TECHNO-ECONOMICS OF DAIRY BUSINESS IN INDIA
% |
Category |
QTY. Kgs. |
Fat % |
S.N.F.% |
Rate/K.g. Rs.. |
Price Rs. |
100 |
B.M. |
100 |
6.5 |
8.84 |
13.65 |
1365 |
100 |
C.M |
100 |
3.5 |
8.5 |
9.659999999 |
966 |
50/50 |
M.M |
100 |
5 |
8.67 |
11.655 |
1165 |
Specified Rate for Buffalo Milk=Rs.210/Kg. Fat {Assumed Annual Average} |
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Or Rs. 13.65/Kg. For 6.50% Fat & 8.84% S.N.F. (29 C.L.R.) |
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Corresponding rate for Cow Milk 3.50% Fat & 8.50% S.N.F (30 C.L.R) |
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Rs. 9.659999999/Kg.say 9.66/Kg. For 3.50% Fat & 8.50 % S.N.F.{60:40Basis} |
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Rs.9.625/Kg @ B.M. Rates (Conventional Calculations 1/2x210 for Fat &1/3x210 for S.N.F.){Diff.=0.034999999} |
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Mixed Milk Composition: 5.00% Fat & 8.67% S.N.F. (29.50 C.L.R) {50% B.M.& 50 % C.M.) |
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COST OF STANDARDIZED MILK 4.50% Fat & 8.50% S.N.F. Prepared from 100% Buffalo Milk {60:40 Basis} |
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Qty.Kg |
Fat Value Rs. |
Fat% |
S.N.F.% |
S.N.F. Value Rs. |
Quantity Kgs. |
Rate Rs./Kg. |
100 |
8.19 |
6.50% |
8.84% |
5.46 |
100 |
13.65 |
144.4 |
5.67 |
4.50% |
8.50% |
5.25 |
104 |
10.92 |
NET VALUE:Rs.10.92/Kg. or 11.26944/Liter say Rs.11.27/Liter |
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COST OF STANDARDIZED MILK 4.50% Fat & 8.50% S.N.F. Prepared from 100% COW MILK {60:40 Basis} |
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Qty.Kg. |
Fat Value Rs. |
Fat% |
S.N.F.% |
S.N.F. Value Rs. |
Quantity Kgs. |
Rate Rs./Kg. |
100 |
5.795999999 |
3.50% |
8.50% |
3.864 |
100 |
9.66 |
128.6 |
7.452 |
4.50% |
8.50% |
3.864 |
100 |
11.31 |
NET VALUE: Rs.11.31x29/30=Rs.10.933/Kg or Rs.11.26944/Liter say Rs.11.27/Liter |
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COST OF STANDARDIZED MILK 4.50% Fat & 8.50% S.N.F. Prepared from 50% Buffalo Milk & 50% Cow Milk {60:40 Basis} |
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Qty.Kg. |
Fat Value Rs. |
Fat% |
S.N.F.% |
S.N.F. Value Rs. |
Quantity Kgs. |
Rate Rs./Kg. |
100 |
6.993 |
5.00% |
8.67% |
4.648139999 |
100 |
11. 655 |
111.1 |
6.2937 |
4.50% |
8.50% |
4.556999999 |
102 |
10.85 |
Or Rs.11.2701623969/Liter say Rs.11.27/Liters. Total Handling Cost of Pasteurized Milk as assessed by a reputed business house in India:=Rs.3.16/Liter. Let us assume Total Milk Handling Cost as Rs.4.00/Liter (Including unforeseen expenses/handling losses) TOTAL COST OF PASTEURIZED MILK (6.50% Fat / 8.84% S.N.F.)=Rs.(13.65+4.00)=Rs.17.65/Kg. or Rs.18.21/Liter TOTAL REVENUE FROM PASTEURIZED MILK (6.50% Fat & 8.84% S.N.F.)=Rs.23/Liter NET PROFIT FROM PASTEURIZED MILK (6.50% Fat & 8.84% S.N.F.)=Rs.(23-18.2148)=Rs.4.7852/Liter {20.80% of turnover} ANNUAL PROFITS FOR DAIRY PLANT HANDLING 1 L.L.P.D.=Rs.17,46,59,800 COST OF STANDARDIZED MILK Prepared from Buffalo Milk, Cow milk or Mixed Milk=Rs.11.27/Liter TOTAL COST OF STANDARDIZED MILK(Sourced from B.M.,C.M. or M.M)= Rs.(11.27+4.00)=Rs.15.27/Liter REVENUE FROM PASTEURIZED STANDARDIZED MILK=Rs.21.00/Liter ANNUAL PROFITS FOR DAIRY PLANT HANDLING 1 L.L.P.D.=Rs.20,91,45,000 |
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CONCLUSIONS:
Note: Arithmetical calculations relating to profitability of dairy business quoted herein are accurate, authentically verified and testified by professional experts associated with our organization. |