8/12/2019 Aryn Cola Logo
1/16
OPERATIONAL FEASIBILITY
Project inputs
Proposed Capacity
We will produce 60,000 bottles of soft drinks per day. Our machinery capacity is more than that
but we will reduce the production at initial stage. According to the market when we gain
market share and brand loyalty than we will increase our production according to the customer
demand.It is proposed to produce following flavor
Orange flavor
cola flavor
Lemon flavor
Peach flavor
Apple flavor
Land
The total land requirement would be of 30 kenal or 135,000 sq ft to install various facilities ofthe project, inclusive of machinery, office building, two warehouses and one hotel.
Suitable Locations
We will select Gujar Khan industrial state because of following reason;
Raw material such as water easily available.
Technical and skilled labors are easily available.
We will get sugar from Punjab province and also easily from KPK province because Gujar
Khan is situated in middle in time of shortage we will easily move from one province toanother.
We will easily distribute our products in big cities such as Rawalpindi, Islamabad,
chakwal Lahour, Peshawar so on because they are nearly to Gujar khan city.
Gujar Khan industrial area is attach with GT Road so we will get raw material in time and
provide goods to the market in time and earn profit.
8/12/2019 Aryn Cola Logo
2/16
So because of the above reason we select Gujar khan industrial state for starting of our
business.
Related Building:
After the selection of location and land required the next step will be to determine andinvestigate the requirement of building for running the operation of business in efficient
manner.
We will need following building:
Office building:
We need office for different departments for the running of activities in efficient
manners. Our total Office building will be consisting of 6,750 square feet.
Warehouse for raw material:
Basically we need two Warehouses one for raw material and second for finish goods so
our raw material warehouse will be consisting of 31,500 square feet.
Warehouse for finish goods:
Our second warehouse for finish good will is consisting of 31,500 square feet.
Hotel:
Hotel is necessary to meet the food needs of worker so hotel building will be consisting
2,250 square feet.
Equipment Required:
We will need following office equipment to run the operation in efficient manners:
Computers
Printers
Telephones
Fax machines
Fans
Air condition
Furniture and fixture
8/12/2019 Aryn Cola Logo
3/16
Machinery Required:
Supplier:
Following machinery we will import from china because the price of machinery in china is lessas compared to Japan and other countries.
Following machinery is possible to require for the purpose of running of our business in
efficient manners.
Water treatment machine:
Follow are the characteristics of such machine;
Producing process of machine:
Raw
water
Quartz
sand filter
Active
carbon filt
Sodium
filter
Ozone
sterilizer
Precise
filter
UV
sterilizer
Reverse
osmosis
Pure
water
8/12/2019 Aryn Cola Logo
4/16
With the quartz sand filter, active carbon filter, sodium filter, the hydronium, organic
substance, colloid, bacteria and other impurity will be cleared from the water.
with the high precise membrane, any substance in the water more than 0.001 micron
will be rejected, and also the salt species material, bacteria and heat source can be get
rid. Make sure the water absolutely health.
The control system in the machine can be with automatically style and manual style. The
self-set program control system can implement the automatic running mode, and the
working speed can be adjusted by transducer.
The manual mode can be use while the device is debugging and maintaining;
Capacity:
Water purification machine capacity is 2000 liter per hour.
Automatic Carbonated Drink Glass Bottling Machine
The washing machine is rotating rinsing system, which is with self-locking structure
which guarantees catching bottles steady.
The filling part adopts high precision filling valves, which makes the filling fast and also
with high precision of the liquid surface. The guidance on the use of leveraged to have
pre-cover features, smooth and reliable access to bottles, the filling material level and
back-pressure cylinder to achieve automatic control, working conditions and parameterscan be displayed in the control cabinet;
The capping machine adopts the magnetic screw capper, and it has the function of
overload protection, it makes capping more accurate and reliable.
8/12/2019 Aryn Cola Logo
5/16
The machine uses the frequency steeples speed regulation, and the main body adopts
the PLC computer-controller, it has the function of filling with bottles, not filling without
bottles.
Positioning of the bottle mouse makes the filling, washing and capping more precise.
The main body adopts the tooth-belt transmission and gear box combination of open
transmission with high efficiency and low noise.
