RAJASTHAN AGRICULTURAL

COMPETITIVENESS PROJECT
Detailed Project Report on
Maize Flakes

Prepared by:

AGRI BUSINESS PROMOTION FACILITY

Contents
List of Figures 2

List of Tables 3

Chapter 1: Scenario of Maize 4

Chapter 2: Scenario of Rajasthan 8

Chapter 3: Process Flow 12

Chapter 4: Technology Options Available 15

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List of Figures
Figure 1:Maize producing countries ............................................................................................................... 5
Figure 2:States Producing Maize in India ...................................................................................................... 7
Figure 3 Maize producing states in decreasing order of Production .............................................................. 7
Figure 4: Production of maize in year 2017 and 2016 .................................................................................... 9
Figure 5:Major maize producing Districts in Rajasthan .................................................................................. 9
Figure 6: Top Districts Production of Maize ................................................................................................. 10

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List of Tables
Table 1: Production of maize in the world ...................................................................................................... 5
Table 2:Production of maize in Rajasthan ..................................................................................................... 8
Table 3:Production of maize in districts of RACP Cluster ............................................................................ 10
Table 4: Assumptions for Captive Model ..................................................................................................... 15
Table 5: Assumptions for Operating Capacity utilization .............................................................................. 15
Table 6: Project Cost Summary ................................................................................................................... 15
Table 7: Means of Finance Summary .......................................................................................................... 16
Table 8: Civil Cost Summary........................................................................................................................ 16
Table 9: Utilities and other project components ........................................................................................... 16
Table 10: Plant and Machinery .................................................................................................................... 17
Table 11: Income Statement ........................................................................................................................ 19
Table 12: Balance Sheet .............................................................................................................................. 21

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Chapter 1: Scenario of Maize

1.1 Introduction to Maize

Maize has become a staple food in many parts of the world, with the total production of maize
surpassing that of wheat or rice. However, little of this maize is consumed directly by humans:
most is used for corn ethanol, animal feed and other maize products, such as corn starch
and corn syrup. The six major types of maize are dent corn, flint corn, pod corn, popcorn,
flour corn, and sweet corn.

1.2 Consumer preference Analysis

In India, Maize as a crop has multiple uses but is chiefly grown for human and livestock
consumption. Various consumption patterns include grain, feed, fodder, green cobs, sweet
corn, baby corn, popcorn, starch and industrial products. Maize utilized for direct human
consumption has reduced over the years in the states and is expected to further reduce due
to rising income levels which has made preferred cereals like wheat and rice more affordable,
increasing commercial demand from poultry and starch industries leading to higher farmer
realization. The seeds and the cobs are used as basic raw material in various industries. The
seeds are processed and converted into needed preparations, flakes, grits and pops for
human consumption. These are also the highly demanded forms of maize being consumed
by people in the state.
Maize contains 1.2 to 5.7 % edible oil. Varieties developed particularly for oil production
contain as much as 14%. Maize oil is widely used as a cooking medium and for manufacturing
of hydrogenated oil. The oil has the quality of reducing cholesterol in the human blood like
sunflower oil. The fat content of the oil is about 80%.

Maize also acts as a source in the manufacture of starch, syrup, dextrose, oil, gelatine, lactic
acid tec. Corn flour is used as a thickening agent in the preparation of many edibles like
soups, sauces and custard powder. Corn syrup is used as an agent in confectionary units.

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Corn sugar (dextrose) is used in pharmaceutical formulations as a sweetening agent in soft
drinks, etc. Corn gel on account of its moisture retention character is used as a bonding agent
for ice-cream cones, as a dry Dustin agent for baking products.

