Detailed Project Report (DPR) on Banana Powder (Capacity: 240 Kg/Day)

BANANA POWDER

[EIRI/EDPR/4433] J.C.: 2637XL

INTRODUCTION

India is the largest producer of banana in the world and about 90% of banana produced is consumed domestically as fresh fruit. Merely 5% is consumed in processed form providing a good potential for future processing. About 2.5% is only processed purely as banana products and the rest as an ingredient in other foods. 

About 17 varieties of products could be made from banana. The primary product of banana in market is “fried chips and candy” which constitute around 31%, rest as banana puree 9%, banana pulp 3%, banana beer 3%, banana wafers 3%, banana powder 6% and others.

Being a highly perishable in nature, value addition of banana into figs, flour, powder, banana chips, synthetic and natural flavouring to energy drinks could help cater the changing tastes and rising demand for value added ready-to-eat products. With different levels of processing (viz. primary, secondary, tertiary levels) including drying procedure or frying procedure, the nutritional value of banana can help serve multiple nutritional needs.

India is the largest producer of banana in the world accounting for 37.2 per cent of world’s banana production with an annual production of about 248.69 lacs MT/ year and the crop occupying about 7.21 lacs hectares of agricultural area. It accounts for 32 per cent of the total fruit production.

Banana is considered to be one of the most popular and widely consumed fruits in India due to the nutritional value it offers at a relatively lower price. 

The fruit is a rich source of carbohydrates and vitamin B; it is also easy to digest containing no fat or cholesterol. However, under normal conditions, banana has a shelf life of 6-7 days which makes it a highly perishable fruit crop. 

Moreover, the losses are estimated to be almost one-fourth of the total production and the key reasons for these losses have been cited as faulty handling procedures like improper transportation, lack of packaging, cold chain and post-harvest storage infrastructural facilities.

Important banana varieties cultivated in different states of India are given below:

State Varieties grown

Andhra Pradesh Dwarf Cavendish, Robusta, Rasthali, Amritpant, Thellachakrakeli, Karpoora Poovan, Chakrakeli, Monthan and Yenagu Bontha

Assam Jahaji (Dwarf Cavendish), Chini Champa, Malbhog, Borjahaji (Robusta), Honda, Manjahaji, Chinia (Manohar), Kanchkol, Bhimkol, Jatikol, Digjowa, Kulpait, Bharat Moni

Bihar Dwarf Cavendish, Alpon, Chinia, Chini Champa, Malbhig, Muthia, Kothia , Gauria

Gujarat Dwarf Cavendish, Lacatan, Harichal (Lokhandi), Gandevi Selection, Basrai, Robusta, G-9, Harichal, Shrimati

Jharkhand Basrai, Singapuri

Karnataka Dwarf Cavendish, Robusta, Rasthali, Poovan, Monthan, Elakkibale

Kerala Nendran (Plantain), Palayankodan (Poovan), Rasthali, Monthan, Red Banana, Robusta

Madhya Pradesh Basrai

Maharashtra Dwarf Cavendish, Basrai, Robusta, Lal Velchi, Safed Velchi, Rajeli Nendran, Grand Naine, Shreemanti, Red Banana

Orissa Dwarf Cavendish, Robusta, Champa, Patkapura (Rasthali)

Tamil Nadu Virupakshi, Robusta, Rad Banana, Poovan, Rasthali, Nendran, Monthan, Karpuravalli, Sakkai, Peyan, Matti

West Bengal Champa, Mortman, Dwarf Cavendish, Giant Governor, Kanthali, Singapuri

Value Addition in Banana

Presently, India is witnessing a transition in food consumption habits as the per capita income rises. Consumers are becoming increasingly aware of the nutritional benefits being offered by the food products they purchase and the demand for non- grain food crops, fruits and animal products (dairy and poultry) is expanding12. Value added products like puree, jams, health drinks, milk shakes and juices all of which use fruits as a base can satisfy this change in the consumption preference

Banana is a readily available fruit and comes at a price sensitive to the lower income consumer’s daily energy needs. Processing the banana fruit to harness it nutritive value, needs to remain keenly sensitive to the price concerns it will place domestically on this energy source. Banana has a shelf life of 6-7 days which makes it a highly perishable fruit crop. NRCB through a recent research estimated the losses at around 20-24% which amounts to 3 to 4 million tonnes (valued at Rs. 3000 crores per annum).

Being rich in iron, with required dietary fiber, potassium, vitamin’s B6 and C, banana processed outputs will be in demand by urban consumers needing high sources of energy in ready to eat foods. Of the different levels of processing, the ones for powder and chips (identified in the report below) seek to conserve the nutritional value of banana and serve multiple consumer’s nutritional needs (for bakery, energy, nutrition, confectionary items) and keep a look out for related income / spending sensitivities.

