ARJUN TOMAR

Radico Khaitan Limited

04.2024 - 06.2024

The recommendations I made during my internship at Radico Khaitan focused on improving the efficiency and reducing the costs associated with the 350KLPD grain plant
These included suggestions for forward contracting with farmers to stabilize grain prices, optimizing chemical processes during ethanol production, and enhancing storage and transportation efficiency
My suggestions on optimizing procurement processes are also being considered by Carlsberg Group and IGL
Interestingly, I found that Carlsberg Group and IGL were also attempting to implement similar ideas in their procurement processes
The projected savings were significant:
4 crores annually from forward contracting maize at 19,000 per ton, compared to the current rate of 23,000 per ton
3 crores from securing rice at 23,000 per ton through forward contracts, instead of 26,000 per ton
1 crore from transportation optimization
Overall, the potential savings from these suggestions resulted in a gross profit of 5-6 crores and a net profit of 3-4 crores in their Distillery Plant
The company has taken these proposals under consideration and will evaluate their viability over time.
They plan to assess the long-term impact of these strategies before deciding on their implementation.
While these recommendations have the potential to deliver significant cost savings and operational improvements, the company will conduct further analysis to ensure they align with their overall goals.