FEDERAL POLYTECHNIC NEKEDE

P.M.B 1036 OWERRI,

IMO STATE.

PLANT DESIGN
ON

SKIMMED MILK

BY

NAME: ORIOHA CHIWENDU GLADYS

REG. NO:

DEPT: FOOD TECHNOLOGY

LEVEL: HND II (EVENING)

COURSE TITLE: EQUIPMENT & PLANT PROCESS DESIGN

COURSE CODE: FST 412

LECTURER: ENGR. ARINZE & MR. CHIBUIKE NJOKU

DATE: APRIL, 2024

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 DEDICATION

This research work is dedicated to the almighty God for his divine grace and mercy

upon my life in my academic pursuit.

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 ACKNOWLEDGEMENT

I acknowledge the presence of God in my life, for his mercies and blessings. I say

thank you Jesus. I humbly acknowledge my lecturer, Mr. Chibuike Njoku for his

teachings and instructions as regards to engineering principles. I also acknowledge my

parents for their love and care in all rounds. I will not forget to acknowledge my

brothers, sisters and friends for their love and care towards me not withstanding all the

storms of life. I pray may God continue to shower his blessings on you all Amen.

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 EXECUTIVE ABSTRACT

A process plant to produced five hundred kilograms or half ton per day on a single
eight hour shift has been carried out with much precision and consideration given to
the most optimum process route. An increased of 10% was given to the product so as
to take care of losses along the production line and also to the plant producing under
capacity. The material needed for the production of the milk and their appropriate
percentage are flour 50kg, water 30%, sugar 2% salt 2%, baking powder 2%, additives
14%. The materials on equipment are one mixer, one extruder and conveyor or tunnel
oven. Other equipment is sealing machines, water pipe, filter tables, preprinted nylon
etc. 492.96kg of the dough is mixed per day and 1000kg of milk is the target to be
produced with a 10% increase to account for the losses on the production line. The heat
generated over the whole productive process is 650,358.92kg/hr, the recommended
sales price is estimated at N3.60 the feasibility and technological requirement for the
production of a milk plant of total of one ton or 30,000 thousand packs per day running
only one eight hours shift. The approach used for the design of this process technology
starts with the chosen after considering the existing routes industrially and modifying it
to suit the capacity of the plant. The equipment for the plant was also chosen on the
ability to carry out the expected functions of the plant was also chosen on the ability to
carry out the expected functions for the plant. The material and energy balance for
whole process units were done to determine the flow material in and out of the whole
process units were done to determine the flow material in and out of the system to
determine the heat generated over the whole systems. Each of the basic equipment like
the oven, the extruder was selected modified using the material and energy balance and
some design parameters from design books and companies. Analysis of the cash flow
for profitability of the plant was then locked into using high expenditure ratio to low
revenue rate of return. The analysis cover the costing of machinery and equipments,
the working capital, factory and building cost, pre-operational expenses, contingency,
cost of utilities and tax. The revenue generated at a selling rate of W3.60k per pack
was determined. The depreciation of equipment (20 years|) office building and
furniture (5years each) and the trading profit was used to generate a good profit. Site
selection and plant vocation was also done by looking into the market areas available
of the product. The nature of competition rate of consumption of the product.. Sources
of raw material, transportation of raw material and products, availability of both skill
and unskilled labour. Nature of utilities that will be needed to process and recreation,
environment impact of process effluent if any climatic effect, topography and strategic
economic consideration, suggestion of the plant layout, safety of both material/product
and machinery was also looked into. Suggestion on waste management and service

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was done. After all the above consideration results obtained during the study and
design show some very interesting results for any investor.

TABLE OF CONTENTS

Title page

Certification

Dedication

Acknowledgement

Executive Summary

Table of contents

CHAPTER ONE

1.0 Introduction

1.1 Background of the study

1.2 Aim and objectives

1.3 Production steps of skimmed milk plant

1.4 Properties and structure

1.5 Uses

1.6 Process route

1.7 Other process route

1.8 Why the process route was chosen

1.9 Scope of the design

1.10 Limitations

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1.11 Process flow chart (Diagram)

1.12 Process description

CHAPTER TWO

2.0 Literature review

2.2 History of caffeinated coffee

2.3 productions

2.4 Nutritional factors of skimmed milk

CHAPTER THREE

3.0 Material and energy balances

3.1 Material balance

3.1 Conservation of mass

3.1.4 Material balance assumption

3.1.2 Material balance assumption

3.1.3 Material balance assumptions

3.1.4 Material balance around different units

3.2 Energy balance

3.2.1 Energy balance assumption

CHAPTER FOUR

4.0 Piping and instrumentation

4.1 General overview

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4.3 Instrumentation and control objectives

4.4 Control system and short down schemes

4.5 Basic start up and operational information

4.0 Safety measures

4.7 Product specifications

4.8 Environmental regulation

4.9 Economic reasons

4.10 Valve selection

4.11 Alarm and safety trips

4.1.2 Material devices

4.1.3 Pump and pipe selection

CHAPTER FIVE

5.0 Equipment design and specification

5.1 Major equipment use (design costing)

5.1.1 solar dryer

5.1.2 Hammer mill

6.1.5 Other economic benefits

CHAPTER SEVEN

7.0 Plant location and layout

7.1 Plant location

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7.2 Plant layout

7.2.1 Objectives of plant layout

7.3 Environmental impact assessment

CHAPTER EIGHT

8.0 Plant safety and loss prevention

8.1 Process control and hazard control

CHAPTER NINE

9.1 Conclusion

9.2 Recommendation

References

Appendix

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 CHAPTER ONE

1.1 INTRODUCTION

Design and construction of a new food manufacturing plant or factory is a rare event in

most developed countries, and in the careers of most food professionals, because

growth of overall food consumption is relatively slow in such places. However, in

developing countries, as economies improve, food consumption in general, and that of

processed or preserved food in particular, is growing, and thus the need for new food

plants is especially important in such regions. The design must consider the technical

and economic factors, various unit operations involved, existing and potential market

conditions etc.

Skimmed milk powder (SMP) is a dairy product obtained from fresh milk through the

removal of water and milk fat content, resulting in a dry, powdery substance with

significantly reduced fat content. The process involves evaporating most of the water

from milk and then spray-drying it to produce a fine, free-flowing powder. Skimmed

milk powder typically contains comparatively less milk fat than whole milk.

It is a versatile ingredient widely used in the food industry for various purposes,

including as a low-fat milk replacer in dairy products, baked goods, and desserts.

Skimmed milk powder has a longer shelf life compared to liquid milk and is

particularly popular for its easy storage, transportation, and convenient use in both

9
industrial and household settings. It is valued for its ability to provide milk's nutritional

qualities without the added fat, making it an essential component in the production of

numerous low-fat and reduced-calorie food products.

1.2 BACKGROUND OF THE STUDY

Milk and dairy products are considered to be an important widely consumed nutritional

source for humans, especially children and elderly adults, all over the world, as they

contain all the necessary nutrient components, which are milk fat, lactose, milk casein,

whey proteins, fat-soluble and some water-soluble vitamins, as well as mineral

elements. One of the highest primary and vital dairy products is dried milk products,

which contain fundamental milk nutrients in addition to nutritional supplements

required for young kid’s growth and improvement (Abdelkhalek et al., 2015; Youssif

et al., 2020).

Skim milk powder is used principally as powdered dairy products for their nutritional,

functional, and sensory properties in a wide range of beverages and foods. Their

sensory properties are considered to be important criteria in the grading of these

powders, and flavor has been the main thing used in evaluation acceptance, as has the

shelf life of the powdered product (Drake et al., 2003; Park and Drake, 2014).

Nowadays, these dairy powders are used as a fortified ingredient in a broad variety of

products, such as frozen desserts, baked goods, cheese, yoghurt, hot beverages, soups

and various baby foods, so they must be of perfect quality in sensory and nutritional
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composition, and microbiological criteria for safety during their long shelf life with

low storage and transportation costs (Lloyd et al., 2004). In addition to this, the quality

of their chemical constituents, which include the proportion of moisture, total solids,

fat, total protein, lactose, titratable acidity, and ash, must be high (Afrin and Shilpi,

2018).