Capacity:
Glass Bottle Carbonated Drink Filling Machinery, capacity is in 3000-12000 bottles/hour.
It is widely used in Juice Drink, Alcohol Drink, Wine, Carbonated Drink, and Beer...
Carbonated Beverage Packing Machinery:
Follow are the characteristics of such machine;
The carbonated filling Mono-bloc is used to bottle carbonated beverage such as Coca
cola, Pepsi, Sprite, soda water and so on. This machine is integrated with washing,
filling and capping in one machine. It takes bottle handling technology, which makes
changing different size bottle more easily. It can do the bottles from size 200ml to
2000ml. And little spares are need when changing bottles. We suggest users to take
same specification bottles, especially the same bottle neck. Our mono-bloc uses high
quality stainless steel 304, which makes sure the quality of the products. The washing
we take reversing bottle methods. It has so many washing heads which will spray the
inside of the bottle after the bottle is reversed. After washing there will approximate 2
seconds dropping water. The filling technology is named "Counter pressure filling", it
means when bottle enter into the filler, the filling tank will firstly inputting enough
pressure to the bottle. Just after the pressure in tank is same as the bottle, filling begins.
Capping we use magnetic capper. And capping power can be adjusted. We equip the
machine with "No-bottle, No-Cap" system. If there is no bottle, the caps feeding will be
8/12/2019 Aryn Cola Logo
6/16
stopped. The capper feeder is stand beside the mono-bloc, which is parallel to the
machine
Capacity:
Carbonated Beverage Packing Machinery capacity is in 2000-24000 bottles/hour
Automatic Bottle Labeling Machine:
The Features of the equipment:
The machine is made of stainless steel and high quality of aluminum alloy, the reasonabl
e, intat frame, it is easy to adjust.
The feet bolt is not needed, easy to move suitable for different place.
The shrinkable film roll with adjustable locking gear, can be adjusted according to differe
nt roll 5-10
The applicable bottle is the machine square bottle and round bottle
Without tools, the driven machinery can be adjusted to meet different bottle size
Particular inserting label ways, i.e. inserting label, it is reasonable and convenient.
Full automatic feeder, the flat shrinking and tension are adjusted together.
It is assured to low error that there is inspection of rolling label cut.
Particular blade design, blade base can be change by free, changing blade quickly and co
nveniently.
It is easy to change the central clamping device without any tools.
Oriental rolling label device can be lifting synchronal.
The separating bottle screw, oriental belt and conveyor are adjusted synchronal, it is eas
y and quick to do.
Adopting ANCHUAN servo motor made in JAPAN and sensitive photo electricity, to insur
e the precision of cutting label.
Stainless steel electric controller, adopting Mitsubishi PLC made in Japan
Adopting advanced manmachine automatic controlling technology, main component adopts famous brand.
Capacity:
Automatic bottle labeling machine capacity is 8000-15000 bottles/hour
8/12/2019 Aryn Cola Logo
7/16
Our Company Manufacturing Process
Clarify the
water
Filling
Sterilizing
process
De-
chlorinating
Carbonating
the beverages
Filtration
process
Mixing the
ingredients
Packing Storage
8/12/2019 Aryn Cola Logo
8/16
Availability and Suitability of site:
Raw material
Labour Transportation
Production inputs (electricity, natural gas)
Analyze other environmental impacts
Identify regulatory requirements
Economic development
Potential emissions problems
Raw material required:
Water
Sugar
Citric Acid (Taste like lemon)
Carbon dioxide
Essence
Caustic Soda
Liquid Glucose
PROCESS:
The main process steps are:
Making concentrate of sugar, glucose, citric acid, essence and preservatives.
Feeding the concentrate into dosing machine.
Releasing the concentrate in each bottle in a required proportion.
Filling the bottle with treated water.
Placing crown-cork on the bottle and passing through a shaker for proper
mixing.
8/12/2019 Aryn Cola Logo
9/16
Need of water:
Water is very important for beverage industry. At least 86% of soft drinks are purified water.
Water availability is good in Gujar khan industrial area. One most important factor must be
considered and that is Doonngi dam. Such dam is nearly situated to the industrial area in Gujar
khan so due to that reason it is easily determined underground water is available so we fulfill
our need of water easily through tube wells.
Need of sugar:
Sugar is another important raw material for our company so we will fulfill our needs of sugar in
future from following sugar mills in KPK.