1.3 Global Scenario of Maize

In a global context, United States of America rank number one in maize production followed
by China, Brazil and Argentina. India ranks number 5 among top maize producing countries.
India produces 28.72 million metric tons of corn annually, as per the estimates of the 2017
FAOSTAT data. The crop is primarily grown in the northern states of the country, including
Uttar Pradesh, Bihar, Himachal Pradesh, Rajasthan, and a few others.
Table 1: Production of maize in the world

# Country Production(MT ) Ranking

1 United States of America 370960390 1
2 China, mainland 259071000 2
3 Brazil 97721860 3
4 Argentina 49475895 4
5 India 28720000 5
6 Indonesia 27952000 6
7 Mexico 27762481 7
8 Ukraine 24668750 8
9 South Africa 16820000 9
10 Romania 14326100 10
Source: http://www.fao.org/faostat/en/#data/QC

Figure 1:Maize producing countries

MAIZE PRODUCTING COUNTRIES

370960390

259071000

Production in tonnes Ranking

PRODUCTION IN TONNES

97721860

49475895

28720000

27952000

27762481

24668750

16820000

14326100
10
4
1

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1.3 Indian Scenario of Maize
Maize is dispatched from major producing states to the consuming states. The major
producing states from where the dispatches made are Andhra Pradesh, Gujarat, Karnataka,
Madhya Pradesh, Orissa and Uttar Pradesh. The consuming states where the maize arrives
from other states are Maharashtra, West Bengal, Tamil Nadu, Rajasthan, Delhi, Bihar,
Chhattisgarh, Haryana and Assam. Maize is brought from major producing states to the
consuming states for industrial use, processing and local consumption. Interstate movement
also takes place due to variation in production and prices.
Maize cultivation requires warm weather, fertile and well drained soils. It is adapted to grow
under diverse climatic conditions. Temperature requirement for germination is 21°C and for
growth 32°C. Extremely high temperature and low humidity during flowering damage foliage
thereby resulting in poor grain formation. This crop requires well distributed rainfall.
Therefore, in India most maize cultivation is taken up in rain fed conditions i.e., around 80-
82% of annual production comes from Kharif whereas left over production come from Rabi
and the summer season. It is highly susceptible to waterlogging and moisture stress
conditions particularly during its early stages of growth.
In Kharif, it is sown in March-July till mid-August and harvested from mid-September. The
arrivals extend from late September to February. The major states producing maize during
the kharif season are Karnataka, Andhra Pradesh, Maharashtra, Madhya Pradesh, Uttar
Pradesh, etc. In Rabi, it is sown in September-December in Bihar, Uttar Pradesh, Punjab and
coastal region of Andhra Pradesh, Karnataka, etc. The arrivals start from late March and
extend up to July.
The highest sowing of Maize is observed in the Kharif season i.e. in the month of June-July.
It is apparent that the period from October to December account for maximum arrivals in the
selected markets.
Season Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Summer
Autumn
Winter

The major states of India that cultivates maize are highlighted in the diagram given below
and the same are mentioned in decreasing order of production in the following districts:

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Figure 2:States Producing Maize in India

MAIZE PRODUCING STATES IN

INDIA
3452.96
3340.86
3314
2690.29
2663.19
PODUCTION IN TONNES

1379.29
1653
1525

953.38

784.29

567.83
541.12

204.67
801

136.54
705

322.9

91.22
A R U N A C H A L … 75.45
445

68.68

41.54
58.8

20.5

8.91
A N D A M A N A … 0.22
0.17
0.07
U T T A R A K H A …37

17
W EST BENG…
MADHYA PR…

JAMMU AND…
HIMACHAL …

CHHATTISG…
ANDHRA…
MAHARASH…

UTTAR PRA…

ASSAM
RAJASTHAN

NAGALAND
BIHAR
KARNATAKA

TELANGANA

MANIPUR

HARYANA
GUJARAT

MIZORAM
PUNJAB

KERALA
ODISHA

MEGHALAYA

DELHI
JHARKHAND

SIKKIM
TAMIL NADU

TRIPURA
LARGEST PRODUCER OF MAIZE

Source : http://agricoop.gov.in
Figure 3 Maize producing states in decreasing order of Production

1.Maharashtra 5. Telegana

2.Mashya Pradesh 6.Andhra Pradesh

3. Karnataka 7.Uttar Pradesh

4.Bihar 8.Rajasthan

Source: http://agricoop.gov.in
The leading maize producing states in India are Maharashtra, Madhya Pradesh, Karnataka,
Bihar and Telangana. Notably, Maharashtra, in the year 2016-17, was the largest producer
of maize among other states.
The table presented above shows the trend of major maize producing states in India.
Maharashtra and Madhya Pradesh contribute more than 50% to the total maize produced in
the country.

