splash packaged drinking water by akshay sonone (pumba pune)

splash refresh yourself Packaged drinking water

Presented by:Abhaysinh Mohite

Vijay PatilToshit TambadeAkshay Sonone

Contents

• Introduction• Vision and Mission• Basis and Presumptions• Demand and Supply analysis• Marketing Plan• Operational Plan• Financial Plan• Conclusion

Why packaged water industry?

• Water is basic human necessity

• Growth rate of Indian population is 1.58% annually

• Normal human require 3-4L water/day and increases during summer

• Acceptability by average consumer

• Vision: To become the best provider of safe, pure and affordable packaged drinking water to all people in India

• Mission: Our mission is to become the market share leader in each market we serve. We will earn this leadership by providing our distributor and end user customer innovative, high quality, cost effective product.

BASIS AND PRESUMPTIONS• The unit will work for 300 days per annum on

single shift • The wages for skilled workers are taken as per

prevailing rates in this type of industry.• Interest rate capital on loan from Bank @ 14%.• Costs of machinery and equipment are based

on average prices of machinery manufacturers.• Loan is sanctioned by the authority

Demand analysis

• The bottled water industry is estimated to be whopping Rs 1600 cr business

• Growing at the rate of 38-40% over last 4 years Indian bottled water industry is fastest growing in the world

• India is the tenth largest water bottled consumer in the world

• Scarcity of clean water and poor quality of tap water paves the way for growing demand of bottled water

Supply analysis

• The city has for long been facing the problem of unequal distribution of water, with core areas receiving more water than the fringe areas

• Many of the suburbs get an irregular supply of water

• New residential areas donot have a regular and safe supply of water

• All the above condition indicates that there is considerable gap in demand and supply of pure water

License Requirements

• BIS license

• Local Municipal Corporation – PMC

• FDA license by State Government

• Pollution Control Board

• MIDC permission

BIS specification• REQUIREMENTS TO BE COMPLIED WITH BY THE APPLICANT OF PACKAGED DRINKING WATER FOR GRANT OF BIS LICENCE

ACCORDING TO IS 14543:2004• A. GENERAL REQUIREMENTS General requirements for grant of BIS Licence, please see BIS website

http://www.bis.org.in/• B. PRODUCT SPECIFIC REQUIREMENTS• (FOR PACKAGED DRINKING WATER)• 1. List of Test Equipments, Glass wares & Chemicals See Annex A• 2. List of BIS approved outside lab for the Product See Annex B• Containers (including lids/caps)• 3. Details of samples of the product/containers to be drawn during --- See Annex C• BIS visits. • 4. Acceptance of Marking Fee See Annex D• 5. Acceptance of Scheme of Testing and Inspection (STI) --- See Annex E• 6. Guidelines for assessment of Hygienic conditions with See Annex F• Explanatory notes for guidance• 7. List of Indian Standards which a Packaged Drinking Water Industry - See Annex G• must have in original• 8. Undertaking for getting the samples tested as per STI frequency from BIS approved/NABL accredited outside lab.• 9. Consent letter from concerned outside lab for testing of sample (Ref. Sr. No. 8).• 10. Copy of the appointment letter, qualification certificates for Chemist and Microbiologist • 11. No Objection Certificate (NOC) from the concerned office of Central Ground Water Authority.• 12. Detailed Manufacturing process indicating treatment for disinfection along with Process Flow Chart. Clause 3.2 of IS

14543:2004 specifies various processes for manufacturing Packaged Drinking Water for guidance only• 13. Copies of Medical Examination Reports of the employees engaged in washing/filling of the product for any

communicable/skin diseases and fitness to work in a food industry. • 14. Details about the arrangements of pest control treatment such as an agreement/contract with the agency. Also details

of Cleaning in Place (CIP)• 15. Declaration of Shelf-life of the product separately for each type of container (e.g. 1littre, 2 litre, 20 litre etc.).• 16. Undertaking Regarding clause 6 (Packing) of IS 14543:2004 and clause 7.2 of IS 14543:2004 (Labelling Prohibitions) • 17. Obtain request letter from BIS for getting the sample tested for Radio Active Residues, from BARC before submitting the

application and test report received from BARC is to be submitted along with the application form.

Periodical Tests After BIS license

• Monthly tests

• Quarterly Raw water and Packing materials

testing

• Six monthly tests

• Pesticides Residue

POLLUTION CONTROL

• Suitable equipments to be provided to check harmful and non permissible contents in effluent if any

• “No Objection Certificate” from the Municipal Corpoation planned to be obtained

• Energy conservation• Suitable measures should be adopted to use appropriate

amount of fuel and electricity. The promoters should arrange periodic auditing of electrical consumption.

• Unnecessary operation of machines should be controlled to avoid excess consumption of electricity.

• Natural ventilation in production premises may be made available to avoid use of electric power during day hours.

