Considering the cold storage project report, it can be said that post-harvest management is one of the neglected aspects of farming. But it is the most necessary aspect to be dealt with as not all the fruits and vegetables produced will be sold immediately after the harvest.
Also, the products need to be transported to far-off lands where production is not possible. Thus, some quantity needs to be stored to cater to the future need and to cater to the need from far-off lands or places where the product cannot be cultivated or manufactured.
Cold storage is one of the most efficient methods to store products and increase their shelf life. Thus, all the losses occurring due to poor post-harvest management of the products or due to improper or lacking storage facilities can be dealt with.
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Storing the products in cold storage system not only increases the shelf life of the product but also helps in meeting the market need of the product and to keep the continuous supply of products in the market.
With the help of cold storage system, there can be stability in the price of the product because the demand can be fulfilled and there will be no scarcity of the product which in turn would not result in a price rise. Cold storage would also help to maintain the equality of the food distribution in the market.
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The cold storage business in India is gaining traction as difficulties have been encountered post-harvesting period for fruits and vegetables. certain items that need to be transported from one geographical location to another take time to reach the destination and hence might not be available for usage. In such cases, cold storage plays an important role to increase the shelf life of a product.
There is steady growth observed in the cold storage business in India and the annual steady growth is estimated to be reaching 25.8%. At present in India, there are around 6227 cold storage projects active and they are capable of storing 30 million tonnes.
There are two categories in which the cold storage business can be classified. This classification is based upon the type of product that is used to store:
- Food and Agriculture products cold storage: Products like fruits, vegetables, meat, dairy products, and others that have high demand around the year are stored in such cold storage. This type of cold storage business is highly uplifting and if stationed near the local market it would boom easily. The architectural structure must so compliant with the delivery process too.
- Off-season products cold storage: Products that are available only in particular seasons such as chilies, potatoes, fruits like mango, and some other products are stored in this type of cold storage so that the off season demands can be catered.
Current Scenarios and Problems of Cold storage Project:
As per the cold storage project report, India is a large producer of fruits (11.36%) and vegetables (14.04%) on a global scale, but there is no such proper storage method or system that is adapted. Due to lack of proper storage method and post-harvest management every year around 133 billion loss is faced by India.
At present Inia is capable of storing only 26.85 million tonnes of the products whereas the need is as high as 61 million tonnes. This indicates the difference in the need and availability. The required capacity for cold storage in India is an estimated 350 lakh tonnes(lt) with current cold storage capacity standing at 226.7 lt and a capacity of 53.55 lt was created under different schemes in the last 5 years according to official sources.
Also, the current cold storage business in India is focused on the storage of potatoes but now the trends strongly emphasize on development of a multi-product cold storage system.
This non-availability of storage and post-harvest management has caused a lot of economical down front and also there is a gradual increase. Initially, the loss due to post-harvest management and non-availability was approximately 25% which has been increased to 40% of the total production.
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The loss can create a huge difference in production and consumption. The consumption rate per head in a day has been decreased over the year due to lack of storage and loss of the products. Initially, it was 120-280 g per head in a day now it is 90-190 g per head in a day. This threatens the food and nutrition security of the country’s people.
The loss that is occurring due to non-availability of proper storage and post-harvest management not only affects food and nutrition security of people rather in a broad way it is loss of natural resources, soil, fertilizer, labor, water, time all the elements that were involved during the harvest.
Apart from agriculture cold storage can be used to store perishable goods like milk products, fish and marine, meat, and others. Another factor that contributed to the loss of perishable products is not processing them in a structured way.
Some other factors that contribute to the loss of the cold storage business are the high cost of cold storage, improper management, unequal distribution, various outdated mechanisms, and no accessibility of farmers in the remote areas. These problems can be efficiently dealt with, by implementing cold storage that can be made easily accessible by both the farmers and the consumers.
How does cold storage prevent food from fast spoilage?
As per the study and cold storage project report, various factors affect the spoilage of food such as temperature, cleanliness in the surroundings, contact of the product with other products.