Skim Milk Powder is a spray dried pasteurised powder, produced using fresh milk. It is

a free flowing powder and standardized using Lactose. Skimmed milk is carefully

selected and extracted from fresh whole milk. To make skim milk powder, milk is

separated, pasteurised, evaporated and spray dried in advanced facilities to produce a

fine, free flowing milk powder with a natural cream colouring. One milk powder

industry requirement is that the products are assessed for biological hazards and food

borne pathogens, as contamination of these products is mainly due to defects in the

processing steps (Abdelkhalek et al., 2016; Oyeyipo et al., 2017). There are several

microorganisms which can occur in dairy powders and adversely affect the human

body, such as E. coli, Salmonella, Staphylococcus aureus, and Listeria monocytogenes.

These pathogens have the ability and viability to remain in these dried products for an

extended period after the powder has been rehydrated and stored at a temperature

suitable for regrowth of these microbial pathogens, so these organisms must be

nonexistent in powdered milk (Afrin and Shilpi, 2018; Pal et al., 2016). Powdered milk

contains high concentrations of minerals and carbohydrates that may help in

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enterotoxin production and proliferation, especially when they are rehydrated and held

at suitable temperatures for extended periods, causing food poisoning mainly in

immune-compromised persons (Tunio et al., 2013).

Dried milk products can be contaminated with different toxic metals through the

exposure of milking cows to pollution or contaminated water, feed, or feeding

materials, leading to raw milk contamination. Other sources that where elements can

enter directly into products are the water and equipment used in manufacturing, as well

as the packaging materials used. These toxic metals are known to accumulate

destructive effects, leading to chronic diseases, particularly in the nervous system and

vital organs, like the kidneys and liver. In addition, some of them may have

carcinogenicity and teratogenicity implications depending on their role in enzymatic

restriction, and antioxidant impairment with free radical production (Abdelkhalek et

al., 2015). To achieve our aim of evaluating the safety and quality parameters of whole

and skim dried milk, we investigated sensory, compositional, and microbiological

criteria, measuring the degree of antibiotic susceptibility of Enterobacteriaceae isolates

and determining some toxic elements (Pb, Hg, Cd, and As) as well as the acceptability

degree of these powdered samples based on Egyptian standards.

1.2 AIM AND OBJECTIVES

The aim of this design is to manufacture skimmed milk with a consistent quality and

nutritional value at affordable cost which will be essential to the success of the food

12
industry today. The Plant to be designed will have a capacity to produced three tone

(three thousand kilograms) of milk per day. The manufacturing operation is to

comprise of the following units mixing drying evaporation crystallizing and packaging.

The entire technological process is to be a semi continuous operation where materials

are only manual operated during transfer from horizontal drier to one packaging

service available are normal service with cooling water at a temperature of 30 oc. A

detailed chemical engineering design balance for equipment and units. At optimum

operations the technology is to produce a minimum of thirty thousand sachets (30,000

packs or 3 tonne of milk per day or one for on height hour shift).

1.3 OBJECTIVE OF THE DESIGN

The objectives of this study is to represent on the paper, a replica of a food processing

plant capable of producing skimmed milk with 3 tones (1 per year and 41,666.7Kg/hr

by carrying out the financial and economic evaluation of the plant. It is necessary to

carry out a design to determine the technology best for these product in a large scale.

The heat, energy and mass transfer for the processing plant will be established by

selecting appropriate equipment size and design of plant layout.

It is also a guide for prospective food technologist and individual that has an interest in

food processing in Nigeria or elsewhere, whether as a hobby or as an investment or

business opportunity.

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1.4 SCOPE OF DESIGN

The design covered market analysis, financial analysis, material balance assessment of

the commercial viability each of the equipment will be designed strictly based on the

requirement of the correspondent process in order to achieve a maximum production

and working at full capacity (100%) at the end of the day.

The design work will also show the plant location and layout, piping and

instrumentation, plant safety and loss prevention, environmental impact assessment

and finally the cost estimation of the project.

1.5 SIGNIFICANCE OF THE STUDY

It is hoped that the market analysis, financial analysis, material balance assessment of

the commercial viability of the equipment properly designed will result in the

production of skimmed milk that are less expensive, acceptable than those produced

from in the market all ready.

1.6 LIMITATIONS OF THE DESIGN

The primary limitations were time, finance and scope of the project again combining

resources to achieve set objective.

The design of the required proprietary equipment (extractor press etc) is beyond the

scope of this work.

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They were only specified here after carrying out a simple calculation which showed

forth the basis of the specification. On the long run, the basis of the design might be

modified to suit prevailing conditions.

1.7 PROCESS DESCRIPTION

The processing of skimmed milk production is by a process called centrifugal

separation. The milk is spun very fast so that the fat content separates and can be sifted

out. Once this is done, the milk can be checked carefully to ensure the fat content is at

the right level for sale. For skimmed milk the fat content should be between 0.1% and

0.3%.

Major Equipment for the Plant

Machinery Requirement are as follows:

➢ Storage Tanks

➢ Feed Pump

➢ Pre-condenser

➢ Spray drier with atomizer

➢ Condenser

➢ Boiler

➢ Chilling Plant

➢ Packaging unit

➢ Laboratory testing equipment

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 centrifuge

Note: Plant Capacity is 500 Kg Per day.

Infrastructure Requirement:

1) Land & Building requirement around 1500-2000 sq. Ft.

2) Office Furniture and fixtures.

Raw Material:

Basic Raw material requirement are as follows: ✓ Milk ✓ Citric Acid ✓ Magnesium

Oxide ✓ Miscellaneous chemicals Nacl, CaCO3 etc. ✓ Tin Containers

Manufacturing Process:

There is a step by step process for manufacturing of Milk powder:

• Separation/Standardization

• Preheating

• Evaporation

• Spray Drying

• Packaging & Storage

• Separation/Standardization: The process starts from procuring the raw material

and delivering at the dairy factory then pasteurizing and separating it into skim milk

which is done by a centrifugal cream separator. In this little bit of cream is added back

to the skim milk so that fat content is also maintained in the milk.

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• Preheating: After this preheating is performed in which the above milk is heated at

temperatures ranging from 75 to 120°C. The milk is constantly heated for a particular

time period ranging from a few seconds up to several minutes. Preheating can be done

directly or indirectly i.e. through steam injection into the product or via heat

exchangers respectively or a mixture of two.

• Evaporation: In this process, the above milk is concentrated in stages. In this the

milk is boiled under a vacuum at temperature below 72°C in a falling film on the inside

of vertical tubes, and by this the water is removed as vapor. This vapor, is then used to

heat the milk.

• Spray Drying: In this method the milk is atomized and concentrated from the

evaporator into fine droplets. This is performed in a huge drying chamber with

appropriate flow of hot air utilizing either a spinning disk atomizer or a series of high-

pressure nozzles. After this the droplets of milk are cooled by evaporation by which

they never reach the temperature of the air.

• Packaging & Storage: The product is immensely more stable than fresh milk but

protection from moisture, oxygen, light and heat is needed in order to maintain their

quality and shelf life. They are packed into either plastic-lined multi wall bags (25Kg)

or bulk bins (600Kg).

1.9 PROPERTIES AND USES

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The product is rich in calcium as well as other important nutrients, in human diet and is

highly perishable. Milk basically provides nutrients like phosphorous, protein,

potassium, vitamin A, etc. It is a manufactured dairy product made by dehydrating

liquid milk and it passes through various processes until it becomes a powder. Milk

powder is the milk that has been dried or desiccated. It can be prepared from whole

milk. The composition of dry milk varies according to the composition of the milk of

from which it is made.

Uses & Market Potential:

Powdered milk is used in daily life and have several uses which are defined below:

➢ Recombination of milk

➢ Producing milk chocolate in the chocolate industry

➢ Production of ice-cream

➢ Animal feed

The product has a wide market all over world. The product is consumed by all age

groups and especially by children. The Nigerian skimmed milk powder (SMP) market

has increased at nearly 10% during 2011-2020. It is hereby seen that the demand of the

product will increase in near future.