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Chapter 2: Scenario of Rajasthan
Rajasthan stands uniquely in the 8th position in the top 10 list of maize producing states in
India. The agricultural land in the state of Rajasthan is majorly under deep cultivation maize
yielding crop to a large extent which is distributed in the major regions of this state. The
farmers of Rajasthan are widely involved in the cultivation of variety of maize crop with huge
surplus and high profit among the farmers.
The major producing districts in the state of Rajasthan are Chittorgarh, Banswara, Jhalawar,
Pratapgharh and Bundi. Chittorgarh is the top maize producing district in the state having
(1,62,049 MT) production.
Table 2:Production of maize in Rajasthan

Year Region Area (Ha) Production (MT)

Jaipur Region 36,504 40,500

Sikar Region 35 53
Bharatpur Region 4,151 6,289
Bikaner Region 1 2
Ganganagar region 218 327
2016-17
Jodhpur Region 11 17
Jalore Region 33,789 45,523
Kota Region 110,405 253,204
Udaipur Region 385,303 504,093
Bhilwara Region 348,266 529,283
Jaipur Region 37,783 30,185
Sikar Region 72 95
Bharatpur Region 4,115 6,423
Bikaner Region 0 0
Ganganagar region 25 33
2015-16
Jodhpur Region 40 53
Jalore Region 33,698 42,293
Kota Region 73,539 170,493
Udaipur Region 416,267 450,080
Bhilwara Region 315,565 457,020

Source: http://www.agriculture.rajasthan.gov.in
In year 2016-17, the maize production of profile attributes for 13,79,291 MT of maize in the
state of Rajasthan. The production of maize has increased from 13,79,291 MT in the year
2016-17 to 11,56,675 MT in year 2015-16.

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Figure 4: Production of maize in year 2017 and 2016

Production of Maize in 2016-17 Production of Maize in 2015-

600000
16
500000 500000
400000 400000
300000 300000
200000 200000
100000 100000

Ganganag…
Udaipur…
0
Bhilwara…

Jodhpur…
Bharatpur…
Ganganagar…

Bikaner…
0

Udaipur…
Bhilwara…
Jaipur…

Jodhpur…
Bharatpur…

Jalore…
Bikaner…
-100000

Sikar Region
Kota Region
Jalore Region
Jaipur Region
-100000

Sikar Region

Kota Region
-200000 -200000

2016-17 2015-16
Source: http://www.agriculture.rajasthan.gov.in
In Rajasthan, Potato is grown in almost all districts excluding Barmer, Jaisalmer and Jodhpur.
The total area in the production of potato in the state is 14,552 Ha and the production is
234,552 MT. Top districts in Rajasthan which Produces Potatoes are mentioned below in the
diagram:
Figure 5:Major maize producing Districts in Rajasthan

Source: http://www.agriculture.rajasthan.gov.in

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Figure 6: Top Districts Production of Maize

Top Districts producing maize

600000
500000
400000
300000
200000
100000
0

Ganganagar region

Sikar Region

Jodhpur Region
Jalore Region
Kota Region

Jaipur Region

Bharatpur Region

Bikaner Region
Bhilwara Region

Udaipur Region

-100000
-200000

2016-17
Source: http://www.agriculture.rajasthan.gov.in

2.1 District and Cluster Scenario: Production

The major producing districts in the state of Rajasthan are Chittorgarh, Banswara,
Jhalawar, Pratapgharh and Bundi. Chittorgarh is the top maize producing district in the
state having (1,62,049 MT) production. The top 10 maize producing districts in Rajasthan
having RACP clusters are presented in the table below.
Table 3:Production of maize in districts of RACP Cluster
Rank of District in RACp
# Districts Production (MT)
clusters
1 Chittorgarh 162,049 1
2 Banswara 141,640 2
3 Jhalawar 94,633 3
4 Bundi 87,834 4
5 Pratapghar 65,881 5
6 Baran 61,512 6
7 Ajmer 28,401 7
8 Tonk 9,126 8
9 Alwar 5,583 9
10 Jaipur 2,452 10
Total Production in top 10
659,111
districts
Source: Commissionerate of Agriculture, Rajasthan, Jaipur

