A Brief Glimses of Mizoram Location:: O O O O

Setting up of Integrated Bamboo Industry.
2018
A BRIEF GLIMSES OF MIZORAM
Location:
Mizoram State lies between 21O 58’ and 24 O 35’ N Latitudes and 92 O 15’and 93 O 29’ E
Longitudes. It is located in the North-Eastern region of India, bounded by the State of Manipur
and Assam to its North, Myanmar to its East and South and by the State of Tripura and
Bangladesh to its Western side.
Physical features:
The State’s topography is, by and large, mountainous with precipitous slopes forming deep
gorges culminating into several streams and rivers. There are 15 major rivers in this State.
Climatic conditions:
On the whole, Mizoram has a pleasant climate. It is generally cool in summer and not very cold
in winter. The temperature varies between 20oC and 30o C during summer and between 11o C
and 21o C in winter.
Population:
According to the 2011 Census, total population of Mizoram was 1,091,014. The number of
females per 1,000 males in 2011 was 975.
Work Force:
The total workers or the work participation rate in the State constituted 52.57% of the total
population of Mizoram as against 52.70% in 2001.
Literacy:
In 2011, the percentage of literacy was 91.49% against 88.49% in 2001.
Administrative Setup:
The State administrative set up is divided into 8 Districts, 3 Autonomous District Councils, 26
Rural Development Blocks and 830 Villages.
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Setting up of Integrated Bamboo Industry. 2018
Communication Network
Roads:
Mizoram has a wide and efficient road-connectivity like NH-54 connecting the State with Assam
and other parts of the country, NH-150 connecting the State with Manipur and Nagaland. NH-
40 (under construction) linking the State with Tripura which also provide connectivity to
Bangladesh, Road between Champhai (Mizoram) and Tiddim (Burma) connecting the two
countries on Works on 400.00 Kms of road along Mizoram border with Bangladesh which is in
progress. Mizoram to Myanmar, under the project of Look East Policy of the Central Ministry is
under work-in-progress.
Air Services:
Mizoram has Lengpui Airport (near Aizawl, the State capital) which can be reached from Kolkata
or Guwahati within 60 minutes with flights every day. Helicopter service was also launched to
connect the various city/towns of Mizoram and North eastern states.
Train/Railways:
Mizoram can also be easily reached at Bairabi (Mizoram) by Train. Now, the state government
has intended to extent the railway internally up to Sairang. Another railhead lies at Silchar,
Assam, which is 180 kms from Aizawl, from where there are road connections to the State.
Waterways:
Mizoram has a potential of developing Waterways with Bangladesh on the west along River
Khawthlangtuipui and Akyab (Burma) along River Chhimtuipui in the south.
Border Trade:
On 30th January, 2004 border trade has been opened at Rih - Zokhawthar sector between India
and Myanmar and Union Minister of State for Trade and Commerce Shri. Nirmala Sitharaman
officially opened the Zokhawthar Land Customs Station near Mizoram’s border with Myanmar
on 25th March, 2015. The border trade is expected to boost the State Economy serving suitable
gateway for India for trading with not only with Myanmar but with other South East Asian
Countries. It is expected that this border trade will play significant role in SE Asian market
penetration by India. Also, under the project of New Look East Policy of the Central Ministry,
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Mizoram will play a vital role in trade between India and South East Asian Countries as the
trade linked road and water way will pass through it.
The Economy:
Mizoram is predominantly and agrarian State like most of the other States of the North East
with more than 60% of its population engaged in agriculture. The present State of the economy
is far from satisfactory with very less improvement in the agricultural productivity level.
Handloom and handicrafts are the other traditional means of livelihood. The Bamboo products
had played a significant role in the society for constructing houses, fencing, handicraft, etc.
since time immemorial.
Per capita income:

The per capita income of Mizoram is shown as below in the table.
At Constant (2004 – 2005)

Year At Current Prices
Prices
2007-2008 32,488 28,467
2008-2009 38,582 31,921
2009-2010 42,715 34,699
2010-2011 (Q) 50,956 40,072
2011-2012 53,624 37,921
2012 – 2013 (P) 63,413 39,347
(Q = Quick estimated, P = Provision)

Data source : Directorate of Economics and Statistics, Govt. of Mizoram; Statistical
Handbook Mizoram (2014).
Absence of medium and heavy industry in the State:
Mizoram is one of the most industrially backward States of India. National Government has also
recognized this position and has declared the entire State as ‘Industrially Backward Area’.
Though medium and heavy bamboo based enterprises like Mizoram Venus Bamboo Product (P)
Ltd., Zonun Mat Ply (P) Ltd., Pandson Bamboo Chipping Mill, SK Bamboo Chipping Mill, B’nei
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Menashe Industry, etc. has been emerged recently, but the total production value is quite low.
There is still a good scope for medium and heavy industries engaged not only in bamboo and its
related species but also other resources. Also, few active SSI units and KVI units are also running
to relief the state from declaring ‘absence of Industries’.
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BACKGROUND OF BAMBOO SECTOR IN MIZORAM
Mizoram has abundant bamboo resources covering around 57% of its geographical area. There
are at least 20 identifiable species of bamboo indigenous to Mizoram. Around 30% of bamboos
grown in the state are still wild bamboo and unexploited. Knowing the availability of bamboo
resources and its probability for making contribution to the society, Mizoram Government
established Bamboo Development Agency, Mizoram in 2002 and registered as Society under
the Societies Registration (Extension to Mizoram) Act, 1976 (Mizoram Act No. 3 of 1977) with
an objective to encourage, start, organize, carry on, assist, develop and regulate resources,
plantation, utilization of research and development of bamboo and perform such functions as
the Government may prescribe from time to time. Even though the State Government has been
taken necessary actions through Bamboo Development Agency, Mizoram to utilize bamboo
more widely by setting up of bamboo chipping units, bamboo charcoal units, and bamboo
round agarbatti sticks units, etc. so as to increase revenue streams from bamboo resources, but
unfortunately the activities taken by the State Government has not gain much success from the
beginning.
By viewing the availability of bamboo resources which are untapped and underutilized for
commercial purposes that can uplift the state economy to a great extent, it is felt necessary to
take initiative for attaining integrated development in bamboo sector in Mizoram by the State
Government. It is needed to make changes on resources management, resources regulation
and resources application to improve bamboo sector in the state. A single responsible body has
to be established to regulate resources and manage resources for industrial application.
Mizoram, having abundant reserves of bamboo, can actually lead the country in bamboo
industrial sector in two aspects i) Commercial/business growth and ii) creating & supporting
livelihoods to large number of its inhabitants. Located at a geographically disadvantageous
location in the country, bamboo can practically strengthen the micro as well as macro economy
of the state. The state has huge reserves of raw material (bamboo), large number of educated
yet unemployed youths, good intra-state infrastructure and a stable & proactive government.
All these shall result in creating employment/self-employment opportunities for a large number
of youth & women of the state provided that it is done in an integrated & strategic manner.
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The bamboo resource of Mizoram is yet to be commercially exploited in significant manner. The
bamboo sector can achieve impressive growth only by value addition within the state rather
than only sending raw bamboo poles to outside state. Learning from countries like China,
Vietnam etc., value addition through mechanization can yield fruitful results in terms of long
term commercial viability at par with global bamboo industry.
Bamboo forests cover a large extent of area in Mizoram. The state possesses the maximum
percentage of its geographical area under bamboo forests as compared to other states of the
country. Bamboo forests are most abundant in the five northern districts. Most of the bamboo
species occurring in the State are found between 400m to 1,500m altitude and their
distribution is somewhat restricted to above 1,550m. Bamboo also grows as under-storey
plants in tropical evergreen and moist deciduous forests, in pure stands along river banks, in
and around villages and as dominant secondary vegetation on abandoned jhum lands. The
major species suitable for commercial & industrial use are Bambusa tulda, Bambusa nutans,
Bambusa vulgaris D. hamiltonii, D. longispathus, M. bacciferra, S. dullooa, T. oliveri etc.
The Forest Survey of India 2011 estimates that the extent of bamboo bearing area in the forests
of the state is 9,245 km². Density wise details, number of culm and equivalent gross weight
estimated are as given below.
Bamboo bearing area in Mizoram by density in recorded forest area (Area in km²)
Recorded Pure Dense Scattered Clumps Bamboo Nos.
Forest Area Bamboo Bamboo Bamboo hacked regeneration Bamboo
16,717 226 6,116 2,757 104 42 7472
Estimated number of bamboo culms and equivalent green weight

Number of culms (in millions) Equivalent Green Weight (in 000’ MT)
Green Dry Decayed Total Green Dry Total
1953 185 67 2205 11150 2037 13187
Distribution of Bamboo in the World
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India is the Nation second only to China in Bamboo reserve as can be clearly seen from the
table below:
Countries Area No. of Genera No. of Species

China 700 50 500
India 89 19 136
Burma 2.17 - 90
Thailand 0.81 13 60
Bangladesh 0.60 13 30
Bamboo distribution in India is as below:
In India, 4 million ha. is covered by Bamboo forest of which 67.3% is clump forming Bamboo.
Major Bamboo Resources States of India and respective cover percentage are:
Assam - 16%
Mizoram - 14%
Manipur - 14%
Arunachal Pradesh - 12%
Madhya Pradesh - 12%
Odisha - 7%
Meghalaya - 6%
Nagaland - 5%
Maharastra - 5%
Mizoram area covered by Bamboo:
Bamboo forest covers 12,54,400 ha out of the total are of 21,090 sq. km. of the State. Bamboo
is distributed thoroughly between 40 – 1520 m altitudes of Mizoram.
Species of Bamboo in Mizoram:
Identification of Bamboo species in Mizoram is being taken up in great earnest by Bamboo Cell
of the E & F Department and the species so far identified are:
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Sl.no Scientific Name Local (Mizo) Name
1 Bambusa balcooa N/A

