Detailed Project Report
Cattle Feed (Pellet) Unit
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹12.34 L
- Term loan from bank
- ₹8.02 L
- Promoter’s contribution
- ₹1.23 L
- Subsidy
- ₹3.08 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-5.14 L
- Average DSCR
- -2.00
- Break-even (% of capacity used)
- —
02 Promoter and unit
| Promoter name | — |
|---|---|
| Business / firm name | — |
| Legal form | Proprietorship |
| Address of the unit | — |
| Applicant category | General · Rural |
03 The project
Grind and mix grains, bran and oil cake with minerals and press them into cattle-feed pellets for dairy farmers.
| Main product or service | Cattle Feed (Pellet) Unit |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Dairy farmers
- Milk collection centres and dairy co-operatives
- Cattle traders and gaushalas
- Village feed and fertiliser shops
- Direct supply through milk collection centres
- Distributors in dairy districts
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Cattle feed batch mixer | 1 | 95,000 | 95,000 |
| Cattle feed grinder | 1 | 1,20,000 | 1,20,000 |
| Screw conveyor | 1 | 1,40,000 | 1,40,000 |
| Pellet making machine | 1 | 4,00,000 | 4,00,000 |
| Packing machine | 1 | 3,80,000 | 3,80,000 |
| Material handling equipment (trolleys, bins) (× 1 lot) | 1 | 40,000 | 40,000 |
| Total | 11,75,000 |
Pre-filled from: PMEGP sample project report — Animal Feed (prepared by Udyami/Samadhan); World Customs Organization – HS Nomenclature 2022, Chapter 23. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Grains: wheat, maize, oats, sorghum, rice, barley, millets, ragi — energy part of the ration
- Brans: rice polish, de-oiled rice bran, wheat bran, maize bran
- Oil cakes and meals: mustard, soybean, cottonseed, groundnut, coconut, sesame, linseed, sunflower, guar — protein part of the ration
- Pulse chunni, molasses, tamarind seed powder and other agro by-products — molasses is added at 10–12%
- Mineral mixture, calcite powder, salt, di-calcium phosphate, vitamins A, D and E
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 11.75 |
| Contingency | 0.59 |
| Total fixed capital | 12.34 |
| Working capital margin | 0.00 |
| Total project cost | 12.34 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 1.23 | 10.0 |
| Subsidy | 3.08 | 25.0 |
| Term loan from bank | 8.02 | 65.0 |
| Total | 12.34 | 100.0 |
| Working capital loan (outside project cost) | 0.00 |
09 Key assumptions
| Selling price | ₹0 per units |
|---|---|
| Raw material & packing cost | ₹0 per units |
| Capacity used each year | 60% · 70% · 80% · 80% · 80% · 80% · 80% |
| Term loan interest rate (% a year) | 11% · 84 months (Moratorium 6) |
| Working capital method | Turnover method (RBI) · Working capital interest (% a year) 11% |
| Income tax rate | 25% |
| Yearly price and cost rise | 0% |
10 Production and sales
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capacity used | 60% | 70% | 80% | 80% | 80% | 80% | 80% |
| Production (units) | 6,000 | 7,000 | 8,000 | 8,000 | 8,000 | 8,000 | 8,000 |
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
11 Projected profitability
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Raw material and packing | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Power and fuel | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Salaries and wages | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 |
| Rent | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Administration | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Selling and distribution | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Repairs and maintenance | 0.25 | 0.25 | 0.25 | 0.25 | 0.25 | 0.25 | 0.25 |
| Insurance | 0.06 | 0.06 | 0.06 | 0.06 | 0.06 | 0.06 | 0.06 |
