Model Automatic Milk Storage Center Scheme

By Vikaspedia on 31 May 2017 | read
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introduction

India has the largest livestock in the world. About 57.3 percent of the world's buffalo and 14.7 percent of the animals in our country. The Indian dairy industry is a major contributor to the country's economy and in terms of the amount it is more than rice. The value of milk products in the year 2011-12 is at Rs 3,05,484 crore. At the end of the Eleventh Five Year Plan (2011-12), the total milk production in the country is 127.9 million tonnes per year and its demand is likely to be 180 million tonnes by 2020. In the year 1970, under the aegis of the National Dairy Development Board, "Operation Flood" program was started to increase milk supply in 4 metro cities with the help of modernization of dairy sector and dairy cooperatives. By the end of 1996-97, milk manufactures of 74383 grams of milk cooperatives were set up in 264 districts and through them, on an average 12 per day from rural areas Procurement of 26 million liters of milk was being done. After this, "Technology Mission on Dairy Development" was launched to increase rural income, which was aimed at adopting modern technology to increase productivity and reduce operating costs and thus ensure maximum availability of milk and milk products. Had to do.

In the year 1991, with the liberalization of the Indian economy, the dairy sector was also licensed. The Government of India had issued the milk and milk products order (MMPO) on 09 June 1992, which was revised in 2002. According to this, dairy units only have permission to get sanitary and hygienic aspects. After the implementation of Food Security and Standards (Licensing and Registration of Food Business), 2011, all Food Processing Units, including dairy processing units, have come under the purview of this Act since August 05, 2011, however, India is the largest milk producing country But, per animal milk production is low. At present, organized dairy area (cooperative and private) is producing 24 to 28 percent of the total milk production in the country. Thus, procurement for domestic consumption and export, There is considerable scope for increasing processing and manufacturing of milk products. The quality of the milk collected is also not good and it is a factor in the constraints of the creation / marketing of various types of value-added products. Even today, much of the country is not in the mercy of edible milk procurement.

After taking meaningful steps in the field of production and processing, it is now time to increase the quality of milk by increasing the procurement capacity and checking milk for quality. The value of milk in India is limited to some extent of fat, on Solid Knot Fat (SNF). Determination of fat is based on boturometric method, which is the oldest methodology adopted in milk collecting centers / milk cooperatives. Since the year 1980, many committees are using Milco Testers for checking percentage of fat in milk, because in this way, it can be worked more quickly than the above mentioned methods. Recently, the Milk Aggregation Centers / Cooperatives have started the installation of Automatic Milk Collection Station (PC-based Milk Collection Station), Smart Automatic Milk Collection Station and Automatic Milk Storage Center, which is the weight of milk, By measuring the amount of fat, give the farmers (each time) a printed payment slip. These systems have the facility to keep data on 10 days / monthly / yearly basis and, if necessary, the consolidated summary of each turn can be given by printing. These machines can work to collect milk from 120 to 150 times in a single hour. Milk Testers are now being replaced by Milk Distiller (Milk Analyzer).

Keeping in mind the following objectives, financial assistance is provided for the purchase of various types of equipment in automatic milk collection centers-

  1. Enhancing the purity of the ability to check the fat in the milk and checking the other components of milk such as the percentage of solid knot fat (SF), the percentage of water etc., and other components.
  2. By reducing the staff of the Committee / Milk Consolidation Center by automatic and making the operations economical without keeping a manual register.
  3. Increasing the confidence of the milk producers through transparent systems and increasing the procurement of milk in this way.

Potential field-cooperative mostly in the private sector milk processing plants have started the automatic milk collection centers in its procurement network. In these committees / milk consolidation centers, funding can be done for these stations, where daily procurement of milk is more than 350 liters.

Beneficiary: These units can be established by Milk Cooperative Committees of Cooperative Milk Union or Milk Processing Centers of Private Dairy. Alternatively, individuals can be encouraged to establish these stations by co-ordinating with the organized sector.

Project Details

  1. Component: The Automatic Milk Collection Center is a specially designed integrated unit. It is a combination of personal computers (including printers and batteries) to give it many units, namely, this automatic milk weighing system, electronic milk testing, processing and output. High-quality milk procurement centers can buy modern systems, in which the use of automatic milk analyzer (which can show% of fat,% of water of solid fot (SF),% of water, etc.) in place of milk testing device can be done. These large procurement agencies can also adopt web-based data management, in which the farmer-wise data will be sent from AMCU and the payment details will be sent directly to the bank from the milk processing unit. The automatic milk collection units (AMCU) can be made to use the concept of dairy to bank, In which the farmer's bill amount is deposited directly into his account, without going to the bank, he can directly withdraw the amount from the milk collection center according to his / her needs. Some automatic milk collection units (AMCU) are shown in the picture below: -
  2. Capacity: The automatic milk collection station can check 120 to 150 samples of hourly milk, depending on the equipment used, parameters can vary.
  3. Specification: The machinery to be used should be in accordance with BIS specification and the parameters to be measured are as follows: -

(A) Measures of fat: 0-13% (b) Measurement capacity: 120 to 150 operational hours per hour

(C) Power supply; AC 220 to 240 watt 50HZ

In the case of a milk analyzer, the quantity of fat, volume 3 to 15 percent of solid naught fat (SF) and the amount of water and other parameters will also be measured.