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1.10 PRODUCTION FLOW DIAGRAMS

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Process Route

Fig. 1.2 Process route for the production of Skimmed milk

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CHOICE OF PROCESS ROUTE

The choice of process route of skimmed milk basically dependent on the size of the

plant i.e. capacity. The basis process route arrangement of Feed Pump, Condenser,

Spray drier, Boiler and Pre-condenser universally well known and documented.

However depending on plant capacity, the use of other equipment such as pasteurizer,

centrifuge, the need of continuous flow of materials recycling etc are factors to be

considered. Therefore in the design of the best process route, the route chosen should

be seen to be part with other known good techniques used in the skimmed milk plant. It

is safe from both operational human and environmental hazards the techniques is not

technological demanding. The only improvement may be use of sophisticated

equipment which is not wise considering the economy of the proposed plant capacity.

Therefore the choice of the optimum route has been done based on the breaking down

the technology in unit operations. The choice of the required equipment laws done

after answering the questions started above. Each unit is properly examined to choose

the best that will be compatible with others.

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1.14 QUANTITATIVE FLOW DIAGRAM

Process
Raw Material

Process

1. Unit operation

2. Unit process

Events

1 Inspiration

2 Transportation

3 Storage

Finished product

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 Pipe -----------------------------------

C Cooled or heated pipe

Motor Drive Dryer

Belt

---
Pump ---
---

Wer or motor drive

Conveyor

Wer or motor drive

Conveyor Tray or solar dryer

Diagram Valve

rotor motor wheel

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 Course

Hopper
Fine Screen Filler (sieve)

Drum or Tank Drain Size Reduction Equipment

Weighing Scale

Agitator

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1.14 HEAT AND MASS TRANSFER

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26
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 CHAPTER TWO

LITERATURE REVIEW

2.1 History of milk production

Dairy farming has been an important part of the agricultural scenario for thousands of

years. India being a predominantly agrarian economy has about 70 per cent of its

population living in villages, where livestock play a crucial role in the socio-economic

life. Livestock provide high-quality foods such as milk, cheese, butter, ghee, etc. India

is not only one of the top producers of milk in the world, but also the largest consumer

of milk and milk products in the world. Due to the shortfall in supply, we have to

import significant amounts of milk products to meet internal demand. Agriculture and

animal husbandry have a symbiotic relationship, in which the agricultural sector

provides feed and fodder for the livestock and animals provide milk, manure and

draught power for various agricultural operations. Dairy sector is instrumental in

bringing socio-economic transformation in India. It has created a lot of employment

opportunities and also provides improved nutritional benefits. Animal husbandry is a

major sub-sector of agriculture sector and contributes about 28.6 per cent to the

agricultural value output (Annual Report 2017–18, Department of Animal Husbandry,

Dairying and Fisheries, Government of India). The statistics indicate that there is a lot

of employment potential for entrepreneurial activities in the dairy sector.

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2.1.2 Importance of dairy farming

Milk is a wholesome food among all the animal products. It contains in proper

proportions the various essential food ingredients required by human body in an easily

digestible form. Inclusion of milk in the human diet increases the digestibility of other

types of food as well. The productivity of milk varies in different countries, as some

countries are surplus in production, some are deficit in production and in some of the

countries, and availability matches their requirement. The annual milk production in

India in 2015–16 was 155.5 million tonnes and the per capita availability of milk was

337 grams per day. In India, milk is produced by a vast number of small, medium and

large-sized farms. There is exponential growth in the number of the commercial dairy

farms in the urban and semi-urban areas of the metros and big cities.

The demand for milk is constantly increasing in cities as well as small towns and rural

areas. The factors influencing this increased demand are — rapid increase in

population, spread of education, growing nutritional awareness and improved

purchasing power of consumers. Dairy farming in India has evolved from just an

agrarian way of life to a professionally managed industry. A large number of rural

families in India are engaged in dairy production, for whom this is an important source

of secondary income. In India, raw milk is perceived to be fresh by most consumers

and has a large market. Conventional dietary habits in India account for about 60 per

cent of milk consumption in liquid form, and the remaining in the form of ghee,
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cheese, curd, paneer, ice cream, dairy whiteners and traditional sweets. Dairying

provides a source of daily income with a relatively low level of risk. Most of the dairy

farmers in India raise animals at a small scale in traditional ways. The productivity of

these farmers can be enhanced if they run their business in a scientific manner. Most of

such farmers are not aware of the modern methods of dairy farming. As a result, some

farmers lose their investment instead of making profit. To ensure maximum production

and profits from dairy farming, it is essential that these farmers adopt proper business

plans and good dairy management practices. Nearly 43 per cent of Indian farmers are

small cultivators, and about 26 per cent are agricultural labourers who have one or two

mulch animals (Planning Commission, GOI, 2009). This indicates that dairy sector

provides basic sustenance for small farmers, landless people and agricultural labourers,

especially for people in draught affected areas in Rajasthan and Gujarat.

2.1.3 Employment potential in dairying

India’s share in the world milk trade is quite low, and compared to the total milk

produced, only small quantity of it is processed. In the informal sector, milk vendors

collect milk from local producers and sell it in urban and semi-urban areas. These milk

vendors handle around 65–70 per cent of the total milk production. The increase in

human population has a direct effect on the demand for food. However, globally there

is shrinkage of cultivable lands, which makes the role of livestock sector even more

important, not only in terms of nutritional security but also employment generation.

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The Agricultural and Processed Food Products Export Development Authority

(APEDA) is the regulator for import and export of dairy products in India. Indian milk

desserts are quite popular with many communities, including the Indians settled

abroad. A good example of this is the rasgulla, which has earned a place of honour as a

sweet meat worldwide. It is clear that the demand for such products is expected to

increase in future, thereby boosting the potential for export. Considering the production

economics of dairy products globally, countries which have low cost of milk

production such as India are expected to derive maximum benefit from the booming

dairy upsurge. Thus, from the emerging scenario in the dairy sector, nationally as well

as internationally, it is evident that a lot of employment generation and potential for

entrepreneurial activities exist in the dairy sector.

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2.2 NUTRITIONAL COMPOSITION OF SKIM MILK POWDER

2.3 Nutritional Content And Health Benefit Of Skimmed Milk.

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Good Source of Quality Protein: Milk is a rich source of protein, with just one cup

containing 8 grams. Protein is necessary for many vital functions in your body,

including growth and development, cellular repair and immune system regulation.

Milk is considered a “complete protein,” meaning it contains all nine of the essential

amino acids necessary for your body to function at an optimal level. There are two

main types of protein found in milk — casein and whey protein. Both are considered

high-quality proteins.

Casein: Makes up the majority of the protein found in cow’s milk, comprising 70–

80% of the total protein content. Whey accounts for around 20%.

Whey protein: Contains the branched-chain amino acids leucine, isoleucine and

valine, all of which are linked to health benefits. Branched-chain amino acids may be

particularly helpful in building muscle, preventing muscle loss and providing fuel

during exercise.

Drinking milk is associated with a lower risk of age-related muscle loss in several

studies. In fact, higher consumption of milk and milk products has been linked to

greater whole-body muscle mass and better physical performance in older adults . Milk

has also been shown to boost muscle repair in athletes. In fact, several studies have

demonstrated that drinking milk after a workout can decrease muscle damage, promote

muscle repair, increase strength and even decrease muscle soreness Milk is a rich

33
source of quality protein that contains all nine essential amino acids. It may help

reduce age-related muscle loss and promote muscle repair after exercise .

Milk Benefits Bone Health: Milk contains a variety of nutrients

that benefit bone health, such as calcium, vitamin D, phosphorus and magnesium.

Studies suggest that consuming milk and dairy products may prevent

osteoporosis and reduce the risk of fractures.

Helps Prevent Weight Gain: Several studies have linked milk intake to a lower risk

of obesity. Interestingly, this benefit has only been associated with whole milk. A

study in 145 three-year-old Latino children found that higher milk-fat consumption

was associated with a lower risk of childhood obesity. Another study including over

18,000 middle-aged and elderly women showed that eating more high-fat dairy

products was associated with less weight gain and a lower risk of obesity. Milk

contains a variety of components that may contribute to weight loss and prevent weight

gain. For example, its high-protein content helps you feel full for a longer period of

time, which may prevent overeating.

