BISCUIT PRODUCTION

INTRODUCTION Manufacturer are increasing sales and market share by packing and selling products in affordable small units for one-time use. The standard Nigeria diet is high carbohydrate but the number of discerning consumers requiring low-carbohydrate, low-fat, sugar-free food and beverage is increasing. There are also, growing concerns (among the high middle-income Nigeria consumers), regarding food safety and dietary quality. Many local processors are developing and improving products to meet the needs of this consumer niche. Currently, about, 300,000 MT of biscuit (produced mostly for the low-income mass market and value at approximately $280 million) are produced in Nigeria each year. The value of local biscuit was estimated at $70 million prior to the import ban in 2003. The soft wheat is growing to meet the increasing demand of local producer. Sumal Food and Niger Biscuit are the players in the sub-sector with market shares of 40 and 25 percent respectively. INFORMATION ABOUT STAFF The business is purely a sale proprietorship with the main aim of making profit. The business will engage the services of professional. Division structure is formed when an organization is splited into a number of self-managed units each of which operates as a profit center. Below is the organizational structure for a biscuit product line. List of Staff/Roles of Staff Manager: is in charge of overseeing the activities of the company Marketer: is the person in charge of the advertising and selling the company product in the best possible ways. Accountant: is the person uncharged of the financial account transaction of the company i.e the inflow and outflow of company income and expenditure. Supervisor: is the person who supervise the activities of the Company.

Overlooker: assist the Supervisor during actual production by ensuring the machines and the production input and output system is progressing according to standard and schedule person that makes sure everything is going fine the company, monitoring the worker behavior. Banker: is the person In-charged of the baking of the biscuits Mixer: is the person in-charge of the mixing of the material before baking Weighing and shifter: is the person making sure that the raw material is of quantity and sizes. Moulder: He operate the moulding machine Cutter: He operate the cutting machine Laminator: Is the person operating the laminating machine and the factory Cooler: is the person operating the cooling machine Packaging: is the person operating the packaging machine. Sealer: is the in-charge operating the sealing machine Security: they are the one watching the factory during the working time and after the workers have left for their various places. Bonus: Bonus will be given to disserving staff. Any staff that does overtime will draw bonus and in order to enhance productivity, hardworking staff will be given special bonus. Rowan scheme of type of bonus will be employed in the company. Equipment Description 1. Sugar Grinder Application: The machine is used to grind sugar into powder. The ground sugar is then used for baking the biscuits. For the best production results. It is advisable to use ground sugar as it will ensure that sugar is evenly distributed throughout the biscuit Rotary Moulder 2. The dough to be moulder is fed into the hopper and a forcing roller forces the dough into the cavities of the moulding roller made out of gun metal, uniformly engraved and coated with food grader, Teflon Excess dough is cleared with a knife which is held holder made from tool steel, to ensure uniform filling. An adjustable rubber roller conveying the discharge cotton web, press it uniformly against the moulding roller for perfect transfer of molded pieces from the moulding roller on to the web. The forcing roller

influences the density of dough forced into the moulding cavity. The speed of the die roller influences the production speed. The discharge web speed influences the shape of the biscuits produced along the web or across the web. 3. Rotary Cutter Helps in rotator cutting of the biscuit 4. Biscuit Banking Oven Construction: The oven body consists of a steel steam tight tunnel with equally divided zones of the radiators. Stainless steel expansion joints are provided between these zones in order to eliminate the expansion of the oven section. The inspection doors are provided for inspection of the baking goods during the process. Firing Chamber: The complete chamber will be insulated with miner wool filled from outside to conserve heat and increase efficiency. The fully automatic imported burner shall be fitted to the chamber and the temperature shall be controlled by automatic temperature controller on the control panel. Insulation: The complete oven will be covered with 10th thick mineral wool insulation from the top, bottom and the sides. The bottom portion of the oven at the sides will covered with CRC sheets for the conveyor protection and to avoid heat loss. Baking System: The baking in the heating chamber takes place by radiators located under and above the wire mesh band which distribute heat for uniform baking. The recirculation heating gases of these radiators controlled for each zone separately. The closed recirculation system is having slight so that combustion gases cannot gases enter into the baking the baking chamber. The ventilating fan is for circulation of the heating gases through the recirculation system and thermostatically controlled burners the set temperature of the heating gases. Fans: all the circulating fans are fabricated from M.S. & S.S and will be balanced to void vibration and will give noise operation in high speeds. 5. Laminator Laminators are generally used for production of hard biscuits, crackers and cocktails sacks. With a laminator, it is possible to create a puffy pasty-like structure which is of important for the quality level and consequently for the sales success. Laminating of Dough bank improves the weight/volume ratio considerably i.e. quantity increase at same weight. 6. Cooling Conveyor The buits coming from the stripping conveyor is directed on to the cooling conveyor so as to allow it cool. The recommended total travel of the cooling conveyor is 1.5 times the oven length. As per the company specification we need the travel of 150 ft. for effective cooling.