Product Packaging

• Water Specifications• Certificate mark of the ISI• Expiry Date (Best Before Date)• A brief intro of the company with address• Website address of the company• Brand Name • Net Volume in Metric System• Batch Number or Code Number

Marketing Plan

Target market Pune , Pimpri ,Chinchwad and suburb Sales will be through distributors and

direct consumption unit Direct consumption unit include Railway/Bus stations Grocery stores Pan shops Institutions/Corporate houses Hotels/ Restaurants/lodges

Positioning

• Quality • Competitive Pricing• Quick service

Players in the market

National Local

Kinley – Coca Cola Kate Aqua

Aquafina - PepsiCo Sumeru

Bailey – Parle agro Kelvino –Vasundhara foods

Oxyrich-Dhariwal Industries Saiganga

Bisleri-Bisleri Ltd. Real Aqua

Oxygen

Aviva

Market situation

Area Leader Leader’s market share %

Other’s market share % (mini.share)

MG Road Oxyrich 20 18Pune Station Oxyrich 25 16Satara Road Aquafina 22 17Kothrud Kinley 21 14FC & JM Road Oxyrich 21 15Peth Area Others 39 11PCMC Oxyrich 17 11

Market situation

• Pune and suburbs emerging as a huge market for packaged drinking water industry due to

Increased disposable income of peopleIncreased standard of livingHot destination for IT industryHome to three large industrial zonesIncreased population of younger generation

who are more keen to drink packaged waterReal estate boom

Marketing Mix• Product splash

• 20 L 1 L

Marketing Mix

• Price: Penetration Pricing

• Place: Sales through end consumption unit and distributors

Product Distributor Retailer1 L 6 Rs 10 Rs20 L 170 or 20 Rs filling NA

Promotional Strategy

• Focus on mass awareness: pamphlets' • Distribution of free samples at launch• Selling at sports event• Tie up with offices , colleges , institutions• Banners mounted on trucks, distribution vans ,

canteens• Participating in exhibitions• Website for selling product online

Operational Plan

Location• Within PMC limits • Regular supply of tanker is available. • Adequate power. • Road network. • PET preform material – available.• Market access ensured.

Process of Manufacture

Water Purification

Labelling

Rinse – Fill - Cap

Packing

Raw Water

Process of Manufacture

• PROCESS FLOW : The plant has 5 components :

1] Bottle Blowing

2] Water Purification

3] Rinsing - Filling - Capping

4] Labeling and Heat Shrinking

5] Final Packing• List of equipment suppliers

Purification Process

Treated Water

Storage

Packaged Treatment Plant

R O Treatment Plant

U V DisinfectionOzonization

Raw Water Storage

Purification Process• Raw Water from Source• Raw Water Storage – 2 days reqmt- 10000 Litres• Raw Water Lifting Pump• Sand Filter• Activated Carbon Filter• Base Exchange Softener• Ultra Filtration System• Reverse Osmosis System • Storage of Treated Water • Ozonization• UV Disinfection System

Packaged water treatment system 2500 L/Hr

RO System

Area RequirementSq. ft.

• Covered Area– RM Storage Room 753.49– Pumping and Generating Eqpt 968.78– Water Processing plant 1937.57– finished product packing 968.78– Finished Product Storage Room 968.78– Management Offices and Lab 699.67– Parking 430.57

• Total Covered Area6727.64

• Total Area including Expansion Plan – 7,534Sqfeet

RISK MONITORINGTYPES OF RISKS SOLUTIONS1) ELECTRICITYPOWER SUPPLY AVAILABILITYSHORT CIRCUITING

PROPER EARTHING, REGULAR CHECK UP

2) WATER REGULAR MONITORING, ADHERING TO GOVT RULES.

AVAILABILITY IN QUANTUM AND TIMINGWATER QUALITY

RISK MONITORINGTYPES OF RISKS SOLUTIONS3) THEFTMATERIALINFORMATION

REGULAR CHECKS AND MONITORING

4) RELIABILITY OF DELIVERY INTEGRAL TRANSPORT & 3PL

5) UNEXPECTED BREAKDOWN CORRECT AND TIMELY CERTIFICATIONSHIGH QUALIFY STANDARDS

Machinery & equipment SupplierSonalifabs71, Biren Roy Road (West) Kolkata – 700 061Enviro Tech Utility,32A, Main Patel Nagar Road,Opposite Wings Show RoomWest Patel NagarNew Delhi – 110 008

Ion Exchange India Ltd.Ticcon HouseDr. E.Houses Road,Mahalaxmi,Mumbai – 400 011

Alpha Engineering158, Pocket E-20, Sector-IIRohini, Delhi – 110 085

Watrion Water and Filter Engg. Pvt. Ltd.1, Harsivan Apartment, Ground Floor(Behind Canara Bank)West J.P.Road, Andheri (West)P.B.No. 7372Mumbai – 400 059

Rital Agencies55 III Main Road, Gandhi Nagar,Chennai – 600 020

Neel Hydro-TechShop No. 3, Sr. No. 10, Karanjkar Indl. Est., Nandedphata, Sinhgad Road,Pune, Maharashtra, 411030, INDIA+919850586055,91-20-24476611

Financial Plan

Our Sincere thanks to Vasundhara foods and

beverages, Altaf Ice Distributor

Thank You