2 Bambusa bambos Rawhing
3 Bambusa dampaena N/A
4 Bambusa mizorameana Talan
5 Bambusa multiplex N/A
6 Bambusa nagalandeana Ralleng mau
7 Bambusa nutans Ankuang
8 Bambusa tulda Rawthing
9 Bambusa vulgaris Vairua
10 Bambusa vulgaris var. vittata Yellow bamboo
11 Bambusa vulgaris f.waminii N/A
12 Dendrocalamus asper N/A
13 Dendrocalamus giganteus N/A
14 Dendrocalamus hamiltonii Phulrua
15 Dendrocalamus hookeri Rawpui/ Rawlak/ Rawkhauh
16 Dendrocalamus laetiflorus N/A
17 Dendrocalamus longispathus Rawnal
18 Dendrocalamus manipureanus Rawchhe/ Rawchhe changdam
19 Dendrocalamus sikkimensis Rawmi
20 Dendrocalamus strictus Tursing
21 Melocalamus compactiflorus Sairil
22 Melocanna baccifera Mautak
23 Neomicrocalamus mannii Siaman
24 Phyllostachys edulis N/A
25 Phyllostachys mannii N/A
26 Schizostachyum dullooa Rawthlaw
27 Schizostachyum fuchsianum Rawnel
28 Schizostachyum mannii Rawte/ Chatle
29 Schizostachyum munroii Nat
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30 Schizostachyum pergracile Mau-dang

31 Schizostachyum polymorphmum Chal
32 Sinarundinaria falcate Lik
33 Sinarundinaria griffithiana Phar
34 Sinarundinaria longispiculata N/A
35 Thrysostachys oliveri Phunkirua
(Source: Bamboos of Mizoram, Published by E & F Dept. Govt. of Mizoram, Aizawl)
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INTRODUCTION OF BAMBOO
Bamboo Definition
Bamboos are a unique group of giant arborescent grasses in which the woody culms arise from
underground rhizomes. They are shrubs and have tree-like habit, their culms are erect and
sometimes climbing. Bamboos are characterized by woody, mostly hollow culms with
internodes and branches at the culms nodes. They are part of grass sub-family Bambusoidae, a
tribe of the Gramineae and multiply mainly through vegetative propagation with gregarious
flowering habit
6.2 Characteristics of Bamboo
The abundance of bamboo in many tropical countries, especially in Asia and its ability to grow
readily and spontaneously has been the cause of neglect in developing this natural resource in
the past. Its socio-economic importance for the rural population was realized as under:
 Bamboo is the fastest growing plant on this planet.

 A critical element in the balance of oxygen and carbon dioxide in the atmosphere.
 A viable replacement for wood.
 An enduring natural resource.
 Versatile plant with a short growth cycle.
 A critical element of the Indian economy.
 Essential structural material in earthquake architecture.
 A renewable resource for agro-forestry production.
 An ancient medicine.
 An integral part of the arts.
 Tool for erosion control.
Some of the unique characteristics of bamboo are as follows:
 It tolerates soil conditions ranging from organically poor to mineral rich and moisture levels
of drought to submergence thus making it valuable for reclaiming degraded lands and
drought proofing;
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 Its foliage shelters topsoil from the onslaught of tropical downpours, while its leaf litters (up
to 10 cm in a year) cushions the soil from the impact of rain besides absorption and
retention of moisture;
 Bamboo preserves many exposed areas, providing micro-climate for forest regeneration
and watershed protection (the plant’s vast underground rhizome network may cover up to
100 sq. m. around one bamboo clump);
 Have the ability to stitch and repair the degraded soil and conserve soil and moisture;
 It provides healthier environment by sequestration of carbon and lowers light intensity and
offers protection against ultraviolet rays. It provides the fastest growing canopy possible
for degraded lands, developing micro-climate for other life and yielding more oxygen than
equivalent stands of trees. A bamboo forest can even be part of natural environmental
cleansing system that converts pollution into plant nutrients while producing valuable
crops;
 It is known to be hardy, light and flexible and plant that sought for its nutritional and
environmental value. It has more than 1500 documented applications.
 Bamboo shoots are a good potential source of human food, being relatively high in protein,
amino acids and fibres
 Bamboo is light weight, is elastic and resistant to rupture and is ideal for using in house
construction in areas prone to the natural calamities such as earthquakes and cyclones;
 With tensile strength contending that of steel and a weight-to-strength ratio greater than
graphite, bamboo poles are lashed together for scaffolding since ancient times;
 The industrial potential of bamboo is a viable substitute for timber and for other uses is
gaining importance. Bamboo furniture, building materials, handicrafts, new generation
products (flooring, roofing, particle board etc.) have great potential for the future;
 The medicinal properties of bamboo are well known since ancient time and well
documented in Ayurveda
 Expanding green markets offer new opportunities for the promotion of bamboo as an
alternative to wood. There is a vast range of bamboo items yet to be developed and
marketed. There is an urgent need to modernize both the designs of bamboo products and
their uses.
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 Gregarious flowering of bamboo results in mass mortality of clumps, fire hazard and famine
conditions.
In Asia (from Pakistan to Japan), bamboos are represented by about 320 species, of which more
than half are in the India-Burma region. Africa is poor in bamboo, and only a few genera with
about twelve species occur there.
On the other hand, about 25 species are native to Madagascar. In western hemisphere, their
natural range extends from the southern USA to Argentina and Chile with about 200 speices.
North America has one native species viz. Arundinariagigantea. Only the genus Arundinaria
occurs in both hemispheres.
Large area of natural bamboo forest occurs in tropical Asian countries including, India,
Myanmar, Thailand, and China, expanding from 15º-25º North latitudes. No natural bamboo
forest exists in Europe but few bamboo forests occur in Africa and Central America between the
above-mentioned latitudes.
The ecological requirements vary widely amongst the various bamboo species. Many species
are indigenous to the monsoon areas of tropical Asia, but the natural distribution has been
changed due to human intervention. The latitudinal range is between 40º North and South.
Mostly they concentrate in the tropical and sub – tropical climate with mean annual
temperature between 20ºC and 30ºC. High temperature usually acts favorably on growth.
Some species can tolerate temperature between 40º and 50º, like Oxytenonthera abyssinica in
central Africa, where as others (Phyllostachys mites in China) can with stand snow or, as in the
case of Arundinaria annabilis, winter temperature as low as - 8ºC.
The bamboos are evergreen perennial flowering plants in the sub-family Bambusoideae of the
grass familiy Poaeceae. In bamboo, as in other grasses, the inter-nodal regions of the stem are
usually hollow and the vascular bundles in the cross section are scattered throughout the stem
instead of in a cylindrical arrangement.
The dicotyledonous woody xylem is also absent. The absence of secondary growth wood causes
the stems of monocots, including the palms and large bamboos, to be columnar rather than
tapering.
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Bamboos include some of the fastest-growing plants in the world, due to a unique rhizome-
dependent system. Certain species of bamboo can grow 91 cm (36 in) within a 24-hour period,
at a rate of almost 4 cm (1.6 in) an hour (a growth around 1 mm every 90 seconds, or 1 inch
every 40 minutes). Giant bamboos are the largest members of the grass family. Bamboos are of
notable economic and cultural significance in South Asia, Southeast Asia and East Asia, being
used for building materials, as a food source, and as a versatile raw product. Bamboo has a
higher specific compressive strength than wood, brick, or concrete and a specific tensile
strength that rivals steel.
The word bamboo comes from the Kannada term bambu ಬಬಬಬ, which was introduced to
English through Indonesian and Malay.
Bamboos have long been considered the most primitive grasses, mostly because of the
presence of bracteate, indeterminate inflorescences, "pseudospikelets", and flowers with
three lodicules, six stamens, and three stigmata. Following more recent molecular
phylogenetic research, many tribes and genera of grasses formerly included in the
Bambusoideae are now classified in other subfamilies, e.g. the Anomochlooideae,
the Puelioideae, and the Ehrhartoideae. The subfamily in its current sense belongs to the BOP
clade of grasses, where it is sister to the Pooideae (bluegrasses and relatives).
The bamboos comprise three clades classified as tribes, and these strongly correspond with
geographic divisions representing the New World herbaceous species (Olyreae), tropical woody
bamboos (Bambuseae), and temperate woody bamboos (Arundinarieae). The woody bamboos
do not form a monophyletic group; instead, the tropical woody and herbaceous bamboos are
sister to the temperate woody bamboos. Altogether, more than 1,400 species are placed in 115
genera.
Tribe Olyreae (herbaceous bamboos)
21 genera:
 Subtribe Buergersiochloineae
one genus: Buergersiochloa
 Subtribe Olyrineae
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20 genera: Agnesia, Arberella, Cryptochloa, Diandrolyra, Ekmanochloa, Froesiochloa,

