SUPPLY CHAIN MANAGEMENT

SALT INDUSTRY [NATIONAL

LEVEL]

INTRODUCTION:A Supply chain means fulfilling the customers

need.
Asupply chainis actually a complex and
dynamicsupplyand demand network.
A supply chainis a system of organizations,
people, activities, information, and resources
involved in moving a product or service from
supplier to customer

SUPPLY CHAIN OF SALT

INDUSTRY
SALT = NaCl
1) SEA SALT
2) ROCK SALT

SEA
WATER

SUPPLY CHAIN OF SALT

INSUSTRY

PROCESSI
NG PLANT
TARANSPORTATI
ON

INF
OR
MA
TIO

NF
LO
W

WAREHOU
SE
MA
TE

RIA
L

FLO
W

DISTRIBUTIO
N
RETAILE
R
CUSTOME
R

SALT PRODUCTION FROM SEA WATER

Salt Production Time Required at Processing

Plant

SUPPLY CHAIN OF TATA SALT

MADE TO ORDER
ORDER > SUPPLY
USES SAP
SET PRICE CONTRACT FOR A SET QUANTITY
ACUTAL PRICE MAY FLUCTUATE

PROCUREMENT

SOLAR SALT OBTAINED FROM SOURASHTRA

VACCUM EVAPORATION IS DONE AT MITHAPUR
PLANT

PROCESSING PLANT AT
MITHAPUR (Manufacturing)

Common salt is taken in the submersion tanks either manually or mechanically.

A saturated solution of sodium chloride with fixed quantity of potassium or

calcium iodate from the storage tank is then charged with the help of the pump
till common salt is submerged completely in iodised brine.

five minutes of contact period

The wet salt from the submersion tanks is heaped for overnight draining

It is then crushed by roller crusher and packed in polythene lined bags.

Iodine content of salt as well as iodised brine should be checked in each

batch.

Iodine should be maintained in iodised brine to get 15 ppm of iodine in iodised

salt.

UR
P
A
H
T
MI

TATA SALT MANUFACTURING

FACILITY AT MITHAPUR STATE
GUJRAT

PACKAGING
TATA SALT PACKAGES PACKETS OF 0.1 Kg , 0.5 Kg, 1Kg & 2 Kg.

TRANSPORATION
The packaged goods are transported to the
Mumbai Warehouse by the means of Land as well
as Rail route.
LAND
ROAD
SEA
ROUTE

Similar model is applied all across the country

except Cochin and for Export market. For Cochin
and Export market Sea route is used.
Road Transport is the preferred.

Tata Chemicals has entered into agreement with various

Transport Association ex-Gujrat Truck Association.
This is done to achieve proper weight balance
and maximum space utilization.

WAREHOUSE
The Temperature of the Warehouse is maintained around 30 - 35 C to
avoid humidity and moisture exposure to Soda Ash and Salt.

FIFO method is used inventory control.

Inventory of around 15 days is maintained
For e.g. if Unilever has Quantity Set Contract with TATA Chemicals
for the supply of 100 metric tons/day of Soda Ash then TATA Chemical
carries an inventory of 1800 2000 metric tones

DISTRIBUTION
TATA Salt as mentioned above is further transported to various Depots,
Wholesalers, and Retailers across the state from the Central Warehouse.
The Transportation for the distribution process is carried out by the
concerned Transport Association.
It is normally done by the Road Transport only.
EX WORKS Contract.
Deliver goods at his or her own place of business. All other transportation
costs and risks are assumed by the buyer.

Export customers
Distribution is done through the Sea route
It is carried out through the port of Kandla which is closer
to the plant location of Mithapur
Same is done for Cochin

DISTRIBUTO
R1

WAREHOUSE
AT
EACH STATE
CAPITAL

DISTRIBUTO
R4

DISTRIBUTO
R2

R
R
R

DISTRIUTOR
3

Problem Faced
Distribution is one of the main problem areas for the company, since it is handled by various
Transport Associations. Some of the problems faced by the company are
1. Paper works required for interstate transport.
2. Excise duty problems.
3. Overloading of Trucks.