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Emerging Investment Opportunity in Edible Oil Industry in India- Why to invest, Project Potential, Core Financials (Refined Rice Bran Oil), Business Prospects, Potential Buyers & Analysis ( ) ( )

Author NPCS Team ISBN 9789381039533
Code ENI280 Format Paperback
Price: Rs 25000   25000 + Tax @ 18.00 % US$ 500   500
Published 2014
Publisher NIIR PROJECT CONSULTANCY SERVICES  
Usually Ships within 4 days

Indian edible oil sector has its feet firm in the ground as demand gets skewed towards the premium and healthy segment. The industry has seen a surge in demand for variants like olive oil and rice bran oil which are earmarked as ‘healthy edible oils’. Indian population is getting more and more health conscious and has been non hesitant in paying a price for their health. NPCS recognizes the veiled business opportunity in this segment and has identified Rice Bran Oil Refining project as a promising investment option.
While expanding a current business or while venturing into new business, entrepreneurs are often faced with the dilemma of zeroing in on a suitable product/line. And before diversifying/venturing into any product, they wish to study the following aspects of the identified product:
• Good Present/Future Demand
• Export-Import Market Potential
• Raw Material & Manpower Availability
• Project Costs and Payback Period
We at NPCS, through our reliable expertise in the project consultancy and market research field, have demystified the situation by putting forward business prospects of Rice Bran Oil Refining project through our report ‘Emerging Investment Opportunity in Edible Oil Industry in India- Why to invest, Project Potential, Core Financials (Refined Rice Bran Oil), Business Prospects, Potential Buyers & Analysis’. Rice bran oil refining project satisfies all the above mentioned conditions and presents a valuable business opportunity. 
Through our report, we analyze the sector in various lights by covering aspects like product details, reasons for investing in the sector, potential buyers and cost and profitability of rice bran oil refining project. The report begins by discussing the overview of the Indian edible oil sector with its structure & classification and later identifies potential consumer group for the product. The factors that make a case for investing in the sector are profoundly elaborated in the report supported by graphical representation and forecasts of key data indicators. The report identifies growing population, urbanization, rising incomes, modern trade and health consciousness as key value drivers that will benefit the industry in the near future.The other sub sections talks about excise and customs duty on edible oils, contact details of the players operating in the segment and a forward looking statement for the sector. 
Moving to the very core of the report, project details segment includes vital information that is required while setting up a rice bran oil refining project. It provides product details like definition, characteristics and application, manufacturing process, raw materials required, list of machinery and key project financials. The project financial sub section provides details like plant capacity, costs involved in setting up of project, working capital requirements, payback period, projected revenue and profit. 
The industry has all the triggers in place to ensure a smooth ride in future. The favorable consumer dynamics of Indian market like rising disposable incomes, escalating population, urbanization and fast growing health consciousness among Indian population has kept the industry at high pedestrian.
Reasons for buying the report:
• This report helps you to identify a profitable project for investing or diversifying into by throwing light to crucial areas like industry size, market potential of the product and reasons for investing in the product
• This report provides vital information on the product like its definition, characteristics and segmentation
• This report helps you market and place the product correctly by identifying the target customer group of the product 
• This report helps you understand the viability of the project by disclosing details like machinery required, project costs and snapshot of other project financials
• The report provides a glimpse of important taxes applicable on the industry
• The report provides forecasts of key parameters which helps to anticipate the industry performance and make sound business decisions

Our Approach:
• Our research reports broadly cover Indian markets, present analysis, outlook and forecast for a period of five years.
• The market forecasts are developed on the basis of secondary research and are cross-validated through interactions with the industry players 
• We use reliable sources of information and databases.   And information from such sources is processed by us and included in the report

Table of Contents
1 OVERVIEW
1.1 Structure
1.2 Classification
2 POTENTIAL BUYERS
3 REASONS FOR INVESTING
3.1 Urbanization & Evolving Eating Routines
3.2 Growing Health Consciousness
3.3 Rising Share of Branded Oils
3.4 Surging Modern Trade
3.5 Escalating Incomes
3.6 Low Per Capita Consumption
4 EXCISE & CUSTOMS DUTY
5 DEVELOPMENTS & ANNOUNCEMENTS
6 PRESENT PLAYERS
7 OUTLOOK
8 PROJECT DETAILS
8.1 Product Details
8.1.1 Definition
8.1.2 Characteristics
8.1.3 Uses & Applications
8.2 Raw Materials Required
8.3 Manufacturing Process
8.4 List of Machinery
8.5 Project Financials
9 ABOUT NPCS
10 DISCLAIMER