(A) Equipment Supplier: Equipment is supplied by many agencies: their names are as follows:

IDMC, Anand (Gujarat) DSK Milktonronics, Pune (Maharashtra), Kamdhenu, Ahmedabad (Gujarat), Dodiya, Himatnagar (Gujarat), Promot (PROMPT), Baroda (Gujarat), Aptel, Anand Gujarat), Capital Electronics, Anand (Gujarat ), REIL, Jaipur (Rajasthan) This list is only illustrative, the appropriate system (system) can be purchased from any reputed agency

A special number / card will be given to the farmer who supplies each milk to the milk collection unit in consultation with the milk processing unit. When the farmer comes to supply milk, his number or card will be used for identification. After feeding the number, sampling will be collected for analysis. Along with that, when milk is put in the container, it will be automatically weighed and the payment slip will be printed by calculating the rate of fat and quantity based on the quantity of milk. Other parameters of analysis will be used in the event of the use of a milk analyzer, and depending on these parameters, it will be displayed while calculating the quantity and rate of milk. Some manufacturers have mobile milk collection units, these devices can be mounted on the vehicle and milk can be procured from different places.

Benefits of Automated Milk Storage Unit (AMCUs)

  1. Savings in quantity of sample milk
  2. Savings in chemicals and detergents
  3. Saving on glassware
  4. Stationery & Time Savings
  5. Savings in spending on employees
  6. Acquiring aatmvi confidence and milk procurement of milk producers through transparent system



Tech support

Since this unit is a coordinated, no technical cooperation has been envisaged for the project, although the establishment of milk union / private dairy plant collection centers and guidance of societies and milk collection centers in the procurement of milk and personnel in operation and maintenance Will provide training. In case of individual automatic milk storage unit, necessary arrangements should be made with suppliers for after-sales service.

capital cost

Capital implications also vary with specifications and manufacturers. However, the average unit cost, including the cost of battery based on information received from the information and fields made by the manufacturers, is estimated to be 1.25 lakhs:

It is believed that the automatic milk collection unit will be able to function in the existing collection center itself, so the civil costs of the automatic milk storage unit were not considered. 1. The contract of the project, based on the various technical economic parameters presented in the contract-1, Preparation has been done and it is presented in contract II. In the items of the business, the expenses incurred on the employees include saving, stationery, chemicals and detergents and saving of sample milk, saving on the cost of glassware and utility items, repair and maintenance etc.

financial analysis

Including the cash flow analysis, profit cost ratio (BCR), net present value (NPW) and internal rate of return (IRR) etc., for the model, I have been presented in contract III. For the model under consideration, BCR 1.41: 1 NPW is 76,800 rupees and IRR is 49%. The full back loan can be repayable in seven years without any rebate. Therefore, the repayment period for the model project has been fixed for seven years (contract IV).

financial help

Automatic milk collection centers will be considered for refinance by National Bank. Therefore, the participants can now consider financing this activity on the basis of technical viability, financial viability and banking viability of the bank project.

Terms of Providing Loan

1. Margin Amount: The milk cooperative society or the milk collection center should normally meet 25% of the project cost with its own resources.

2. Interest Rate: The interest rate will be determined by the financing bank. However, interest rate is considered to be 13.5% per year to prepare the economy.

Security

As prescribed by the Reserve Bank of India.

Insurance

The financing bank should ensure that the milk committee / storage center takes adequate insurance cover for the asset.

Repayment period

On the basis of the total surplus created, the repayment period can be up to 7 years without any exemption period.

Special terms and conditions

Special terms and conditions of the project are given in the contract V.

Annexure-1

Unit cost and technical economics criteria

The order

description

Amount in rupees

A.

Unit cost, bank loan and margin amount

 

1

Cost of automatic milk collection center (Rs.)

125000

2

Margin Amount (Rs)

31250

3

Bank loan (Rs)

93750

 

 

 

B

Income criteria

 

1

Amount of procurement milk (liters / day)

400

2

Number of milk samples / day

200

3

Amount of preserved sample milk (sample per ml)

10

4

Sale of sample milk @ 10ml / sample milk (liters / month

60

5

Sale of sample milk (Rs / l)

24

6.

Savings in expenses incurred on employees (Rs / month)

2500

7

Savings in stationery (Rs / month)

250

8

Savings in cost of glassware (Rs / sample / day)

0.05

9.

Savings on chemistry and detergent

0.1

C

Business criteria

 

1.