7. Sandwiching Machine Suitable for Sandwiching all Types of Biscuit with all kinds of filling materials, such as, Chocolate, Cream, and Jam, etc. 8. Combination Sheeter The combination machine gives the best of sheeting and moulding. It is idea for the busy retail instore bakery. The heavy duty design is simple to use and is the most reliable machine in its class. The machine comers in several models with additional features. Customized designs are also available. Its use is basically to make sheeting and moulding less tedious. 9. Gauge Roll Application: this machine form part of the biscuit cutting plant. Gauge Roll are used to reduce the thickness of a continues dough sheet, prior to the cutting operation. This machine is normally used in conjunction with one or two more similar units. The number of gauge roll units required in a plant will be determined by the size of the plant the recipe of the product to be produced. This machine can process variety of dough sheets from soft dough, hard dough or dough with little fat contents. 10. Salt, Flour and sugar sprinkler Application: The salt flour sprinkler is used to sprinkler the salt/flour over the dough sheet or the cotton canvas conveyor band. This machine can be used at a number of places in the cutting plant, for instance this machine is used to sprinkle the flour on the inclined conveyor, on this dough sheet coming from the second gauge roll on, the dough sheet just before cutting. 11. Oil Spray Machine Use to atomize and evenly Spray Oil over the surface of Baked Biscuits with High Speed to make the Biscuits more Favorable both in Color and Taste. 12. Biscuit Stacking machine This machine is use to sort biscuit. This makes biscuit regular and easy to pack. This machine can adjust the width of the leading-path sorting speed. It is a necessary equipment for the roboticized production lines. 13. Packaging machine This model is specially designed to handle biscuits in standing on edge condition for higher output with minimum manpower. The machine is in with two automatic feeding attraction which precisely load the required stack length of biscuits into the amain

feeding conveyor. During the final end sealing and cutting process, the nylon guides on the two extra long top chain, ensure proper shape and gusseting for each packet 14. Dough Mixer Application: the machine is used for maxing various ingredients sure as flour, sugar, fat water and other chemicals for making biscuits. 15. Biscuits Filling machine Specifications and Features Fills biscuits with butter, jam or chocolate Makes single, two-color or double filled biscuit All parts made from high quality stainless steel High efficiency Safe 16. Flour Shifter Flour sifter used to unwanted impurities from the flour. The automatic vibratory type flour sifter, which incorporates screw conveyor, sieves for flour with a capacity of 12 sacks of flour (90kgs each) per hour. 17. Bread Grinder: is used for grinding flour Production Process Type of Biscuit Generally, biscuits produced are of two types namely: Soft Biscuits Hard Biscuits

The ingredients for the production of each type are similar but with minoir differences. This is also the case for the process of preparation of both types. Soft Biscuit Flow chart for Production Process for soft Biscuit

Below is the soft biscuit production line Product Line Description a. b. c. d. e. f. g. h. i. j. k. l. m. Rotary Moulder Spread and gather the salt and sugar machine Eggs sprayer Enter stove machine Stove-net sending machine Oven Stove-net inputting machine Out stove machine Plane turning machine Spray oil machine Refrigerating and sending machine Sorting machine Packing console

Below is the hard biscuit production line Product Line Description Hard biscuit production line may be combined freely according to the condition of workshop space and requirement of biscuit technology. These all can reach the ideal purpose. 1. Overlapping machine 2. Tow-roll Cut Machine 3. Tradition machine 4. Separating machine 5. Scrap collect and recycle system 6. Salt/Sugar sprinkler 7. Eggs Sprayer 8. Enter Stove machine 9. Stove-Net Sending machine 10. Oven 11. Stove-Net Inputting Machine 12. Out Stove Machine 13. Oil Sprayer

14. Cooling Conveyor 15. Packing Console 16. Biscuit Stacking Machine

PACKING The unique biscuit will be put into convenient packages hat will be of attractive colour will the inscription of letter K on it. This will enable consumers to identify it easily in the market. The packaging will also attract buyers and more importantly the primary objective of packaging unique biscuit is to put the products in containers for easy handing for effective storage and to protect it from damages while in transit. Most of the unique biscuit that are rarely going to be sold as soon as they are produced; will be stored in the warehouse. Two types of warehouses are going to be provides namely: i. ii. Storage warehouses hold goods for a much longer period of time while Distribution warehouse will serve as way stations for the biscuit as they packs from one location to the other.