Lithachne, Maclurolyra, Mniochloa, Olyra plant, Pariana, Parianella, Parodiolyra, Piresia,
Piresiella, Raddia, Rehia, Reitzia, Sucrea.
Tribe Bambuseae (tropical woody bamboos)
91 genera:
 Subtribe Arthrostylidiinae
Thirteen-
genera: Actinocladum, Alvimia, Apoclada, Arthrostylidium, Athroostachys, Atractantha,
Aulonemia (Matudacalamus), Colanthelia, Elytrostachys, Glaziophyton, Merostachys, My
riocladus, Rhipidocladum.
 Subtribe Bambusinae
Ten-
genera: Bambusa (Dendrocalamopsis), Bonia (Monocladus), Dendrocalamus (Klemachlo
a, Oreobambos,
Oxynanthera or Sinocalamus), Dinochloa, Gigantochloa, Holttumochloa, Kinabaluchloa
(Maclurochloa, Soejatmia), Melocalamus, Sphaerobambos, Thyrsostachys.
 Subtribe Chusqueinae
2 genera: Chusquea, Neurolepis.
 Subtribe Guaduinae
4 genera: Eremocaulon, Guadua, Olmeca, Otatea.
 Subtribe Melocanninae
Nine
genera: Cephalostachyum, Davidsea, Leptocanna, Melocanna, Neohouzeaua, Ochlandra,
Pseudostachyum, Schizostachyum, Teinostachyum.
 Subtribe Nastinae
6 genera: Decaryochloa, Greslania, Hickelia, Hitchcockella, Nastus, Perrierbambus.
 Subtribe Racemobambodinae
one genus: Racemobambos (Neomicrocalamus, Vietnamosasa)
 Subtribe Shibataeinae
Eight
genera: Chimonobambusa, Indosasa, Phyllostachys, Qiongzhuea, Semiarundinaria (Brac
hystachyum), Shibataea, Sinobambusa, Temburongia (incertae sedis).
Tribe Arundinarieae (temperate woody bamboos)
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Sixteen
genera: Acidosasa, Ampelocalamus, Arundinaria, Borinda, Chimonocalamus, Drepanostachyum (Himala
yacalamus), Fargesia, Ferrocalamus, Gaoligongshania, Gelidocalamus, Indocalamus, Oligostachyum, Ps
eudosasa, Sasa, Thamnocalamus, Yushania.
Most bamboo species are native to warm and moist tropical and warm temperate climates.
However, many species are found in diverse climates, ranging from hot tropical regions to cool
mountainous regions and highland cloud forests. In the Asia-Pacific region they occur across
East Asia, from 50 °N latitude in Sakhalin south to Northern Australia, and west to India and
the Himalayas. China, Japan, Korea, India, and Australia, all have several endemic
populations.[13] They also occur in small numbers in sub-Saharan Africa, confined to tropical
areas, from southern Senegal in the north to southern Mozambique and Madagascar in the
south. In the Americas, bamboo has a native range from 47 °S in southern Argentina and the
beech forests of central Chile, through the South American tropical rainforests, to the Andes in
Ecuador near 4,300 m (14,000 ft). Bamboo is also native through Central America and Mexico,
northward into the Southeastern United States. Canada and continental Europe are not known
to have any native species of bamboo. As garden plants, many species grow readily outside
these ranges, including most of Europe and the United States.
Recently, some attempts have been made to grow bamboo on a commercial basis in the Great
Lakes region of east-central Africa, especially in Rwanda. In the United States, several
companies are growing, harvesting, and distributing species such as Phyllostachys
nigra (Henon) and Phyllostachys edulis (Moso).
The two general patterns for the growth of bamboo are "clumping" (sympodial) and "running"
(monopodial). Clumping bamboo species tend to spread slowly, as the growth pattern of the
rhizomes is to simply expand the root mass gradually, similar to ornamental grasses. "Running"
bamboos, though, need to be controlled during cultivation because of their potential for
aggressive behavior. They spread mainly through their rhizomes, which can spread widely
underground and send up new culms to break through the surface. Running bamboo species
are highly variable in their tendency to spread; this is related to both the species and
the soil and climate conditions. Some can send out runners of several metres a year, while
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others can stay in the same general area for long periods. If neglected, over time, they can
cause problems by moving into adjacent areas.
Bamboos include some of the fastest-growing plants on Earth, with reported growth rates up to
91 cm (36 in) in 24 hours. However, the growth rate is dependent on local soil and climatic
conditions, as well as species, and a more typical growth rate for many commonly cultivated
bamboos in temperate climates is in the range of 3–10 cm (1.2–3.9 in) per day during the
growing period. Primarily growing in regions of warmer climates during the late Cretaceous
period, vast fields existed in what is now Asia. Some of the largest timber bamboo can grow
over 30 m (98 ft) tall, and be as large as 25–30 cm (9.8–11.8 in) in diameter. However, the size
range for mature bamboo is species-dependent, with the smallest bamboos reaching only
several inches high at maturity. A typical height range that would cover many of the common
bamboos grown in the United States is 4.5–12 m (15–39 ft), depending on species. Anji
County of China, known as the "Town of Bamboo", provides the optimal climate and soil
conditions to grow, harvest, and process some of the most valued bamboo poles available
worldwide.
Unlike all trees, individual bamboo culms emerge from the ground at their full diameter and
grow to their full height in a single growing season of three to four months. During this time,
each new shoot grows vertically into a culm with no branching out until the majority of the
mature height is reached. Then, the branches extend from the nodes and leafing out occurs. In
the next year, the pulpy wall of each culm slowly hardens. During the third year, the culm
hardens further. The shoot is now a fully mature culm. Over the next 2–5 years (depending on
species), fungus begins to form on the outside of the culm, which eventually penetrates and
overcomes the culm. Around 5–8 years later (species- and climate-dependent), the fungal
growths cause the culm to collapse and decay. This brief life means culms are ready for harvest
and suitable for use in construction within about three to seven years. Individual bamboo culms
do not get any taller or larger in diameter in subsequent years than they do in their first year,
and they do not replace any growth lost from pruning or natural breakage. Bamboo has a wide
range of hardiness depending on species and locale. Small or young specimens of an individual
species produce small culms initially. As the clump and its rhizome system mature, taller and
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larger culms are produced each year until the plant approaches its particular species limits of
height and diameter.
Many tropical bamboo species die at or near freezing temperatures, while some of the hardier
temperate bamboos can survive temperatures as low as −29 °C (−20 °F). Some of the hardiest
bamboo species can be grown in USDA plant hardiness zone 5, although they typically defoliate
and may even lose all above-ground growth, yet the rhizomes survive and send up shoots again
the next spring. In milder climates, such as USDA zone 7 and above, most bamboo remain fully
leafed out and green year-round.
Bamboos seldom and unpredictably flower, and the frequency of flowering varies greatly from
species to species. Once flowering takes place, a plant declines and often dies entirely. In fact,
many species only flower at intervals as long as 65 or 120 years. These taxa exhibit mass
flowering (or gregarious flowering), with all plants in a particular 'cohort' flowering over a
several-year period. Any plant derived through clonal propagation from this cohort will also
flower regardless of whether it has been planted in a different location. The longest mass
flowering interval known is 130 years, and it is for the species Phyllostachys bambusoides (Sieb.
& Zucc.). In this species, all plants of the same stock flower at the same time, regardless of
differences in geographic locations or climatic conditions, and then the bamboo dies. The lack
of environmental impact on the time of flowering indicates the presence of some sort of "alarm
clock" in each cell of the plant which signals the diversion of all energy to flower production and
the cessation of vegetative growth. This mechanism, as well as the evolutionary cause behind it,
is still largely a mystery.
One hypothesis to explain the evolution of this semelparous mass flowering is the predator
satiation hypothesis, which argues that by fruiting at the same time, a population increases the
survival rate of its seeds by flooding the area with fruit, so even if predators eat their fill, seeds
will still be left over. By having a flowering cycle longer than the lifespan of the rodent
predators, bamboos can regulate animal populations by causing starvation during the period
between flowering events. Thus, the death of the adult clone is due to resource exhaustion, as
it would be more effective for parent plants to devote all resources to creating a large seed
crop than to hold back energy for their own regeneration.
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Another, the fire cycle hypothesis, states that periodic flowering followed by death of the adult
plants has evolved as a mechanism to create disturbance in the habitat, thus providing the
seedlings with a gap in which to grow. This argues that the dead culms create a large fuel load,
and also a large target for lightning strikes, increasing the likelihood of wildfire. Because
bamboos can be aggressive as early succession plants, the seedlings would be able to outstrip
other plants and take over the space left by their parents.
However, both have been disputed for different reasons. The predator satiation hypothesis
does not explain why the flowering cycle is 10 times longer than the lifespan of the local
rodents, something not predicted. The bamboo fire cycle hypothesis is considered by a few
scientists to be unreasonable; they argue that fires only result from humans and there is no
natural fire in India. This notion is considered wrong based on distribution of lightning strike
data during the dry season throughout India. However, another argument against this is the
lack of precedent for any living organism to harness something as unpredictable as lightning
strikes to increase its chance of survival as part of natural evolutionary progress.
More recently, a mathematical explanation for the extreme length of the flowering cycles has
been offered, involving both the stabilizing selection implied by the predator satiation
hypothesis and others, and the fact that plants that flower at longer intervals tend to release
more seeds. The hypothesis claims that bamboo flowering intervals grew
by integer multiplication. A mutant bamboo plant flowering at a non-integer multiple of its
population's flowering interval would release its seeds alone, and would not enjoy the benefits
of collective flowering (such as protection from predators). However, a mutant bamboo plant
flowering at an integer multiple of its population's flowering interval would release its seeds
only during collective flowering events, and would release more seeds than the average plant in
the population. It could, therefore, take over the population, establishing a flowering interval
that is an integer multiple of the previous flowering interval. The hypothesis predicts that
observed bamboo flowering intervals should factorize into small prime numbers.
The mass fruiting also has direct economic and ecological consequences, however. The huge
increase in available fruit in the forests often causes a boom in rodent populations, leading to
increases in disease and famine in nearby human populations. For example, devastating
consequences occur when the Melocannabambusoides population flowers and fruits once
Page 18
every 30–35 years around the Bay of Bengal. The death of the bamboo plants following their
fruiting means the local people lose their building material, and the large increase in bamboo
fruit leads to a rapid increase in rodent populations. As the number of rodents increases, they
consume all available food, including grain fields and stored food, sometimes leading to famine.
These rats can also carry dangerous diseases, such as typhus, typhoid, and bubonic plague,
which can reach epidemic proportions as the rodents increase in number. The relationship
between rat populations and bamboo flowering was examined in a 2009 Nova documentary
“Rat Attack”.
In any case, flowering produces masses of seeds, typically suspended from the ends of the
branches. These seeds give rise to a new generation of plants that may be identical in
appearance to those that preceded the flowering, or they may produce new cultivars with
different characteristics, such as the presence or absence of striping or other changes in
coloration of the culms.
Several bamboo species are never known to set seed even when sporadically flowering has
been reported. Bambusa vulgaris, Bambusa balcooa, and Dendrocalamus stocksii are common
examples of such bamboo.
Bamboo used for construction purposes must be harvested when the culms reach their greatest
strength and when sugar levels in the sap are at their lowest, as high sugar content increases
the ease and rate of pest infestation.
Harvesting of bamboo is typically undertaken according to these cycles:
1) Lifecycle of the culm: As each individual culm goes through a 5– to 7-year lifecycle, culms are
ideally allowed to reach this level of maturity prior to full capacity harvesting. The clearing out
or thinning of culms, particularly older decaying culms, helps to ensure adequate light and
resources for new growth. Well-maintained clumps may have productivity three to four times
that of an unharvested wild clump. Consistent with the lifecycle described above, bamboo is
harvested from two to three years through to five to seven years, depending on the species.
2) Annual cycle: As all growth of new bamboo occurs during the wet season, disturbing the
clump during this phase will potentially damage the upcoming crop. Also during this high-
rainfall period, sap levels are at their highest, and then diminish towards the dry season. Picking
Page 19
immediately prior to the wet/growth season may also damage new shoots. Hence, harvesting is
best a few months prior to the start of the wet season.
3) Daily cycle: During the height of the day, photosynthesis is at its peak, producing the highest
levels of sugar in sap, making this the least ideal time of day to harvest. Many traditional
practitioners believe the best time to harvest is at dawn or dusk on a waning moon.
Leaching
Leaching is the removal of sap after harvest. In many areas of the world, the sap levels in
harvested bamboo are reduced either through leaching or postharvest photosynthesis.
Examples of this pactice include:
1. Cut bamboo is raised clear of the ground and leaned against the rest of the clump for
one to two weeks until leaves turn yellow to allow full consumption of sugars by the
plant.
2. A similar method is undertaken, but with the base of the culm standing in fresh water,
either in a large drum or stream to leach out sap.
3. Cut culms are immersed in a running stream and weighted down for three to four
weeks.
4. Water is pumped through the freshly cut culms, forcing out the sap (this method is
often used in conjunction with the injection of some form of treatment).
In the process of water leaching, the bamboo is dried slowly and evenly in the shade to avoid
cracking in the outer skin of the bamboo, thereby reducing opportunities for pest infestation.
Durability of bamboo in construction is directly related to how well it is handled from the
moment of planting through harvesting, transportation, storage, design, construction, and
maintenance. Bamboo harvested at the correct time of year and then exposed to ground
contact or rain will break down just as quickly as incorrectly harvested material.
Maintenance of spreading runners
Regular observations at ground level indicate major growth directions and locations of
rhizomes. In dry and hard soil conditions extending rhizomes will cause cracks in the soil
surface. To facilitate rhizome maintenance it's best to dig a furrow around the bamboo planting
Page 20
and/or plant in a raised mound or bottomless lumber frame box. During "root pruning" of
running bamboo the cut rhizomes are typically removed; however, rhizomes take a number of
months to mature, and an immature, severed rhizome usually ceases growing if left in-ground.
If any bamboo shoots come up outside of the bamboo area afterwards, their presence indicates
the precise location of the removed rhizome. The fibrous roots that radiate from the rhizomes
do not produce more bamboo.
Bamboo growth can be somewhat controlled by surrounding the plant or grove with a physical
barrier. Typically, steel, concrete, and specially rolled HDPE plastic are used to create the
barrier, which is placed in a 60– to 90-cm-deep ditch around the planting and angled out at the
top to direct the rhizomes to the surface; this is only possible if the barrier is installed in a
straight line. Regardless of size of area, blocking bamboo rhizomes as a solution to controlling
running bamboo is detrimental to the health of the plant, and only temporary. Bamboo within
barriers usually become root bound after a few year and start to display the signs of any
unhealthy containerized plant. In addition, rhizomes pile up against the barrier and often
escape over the top or under the bottom. Strong rhizomes and tools can penetrate plastic
easily, so care must be taken. In small areas, regular root pruning maintenance may be the best
method for controlling the running bamboos. Barriers and edging are unnecessary for clump-
forming bamboos, although these may eventually need to have portions removed if they
become too large.
Lucky bamboo
The ornamental plant marketed as "lucky bamboo" is an entirely unrelated plant, Dracaena
sanderiana. It is a resilient member of the lily family that grows in the dark, tropical rainforests
of Southeast Asia and Africa. "Lucky bamboo" has long been associated with the Eastern
practice of feng shui. Images of the plant widely available on the Web are often used to depict
bamboo.
Invasive species
Phyllostachys species of bamboo are also considered invasive and illegal to sell or propagate in
some areas of the US. On a related note, Japanese knotweed is sometimes mistaken for a
bamboo, but it grows wild and is considered an invasive species.
Page 21
STATUS OF BAMBOO IN NORTH EASTERN REGION
As mentioned, India has the second largest reserve of bamboo. Of India’s total forest area of
63.54 million hectares, bamboo, natural and planted, occupies 9.6 million hectares, which is
15.15 percent of the entire forest area of the Country and 2.9 percent of its total area i.e.329
million hectares. NER accounts for more than a quarter of the Country’s total forest area but
covers only 7.7 percent of Country’s geographical area. Also NER alone shares 54% of India’s
bamboo resources. Apart from notified and classified areas, bamboo is cultivated in
homesteads village gardens, agricultural lands and field boundaries. In many States, farmers
grow bamboo on marginal and degraded lands as well. Also vast stretches of land that are
otherwise unproductive are profitably used for bamboo cultivation. In NER, besides forests, the
locals on the non-forest privately owned forestland also harvest bamboo.
The total harvest of bamboo for the NER is 6.45 million tonnes from the non forest area and
privately owned forest land together. Out of the 6.45 million tonnes, the annual harvest of
bamboo is 5.37 million tonnes from no forest areas and 1.08 million tonnes from privately
owned forestland. The recorded Forest harvest from notified forests and unclassified forest for
NER. In other than NER, the annual harvest of bamboo from unrecorded forest harvest from
privately owned forest and non-forest areas are 1.27 &1.66 million tonnes respectively.
Several problems face the NER, in particular, its bamboo sector, which are as below:
1. Ineffective management of poverty: Around 70% of the per capita income in the NER falls
below the national average. The population of the NE States is dominated by tribal groups
living in remote villages with a high incidence of abject poverty. Unemployment is rampant;
the vast majority of the population continues to subsist on slash and burn agriculture
and/or small-scale family and village based activities, many of which depend on bamboo.
2. Unsustainable natural resourced based livelihoods: Many villages depend on the bamboo
resource as an essential means of livelihood. Bamboo is used as a basic material for housing
and is processed into handicrafts, but mainly for domestic use. For lack of other
alternatives, much of the bamboo that is harvested, especially in Assam or Nagaland, is sold
to middlemen of the large paper mills at prices which neither covers the labour cost of
harvesting nor the replacement costs to the forests. In other NE States, where there is an
Page 22
abundance of bamboo (e.g. Tripura, Mizoram and Meghalaya), the economic opportunities
of bamboo are not tapped and potential resources are underutilized.
3. Lack of a market driven approach: The bamboo and cane products that are produced
maintain a very traditional and regional character, and are not in demand in urban markets.
Artisans and producers suffer gravely from a lack of information about products with
lucrative potential as marketable items, nationally and abroad. Manufacturing of products is
not driven by market forces, but rather by the subsistence needs of local communities.
4. Inadequate skills and design techniques: Despite previous attempts to improve skills of
artisans in remote villages, bamboo and cane products continue to be designed for use in
rural areas, and standards of quality, sizing, packaging, safety, etc. are suboptimal and
generally ignored– even by the main factories manufacturing industrial products. Artisans
and producers alike lack the techniques and knowledge that can enable them to direct their
productions efforts towards value-added items with greater market demand.
5. Inaccessibility to markets and services: The vast majority of bamboo and cane producers
operate in the isolated conditions of their villages and rural communities with little or no
access to markets and services present in the region. Producers are not empowered with
the information and networking facilities needed to gain access to technical and/or financial
services and thereby facilitate their penetration of markets.
6. Inadequate models of socio-economic organization and entrepreneurship: The socio-

