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SUBMITTED BY:- 1. PALLAV KUMAR (PG09- 071) 2. RAJDEEP GHOSH (PG 09-081) 3. SATAPHUL SAHA CHOUDHURY (PG09-96) 4. SNEHADIP SINHA (PG 09 101) 5. UJJAL KR. JANA (PG 09-111) 6. UTTAM KR. PATRA (PG 09-112) ASSIGNMENT ON NEW PRODUCT DEVELOPMENT SUBMITTED TO ANUBHA VASHISHT

New product development -- Packaged Sugarecane juice

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Page 1: New product development -- Packaged Sugarecane juice

SUBMITTED BY:- 1. PALLAV KUMAR (PG09-

071) 2. RAJDEEP GHOSH (PG

09-081) 3. SATAPHUL SAHA

CHOUDHURY (PG09-96) 4. SNEHADIP SINHA (PG

09 101) 5. UJJAL KR. JANA (PG

09-111) 6. UTTAM KR. PATRA (PG

09-112)

ASSIGNMENT ON NEW

PRODUCT DEVELOPMENT

SUBMITTED TO ANUBHA VASHISHT

Page 2: New product development -- Packaged Sugarecane juice

Index

1. Executive summary

2. Overview of the industry

3. Product marketing 4. Market information

5. Finanacial Policy 6. Production process 7. Operations

Page 3: New product development -- Packaged Sugarecane juice

Executive summary:

Freshly extracted sugarcane juice is a very popular drink in India because of its delicate aroma,

taste and low cost. It is a common practice in India to dispense the juice fresh either as such or

with the addition of limejuice and/or fresh ginger extract in glasses. The major problem

encountered in this operation is the lack of hygiene resulting in contamination of the juice with

the heavy load of micro-organisms which arises due to improper cleaning of the sugarcanes and

handling of the finished product. Raw sugarcane juice is carbohydrate rich, minerals (like iron,

magnesium, phosphorous, calcium), low organic acid (e.g. malic acid, succinic acid, acotinic

acid) food and is therefore susceptible to the growth of yeasts, of spoilage bacteria and also of

pathogenic bacteria. Such freshly crushed juice cannot be preserved even for a few hours since it

is known to ferment very quickly.

Sugarcane juice industry is a business idea that deals is products. Our product is sugarcane juice

in tin pack or pet bottles. But the problem with this is that it cannot be preserved for long time.

The methodology used in India is quite old and so people normally don’t go for this sector

because of the risk of low self life. But increasing technology and research has made it possible

and now in many of countries it’s produced on commercial basis and their sales are quite high

especially in Middle East countries. This juice is widely used in hot weather conditions.

The supply of sugarcane is not a big problem. India has known as the original home of sugarcane

and second largest producer next to Brazil. Presently, India produces about 355 million tonnes of

sugarcane in an area of 4 million hectares. Of this, about 46% goes for the manufacture of while

crystal sugar and around 42% for gur/khandsari production. The remaining quantity is available

for the manufacture of sugarcane juice.

Our initial product to start 250 ml sugarcane juice paper pack, 500 ml paper pack and1 ltr pvc.

The sugarcane juice preserved and packed has a good storage life and is available during off-

season also. Future prospects are addition in the product line and setting out executive

distribution channels, and planned are for KSA market in future.

Overview of the industry:

Opportunity Rationale:

Our business is the part of fruit and vegetable industry in India. The fruit juice industry coupled

with beverage industry is considered to be one of the largest industrial sectors in India. It is to

growing at a robust rate of 27%. Modernization of this industry, in consonance with the change

in urban life style, massive shift of rural population to the urban areas, growth in population, etc.,

predict a growing potential for instant solutions in fruit juice segment of the beverage industry.

Agriculture is the largest income and employment generating sector of Indian economy. About

Page 4: New product development -- Packaged Sugarecane juice

1/3rd

population of the country resides in rural areas and directly or indirectly depend on

agriculture for their livelihood. The sector provides raw materials to the industrial sector and is

an important source of demand for its product. The past experience shows that period of

high/low agricultural growth have generally coincide with period of robust of poor performance

of the national economy. Currently juice industries are high profit because of the demand for the

products and the climate conditions. However there are areas which has not been catered before

such as sugarcane juice this is because generally people perceive that its cannot be preserved for

long time so they don’t go for the use of technology and research for catering and taking benefits

from this wrong perception.