Repair and maintenance (Rs / month)

1500

D

other

 

1

Maternal Mortality on Automatic Milk Storage Unit (%)

15

2

Rate of interest (%)

13.5

3

Repayment period (year)

7


Annexure-II

Income and Tax - Automobile Milk Collection Centers

(In lakhs)

The order

description

The year







 


I

II

III

IV

V

VI

VII

1

Amount of procurement milk (liters / day)

400

400

400

400

400

400

400

2.

Number of milk samples per day

200

200

200

200

200

200

200

3

Amount of preserved sample milk (liters / day)

2

2

2

2

2

2

2

A

Income

 

 

 

 

 

 

 

I

Sale of sample milk

0.1752

0.1752

0.1752

0.1752

0.1752

0.1752

0.1752

Ii

Savings at the cost of employees

0.3

0.3

0.3

0.3

0.3

0.3

0.3

Iii

In stationary

0.03

0.03

0.03

0.03

0.03

0.03

0.03

 

Savings

 

 

 

 

 

 

 

Iv

Savings in spending on glassware

0.0365

0.0365

0.0365

0.0365

0.0365

0.0365

0.0365

V

Savings on chemistry and detergent

0.073

0.073

0.073

0.073

0.073

0.073

0.073

 

Total Income (A)

0.6147

0.6147

0.6147

0.6147

0.6147

0.6147

0.6147

B

Occupation

 

 

 

 

 

 

 

I)

Repair and maintenance

0.18

0.18

0.18

0.18

0.18

0.18

0.18

 

Total Vantage (B)

0.18

0.18

0.18

0.18

0.18

0.18

0.18

C

Total surplus (A-B)

0.4347

0.4347

0.4347

0.4347

0.4347

0.4347

0.4347

 

Annexure-III

Financial Analysis - profit cost analysis, net present value and internal rate of return

(In lakhs)

The order

description

The year









I

II

III

IV

V

VI

VII

1

capital cost

1.25







2

Time cost

0.18

0.18

0.18

0.18

0.18

0.18

0.18

3

Total cost

1.43

0.18

0.18

0.18

0.18

0.18

0.18

4

Benefit

0.6147

0.6147

0.6147

0.6147

0.6147

0.6147

0.6147

5

Depreciation at Automatic Milk Storage Center

0

0

0

0

0

0

0125

6

total profit

0.6147

0.6147

0.6147

0.6147

0.6147

0.6147

0.7397

7

Negative profit

-0.8153

0.4347

0.4347

0.4347

0.4347

0.4347

0.5597

8

DF @ 15%

0.87

0.756

0.658

0.572

0.497

0.432

0.376

9

PWC @ 15% DF

1.2441

0.13608

0.11844

0.10296

0.08946

0.07776

0.06768

10

PWC @ 15% DF

0.534789

0.464713

0.404473

0.351608

0.305506

0.26555

0.2781272

11

Net Present Value @ 15% DF

0.76828

 

 

 

 

 

 

12

Profit cost ratio @ 15% df

1.41: 1

 

 

 

 

 

 

13

Internal rate of return

49%

 

 

 

 

 

 

 

Annexure-IV

Repayment schedule- automatic milk collection center

(In lakhs)

The year

Bank outstanding loan


Overall surplus

Payment of interest @ 13.5% pa

Principal repayment

Total occupation

Society Collection

Net return available to center

DSC R


Of the year

in the beginning

At the end of the year







1

0.9375

0.8175

0.4347

0.126563

0.12

0.246

0.188

1.763

II

0.8175

0.6975

0.4347

0.110363

0.12

0.214

0.041

1.66

III

0.6975

0.5775

0.4347

0.094163

0.12

0.208

0.147

1.708

IV

0.5775

0.4275

0.4347

0.077963

0.15

0.191

0.164

1.86

V

0.4275

0.2775

0.4347

0.057713

0.15

0.205

0.15

1.733

VI

0.2775

0.1275

0.4347

0.037463

0.15

0.184

0.171

1.93

VII

0.1275

0

0.4347

0.017213

0.1275

0.173

0.182

2.053

The average DCR / DSCR is 1.81


Annexure-V

Specific terms and conditions

The bank should ensure: -

  • For the funding of the Automatic Milk Storage Center, the Dairy Union / Dairy will identify the Milk Committee / Aggregation Center whose milk aggregation is more than 400 liters per day.
  • The Dairy Federation / Dairy Committee / Aggregation Center will provide guidance for the purchase of Automatic Milk Collection Unit.
  • The Secretary / Workers of Dairy Milk Cooperative Society / Aggregation Center will provide training on the operation and maintenance of the Automatic Milk Collection Unit.
  • Dairy federations / Dairy Milk Cooperative Society / Stationery Centers etc. will be required to supply required stationary etc.
  • The Milk Cooperative Society / Aggregation Center will execute the annual service agreement with the supplier firm for the second year and beyond.
  • The Milk Cooperative Society / Aggregation Center will insure the automatic milk collection center from insurance companies, provided that such type of insurance security is available.
  • Milk Union / Dairy Bank will provide an alliance arrangement for the recovery of loan.

Source: - Regional Branch, NABARD

 

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