economic development of bamboo producers, especially at the village level, is stunted by
the absence of entrepreneurial structures allowing them to focus on activities offering
increased profitability and added value. Industrial activities are not based on a value-chain
approach where a win-win situation can be gained by optimizing the economic efficiency of
each process from raw materials sourcing, pre-processing, finishing, marketing, and trading.
On the contrary, the predominant situation is one where each village handles every stage of
production almost entirely on its own, without synergy and cooperation across the sector.
Page 23
BAMBOO VALUE ADDED PRODUCTS AND ITS APPLICATIONS
Bamboo can be processed into different products that are suitable for various applications.
Right from raw bamboo poles to the wastes generated during processing of bamboo is utilized
for value added products. The rhizome is used to curve pictures, the bottom portion of some
selected species is used for converting to flooring and lumber, the middle portion is used for
converting to various primary as well as secondary processed products like slivers, sticks,
window blinds and the like. The top most portion can be used as brooms or by the paper mills
including the branches. The leaves are used for making traditional medicines, bear, etc. For
instance, it is being used
 as food
 as a wood substitute
 as a building and construction material
 for handicrafts
 in tiny and cottage industries
 as a medicinal product
There are numerous other bamboo-based value-added products such as moulded decorative
items, baseballs, bicycles, beehives, containers, surf boards, which have not been considered
because market acceptance for these is yet in a nascent stage. There is no wastage of any part
of bamboo.
Page 24
Competitiveness:
Resource Utilisation
3 Main Sub-Sectors 9 Leaves
Manure, Fodder
Extracts, Medicine
Handicraft
Across Sub-sectors 8 Twigs Brooms
Chopsticks,
Textiles
Toothpicks
7 Top Bamboo poles
sBamboo Scaffoldings/furniture
Shoots
Industrial Blinds, Mats, Carpet
6 Middle upper Chopsticks,
Processing Toothpicks
Handicrafts
Raw Culms Flooring

4 types 5 Middle lower
Laminated furniture
Bulk Products
4 Base Charcoal, Pulp
Medium Value 3 Shoots Vegetable
Premium 2 Sheath & Handicrafts

1 Rhizome
Value
4
Leftovers & Fiber boards
Other processing waste
Charcoal
Pulp
Developing Lumber
Fuels
Products Source: Zhu 2005
(inc
3.1. Round Bamboo: The bamboo culms are utilized in the round form, by sizing to the required
textiles)
length for housing, scaffolding, ladders, furniture, by the paper mills, and the like.
Value-added Products from Round bamboo
SCAFFOLDING
BAMBOO VENEER
ROUNDS PROPS
TRUSS SYSTEM
Page 25
Rounds can be used in scaffolding, as props, for making bamboo veneer and also for making a
truss system in house construction.
3.2. Bamboo Splints: Round bamboo is split into strips and is made round either by machines or
manually. Manually made round sticks are used in making handicraft items, incense sticks,
blinds, ice cream sticks, etc. Similarly machine made round sticks of various diameters are also
used for making handicraft items, incense sticks, tooth picks, chop sticks, blinds, ice cream and
flower sticks, match sticks and the like.
Value-added Forms of Splints
AGARBATTIS
CHOPSTICKS, TOOTHPICKS
SPLINTS
FINE MATS, BEDCOVERS, BLINDS
Splints produced on a large scale can be used to weave mats, bedcovers and blinds.
3.3. Bamboo Slivers: Bamboo slivers are generally of 0.8 mm to 1.5 mm thickness and 20 mm
breadth. These are either machine made or hand-made. These slivers are generally used for
making mats by weaving manually. A typical 8’ x 4’ mat costs around Rs. 30-40 and are used by
the consumers for various purposes. Mats are also used as walls in rural housing. Of now, these
mats are in great demand for industrial use for processing into Bamboo Mat Boards (BMB),
Bamboo Mat Corrugated Sheets (BMCS), Sliver Boards(SB), etc.
Value-added Products from Slivers
Page 26
MATS PAPER PULP
MAT BOARDS, STRIP BOARDS, OTHER COMPOSITE BOARDS
SLIVERS
FURNITURE
GRIDS FOR ROADS
Slivers have a variety of uses ranging from making mats, for paper pulp, in the board industry,
for making furniture and for making bamboo grids for roads. Large-scale sliver-making
operations would therefore be viable.
Property Structural Bamboo Bamboo Mat Plywood