Traditionally in India and generally all over the world people prefer to use natural drinks rather

than carbonated soft drinks and this perception is gaining more currently day by day which also

adds to the advantage of the fruit juice industry. Common people especially young generation is

included to have ready to consume drinks; in addition hotels, hospitals are also expanding day by

day where juices could be marketed successfully. Moreover the global trend of preferring fresh

fruits and juices also marks possibilities of growth in this sector. Furthermore, the growing

exports volume and withdrawal of CED (customer and excise duty) on fruit juices (produced

locally) could further supplement significant growth in the fruit juice industry.

DATA-Top sugarcane producer:

Country Production

(Tonnes)

Brazil 514,079,729

India 355,520,000

People's Republic of China 106,316,000

Thailand 64,365,682

Pakistan 54,752,000

Page 5: New product development -- Packaged Sugarecane juice

Mexico 50,680,000

Colombia 40,000,000

Australia 36,000,000

United States 27,750,600

Philippines 25,300,000

World 1,557,664,978

Source: Food And Agricultural Organization of United Nations: Economic And Social

Department: The Statistical Division

In India, the states of Uttar Pradesh (38.57 %), Maharashtra (17.76 %) and Karnataka (12.20 %)

lead the nation in sugarcane production.

Our company Fiscon Agro Pvt. Ltd. is going to introduce a new fruit juice -----------“Ganna

Cool” which is made off Ganna Ras. It is purely natural and health drink and it will be launched

at national level within 45 days. After this launch we planned to offer a public issue for further

expansion.

Idea Generation:

Indians are fond of Ganna Juice irrespective of the age barrier. As sugarcane juice has various

benefits to human body but unfortunately in India there is no packaged Ganna juice. As a result

they are bound to drink unhygienic juice supplied by the local street vendor and they are not

getting the benefits of ganna juice. From our market study we came to know that people want

hygienic Ganna Juice and for that they are ready to pay more.

Idea screening:

At the initial stage we thought that we will offer Ganna Cool with different flavour like lemon,

ginger, elichi, pudina and kesar. But after detailed research we found that elaichi, ginger and

Page 6: New product development -- Packaged Sugarecane juice

kesar are not at all adding any value to the ganna juice. So we drop the idea of offering elaichi,

ginger and kesar flavour. We decided to go with lemon and pudina flavour.

Product and its applications

Basis and presumption

a) The unit proposes to work at least 200 days per annum on single shift basis.

b) The unit can achieve its full capacity utilization during the 3rd year of operation.

c) The wages for skilled workers is taken as per prevailing rates in this type of industry.

d) Interest rate for total capital investment is calculated @ 12% per annum.

e) The entrepreneur is expected to raise 20-25% of the capital as margin money.

f) The unit proposes to construct own building as per F.P.O. specifications.

g) Costs of machinery and equipment are based on average prices enquired from

machinery manufacturers.

Implementation schedule

Project implementation will take a period of 8 months. Break-up of the activities and relative

time for each activity is shown below:

Scheme preparation and approval : 01 month

SSI provisional registration : 1-2 months

Sanction of financial supports etc. : 2-5 months

Installation of machinery and power connection : 6-8 months

Trial run and production : 01 month

Pollution control

The bagasse from the cane should be disposed off quickly or dried at a distant place since it

attracts flies and ferments leading to foul odour.

Energy conservation

The fuel for the steam generation in the boiler is coal or LDO depending upon the type of boiler.

Proper care should be taken while utilising the fuel for the steam production. There should be no

leakage of steam in the pipe lines and adequate insulation should be provided.

Production capacity

Quantity: 6 lakh bottles/annum or 3,000 bottles/day

Value: Rs. 72 lakh

Installed capacity: 8 lakh bottles/annum

Working days: 200/annum

Optimum capacity utilization: 70%

Manpower: 22

Page 7: New product development -- Packaged Sugarecane juice

Utilities

Motive Power: 20 kWH

Water: 10 kL/day

Fuel: Dry bagasse can also be used

Target Customer:

Our potential customer will be every kind of individuals. However we will segment our market

on the basis of their priority and attributes towards hygienic products. Initially to minimize our

risk we will cater on the metros in India then depending upon the demand and our finance

capacity we will expand our production and distribution to other cities of India. Our customer

will be:

Students at every level from school to universities.