List of Figures & Tables
Figure 1 Edible Oils Industry in India- Structure
Figure 2 Types of Oilseeds & Edible Oils in India
Figure 3 Population of India (2008-17, In Millions)
Figure 4 Indian Population- Rural & Urban (In Crores)
Figure 5 QSR Industry in India- Market Size (2011-17, In USD Billions)
Figure 6 Growing Share of Branded Oils in Indian Edible Oil Industry
Figure 7 Indian Retail Industry- Structure
Figure 8 India's Annual Per Capita Income (2008-14, In INR)
Figure 9 Per Capita Consumption of Edible Oils in India and the World (In Kgs)
Figure 10 Structure of Rice

Table 1 Presence of Key Food Retailers in India- Total Stores
Table 2 Excise & Customs Duty on Edible Oils in India (2013-14)
Table 3 Rice Bran Oil Manufacturing Companies- Contact Details
Table 4 Edible Oil Manufacturing Companies- Contact Details
Table 5 Characteristics of Crude Rice Bran Oil
Table 6 List of Machinery- Pretreatment Machinery
Table 7 List of Machinery- Raw Material Handling
Table 8 List of Machinery- Dewaxing Machinery
Table 9 List of Machinery- Decolorizing Machinery
Table 10 List of Machinery- Deodorizing Machinery
Table 11 Rice Bran Oil Plant- Plant Capacity
Table 12 Rice Bran Oil Plant- Production Schedule
Table 13 Rice Bran Oil Plant- Fixed Capital Investment
Table 14 Rice Bran Oil Plant- Monthly Working Capital Requirements
Table 15 Rice Bran Oil Plant- Total Cost of the Project
Table 16 Rice Bran Oil Plant- 5 Year Production & Sales Realization Schedule
Table 17 Rice Bran Oil Plant- 5 Year Profit Analysis
Table 18 Rice Bran Oil Project- Projected Pay Back period

1              OVERVIEW

 

Indian edible oil industry holds an important place in Indian economy. India is the largest producer of oil seeds in the world and oil consumption forms an integral part of the household food expenditure. Even after being the top producer of oilseeds, we have to import a substantial chunk of edible oil to meet our edible oil demand. The growth in the domestic production of oilseeds has not been able to keep pace with the growth in the demand in the country and has led to high imports of edible oil in the nation. Thus the industry has gained much importance in the country and holds immense growth potential in the near future.

 

1.1          Structure

Indian edible oil industry is touted as highly fragmented with unbranded oils capturing a large part of the industry. The industry is characterized by presence of a large number of small players who operate through bulk sales in their own specific regions. The share of branded oil has slowly risen to ~25% of the market from 15% levels of some 4-5 years ago.

The chart below demonstrates the structure of Indian edible oil industry.

Figure 1 Edible Oils Industry in India- Structure

 

1.2          Classification

India produces 9 types of oilseeds from which various edible oils are manufactured. The charts below will illustrate various types of oil seeds produced in the nation and edible oils produced.

Figure 2 Types of Oilseeds & Edible Oils Produced in India

 

 

 

ABOUT NPCS

 

NIIR PROJECT CONSULTANCY SERVICES (NPCS) is a reliable name in the industrial world for offering integrated technical consultancy services. NPCS is manned by engineers, planners, specialists, financial experts, economic analysts and design specialists with extensive experience in the related industries.

Our various services are: Detailed Project Report,  Business Plan for Manufacturing Plant, Start-up Ideas, Business Ideas for Entrepreneurs, Start up Business Opportunities, entrepreneurship projects, Successful Business Plan, Industry Trends, Market Research, Manufacturing Process, Machinery, Raw Materials, project report, Cost and Revenue, Pre-feasibility study for Profitable Manufacturing Business, Project Identification, Project Feasibility and Market Study, Identification of Profitable Industrial Project Opportunities, Business Opportunities, Investment Opportunities for Most Profitable Business in India, Manufacturing Business Ideas, Preparation of Project Profile, Pre-Investment and Pre-Feasibility Study, Market Research Study, Preparation of Techno-Economic Feasibility Report, Identification and Section of Plant, Process, Equipment, General Guidance, Startup Help, Technical and Commercial Counseling for setting up new industrial project and Most Profitable Small Scale Business.