Furthermore, the conjugated linoleic acid in milk has been studied for its ability

to boost weight loss by promoting fat breakdown and inhibiting fat production.

Additionally, many studies have associated diets rich in calcium with a lower risk of

obesity. Evidence suggests that people with a higher intake of dietary calcium have a

lower risk of being overweight or obese. Studies have shown that high levels of dietary

34
calcium promote fat breakdown and inhibit fat absorption in the body. Adding milk,

especially whole milk, to your diet may prevent weight gain

Milk Is a Versatile Ingredient: Milk is a nutritious beverage that provides a number

of health benefits. Moreover, it’s a versatile ingredient that can be easily added to your

diet. Aside from drinking milk, try these ideas for incorporating it into your daily

routine:

 Smoothies: It makes an excellent, high-protein base for

healthy smoothies. Try combining it with greens and a small amount of
fruit for a nutritious snack.

 Oatmeal: It provides a tasty, more nutritious alternative to water when

making your morning oatmeal or hot cereal.

 Coffee: Adding it to your morning coffee or tea will give your beverage a
boost of beneficial nutrients.

 Soups: Try adding it to your favorite soup recipe for added flavor and nutrition.

35
 CHAPTER THREE

3.0 MATERIAL AND ENERGY BALANCE

3.1 MATERIAL BALANCE

This is an application of conservation of mass to the analysis of physical systems. By

accounting for materials entering and leaving a system, mass flows can be identified

which might have been unknown or difficult to measure without the techniques. The

exact conservation law used in the analysis of the system, depends on the context of

the problem, but all revolves around the mass conservation i.e that matter can neither

be created nor destroyed, (en.rn.Wikipedia. Org/Wiki/massbalance).

The basis of these mass or material balance is the conservation of mass stating that

mass can be neither created nor destroyed” thus all mass (i.e Weight) of the individual

components entering the process must be accounted for in the final products, by-

products, wastes etc.

General materials balance equation =input +generation-Output- Consumption=

accumulation Input: Enters through system boundaries generation: is produced

within the system

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Output: existed through system boundaries.

Consumption: Is used up within the system.

Accumulation: Is built up within system.

3.1.1 CONSERVATION OF MASS

This general conservation equation for any process system can be within as material

out = material in + generation consumption – Accumulation. Input + generation

=output + accumulation + conservation (generation term is zero).In the absence of

chemical reaction, the amount of any chemical species flowing in and out will be the

same, this gives rise to an equation for each specie present in the system Material in

=material out.

3.1.2 MATERIAL BALANCE ASSUMPTIONS

- This system is operating at steady state i.e there is no accumulation of any sort in the

system.

- Non reactive system

- The following assumptions were made, this is based on the fact the total

material in = total

- Output + Accumulation (Total material under steady condition therefore the rate of

input – rate of output +rate of Accumulation A-B+C

3.1.3 MATERIAL BALANCE AROUND DIFFERENT UNIT

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DATA:

Expect plant attainment on installation = 100%

No of days to energy in production = 347x100

Production days/annum = 347x24=8328hrs/annum

Expected plant capacity = 21000 bags/annum

= 21000 8328 hrs/annum = 2,521613833kg/hrs

Quantity of raw material needed per hour 5602.5kg/hr

Input- output

3.1.4 MASS BALANCE FLOW DIAGRAM

Input Product

5602.5kg/hr System 5602.5kg/hr

3.1.5 ENERGY BALANCE

An energy balance states that the amount of heat or mechanical energy entering a

process = the total energy leaving with the product and wastes + stored energy +

energy lost to the surroundings. If heat losses are minimized, energy losses to the

surrounding maybe ignored for approximate solutions for calculations, for example the

38
quality of system hot air or refrigerant required. Energy out- Energy in + generation

consumption = Accumulation.

3.1.6 ENERGY BALANCE ASSUMPTION

- Steady state condition is assumed in all process equipment.

- Heat loss from ail process equipment is negligible.

- Pressure drop along the pipeline is negligible.

- Effect of pressure on enthalpy is ignored.

- Potential and kinetic energy contribution are negligible.

3.1.7 ENERGY BALANCE AROUND THE SYSTEM

Mass flow rate of the plant

= 14193.85kg/hr

Inlet temp = 30◦C

Output temp of 85◦C

Heat capacity = 3.18kj/kg/k

Mass flow rate of stream = 14000kg/hr

Heat capacity rate of = 4.18kgII KI I

Inlet temp of stream = 105◦C

Outlet temp of stream = x◦C

Given that Q- MCP T mixture = MCPD T stream for Mixture, heat gain.

Q – 14193.85 X 3.18X (85-30)

39
Therefore outlet temp of stream Tin- Tout =

MCP T mixture

MCP T stream

= 105- Tout= 42.42146898

Tout – 62.6◦C,,

ENERGY FLOW DIAGRAM AROUND THE SYSTEM

input Output
System
14193.8kg/hr 14193.kg/hr

80◦c

30oc

Steam

Steam out

14000k/hr

14000kg/hr 105oc

Dressing Separator

Mass flow rate = 14193.85kg/hr

Heat Capacity of mixture = 3.18kj/kg kII I

Inlet temp = 80◦C

Outlet temp = 900◦C

40
Latent heat of stream at 105◦C = 2356 kjkII I

Latent heat of vapour at 90◦C = 2024kjkII I

Heat capacity of water = 4.18kj/kgkII I

Heat gained by mixture = MCPDT

14193.85 X 3.18 (90-80) = 451364.43kj

Heat to evaporate water = Q = M x LHY

= 451364.43kj

Heat to evaporate water = Q = M x LHY

-14193.85 x 2358 – 33469, 698,30kj

Total heat input

= heat gained by mixture + heat evaporated H2O

= 451364,43 +33469098.30kj

= 339020,462.73kg = 33920.46273kj

Mass flow rate of stream = heat input/LHE of stream at 90oC

= 31920,46273

2024= 16783.99937kg/hr

41
 CHAPTER FOUR

4.0 PIPING AND INSTRUMENTATION

Piping is a system of pipes (hollow, cylindrical tubes) fittings, valve used to convey

fluids (solid, liquid, gas) from one location to another. The pipe can be made with

aluminum, steel or rubber, instrumentation is an art and science of measurement and

control process variables within a production. This transportation is done in piping

system. The pipes are regularly checked for scaling condensation, leakages, liquid

hamming as well as corrosion in order to ensure free flow of the Malt, thus enhancing

efficiency.

4.1 GENERAL OVERVIEW

Piping and instrumentation is an arrangement that shows the interconnection of process

used in controlling the process and it plays significant role in the maintenance and

modification of that process, the diagram which is described in details which provides

basis for the development of system control schemes, allowing for further safety and

operational investigation, such as a hazard and operability study (Hazop).

42
4.2 INSTRUMENTATION AND CONTROL OBJECTIVES

Different specified tool has been set up, in order to assist installation, long

run of plant and product specification, to achieve a rundown rate. This is

done to reduce several disturbance and influences to environment.

4.3 CONTROL SYSTEM AND SHORT DOWN SCHEMES

A control system is a device, or set of devices that managers, commands,

direct or regulates the behavior of other devices or systems in production

industry. A switch is a control system which controls the inflow and outflow of power

in the milk Production company.

4.4 SAFETY AND REGULATORY REQUIREMENT

It is a guide that provides an overview of a safety management.

A safety meter or boxes placed on an equipment, shows working temperature,

therefore, when an equipment in working at a particular temperature, ones the

temperature exceed there is a warning alarm.

4.5 BASIC START UP AND OPERATIONAL INFORMATION

In a plant there is a step by step operation on how to control the system. There is an

operational manual on how to switch on the plant, and a temperature will be given so

43
as to allow the equipment boost before putting

in your feed.

4.6 SAFETY MEASURES

This is a measure taken in order to protect people against accidents, damages or harm,

so as to enable continued contributor to the economic development.