Employees who works entire day.

Households and passengers.

In summer session every kind of people with no age limit use this juice because of unhygienic

products most of the people avoid this. We will specially target those kinds of people.

Product characteristics:

• Attributes

• Hygienically extracted

• Rich in organic salts

• Contains 15% natural sugar

• Low glycemic index

• No artificial sweetener

• Rich in carbohydrates, vitamins and roughage

• Low calorie juice with medicinal properties.

• Available in multiple flavors – Mint, Ginger, Chat Masala and Lime

• Benefits

• Natural thirst quencher

• Instant rejuvenation

• Innocuous to health

• Prevents cold n flu

• Cures jaundice

• Cures eye disorders

• Prevents cancer

Our competitors

• Manufacturers and producers of:

Page 8: New product development -- Packaged Sugarecane juice

– Aerated drinks

– Branded and unbranded fruit juices

– Fruit based milk drinks

– Natural mineral water

– Fruit shakes

– Branded and unbranded coconut water

Segmentation

Geographic Segmentation

– Rural areas

– Urban areas

– Densely populated regions

– Regions with predominantly hot and arid climates

Demographic Segmentation

– Individuals with age 3 years and above.

– Individuals across all income groups

– Working and non-working individuals

– Students

– Institutions and offices.

– Restaurants & hotels

– Retail shops

Psychographic Segmentation

– Health conscious consumers

– Consumers who have inclination towards nature and natural products

– Quality conscious consumers

– Consumers who have diverse tastes and seek variety

Non-users and potential users

Marketing Mix:

Promotion

– Constantly in line with the USP of quality, hygiene and health

– Advertisements in television and radio would also convey the brand promise by

highlighting the USP.

– Sponsorship of TV and radio telecasts to aid in brand building and creating top of

mind recall.

– Use of trade promotion to an extent.

Place

– Use attractive POS displays at all retail outlets

– Ensure availability to keep up with the brand promise of quality service

Page 9: New product development -- Packaged Sugarecane juice

Product

– Pure and tasty product packaged in attractive eco-friendly packages which are

convenient to use.

– Packages would use attractive color schemes and would highlight the brand name

and the logo with all mandatory information about its nutritive value.

– Different color schemes to be used for different variants mentioned earlier.

Price

– Each unit would cost the customer between Rs.8 to Rs.10 depending on the flavor

chosen and the local taxes of the corresponding state.

– Price should be clearly printed on the package.

And Finally…..

• Ganna-Cool and all its employees shall align themselves with the brand promise and

strive constantly to deliver it in the best possible way at each point of consumer contact.

• Every touch point shall deliver the promise of the brand in the best possible manner.

Further improvements shall be made on the basis of customer feedback, complaints and market

research findings.

Unique selling proposition (usp):

The proposition must be so strong that it can move the mass millions, i.e., pull over new

customers to your product. Each advertisement must make a proposition to the consumer. Not

just words, not just show-window advertising. Each advertisement must say to each reader:

“Quality, hygiene & health” Positioning statement

For every individual, who wants a 100% natural product that offers rejuvenation and freshness,

the Cane-o-cool is a packaged drink that provides energy and refreshment at affordable prices,

best quality and value for your money.

Company Impact:

It is quite a new idea which has not been yet commercialized because of the lengthy and risky

procedures of preserving this juice. This juice is need not to be marketed so much because it is a

new thing which people will try and love a lot. Simply we can place it on college cafeteria, office

cafeteria, grocery shops, the only thing we must do is to ensure its shelf life and long

preservation time.

Company strategy:

In first year our company, will market in the metros only. Then looking our sales history we will

expand our business opportunities in other cities of India.

