Business Opportunities in Agriculture: 150 Field Interviews (Book)

Automatic Rice Milling Plant

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goushalabiz

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We have set up few Automatic Rice Milling units on turnkey basis. We suggest following relevant points to the readers:

Rice Milling unit could be of two types: Parboiled and Raw. Raw Rice is derived from paddy by de-husking (removing husk) and polishing (removing bran). Parboiled Rice also involves de-husking and polishing however before this paddy is boiled and dried. Parboiling makes rice easier to process, improves its nutritional profile, and changes its texture. Parboiling rice drives nutrients, especially thiamine, from the bran into the grain, so that parboiled white rice is 80% nutritionally similar to brown rice.

Capital investment is higher for manufacturing Parboiled Rice than to manufacture Raw Rice. Adequate working capital in hand is also the key to success of this venture. Paddy is available for few months in a year and you have to store adequate quantity of paddy for round the year milling.

Variety of Paddy to be milled is also the issue. Milling Basmati Rice is more profitable venture than milling Non-Basmati Rice.

Below I am informing capital investment needed. Land and Building requirement is more for parboiled rice. Space requirement is dependent upon capacity of rice mill too.

Machinery for Parboiled Rice: Parboiling & Drying Unit, Paddy Cleaner, De-husker, Separator, Polisher or Whitener, Grader and Packing Machine. Production line includes elevators, conveying pipes, electric motors and control panel. Civil construction involves pit at paddy input, partitions for waste, husk, bran and rice. Also include steam generation & utilization unit and power generation unit.

Machinery for Raw Rice: It is same as above excluding Parboiling & Drying Unit and Steam Generation & Utilization Unit.

Capacity of Rice Mill could range from 1 ton paddy per hour to 30 ton paddy per hour.

Working Capital: Adequate storage of paddy is the key to success of this venture.

Our working methodology: We will have first round of discussion with entrepreneur and will understand his present status and expectation. We will prepare Detailed Project Report. It will serve as operational guideline to the entrepreneur. Further DPR will be submitted to subsidy and loan sanction authority. We take liaison work with concerned authorities and try our level best that desired Term Loan and Cash Credit facility is sanctioned as early as possible. We will be there while commissioning of plant and machineries. We can help entrepreneur for procurement of paddy. We have reliable source that can provide paddy throughout the year.

Power Generation: I hope readers are aware of power generation potential with rice husk. State Electricity Board has attractive scheme of purchase for electricity generated through renewable means i.e. attractive rate per unit and long-term power purchase agreement. In fact SEB will issue one month revolving L/C in favor of entrepreneur. Hence no risk of delayed payment. Total capital investment required to generate 1 MW electricity could be in range Rs. 4 crore to Rs. 5 crore. To generate 1 MW electricity you need around 1.5 ton husk per hour. SEB will have agreement first then will give you sufficient time (18 months) to erect necessary equipments and transmission line to nearest grid station. Apart from assured monthly payment you can avail CDM benefit also.

Last, but not the least, we can establish necessary tie up with malls and institutional buyers for your finished rice and bran selling.

With regards
Sameer Narayan
 

Business Opportunities in Agriculture: 150 Field Interviews (Book)


Business Opportunities in Agriculture: 150 Field Interviews (Book)

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