4.7 PRODUCT SPECIFICATIONS

The plant is intended to produce 2.61 tones per hour so as to meet up with the need of

producing the units needed in a day, so that condition necessary for processing can be

kept. The milk product is rich in protein, minerals, vitamins etc and for people that are

washing weight.

4.8 ENVIRONMENTAL REGULATION

The conversion of raw agricultural commodities into finished food can be determined

to the environment of precautions are not taken. Food processing can have adverse

environmental effects on air and water quality as well as producing toxic side product.

In milk production, the environmental problem are caused by having a lot of water

around the processing unit, which can easily enter the dried Juice plant and make it to

be hard while entering the skimmed milk production (i.e the final product) thereby

reducing the quality and texture.

44
4.9 ECONOMIC REASONS

Operations of the plant must conform to market conditions, and effective control

system must be adopted, so as to safety the customer or consumer to avoid sub-

standard production which might lead to losses.

4.10 VALVE SELECTION

Valve is an instrument of in or out of a fluid. It controls the flow in a production. Apart

from diagram valve, an emergency valve must be installed

this enables all system to shut down during emergencies and can be used to

control the plant both automatically and manually.

Types of valve

1. Diagram valve

2. Control valve (fail safe closed)

3. Control valve (fail safe open)

4.11 ALARM AND SAFETY TRIPS

There are built alarm in the plant to warn in case of foreseen danger or hazard and this

helps prevent overall harm to the people, as well as the environment. It is placed in

45
such away that when the danger is foreseen, the alarm and safety trips become

activated.

In a plant, the operator in the main control room should be familiar and

conversant with these alarms to enable, him handle each alarm that comes up

effectively.

4.12 MATERIAL DEVICES

Is a small device fixed into equipment controller, which includes: flow rate,

temperature etc. Electric metering device is used to measure the quantity of raw

material used in the beginning of production in order to be able to account for the loss,

and get the material balance at the end of the production process.

4.13 PUMP ANDPIPE SELECTION

Pump and pipes are selected based on their power requirement in a plant.

E.g. since skimmed milk plant involves unit process/unit operation of plant ,there is a

pump to transfer the materials from one form to another.

Types of pumps selected include:

1. Stainless steel pipe non corrosive

2. Aluminum pipe-non corrosive, non ferras

46
3. Metals

4. Alloy pipe

When determining pipe size (diameter) during design calculation factors are

considered and they include: initial steam pressure, flow rate, steam velocity etc while

pump cost decreases with increases with diameter.

W=g

47
 CHAPTER FIVE

5.0 EQUIPMENT DESIGN AND SPECIFICATION

There are many equipment involve in processing and production of skimmed milk.

Equipment designs and specification include the design and specification of the

physical equipment in a processing plant. Also an estimated costing of the equipment

are made for alternative design and project evaluation.

5.1 MAJOR EQUIPMENT USE (DESIGN COSTING)

5.1.1 BOILER

Capacity of the boiler: 60kg

Type of material used: aluminum and stainless

Type of joint: bolts and nuts (easily assemble and disassemble)

Number of tray: 3 to 4

Design temperature: 90°c

Length: 100cm

Tray dimension: 98Ommx48mm

48
 Breath: 50mm

Ce — purchase cost: 2023

C = constant from table 6.2

S = characteristic size parameter in the units given (6.2)

n = index for the type of equipment

Cost in 2023 x cost index in 2015

Cost index in 2023

Cost for solar dryer = 32328.7 =N9,698,610

5.1.2 STORAGE TANKS

Material of construction: stainless steel

Length: 40m

Shat diameter: 70mm

Model: 1320

Housing: 12mm

49
 Screen area: 475 inches

Type: pulverisers

Ce = purchase cost: 2024

C- constant from table 6.2

S= characteristic size parameter in the units given (6.2)

n =index for the type of equipment

Cost in 2024 x cost index in 2016

Cost index in 2024

Cost for tank = £31,663.957=N9,499.18

5.1.3 CONDENSER

Material of construction: aluminum

Volt: 250 volts

Weight diameter: 40mm

Conveyor, type

50
Length: 160mm

Driver power: 2kw

Capacity: 7,932kg/hr

Ce=purchase cost: 2024

C = constant from table 6.2

S= characteristic size parameter in the units given (6.2)

n = index for the type of equipment

cost in 2024 x cost index in 2015

cost index in 2024

Cost for condenser = £36308.68 =N10,892,604

5.1.4 CENTRIFUGE

Material of construction: stainless steel

Model: TT-1200

Capacity: 80 to 100 Kg/Batch

Length: 135mm

Width: 85mm

Thickness: 0.15mm

Weight: 2-100kg

Speed = 5000rpm

51
Ce = purchase cost: 2024

C = constant from table 6.2

S characteristic size parameter in the units given (6. .2)

n index for the type of equipment

cost in 2024 x cost index in 2015

cost index in 2023

Cost, for sorter = £12630.1=N33,3789,030

5.1.5 SPRAY DRIER

Material of construction: stainless steel

Model: DL410

water evaporation rate: Max. Approx. 3,000 ml/h

Temperature range: 40°C - 300°C at inlet

Weight: 180kg

Width : 1060mm

Height : 1750mm

Diameter: 800mm

Voltage : AC220V 22A

Dry flow rate: 0.3 -1.0m/min

Ce = purchase cost: 2024

C = constant table 6.2

52
S=characteristic size parameter in the units given (6.2)

n = index for the type of equipment

cost in 2024 x cost index in 2015

cost index in 2023

Cost for blancher = £16,498.54 =N4,949,562

5.1.6 FEED PUMP

Model: GNG10-040C

Flow: (m3/h) m3
pressure: 0.3

Max. Speed: 244rpm

Weight: 245kg

Height: 550m

Length: 2245m

Width: 320
Ce= building cost: 2024
C= constant from table 6.2
S= characteristic size parameter in the unit given (6.2)

n = index for the type of equipment

cost in 2023 x cost index in 2015

53
cost index in 2023
Cost for feed pump = £26518.88 = N7,955,66

Equipment Quantity Cost in 2024 Cost in 2024 Cost in 2024

(£) ($) (₦)

BOILER 1 5000 32,328.7 9,698,610

STORAGE 1 3750 31,663.95 9,499,185.3

TANKS
CONDENSER 1 2000 36,308.68 10,892,604

CENTRIFUGE 1 2700 112,630.1 33,789,030

SPRAY DRIER 1 76,500 106,500 160,100

FEED PUMP 1 28,000 265,18.88 7,955,664

Total 6 120,500.000 4,567,768,968 8,768,970,987

54
 CHAPTER SIX

6.0 ECONOMIC ANALYSIS

This company will be effective on market segmentation through the identification of

several riche markets and strategies implementation. The company intends to advertise,

implement, direct marketing merchandisers, team workers and advertising will rotate

around and to be able to penetrate the market within and outside the production, site.

Therefore, our key to a successful business will include the following factors.

1.Marketing know-how: In an increasingly competitive market, there is need to

market out product effectively so as to be at the top of our honourable, prospective and

current clients mind continuously, even if it will warrant that the whole

workers/departments will take part in the marketing of the product or by, breaking the

bulk.

2. Dedication and loyalty: The loyalty and dedication of our employees, no matter

your rank in the company, qualification, age etc shall be necessary to the property of

the business, will recognize that corporate commitment to success should lead to the

survival and long lasting or long run of the products, and the organization as a whole.

55
3. Excellent in fulfilling promise: We intend to produce and provide products of

uncompromised quality to our customers. In so doing we are meeting up with the needs

and standards of our honourable customers by providing them with a high quality and

nutritive caffeinated coffee Production.

4. Technology assembly: We will ensure a consistent quality of our product, that is

when it is essential to make use of the latest technology

but to utilize it and know in which unit operation each particular technology in needed

and also the department that needs the latest technology is most (i.e. can utilize them to

facilitate production).

5.Effective distribution network: We intend to establish an excellent distribution

network, that is by setting up/creating roots for each

marketers, communities etc and meet their targets, this will enable us to rapidly

respond to our customers order, and be available in remote areas that our competitors

has never get exploit

6. Adherence to stringent values and principles: There is need to always

acknowledge the fact that the financial and strategic management of the business will

ultimately determine its success and prosperity. This is why we need to adhere to

stringent values and principles that will enable such to be achieved.

