Analysis Of Mini Dal Mill

Ankur Federation
Gajargota

Prepared by
Hiten Maheta, PS(SWC)
Dinesh Chabhadiya CM(D’pada)
 Objective
• To increase economic opportunities and income of
farmers through setting up financially viable social
enterprise
– Establish market linkages - better prices to farm produces
– Maximize agriculture income - value addition, supply high-
quality products
 Farmer Federation

4 persons* requirement Raw material

Raw material: 1
Production: 2
Market: 1
Processing Unit
* on wages

Market

Net Profit
PROCESS FLOW CHART FOR MILLING OF PIGEON PEA

RAW PULSES INFEED

↓
CLEANING & GRADING
↓
GRADE (WHOLE PULSES)
PITTING-I
↓
OIL TREATMENT
↓
TEMPERING-72 HRS.
↓
SUN DRYING (3-4 dyas)
↓
SPLITTING
↓
DAL GRADING /OIL MIXING
↓
PACKAGING
 Mini Dal Milling Plant
• Features
' Capacity of the mill : 80-120 Kg per hour
' Capital Investment (m/c) : Rs. 1,00,000
' Yield of dhal : 77-80%
' Dehulling : 96-99%
' Breakage : 3-4%

Advantages
• Easy to operate and run on single phase electricity supply
• Suitable for different sized grains
• Simple pre milling treatment
• Low capital investment
• By-products (husk and brokens) use as cattle feed
• Suitable for dal preparation of pigeon pea, green gram, black gram,
horse gram, soybean etc
 Trial
Production Data kg Production
Cleaned raw material 498
Immature & foreign matter
18
3.4%
Total 516
Expenditure Rs. Revenue (Income) Rs
Labour, 5 @ Rs 40/day 200 Dal (recovery), 74% 9716
Transportation and handling 60 Brokens, 8% 714
Electricity, 2 h.p. 72 Husk & powder 18% 315
R. M. cost @ 17.90/kg 9226 Total 10745
Packaging 48 Net profit 969
Oil for treatment, 0.5kg/100kg 110
Marketing and other exp. 60
Total 9776
 Risk Factor
• Established product in market
• Price Fluctuation
• Storage facility
• Quality and dal recovery
• Credit recovery
 Commercial Statement
Mini Dal Mill Gajargota
Stock Total
Production Production Amount Stock
Sr. Sale Kg. Rate Rate Value Value
Type Kg. Rs. Kg.
Rs. Rs.
1 Grade A 3352.5 2927.5 25.5 74651 425 25.5 10838 85489
2 Grade B 397 75 18 1350 322 18 5796 7146
3 Small Broken 253.7 82 12 984 171.7 12 2060 3044
4 Big Broken 356 3 15 45 353 15 5295 5340
5 Powder 84 84 6 504 0 6 0 504
5 Husk 1436 1436 4.5 6462 0 4.5 0 6462
6 Foriegn Material 194.8 0 0 0 0 0 0 0
Total 6074 4607.5 81 83996 1271.7 81 23988.9 107985.2
 Financial Support from AKRSP

1. Total capital cost: Rs. 84,000 ( 7000 is people

contribution,Rs.42000 is grant and Rs. 35000 is loan)
• Dal milling unit; Rs 70,000
• Weighing machine (120kg capacity): Rs 9,000
• Bag closing machine: Rs. 5.000

2. Minimum Working capital requirement: Rs 1,25,000 ( One

lakh twenty five thousand only)
• i.e Loan from EC
 Production Statement
Mini Dal Mill Gajargota
Total Purchase 6074 Kg.
Foreign Materials 194.8 Kg.

