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Mineral Water

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Mineral Water
44. MINERAL WATER

44-2
TABLE OF CONTENTS
PAGE
I.

SUMMARY

44-3

II.

PRODUCT DESCRIPTION & APPLICATION

44-3

III.

MARKET STUDY AND PLANT CAPACITY

44-3

A. MARKET STUDY

44-3

B. PLANT CAPACITY & PRODUCTION PROGRAMME

44-5

RAW MATERIALS AND INPUTS

44-6

A. RAW MATERIALS

44-6

B. UTILITIES

44-7

TECHNOLOGY & ENGINEERING

44-8

A. TECHNOLOGY

44-8

B. ENGINEERING

44-9

MANPOWER & TRAINING REQUIREMENT

44-11

A. MANPOWER REQUIREMENT

44-11

B. TRAINING REQUIREMENT

44-12

FINANCIAL ANLYSIS

44-13

A. TOTAL INITIAL INVESTMENT COST

44-13

B. PRODUCTION COST

44-14

C. FINANCIAL EVALUATION

44-14

D. ECONOMIC BENEFITS

44-15

IV.

V.

VI.

VII.

44-3
I.

SUMMARY

This profile envisages the establishment of a plant for the production of Mineral Water with a capacity of 14.4 million liters per annum.
The present demand for the proposed product is estimated at 32 million liters per annum.
The demand is expected to reach at 108 million liters by the year 2010.
The plant will create employment opportunities for 54 persons.
The total investment requirement is estimated at Birr 16.4 million, out of which Birr 1.8 million is required for plant and machinery.
The project is financially viable with an internal rate of return (IRR) of 13.46% and a net present value (NPV) of Birr 6.1 million, discounted at 8.5 %.
II.

PRODUCT DESCRIPTION AND APPLICATION

The simple definition of water is that it is the liquid that descents from the cloud as rain, forms streams, lakes and seas, issues from the ground in form of springs and is a major constituent of all living matter and that when pure consists of an oxide of hydrogen H2O or
(H2O)x in the proportion of 2 atoms of hydrogen to one atom of oxygen and is an odorless, tasteless, very slightly compressible liquid. Water freezes at 0oC and boils at 100oC, has a maximum density at 4oC and a high specific heat

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