56
6.1 ECONOMIC EVALUATION

6.2 PREPARING A PROCESS FLOW DIAGRAM

A process flow diagram has initially been prepared on the chapter one of this

project

6.3 CALCULATION MASS ENERGY AND ENERGY FLOW

Mass flow rate and energy flow has been calculated on chapter 3 (refer back

to chapter 3 and appendix).

6.4 SIZE OF MAJOR EQUIPMENT

Equipment Size (unit) Size range Index Type

Boiler Area (M²) 2-10 0.35 Pan

Storage tank Area (M²) 20-200 0.35 Pan

Condenser Length (M) 20-40(30) 0.75 Pan

Centrifuge Length (M) 20-40(36) 0.75 Pan

Spray drier Length (M) 3-50 0.60 Pan

feed pump Length (m) 20-40(50) 0.75 steel

57
6.5 ESTIMATION OF FIXED CAPITAL COST, REF TABLE 6.1

Major equipment Total purchase cost: ₦

Fl - equipment erection 0.45

F2 - Piping 0.45

F3 -instrumentation 0.15 2.15

F4 -electrical 0.10

F5 -building process 0.10

F6 -utilities 0.45

F7 -storage 0.20

F8 -site development 0.05

F9 -auxiliary building 0.20

F10 -design and engineering 0.30

F11 -contractors fee (non) 0.70 0.40

F12 -contingency 0.10

6.6 WORKING CAPITAL

This is the money required to operate a plant from the period of one month to

a period of one year.

58
6.7 BREAK-EVEN POINT

The break-even point is the point at which total cost and total revenue are equal,

meaning there is no loss or gain for your small business.

To calculate the break-even point in units use the formula: Break-Even point (units) =

Fixed Costs ÷ (Sales price per unit – Variable costs per unit) or in sales dollars using

the formula: Break-Even point (sales dollars) = Fixed Costs ÷ Contribution Margin.

6.8 PAYBACK PERIOD

It is the time frame for a business or project to fully amortize the initial investment

fund from income generated. It is useful criterion for judging projects that have a short

life. It does not consider the performance of the business after the payback period.

6.9 CAPITAL COST

Is a financial outlay, that is required for the physical erection of the plant is well as

erecting the plant for the period of the month, it include land cost, cost of plant erection

and working capital.

6.10 FIXED COST

This consists of two broad components namely:

Direct and indirect fixed cost

Direct fixed cost: Includes cost of those items that can be seen at the plant site which

include:
59
i. Cost of process equipment

ii. Cost of equipment installation

iii. Cost of piping

iv. Cost of foundation structure, plant building, road bridges etc

Indirect fixed cost: Include cost of engineering and design contractor over

held and contractor fee as well as. construction contingences.

6.11 PROFIT/ANNUM

It is an annual profit after various taxes are paid.

NPV = annual turnover — annual cost of production

Annual turnover = quantity of sales X selling price

6.12 RATE OF RETURN (ROR)

It is the percentage of profit after tax but before depreciation to the total

invested fund.

ROR = profit (per year) x 100

Total investment 1

6.13 HOW TO RAISE THE CAPITAL

In order to raise capital for the proposed project both the owners savings and

60
fund any reliable financial institution. Although institutions usually have

their terms and conditions that their clients have to sign before services are rendered.

These terms and conditions include:

1. The debenture loan sough must be secured on the project fixed assets is

inadequate; collateral security may be added.

2. The institution should not provide more than 70% of the total project cost.

Therefore, the balance of 30% should come from the owners equity

shares.

According to terms and conditions, I have suggested for the proposed projects, with the

following capital structure which, I believe will be acceptable to the financial

institutions.

Equity shares 40% of TIC = N142,220,538.6

Bank overdraft 10% of TIC = 35,555,134.64

Debenture loan 50% of TIC = N177,775,673.2

6.14 SUMMARY OF ECONOMIC ANALYSIS

COST ESTIMATION COST (N)

Purchased equipment 76,784,655.3

Total capital investment 355,551,346.4

61
Annual raw profit 1.041,000. 833

Total production N638, 620, 3299

Annual net profit 2.5x10’’

Break-even point(unit) 14.093,598.33

Break-even point (Naira) 7,046,799,164

Payback period 1.4(7years)

6.15 OTHER ECONOMIC BENEFITS

Apart from commercial viability reasons, this proposed project will also take care of

socio economic benefits which include: job creation, increase in

government revenue, establishment of industrial linkage, provision of socio-amenities

and diversification of the economy.

62
 CHAPTER SEVEN

7.0 PLANT LOCATION AND LAYOUT

7.1 PLANT LOCATION

The place or area the plant is situated has the profitability of the project and the scope

for future expansion. Therefore, many factors are considered when selecting a suitable

site for the skimmed milk production plant. They include:

Availability of raw material or feedstock: The main raw material needed in skimmed

milk production plant in large quantity in Nigeria, is in (kano, kogi, Benue, sokoto

etc). The plan site should be located near where the milk Production plant raw material

is available in order to reduce transportation cost, also the purchase price, availability

and reliability of the supply should also be put into consideration. Hence, the proposed

plant site will be at industrial clusters, in Benue state, due to the nearness of cattle

farmers from the Northern parts of Nigeria.

Availability of energy: The plant will run production and will require continually with

constant supply of energy, but due to the inconsistent

character of energy supply in the country, it will depend on beer energy source.

Therefore, an alternative means of energy will be provided (Generator power).

63
Transportation: The frankfurter Production plant will be provided with adequate

transport facilities for case in the distribution of goods at various destinations. The

transportation modes will includes trucks, buses etc. This production plant will be

located close to a good access and for easy

distribution of the finished good to the customers.

Market assessment: The marketing problem will be tackled by carrying out pre-

marketing research to find but how the consumer assessed to before producing to large

quantity. Also, when this is known, the product will be located near a primary market

where a buyer can comfortably purchase the finished product; also cost of the product

will be relatively low.

Site characteristics: Test boring information will be made available for the entire

plant site, there will be adequate drainage system to avoid stagnant water, since

industrial cluster Naka Benue State in a leveled ground there will be no sloppy or

construction cost on the plant site.

Community factors: The development of this project will include representatives

from the community it is sited, also worked will include indigenes of the community,

so that it will stand as a job generator not only for outsiders but also for indigenes of

the community.

64
Also if the community officials and the company representative develop a method of

interacting together, it will determine the extent to which the community will boost and

support the project from hoodlums and theirs.

Labour supply: Labour needed for the construction and operation of this Production

plant will include both skilled (brought from outside) and will paid to pay scales of

every individual or group of workers. Also there should be training (workshop) to

enlighten the unskilled ones.

Waste disposal: There will be proper treatment of waste in the industry by adopting

the ISO (international Standard Organization) which is set aside for guiding the interest

of the nation. In order for the company not to pollute the environmental there will be

large waste management until for treatment of waste in the plant before disposal.

Taxation and legal restriction: The plant will run for two years as stipulated by the

legal regulation of Imo state. This is to build a strong grand for industrial. plant which

is located at Naka West Industrial Layout, Naka, Benue State is an area mapped out for

industries.

The area is for only industry, because individual buildings are restricted from the area,

to avoid the industrial equipment causing nuisance.

65
7.2 PLANT LAYOUT

This involves where the plant will be suited, which is at Naka West Industrial Layout

Naka Benue State. It also involves the space requirement, to ensure continuous and

steady movement for the production take place.

These include:

Personal, operating equipment, storage space, material shading equipment and all other

supporting devices along with the design of the best structure to accommodate the

named facilities.

7.2.1 OBJECTIVES OF PLANT LAYOUT

• Providing comport and catering to workers.

• Providing good and improved working conditions.

• Minimizing delays in production and making efficient use of the space that

is available.

• Having a better control over the production cycle and other activities within the

plant premises.