75 74 Production Test report

Sr. Particulars % Variation
in (Kg.) Poduction
64
1 65
Grade A 3352.5 #VALUE! 63 #VALUE!
2 Grade B 397 #VALUE! 11 #VALUE!
55
3 Small Broken 253.7 #VALUE!
4 45
Big Broken 356 #VALUE!
Sub Total 609.7 #VALUE! 8 #VALUE!
5 35
Powder 84 #VALUE! As per test report (%)
6 Husk 26
1436 #VALUE! Actual (%)
25
Sub Total 1520 18
#VALUE! 18 #VALUE!
7 15
Foriegn Material 194.8 0
Total 8 10 6074 #VALUE! 100
5
As per test report
Actual
(%)
(%)
-5
Dal (recovery)
Dal Brok e ns
74Hus k &
64
Brokens
(re cove ry) 8 de r
pow 10
Husk & powder 18 26
 Comperative Statmenet
Mini Dal Mill Gajargota
Proposed Expenditure Actual Expenditure Profit
Sr. Particulars
% Produ. Rate Amount % Produ. Rate Amount Loss
1 Dal (recovery) 74 4350.60 26.36 114681.8
Grade A 0 57 3352.5 25.5 85488.75
Grade B 0 7 397 18 7146
Sub Total 74 4350.60 114681.8 64 3749.5 92634.75 -22047.07
2 Brokens 8 470.34 17.92 8428.421
a. Small Broken 4 253.7 12 3044.4
b. Big Broken 6 356 15 5340
Sub Total 8 470.34 8428.42 10 609.7 8384.4 -44.02112
3 Husk & powder 18 1058.26 3.51 3714.479
a. Powder 1.5 84 6 504
b. Husk 24.5 1436 4.5 6462
Sub Total 18 1058.26 3714.48 26 1520 6966 3251.5214

Grand Total 100 5879.2 126825 100 5879.2 107985 -18840

 Expenditure Statement
Mini Dal Mill Gajargota
Proposed Actual
Sr. Particulars Kg Rate Kg Rate Variation %
Expenditure Expenditure
1 Raw Materials 6074 17.9 108725 6074 16.41 99662 -9062 -8.34
2 Packaging 6074 0.09 565 6074 0.56 3373 2809 497.2
3 Oil Treatment 6074 0.21 1294 6074 0.66 3985 2691 208
4 Transportation & Handling 6074 0.12 729 6074 0.64 3894.65 3166 434.3
5 Marketing 6074 0.12 705 6074 1.00 6074 5369 762.1
6 Labour 6074 0.39 2369 6074 1.77 10763.13 8394 354.4
7 Electricity 6074 0.14 850 6074 0.26 1579.24 729 85.71
8 Other Expenses 0 0 0 0 3719 3719
115236 133050 17814 15
 100.00

80.00

60.00

40.00

20.00

0.00
Raw Oil Transp Ot her
Packag Market Elect ri
Mat eri Treat m ort at io Labour Expens
ing ing cit y
als ent n& es

As per t est report (%) 94.35 0.49 1.12 0.63 0.61 2.06 0.74 0.00

Act ual Expendit ure (%) 74.91 2.54 2.99 2.93 4.57 8.09 1.19 2.80
 Profit Loss Statement
Mini Dal Mill Gajargota

150000 Trail Amount

Sr. Particulars
130000 Production (Rs.)
1 Net 110000
Expenditure 115236 133050
2 Net Income
90000 126825 107985
3 Net Loss/Profit
70000 11589 -25065
50000
30000

10000
-10000

-30000
Net Expenditure Net Income Net Loss/Profit

Actual Amount 115236 126825 11589

Trail Production 133050 107985 -25065

Note:
a. EV Incentive for selling rem aining stock is not included
b. Interest on w orking capital is not covered
c. Depriciation cost of Dal Mill Machinery is not included
d. Rent for Godaw n is not claim ed
 Learning
1. Late Procurement because of delay funding

Factors: -
• Compromise in Quality
• Purchase of Pigeon pea from open Market with high price

Learning: -
• Purchasing of Pigeon Pea should be started from October
• Price allocation according to quality/grade
• Should be sold as per the market rate and market system
• Criteria should be fixed for purchasing of pigeon pea
• Every farmer should aware about the criteria for selling of
pigeon pea
 2. Less production high expenditure
Factors: -
• Handling charges are more
• Lacking of drying and storage place
• Problem in oil mixing – proportion is not maintained
• Stock is not maintained properly
• Over expense in cleaning and grading
• Over expense in Packaging
• Irregularity in Electric Supply
• Irregular Monitoring of project – Unit located at village
level
Learning
• Required more space for drying
• Required cleaning machine
• Need to groom the Federation leader and employers
• Production unit should be shifted to Taluka or town place
 3. Marketing
Factors: -
• To enter in market with new brand
• Compete the open market – Broken and Uniformity is not
maintained
• More transportation cost –
• Retailers demanding on credit base purchasing
• Incompetence of staff for marketing
• Problem in communication

Learning: -
• Need to groom the Marketing Staff
• Require Professional support for market linkage
4. Is Unit viable for Small-scale
production??????????????????
??