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                              MENTHOL CRYSTALS AND MENTHOL OIL

In India first distillation plant was installed at Bilaspur by a US based MNC in the year of 1973. Thereafter various local distilleries also came up at Sambhal, Chandausi and Moradabad. The survey conducted by Richardson Hindustan Ltd. determined that Tarai Area of Uttar-Pradesh would be a suitable place for the cultivation of Mentha Arvensis. The crop of menthe was successfully grown and when the mentha oil was extracted by Steam distillation, mentha crop became a viable. Hindustan Richardson Ltd. established a distillation unit in BILASPUR of district Nainital, so confidently the Farmer could grow Mentha Herb. They had supplied the planting materials as well as given technical knowledge to grow the Mentha herb. As the result the area of mentha crops substantially increased in entire tarai and western districts of U.P. mainly Nainital, Rampur, Moradabad, Badaun, Bareilly and recently extended to eastern districts viz. Barabanki, Lucknow & Sitapur districts. India upto 1966 was the importer of menthol which continued up to 1986 but due to Green Revolution, which started in the year 1965. Plantation of the wonder crop was undertaken by the farmers of UP at Rampur which later on spread to various areas like Rudrapur, Bilaspur, Bareilly, Barabanki etc. Some other areas like Sitapur, Faizabad, Gonda and Baraich, these areas are counted within Barabanki.

Cost Estimation

Plant Capacity                                        1 Ton./Day
Land & Building (Area 1000  Rs. 59 Lacs
Plant & Machinery                                 Rs. 40 Lacs        
W.C. for 2 Months                                  Rs. 2.18 Cr.          
Total Capital Investment                      Rs. 3.26 Cr.             
Rate of Return                                       48%  
Break Even Point                                   38%


•            Introduction
•            Properties
•            BIS (Bureau of Indian Standard) Specifications & Requirements
•            Uses & Applications
•            Present Indian Market Position
•            Expected Future Demand
•            Export & Import Statistics Data
•            Names and Addresses of Existing Units (Present Manufactures)
•            List of Plant & Machineries
•            Miscellaneous Items and Accessories
•            Instruments, Laboratory Equipments and Accessories
•            Electrification, Electric Load and Water
•            Maintenance, Suppliers/Manufacturers of Plant and Machineries
•            Process of Manufacture with formulae if applicable
•            Flow Sheet Diagram
•            List of Raw Materials
•            Availability of Raw Materials
•            Requirement of Staff & Labour
•            Personnel Management
•            Skilled & Unskilled Labour
•            Requirement of Land Area
•            Built up Area
•            Plant Layout.
along with financial details as under:
Summary of Capital Cost of Project
Land & Side Development Exp.
Plant & Machineries
Misc. Fixed Assets
Technical Know how Fees & Exp.
Preliminary Expenses
Pre-operative Expenses
Provision for Contingencies
below mentioned financial statements (Annexure) will be  for 5 to 10 Years
  Annexure  ::         Cost of Project and Means of Finance
  Annexure  ::         Output, Profitability and Cash Flow Chart
  Annexure  ::         Assessment of Working Capital requirements
  Annexure  ::         Sources of Finance
  Annexure  ::         Balance Sheets
  Annexure  ::         Break-Even Analysis and profitability analysis.
  Annexure  ::         Quantitative Details-Output/Sales/Stocks
  Annexure  ::         Sales Realisation       
  Annexure  ::         Raw Material Cost      
  Annexure  ::         Other Raw Material Cost            
  Annexure  ::         Packing Material Cost        
  Annexure  ::         Consumables, Store etc.,                   
  Annexure  ::         Employees Expenses           
  Annexure  ::         Fuel Expenses                
  Annexure  ::         Power/Electricity Expenses   
  Annexure  ::         Repairs & Maintenance Exp.   
  Annexure  ::         Other Mfg. Expenses          
  Annexure  ::         Administration Expenses      
  Annexure  ::         Selling Expenses             
  Annexure  ::         Depreciation Charges - Profitability
  Annexure  ::         Depreciation Charges
  Annexure  ::         Interest and Repayment - Term Loans
  Annexure  ::         Tax on Profit
  Annexure  ::         Assumptions for Profitability workings
  Annexure  ::         Assessment of Working Capital

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