66
7.2.3 PLANT LAYOUT

Security office
Vehicle park Weigh bridge

General Manager’s
Reception office Office

Filling Station
Loading and
Chemical Office uploading

Storage room for raw

material
Administrative block

Processing House

Finished Product
Store for Packaging

Waste treatment Utilities

plant and disposal Storage room for
office finished goods
Room for expansions
Administration building: Located far away from potential hazardous plant area,

67
• Central control room (CCR): Located adjacent to processing unit, but with

potential hazardous processes

• Field auxiliary room (FAR): Located right inside the plant area. It is a mini

control room

• Tank farm: Located close to the plant for supply of raw materials and also close

to loading and exist point for easy movement of trucks

• Maintenance workshop: Located far from the administrative officers and close

to the plant for easy maintenance and repairs of equipment. There is a good

network for easy transportation of machineries to and from the building

• Laboratory: Located far from potential hazardous area, but not too far from

plant. It is where samples of batches are tested for standard

• Emergency block: Located close to potential hazardous area, it consists of fire

station, fire pumps. Fire pumps are situated at each of the layout in case of

emergency

• Plant area: A place where production takes place

• Car park: Located very far from plant

68
• Canteen: Located not far from administrative building, so that workers will not
spend which time going to where they can refresh thereby abiding their work.

• Clinic: Located very close to plant, to ensure urgent attention to any injured
worker

• Residential area: Located very far from plant it is where company staffs reside,
for the safety of the workers.

• Mustard point: Located close to different structures in the industrial area, to

enhance easy convergence of staff during emergency.

7.3 ENVIRONMENTAL IMPACT ASSESSMENT

Environmental impact analysis was carried out on the early stage of this design, to
investigate the likely environmental challenge that will be posed by the proposed plant
on the environment. The environmental challenges which is likely to be caused by
waste (by products of Malt production and waste water). That is why the waste water
will be treated before disposal and by products sold to people or company that will
need them for production. All these are done to presence the earth and protect its
habitant.

69
 CHAPTER EIGHT

8.0 PLANT SAFETY AND LOSS PREVENTION

Safety is a state of being staff freedom from the occurrence or risk of injury,

danger or loss.

Therefore, for a potential organization to run safe and efficient plant

operation there should be legal and moral obligation to safe guard the welfare of

employees and public at large. In the sense that all unit operation and unit processes

should be carried out under appropriate condition. While loss prevention is all the

effective measures put in place to contain potential

financial loss posed by accidents in the overall plant preview. These losses can lead to

the shutdown of the company or plant.

8.1 PROCESS CONTROL AND HAZARD CONTROL

PROCESS CONTROL

This is a system established in the caffeinated coffee production plant which involves

the effective use of instrumentation to yield high efficiency with less harm on the

people and less hazard in the plant during operation. This system generally

improves production and maintains the output within the desired range. The processes

system can be set up in a different room where every

70
individual equipment or connection in the factory and other section of plant is

connected to in order to rapidly put to a halt any occurring hazard.

HAZARD CONTROL

Is a system used in industry to minimize or eliminate exposure to hazards.

System used to prevent and control hazard includes engineering control, safe work

practices, and administrative controls, personnel protective equipment, systems to track

hazard correction, preventive maintenance system and

medical.

To ensure that hazard occurrences are minimized in the Malt Production industry,

regularly and thoroughly maintain equipment, ensure the hazard

correction procedure are in place, ensure that everyone know how to use and maintain

personal protective equipment (PPE), make sure that everyone

understands and follow safe work procedures and ensure that when needed there is

medical program tailed to the facility to help prevent work place hazard and explosion.

8.2 IDENTIFICATION OF POSSIBLE HAZARDS

Hazards are unpredicted, unplanted occurrence that is harmful to personnel,

machineries and materials, and it can cause complete breakdown of a running plant.

Possible hazards of Malt production plant include:

The effect of water, carbohydrate and dietary fiber on the pumps and piping materials

71
of construction. When water is retained in a washing tank for a long time, it will rust,

also when allow, are exposed to moisture in air it corrodes.

8.3 PREVENTION MEASURES

There should be containment during the design of equipment and piping, and water

after washing the raw production should be discarded in order to avoid rust, there

should be ventilation.

8.4 REACTIVITY: CHO reacts with oxygen in the following vedox equation.

C6H12O6+6O2------------------------6CO2+6H2O

The carbon dioxide and water is a waste product and reaction is exothermic, and when

it is not accounted for can lead to breakdown of equipment.

8.5 VENTILATION

Fans will be installed to reduce odour and lower humidity; there will be windows and

doors all around the plant area, to ensure adequate ventilation.

8.6CORROSION

Moisture enhances corrosion on material of consumption like Alloy,

therefore water should always be transferred to waste tanks to avoid corrosion.

8.7 OPERATION AND HUMAN ERROR

72
Since human errors are inevitable, impite training, education and exposure, safety

measures will be adopted in order to minimize and prevent the various human errors.

They include:

 Adequate training of staff in safe start-up and shut down of equipment,

overall operation and maintenance.

 Adequate dressing kit for specified operation.

 Adherence of safety rules and regulations.

 Keeping away from moving parts of machines and devices while

handling properly etc.

73
 CHAPTER NINE

CONCLUSION AND RECOMMENDATION

9.1 CONCLUSION

Based on the economic analysis of this project, it can be seen that it is worth investing

on so that the implementation of what is contained in this work could be achieved.

Since the total investment is N638, 620, 3299 net profit N2.5x 1011, this

shows that the company can repay borrowed capital within a short period of time and

this profit will bring open doors to the economy of the state and Nigeria at large.

9.2 RECOMMENDATION

Skimmed milk plant will employ a new and unique processing technology. This has

already made it to stand a ground of competing and heating other competitors in the

market. Since this plant is aimed at production, the product will not reluctantly shut

down, rather it has been programmed to produce in order to meet the increasing

demand of customers. Its administration will not frustrate employees and will not let

the firm down.

74
 REFERENCES

Arthur W.Farrall, 967, Engineering for Dairy and Food Products, Wiley Eastern
Private Limited South Extension, New Delhi-3 BIS, New Delhi 11002. IS
15000:1998,

Buccola, S.T. and Corner, M.C. 1979. Least cost milk manufacturing plant locations
for North Agrl. Econ.Council. 8(1):6

Chander L., 2004, Textbook of Dairy Plant Layout and Design, Dir. Of Information
and Publication of Agriculture, ICAR, Pusa, New Delhi.

Hall, H.S. and Helge, B. 1963. In milk plant Layout, FAO, Rome

Hedric,T.I. and Chandan, R.C. 1980. Reducing dairy plant costs and improving
efficiency. Indian Dairyman. 32(12): 873.

BIS, New Delhi 11002. IS 15000:1998, Food Hygiene – General principles - Code of
practice (second Revision),

BIS, New Delhi 11002. IS 2491:1998, Food Hygiene – Hazard Analysis and Critical
Control point (HACCP) –system and guidelines for its application

Khorody, D.N.1978. Basic requirements in Planning and operating a milk undertaking.

Indian Dairyman. 32(7): 741

Moore, James M., 1962, Plant Layout and Design, Macmillan Publ. Co.Inc, NewYork.

Mudgil, V.D. and Prasad, S.R., 1994, Design Consideration in planning a dairy plant.
Indian Dairyman. XLVI(II) 692-696

75
APPENDIX

Plant attachment 95% =95/100 = 0.95

Number of days to be engaged in production

= 0.95x365—346.75=347 days

34/days/year

347x24 = 8328 hours/year

Plant capacity on installation = 500,000 tones/year

1 tonne = 1000kg

500,000 tones =?

= 500,000 tones xl000kg= 500,000,000kg/year

1tonne

Mass of meat= 500,000.000

8328 =60038kg/hr

Quantity of plant in required per hour = ?

To change days to kilogram

That is 347000,000 =1000,000kg

347 24

= 41666.7kg/hr

76
ENERGY BALANCE ASSUMPTION FOR DRYER

Q=MCpΔT

Washed meat = 41666.7kg/hr

MCpT =MCp T ΔMv

41666 .7kg/hrX3.91kgX(60°-0) =28666 .7kj/kg(90°60°)+Mv

41 666.7kg/hrX3.91kj/kgx60° =28666kg3.9kj/kg(30°)+Mv

=9775007.82kg/hr = 3,362,603.91+Mv

Making Mv subject

MV = 9775,0007.82-3362,603.91

Mass vapour = 6412,40191kg/hr

COSTING OF THE EQUIPMENT

Cost for Boiler

Purchase cost in 2024 = £4,000

Cost index in 1990 = 60

Cost index in 2024 = 80

From 1990 to 2024 = 3 yrs

(80-60) 20 index

77
3 years = 20 (from 1990—2023)

22 years ?