Page 10: New product development -- Packaged Sugarecane juice

Product marketing:

The marketing and promotional activities of fruit juice and related commodity groups are crucial

in increasing the demand for fruit juices. This activates includes but not limited to promotion

advertising, and new product development and packaging innovation .marketers adopt their

strategies in accordance with specified customers wants and needs. They also create product

image and influence consumer purchases. Often consumer demand for process food like juices

are difficult to categorise. Consumer tends to purchase products that cover a broad spectrum of

price and value combination. Servicing the educated and health conscious consumer who reside

in Ahmadabad and same type of consumer in Kolkata and other metros is a complex role which

marketers strive to master .in this type of areas people use pure fruit juice at least once a day.

This market could be catered through intensive marketing distribution channel and promotion

campaign on TV or in other sophisticated area.

With technological advancement marketing of fruit juice improved likes other

food items. Recent innovations appearing on super market self’s are single serving aseptically

packaged fruit juice and fruit juice.

Marketing infrastructure which includes refrigerated facilities at retail and wholesale

markets is correlated to the consumer demand for high quality produce.

It is important the USP of the product should be sophisticated and healthy

packaging, less use of preservative and clearly mentioning of purity of the juice.

For a fruit juice business the advertising budgets is 5% of total revenue. But for a

small and medium scale company it may be higher. The medium for advertisement are billboard,

TV, radio, newspaper, magazines and internet.

Distribution channel for fruit juice:-

The distribution channel should be intensive using all the modes of

distribution (hybrid channel).

Road side stand: - Road side stands in the peak season of the fruit will be helpful for the juice

producer to develop the brand awareness.

Advantage:-

1. It will help in managing time more efficiently between factory and stand operations.

2. It reduces the intermediary like wholesalers and helps retailer to increase their profit

margin which in turns helps the producer to earn more revenue.

Restaurant and hotels:-

Selling directly to the hotels and Restaurant reduce middleman which helps in increasing

profit margin. For a fruit juice hotels and Restaurant are working as value adding partners, they

are willing to provide high quality service to the customer by providing proper refrigeration to

that fruit juice.

Advantage:-

Page 11: New product development -- Packaged Sugarecane juice

1. Potentially higher net profit.

2. More precise production planning.

3. A higher wholesale selling price.

Product marketing plan and budget expenditures:-

Marketing and promotion of a new fruit juice will be critical. Before going into

marketing and promotion we need to take into account the following points:-

Fruit juice in smart need packaging with clearly written specification (i.e, 100%pure etc)

attracts consumer in first light. Therefore if the juices is visibly place d on a separated

stand in a knit & clean shop. It is likely to Attract the consumer there will be no

requirement of pre –sale –buying.

Well balanced quality & price combination will be helpful to attract to the consumer

Juice stand are good promotional medium when place in a restaurant of good reputation

in terms of cleanliness & sophistication (i.e., Macdonald & Pizza hut)

Advertisement/ Promotional Activities and Demand Creation:

The marketing and promotional activities of fruit juice and related commodity groups are crucial

in increasing the demand for fruit juice. These activities include, but are not limited to

promotion, advertisement, new product development, and packaging innovations. We have to

adopt marketing strategies in accordance with the specified consumer wants and needs. We also

have to create product image and influence customer purchase. Servicing the educated,

nutritionally aware consumer who dwells in the metros is a complex role. In these types of areas

people use to have a pure fruit juice once in a day, with an imported or prime local fruit juice. A

market can be created through intensive marketing and promotion campaign on television and

nation based news papers.

Marketing infrastructure, which includes refrigerated transportation facilities an composition of

retail and wholesale markets, is correlated to the consumer demand. Equipment that transport

from the field to retailers need cooling machines to ensure the product quality delivered to

customers.

We have to also differentiate our product by means of sophistication and healthy packaging and

by less use of preservative.

Television, radio, F.M channels, newspapers could be used to promote our product.

Page 12: New product development -- Packaged Sugarecane juice

Pricing Strategy:

Our main motto is to supply a healthy soft drink to each and everybody in a reasonable price and

earn as much as possible profit from market. So we set a price which is not overcharged also can

give the cream from the market. We will maintain a balance between price and quality. Our 250

ml. pack will be priced Rs.15, 500 ml. packs will be priced Rs.28 and 1 ltr. Pack will be priced

Rs.52.

Our financial planners calculate that initially 1 ml. of juice cost to Re.0.032 and afterwards it will

be 0.028 paisa per ml. So in future we can lower our price to compete with other producers.

