Ice age- The healthy ice cream parlour- Business plan presentation

1. ICE AGE
The Healthy Ice-cream Parlour
Presented by:-
Bijayalaxmee Pradhan
Tathagata Mahajan

2. SECTOR-Agro & Food Processing
SUB SECTOR-Food Processing
LOCATION-Gujarat state
PRODUCT-Ice cream balls
PROJECT TITLE-ICE AGE-the healthy ice cream
parlour

3. PRODUCT INTRODUCTION
 The proposed envision of setting up an ice cream balls
manufacturing unit.
 In this project 6-8 mm(BB size pellets)ice cream balls
are formed from ice cream mix.
 They are made colourful & containg blend of exotic
flavours.

4. Product ApplicationProduct Application
 This unique shape of Ice cream balls makes it easy and
quick to serve like Popcorns.
 It can be served in pre formed paper or thermocol
disposable cups or plastic containers, to maximize its
sales at various sites.
 It also makes it much cleaner than "ordinary" ice cream.
 It is mainly consumed more in cities.
 However, occasionally, particularly in marriages,
meetings and social gatherings, it is being used even in
villages and towns.

5.  Ice Cream Ball is manufactured using cryogenic techniques.
 Cryogenics process uses liquid Nitrogen to
instantaneously freeze Ice Cream Balls, to a temperature of
-187 ˚C (-304˚ F.).
 This rapid freezing process enables to "lock in" the flavour.
Special storage freezers are required to guarantee the
highest flavour quality.
 Since, this ice cream is stored at - 40 degree Celsius, no
bacteria can survive.
 There is only one technology supplier in Mumbai offering
technology for this product.

6. MARKET & GROWTH DRIVERS
Market:-
 The ice-cream business in India was approx. INR 2000
Crore in the year 2009-10 and out of this, the per capita
consumption is the highest in Gujarat.
 It will carve its niche in the market based on the market
response in established markets like USA, Japan and
Philippines.
 Due to its wider reach the product will also fetch higher
unit value than other Ice cream products.
 In 2009, purchase of sweet and Ice Cream by Indian
consumers was valued at INR 12 billion of which West
India took the lead with 4.5 billion followed by North India
with a purchase of 3.9 billion.

7. Growth Drivers
 Per capita consumption of ice-creams in India is approx.
300 ml per annum, while the average global per capita
consumption is 2.3 litres.
 With the lowest per capita consumption of Ice cream in the
world, India leaves ample scope for Ice cream products.
 There will be 9 to 12 % growth in the current market due to
increased population, fast changing life style & increased
percentage of youths.
 Ice cream finds round the year market as widely accepted
dessert and is consumed by all class of people.

8. LOCATION-Why Gujarat?LOCATION-Why Gujarat?
 Gujarat consumes 60 per cent of the total production of ice-
cream in the country.
 Easy Availability of the main raw material – Liquid Milk – Gujarat
is the second largest milk producer and processor state in India.
 Easy Availability of other raw materials like sugar, Fruits & dry
fruits and food colours.
 Gujarat is having ready availability of technical manpower.
 Well developed transport infrastructure like road, rail and air
connectivity.
 This will be supplemented by cold chain.

9. Suggested LocationSuggested Location
 The preferred location can be, North, Central and Saurastra
region in Gujarat as major Dairy farming activities are conducted
in this area and also consuming market is available all over state.
Proposed location can be in the district of Mehsana, Patan,
Banaskantha, Sabarkantha, Kheda,Anand,Vadodara, Surat, Rajkot
and Ahmedabad.
ProjectTime Line:-
 The proposed project will have cumulative implementation
period of 10 – 12 months of which 5 to 6 months would entail
obtaining the obligatory clearances from various authorities.

10. Suggested Plant Capacity and Project Cost
The Indicative project cost for manufacturing unit of Ice cream Balls,
with suggested capacity of 1000 Tons per annum is INR 10 Million.
Estimated Project cost & Means of finance
Sr. No Cost of project INR in million
1 Land and Land development 01.20
2 Building & Civil works 02.40
3 Plant & Machinery 02.35
4 Misc. Fixed Assets 01.15
5 Preliminary & preoperative inlc. technology 02.55
6 Provision for contingencies 01.35
Fixed Cost of Project 11.00
7 Margin Money for working capital 2.50
Block Capital Cost of Project 13.50
Means of Finance
 8 Promoters contribution 5.00
 9 Term loan 08.50
Total 13.50

11. Financial Indicators
Based on the profitability projections worked out for the
proposed project, key financial indicators are as summarized
below:
Key Financial Indicators
Sr. No. Financial Ratio 1st Year 2nd Year 3rd
Year
Break-Even Point
in % Capacity 39.9 36.2 33.4
 Debt-service Coverage Rat 1.78 2.24 2.80
 Return on Investment (ROI) 33.5% 36.7% 40.1%
 Average DSCR 2.27
 IRR for a 10 years Project Period 48%

12. Utilities
 The unit would require basic utilities like water, electric
power, liquid Nitrogen for Cryo cooling in IFT plant
manufacturing Ice cream balls and fuel for steam
generation boiler. The estimated requirement is 140 HP
power and 2 MTPD LDO/ HSD as fuel for steam boiler
 Estimated Man power required:-
 The proposed unit would require 40 persons and this
will include 4 managerial level people, 4 Supervisors, 8
plant operators, 4 office assistant cum account staff
and 16 unskilled workers and 4 security staff.

13. Clearance Required
 No license / clearance is required for setting up of a Ice cream
plant by medium and large scale company. However, being a
medium scale unit it will require filing IEM (Industrial
Entrepreneur’s Memorandum) with Secretariat of Industrial
Approvals, Ministry of Industries, and New Delhi.
 The unit will also have registration with state Foods and drugs
administration and will approach state nodal agency GAIC
(Gujarat Agro Industries Corporation) for availing incentives
under Ministry ofFood Processing Industries, Government of
India.

14.  Whole sale supply
 Retail chain
 Franchise
 Establishing own outlets in the long run