Detailed Project Report
Masala / Spice Grinding Unit
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹20.27 L
- Term loan from bank
- ₹13.17 L
- Promoter’s contribution
- ₹2.03 L
- Subsidy
- ₹5.07 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-6.60 L
- Average DSCR
- -1.29
- 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 chilli, coriander and turmeric into packets under your own brand — sells daily in kirana shops.
| Main product or service | Masala / Spice Grinding Unit |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Households
- Hotels, restaurants and caterers
- Spice processing companies (about half of coriander powder demand)
- Food manufacturers
- Kirana shops and wholesalers
- Supermarkets
- Bulk supply to spice brands and food processors
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Chilli unit: impact pulveriser without sieve | 1 | 3,00,000 | 3,00,000 |
| Chilli unit: packaging machine | 1 | 1,80,000 | 1,80,000 |
| Chilli unit: bins, trolley, weighing machine, kitchen tools | 1 | 2,40,000 | 2,40,000 |
| Coriander unit: de-stoner | 1 | 1,75,000 | 1,75,000 |
| Coriander unit: vibro separator, 100 kg/hour | 1 | 80,000 | 80,000 |
| Coriander unit: seed roasting machine, 75–300 kg/hour | 1 | 1,40,000 | 1,40,000 |
| Coriander unit: pulveriser, 50–300 kg/hour | 1 | 1,90,000 | 1,90,000 |
| Coriander unit: powder grinding machine, 100–150 kg/hour | 1 | 90,000 | 90,000 |
| Coriander unit: drum sieve | 1 | 35,000 | 35,000 |
| Coriander unit: automatic pouch filling and packing machine | 1 | 1,50,000 | 1,50,000 |
| Coriander unit: bins, trolley, conveyor, silos | 1 | 3,50,000 | 3,50,000 |
| Total | 19,30,000 |
Pre-filled from: NIFTEM-K (MoFPI) PMFME Detailed Project Report – Red Chilli Powder Unit; NIFTEM-K (MoFPI) PMFME Detailed Project Report – Coriander Powder Unit. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Dried red chilli — ₹60 per kg in year 1 of the NIFTEM chilli DPR
- Coriander seeds — ₹45 per kg in year 1 of the NIFTEM coriander DPR; Madhya Pradesh and Rajasthan grow over two-thirds of India's crop
- Food-grade pouches and cardboard cartons — powder is packed at once to keep aroma
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 19.30 |
| Contingency | 0.97 |
| Total fixed capital | 20.27 |
| Working capital margin | 0.00 |
| Total project cost | 20.27 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 2.03 | 10.0 |
| Subsidy | 5.07 | 25.0 |
| Term loan from bank | 13.17 | 65.0 |
| Total | 20.27 | 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 | 0.41 | 0.41 | 0.41 | 0.41 | 0.41 | 0.41 | 0.41 |
| Insurance | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 |
| Total cost of operations | 3.39 | 3.39 | 3.39 | 3.39 | 3.39 | 3.39 | 3.39 |
| Operating profit (EBITDA) | -3.39 | -3.39 | -3.39 | -3.39 | -3.39 | -3.39 | -3.39 |
| Depreciation | 3.04 | 2.58 | 2.20 | 1.87 | 1.59 | 1.35 | 1.15 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 1.43 | 1.24 | 1.01 | 0.79 | 0.57 | 0.34 | 0.12 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -7.85 | -7.21 | -6.60 | -6.04 | -5.54 | -5.08 | -4.65 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -7.85 | -7.21 | -6.60 | -6.04 | -5.54 | -5.08 | -4.65 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -7.85 | -7.21 | -6.60 | -6.04 | -5.54 | -5.08 | -4.65 |
| Depreciation | 3.04 | 2.58 | 2.20 | 1.87 | 1.59 | 1.35 | 1.15 |
| Cash accruals (PAT + depreciation) | -4.81 | -4.62 | -4.40 | -4.18 | -3.95 | -3.73 | -3.51 |
| Term loan repaid | 1.01 | 2.03 | 2.03 | 2.03 | 2.03 | 2.03 | 2.03 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -5.83 | -6.65 | -6.43 | -6.20 | -5.98 | -5.76 | -5.53 |
| Cash and bank | -5.83 | -12.47 | -18.90 | -25.10 | -31.08 | -36.84 | -42.37 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 7.09 | 7.09 | 7.09 | 7.09 | 7.09 | 7.09 | 7.09 |
| Reserves and surplus | -7.85 | -15.06 | -21.65 | -27.70 | -33.24 | -38.31 | -42.97 |
| Term loan outstanding | 12.16 | 10.13 | 8.11 | 6.08 | 4.05 | 2.03 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 11.40 | 2.17 | -6.45 | -14.52 | -22.09 | -29.20 | -35.88 |
| Net fixed assets | 17.23 | 14.64 | 12.45 | 10.58 | 8.99 | 7.64 | 6.50 |
| 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 | -5.83 | -12.47 | -18.90 | -25.10 | -31.08 | -36.84 | -42.37 |
| Total assets | 11.40 | 2.17 | -6.45 | -14.52 | -22.09 | -29.20 | -35.88 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -1.39 | -1.04 | -1.11 | -1.20 | -1.31 | -1.43 | -1.58 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -1.29 |
|---|---|
| Lowest DSCR | -1.58 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 3.04 | 2.58 | 2.20 | 1.87 | 1.59 | 1.35 | 1.15 |
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 | 13.17 | 1.43 | 1.01 | 12.16 |
| 2 | 12.16 | 1.24 | 2.03 | 10.13 |
| 3 | 10.13 | 1.01 | 2.03 | 8.11 |
| 4 | 8.11 | 0.79 | 2.03 | 6.08 |
| 5 | 6.08 | 0.57 | 2.03 | 4.05 |
| 6 | 4.05 | 0.34 | 2.03 | 2.03 |
| 7 | 2.03 | 0.12 | 2.03 | 0.00 |
17 Licences and registrations
- FSSAI licence/registration
- Udyam
- GST
- Legal Metrology
- AGMARK (optional, builds trust)
18 Government schemes that may apply
- PM Formalisation of Micro Food Processing Enterprises (PM FME)
- Prime Minister's Employment Generation Programme (PMEGP)
- Pradhan Mantri MUDRA Yojana (PMMY) – Shishu, Kishor, Tarun, Tarun Plus
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- Mukhyamantri Yuva Udyami Vikas Abhiyan (CM-YUVA)
19 Sources
- NIFTEM-K (MoFPI) PMFME Detailed Project Report – Red Chilli Powder Unit — https://niftem.ac.in/newsite/pmfme/wp-content/uploads/2022/08/chillipowderdpr.pdf
- NIFTEM-K (MoFPI) PMFME Detailed Project Report – Coriander Powder Unit — https://niftem.ac.in/newsite/pmfme/wp-content/uploads/2022/08/corianderpowderdpr.pdf
- World Customs Organization – HS Nomenclature 2022, Chapter 9 — https://www.wcoomd.org/-/media/wco/public/global/pdf/topics/nomenclature/instruments-and-tools/hs-nomenclature-2022/2022/0209_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.