Business opportunity

This is a business plan of a partnership firm in the name of sugarcane juice. The plan is to

process and market the precious sugarcane juice. First time in India, juice will be preserved in tin

pack keeping them as fresh as at time of extraction. Till now market deals in fresh fruit juices

which can be easily preserved however this idea has not been catered yet. Canned sugarcane

juice will be sweet as fresh fruit. Firm plans to start a processing plan near. Processed and

packed finished fruits juice will be temperature resistant and thus able to be transported to

market for sale initially. Firm will hold a warehouse, production plant and office in Kolkata.

Company impact

This is quit a new idea which has not been yet commercialized because of the lengthy and risky

procedures of preserving this juice. This juice is widely used because of its sweet taste and being

a solution to different health problems. The cost of production and raw material is not so much

high while sales may be expected to be high because of its greater utilization .it needs not to be

marketed so much because it’s a new thing which people will try and love a lot. Simply we can

place it on universities cafeterias, government franchises and grocery shops, the only thing we

must do is to ensure its shelf life and long preservation time.

Company strategy

In first year, our company, will market in Lahore in the three segments described in the report.

Kolkata will be the sole market for first year. Then looking through our sales history we will

expand our business opportunities to other big cities of India. More products that will be

processed in same way and will be included in product line after making a good repute in the

industry. Initially our company production line is based on semi- automatic techniques but hi-

tech extension is planned in future.

Page 13: New product development -- Packaged Sugarecane juice

Benefits matrix

Customer pain points Benefits

Already developed distribution system we only

need to make a well repute to launch and

familiarize our products

Easy distribution

Availability throughout the year No shut down if season is off

Easily available sugarcane in large quantity Low cost of production

Sector & industry analysis:

Agriculture sector highly depends on the weather circumstances. God has gifted India with

several varieties of fruits, one of them is sugarcane. The hot tropical climate of the country is

suitable for cane cultivation. Over the past 65 years the yield in tons per hectare has more than

doubled. Most cane producing countries in the world.

STATE-WISE AREA, PRODUCTION AND YIELD OF SUGARCANE (CANE)

STATE

AREA

(M.HECTS)

% OF

TOTAL

AREA

PRODUCTION

(M.TONNES)

% OF TOTAL

PRODUCTION

YIELD

(KGS/HECT)

%

COVERAGE

UNDER

IRRIGATION

(1995-96)

(1) (2) (3) (4) (5) (6) (12)

ANDHRA

PRADESH 0.19 4.8 13.73 5 72263 95

ASSAM 0.03 0.8 1.29 0.5 43000 -

BIHAR 0.11 2.8 5.04 1.8 45818 22.4

GUJARAT 0.17 4.3 11.84 4.3 69647 100

HARYANA 0.14 3.5 7.55 2.7 53929 97.2

KARNATAKA 0.31 7.8 28.33 10.3 91387 100

MADHYA

PRADESH 0.06 1.5 2.11 0.8 35167 97.3

MAHARASHTRA 0.46 11.6 38.18 13.8 83000 100

ORISSA 0.02 0.5 1.14 0.4 57000 100

PUNJAB 0.13 3.3 7.33 2.7 56385 94.9

RAJASTHAN 0.02 0.5 1.16 0.4 58000 96.4

Page 14: New product development -- Packaged Sugarecane juice

TAMIL NADU 0.32 8.1 35.68 12.9 111500 100

UTTAR

PRADESH 1.96 49.4 119.97 43.4 61209 51.4

WEST BENGAL 0.03 0.8 1.83 0.7 61000 70.9

OTHERS 0.02 0.5 1.07 0.4 - -

ALL-INDIA 3.97 100 276.25 100 69647 88.5

Sub sector information:

Fruit juice Industry:

Product which comes under fruit juice Industry are: carbonated drinks, fruit juices, squashes,

syrup, powder drinks .The fruit juice Industry reported sales of 8.52 billion Rupees in year 2005

and juices growing at a combined annual growth rate of 27%.

Fruit juice Industry-Potential Barriers

The packaging material, such as glass bottles are inconvenient and expensive.