| Total cost of operations | 3.19 | 3.19 | 3.19 | 3.19 | 3.19 | 3.19 | 3.19 |
| Operating profit (EBITDA) | -3.19 | -3.19 | -3.19 | -3.19 | -3.19 | -3.19 | -3.19 |
| Depreciation | 1.85 | 1.57 | 1.34 | 1.14 | 0.97 | 0.82 | 0.70 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.87 | 0.75 | 0.62 | 0.48 | 0.34 | 0.21 | 0.07 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -5.91 | -5.51 | -5.14 | -4.81 | -4.50 | -4.22 | -3.96 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -5.91 | -5.51 | -5.14 | -4.81 | -4.50 | -4.22 | -3.96 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -5.91 | -5.51 | -5.14 | -4.81 | -4.50 | -4.22 | -3.96 |
| Depreciation | 1.85 | 1.57 | 1.34 | 1.14 | 0.97 | 0.82 | 0.70 |
| Cash accruals (PAT + depreciation) | -4.06 | -3.94 | -3.80 | -3.67 | -3.53 | -3.40 | -3.26 |
| Term loan repaid | 0.62 | 1.23 | 1.23 | 1.23 | 1.23 | 1.23 | 1.23 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -4.67 | -5.17 | -5.04 | -4.90 | -4.77 | -4.63 | -4.50 |
| Cash and bank | -4.67 | -9.85 | -14.89 | -19.79 | -24.56 | -29.19 | -33.68 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 4.32 | 4.32 | 4.32 | 4.32 | 4.32 | 4.32 | 4.32 |
| Reserves and surplus | -5.91 | -11.42 | -16.56 | -21.37 | -25.87 | -30.09 | -34.05 |
| Term loan outstanding | 7.40 | 6.17 | 4.94 | 3.70 | 2.47 | 1.23 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 5.81 | -0.93 | -7.31 | -13.35 | -19.08 | -24.53 | -29.73 |
| Net fixed assets | 10.49 | 8.91 | 7.58 | 6.44 | 5.47 | 4.65 | 3.96 |
| Preliminary expenses not written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Current assets (stock and debtors) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Cash and bank | -4.67 | -9.85 | -14.89 | -19.79 | -24.56 | -29.19 | -33.68 |
| Total assets | 5.81 | -0.93 | -7.31 | -13.35 | -19.08 | -24.53 | -29.73 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -2.15 | -1.61 | -1.72 | -1.86 | -2.02 | -2.21 | -2.44 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -2.00 |
|---|---|
| Lowest DSCR | -2.44 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 1.85 | 1.57 | 1.34 | 1.14 | 0.97 | 0.82 | 0.70 |
Written-down value method at Income-tax Rules block rates (building 10%, plant & machinery 15%, furniture 10%, computers 40%). Change them if your CA uses other rates.
16 Term loan repayment
| Year | Opening | Interest | Term loan repaid | Closing |
|---|---|---|---|---|
| 1 | 8.02 | 0.87 | 0.62 | 7.40 |
| 2 | 7.40 | 0.75 | 1.23 | 6.17 |
| 3 | 6.17 | 0.62 | 1.23 | 4.94 |
| 4 | 4.94 | 0.48 | 1.23 | 3.70 |
| 5 | 3.70 | 0.34 | 1.23 | 2.47 |
| 6 | 2.47 | 0.21 | 1.23 | 1.23 |
| 7 | 1.23 | 0.07 | 1.23 | 0.00 |
17 Licences and registrations
- Udyam
- GST
- Pollution consent from the State Pollution Control Board (dust)
- Trade licence from the local body
- BIS licence if you sell under the IS mark
18 Government schemes that may apply
- Prime Minister's Employment Generation Programme (PMEGP)
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- Pradhan Mantri MUDRA Yojana (PMMY) – Shishu, Kishor, Tarun, Tarun Plus
- Agriculture Infrastructure Fund (AIF)
19 Sources
- PMEGP sample project report — Animal Feed (prepared by Udyami/Samadhan) — https://pmegp.msme.gov.in/Home/DownloadDocument?fileName=Documents/ProjectSampleReport/Animal_Feed_final_%28_Samadhan_Projects_%29.pdf
- World Customs Organization – HS Nomenclature 2022, Chapter 23 — https://www.wcoomd.org/-/media/wco/public/global/pdf/topics/nomenclature/instruments-and-tools/hs-nomenclature-2022/2022/0423_2022e.pdf
This report is a projection from the figures entered by the promoter. It is not a bank appraisal or a guarantee of a loan or subsidy. Check every figure with current quotations and your chartered accountant before submitting it.