Plywood Mat Board Veneer Composite
6 mm 21 mm
Density kg/m3 750 790 602 553
Strength N/mm 2
Tensile 54 29.5 36.4 32.7

Along 34 29.5 35.8 33.8
Compressive
Along 34 35.3 43.9 24.5
Across 29 35.3 40.2 20.5
Modulus of Rupture N/mm2
Along 49 59.4 68.5 47.7
Across 29 59.4 55.4 30.0
Along 7355 3144 7820 56.9
Modulus of Elasticity N/mm2
Across 3923 3144 3210 25.6
Modulus of 588 6066 3316 600
Rigidity N/mm2
Page 27
On the Bamboo Mat Board or Sliver board, if on both the

ends, wood veneer over which resin coated Kraft paper
is coated, the board becomes very smooth and glossy.
This board is used for shuttering purposes and it can be
re-used for 20-25 times.
These BMB’s or BMCS’s are very strong, dimensionally more stable, Modulus of Elasticity (MOE)
and Modulus of Rupture (MOR) are higher than that of wood ply and comparatively cheaper. A
typical 12 mm BMB is equal in strength to that of a 25 mm wood ply. BMCS are found to be
environmentally very friendly, better thermal insulation and
costwise comparable to that of conventional Asbestos
Corrugated sheets. BMCS are also durable for 15 to 20 years
and can be coated with paints. This is a new product in the
Indian market. As far as SB, these are very high in density (1 or
more g/cm³) and require very high pressure and temperature.
These boards are finding great application in the railway wagon flooring, marine use, and use in
cryogenic purposes like refrigerated vans, etc.
3.4 Bamboo Strips: Bamboo strips are generally 5 mm or more in thickness and width is 22 mm.
These strips are again either made manually or by
machines. Manually made strips are used for making
fencings, used in construction of house walls, partition
walls, weaving blinds, handicrafts and the like.
Machine made strips are used for making various bamboo

based panels like flooring, ceilings, lumbers, etc. Bamboo
based floorings are getting wide acceptance in Europe and
North America as an replacement of conventional wood tiles.
There are various reasons like better look because of the
Page 28
visibility of the grains giving a natural look, environment friendly as this preserves precious
woods like red oak or maple, dimensionally more stable and stronger, cost economics is
reasonable. Similarly, bamboo lumber is also finding greater market for making furniture and
other joints.
PROPERTIES OF FLOORING BOARD
1. Dehydrated compressibility Tangent<0.16;Radial<13;Volume<0.33

coefficient
2. Hydrous inflation coefficient Tangent<3.6; Radial < 2.95;
Volume<1.25
3. Density 0/8g/cm3
4. Anti pressing strength (along the >370 kgf/cm2
grain)
5. Anti-bending strength >800 kgf/cm2
6. Anti-bending elasticity modulus >8600 kgf/cm2
7. Anti-shearing strength (along the >100 kgf/cm2
grain)
8. Anti-tension strength (along the grain) >1000 kgf/cm2
9. Anti-pressing strength (along the >70 kgf/cm2
grain)
10. Anti-bending strength (along the >100 kgf/cm2
grain)
11. Toughness >2 kgf/cm2
12. Temper Top>350 kgf/cm2; Side>300 kgf/cm2
13. Anti-friction strength Stronger than shadlock
14. Anti-insect and anti-mildew treating
15. Humidity Water residue<12%
The strips are also used as reinforcement grids in constructing roads. In the developed
countries, they use plastic based grids for constructing roads which are costly. For developing
countries like India, such use of bamboo grids can enhance the life of roads by one to two time
than without grids.
Page 29
Asphalt
Subgrade
Bam boo Grid
Clay
Fig: Lateral section of a road
The quality of the sub-grade determines the life of the road. The pressure exerted on the road
is dispersed over a wider angle with the presence of the grid just above the clay layer. With the
increase in usage of the road, the clay from the bottom enters the spaces between the stones
reducing the friction between the stones. This in turn reduces the area of distribution of stress
and hence decreases the life of the road. With the presence of a grid between the sub-grade
and the clay, the stress is distributed over a wider area. In most of the developed countries,
they use plastics as the grid which for us is costly. Bamboo is the best option.
Research in Orissa and Maharashtra States for over a decade has shown that bamboo grids can
successfully replace polymer-fibre grids being used abroad for strengthening roads and
extending their service life before the need for patching up or resurfacing. Considering the road
building is going to be accelerated over the next few years, and the new program of road
connectivity to villages there is much scope for this application. Communities already have the
skill to produce bamboo splits, but the dimensional splits need treatment before use, and
fabrication into grids. The national Highway authority of India engaged with building the metro
corridors could also be approached for using bamboo in its construction effort.
3.5 Other Bamboo Based Products: Some of the newly developed bamboo products are :
i) Moulded products: A new technology has been

developed in China where moulded products
are being made from bamboo. Some of these
products are e.g. Shuttles and sticks used in
Page 30
Textile mills. These bamboo-based products are more durable, tough, lower ware
and tear and are cheaper to conventional products made from maple or red oak
wood. By utilizing these bamboo-moulded products, some thousands of cubic
meters of wood are saved annually.
ii) Bamboo Wafer Board: Bamboo Wafer Board is again a new bamboo based product
developed by the Chinese. It has excellent properties and has the potential to
replace wood on many frontiers. The most important aspect of this product is that
the yield of bamboo is 92-90% and only 8-10% is wastage unlike bamboo strip
boards like floorings where the wastage is a high as 35-30%.
BAMBOO WAFER BOARD
MOR(Mp) MOE(Mpa) IB(Mps) 24th TS(%) SHP(N)

PLANE SIDE
UFBW >40 >4000 >0.45 <15 >1200 >1000
PFMBW >40 >4000 >0.5 <12 >1200 >1000
PFHBW >55 >5000 >0.6 <12 >1200 >1000
CaWW >17.2 >3100 >0.35 <20 >840
CaWOSB(Lw) >29 >5500 >0.35 <20 >840
CaWOSB(Cw) >12.4 >1500
UFBWm Ply 25-60 2500-4000 0.30-0.50
PFBWm Ply 28-65 3000-5000 0.30-0.50
UFBW = Bamboo based wafer board using urea formaldehyde resin
PFMBW= Medium density bamboo based wafer board using phenol formaldehyde resin
PFHBW= High density bamboo based wafer board using phenol formaldehyde resin
CaWW= Canadian wood based wafer board
Ca WOSB= Canadian wood based oriented strip board
Lw- Length wise, Cw= Crosswise
UFB, Wm.Ply = Bamboo based woven may plywood using
formaldehyde resin
MOR= Modulus of bending elasticity
iii) Bamboo Based Composites: Bamboo based

composites are made from combinations of
Page 31
bamboo and other materials like wood, jute, glass fibres, plastics to give better
performance results without compromising on the quality where application is being
made. Bamboo wood composites manufactured in different ways are used for
flooring, box wagon train floorings, container floors, etc. The basic difference
between pure bamboo boards and bamboo wood composites is that bamboo is
placed outside so that because of its better scratch proof and shear stress
resistance, it can withstand the outer forces while loading. Inside is of wood which
may be of inferior quality like pine. This combination makes the boards lighter in
weight and cheaper wood than bamboo can be used for better cost economics.
Likewise, bamboo and jute boards can be used for packaging, etc. Bamboo and glass
fibre boards(developed in India by RV-TIFAC, Bangalore) can be used for wider
applications upto corrugated roofing sheets with better results than pure bamboo
mat corrugated boards.
iv) There are many other bamboo based boards which are in different stages of process
parameter development, trial run and development worldwide. Some of these
products are Zaphire Boards, Medium Density Fibre Boards, Cemented Boards and
the like.
Page 32
BAMBOO MARKET AND CONSUMPTION PATTERN
The local community uses bamboo primarily for internal purposes. This is primarily in the
construction of houses. But, at the same time, raw bamboo as well as bamboo-based products
like bamboo furniture, boards and shoot enter the international market for trade. It has been
estimated that the combined value of internal and commercial consumption of bamboo is to
the tune of US$ 7 billion.
4.1 Size of Bamboo Market
‘Global’ Markets 57,000

Size of Current include overall
product markets
‘Global’ Markets into which bamboo
27,000
products penetrate
(USD Millions) 14,000
10,000
6,000 6,500
3,100
390 1,200 1,500
Chop Activate Bambo Charco Bamboo BJ Blind Woo Woo Woo BJC = Builders’ Joinery &
Carbo Shoot Rattan Floorin Panel Furnitur
d o al & C s d d d carpentry
Size ofsticksCurrentn s
Handicraf
3,00 ‘Bamboo’ Markets are
g s e
ts 0 bamboo
‘Bamboo’ Markets components of
(USD Millions) 1,50 Global markets
0 1,10
50 0
30 20
2 6 5 0 10
0 0
Chop
0 Bamb
0
Charco Bamboo BJ
0
Blind Wood Wood
Activat Woo
ed oo al C s d
stick Handicraf Furnitu Floori
s Carbon Shoot ts Panel re ng
If the consumption of raw bamboo
s is taken, the total global market for bamboosexceeds US$ 10
billion. Out of the US$ 7 billion, China captured about US$ 5.5 billion per year and the share is
growing alongwith increase in the market.
Page 33
9.2 Present Bamboo Market in India
(in million tonnes)

Uses Of Bamboo Total
Paper 2.50
Internal Consumption 1.35
Scaffolding 3.40
Illegal exports to neighboring countries like Bangladesh 1.70
and Myanmar
Handicrafts 2.55
Miscellaneous 1.97
TOTAL 13.47
Current Consumption of Bamboo
Paper
15% 18% Internal consumption
Scaffolding
19% 10%
Informal exports
Handicrafts
13% 25%
Miscellaneous
Page 34
Composition of industry in 2014 Legend Segment Amount
(Rs. crore)
1
6% 0%
2 1 Internal consumption 35
5%
3
11% 2 Bamboo ply board 1611
16% 4
8%
6% 5 3 Bamboo pulp 788
4%
4% 4%
6
19% 4 Bamboo furniture 440
7
10%
8
7% 5 Scaffolding 410
9
6 Bamboo roofing sheet 982
9.3 Utilization 7 Roads 714
The 13.47 million tonnes of bamboo harvested annually gets utilised8 industrially
Handicrafts in paper mills,
1888
as scaffolding, in fencing, for internal consumption in bamboo-growing

