PAK RICE MILL

We care and crave with Protection

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Prepared By

Ahsan Nawaz 4169 M. Awais 4154 Qurat ul ain 4151 Sana Rani 4169 Aqsa Gohar 4193

GC University Faisalabad BBA (3 rd evening)

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Topics Introduction Importance of rice Consumption Export of Rice in Pakistan International trade of rice Varieties of Rice Why we chose this

business..? Favorable condition of rice

production

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Jnnj PRM

PAK Rice mill Processing Capacity Categories of PRM Rice Processing story of Basmati in PRM Terminology Types of rice in PRM Feed processing story Strategies for more Production in PRM Investment of PRM Calculations

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Introduction

Rice is the one of the most important food grains. It is used in almost all homes as eatables. It has good filling capacity as a food grains.

Rice is mostly eaten steamed or boiled, but it can also be dried and ground into flour. Like most grains, rice can be used to make beer and liquors. Rice straw is used to make paper and can also be woven into mats, hats, and other products.

Rice is a staple food for a large part of the world's human population, especially in tropical Latin America, and East, South and Southeast Asia, making it the second-most consumed cereal grain. Rice provides more than one fifth of the calories consumed worldwide by humans

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Export of rice in Pakistan Pakistan has exported 3.025

million tons of rice. 0.725 million tons Basmati and 2.3 million irri-6 and other verities.

Total production of rice during the current year is 6.9 million tons while total consumption is 2.8 million tons. Therefore, Pakistan has 3.5 million tons surplus rice for exports that would net the country $3 billion.

The official added that out of total production of 6.9 million tons of rice, production of Basmati is around 4.3 million tons while the remaining 2.5 million tons is Irri-6.

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Consumption Three consumption models can be

distinguish - Asian model: average consumption higher than 80 kg/person per year (China: 90kg, Indonesia: 150kg, Myanmar: more than 200kg, the record);

 - "PVD subtropical" model: average consumption between 30 and 60 kg/person per year (Colombia: 40kg, Brazil: 45kg, Ivory Coast: 60kg);

 - West model: average consumption lower than 10 kg/person per year (France: 4kg, United States: 9kg). Most rice is consumed in the same country that it is produced. This is one of the most important characteristics of the rice production chain. Domestic rice markets are, therefore, very segmented and often one of the most protected.

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International trade of rice International rice trade is estimated between 25 and 27 million tons per year, which corresponds to only 5-6 percent of world production. It makes the international rice market one of the smallest in the world compared to other grain markets such as wheat (113 million tons) and corn (80 million tons).

Besides the traditional main exporters (Thailand, Vietnam, India and Pakistan), a relatively important but still limited part of rice traded worldwide comes from developed countries in Mediterranean Europe and the United States. There are two major forces behind this: new food habits in developed countries and new market niches in developing countries.

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Varieties of Rice Pakistan produces varieties of rice, out of

which following are the popular export Varieties. 1) Basmati 2000 2) Basmati – 385 3) Basmati – 198 4) Super Basmati 5) Basmati 370 6) Kernel 7) Shaheen (Basmati)   Rice Other Varieties 1) IRRI – 6 2) IRRI – 9 3) PG (IRRI) 4) KS 282 5) DR

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Why we Chose this business? Rice is the one of the most important food

grains. It is used in almost all homes as eatables. It has good filling capacity as a food grains. Rice is grown in many regions across India. For about 65% of the people living in India, rice is a staple food for them. India alone has about 45 million hectares of area, and it produces close to 93 million metric tons of rice from 2001 onwards.

It provides employment to 70% of citizens living in village. It is also ranked among the firsts in national productivity. So we can increase our income by this business and decrease our poverty percentage.

By choosing this business we can also reduce poverty from our country

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Favorable condition of rice production

Cultivation of rice is mainly confined to the low lying parts of the Punjab plain and the flooded rivers and canal areas of Sindh. To a small extent it is also grown in the sub mountain districts in the North and the canal irrigated areas. Rice cultivation in N.W.F.P .Baluchistan and Azad Kashmir areas is not more than 1 % to 2 % of their total areas.

In Pakistan Sindh and Punjab are most cultivated area

1.Punjab: In Punjab, the division of Lahore and Gujranwala rank at the top. Also in

Shakhupura, Sargodha, Faisalabad, Multan and Bahawalpur divisions.

2. Sindh: In the province of Sindh, the districts of Sukkur division are most famous for good quality rice cultivation .Larkana district ranks at cultivated in Khairpur, Nawabshah and Hyderabad districts.

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PAK Rice Mill

“The finest rice is from Pakistan whatever the brand name.”

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Processing Capacity

PRM maintains quality and sustains a balance of production and time. The unit-wise distribution is as follows:

Parboiled unit: - 52 ton/ day Processing unit I: - 5ton/HR Processing Unit II: - 7 Ton/HR PRM is designed keeping in view the

instant honor of huge supplies to the markets with optimum quality

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Categories of PRM

Selected Products Parboiled IRRI6 Parboiled Super basmatiRelated products Non basmati rice 1121 basmati rice High quality basmati rice

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Processing Story of Rice

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Terminology

Rough rice Brown rice, husked rice or cargo

rice Milled rice Milling recovery Milling degree Head rice Head rice recovery

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Types of rice in PRM

Basmati verities in PRM Pakistan Super Basmati White Rice

(Silky, Double Polished and Color Surtaxes)

Pakistan Super Basmati Parboiled Rice

Extra long Grain 1121 parboiled Rice

Non Basmati verities in PRM Pakistan Basmati 386 White Rice

(Silky, Double Polished and Color Sortexed

Pakistan Irri - 9 Parboiled Rice Pakistan Irr-6 Parboiled Rice

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Feed processing story

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Strategies for more Production in PRM

The above objectives will be pursued through the following strategies:

• Improve grain/product quality and develop technologies to minimize losses and explore,

Facilitate & link production with market. • Improve local varieties and develop improved

varieties of rice, maize, oilseeds, wheat and Other cereals and grain legumes specific to

different AEZs. • Adapt and evolve appropriate crop husbandry

and management practices, including soil nutrients and water management, for

optimizing crop production processes. • Identify or develop suitable integrated pest

management (IPM) methods to minimize yield

losses caused by weeds, diseases and insect pests.

• Conduct relevant research on post production technologies and recommend appropriate

measures for grain/product quality improvement.

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Investment of PRM The investment cost for setting up a Rice mill with a

capacity of 4 TPH (tons per hour) will be Around Rs. 8.69 Corers and the breakup of the cost is

tabulated below. The land requirement will be around 4 acres. The pre-

operative expense includes Interest during construction of Rs 0.63 Corers. Plant

& Machinery including Installation, erecting & commissioning charges are of

Rs. 2.80 Corers and the cost of electrical infrastructure & furniture & fixtures

works out to Rs. 0.20 Corers. Buildings and civil works are estimated to be Rs. 2.02

Corers. Contingencies, Electricity deposits are also considered in the project

cost. Margin money for Working capital is estimated to be Rs. 1.32 Corers

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Calculations

Project Cost Means of Finance Profitability

Assumptions: Yield and Production: Key Financial

indicators:

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Final product

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