presentation on mini flour mill in Pakistan

1. Afifa 150
Qurat 125
Hira Miraj 131
Noor Fatima 114
Mohsan Joyia 122.20

2. Cleaning & Storing :
 As wheat arrives in the mill it is passed
through a cleaning process to remove
coarse impurities
and is then stored according to its quality.
This is mainly determined by the
hardness, protein
content and gluten quality of the wheat.
Washing & Sorting:
 Washing begins with screening to remove
coarse, fine materials and the grain is
separated by
size, shape and weight. The finished
product is then passed into conditioning
bins.
Raw Material: Wheat

3. Conditioning :
 Conditioning takes place before
milling to produce uniform
moisture content throughout the
grain. Moistening helps to
prevent break-up of the bran
(hard outer layer) during milling
and
improves separation from the
floury endosperm (the mass that
forms the white flour of the
grain).
Gristing :
 After conditioning, different
batches of wheat grain are
blended together (gristed) to
make a
mixture capable of producing the
desired flour.

4.  In the Milling step, flour is produced by a
sequence of breaking, grinding and
separating operations until the desire
flour type is produce.
 The quality & type of the wheat
grain going into the mill will determine
the types of flour to be produced.
 In addition to flour, many by products
such as Suji, mada can be produced by
further processing.

5.  The final product is
packaged in standards
bags of 20 & 100 kg. Then
it is forwarded for either
storage & transportation.

6.  Wheat flour
 Maida
 Sujji
 All-Purpose Flour
 Used in breads, cakes, and pastries; as a coating
for meat, vegetables, and other food items.
 Bolted Flour
 Bolted flour is a flour in which nearly 80
percent of the bran has been removed.

7. Bread Flour
 contains high levels of gluten. This is a necessary
component for baked items to rise properly.
Cake Flour
 It is high in starch and has a low protein content,
Chapati Flour
 used to prepare chapatis and rotis.

8.  Tortilla Flour
 Tortilla flour is a type of wheat flour that is most often used for quick breads,
such as muffins, biscuits, and dumplings, and flatbreads such as chapati and
tortillas.
 Whole-Wheat Flour
 used for all types of baked goods, such as breads, rolls, and pastries.
 Whole-wheat flour used alone in bread making .
 Pastry Flour
 used for making flaky pie crusts, cookies, biscuits, and assorted pastries.

9.  The capacity of the proposed project would be 900 tons
(0.9 millions kg) on annual basis, assuming 300 working
days a year, producing 3 tons of flour per day.
 The total investment required for this project is Rs. 10.49
millions.
Project Investment
Description Amount (Rs)
Total Fixed Cost 7,890,000
Variable cost 2,152,452
Total 10,042,452

11.  Despite some provincial governments regulating
the retail flour prices at Rs 43 per Kg, prices
continue to fluctuate between Rs 70 and 150 per
Kg throughout the country.

12.  Currently, flour mill business stays inconsistent, only the
most grounded mill owners can survive in the market,
other players have to improve their technologies, efficiency
and their relationship with customers, otherwise they will
be wiped out from the market.
 However, taking advantage of the government policies
which is providing subsides to every flour mill and no one
is weeded out, several new players are entering the market
even with small investments. If the government takes off its
hand from major wheat stocking and every flour mill stores
the wheat according to their annual business requirement,
no new players will enter the market easily

13.  According to some small flour mill owners, the government
policies are not much favorable for the industry. On the other
hand, government is stocking wheat to protect the farmer from
colossal losses, as farmers lack proper warehouses to store wheat,
so to protect the wheat and the farmer, government buys all the
wheat from farmers and then supplies to the mills. If the
government doesn’t purchase in bulk from farmers, the prices
will crash.
 According to some small flour mill owners, the government
policies are not much favorable for the industry. On the other
hand, government is stocking wheat to protect the farmer from
colossal losses, as farmers lack proper warehouses to store wheat,
so to protect the wheat and the farmer, government buys all the
wheat from farmers and then supplies to the mills. If the
government doesn’t purchase in bulk from farmers, the prices
will crash.

14. Before making the decision to invest in the Flour Mill, one should carefully analyze the
associated risk factors. A SWOT analysis can help in analyzing these factors, which play an
important role in making the decision.
STRENGTHS:
● Continuous availability of raw material, i.e. high quality wheat
● Fully automated plant, hence less labor involved
●Availability of low cost labor
● Product affordable to all income groups
● Wide range of target market
●World-class quality , service and manufacturing excellence
● Has cutting edge technology for washing and cleaning wheat
WEAKNESS :
● Strict controls over labor efficiency need to be observed to reduce the waste
production to a minimum level
●Expected loss at the initial stages of the operation as a result of sales return from
distributors
● Inexperienced technical staff as compared to the units currently in operation

15. OPPORTUNITIES:
●Changes in the current eating habits of the people
●A large number of people that are not brand loyal can be targeted
through marketing campaign
● About 40% of the Flour Market share comprises of un-branded
flour this share can be gained through heavy marketing
campaign
● Export opportunity
THREATS:
●Already established businesses in same industry
●Fluctuation in the price of wheat
●Quality of the flour is to be monitored very closely as people are
more directed
towards health and safety issues
●Strong competition and high promotional activity by
competitors