Most consumer continue to show preferences for fresh foods

Low income coupled with erosion in purchasing power.

High cost of processed food due to high input, processing&packaging costs.

Tax structure- fruit juice industry:-

Duties and taxes are two types in juice industry namely import duty and sales tax. Import

duty on machinery and equipment vary from 5 to 25%.

Government policy direction:-

In beverage segment govt. has exempted local fruit juice industry from custom &

excise duty to give boost to the sector.

Quality control issues:-

Govt. has laid down the certain regulation includes registration of fruit product with India

standard quality control authority (PSQCA) and carrying a safety logo on the package.

Page 15: New product development -- Packaged Sugarecane juice

Market information

Market potential:-

Install capacity of fruit juices in India is around 4 lacs mt. As provided in the EAC 2003

report, where as the demand for the juice have grown at 27% in the last 5 years. India’s

population for the year 2005-06 is estimated around 153.45 million with the population growth

rate of 1.9% per annum. If we simply work out the total fruit juice consumption on population,

we can safely observe that juice consumption will definitely increase. Moreover, current

developments in the local and global economic scenarios also add to the constructive growth in

all sectors of the country. The improvement in economic affairs of India over the last few years,

govt. positive measures towards expansion of the industrial sectors revision of the duty ,

structures and exemption from excise duty(specially for fruit juices), etc, are factors which are

likely to further reinforce the development of the industrial sectors .

Opportunities and threat analysis:-

Opportunities:-

Healthy organic and natural drinks oriented global and local culture.

Limited option in locally produced in real fruit juices.

High export potential.

With good pre harvest planning, which is around 50% of the total production, could be

turned into potential business opportunity.

Reduction in excise and import duties on food processing machinery.

Threats:-

Unavailability of adequate industries statistics.

Single Product Company.

High processing and packaging cost.

High cost of background integration. (Availability of raw materials)

Threat from other fruit juice exporting countries (India and china who already in foreign

market).

Price sensitivity and low consciousness towards quality amongst consumers.

Wide availability of substandard (with token juice) substitutes.

Heavy advertising from existing giant players.

High cost to meet international quality standards.

Page 16: New product development -- Packaged Sugarecane juice

Finanacial Policy:

In case of investment we decided to invest 60% of initial capital by the promoters and promoters

are able and ready to invest the capital. The rest amount will be financed by bank loan, loan from

financial institution and the working capital requirement will be financed by bank overdraft.

Our selling policy is on 7 days of credit to only wholesaler and super marketers. And we will

purchase the raw materials and other necessary things from suppliers on a credit of 15 days. It

helps us to maintain the minimum working capital and it will also reduce our cost of capital.

Initially we take the factory premises on rent to reduce our capital investment.

In the beginning stage our leverage ratio is low otherwise it will be risky. But afterwards we will

issue IPO and would also try to finance the future projects through bank loans and loans from

non banking financial institute. This kind of policy can give us more profits.

Production process: Production of sugarcane juice is a standard process and it depends on type of technology, quality

of sugarcane, scale of operations and availability of investment financial resources. Basically,

preparation process of sugarcane juice involves the following steps:

Washing sugarcane by water

Crashing

Filtration

Pasteurization

Added preservative

Bottling

A method is provided for extracting and processing sugar cane juice from sugar cane sticks to

produce a natural juice product. Fresh, juicy and fully mature sugarcane, which is free from

insect and fungal attack or any other blemish, is taken for extracting the juice.

The method includes the steps of: providing sugar cane sticks having a high sucrose level;

Sugarcanes were cleaned with water and the outer skin scraped manually with a knife; extracting

sugar cane juice from the sugar cane sticks using a roller mill apparatus; The spent canes were

repeatedly passed through the crusher; flocculating the sugar cane juice with a mixture of water

and at least one natural flocculate product to aid removal of microscopic particles which would

otherwise cause the juice to be turbid (cloudy) and which would be difficult or impossible to

remove by filtration alone; filtering the extracted sugar cane juice through a screen filter;

stabilizing the pH at 7 of the; evaporating the sugar cane juice to form a sugar cane juice

Page 17: New product development -- Packaged Sugarecane juice

concentrate and extracting the sugar cane juice concentrate from the evaporator. Concentrate

sugarcane juice then sterilized for 10 min at 80° in a stainless steel vessel to inactivate enzymes

and living organisms; scum was ladled off and 125 p.p.m. Potassium Metabisulfite (K2S2O5)

was added while the juice was still hot (60°); the juice was then transferred to pre sterilized

bottles; these were corked and kept 10-15 min at 80° before storage at room temperature. The

process should be carried out under hygienic conditions. Sodium Benzoate 125 ppm is added as

preservative. The bottled juice can be stored without any loss in the quality and flavour for six

months at room temperature. The bottles and crown cork closures should conform to ISI

standards.