Influence of temperature:
Decomposition processes depend to a large extent on temperature and become slower and slower as it decreases. The “evaporation” of the water and the weight loss associated with it decrease with decreasing vapor pressure, which is, in turn, lower the temperature. In the same way, the vapor pressure of the volatile aromatic components decreases. As we know that the food products are stored between the temperature of 0 to 14 degrees Celcius and sometimes even lower. This decreases the decomposition rate.
The growth of microorganisms is greatly diminished with decreasing temperature, in the temperature zone that interests us. It should be noted, however, that many microorganisms do not die even at the lower temperatures used by this preservation system, so they begin to multiply again as soon as the food reaches higher temperatures again.
Influence of relative humidity during storage:
Along with temperature, relative humidity has a strong influence on the preservation of cold-stored food. Evaporator weight loss decreases as the relative humidity of the air increases in the warehouse; being proportional to the difference between the partial pressures of water vapor in the air and on the surface of the stored product.
The relative humidity is understood as the relationship between the partial pressure of water vapor and its saturation pressure at a given temperature. Weight losses can be reduced by packaging the products.
In general, the relative humidity can be the higher the lower the temperature. In freezing chambers the water vapor content of the air and on the surface of the products is very small, so the differences between the partial pressures take very low values.
Weight losses per unit of time are kept low, although long periods of storage must be expected frequently. The weight loss of frozen meat and fish is cut in half by making the temperature ten degrees lower.
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Cold storage room requirements and basic designs:
– The cold storage project report suggests the following requirements in designing of cold storage room:
– The dimensions of the cold storage room have to be 14 ft x 10 ft x 10 ft.
– The temperature can be from 0 to 14 degrees Celcius. Though an average of 4 degrees is maintained.
– Humidity also plays an important role in the storage of products. Hence the storage space can be 85-90% humid.
– The capacity of the cold storage room will be 10 metric tons.
– This storage room can be used to store vegetables and fruits.
Types of refrigerators that are used:
As per the cold storage project report. There are two types of refrigerators used in the cold storage business:
- Conventional refrigerator: Here the temperature is between 4 to 8 degrees Celcius.
- Multipurpose refrigerator: Here the temperature is kept at almost 0 degrees Celcius.
At times certain food needs temperature which is below 0 degrees Celcius too. For instance, meat and fish are stored at a temperature of -2 degrees Celcius to store longer. This type of area is known as the “Super chilling area”.
The refrigerator can be used to store two types of food products:
- Food and Agriculture products cold storage: Products like fruits, vegetables, meat, dairy products, and others that have high demand around the year are stored in such cold storage. This type of cold storage business is highly uplifting and if stationed near the local market it would boom easily. The architectural structure must so compliant with the delivery process too.
- Off-season products cold storage: Products that are available only in particular seasons such as chilies, potatoes, fruits like mango, and some other products are stored in this type of cold storage so that the off season demands can be catered.
Technologies used in the cold storage system and covered in the cold storage project report are:
- Vapor absorption system in the cold storage project: This system is economical and useful for compensating for the initial investment. It would help in reducing the operational cost and also conserve energy. Items that require to be stored below 10 degrees Celcius can’t be stored.
- Vapor compression system in cold storage project This further can be implemented in three various environments based on the temperature requirements in the cold storage room.
– Diffuser type: When the height of the cold storage room is low.
– Bunker type: This is used when the height of the cold storage room is above 11.5 meters.
– Fin coil type: This is used when the height of the cold storage room is above 5.4 meters. This is energy-efficient too. But it is 5% more costly than the other two systems.
As of now, ammonia is used as a refrigerant to provide refrigeration. Compressors that have high-speed reciprocation and atmospheric condensers are used as their maintenance is easy, they cost less, and also they are energy efficient.
Care must be taken in the following terms while starting a cold storage project:
- If there is no soft water available near the site of the project then a water softening plant must be incorporated.
