Starch from Tamarind Seeds

Uploaded on : May 2010

Product and its applications

Tamarind trees are there in most parts of the country. Northern states of Uttar Pradesh, Madhya Pradesh, and other states like Orissa, Karnataka, and Tamil Nadu etc are major cultivators. The tamarind fruit is used for edible purpose and seeds are generally discarded. The seeds have value and with little effort it can be processed to produce other value added products such as starch. This starch is used for sizing in textile industry. This is one of the cheapest available non edible starches. The process of manufacture is simple and know how is easily available. The yield is about 60%.

Compliance under PFAAct is compulsory

Industry Profile and Market Assessment

It is considered as the cheapest non edible starch. It has many Industrial applications. The tamarind fruit is an edible item finding use in day to day cooking particularly in southern India. Its seeds are a waste and discarded. Processing the seeds, results in substantial value addition. This starch is used by textile units and industries manufacturing starch based adhesives. Plywood industry also consumes this starch in bulk. It has a growing market. With the anticipated growth in textile and plywood industry the demand for the product will grow. The area selection for marketing and its pricing are of utmost importance to capture a market.

Manufacturing Process & Know How

The process of manufacturing basically comprises roasting and pulverizing. The tamarind seeds are roasted in oil fired roaster and decorticated to remove skin. Seeds are then broken into small pieces in a grinder. These pieces are then pulverized to make starch. The product is packed in polythene lined gunny bags. The yield is around 60% Know how is available with Central Government research Laboratories. The machinery is all indigenously available.

The production capacity envisaged is 900 tonnes per year.

Plant and Machinery

The main plant and machinery required comprise

• Oiled Fired Roaster complete with accessories and electrical.
• Decorticator
• Elevator with conveyor.
• Beater type pulveriser with cyclone separator, dust collector.
• Weighing scales and misc. tools.

The total cost of machinery is estimated to be Rs.3.20 lakhs. The unit will also require miscellaneous assets such as furniture, fixtures, storage facilities etc. the total cost of these is estimated to be Rs. 40,000/-.

Raw material and Packing Material

The basic raw material for the unit is tamarind seed. Monthly requirement at 100% capacity is 75 tons. Thus a proper survey has to be conducted for location of the plant for easy availability of raw material. The finished product is packed in polythene lined gunny bags. The price of raw material is Rs. 3500 per tonne. At 60% capacity in 1st year the cost works out to Rs18.90 lakhs.

Land and Building

For smooth operation of the unit, it will require a built up area of 125 sq. mts. The total cost of building shall be Rs. 3.00 lakhs.

Manpower

For smooth functioning of the unit the requirement of man power is expected to be around 5 persons.

Sales person	1
Skilled Workers	2
Semi skilled workers	2
Helpers	4
The annual salary bill is estimated to be around	Rs.1.92 lakhs

Sales Revenue: (100% capacity)

Selling price varies depending on quality considering an average selling price of Rs.9000/- per Ton and a yield of 60% the annual income at installed capacity is Rs 48.60 lakhs.

Cost of Project

Particulars	Rs. lakhs
Land & Building	3.00
Plant & Machinery	3.20
Other assets	0.40
Contingencies & pre-expenses	1.10
Margin money	1.80
Total	9.50

Means of Finance

Promoters Contribution	2.85 (Rs. lakhs)
Term Loan	6.65
Total	9.50

Profitability:(60% capacity)

Sales	29.15 (Rs. lakhs)
Raw material	20.50
Salary	1.92
Utilities	0.54
Stores & Spares	0.18
Repairs & Maintenance	0.30
Selling & Admn expenses	1.45
Depreciation	1.02
Interest on T.L	0.72
Interest on W.C	0.56
Cost of production	27.19
Profit	1.96

Requirement of Working Capital

		Margin	W.C	Margin Money
Raw material	1 month	30%	1.70	0.50
Stock of finished goods	15 days	25%	1.20	0.30
Working expenses	1 month	100%	0.40	0.40
Sale on credit	1 month	25%	2.40	0.60
Margin money for W.C				1.80

Break Even point

57%

Machinery Suppliers

• M/S D.P.Pulveriser Works,12, Nagin das Master Road Fort, Mumbai.
• M/s B.Sen Barry & Co. 65/11, New Rohtak road. N.Delhi.
• M/S Lylapur Engg. Co. Ghaziabad, UP

Contact for more information

Information Manager
TIMEIS Project
E-mail: timeis@ficci.com