of which two are on line (one for adsorbent and pre-
bleaching, the other for bleaching earth) while the third is being cleaned and prepared for the
next cycle. A filter begins its cycle by filtering oil from the Bleacher. When a layer of earth
has been accumulated on the filter leaves, the flow from the Bleacher is switched to a fresh
filter. The partially filled filter, now with a "packed bed" of bleaching earth, is then ready to
be used for removing adsorbent as described above. When the filter that is on line for this
purpose has reached its maximum capacity it is taken off line for cleaning and replaced by
the next partially filled filter.

26
DEDORISATION:
The incoming oil is pre-heated by deodorized oil in the Deaerating Economizer before
entering the packed column type Deaerator. The deaerated oil is further heated by hot
deodorized oil in the Deodorizing Economizer and finally by high-pressure steam under
vacuum and steam agitation in the Vacuum Heater. Some of the free fatty acids are flashed
off in the heater as the oil temperature increases.

The fully heated oil enters the Double Shell Packed Column (DSPC) where it is distributed
into thin film layers as it flows down through the structured packing. The oil is intensively
agitated by steam rising counter currently from the bottom of the column. As a result, free
fatty acids and other volatile impurities in the oil are evaporated and removed with the steam.
The stripped oil drains into the Deodorizer where it flows through a series of vertically
stacked compartments (trays) agitated by steam. The prolonged thermal action (heat
bleaching) breaks down color bodies thereby lightening the oil’s color. Also, the amount of
free fatty acids is reduced to an absolute minimum. The retention time in the Deodorizer is
adjustable.

The heat bleached oil is pre-cooled in the Deodorizing Economizer and then mixed with anti-
oxidant before entering the packed column type Post Deodorizer. Residual flavor altering
compounds and water from the anti-oxidant solution are vaporized and removed. The oil is
cooled to storage temperature in the Deaerating Economizer and Product Cooler and then
sent to storage via one of the alternating Product Filters.

Fatty acids and other materials evaporated from the oil are condensed by contact with
recycled and cooled distillate in the Scrubber and collected in the Distillate Receiver.

27
Quality Check :
 Crude Oil Fatty acid(%) ; Colour ; Moisture content ;
Sediment ; Gums

Gums
 After Degumming

Fatty acid content

 After Neutralization

Colour
 After Bleacher

Fatty acid

 Deo Section
Fatty acid; Colour; Moisture content;
Peroxide value
 Refined oil

Quality is very strictly checked very frequently after every of these processes. The motive
behind doing so is to maintain the prestige in the market by providing the best quality. There
is no compromise with quality. To ensure consistently in the quality of various products
manufactured at Kota and to

Further improve the quality of its various products; company has very good quality control
systems together with the research and development department which is comparable to the
best in the country.

28
FLOW CHART FOR UNLOADING CRUDE OIL:

No

Material Returned

FL
OW CHART FOR “LECITHIN PROCESS”
29
30
PROCESS FLOW CHART OF REFINERY
( CHEMICAL)

WATER DEGUMMING

NEUTRALIZATION

WASHING

NEUTRAL OIL

BLEACHING

FILTERATION

DEDORISATION

POLISH FILTER

STORAGE

31
Process Parameters and Specifications for Refinery

1. Parameter Check of Neutralization and Washing

 Oil flow rate:5000-11000 L/Hr.
 Inlet oil temp. : (60-75) for Degumming;(75-85)for Neutralization
 Phosphoric acid dosing: (08-.15 %) of flow rate
 Washing flow rate:10-15% of flow rate
 Hot water temp. : 80-90 C
 Vaccum in VD: 600-700 mm of Hg
 Pressure of LP stream: 3 Kgf /sq. Cm

2. Parameter check for Bleacher:

 Bleacher temp. : 95-100 C
 Bleaching oil outlet temp. : 90-100 C
 Bleaching earth addition: .5 to 2% of oil quantity
 Oil pressure in PLF : 1-3.5 Kgf/sq.cm
 Vaccum bleacher- 600-700 mm of Hg

3. Parameter Check for Dedorisation:

 Vaccum in Deo:v740-757 mm of Hg
 Thermic Fluid : Forward-280 and Return-265C
 Oil temp. In Deo:230-235 C
 Outlet oil temp. : 50 C (max.)