NPCS also publishes varies process technology, technical, reference, self employment and startup books, directory, business and industry database, bankable detailed project report, market research report on various industries, small scale industry and profit making business. Besides being used by manufacturers, industrialists and entrepreneurs, our publications are also used by professionals including project engineers, information services bureau, consultants and project consultancy firms as one of the input in their research.

Our Detailed Project report aims at providing all the critical data required by any entrepreneur vying to venture into Project. While expanding a current business or while venturing into new business, entrepreneurs are often faced with the dilemma of zeroing in on a suitable product/line.

 


And before diversifying/venturing into any product, wish to study the following aspects of the identified product:


• Good Present/Future Demand
• Export-Import Market Potential
• Raw Material & Manpower Availability
• Project Costs and Payback Period


We at NPCS, through our reliable expertise in the project consultancy and market research field, Provides exhaustive information about the project, which satisfies all the above mentioned requirements and has high growth potential in the markets. And through our report we aim to help you make sound and informed business decision.

 

The report contains all the data which will help an entrepreneur find answers to questions like:

• Why I should invest in this project?
• What will drive the growth of the product?
• What are the costs involved?
• What will be the market potential?


The report first focuses on enhancing the basic knowledge of the entrepreneur about the main product, by elucidating details like product definition, its uses and applications, industry segmentation as well as an overall overview of the industry sector in India. The report then helps an entrepreneur identify the target customer group of its product. It further helps in making sound investment decision by listing and then elaborating on factors that will contribute to the growth of product consumption in India and also talks about the foreign trade of the product along with the list of top importing and top exporting countries. Report includes graphical representation and forecasts of key data discussed in the above mentioned segment. It further explicates the growth potential of the product.

The report includes other market data like key players in the Industry segment along with their contact information and recent developments. It includes crucial information like raw material requirements, list of machinery and manufacturing process for the plant. Core project financials like plant capacity, costs involved in setting up of project, working capital requirements, projected revenue and profit are further listed in the report.


Reasons for buying the report:

• This report helps you to identify a profitable project for investing or diversifying into by throwing light to crucial areas like industry size, demand of the product and reasons for investing in the product.

• This report provides vital information on the product like its definition, characteristics and segmentation.

• This report helps you market and place the product correctly by identifying the target customer group of the product.

• This report helps you understand the viability of the project by disclosing details like raw materials required, manufacturing process, project costs and snapshot of other project financials.

• The report provides forecasts of key parameters which helps to anticipate the industry performance and make sound business decision.

 

Our Approach:


• Our research reports broadly cover Indian markets, present analysis, outlook and forecast.

• The market forecasts are developed on the basis of secondary research and are cross-validated through interactions with the industry players. 

• We use reliable sources of information and databases.  And information from such sources is processed by us and included in the report.

 

Our Market Survey cum Detailed Techno Economic Feasibility Report Contains following information:

 

 

Ø  Introduction

·         Project Introduction

·         Project Objective and Strategy

·         Concise History of the Product

·         Properties

·         BIS (Bureau of Indian Standards) Provision & Specification

·         Uses & Applications

 

Ø  Market Study and Assessment

·         Current Indian Market Scenario

·         Present Market Demand and Supply

·         Estimated Future Market Demand and Forecast

·         Statistics of Import & Export

·         Names & Addresses of Existing Units (Present Players)

·         Market Opportunity

 

Ø  Raw Material

·         List of Raw Materials

·         Properties of Raw Materials

·         Prescribed Quality of Raw Materials

·         List of Suppliers and Manufacturers

 

Ø  Personnel (Manpower) Requirements

·         Requirement of Staff & Labor (Skilled and Unskilled) Managerial, Technical, Office Staff and Marketing Personnel

 

Ø  Plant and Machinery

·         List of Plant & Machinery

·         Miscellaneous Items

·         Appliances & Equipments

·         Laboratory Equipments & Accessories

·         Electrification

·         Electric Load & Water

·         Maintenance Cost

·         Sources of Plant & Machinery (Suppliers and Manufacturers)

 

Ø  Manufacturing Process and Formulations

·         Detailed Process of Manufacture with Formulation

·         Packaging Required

·         Process Flow Sheet Diagram

 

Ø  Infrastructure and Utilities

·         Project Location

·         Requirement of Land Area

·         Rates of the Land

·         Built Up Area

·         Construction Schedule

·         Plant Layout and Requirement of Utilities

 

Project at a Glance

Along with financial details as under:

 

  •     Assumptions for Profitability workings

  •    Plant Economics

  •    Production Schedule

  •    Land & Building

            Factory Land & Building

            Site Development Expenses

  •    Plant & Machinery

             Indigenous Machineries

            Other Machineries (Miscellaneous, Laboratory etc.)

