Cost and profit analysis of a bottled water facility in depth

Cost and profit analysis of a bottled water facility in depth
Gain insights into the profitability and operational expenses of establishing a bottled water plant with iBottling's analysis.

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Cost and profit analysis of a bottled water facility in depth

To establish a pure water or mineral water plant, as well as factory conditions, particular manufacturing equipment must be put in place depending on the demands of the customer.

A competent bottled water plant producer can guarantee the quality and quantity of water generated as well as the regularity of operation.

Bottled water plants therefore need more time and attention in terms of planning, funding, and cost analysis. The profits of 500ml pure mineral bottled water plants and 5 gallon mineral bottles water plant are summarized as follows by iBottling.

ATTENTION!

Note that the following computations are performed in RMB. The calculation process is identical regardless of the currency unit used. Furthermore, because the price of machines and raw materials vary, the data below is for reference only.

01.

Cost Analysis of 5 gallon bottled water plant

Assuming you’re making 200 bottles each day, the direct manufacturing cost per bottle is as shown:

Electricity fee2.2KW/hour × 12hours/day × 0.60yuan/KW15.8 RMB/day
Rent3000 yuan/year × 1/3658.2 RMB/day
Decoration2000 yuan / year × 1/3655.5 RMB/day
Water fee (if groundwater is used, only electricity fee is required)0.75kw/hour×12hours=9KW×65.4 RMB/day
Bottle cap0.18 yuan / piece × 200 pieces / day36 RMB/ day
Cap sticker0.05 yuan / piece × 200 pieces / day7.5 RMB/ day
Plastic bag0.10 yuan / piece × 200 pieces / day20 RMB/ day
Heat shrinkable sealing film0.05 yuan / piece × 150 pieces / day7.5 RMB/ day,
Tax (fixed tax)1200 yuan / year × 1/365
3.28 RMB/ day
Total cost 101.68 RMB
Comprehensive cost per bottle101.68 yuan ÷ 200 bottles
0.51 RMB / bottle

Assuming you’re making 200 bottles each day, the direct manufacturing cost per bottle is as shown:

02.

Profit analysis of 5 gallon bottled water plant

Daily gross income7 yuan / barrel × 200 bottles1400 RMB / day
Salary of 2 workers60 yuan / person × 2 people120 RMB
Daily net income1400 yuan – 101.68 yuan – 1201298.32 RMB
Monthly profit1298.32 yuan × 30 days38,949.6 RMB
Annual net income38,949.6 yuan × December467,395.2 RMB

03.

Benefit Analysis of 5 gallon bottled water plant

Based on this calculation, it only takes two months to recover the full investment.

Since the production and sales quantity of barreled (bottled) water increased dramatically in the first few months, it will rise gradually after a few months, and the production and sales quantity will continue to rise inversely related.

The lower the total running cost, the greater the production and sales. In fact, most pure water plants can produce and sell around 200 barrels of pure water each day after a month of operation. Within two months, the whole investment in bottled water may be recouped.

Since the actual situation in each region is different, the sales price of bottled water is also different.

The annual profit is 150,000-300,000 RMB, which can be achieved by ordinary pure water plants.

04.

Cost Analysis of 500ml bottled water plant

Calculated by 550ml/bottle x 1 x 24bottle/piece

Bottle0.011 RMB /gram x15g x 24 bottles3.96 RMB
Bottle cap0.03 RMB /piece x 240.72 RMB
Label0.013 RMB/piece x 240.312 RMB
Labor wages 0.6 RMB/box
Electricity fee 0.4 RMB/box
Packaging film 0.70 RMB/ piece
Total production cost of a small bottle of water
 0.278 RMB
Total production cost of a box of bottled water
 6.692 RMB

05.

Benefit Analysis of 500ml bottled water plant

According to this data analysis and calculation, a set of small bottle water production line with an output of 2000-2500 bottles per hour.

1 hour output 2000 bottles2000 bottles / 24 bottles83.3 pieces
12 hours working per day83.3 ×12
999.6 (about 1000 pieces)
The wholesale price of a bottle of pure water
 12 RMB
The profit of a single piece12-6.6925.308 RMB
The daily profit5.308 x 10005,308 RMB
Monthly profit5,208 x 3015,9240 RMB
Monthly profit5,208*3015,9240 RMB
Removing business expenses (telephone charges)15,924-500158,740 RMB

From an investment standpoint, pure water plant is a typical investment project with less money, quick impact, and a high return.

06.

Requirements for site environment, personnel and water source

It is required to have a workshop of about 100-150 square meters, which including

  • Production workshop,
  • Filling workshop,
  • Finished product workshop,
  • Empty barrel (bottle) storage workshop,
  • And laboratory.
  • Right power supply is required.