Approach to Value Chain Analysis

In order to evaluate the value chain of Maize, consultations were held with major
stakeholders in the chain including farmers, consumers, processors, traders, supporting
public and private service providers and institutions etc. in various parts of the state.
Major maize producing clusters were considered for survey within Rajasthan.

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2.2 Marketable surplus of Maize in Clusters
The marketable surplus of Maize in the clusters is tabulated below:
Marketable surplus in
MT
Area under crop Production
Cluster (as % of total
cultivation (in Ha) (in MT)
production;
90% for maize)

Kushalgarh
2387 4077 3669
(Banswara)
Gudha (Jhalawar) 9076 25384 22846
Jakham (Pratapgarh) 9892 14343 12908
Orai bassi
5622 16915 15223
(Chittorgarh)

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Chapter 3: Process Flow

3.1 Processing of Manufacturing

Basically, corn flakes are prepared from maize. The process has been classified into 3 parts.

 Grain cleaning Section.

 Corn Grit Section.
 Corn flake Section.

3.1.1 Grain cleaning Section

Yellow and white corn (Hybrid) may be used for the manufacture of corn flakes. Initially corn
grains are cleaned and polished to remove dirt, dust etc. Silos are used for storing corn
grains. Removal of dust, dirt and gern are carried by air classifiers. Separator is used to
separate large grains from small grains. Usually No. 6 mesh screen is used which provides
larger grains.

3.1.2 Corn Grit Section.

After polishing grains, they are milled to remove germ and bran. The broken pieces are
cooked in rotary steam cooker under pressure, generally handles 500 - 600 kgs. at that time.
It is subjected to steam and for 2 hours. Flavour syrup of sugar, malt, salt and water are
added during the process. The grits. the cooked material possess moisture which raises to
about 36 - 37%. The grits are again washed and cleand by air classifiers. The large and small
grits are separated by separator. These are stored in bins. The grits carried to an agitator or
lump breaker and then is discharged into a pan woler or may be sent to steamer where pre-
heated air is blown to reduce the moisture content to the desired degree about 20%. The
dried material is kept in demoisturing tank for few hours in order to provide the residual
moisture to become equally distributed. This is a very important process for uniform pressing
in the flakes. The flakes may be thin or thick, depending on the moisture i.e. more the
moisture, more the thinner and less the moisture, more the thicker.

3.1.3 Corn flake Section

Finally comes the corn flake process. The grits or cooked material are passed to heavy flaking
machine, where the grits are converted into flakes by pressing the grits. It is cooked by water
roller. The flakes are immediately transferred to the rotery of any other oven for roasting.
These ovens are usually gas fired and of slightly conical, rotating cylinder when the proper
roasting is over, it is continuously carried to the the conveyor. The roasted flakes are
inspected, screened or granded to remove substandard flakes. hese are immediately
transferred to packing machine. The packing material must be water resistances, generally
polythene containers of waxed paper.

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Process Flow Chart for the Semi-Automatic Mash Feed Plant

Peeling and
Corn Cleaning
Degerming

Drying &
Cooking Classifying
Rlending

Rolling and
Cooling Packaging
Toasting
.