9
households, handicrafts436
Industrialised handicrafts
and miscellaneous items like incense-sticks, ladders, ice-cream sticks, etc, However, again, no
10 Agarbatti sticks 625
reliable estimates of quantities are available for any of these items. Experts in the paper
11 Flooring 1091
industry have indicated that 25 per cent of the raw material requirement of the industry is
12 Export to neighbouring
currently met through bamboo and the quantity of wet bamboo required for this purpose is 2.5453
countries
million tonnes annually. The primary survey has indicated that 8-10 per cent of the total harvest
13
of 13.47 million tones, is consumed by individual households internally, Bamboo
whichshoot
translates to 1.35655
million tonnes approximately. The handicraft sector uses 2.55 million tonnes of bamboo per
10128
year which is also used for making incense-sticks, ice-cream sticks, toothpicks, chopsticks,
Data Source: UNIDO
agricultural props in fields, implements and tools, ladders, lathis, walking-sticks, fishing rods,
boat masts, bows and arrows, flag poles, paddles, kites, fire crackers, etc About 1,000,000
million incense-sticks weighing one million tonne are produced annually. Each incense-stick
consists of one-third quantity of bamboo stick, jigat and charcoal by weight. To produce 1 kg of
bamboo sticks, for incense-sticks, 2 kg of bamboo is needed. Thus 0.67 million tonnes of
bamboo is consumed by the incense-stick industry. The value of the ladder industry is in the
range of Rs 58 crore which is equivalent to 0.29 million tonnes of bamboo. The total value of
3.4 million tonnes of bamboo used for scaffolding is Rs 340 crore annually. Biers used for the
dead consume 0.08 million tonnes of bamboo. Of the total harvested quantity of 13.47 million
tonnes, 11.77 million tonnes is used as mentioned above. The balance of 1.7 million tonnes
Page 35
could be possibly accounted towards the illegal trade to neighbouring countries like
Bangladesh, Nepal and Myanmar.
There are vast bamboo resources available for commercial exploitation. The varieties that grow
in our country lend themselves to most commercial applications. Almost Rs 5000 crore worth of
raw bamboo is available in the NER alone (54 per cent of 90 million tonnes). Even a twofold
value addition can create an industry worth Rs 10,000 crore in about five years.
9.4 Food Processing Industry

Bamboo is used by the food processing industry for making food and beverage products, viz,
bamboo juice, bamboo beer and bamboo shoot. While bamboo juice and bamboo beer have
yet to be commercialised on a large scale, the bamboo shoot market outside India is very well
developed. Commercially exploitable species of bamboo shoots are widely available all over
India. Processed bamboo shoot fetches a premium price in the market-place and is in second
place in the value addition chain (just after handicrafts) offering the opportunity of a high
extent of value addition on raw bamboo. The total international export market for bamboo
shoot has been estimated at $ 720 million, which is equivalent to Rs. 3600 crore. A 5 per cent
penetration in the export market would yield a market of Rs 200 crore for the Indian bamboo
shoot processing units to start with. The estimated size of the industry in the year 2017 will be
Rs 4272 crore.
9.5 Wood substitution
During the year 2000,of a total consumption of 60 million cubic metres of industrial wood, 25
million cubic metres was reportedly produced by the forest department and 20 million cubic
metres is imported from older countries with an estimated value of Rs. 10,000 crores. The
annual growth rate of wood imports has been steady at 10 per cent over the period 1999 to
2001 which constitutes 30 per cent of the value of the total industrial wood consumption i.e in
the range of Rs 30,000 crore per year. The market has so far not looked beyond imports for
meeting the demand for wood. One such solution that is gradually gaining acceptance in the
market is the development of composites. Though the effectiveness of these composites has
been proven in the laboratories, the industry has not used many of the composites even on a
Page 36
trial basis. All the alternatives put together do not account for more than 10 per cent of the
total consumption of industrial wood.
Bamboo as a wood substitute offers an immediate market opportunity of Rs 2000 crore.

However it has so far not been universally recognized as a substitute for wood. The usage of
bamboo has in fact been established conclusively for categories that consume larger volumes of
wood, such as paper pulp, plywood, construction and furniture. Bamboo-based intermediary
products, for instance, bamboo ply board, bamboo flooring, bamboo pulp and bamboo
furniture can be used by most of them. Bamboo board can be used to make school, office and
showroom furniture, table tops, and other surfaces that require high durability. Bamboo can
substitute wood for making furniture. Assuming the price of wood to be Rs 1300 per cubic foot
and bamboo penetration of as much as 40 per cent, this market would have a potential to
increase to nearly Rs. 3265 crore by the year 2017.
9.6 Bamboo board and flooring market
The use of bamboo board for shuttering purposes has gained approval from architects. Sleepers
made of bamboo can be used in areas like bridges and crossings, particularly in the NER. RDSO
of the Ministry of Railways is interested in exploring the possibility of making sleepers from
bamboo. The market for bamboo sleepers has been estimated at Rs 22 crore per annum. The
use of bamboo boards for truck bodies is also being considered. The total market potential for
bamboo-based board is Rs 125 crore annually. A penetration of 15 per cent would yield a
market of Rs 20 crore annually from truck body building. In the NER alone a market of Rs 5
crore can be targeted. The market potential for bamboo-based boards from substitution of
plywood, used as shuttering in the construction industry, in railway sleepers and coaches and in
truck body building is estimated at Rs 1000 crore. The industry size in the year 2017 is expected
to be Rs 3408 crore. Units for making bamboo board can be set up in the entire NER, and Uttar
Pradesh, West Bengal, Maharashtra and Karnataka due to availability of more bamboo species
in each of these states.
Bamboo flooring is an attractive alternative to wood or laminate flooring and provides for a
value addition of 5.8 times over raw bamboo. There is a Rs 750 crore or US$150 million
international market which is growing at the rate of 50 per cent per annum. A market
Page 37
opportunity of Rs 100 crore can be realised in the export market. The size of the domestic
organised flooring market has been estimated at Rs 1500 crore for all types of premium
flooring. Architects have opined that since supply creates its own demand, it would be possible
for bamboo strip flooring to capture 5-6 per cent of the market. This will result in a domestic
market size of Rs 100 crore to begin with. A market size of Rs Rs 1950 crore is expected by the
end of 2017. Bamboo flooring board units can also be set up in the whole of the NER, and in
Uttar Pradesh, West Bengal, Orissa, Maharashtra and Karnataka. Each flooring board unit will
have a turnover of Rs 5 crore. There is a potential of setting up 40 units to address a market of
Rs 200 crore.
9.7 Structural application in infrastructure
Bamboo is structurally stronger than steel. At the same time, it is light-weight, easily workable,
and has vibration damping and heat insulation properties. Structurally, bamboo can find
application in three main types of structures: scaffolding, housing, and roads.
The construction industry is expected to grow at the rate of 9 per cent CAGR up to 2011. The
bamboo scaffolding industry would grow by at least one half of this rate because it is used a
minimum of twice in a single construction. Accordingly, the value of the scaffolding industry
would be Rs 588 crore in the year 2011 and Rs 861 crore in 2017.
The current size of the housing segment in bamboo usage is based only on utilisation in internal
consumption, which accounts for 1.35 million tonnes of the total consumption of 13.47 million
tonnes. There is no value addition, bamboo being used in its raw form without any treatment or
finishing. Used in Costa Rica, bahareque would be an ideal material for use in rural housing. For
a standard rural house of 433 sq. feet and walls 10 feet in height, the total amount of bamboo
that would be needed is approximately 1 tonne. The cost of the bamboo required for making
the walls and roof would be Rs 6000. (Bamboo used for such purposes has to be treated with
preservatives.) The cost of other materials and the cost of construction would not be more than
Rs 20,000. The cost of constructing a rural house of standard size 433 square feet would be Rs
32,000 presently.
Page 38
The total potential market for bamboo for construction and repair of semi-pucca houses thus
works out to Rs. 725 crore. Assuming that initially only 35 per cent of the households use
bamboo, there is a market of Rs 250 crore which exists in the housing sector. The opportunity
for using bamboo as a structural material amounts to Rs 100 crore in the NER alone. This
market could be much higher if the growth is fuelled through schemes like the Indira Awaas
Yojana (IAY).
In a structural application, slivers are used to make grids for reinforcement of roads. This
increases the life of the road at least twofold. There is 0.27 million km of road length currently
operational in India which is need for maintenance. New roads are also being planned and
constructed. The most prominent programme is the Prime Minister’s Gram Sadak Yojana. The
annual value of this market is thus estimated at Rs 274 crore with the use of bamboo grids for
different road type market size would grow by at least 25 per cent per year with increased
penetration in the total market and greater acceptability of the product. A total market size of
over Rs 1000 crore has also been envisaged by 2017.
9.8 Handicrafts
Cane and bamboo handicrafts currently account for Rs 360 crore, which mainly consist of
baskets for packaging vegetables and livestock, moorahs (stools for sitting), smaller baskets,
trays, etc. The overall penetration of handicrafts in middle and upper-middle-class homes is as
high as 16 per cent. There is a domestic market potential of Rs 500 crore which is lying
untapped largely because of limited variety and underutilised distribution channels. A public
awareness campaign to promote the use of bamboo baskets for different purposes like fruit
trays, kitchen utilities, laundry, storage and dustbins could be undertaken to draw customers.
9.9 Agarbatti Industry
The current value of the agarbatti industry is placed at Rs 1800 crore. The rate of growth has
been more than 20 per cent on a year-to-year basis, with production in the region of 1 million
tonnes. There is potential to increase the market further to another Rs 30 crore by mechanising
the splint making process and increasing production. The market for the miscellaneous items
can be increased by another Rs 40 crore using mechanised processes and promoting the use of
Page 39
bamboo in place of soft wood. The ladder industry which is currently valued at Rs 65 crore,
could increase by another Rs 15 crore in the next two years. The pencil industry is interested in
a wood substitute material like bamboo to reduce their dependence on the forest department.
There is a market potential of 5 per cent of Rs 800 crore, which can be successfully targeted. If
10 per cent is the value of the bamboo in pencils, the total would be Rs 4 crore. Similarly, The
present value of the match industry is placed at Rs 550 crore; assuming a 10-12 per cent
replacement, there is potential of Rs 6 crore which can be realised from the above. The total
size of the agarbatti, pencil, matchsticks, ice-cream stick, venetian blinds and other
miscellaneous items market would be Rs 600 crore, up from the present size of Rs 394 crore.
9.10 The Bangladesh Market
The market opportunity that exists for the bahareque structure in the rural housing market in
Bangladesh is Rs 78.4 crore. There are two options available for the same
1. The bahareque can be manufactured as a finished product in the NER and exported to
Bangladesh;
2. The intermediate products such as bamboo slivers and flattened strips can be treated
and sent to Bangladesh and the finished products can be made there.
Under option one, the opportunity can be fully realised by India. The cost of the finished
product consisting of bamboo worth Rs 78.4 crore is Rs 130 crore. However, Bangladesh may
not find this proposition convincing since it would not help employment and income
generation. The second option would benefit both India and Bangladesh. The value of
processed and treated bamboo slivers and flattened strips is Rs 78.4 crore. This option would
thus be advantageous to both countries in terms of employment and income generation for
rural households and also provides a more durable construction material. The annual market
potential can be set up for bamboo mat corrugated roofing sheet at Rs 112 crore as Joint
ventures between the two countries with equity participation of 50:50.
Currently, Rs 180 crore is being spent by paper mills in Bangladesh. Of this, transportation cost
for 1.2 million tonnes (at Rs 400 per tonne is Rs 6000 per truck) is Rs 48 crore. If 0.75 million
tonnes of slivers priced at Rs 1500 per tonne, are sent through legal channels, Rs 112.5 crore
Page 40
would accrue to the grower and the total cost to the paper mills would be Rs 142.5 crore as
against Rs 180 crore at present. A net saving of Rs 37.5 crore would accrue to the paper mills
annually. The prospects of setting up bamboo board and flooring units are not promising in
Bangladesh. The model suggested for Myanmar is for units to be set up with 100% buyback by
Myanmar traders. This would enable them to develop an export market for the products
through this channel. There is immediate scope for three bamboo flooring units and three
bamboo mat board units in a 50:50 equity partnership with the wood trading community. The
bamboo industry in India can grow to an astounding Rs 26,000 crore (US$ 5000 million) by the
year 2017. This would be very close to the likely size of the bamboo industry in China at that
time.
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SIZE OF THE VALUE ADDED BAMBOO BASED INDUSTRY
The annual market opportunity for value-added bamboo products has been estimated at Rs
4463 crore. This is in addition to the usage of Rs 2043 crore that already exists. There is scope
to increase the size of the industry by at least 2.2 times to begin with. Over the next two years
and with the acceptance of bamboo as an industrial and commercial product, the projected
rate of growth could be as high as 20 per cent per year, particularly when bamboo is seen as a
viable replacement for wood as well as a reinforcement material. The bamboo industry in India
can grow to an astounding Rs 26,000 crore by the year 2017. This would be very close to the
likely size of the bamboo industry in China at that time.
Consistent supply of processed bamboo is the key to the growth and development of this
industry. Some units that were established for manufacture of bamboo board and units
established for large- scale orders of handicrafts and furniture were prematurely closed down
due to non-availability of raw materials on time. Channelization of raw materials into the
manufacturing systems would be the prime driver of the industry. The assurance of a steady
market would, however, take care of this aspect and lead to a market-led growth. Table below
reflects the current market size and the potential in 2004 for each bamboo-based industry.
Expected Size of the Value-added Industry

