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The Organization Study: Chapter 1-Industry Profile History of Sugar Industry
The Organization Study: Chapter 1-Industry Profile History of Sugar Industry
Sugar is a common part of human life from the time of invention refined sugar has been a
part of our day to day life. Sugar was first produced from sugarcane plants in northern India
sometime after the first century. There are records of knowledge of sugar among the ancient
Greeks and Romans, but only as an imported medicine, and not as a food. The history of
0sugar has five main phases:
The extraction of sugar cane juice from the sugarcane plant and the subsequent
domestication of the plant in tropical Southeast Asia Sometime around 8000
The invention of manufacture of cane sugar granules from the sugarcane juice in India a
little over two thousand years ago, followed by improvement in refining the crystal
granules in India the early centuries.
The spread of cultivation and manufacture of cane sugar to the medieval Islamic world
together with some improvement of production method.
The spread of cultivation and manufacture of cane sugar to the west India and tropical part
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of the Americas beginning in the 16 century followed more intensive improvement
th th
In production in the 17 through 19 centuries in the part of world.
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th
The development of beet sugar, high fructose corn syrup and other sweeteners in the 19
th
and 20 century.
The very first refined was built in New York City around 1690; the industry was established
by the 1830s. Earlier attempts create a successful industry in U.S.A The advent of modern
sugar processing industry India begins in 1930 with great of tariff protection to the Indian
sugar industry. The number of mill increased from 30 years.
Historically sugar was only producer from sugarcane and only in relatively small quantities
this result in it being considered a great luxury particularly in Europe.
It is through that cane sugar was by man Polynesia from where it spread to India when
Columbus sailed to the American the “New world”. It is recorded that in 1493 he took sugar
cane plants to grow in the Caribbean at the time sugar was a luxury and vast profile were
made to the extent that sugar was “white gold”. Government taxed heavily in Britain for
instance sugar tax in 1781 totalled to $326000. This situation was to stay until 1897 when the
Britain government under PM gland within the means of the ordinary citizen.
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CORAMANDAL SUGAR LTD.
TYPES OF SUGARS:
Sugar is the generic name for sweet-tasting, soluble carbohydrates, many of which are used in
food. The various types of sugars are derived from different sucrose.
1. Monosaccharides
a. Fructose
b. Galactose
c. Glucose
2. Disaccharides
a. Lactose
b. Maltose
c. Sucrose
OH) and a carbonyl group (C=O) and are cyclic when dissolved in water. They each exist as
several isomers with dextro-and laevo-rotatory forms that cause polarized light to diverge to
the right or the left.
a. Fructose: Fructose, or fruit sugar, occurs naturally in fruits, some root vegetables,
cane sugar and honey and is the sweetest of the sugars. It is one of the components
of sucrose or table sugar. It is used as high-fructose syrup, which is manufactured
from hydrolysed corn starch that has been processed to yield corn syrup, with
enzymes then added to convert part of the glucose into fructose.
b. Galactose:Galactose generally does not occur in the Free State but is a constituent
2. Disaccharides: Lactose, maltose, and sucrose are all compound sugars, disaccharides, with
the general formula C12H22O11. They are formed by the combination of two
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CORAMANDAL SUGAR LTD.
Sugar industry is very important to the Indian national economy. Because of its multiple
contribution in the shape of employment and provision of raw material to other industry.
India is the second largest producer (28 million) of sugar in the world. The Indian sugar
industry is the second largest ago industry located in the rural India. The Indian sugar
industry has turnover of Rs 500 billion per annum and it contributes almost Rs 22.7 billion to
the central and state as taxpaying every year.
About 50 million sugarcane farmers and large number of agriculture labours are involved in
sugar cane cultivation and ancillary, constituting 7.6% of rural population. Besides the
industry provides employment to about 2.5 million skilled and unskilled workers and others
mostly from rural areas.
In the year 1930 there was an advent of modern sugar processing industry in India which was
started with grant of tariff protection to the sugar industry, in the year 1930-31 the number of
sugars mills increased from 30 to 13s and in the year 1935-36 production was increased from
1.21 lakh tonnes to 9.35 lakh tonnes under the dynamic leadership of the private sector. In the
year 1950-51 the planning for industry development began and government laid down target
of sugar production and consumption, licensed and installed capacity, sugarcane production
during the each of the five year plan period.
Sugar industry is very important to the Indian National economy, because of its multiple
contributions in the shape of employment and provision of raw material to other industries.