In terms of nutrition, Banana as fresh fruit comes at a relatively lower price, and often serves as the poor man’s ready energy source. This fruit is rich in iron, with low saturated fat levels, low sodium content and it provides much needed dietary fiber, potassium, including vitamin B6, and vitamin C.

It is intended to prepare a Feasibility Report to install a Banana Powder production capacity of 72000 Kg/Year as a Green Field Project.

COST ESTIMATION

Plant Capacity                                    240 Kg./Day  

Land & Building (2403 sq.mt.)    Rs. 19.22 Lac    

Plant & Machinery                            Rs. 22.90 Lac 

Working Capital for 0.1 Month    Rs. 1.19  Lac 

Total Capital Investment             Rs. 51.09 Lac 

Rate of Return                                  64%

Break Even Point                              58%

CONTENTS

INTRODUCTION

IMPORTANT BANANA VARIETIES CULTIVATED IN DIFFERENT STATES OF INDIA ARE GIVEN BELOW:

VALUE ADDITION IN BANANA

MARKETING STRATEGY

RAW MATERIAL AVAILABILITY

USES/APPLICATIONS

MARKET OVERVIEW

BANANA POWDER MARKET SEGMENT ANALYSIS-BY NATURE

BANANA POWDER MARKET SEGMENT ANALYSIS-BY DISTRIBUTION CHANNEL

BANANA POWDER MARKET SEGMENT ANALYSIS-BY GEOGRAPHY

BANANA POWDER MARKET DRIVERS

BANANA POWDER INDUSTRY OUTLOOK:

SWOT ANALYSIS

STRENGTH

WEAKNESS

OPPORTUNITIES

THREATS

COMPOSITION

SPECIFICATIONS

FORMULATION

MANUFACTURING PROCESS

SPRAY DRYER

SPRAY DRYER WORKING PRINCIPLE

PROCESS FLOW

PLANT & MACHINERY (BROADLY)

UTILITIES REQUIREMENT (ESTIMATED - MONTH)

WASTE EFFLUENT/FLUE GAS EMISSION (ESTIMATED)

GREEN BELT

WATER

SEWAGE AND WASTE WATER EFFLUENT

STP FLOW DIAGRAM (TYPICAL)

WASTE MANAGEMENT (ESTIMATED)

LICENSES, CERTIFICATE AND QUALITY CONTROL

FSSAI

AYUSH LICENSE (FOR MULTI PURPOSE EXTRACTION)

NOC

RAW MATERIAL SUPPLIERS

LABORATORY CHEMICALS

PLANT & MACHINERY SUPPLIERS/CONSULTANT/TURNKEY SUPPLIER

TURNKEY

CONSULTANT

BOILERS

LAB TESTING EQUIPMENT

STORAGE TANK

DIGITAL WEIGHING SCALE

POWER TRANSFORMERS

ETP PLANTS

PLATEFORM WEIGHING MACHINE

ELECTRICAL MEASURING INSTRUMENTS

SUBMERSIBLE WATER PUMP

PRINCIPLES OF PLANT LAYOUT

MAJOR PROVISIONS IN ROAD PLANNING FOR MULTIPURPOSE SERVICE ARE:

PLANT LOCATION FACTORS

PRIMARY FACTORS

RAW-MATERIAL SUPPLY:

MARKETS:

POWER AND FUEL SUPPLY:

WATER SUPPLY:

CLIMATE:

TRANSPORTATION:

WASTE DISPOSAL:

LABOR:

REGULATORY LAWS:

TAXES:

SITE CHARACTERISTICS:

COMMUNITY FACTORS:

FLOOD AND FIRE CONTROL:

PROJECT MANAGEMENT

PROJECT HANDLING

PROJECT SCHEDULING

PROJECT CONSTRUCTION SCHEDULE

ANTICIPATED ENVIRONMENTAL IMPACTS

CONSTRUCTION PHASE

OPERATION PHASE

HEALTH SAFETY & ENVIRONMENT

PROPOSED IMPLEMENTATION SCHEDULE

PROJECT FINANCIALS

BASIS & PRESUMPTIONS (FOR PROFITABILITY WORKINGS)

PRELIMINARY PLANT LAYOUT

CONCLUSIONS

APPENDIX – A:

01. PLANT ECONOMICS

02. LAND & BUILDING

03. PLANT AND MACHINERY

04. OTHER FIXED ASSESTS

05. FIXED CAPITAL

06. RAW MATERIAL

07. SALARY AND WAGES

08. UTILITIES AND OVERHEADS

09. TOTAL WORKING CAPITAL

10. TOTAL CAPITAL INVESTMENT

11. COST OF PRODUCTION

12. TURN OVER/ANNUM

13. BREAK EVEN POINT

14. RESOURCES FOR FINANCE

15. INSTALMENT PAYABLE IN 5 YEARS

16. DEPRECIATION CHART FOR 5 YEARS

17. PROFIT ANALYSIS FOR 5 YEARS

18. PROJECTED BALANCE SHEET FOR (5 YEARS)