Industry Quantity Existing Additional Additional Total Additional Value Value of
of Size of the Size Size additional Quantity addition bamboo
bamboo industry Expected Expected market of factor in Rs
(in (Rs Crore) (Rs (Rs crore) Expected bamboo number crore
million (pertaining crores) Domestic (Rs crore) required of times
tonnes) to bamboo Export 2006-07 Domestic in million
usage) 2006-07 & Export tons
2003 2006-07
BAMBOO AS FOOD
Bamboo shoots 8.18 4.8 225 100 325 65 16.7
(million kg)
BAMBOO AS WOOD
Bamboo flooring 100 100 200 0.35 5.8 35

Bamboo board 1000 1000 3.12 3.2 312
Bamboo pulp 2.5 250 740 740 3.7 2 370
Bamboo furniture 280 280 1.4 2 140
BAMBOO AS A BUILDING AND CONSTRUCTION MATERIAL
Scaffolding 3.4 340 68 68 0.68 1 68
Housing and 250 250 0.5 5 50
Page 42
temporary structures
Roads 300 300 0.6 5 60
BAMBOO AS HANDICRAFT
Handicrafts 2.55 765 500 500 0.25 20 25
BAMBOO AS A TINY AND COTTAGE INDUSTRY
Agarbattis, 1.97 394 600 994 2.00 3 200
matchsticks, pencils,
looms
Internal consumption 1.35 33.75
BAMBOO JOINT VENTURES WITH NEIGHBOURING COUNTRIES
Exports to 1.7 255 200 200 0.62 3.2 62
neighbouring
countries
13.47 2042.55 4463 13.22 1322
The consumption of bamboo (13.47 million tonnes) valued at Rs 2042.55 crore can be increased
by 1322 million tonnes with immediate effect. As can be seen from the Table 3.5.1, the
consumption is highest for low-value-added products, with paper and scaffolding accounting
for 49 per cent usage followed by illegal exports which fetch 1.5 times the domestic price for a
single bamboo. Internal consumption by way of making walls for houses and fencing is next in
the order. Even though handicrafts are high-value-added items their share in the overall use of
bamboo is low. This suggests a huge market potential that can be tapped.
The size of the existing industry has been arrived at by taking the quantity of bamboo used for
each application and the price per tonne at which it is sold to the industry. The price per tonne
of handicraft products sold to the industry by local artisans is three times the cost of the
product. This has therefore been approximated at Rs 3000 per tonne.
Page 43
INDUSTRIAL ATTRACTIVENESS
The total potential of the value-based bamboo industry is Rs 4463 crore as against the current
value of Rs 2043 crore. While there are many industries that can use bamboo, some are more
ready to accept the product while some need to be convinced more. Evaluated in terms of
market readiness and industry size, we obtain a 3 X 3 matrix of industry attractiveness (Figure
below).
It is indeed a very good opportunity that has emerged. There are as many as seven industries
that have markets in the stage of high readiness to accept the product. This is because the
industry or the process is already developed and the cost benefit would accrue to the industry
immediately. For example, the industry with the largest potential is the bamboo board industry
in the NER because it can use the equipment, distribution channels and markets of the sick
plywood units which have been forced to shut down due to raw material non-availability. These
units will be more than happy if they are able to utilize their existing infrastructure.
Interestingly, a high level of opportunity exists not only for large units such as bamboo board
but also for medium-sized projects such as bamboo flooring and bamboo shoot. This can attract
medium and large investors to the industry. Moreover, for each of these industries primary
processing is done by the growers, thus making them an integral part of the value-added supply
chain.
The market opportunity of each industry has to be realised through a well-designed marketing
strategy; comprising a well-defined product, the manufacturing process and the showcasing of
the products to the business community. Each product would need to be marketed by the
business community using market penetration, and awareness-creation strategies like
participating in industry events and motivating the distribution channels. For participation of
the community and the industry initiatives will be required at the social, political and policy-
making levels. The requisite infrastructure consisting of bamboo processing zones, established
bamboo markets, buy-back arrangements and assurance of supply have to be in place.
Page 44
Expected growth
Each of the value-added industries, that has been identified would pursue a growth rate based
on the demand for the products. The demand in turn would be based on the increased
acceptability of the products in the international and domestic markets. The demand would be
a function of:
 Increase in the cost of substitute materials such as wood, steel and other building
materials
 Recognition of the high durability of bamboo-based materials
 Community appreciation of bamboo as a sustainable livelihood crop and their increased
acceptance of the same
 Mass usage of bamboo in government projects like housing and roads
 Acceptance of bamboo as a material for flooring and furniture making as well as a food
item among the higher-income groups
The highest growth is expected in the bamboo shoot processing and bamboo flooring
industries. The other industries are, on the other hand, long established and the growth of their
bamboo-based component would be a function of the rate at which these industries switch to
bamboo and the rate at which they are growing. Therefore, the growth rate would be much
lower compared to the bamboo shoot processing and flooring industries.
A growth rate of 0-15 per cent per year is expected in the furniture, paper, scaffolding,
handicrafts, agarbatti and pencil industries. Similarly, with the acceptance of bamboo as a
structural material its usage in road construction and housing construction, which may increase
at the rate of 10-15 per cent in the initial years, is likely to go up to 20 per cent after a few years
once the durability of the material has been established. The acceptance of bamboo as a wood
substitute and of bamboo board as a substitute for plywood is likely to lead to a growth rate of
at least 25 per cent per year, since the present low usage is primarily on account of low
awareness.
Illegal exports can be channelized through legal agreements with the neighbouring countries.
The value-added industries can be set up as joint collaborations with these or there can be
Page 45
ventures for establishment of bamboo plantations, particularly in Nepal and Bangladesh.

Presentations made in these countries elicited a high degree of interest from the business
communities.
The Table below shows the growth rate of all the value added industries that have been
studied. The year 2006 has been taken as the base year when the industry would attain a size of
Rs 6500 crore, up from Rs 2000 crore in 2001. Thereafter, the expected size of the industry till
the year 2017 has been estimated. The expected growth rates have been based on primary
interviews with industry experts. Accordingly the size of the industry expected in the year 2017
would be Rs 26,000 crore.
Expected Size of the Value-added Bamboo Industry in India, 2004-2017(Rs. in crore)