- The cold storage project must be set on the site which can be easily be connected via road, drainage facilities, and elevation of the site must also be considered.
- The land that would be used for setting the project has to be non-agricultural if not it should be converted to non-agricultural land.
- All the permissions must be taken from the local authorities before setting up the cold storage project.
- Pressure and Vaccum testing of the products must be done.
- Not more than 12 hours of working of the cold storage.
- Only trained staffed shall be deployed for working in the cold storage project.
- Alternate power supply source should be kept ready or the power supply must be done as per requirements only.
- All the emergency tools such as fire extinguishers, fire alarms, security alarms, and fire exist must safely place and the site has to be designed properly.
- Insurance for the cold storage plants and machinery is primary and not to be avoided.
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As we know the cold storage business is a capital-intensive business as it requires setting up the entire cold storage room or unit along with the necessary infrastructure and setting up the cooling machinery.
As per the cold storage project report to implement the cold storage business in India one needs a minimum investment capacity of 3 to 4 crores. This amount is very high to start a business.
As the minimum investment is 3 to 4 crores and it would take an estimated 7 years on average for the return of the investment. There are various schemes, loans, and subsidies that are framed by the government of India or various bodies under it. These schemes are subject to the eligibility of the applying authority and subject to their fulfillment of the criteria.
NABARD cold storage subsidy scheme is provided by the MIDH (Mission for Integrated Development for Horticulture). The cold storage subsidy aims at helping the entrepreneurs or business enthusiast in establishing the cold storage facility for agricultural, horticultural, meat, fish and marine, poultry & meat products by establishing linkage from farm gate to the consumer, end to end, to reduce losses through efficient storage, transportation, and minimal processing.
Another subsidy that is provided by the Government of India is the cold storage subsidy scheme 2021.
To apply for the subsidy one needs to have the following documents ready:
– Detailed project report with all the financials included.
– All the certificates for pollution control need to be submitted.
– A bank sanction letter along with a bank appraisal report is required.
– Details all quotations, checklist, and basic information about cold storage and promoters.
– The building map has to be approved by some authorized person.
– Estimates project cost CA, CE Civil, CE Mechanical Certificates.
Under the NABARD cold storage subsidy scheme, the government of India allocated the amount of Rs. 5000 crores each through a separate dedicated corpus.
This separate dedicated corpus is aimed at providing credit at affordable rates to the public and private sectors. This would facilitate the augmentation of the existing agricultural warehousing infrastructure in the country. This allocation was constituted as Warehouse Infrastructure Fund (WIF). The rate of interest to be paid by the borrowers will be based on NABARD’s Prime Lending Rate (PLR) which at present is around 9.25% per annum.
The direct loans given to private entities and state government-owned / sponsored entities that are not covered by the government guarantee would be covered under the following lending terms:
– Max Quantum of Loan: 75% of Total Financial Outlay (TFO)
– Interest rate: PLR + risk premium (if loan tenure 7 years)
– Interest rate: PLR + risk + tenor premium (if loan tenure > 7 years)
– The interest rate will be fixed for term loan on the date of sanction
In the subsidy, the assistance by the government is kept in such as way that 60% of the total cost must be borne by the beneficiary and the rest 40% of the cost shall be given as subsidy to the applicant.
The old storage business can also be done by taking loans from the nationalized bank where 80% of the loan can be sanctioned if the land is owned. In case if the land is rented then 90% of the loan can be sanctioned.
Maintenance of Cold Storage Project:
The maintenance of the cold storage project is a must. Factors such as the temperature of the room, humidity level, storage bins, trays, cleanliness need to be checked regularly.
Future of cold storage business:
The cold storage business in India is quite promising with the changing lifestyle of people and increasing demand for food products. It is the most efficient way to solve the issue of produce loss and maintaining the product for long period.
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7 thoughts on “Cold Storage Project Report”
Multiple Cold Storage
I have to make multiple coal storage in 1 acre land. So what are the requirements please help.
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I have to make multiple coal storage in 1 acre land. So what are the requirements please help.
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