DISTRIBUTION This is concerned with the efficient movement of the biscuit from the company to the consumers. The distribution activity will centre mainly on transportation, inventory, warehousing and communication PRODUCTION CAPACITY Unique Biscuit processing company will be producing 50 bags of both hard and soft biscuit daily. Specializes in the production of biscuit hence the unique biscuit processing company is going to be the first. Additionally the study revealed that biscuit are mainly consumed by the children and the adolescent. ADVERTISEMENT AND PROMOTION ACTIVITIES Unique bisque will be advertised in the radio and television to create awareness for the new product that is about to enter the market. Children and adbsent are good are going to be used for the advert b/c the product is targeted at them.

Sales promotion is simply a collection of marketing incentives designed and implemented in the short run for consumers and the marketing institution with the aim of stimulating purchase. Unique Biscuit Company will engage on the following sales promotion tools: prices off (reduction in price), patronage awards, contest, free trials, point of purchase displays product 1 show and freed samples. All these will be employed at different times to stimulate interest and purchase of products. MARKET NICHE The company hopes to capture children and adolescent market because they are the large consumers of the product. Therefore the market is going to be segmented into children, adolescent and adult. THE TOTAL MARKET VALUE MARKET SHARE Currently in Nigeria about 300,000 meter tones of biscuit are produced a value of about 280 million annually and unique biscuit company is expected to capture a market share of about 5,000 metric tones of biscuit value at about 8215,000 annual which represents about 5% of the impact share. MARKET ANALYSIS/MARKET PLAN Market Needs The consumption of biscuits cuts across all ages, all socio-economic classes, all genders and all religion. They are eaten at parties, at home and especially by children and students (Of nursery, primary, secondary, and tertiary institutions) either as part of a meal, in between meals or a snack. In the year 2003, the Federal government imposed a ban on the importation of biscuits. This directive was intended to force Nigerian companies to look inwards within the country towards biscuit production. This created a very large market for the product as consumption of biscuit is very high amongst the populace. Biscuit production on its own is highly capital intensive thus the choice of a few individuals in that field. However, the huge size of the market in Nigeria is encouraging for small-scale and medium-scale factories as it assure of profitability. Target Market Target Market Breakdown The target markets for the biscuit factory are all individuals. This is the case as biscuit are a particular type of food that is consumed across all age and class levels in the

country. These groups of individuals are segmented under the following categories listed below: Distributors Retailers Supermarkets Individuals Schools

Proposed Location The location for the biscuit making factory will be in the city of Kaduna actually in an industrial area with a large industrial plots and acres. Direct connection to power will be of great advantage. The location will be at a place where accessibility would not be a problem to vehicles such as trucks etc, this is because of trucks bringing in raw materials for production and customers coming to the factory to purchase goods. RESULT OF MARKET STUDIES The result of the market studies carried out in the proposed area of location shows that the consumption rate of biscuit in Kaduna State is very high and there is no single company in the whole of Kaduna State. PRICE Being that the product of unique good processing company i.e biscuit is a new one price reduction strategy is going to be adopted and we expected to change an initial price of N10 to attract customers. OUTLINE OF BUSINESS OPERATION A new biscuit factory will need to employ about forty (40) people. Some of the staff should be made permanent members of staff while some other causal staffs. It is advised that the manager, Accountant, Supervisors, marketers, Head and Security should be made permanent staffs while other staffs are casual staffs. Payment to the casual staffs should either be on daily basis or weekly. In order to facilitate good operations in the factory, the manager to be employed must be experienced also competent and effective Marketers, Accountants and the Engineers should be employed.

Start up Investment The sum of thirty two million naira (32,000,000) is recommended for the establishment and running of the business. This start-up comprises of machines and equipment cost, land and land development, Factory building, Pre-investment expenses, working capital and contingencies. This capital also comprises the cost of raw materials and salaries of staff for the first quarter of the year, including marketing costs and utilities for the first couple of months. This cost can be either reduced or increased, depending on the amount of funds available to the investor. Market Strategy The biscuits will be sweet, firm and very rich in taste, where it is the type of biscuit that is to be strong; it should be strong and always remain strong. Where it is to be crunchy, it should be crunchy and always remain crispy. The packaging must be bright and attractive. More so, it must not be expensive. Effective and strong marketing strategies must be used; reduction in the price of the biscuit, in the first three months will help company. FIANCIAL ANALYSIS First Year Financial Analysis S/NO 1 2 3 4 5 6 7 8 9 10 11 START-UP BREAKDOWN Cost of Factory Cost of Equipment Registration Fee Total start up Salaries (34) Cost of raw materials Utilities cost (400 liters daily) Marketing Cost Total Cost of production Sales Net Profit FY1 5,000,000 15,334,770 70,000 20,431,850 6,523,200 49,138,650 11,529,000 1,250,000 68,431,850 89,431,850 20,911.150

Equipment Breakingdown and prices