Detailed Project Report
Sorghum (Jowar) Flour Unit
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹8.47 L
- Term loan from bank
- ₹5.51 L
- Promoter’s contribution
- ₹0.85 L
- Subsidy
- ₹2.12 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-4.43 L
- Average DSCR
- -2.82
- 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
Clean, wash, dry and grind jowar into packed flour for rotis and snacks.
| Main product or service | Sorghum (Jowar) Flour Unit |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Households that eat jowar roti
- Bakeries and snack makers
- Health-food shoppers
- Kirana and departmental stores
- Supermarkets and malls
- Wholesalers of flour
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Winnowing machine | 1 | 60,000 | 60,000 |
| Size screens (× 5) | 1 | 15,000 | 15,000 |
| Washing tank, 500 litre | 1 | 40,000 | 40,000 |
| Soaking drums, 200 litre (× 6) | 1 | 9,000 | 9,000 |
| Mesh trays (× 10) | 1 | 60,000 | 60,000 |
| Tray dryer, 500 kg per batch | 1 | 4,50,000 | 4,50,000 |
| Pulveriser | 1 | 80,000 | 80,000 |
| Continuous sealing machine | 1 | 25,000 | 25,000 |
| Batch coding machine | 1 | 12,000 | 12,000 |
| Weighing balance | 1 | 6,000 | 6,000 |
| Accessories | 1 | 50,000 | 50,000 |
| Total | 8,07,000 |
Pre-filled from: NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Sorghum Flour. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Sorghum (jowar) grain — costed at ₹30 a kg; 75% comes out as flour
- Packing material — printed pouches
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 8.07 |
| Contingency | 0.40 |
| Total fixed capital | 8.47 |
| Working capital margin | 0.00 |
| Total project cost | 8.47 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 0.85 | 10.0 |
| Subsidy | 2.12 | 25.0 |
| Term loan from bank | 5.51 | 65.0 |
| Total | 8.47 | 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 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 |
| Insurance | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 |
| Total cost of operations | 3.09 | 3.09 | 3.09 | 3.09 | 3.09 | 3.09 | 3.09 |
| Operating profit (EBITDA) | -3.09 | -3.09 | -3.09 | -3.09 | -3.09 | -3.09 | -3.09 |
| Depreciation | 1.27 | 1.08 | 0.92 | 0.78 | 0.66 | 0.56 | 0.48 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.60 | 0.52 | 0.42 | 0.33 | 0.24 | 0.14 | 0.05 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -4.96 | -4.69 | -4.43 | -4.20 | -3.99 | -3.80 | -3.62 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -4.96 | -4.69 | -4.43 | -4.20 | -3.99 | -3.80 | -3.62 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -4.96 | -4.69 | -4.43 | -4.20 | -3.99 | -3.80 | -3.62 |
| Depreciation | 1.27 | 1.08 | 0.92 | 0.78 | 0.66 | 0.56 | 0.48 |
| Cash accruals (PAT + depreciation) | -3.69 | -3.61 | -3.52 | -3.42 | -3.33 | -3.24 | -3.14 |
| Term loan repaid | 0.42 | 0.85 | 0.85 | 0.85 | 0.85 | 0.85 | 0.85 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -4.11 | -4.46 | -4.36 | -4.27 | -4.18 | -4.08 | -3.99 |
| Cash and bank | -4.11 | -8.57 | -12.93 | -17.20 | -21.38 | -25.46 | -29.45 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 |
| Reserves and surplus | -4.96 | -9.65 | -14.08 | -18.28 | -22.28 | -26.08 | -29.70 |
| Term loan outstanding | 5.08 | 4.24 | 3.39 | 2.54 | 1.69 | 0.85 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 3.09 | -2.45 | -7.73 | -12.78 | -17.62 | -22.26 | -26.73 |
| Net fixed assets | 7.20 | 6.12 | 5.20 | 4.42 | 3.76 | 3.20 | 2.72 |
| 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 | -4.11 | -8.57 | -12.93 | -17.20 | -21.38 | -25.46 | -29.45 |
| Total assets | 3.09 | -2.45 | -7.73 | -12.78 | -17.62 | -22.26 | -26.73 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -3.03 | -2.27 | -2.43 | -2.63 | -2.85 | -3.12 | -3.44 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -2.82 |
|---|---|
| Lowest DSCR | -3.44 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 1.27 | 1.08 | 0.92 | 0.78 | 0.66 | 0.56 | 0.48 |
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 | 5.51 | 0.60 | 0.42 | 5.08 |
| 2 | 5.08 | 0.52 | 0.85 | 4.24 |
| 3 | 4.24 | 0.42 | 0.85 | 3.39 |
| 4 | 3.39 | 0.33 | 0.85 | 2.54 |
| 5 | 2.54 | 0.24 | 0.85 | 1.69 |
| 6 | 1.69 | 0.14 | 0.85 | 0.85 |
| 7 | 0.85 | 0.05 | 0.85 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- FSSAI licence or registration
- Trade licence from the local body
- Legal Metrology registration for packed goods
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)
19 Sources
- NIFTEM-Thanjavur (IIFPT) PMFME model DPR — Sorghum Flour — https://niftem-t.ac.in/pmfme/dpr-sflour.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.