Sugar price:
According to the price list of Peshawar Sugar price per Kg in KPK is Rs. 53 in open market andRs.48in Utility store Dated: 21/05/2014.
Sugar Suppliers:
Company Name Location
Punjab Zone
1. Ashraf Sugar Mills Limited Ashrafabad / Bahawalpur
2. Adam Bahawalnagar / Bahawalnagar
3. Pattoki Sugar Mills Limited Kasur
4. Haq Bahu Sugar Mills Limited Jhang
5. Kohinoor Sugar Mills Limited Khushab
KPK Zone
6. Premier Sugar Mills Takht-I-Bhai, Mardan
7. Khazana Sugar Mills Mardan.
8. Frontier Sugar Mills Khazana, Peshawar
8/12/2019 Aryn Cola Logo
10/16
Carbon Dioxide:
Sparkle gives soft drinks their special sparkling appeal and is added during production by
injecting CO2 into the product on the way to the filler .Carbon dioxide adds that special sparkle
and bites to the beverage and also acts as a soft preservative. Carbon dioxide is a uniquely
suitable gas for soft drinks because it is inert, harmless, and relatively inexpensive and easy to
turn to liquid. Carbon dioxide easily available in open market.
Electricity and Gas:
All over the Pakistan all industries face the electricity and gas problem due to that problem they
face difficulty to run their operation. In Gujar khan industrial area such problem also exist so to
solve this problem for the purpose of running of our operation is efficient manner we us the
Generator.
Labour:
In Gujar khan employment opportunities are not so much available for both skilled and
unskilled people due to that reason they went to Rawalpindi and Islamabad for the purpose of
employment. If we established a company in Gujar Khan we can get unskilled labour easily and
cheaply because people are agreed to work on cheap rates. On other hand the education level
is also good in Gujar khan as compared to other area and educated and technical people also
available so we get skilled and unskilled labour easily and also provide employment
opportunities to those people and improved living standard of Gujar khan people.
Wage rate in Gujar Khan is Rs.400 per day.
Government rule and regulation:
We will follow the rule regulation for the purpose of establishing of our company. Gujar khan
industrial area is free tax zone so it is beneficial for us to maximize our profit.
Transportation Infrastructure:
Gujar khan industrial area is attach with GT Road so this will be beneficial for us because
transportation play a very important role in success of any business in this way we will get raw
material in time and provide goods to the market in time and earn profit. We will hire the
trucks and Shazur at rent for raw material and distribution of finish goods to the distributor and
retail stores.
8/12/2019 Aryn Cola Logo
11/16
Analyze other environmental impacts:
POLITICAL Environment:
The governments stabilityplays a great role for any industry. In Pakistan, government faces
a lot of difficulties from terrorism, clash with Supreme Court another political issues like
corruption and Swiss bank accounts. These all activities effect badly on the industries and
no one is ready to invest in the country. Recently the electricity shortage problem, caused
due to mismanagement and negligence of government also created lot of problems to the
operations of the industry.
ECONOMICAL Environment:
The economic conditions Pakistan are not very favorable and the economy is facing
problems, Because of high inflation and low procurement power In Pakistan can affect our
ability to capture many potential customer of the large Pakistani population but if thecountry is out of its current economic problems it can create stability and boost the
beverages industry and also beneficial for us.
SOCIAL Environment:
Pakistani People are becoming more attractive towards the branded products. Today
people are more health conscious. As the awareness in people is rising they are becoming
more and more health conscious it is becoming fashion and young generations as well as thechildren are getting more attracted towards this industry so social condition is good for us
in Pakistan. One major social movement of recent decades has been the trend towardgreater health consciousness so we must take care the environment and health of the
people in this way we will can get competitive advantage.
Economic development:
In Gujar Khan we will be first to established such size of industry so we will provide
employment opportunities to skilled and unskilled labour in this way it help the people of Gujar
khan to improve their living standard in this way it will help the economic development of
Pakistan.
8/12/2019 Aryn Cola Logo
12/16
Potential emissions problems:
Following some problems are related all of beverages industry
Water problem:
Water plays a very important role in the manufacturing and processing of the beverages. The
beverage industry could not function if it didnt have water for processes like cooling,
condensation, steam production and the disposal of certain wastes. Some groundwater
problems can arise because most of the beverage industries use groundwater as a source of
water they need for the production of their drinks.