India is the largest producer of sugar including traditional cane sugar sweeteners, khandsriand
guru equivalent to 26 million tonnes raw value followed by Brazil in the second place 18.5
million tonnes. Even in respect of white crystal sugar, India has ranked no.1 position in out of
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last 10 years. Sugar is one of the oldest commodities in the world and traces its origin in 14
century in India and china. In those days sugar was manufactured only from sugarcane. But
both countries lost their initiative to the European, American and oceanic countries, as the
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th
18 century witnessed the development of new technology to manufacturing production.
Give the growing sugar production and the structural changes witnessed in India sugar
industry, Indian is all set of continue its domination at the global level. Indian sugar industry
is highly fragment with organize and unorganized players. The organized players had a
controlling over the industry, which has slowly yet steadily given way to liberalization. The
production sugarcane is cyclical in nature. Hence the sugar production is also cyclical as I
depend on the sugarcane production in the country.
Indian sugar industry generate power for its own requirement and even gets surplus power for
export to the grid export to the grid based on by-product bagasse. There is even production
economy friendly and renewable energy for blending with petrol. Sugar companies have been
established in large sugarcane growing states like Uttar Pradesh, Karnataka, Maharashtra,
Gujarat, Tamil Nadu, and Andhra Pradesh and Maharashtra.
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CORAMANDAL SUGAR LTD.
Andhra Pradesh
Bihar
Gujarat
Haryana
Karnataka
Maharashtra
Punjab
CHAPTER-2
ORGANIZATION PROFILE
BACK GROUND:
The Coromandel Sugar Limited those primary evaluated expense of the plant expanded
dependent upon 7.3crore. Sugar is a major from of carbohydrates and is found probably in all
green plants. Following this cosset, it will be not enough for station about production line.
Along these lines those third evaluation expanse or more than 50crore. The site was selected
for the location of the factory near the village Makavalli, 11km from K R Taluk. The
government of Karnataka granted 150 of land near Makavalli village. The river Hemavathi is
flowing at about 2km from the site. Plant is constantly feed from the river water by factory
jack well pump.
The starting moment of the factory, some important technicians were called from the other
factories only for the trial season. After some employees were selected on their experience
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CORAMANDAL SUGAR LTD.
The advent of modern sugar industry in India began in 1930 with grant of tariff protection to
the Indian sugar industry. The number of sugar mills increased from 30 in the year 1930 - 31
to 135 in the year 1935 -36 and the production during the same period increased from 1.20
lakh tones to 9.34 lakh tones under the dynamic leadership of the private sector.
Establish /Incorporate
1998
COMPANY PROFILE:
Coromandel Sugar Limited was formerly known as ICL sugar Limited and
changed it is name to Coromandel Sugar Limited in 2007.
The gross asset value of the CO-GEN plant will be 100 cores and distillery project
will be 60 cores.
Coromandel Sugar Limited, an association company of the Indian cements Ltd, is
one of the leading procedures. And we, in Coromandel Sugar are produced being
part of Indian’s growing acro- industrial sector.
Their mill is ideally located in Mandya district of Karnataka with a command areaspread over
150 villages in and around K R Pete Taluk M/S coriander Sugar Limited (Formerly M/S. ICL
Sugar Limited) is an associated company of India cements group. We generate employment
in this area with the aim to improve the standard of living in these rural regions.
NATURE OF BUSINESS:
Coromandel Sugar Limited is a private based on company and major contribution for this
company is from the owner and remaining contribution is from the shareholders of the
company and owner / vice president mainly control the company. Now the president of
Coriander Sugar Ltd is Sri C Pavan Kumar. The entire organization is controlled by vice
president of the company.
The main production of Coromandel Sugar Ltd of SUGAR. Their main input for production
is sugarcane. Sugarcane is major raw material to produce sugar and to produce sugarcane
irrigation facilities is very important. In this area Hemavathi cancel water is flowing it is very
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CORAMANDAL SUGAR LTD.
important point for location of this industry. Aim to manufacturing good quality sugar and
it’s by products and to give employer it to the village people.
For sugarcane, the procedure for refining is conveyed out in emulating step
Pressing of Sugar coat on extricate the juice boiling the juice until it starts will
thicken and sugar fruit will solidify sugar fruit.
Shipping the crude sugar fruit to a refinery the place it may be washed also
separated on up root remaining Non-sugar parts and shade.
Since stick is not transport to any great extent, those nature of the task of the task of a
production line receiver relies around its area, what’s more may be outside is control. The
period of the pulverizing season likewise relies upon area with the most extreme continuously
is south India.