Features that are generally desired in Corn Flakes plant as follows:

• The raw material, corn grains are available in local market, during the season,
starting from may to september, every year.
• For continuous production of corn flakes, raw material is procured by purchasing the
grains and store for entire operation.
• The other raw materials, such as sugar and salt are also available in the market
throughout

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Process Flow Chart for Corn Flakes

Corn Cleaning Machine Drier Machine

Flakes Packaging Machine Corn Flakes Roaster Machine Steam Conical Cooker

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Chapter 4: Technology Options
Available

We propose a medium end technology option for maize flakes. The medium end option
includes a Semi-Automatic processing plant of 1200 Kilogram per hour (KGs per hour).

4.1Maize Flakes Processing line

Business Assumption:
The business plan has assumed that the business model operates under Captive Mode that
involves direct selling of Maize products such as maize flakes and cattle feed composition.
The assumptions for the maize flakes model is as follows:
Table 4: Assumptions for Captive Model
Business Year Year Year Year Year Year Yea Yea Yea Yea
Case – 1 2 3 4 5 6 r7 r8 r9 r 10
Assumptions
Captive 100 100 100 100 100 100 100 100 100
Trading 0 % % % % % % % %
%
The assumptions for Operating Capacity utilization is given below.
Table 5: Assumptions for Operating Capacity utilization
Business Case - Yea Year Yea Yea Yea Yea Yea Yea Yea Yea
Assumptions r1 2 r3 r4 r5 r6 r7 r8 r9 r 10
Operating 50 55% 60% 65% 70% 70% 70% 70% 70%
0
Capacity %

4.1.1. Project Cost

The total cost of the project is estimated at Rs.89.69 Lakhs, out of which civil cost constitutes
Rs 28.32 Lakhs, plant and machinery constitutes Rs.47.62 Lakhs, utilities & support of Rs.
10.44 Lakhs, Interest during construction of Rs. 2.30 Lakhs and Preliminary & pre-operating
expenses of Rs. 1.00 Lakhs. The detailed description of each component of project cost is
depicted in the tables below.
Table 6: Project Cost Summary
Capex Components Amount (Rs. Lakh)
Civil Cost 28.32
Plant & Machinery 47.62
Utility & Support 10.44
Preliminary & Pre-operative expenses 2.30
IDC 1.00
Total Capex 89.69
Note: We have not considered the land cost in this business model

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4.1.2 Proposed Means of Finance
The promoter’s equity in the project is Rs 35.88 Lakhs which is 40% per cent of the total
project cost. The term loan considered for the project is estimated at Rs. 53.81 Lakhs which
is 60 per cent of the total project cost.
Table 7: Means of Finance Summary
Means of Finance (INR Lacs) Amount (Rs. Lakh)
Total Project Cost 89.69
Funding
Equity (Promoters Cost) 53.81
Debt 35.88
Total Funding Required 89.69
Note: We have not considered grant in aid being offered by National Horticulture Board or
any other government entity/ institutions. Which may have an impact on the overall
profitability of the project in a positive way.
4.1.3 Civil Work
The total cost of civil work has been estimated to be Rs 28.32 lakhs. Cost of civil work
comprises of the built-up cost of maize flakes machine, Raw material storage & Finished
goods storage. The total cost of technical civil works has been arrived at on the basis of the
estimates provided by the Chartered Engineer (Civil) and are substantiated with the requisite
certificate.
Table 8: Civil Cost Summary

Civil Cost Total Area Total Civil Cost

Required (Rs. Lakh
(SQM)
Maize Flakes Processing Machine, Finished good
storage structure and Raw Material Storage 300 28.32
structure

4.1.4 Utilities and other project components

The total cost of Utilities has been estimated to be Rs 10.47 lakhs, which includes water
storage of 10,000 LT/hour, generator set of 50 KVA, weighing scale, and electrical wires &
panel.
Table 9: Utilities and other project components
Capacity Overall Cost
Utility & Support Infrastructure
(No. of Units) (INR Lacs)
Water Storage 10000 LT 0.36
Generator 50 KVA 6.29
Weighing Scale 4 1.21
Transformer / Electrical wires and Panel 2.42
Gunny Bag Sewing Machine 0.18
Total Utility & Support 10.47