=20 x 22

31

= 146.6

Cost index for boiler in 2024

146.6+80=226.6

C = 4000

n = 0.35

S = 10m²

Ce = CXSⁿ

£4000 x 10m2(0.35)

£4000 x 10m2(0.35)

£11,413.5(2023)

Update cost

2024 x 2015

2024

11,413.5x 226.6

78
= 11,413.5 x 2.8325

= £323287

CONVERT TO NAIRA

Exchange rate = £1 = N500

Therefore £32328.7 =?

£32383 x N 500

£1

= N9,698,610

STORAGE TANK

Purchase cost in 2024 = £1750

Cost index in 2016 = 60

Cost index in 2024= 3 yrs

(80-60) = 20 index

3 years = 20 (from 2016 -2024)

22years =? (from 2024 —2016)

79
= 20 x 22

3 1

= 146.6

Cost index for Condenser in 2016

145.6+80=226.6

C=1750

n =200kg/h

S = 200kg/h

Ce =CXSⁿ

£1750x(200)°35

£11,178.8

Update cost

2023x 2015

2023

11,178.8 x 226.6

80

11,178.8x2.8325

=£31,663.951

80
Convert to Naira

Exchange rate = £1 = ₦500

Therefore £4000 x 10m² (£3163.951)= ?

£31663.951x=₦500

£1

=9,499.185.3

For Centrifuge

Purchase cost in 2024 = £1000

Cost index in 206= 60

Cost index in 2021 = 80

From2021 to 2024 = 3 years

(80-60) = 20 index

(If 3 years = 20 (from 2002— 2024)

22years=?

20 x 22

31

=146.6

81
=146.6

Cost index for Spray Drier in 2021

146.6+80=226.6

C=1000

n = 0.75

S 30m

Ce = CXSⁿ

£1000 x (00)°.75

£12,818.6

Update cost

2024 x 2015

2023

12818.6 x 2.8325

=£36,308.68

Convert to Naira

Exchange rate = £1 = N500

Therefore £31663.951 =?

£36,308.68 x N500

82
Feed Pump

= ₦10,892,604

Purchase cost in 2024 = £2,500

Cost index in 1990 = 60

Cost index in 2024= 80

From 2021 to 2024= 3 yrs

(80-60) = 20 index

If 3 years =20 (from 2004—2024)

22 years= ? (From 2002 - 2024)

20 x 22

3 1

= 146.6

Cost index for in 2016

146.6+80 = 226.6

C = 2500

n = 0.75

S =40M

Ce = CXSⁿ

83
£2500x(40)0.75

£39,763.5

Update Cost

2024 x 2015

2023

39,763.5 x 226.6

80

= 39.763.5z2.8325

= £112,630.1

CONVERT TO NAIRA

Exchange rate = £1 = ₦500

Therefore

£31663 951 = ?

£112,630.1X₦500

£1

=N33,789,030

84
ECONOMIC CAPITAL

TOTAL PURCHASE COST OF MAJOR EQUIPMENT (PCE)

BOILER = N94991 85.3

storage tank = N969810

feed pump = N10892604

Condenser = N33789030

spray drier = 795 5664

Total purchase cost of major equipment =

PCE = £255948.85 =N8, 676,784,655.3

ESTIMATION OF FIXED CAPITAL COST, REF TABLE 6.1

Total physical plant cost (PPC)

= ₦76,784655.3(i+2.15)

= ₦76,784655.3x3.1 5

= ₦241,87,664.2

Fixed capital = ₦24 1, 871664.2(1+0.4)

= 241 871664.2

Fixed capital 241,871664.2(1+0.4)

= N241871664.2x1 .4

85
WORKING CAPITAL (5% OF FIXED CAPITAL)

Allow 5% 5/100 = 0.05

= 0.05 x ₦338,620.329.9

= ₦16,931,016.49

TOTAL INVESTMENT CAPITAL (TIC)

TIC = Fixed capital + working capital

= ₦338,620,329.9 ± ₦16,931,016.49

= ₦335,551,346.4

ANNUAL OPERATING COST (REF TO TAB 6.6)

Operating time 34 days /annum

34days x 24 = 8328 hrs/year

VARIABLECOST

Electric power 700mj/d

ESTIMATED RAW MATERIAL

1. Raw meat = 500,000,000kg/yr

41,667kg/hr:347x24X3

1000

==₦1,041,000.833

86
PLANT ATTAINMENT 95%

2.Miscellaneous material (10% of working capital)

= 0.1 x ₦16, 93,0l6.49

= ₦1,693,101.64

3. Utilities (Cost from table 6.5)

Power at 1 .2p/mj = 1.2 x 709 x 347

100

=2,914.8

4. Shipping and packaging = negligible

Variable cost: ₦1,041,000.833 + ₦1693101.64+ ₦2,914.8

=₦2,737,017.273

5. Maintenance (5% of fixed capital)

= 0.05 xN338,620,329.9

= ₦16,931,016.5

6. Operating cost for labour: (assumed £20,000/annum) it also allow for overheads.

= £20,000 = ₦6,000,000

7. Supervision: no additional supervision needed

87
8. Plant over heads (50% of operating labour)

= 0.50 x N6,000,000 = N3,000,000

9. Laboratory (20% of operating labour)

= 0.20 x ₦6000,000

10. Capital charges (15% of the fixed capital)

= 0.15 x ₦338,620,329.9

11. Insurance (1 % of fixed capital)

0.01 x ₦338,620,329.9

12. Local taxes (2% of fixed capital)

= 0.02 x ₦338620,329.9

= ₦6,772,406,598

13. Royalties: not applicable

Fixed cost (₦16931,016.5+ ₦6,000,000+ ₦5000,000

+ 1,200,000+50,793,094.49 + ₦3,386,299 + ₦6772,406,598)

= ₦6,853,716,867

Direct production cost

DPC = variable cost + fixed cost

= ₦2,737,017,273 = ₦6,853,7l6,867

= ₦6,856,453,884

14. Sales expense 10% of direct production

88
15. General overheads cost

16. Research and development 0.10 x ₦6,856,453,884

Annual production cost = 685,645,3 88.4

Unit production cost = Annual production cost

Annual production rate

= ₦685,645,384.4x 100

500,000,000

= ₦13.7

Selling price = ₦500

COMMERCIAL VIABILITY

This can be assessed by the relationship between the operating cost and

revenues both in absolute amount and in relative terms.

NET PROFIT/ANNUM:

It is an annual profit after various taxes are paid.

PV = Annual turnover — Annual cost of production

Annual turn-over = Quantity of sales X Selling rate

500,000,000x₦500

=2.5x100000000000

89
NPV=2.5 x 100000000000 - 685,645,3884

=2.49 x100000000000

ANNUAL COST OF PRODUCTION (NPR)

Annual profit x100

Annual sales 1

2.49 x 100

500,000,000kg/hr

= 49,800%

RATE OF RETURN (ROR)

It is the percentage of profit after tax but before depreciation to the total

invested fund.

= Profit (per year) x 100

Total investment capital 1

=2.49 x 1011 x 100

355,551,346.41

= 70,032.079% = 70%

BREAK-EVENPOINT IN UNITS

= Fixed cost

Contribution

90
Contribution= sales cost - variable cost

= ₦6,853,716,867

₦486.3

= 14,093,598.33units

BREAK-EVEN POINT IN NAIRA

= Fixed cost

1-variable

Sales cost = 6853,716,867

1-13.7

500

= 6,853,716.867

1-0.0274

6,853.716,867

0.9726

= 7,046,799,164

PAY-BACK PERIOD

Total investment

Return

355,551,346.4

91
2.5x1011

1.422205386 x 10

= 6 years

92