Competitors:
Coromandel Sugar Limited has many competitors in different places around there area.
VISSION:
To work towards a brighter future for Indian agriculture by supporting farmers and by
using innovation methods to grow and manufacturing our product. To be the leader in
farm solution business of choice, consistently delivering superior value to stakeholder
through highly engaged employees, with a strong commitment towards sustainability
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and our values.
MISSION:
To increase quality of the product & fulfil the needs of the customer.
QUALITY POLICY:
Coromandel Sugar Limited is committed to efficient and consistent production of
quality sugarcane. The cane should be free from trap tops, dirt, soil etc. after
unloading the cane from the trucks the company has arrange contract labours to the
remaining dry cane, water shoot trash, binding material etc......This practice improves
not only the quality of cane but also the efficiency of the factory performance.
Sugar
S-30 Grade (Smaller Sized Sugar)
M-30 Grade (Medium Sized Sugar)
Molasses
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CORAMANDAL SUGAR LTD.
Bagasse
SUGAR:
It means something sweet in form of taste. Sugar is a sweet, white or brown, usually
crystalline substance chiefly from sugarcane and used commonly in food products.
Sugar is the something sweet in the form of taste. In chemistry, sugar refers to any of
the class of carbohydrates to which this substance belongs. Glucose, lactose and
maltose are sugar.
FORMULA:
Specification:
Polarization – 99.80%
Moisture - 0.04%
Specification:
Solubility – 100%
Moisture – 0.04%
Molasses:
Sugarcane molasses is agreeable in taste and aroma, and is primarily use for sweetening
and flavoring foods in United States. Molasses is product in the industry. It contains large
percentage of non – crystalize able sugar and valuable source of raw material for
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CORAMANDAL SUGAR LTD.
Their also offer “A”grade Molasses. The Molasses have good flavor and colure. The
Molasses are processed from mature sugar cane. The sugar by – product is sold for both
human consumption and for baking or brewing of ale. It can also be used for industrial
purposes.
Specification:
Minimum 79% Brix solids 63.5 percent total sugar Maximum 5% ash Maximum 200
parts per million Sulphites.
BAGASSE:
Bagasse is residual material left after the extraction of juice from sugarcane. It is captive
used as a fuel by which the industry is self-sufficient for its fuel requirements. We
generate steam and power to meet out our requirement independent by making of the
bagasse. Bagasse is often used as a primary fuel source for sugar mills, when burned in
CO-GENERA TION:
In power intensive business-like sugar manufacture, the saving is the company the company
ability 12MW co-generation capacity. The Bagasse based co-generation unit quality as a
clean development mechanism project.
OWNERSHIP PATTERN
Coromandel Sugar Limited is a based on the publicly information available to includes the
promoters, promoter group and shareholding. This portfolio my net includes the investment
calls made by the same investor through other entities/ family’s member name or
investments.
Now the president of Coromandel sugar limited Sri Ravi Reddy. The entire union/
organization are controlled by president of the organization.
If the company earn profits, profit will be distributed to the formers based on their
contribution.
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NAMES DESIGNATION
st
MANAGEMENT AWARD-1 May 2013 by the govt. of Andrapradesh.
In the achievement of this industry labour welfare is one of the guiding principles our
company and the award result of our sustained effort in this area.
And he also added –“our thrive for welfare is not limited to our own workforce alone.
And there are done in CSR activity also.
It holds on more number of customers and it is create more good relationship also.
Coromandel sugar limited got two certificate Boiler certificate and KSPCB CFO
certificate
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CORAMANDAL SUGAR LTD.
CHAPTER 3-
STRUCTURE:
Structure of organization
STRATEGY:
Employees by satisfying their social, economical, the strategy of the company is to
satisfy its customer by providing better service to customer and impact the co-
operation of the psychological needs through suitable welfare programs and benefits.
To increase the quality, efficiency and to increase moral of the employees. To adopt
advance technologies to achieve competitive advantage and to the process of
expected.CSL is providing sample opportunities to the people at various levels to
impart their skills and expertise in order to enhance growth by taking positive
strategic decisions. The management wants to empower the greater heights of
achievements and each one should be given opportunity to excel and show their
potential effective and efficient performance.Now I am going to explain the pricing
strategy of CSL.
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CORAMANDAL SUGAR LTD.
Pricing policy:
Unlike other consumer or other goods, sugarcane will be not be differing because it is subject
to control of Government. Government will fix the sugar price.Price for exporting will be
fixed by the firm. It is management‟s policy to fix the price for exporting.
