1. FEASIBILITY REPORT ON THE ESTABLISHMENT OF
A TABLE (SACHET) WATER FACTORY
BY
ADIMA OKENNA CHIKA
B.Sc. (INDUSTRIAL CHEMISTRY), MCSN
PRACTICAL EXPERIENCE IN THE FIELD:
NAFDAC REGULATORY OFFICER 2009 - 2010
PRODUCTION MANAGER; NGIKI TABLE WATER 2010 - 2011
FEB., 2011.

2. TABLE OF CONTENT
Definitions / Introduction
Equipment and Materials
Registration Requirements
Financial Breakdown
Cost of Production / Expected Income (profit)

3. DEFINITIONS/INTRODUCTION
DEFINITIONS
Potable water is water which is fit for consumption by humans and other animals.
It is also called drinking water, in a reference to its intended use.
Water may be naturally potable, as is the case with pristine springs, or it may
need to be treated in order to be safe. In either instance, the safety of water is
assessed with tests (physical, chemical and biological) which look for potentially
harmful contaminants.
INTRODUCTION
The availability of potable water remains a global challenge; as such its
importance cannot be overemphasized. Though, in Nigeria for instance, we have
abundance of water, but the question remains, how safe are they for human
consumption.
Owing to this prevalence situation, there is the essential need for potable water
for our consumption which comes in difference forms and packaging. For the
purpose of this report, our focus is on portable sachet water which is both safe
and affordable.
The production of sachet water involves a lot of process which must be followed
to the later as guided by the regulatory body responsible for portable water in
Nigeria (NAFDAC).
This report provides a vital guide on how to establish potable sachet water factory
and it is drawn from rich theoretical and practical knowledge and experience of
the author.

4. EQUIPMENTS:
In the treatment and production of sachet water, some equipment is needed for
these processes and they are as follows:
a. Automated Packaging Machine
This is an automated machine designed to package and seal the water
containing LDPE and it comes in different make and design as well as prices.
Notably among the machines are “KOYO” and “DINGLI” packaging
machines.
b. Treatment Plant
This comprises primarily the activated carbon filter, industrial sand filter,
dosing machine and micro-filters. This is the most vital aspect of the
process as it is where the water coming from the raw water tank is purified
before sending it to the pre-treated tank. This is equally where all the
necessary chemicals needed for water purification are added.
c. Borehole
The regulatory body (NAFDAC) approves two major sources of water which
are borehole and public water source, but the former is more preferable
and advised due to its reliability and availability. The recommended dept of
the borehole is about 150ft (30m) and should be at least 30m away from a
septic tank.
d. U.V Sterilizers
These are primarily to sterilize and purify the water for safe consumption.
For water treatment, two are required; U.V water sterilizer which is the
final treatment for the water before being packaged by the automated
machine.
The second is a U.V light needed at the packaging material store to sterilize
the materials before its usage.

5. e. Pumping Machine
Two pumping machines are needed in a water factory. The first being in-
between the raw water tank and the treatment plant to enable pump
water from the raw water tank into the pre-treated tank through the
treatment plant. The recommended type is 1ph (i.e one power horse)
capacity and the second before the production room.
f. Micro-Filters
These are filters capable of filtering off particles and sometimes microbes,
depending on the size of the filter. This could be domestic or industrial
filters, but for high efficiency and quality, industrial filters are preferable.
Five (5) filters of different sizes are required; two at the treatment plant
(5microns and 1micron), while three are needed at the production room
just before the U.V sterilizer (5microns, 1micron and 0.5micron) in a
descending order.
g. Water Tank
Two tanks (@ least) are essential for water treatment; one for raw water
and the other for pre-treated water. PCV tanks are recommended as this
reduces contamination and it comes in difference sizes, preferably 5000L
h. Vehicle
A van is needed for transportation. The available capital determines the
one to buy as this varies in capacity and prices as well.

6. MATERIALS:
a. Packaging Materials
These are polythene materials needed for sachet water packaging.
Majorly, two kinds are essential; sterilized LDPE material with all the
necessary information printed on it and it is used for packaging the
water in sachets.
The second is a transparent polythene bag used for packing the sachets
(20 sachets per bag) as applicable here.
b. Plumbing materials
These are materials needed for plumbing works in a water factory.
These are PVC pipes, gums and other plumbing materials essential for
water treatment plant.
c. Registration
Three major registrations are needed for a sachet water factory. The
first being registration with CAC (i.e in a case where the factory is not
affiliated with an already existing company). The second is the product
registration (Trade Mark) with the Fed Min of Commerce and Industry
for a product name and finally registration with NAFDAC which is the
regulatory body responsible for such and these involves some
documentation as specified by the Agency.
d. STAFFING
For a factory to exist and be registered with NAFDAC, at least five (5)
staffs are needed, namely; the production manager who must be a
scientist, a machine operator, a bagger, a loader and a driver. The
emphasis is only on the production manager, the others could be any
body as the case may be.

7. FINACIAL BREAKDOWN (ESTIMATE)
S/N ITEMS COST(N)
1 Land/Factory building 2,000,000.00
2 Automated packaging machine 500,000.00
3 Vehicle 1,500,000.00
4 Borehole/water tanks 200,000.00
5 Treatment plant/chemicals 300,000.00
6 U.V sterilizers 60,000.00
7 Pumping machines 50,000.00
8 Registrations 200,000.00
9 Micro-filters 40,000.00
10 Plumbing works/installation 80,000.00
11 Packaging Materials 100,000.00
12 Staffing 200,000.00
13 Miscellaneous 400,000.00
14 Dosing machine 100,000.00
TOTAL 6,000,000.00

8. COST OF PRODUCTION AND EXPECTED INCOME (PROFIT)
1. Cost of packaging materials
a. Sterilized LDPE: This comes in Kg and a Kg costs N430. A kg produces at
least 20 bags. Therefore, a bag costs N21.5k.
b. Transparent Polythene bags: This material comes in pack and each pack
contains six bundles and each bundle contains nine hundred pieces. A
pack costs N16, 200. Therefore, each piece costs N3.00.
2. Cost of labour (Subjective)
a. Production manager-------------------N3.00 per bag
b. Bagger ------------------------------------N2.50k per bag
c. Machine operator ----------------------N1.50k per bag
d. Loaders -----------------------------------N2.00 per bag
e. Sales personnel/cleaner ---------------N1.00 per bag
f. Driver -------------------------------------N1.00 per bag
TOTAL COST OF LABOUR --------------N11.00 per bag
3. Cost of fuel (vehicle and generator): N4, 000.00 per day.
In an average of 1000 bags per day, cost of fuel per bag will be N4.00 per
bag.
TOTAL COST OF PRODUCTION: N24.5K + N11 + N4 = N40.00 per bag.
EXPECTED INCOME (PROFIT) = SELLING PRICE – COST OF PRODUCTION
= N60.00 – N40.00 = N20.00 PER BAG
EXPECTED DAILY PROFIT IN AN AVERAGE SALE OF 500 BAGS PER DAY
= 500 X N20 = N10, 000 PER DAY
= N300, 000 PER MONTH
= N3, 600, 000 PER YEAR.