Addition of 100 p.p.m. Bactrinol-100 (bromonitropropanediol) before bottling slightly

improved keeping quality (according to sucrose content). Pre-treatment with activated carbon

improved colour.

Addition of lemon, mint and ginger (used at a specific concentration range of 0.1-0.4% by wt.)

essences to expressed juice instead of co-crushing gave a poorer product.

At intervals of 15 days the juice was analysed for Brix, sucrose (hence purity), pH (pH-7),

conductivity and titratable acidity, and assessed organoleptically for palatability on a scale

of 1-4; microbiological analysis was also performed. The overall cost of a 200-ml bottle of juice

(which could be sold for Rs. 2.50) is calculated to be Rs. 1.50 for small-scale and Rs. 1.00-1.10

for automated large-scale production. Consumer acceptability of the preserved juice was

evaluated and found to be 98 per cent.

Packing:

The juice will be then packed in the quantities demanded by the market. Consumer packs as we

have proposed for this pre-feasibility will be in units of 250 ml and 500 ml tetra packs and 1

litter pet bottle.

Storage:

Products will be stored in cool dry store before distribution.

Other raw material:

The ratio and utilization of other raw material depends on what percentage of pure juice the unit

is going to produce; however, following are the main ingredients which will be required for the

juice production proposed for this pre-feasibility:

Treated water

sugarcane

Sugar

Fruit flavour

Preservative

Page 18: New product development -- Packaged Sugarecane juice

Production process:

Fruit juice production process involved in fruit juice manufacturing depending on what type of

the juice the unit is going to make. For the purpose of this –feasibility, we propose the 4%

token juice drink of sugarcane juice.

Fruit juice- Production process flow:

Boiling of fruit pulp

Pulp storage in tank

Sugar hopper

Pulp and ingredients mixing

Syrup storage in tank

Juice preparation

Juice storage tank

Filling and packaging

Cooling and storage

In the following pages the process flowchart and brief description of the various processes

involved in fruit juice production is outlined.

Operations

Organizational structure

A kamad industry is a organization that will be legally formed as partnership firm. The

partners will be Rajdeep, Uttam, Ujjal, Sataphul, Snehadeep. Each partner will contribute

25% as initial investment in business. Land and building will be initially taken on rent.

4 important departments will be there:

Purchasing and logistics

This department will be responsible for all operating material purchases at best possible rates and

delivering at the appropriate time ,use of JUST IN TIME inventory.

Production and financial operations

This department will be responsible for quality reduction process .he will also be responsible for

financial records and accounting. Mr. Sataphul needs the following staff at the plant in the

process Process workers.

Page 19: New product development -- Packaged Sugarecane juice

Marketing

Marketing is responsible to design promotional campaigns and do art work for advertisement.

Their main task is to work in celebration with sales department to create demand opportunities

and find out new market segments.

Warehouse management and sales

A separate will be hired which will be responsible for managing finished good inventory in

Project position for the future

Because this potential areas not been catered before so it will give us a new and distinctive name

in the market and similarly we can extent our product line to other existing products once the

goodwill and reputation is build in the market. Although optimum level of benefit of these

natural resources as yet to be achieved, the volume of production is going every year as the area

under cultivation has been increased by manifold. The ever going demand Indian sugarcane juice

in summer session suggest that there is a need to further increase productivity, introduction of

new varieties of fruit juice to maintain affordable price at home and to get exportable surplus.

Supply of sugarcane is not a big problem because there are lots of areas in India which are the

largest producer of sugarcane, the only problem we may face ensuring that shelf life

Of juice is maintained and a distinctive market position is build in customers eye.