Sugar prices:Sugar is controlled commodity in India under the essential commodities act
1955. Sugar prices in the country can be classified into two broad categories at the user end
as free market prices of sugar through public distribution system. The GOI (Government of
India) announces PDS sugar prices based on levy sugar prices fixed by it and the subsidy to
be provided budgetary system.GOI extended to free market prices also through the issue of
monthly dispatch orders to all the sugar mills in the country based on demand supply
situation in the country.In September 1998, PDS sugar prices were increased from Rs 11.40
per kg to Rs 12 per kg.The sugar price range in the country for last few years is given years is
given below. The sugar prices move in close relation to production of sugar and the inventory
in the country. Sugar prices are the lowest in India when compared to the leading sugar
consuming countries in the world. Converted into a Indian rupees the price ebullient in
STYLE:
Style is the one of the seven levers, which top managers can use to bring out
organization change. Organizations differ from each in their style of working in an
organization. According to the Mckensy‟s framework become evident through the
pattern of action taken by member of the top management team over a period. The
aspects of business must emphasize by members of the top management tend to be
given more attention by people down in organization.
STAFF:
SKILLS:
Skill is one of the most crucial or capabilities or strength of an organization that term
skill includes those character or distinctive competency which more people to
describe a company.
Clerical Skill
Technical Skill
Supervisory skill
SHARE VALUES:
Guiding concepts, fundamental ideas around which a business is built must be simple.
Usually state at abstract level, have great meaning inside in the organization even
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CORAMANDAL SUGAR LTD.
To attain stability
Welfare of company employees
Customer satisfaction
Cost and time consciousness
Trust and team spirit
Innovation and creativity
To determine industry attractiveness and long-run industry profitability of the Indian Sugar
Industry, we chose to apply the Porter’s five forces in our analysis. Porter’s five forces are:
The Indian sugar industry is characterized with modest entry and exit barriers.
Integrated business model and increasing capital requirement in the industry restrict
new entrants. The Government earlier used to give incentives to set up new plants by
granting higher free sales quota for the first five to eight years of operations that had
led to mushrooming of small units. This incentive has been withdrawn and the new
sugar units are required to comply with the levy quota regulation from first year of
operation from first year of operations.
2. Threat of substitutes:
Being an essential commodity the demand for sugar is not elastic. Alternate
sweeteners to refined sugar in India are Gur and khandsari. But with increased per
capital income and easy availability of sugar at competitive rates, use of Gur and
khandsari is seeing a downward trend and is mostly confined to rural areas. Hence,
threat of substitute is low in the industry.
Indian sugar market is highly regulated by the govt. influencing distribution, purchase
price of levy sugar and the free sale quota releases for sugar. Hence, buyer’s power is
highly restricted in this sector.
Allocation of the area from where the sugarcane can be procured is allocated by the
government. The mills have no choice but to purchase all the cane sold to them, even
if it exceeds their requirement. Sugar producers are not allowed to own fields in India.
5. Industry Competition:
Competitiveness among the Indian sugar players is high. With around 500 units
engaged in production of sugar, the industry is highly fragmented. Private individual
players do not have big market share.
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CORAMANDAL SUGAR LTD.
CHAPER-4
INTRODUCTION:
A SOWT analysis is a strategic planning tool to evaluate the strength, weakness, opportunity
and threats involved in a project or in a business venture or in any other situation requiring on
decision. A SWOT analysis can be carried out for a company, product, place, industry.
SWOT analysis is the most renewed tool for the audit and analysis of the overall strategic
position of the business and it environment. It views the all positive and negative factors
inside and outside the firm that affect the success.
A consistent study for the environment in which the firm operates helps in forecasting
EAST WEST INSTITUTE OF TECHNOLOGY ,BANGLORE DEPT. MBA Page 27
predicting the changing trends and helps in including them in the decision – making process
of the organization.
STRENGTH:
In the Coromandel Sugar Limited it has been distinct feature of the organization capability of
Industry. In their consistency with the strength is more useful to the society of the
organization.
In the area Hemavathi River is following it is important point for location of this
company
The CSL industry have new power plant, which is need for the future growth
WEAKNESS:
OPPORTUNITY:
THREATS:
Threats arise when conditions in external environment the reliable and profitability of the
weakness. Threats are uncontrollable. When a threat comes, the stability and survival can be
at stake.
Frequent changes in the policy decision of the state government / state power corporation
regarding purchase of power from the Bagasse based on co-generation unit, would hit the
very survival of the industry as great as a majority of the units are embarking on
diversification into bagasse-based co-generation by profitability in the sugar sector.
