Food-Processing-Plant-Design-layout

Food Processing Plant Design & layout
4.3 Factors involved in the plant location decision
Location studies are usually made in two phases namely,
1. the general territory selection phase and
2. the exact site / community selection phase amongst those available in the
general locale. The considerations vary at the two levels, though there is
substantial overlap as shown in the following Table.
Table 4.1 Factors involved in the two stages of plant location study
Location factors General territory selection Selection of specific site
Market *
Raw material *
Power * *
Transportation * *
Climate and fuel *
Human resource and
wages * *
Regulatory laws and taxes
* *
Community services *
Water and waste *
Ecology and pollution *
Capital availability * *
Site characteristics *
Security * *
A typical team studying location possibilities for a large project might involve economists,
accountants, town planners, marketing experts, legal experts, politicians, executives,
industrial engineers, ecologists etc. It is indeed an interdisciplinary team that should be set
up for undertaking location studies.
4.4 Territory Selection
For the general territory / region / area, the following are some of the important factors
that influence the selection decision.
4.4.1 Markets: There has to be some customer / market for the product. The market growth
potential and the location of competitors are important factors that could influence the
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