32
 4. Parameter check for Utility:
 Barometric water pressure: 1-2.5 KgF /sq. Cm
 Barometric water temp. : 32 C
 Stream pressure at header: 8-12 KgF /sq. Cm
 Cooling water pressure:1-3 KgF /Sq. Cm
 Cooling water temp. : 32 C
 Air Pressure : 5-7 KgF /Sq. Cm

Targets for the year (18-19) Refinery:

05-06 06-07 07-08 08-09 18-19

Steam(Kg/ton) 715 678 656 625 330

39.44 38.91 38.26 38 30

Power(u/ton)

Caustic lye(kg/ton)
2.88 2.74 2.54 2.25 1.5

Bleaching
14.22 11.3 10.25 10 2- 2.5
Earth(Kg/ton)

33
Distribution Network
The end-users of our products are: households and institutional buyers [catering / hospitality
/ processed food / snacks] set-ups. RSIL has set up a strong distribution network of Company
Distributors and Super Stockists for its retail operations. This chain helps to tap even the
small retailers/traders and thus increasing our reach. The company has a distribution network
of over three lakh retail stores. Going ahead, the company also plans to set up Rs 100-crore
20 MW wind power plant by March 2008, which would bring down the operational costs.
And Rs 275 crore infusion by promoters and strategic investors through warrants will also
fuel its expansion. However, being in the oil trade, the company is exposed to foreign
exchange risk on account of imports for sale in domestic markets and also its export
business. But with use of hedging options, the company has been ensuring a cushioning
impact on its sales.

FLOW CHART FOR DISTRIBUTION NETWORK

34
New initiatives continued…
 Entry into Rs. 120 bn Mustard Oil market
 Capacity ramp-up to 850 TPD.
 Target 20% Market Share.
 Palm Plantation.
 Contract Farming.
 Emerging Biofuel opportunities
 Scale comparable to any global play
 Integrated operations
 Strong stable of branded portfolio
 Sufficient funds availability
 Professional management
 And aggressive growth plans

… is set to redefine the traction

35
FINDINGS, CONCLUSIONS & SUGGESTIONS

Ruchi Soya Industries Limited (RSIL) has a large team of experts, technicians,
scientists,administrators who are involved from the very beginning of the process of
selection of soyabeans, processing and transporting them to most advanced plants. The
products are produced under the supervision of an expert. The competent quality control
team keeps close watch right from the beginning to dispatch to the dealers.The products are
marketed throughout the country and even in wide range international markets. Strict quality
control has developed enhanced faith, reliability and confidence of customers in the Ruchi
products.

The Refinery Plant at Ruchi Soya Industries Ltd. is well managed, equipped, maintained and
organized. The plant management is totally under production manager, under which comes
the shift incharge according to whose directions and orders the operators works to run the
machinery. The quality is checked very frequently by the incharge and manager after all the
main processes say neutralization, washing, bleacher, deodorization. The bye-products are
also utilized either by reusing them or by selling them to other industries to which it may be
useful of. Hence, everything is well managed here.

The break down of Refinery plant arises mainly due to power failure, mechanical fault and
due to non availability of steam. The machine runs 24*7 and during break down the refinery
procedure is badly affected. In order to give maximum output break downs due to steam
unavailability may be declined and RSIL may have its own power plant of its own so such
kind of break downs may also be overcome. Also, Regarding the introduction of new
products, the company should go for aggressive marketing. There is a lot of potential in Soya
Refined oil segment, but retailers are not even aware of our product

36
 References:

 Today's Refinery, the journal of record of the petroleum industry's refining

sector from Percy Publishing Inc.
 SOYBEANS AND SOYBEAN PRODUCTS-by KLARE
 REFINERY RESEARCH CORPORATION
 BUSINESS TODAY
 GREEN AND TULL,MARKETING RESEARCH
 Guide to Refinery Process Technologies(Second Edition)
-By Hardeep Hundal and Jeroen Buren
o Gary, J.H. and Handwerk, G.E. (1984). Petroleum Refining
Technology and Economics, 2nd Edition, Marcel Dekker,
 Oil refineries in the 21st century -By Ozren Ocic
 http://www.enewsbuilder.net
 www.ruchisoya.com
 http://agresearch.tennessee.edu/Research.asp?t=Refinery- 17.0KB - System
Administration
 http://taes.utk.edu/Research.asp?t=refinery- 17.0KB – Knoxville

37