DEPARTMENTAL STUDY
CLS requires three types of employees namely, permanent, seasonal, temporary employees
with skill like highly, semiskilled and unskilled workers according to their type of job in CSL
manger personal administration along with general manager carrying out of managing human
resources. The company has adopted electronic punch card system to maintain attendance or
absence.
Personal and administration department has Time Offer which notes the time in and time out
of employees. It also makes a note of leaves taken by employees.
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CORAMANDAL SUGAR LTD.
sources of applicants.
These are concerned with the process of sustaining and maintaining the work force in
an organization. They includes,
Employees Records:
PURCHASE DEPARTMENT:
Purchase department is also important section in administrative department in
performance the activities of purchasing. In this section there are two employees, one is
purchase manager and another one is purchase assistant, the purchase manager issues the
purchase order from various section of the factory. He estimates the cost purchase and
accordingly he go for direct purchases or purchases through purchase committee.
MARKETING DEPARTMENT:
Marketing is the process of planning and executing the conception, pricing, promoting
and distributing of ideas, goods and services to create exchanges that satisfy individual
and organizational goals.
As a government plays a vital in the fixation of cane and sugar industries is of little
importance, marketing managers considered the government rules and organization policy
with the demand and supply of sugar at the time fixation of prices.
STORE DEPARTMENT:
Store department is nothing, but it is a room to store to the goods like raw material,
finished goods and semi -finished goods in a systematic manner, which is not destroy, or
losses its original value, theft for this purpose stored in well manner. It is also called as
inventory management system.
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CORAMANDAL SUGAR LTD.
CANE DEPARTMENT:
Cane department only raw material for producing the sugar. Cane department keeps the
direct link with former to producer and the development of the cane.
SUGAR CANE
PRODUCTION DEPARTMENT:
Production is considered to be crucial in any industries organization production, is the
process by which raw material and other inputs are converted into finished goods.
Production Department in CSL has well organized and totally computerized system of
production the scope of department is to plan, execute and control all the program
activities with the available resources input and equipment in co-organization with other
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CORAMANDAL SUGAR LTD.
department.
ACCOUNTING DEPARTMENT:
CHAPER-05
Financial statements are formal records of the financial activities and position of business,
person, or other entity. Relevant financial information is presented in structured manner and
in a form which is easy to understand.
INCOME:
EXPENDITURES: (5)
Less: pre-operative 0 0 0 0 0
expenditure capitalized
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CORAMANDAL SUGAR LTD.
BALANCE SHEET
SOURCE OF FUNDS:
Total share holders’ funds: (1) 15.79 19.14 31.27 63.72 222.44
APPLICATION OF FUNDS:
0 0 41.62
1.Proprietatry ratio:-
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CORAMANDAL SUGAR LTD.
Interpretation
When we compare the shareholder fund and total assets we can understand the company has
good position in their proprietary ratio compare to shareholders and ratio is in 2019 is
0.147604 and 2018 is0.17057 and 2017 is 0.25700 and 2016 is 0.42443 and 2015 is 0.37474.
Interpretatio
When we compare the debt equity ratio this is debt and share holder equity we can
understand the company is not in good position in their debt equity ratio to the all year.
Interpretation :
When we compare the current asset and current liabilities we can understand company
is not good.
Liquidity ratio:-
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CORAMANDAL SUGAR LTD.
Interpretation:
When the we compare the current asset-inventories and current liabilities we can
understand company is not good .
Interpretation;
When we compare the absolute ratio is absolute asset and current liabilities we can
understand the company is not in good position in their ratio to the 2015 is 0.17, and
2016 is 0.37 ,2017 is 0.40 , and 2018 is 0.23 ,and 2019 is 0.19
Interpretation:
When we compare the gross profit ratio is gross profit and sales we can understand the
company is not good position .and gross profit ratio is varies greatly one year to another
year.
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CORAMANDAL SUGAR LTD.
Interpretation :
When we compare the net profit ratio this decrease year by 2015 6.7%
CHAPTER-06
LEARNING EXPERIENCE
It is very good opportunity to correct or evaluate our self how capable we are to
adopt new changes or interest to learn the things in real or actual working
conditions. When we enter the organization the atmosphere itself teachers what
we have to do and what are all the duties and responsibilities.
WEBILIOGRAPHY:
http://www.coromandelsugar.com/process.php
http://www.coromandelsugar.com/index.php
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