The health station has verified that the operator is free of infectious diseases and has a valid health certificate.

There is municipal tap water. If groundwater is utilized, no “three wastes” pollution sources exist around the intake point.

07.

Equipment configuration and production related licensing requirements

The basic requirements of equipment configuration are as follows:

stainless raw water tank

Store raw water for precipitating large sediment particles and other precipitable substances in water. At the same time, the impact of unstable water pressure in the raw water pipe on the water treatment system is buffered. (e.g. pressure sensor response caused by too low or too high water pressure)

water tank

The reverse osmosis device uses sufficient pressure to separate the solvent (usually water) in the solution through the reverse osmosis membrane (or semi-permeable membrane), because this process is opposite to the direction of natural osmosis, so it is called reverse osmosis. The reverse osmosis method can adapt to all kinds of raw water with salt content, especially in water treatment projects with high salt content, and can obtain good technical and economic benefits. The desalination rate of the reverse osmosis method is improved, the recovery rate is high, the operation is stable, the floor space is small, and the operation is simple. The reverse osmosis equipment also removes most of the bacteria, colloids and large molecular weight organics while removing the salt.

30T and 100T water treatment order Malaysia customer-1

ozone sterilizer

The water treatment ozone generator is a device used to produce ozone gas for the treatment of sewage.

ozone generator

ultraviolet lamp sterilizer

The working principle of UV germicidal lamps for water treatment is that only artificial mercury (alloy) light sources can output sufficient UVC intensity for engineering disinfection. The ultraviolet germicidal lamp is made of quartz glass. The mercury lamp is divided into low-pressure low-intensity mercury lamp, medium-pressure high-intensity mercury lamp and There are three types of low-pressure high-intensity mercury lamps.

ultraviolet lamp sterilizer

It is used for the production of various juices, fruit wines, mineral water, purified water and other still drinks in polyester bottles. It can realize rinsing, filling and capping in one machine.

Water Filler Water Filling Machine

The bottled water filling machine is a fully automatic filling equipment for pure water plants or mineral water plants for filling 3-gallon and 5-gallon buckets. The equipment is simple to operate and only needs 1-2 workers to operate. Disinfection, rinsing, capping, capping and sending are all in one, and are widely used in towns, industrial and mining enterprises and individual units.

5 gallon bottling machine for startup 20L bottled water business

beverage labeller

The self-adhesive labeling machine is an automatic packaging machine that uses self-adhesive roll labeling paper. During the automatic bottle feeding process with the bottle unscrambler, the roll label paper is continuously torn off and attached to the bottle according to the required position. The equipment control system uses computer programming and full Chinese LCD touch screen, text type and button type, etc. It is a modern mechatronics product with excellent and reliable performance. The self-adhesive labeling machine has the advantages of cleanliness, no mold, beautiful and firm after labeling, will not fall off by itself, and high production efficiency.

The self-adhesive labeling machine

A shrink sleeve labelleris a high-speed device that applies shrink sleeve labels to a variety of bottles and containers. The shrink sleeve labeller can apply thermal shrink film sleeves at up to 800 products per minute, after which the sleeves are shrunk to adhere to the bottles.

Shrink sleeve label machine

The OPP hot-melt glue labeling machine is a new, continuous operation labeling device. The cylindrical shape of cleaning chemicals, beverages, mineral water, and other goods are mainly used. Labeling materials are made from environmentally friendly OPP films.

The OPP hot-melt glue labeling machine

In the packaging business, a shrink wrap machine is a well-known phrase. When utilized correctly, a shrink wrap machine is a heat shrink packing machine with a sealer and heat source for applying heat to the shrink wrap.

shrink wrap machine for bottles ibottling.com

If you want to obtain QS certification, you need to add

  • microscope,
  • acidity meter,
  • incubator,
  • turbidity meter,
  • autoclave,
  • drying oven,
  • analytical balance,
  • air purification,
  • air shower.

The above is the profit analysis of the construction of water plants. If you need a detailed investment budget and plant planning for water purification production equipment and large bucket water equipment, please contact iBottling, and we will do our best to support every customer to build a water plant.

08.

CONCLUSION

I hope this overview article helped you understand how to buy a bottling line. If you feel this article can help others and fulfill their wishes, please share.

Or subscribe to the newsletter below for more insider tips on the beverage industry.

Picture of John Lau.
John Lau.

John Lau, oversea project manager, an engineering graduate with expertise in optimizing beverage production equipment during his university studies, is now at the helm of global projects in the industry. Committed to educating clients on the benefits of customized equipment solutions that notably boost operational efficiency, Lau views this specialization in tailoring bottling machines as a key facet of his professional commitment.

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