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4.1.5. Plant and Machinery
The total cost of plant and machinery has been arrived on the basis of quotation received
from various suppliers of equipment and machinery. The total cost of P&M is considered as
Rs. 47.62 Lakhs (including IGST). The following table captures the components under Plant
& Machinery.
Table 10: Plant and Machinery
Plant & Machinery Amount (Rs. Lakh)
Plant & Machinery
Flaker 38.92
Hand Pallet Truck 0.97
Packaging Machine 7.73
Total Cost of Plant & Machinery 47.62

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4.1.5. Assumptions
Year
Revenue Assumptions Units Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 10
Hours in a Day 8
Number of Shifts per day number 1 1 1 1 1 1 1 1 1
Maize Flakes produced in an hour Kgs/hour 1200 1200 1200 1200 1200 1200 1200 1200 1200 1200
Maize Flakes produced in one day Kgs/day 9600 9600 9600 9600 9600 9600 9600 9600 9600 9600
Actual Installed Capacity Kgs/day 9600 9600 9600 9600 9600 9600 9600 9600 9600
Capacity Utilization (%) percentage 50% 55% 60% 65% 70% 70% 70% 70% 70%
Actual Output of Maize Flakes Kgs/day Percentage 4800 5280 5760 6240 6720 6720 6720 6720 6720
Maize Flakes 100% 4800 5280 5760 6240 6720 6720 6720 6720 6720
Raw Material used in Maize Flakes
De Germinated Maize 99.6% 4780 5258 5736 6214 6692 6692 6692 6692 6692
Sugar 0.4% 20 22 24 26 28 28 28 28 28
Maize Flakes Output 100% 4800 5280 5760 6240 6720 6720 6720 6720 6720
Losses - Cattle Feed Product Kgs/day 15% 720 792 864 936 1008 1008 1008 1008 1008
Actual quantity of Maize Flakes after losses 85% 4080 4488 4896 5304 5712 5712 5712 5712 5712
Number of Days of Operation 300 300 300 300 300 300 300 300 300
Operational Cost Assumptions Units YOY inc. Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Purchase Price of De Germinate Maize Rs/kg 18 18.9 19.8 20.8 21.9 23.0 24.1 25.3 26.6
Purchase Price of Sugar Rs/kg 35 36.8 38.6 40.5 42.5 44.7 46.9 49.2 51.7
5%
Maize Flakes Rs/Kg 30.00 31.50 33.08 34.73 36.47 38.29 40.20 42.21 44.32
Cattle Feed Rs/Kg 14.00 14.70 15.44 16.21 17.02 17.87 18.76 19.70 20.68

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4.1.6 Income Statement
The below mentioned is the income statement for processing line of Maize Flakes:
Table 11: Income Statement
Particulars (Rs.
Lakh) Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Maize Flakes 367.20 424.12 485.81 552.60 624.87 656.11 688.92 723.36 759.53
Cattle Feed 30.24 34.93 40.01 45.51 51.46 54.03 56.73 59.57 62.55
Total Income 397.44 459.04 525.81 598.11 676.33 710.14 745.65 782.93 822.08

Raw Material
De Germinated Maize 258.12 298.13 341.49 388.45 439.25 461.21 484.27 508.48 533.91
Sugar 2.10 2.43 2.78 3.16 3.57 3.75 3.94 4.14 4.34
Power 10.61 11.14 11.70 12.28 12.89 13.54 14.22 14.93 15.67
Packing Cost 48.96 56.55 64.77 73.68 83.32 87.48 91.86 96.45 101.27
Water 0.42 0.44 0.46 0.49 0.51 0.54 0.56 0.59 0.62
Total Direct
Expenses 320.21 368.68 421.20 478.06 539.54 566.52 594.84 624.58 655.81