Solid waste:
Another important issue is of the solid wastes; according to estimation 1kg of produced
beverages generates residues between 5kg to 50 kg. Organic residues are a significant part ofthe solid organic residues in the beverage industry.
Emission of green house Gases:
The other major environmental issue is the emission of green house gases (GHGs). They
basically come from the burning operation of the plant i.e. the fossil fuel combustion which
releases gases like (CO2, CH4 and N2O). Other gaseous emission comes from the processes
themselves which contains particulate matter, volatile organic compounds, solvents, ammonia
and halogens. The production of these green house gases harmful for environment so we will
must take care to reduce such gases and protect the environment.
8/12/2019 Aryn Cola Logo
13/16
FINANCIAL FEASIBILITY
Total cost of land:
Description Area in kenal Price per kenal Total cost (Rs)
Land 30 500,000 15,000,000
Building Constructions Cost
Description Area in sq.ft Cost / sq.ft Total cost (Rs)
Office building 6750 (1.5 k) 1400 9,450,000
Warehouse for raw material 31500 (7 k) 1200 37,800,000
Warehouse for finish goods 31500 (7 k) 1200 37,800,000
Hotel 2250 (0.5 k) 1200 2,700,000
Total 87,750,000
8/12/2019 Aryn Cola Logo
14/16
Distribution of Land:
Office Equipment required:
Description Qty Cost/Unit Total Total cost (Rs)
Computers 40 10,000 400,000
Printers 10 6,000 600,000
Telephones 40 1,800 72,000
Fax machines 10 10,000 100,000
Fans 40 4,000 160,000
Air condition 14 60,000 840,000
Furniture and fixture - - 1,000,000
Total 3,172,000
Warehouse for raw material
(7 Kenal)
Water treatment
machine
(2 Kenal)
Bottling machine
(2 Kenal)
Bottle filling machine
(2 Kenal)
Packing machine
(2 Kenal)
Warehouse for
finish goods
(7 Kenal)
Hotel
0.5 k
Office
Building (1.5
kenal)
Main Gate
8/12/2019 Aryn Cola Logo
15/16
Machinery Required:
Following machinery is possible to require for the purpose of running of our business in
efficient manners.
Description Qty Cost price in dollar Cost price in Rs
Water treatment machine 1 $100,000 10,000,000
Automatic Bottling machine 1 $21,500 2,150,000
Automatic packing machine 1 $29,500 2,950,000
Automatic labeling machine 1 $15,000 1500,000
Total 16,600,000
Human Resource Requirements
The possible human resource requirements for the project are provided in the following table:
Description Qty Per Month
Salary
Total Monthly
Salary
Annually Salary
CEO 1 120,000 120,000 4,320,000
Department managers 6 60,000 360,000 1,440,000Assistant managers 12 40,000 480,000 5,760,000
Supervisors 12 30,000 360,000 4,320,000
Procurement Dept staff 30 15,000 450,000 5,400,000
Production Dept staff 80 15,000 1200,000 14,400,000
Marketing Dept staff 30 15,000 450,000 5,400,000
R&D Dept staff 10 15,000 150,000 1,800,000
HR Dept staff 20 15,000 300,000 3,600,000
Accounting and Finance staff 20 15,000 300,000 3,600,000
Security Gourds 6 8,000 48,000 960,000
Office boys 4 8,000 32,000 1,440,000
Sweepers 15 8,000 120,000
Total 246 4,370,000 52,440,000
8/12/2019 Aryn Cola Logo
16/16
Note:The staff salaries are estimated according to the market trends; however, the investor may
set different pay scales.
Total Cost of Project:
Description Amount in (Rs)
Land 15,000,000Building Construction cost 102,750,000
Furniture & fixture 1,000,000
Office equipment 3,172,000
Machinery Cost 16,600,000
Human resource 52440000 (Annually salary)
Total Capital cost 163,762,000 *1/4 (working capital)
Working capital 40,940,500
Total project cost 204,702,500
Project Financing
Description Percentage Amount in (Rs)
Equity financing 60% 122,821,500
Debt financing 40% 81,881,000
Total 20,470,2500
Top Related