  •    Other Fixed Assets

            Furniture & Fixtures

            Pre-operative and Preliminary Expenses

            Technical Knowhow

            Provision of Contingencies

  •   Working Capital Requirement Per Month

             Raw Material

            Packing Material

            Lab & ETP Chemical Cost

           Consumable Store

  •   Overheads Required Per Month And Per Annum

         Utilities & Overheads (Power, Water and Fuel Expenses etc.)

             Royalty and Other Charges

            Selling and Distribution Expenses

  •    Salary and Wages

  •    Turnover Per Annum

  •   Share Capital

            Equity Capital

            Preference Share Capital

 

  •    Annexure 1:: Cost of Project and Means of Finance

  •    Annexure 2::  Profitability and Net Cash Accruals

                Revenue/Income/Realisation

                Expenses/Cost of Products/Services/Items

                Gross Profit

                Financial Charges     

                Total Cost of Sales

                Net Profit After Taxes

                Net Cash Accruals

  •   Annexure 3 :: Assessment of Working Capital requirements

                Current Assets

                Gross Working. Capital

                Current Liabilities

                Net Working Capital

                Working Note for Calculation of Work-in-process

  •    Annexure 4 :: Sources and Disposition of Funds

  •    Annexure 5 :: Projected Balance Sheets

                ROI (Average of Fixed Assets)

                RONW (Average of Share Capital)

                ROI (Average of Total Assets)

  •    Annexure 6 :: Profitability ratios

                D.S.C.R

                Earnings Per Share (EPS)

               

             Debt Equity Ratio

        Annexure 7   :: Break-Even Analysis

                Variable Cost & Expenses

                Semi-Var./Semi-Fixed Exp.

                Profit Volume Ratio (PVR)

                Fixed Expenses / Cost 

                B.E.P

  •   Annexure 8 to 11:: Sensitivity Analysis-Price/Volume

            Resultant N.P.B.T

            Resultant D.S.C.R

   Resultant PV Ratio

   Resultant DER

  Resultant ROI

          Resultant BEP

  •    Annexure 12 :: Shareholding Pattern and Stake Status

        Equity Capital

        Preference Share Capital

  •   Annexure 13 :: Quantitative Details-Output/Sales/Stocks

        Determined Capacity P.A of Products/Services

        Achievable Efficiency/Yield % of Products/Services/Items 

        Net Usable Load/Capacity of Products/Services/Items   

       Expected Sales/ Revenue/ Income of Products/ Services/ Items   

  •    Annexure 14 :: Product wise domestic Sales Realisation

  •    Annexure 15 :: Total Raw Material Cost

  •    Annexure 16 :: Raw Material Cost per unit

  •    Annexure 17 :: Total Lab & ETP Chemical Cost

  •    Annexure 18  :: Consumables, Store etc.,

  •    Annexure 19  :: Packing Material Cost

  •    Annexure 20  :: Packing Material Cost Per Unit

  •    Annexure 21 :: Employees Expenses

  •    Annexure 22 :: Fuel Expenses

  •    Annexure 23 :: Power/Electricity Expenses

  •    Annexure 24 :: Royalty & Other Charges

  •    Annexure 25 :: Repairs & Maintenance Exp.

  •    Annexure 26 :: Other Mfg. Expenses

  •    Annexure 27 :: Administration Expenses

  •    Annexure 28 :: Selling Expenses

  •    Annexure 29 :: Depreciation Charges – as per Books (Total)

  •   Annexure 30   :: Depreciation Charges – as per Books (P & M)

  •   Annexure 31   :: Depreciation Charges - As per IT Act WDV (Total)

  •   Annexure 32   :: Depreciation Charges - As per IT Act WDV (P & M)

  •   Annexure 33   :: Interest and Repayment - Term Loans

  •   Annexure 34   :: Tax on Profits

  •   Annexure 35   ::Projected Pay-Back Period And IRR