Gross Profit 77.23 90.36 104.61 120.06 136.79 143.63 150.81 158.35 166.27
Manpower 3.24 3.74 4.29 4.88 5.51 5.79 6.08 6.38 6.70
Repairs &
Maintenance 2.59 2.72 2.86 3.00 3.15 3.31 3.47 3.65 3.83
Insurance 1.14 1.20 1.26 1.32 1.38 1.45 1.53 1.60 1.68
Admin Expenses 1.00 1.05 1.10 1.16 1.22 1.28 1.34 1.41 1.48
Travelling Expenses 12.67 12.44 14.25 16.21 18.33 19.25 22.96 24.11 25.32
Selling & Distribution
Expenses 15.90 19.28 23.19 27.70 32.88 36.25 39.97 44.07 48.58
Total In-Direct
Expenses 36.54 40.43 46.94 54.26 62.48 67.33 75.35 81.22 87.59

EBITDA 40.69 49.93 57.67 65.80 74.31 76.30 75.46 77.13 78.67

Maize flakes 19
Depreciation for Civil
Works 2.83 2.55 2.29 2.06 1.86 1.67 1.51 1.35 1.22
Depreciation on P&M 7.14 6.07 5.16 4.39 3.73 3.17 2.69 2.29 1.95
Depreciation on
Others Components 1.04 0.94 0.85 0.76 0.69 0.62 0.56 0.50 0.45
Others (Amortization
- IDC, Pre-ops,
Contingency) 0.66 0.66 0.66 0.66 0.66 - - - -

Sub-Total 11.68 10.22 8.96 7.87 6.93 5.46 4.75 4.14 3.62

EBIT 29.01 39.71 48.71 57.93 67.38 70.84 70.70 72.99 75.06

Interest on Term
Loan 4.87 4.18 3.42 2.59 1.68 0.67
Interest on Working
Capital - Normal 12.75 14.74 16.90 19.24 21.78 22.86 24.01 25.21 26.47

PBT 11.39 20.79 28.38 36.09 43.93 47.31 46.69 47.78 48.59

Tax 0.44 2.78 6.64 8.95 11.30 12.32 12.13 12.46 12.70

PAT 10.95 18.01 21.74 27.14 32.62 34.99 34.56 35.32 35.89

Maize flakes 20
4.1.7. Balance Sheet
The below mentioned is the balance sheet statement for processing line of Maize Flakes:
Table 12: Balance Sheet

Particulars (Rs. Lakh) Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
TOTAL LIABILITIES
A) Promoters Funds
Capital Contribution 25 36 36 36 36 36 36 36 36 36
PAT 0 11 18 22 27 33 35 35 35 36
PAT after appropriations 0 11 29 51 78 110 145 180 215 251
Sub-Total 25 47 65 87 114 146 181 216 251 287
B) Debt
Long Term Loans
Term Loan - Outstanding 35 47 39 31 21 11 0 0 0 0
Sub-Total 35 47 39 31 21 11 0 0 0 0
C) Current Liabilities
Creditors - others 0 6 7 8 9 10 10 11 11 12
Creditors - Raw Material 0 17 20 23 26 30 31 33 34 36
Bank Finance - Working Capital 0.00 87.94 102 116.58 132.72 150.18 157.69 165.57 173.85 182.54

Total Current Liabilities 0 111 129 147 167 189 199 209 219 230
TOTAL LIABILITIES 60 205 232 264 303 347 380 425 470 517

TOTAL ASSETS
D) Land 0 0 0 0 0 0 0 0 0 0
Fixed Assets
Gross Block (Civil + P&M) 22 58 75 66 58 50 44 39 34 30

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Purchases 36 29 0 0 0 0 0 0 0 0
Less: Depreciation 0 11 10 8 7 6 5 5 4 4
Sub-Total 58 75 66 58 50 44 39 34 30 26

E) Current Assets
Net Debtors 0 32 37 42 48 54 57 60 63 66
Cash & Bank Balance 0 16 36 58 84 114 143 182 222 261
Stock 0 79 92 105 120 135 142 149 157 164
Sub-Total 0 127 165 206 252 303 342 391 441 491

F) IDC, Pre-ops written off 3 3 2 1 1 0 0 0 0 0

TOTAL ASSETS 60 205 232 264 303 347 380 425 470 517

Maize flakes 22
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