Industry Size of the Industry in:
industry (pertaining
Existing size of the
to bamboo usage)
market expected
additional
(Domestic and
Export) 2005
200 200 200 20 20 201 201 201 201 201 201 201
Total 2004
6 7 8 09 10 1 2 3 4 5 6 7
Bamboo 4.8 32 329 396 475 57 68 855 106 133 173 234 316 427
shoots 5 .8 0 4 9 6 6 4 5 2
(million kg)
Bamboo 0 20 200 230 265 30 36 438 526 657 854 111 144 194
flooring 0 4 5 0 3 9
Bamboo board 0 10 100 110 121 13 14 161 177 194 224 257 296 340
00 0 0 0 31 64 1 2 9 1 7 4 8
Handicrafts 765 50 126 139 153 16 18 203 224 246 283 326 374 431
0 5 1.5 1 84 52 7 1 5 5 0 9 2
Paper 250 74 990 103 109 11 12 126 132 142 156 172 189 208
0 9.5 1 46 03 4 7 6 9 6 8 8
Scaffolding 340 68 408 428 450 47 49 521 547 588 647 711 782 861
2 6
Agarbattis, 394 60 994 109 120 13 14 160 176 193 217 245 275 310
ruler 0 3 3 23 55 1 1 7 9 2 8 3
matchsticks,
pencils,
Housing and 0 25 250 288 331 38 43 503 578 665 765 879 101 116
temporary 0 0 7 1 3
structures
Internal 33.75 0 33. 35 37 39 41 43 45 47 50 52 55 58
consumption 75
Exports to 255 20 455 500. 550. 60 66 733 806 887 975 107 118 129
neighbouring 0 5 55 6 6 3 0 8
countries
Page 46
Roads 30 300 330 363 39 43 505 581 668 768 883 972 106
0 9 9 9
Wood 28 280 350 438 54 68 854 106 133 166 208 260 326
substitute 0 7 4 8 5 9 6 8 0
TOTAL 2042 44 650 718 794 88 97 10,9 12,3 13,9 16,2 19,1 22,5 26,8
.55 63 6 2 3 01 87 64 20 60 88 55 86 40
Page 47
FUTURE PROSPECT OF BAMBOO IN NORTH EASTERN REGION
The NER, till 1996 was producing about 2/3rd of the country’s total Plywood production by
about 70 nos. of odd Plywood Mills. However, simultaneously there was rampant destruction of
the forests in an unsustainable manner where ultimately the Hon’ble Supreme had to intervene
and imposed ban on felling trees in the last part of 1996. Since then barring a few handful most
of these plywood mills have shifted their base from NER to other places or have closed down
and sold their machineries or getting corroded.
If the potential of bamboo could be harnessed properly, the NER could again lead the country
in manufacturing and supplying various bamboo based products including engineered bamboo.
The present bamboo market in the region is estimated to be around Rs. 1500 crore and are
mostly confined to low value added products like scaffolding, fencing and other traditional uses
except the handicraft sector where the value addition of bamboo is highest. Now, the Cane and
Bamboo Technology Centre in association with the North Eastern Council have drawn up an
ambitious plan of fifteen years. This includes three Phases and each Phase comprising of five
years- Inception Phase, Growth Phase and Consolidation Phase. The ultimate goal is to shift the
trends from low value added products to high value added product thereby attaining an annual
turnover of Rs. 9000-10,000 crore. The diagram below indicates the shift:
Page 48
NER Bamboo markets in 2020 ~ Rs. 8-10,000 cr. pa

9000
Rs. 9000 cr
Growth depends on: Other
8000
Panels
7000
1. Wider global growth
Flooring
2. Bamboo penetration Non Laminated
6000
Market Traditional45%
5000 into ‘global’ markets Furniture
Traditional
4000 Rs. 1500 cr
5% Incense sticks
Furniture
3000 Shoots
Traditional Blinds
2000
95% 55%
Handicrafts
1000
0
2006 Scenario 1: Zero Growth 2020 Scenario 2: Mid-level Growth
Growth scenarios Inception Consolidated Phase

Phase
The potential of the value-added bamboo industry in India is strongly validated by the market
size figures for each application. This untapped potential can be realized with a planned
penetration in all the identified markets.
The bamboo-based value-added products industry is likely to exhibit a 15 per cent CAGR in the
years 2004 to 2017 – the market which is Rs 2000 crore at present will grow Rs 26,000 crore in
2017. The industry consumed 13.47 million tonnes of raw bamboo in 2003. It would use
another 13.22 million tonnes by the year 2005. All the industries can take off immediately.
The most appealing aspect of the industry is that with a few simple forms like slivers, rounds,
strips and splints numerous value-added applications can be achieved. The start has to be
made at once, the opportunity to leverage the vast bamboo resources is real – but it has to be
realised.
Page 49
BACKGROUND OF THE PROJECT
National Bamboo Mission, Environment, Forest & Climate Change Department, Government of
Mizoram is hereby submitted a project proposal for Setting up of Integrated Bamboo Industry
to the National Bamboo Mission, Government of India. The project will integrate bamboo
vertical glue board making, round agarbatti making and bamboo charcoal briquette making
respectively along with various bamboo by-products without depositing no waste from the
bamboo resources. The project will be implemented by RK Firm Pvt Ltd, Aizawl under the
supervisory of State Bamboo Mission Society, Environment, Forest & Climate Change
Department, Government of Mizoram. So, State Bamboo Mission Society, Environment Forest
& Climate Change Department Executive Agency through Private Entrepreneur.
The Industry will be set up at West Lungdar, Mamit District with an area of 4 hectares to be
provided by the promoter.
The executing agency will be National Bamboo Mission Society, Environment, Forest & Climate
Change Department, Government of Mizoram wherein the implementing agency will selected
private entrepreneur. The implementing agency will be registered in UAN and managed by a
group of highly educated people who have a lot of experiences in bamboo sector in Mizoram
State with pursuing the following aims and objectives;
1. To make systematic approach in harvest of bamboo resources by bamboo based industries.
2. To obtain fund, assistance, loan, advances to the individuals, group, firms or organization
having object similar to that of the Agency.
3. To start, encourage, assist, lease, carry on and venture jointly bamboo based industries and
to carry on trade or business in such industries and bamboo based activities and in the
matter incidental to such trade or business.
4. To encourage, assist and undertake bamboo based trade or business or profession or work
for all round economic upliftment of the people and to encourage such action for
discontinuation of ‘Jhum System of Cultivation’.
5. To encourage, assist and undertake scientific management of natural bamboo resources for
economic upliftment of the people and for protection of environment and ecology.
Page 50
6. To encourage, assist and undertake plantation of suitable variety of bamboo genera and
species for degraded and non-forest areas.
7. To undertake any work, programme and function in bamboo sector development and
related fields.
The nature of the project can be concluded that partly regional and of partly confined to the
single state specifically. The implementing agency is needed to procure machineries from other
states as Mizoram state has not produced the required machineries till date. In this regard, the
project covered wider area beyond the boundary of the state.
In regard of raw materials, the implementing agency may also collect from Mizoram and the
nearby states like Assam, Manipur, Tripura, etc. so as to make them benefiting the project. The
products will also be sold to the big buyers from other states. Though the project is to be
implemented within the state of Mizoram for uplift of the economy, but the activities of the
project cannot be confined to the state of Mizoram only. The project is a pilot project in NE
States.
There is no convergence with other state schemes/CSS/CS built into the project. The idea of
setting up of integrated bamboo industry is a new venture and convergence with other
schemes may not be possible.
In order to wipe out the prevailing problem, systematic manner of utilization of bamboo
resources has to be adopted. Though some bamboo based industries are already set up in the
state, but shortage of raw materials and heavy disposal of wastages make the stronghold of
these industries.
First, in order to cure the shortage of raw material in the state where abundant natural
resources are found, it is needed to adopt a systematic manner of supply chain of raw
bamboos. In this regard, cluster based approach has to be entertain in the villages level for
which the villagers will be grouped to form clusters. The village councils may also be interfered
to reserve the area of where bamboos are grown so as to adopt systemic harvest of bamboo by
the members of the clusters.
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Second, in order to avoid heavy disposal of wastage from the factory, innovative wastage
management practice has to be adopted. In order to utilize the raw materials without disposal
of wastage, bamboo charcoal briquette along with its by-products like bamboo vinegar,
charcoal powder for aggarbatti, bamboo soap, etc.
There are enough reserves of bamboo supply for the required quantity of raw materials. It is
proposed that bamboo will be cut by villagers. They will sell bamboo directly to the unit
through collection centres. It is proposed that villagers temporarily stocked the already cut
bamboo on the side of truck able road and the same will be collected by the unit with trucks. In
the meantime, villagers may also sell bamboo directly at the collection centre godown.
Necessary royalty will be paid by the unit to the government. The systems will relief the
villagers from extra burden for clearing royalty in addition to their hard labour. It is also expect
that the maximum interest of villagers may be drawn in the project.
It is also proposed that collection centre may be utilized as raw material banks for the unit. The
unit will have 4 Nos. of collection centre in rural areas and whatsoever the stock will be the
reserve raw materials for the unit. The collection centre will feed the unit sufficiently
throughout the year.
Page 52
PROJECT OBJECTIVES
The main objective of the project is to make available various bamboo products at reasonable
price to the market and promote elegant products and help utilize the full employment
potential of the sector.
Monitorable Target:
The followings monitorable targets are set as guiding principle in framing the project:
 To increase the contribution of bamboo sector toward the State Gross Domestic Product
by 1.1% and Per Capita Income by 1.2 % respectively within 5 years cycle of the project.
 To increase numbers of units participated in bamboo production by 0.5% of the present
numbers of units involved in the bamboo sector within 5 years of the project cycle
 To extend the operation of the existing bamboo based industries in the State 0.2%
within three years cycle.
I. Economical Gain
1) Direct Employment Generation :
The project will employ unemployed youth for workers in the sections of bamboo boards unit,
bamboo round agarbatti stick unit and bamboo charcoal briquetting unit directly so as to
remove unemployment problem in the surrounding areas. All these directly generated
employees are deemed to have handsome and regular income by way of salary. Thus, it will not
only solve an alarming unemployment but rather provide them status and income.
2) Indirect Employment Generation :
In this project, it is assumed that the raw materials, which are bamboo mainly, will be collected
by the villagers and sell to the factory or to the vendors or form a society to sell in wholesale to
the factory. The villager can collect bamboo at free of costs and make into a valuable income
generating source, by paying appropriate royalty charge to the Government. Thereby, the
Page 53
present forest fire and cutting and burning of the forest for the purpose of jhum cultivation will
be voluntarily controlled by the villagers with the inborn gift of service to people and other
called “Tlawmngaihna”.
3) Owner`s Profit :
At present, Mizoram is non-industrial state and few and small tiny scale industries that are set
up in Mizoram require procurement of raw materials inwards from other places outside the
state. As there is no industry in the state, the main occupation of the citizen is uneconomical,
primitive and environment hazardous agriculture system of shifting jhum cultivation, followed
by underemployed and overstaffed State Government employment, purchasing and readymade
materials for other parts of the Country and aboard and a limited quantity of contract and
supply work of the Government.
Once this project is implemented, the owner will generate wealth from a raw- materials plenty
available and wasted every year, which will contribute to the wealth of the State as well as the
Nation.
4) Return for the State :
When this project is implemented, forest can be preserved in a proper manner and the
Government will be in a position to collect forest royalty on bamboo in amore proper manner.
The huge bamboo reserved which are now destroyed will earn revenue for the State and the
Country, and the extra income that will be generated with full of benefits for its citizen is
expected to be multiple.
Moreover, the total annual turnover of the project is projected to Rs. 691 lakh which inversely
will increase the GDP, per capital income of the state.
II. Environmental Benefits

The forest are destroyed in alarming rate and the environment is destroyed which need
urgent attention and care. Environment is one of the most concerns now in the whole
world and its protection is one of the foremost works of the Government. The forest
and environment destruction has been largely due to the followings:
Page 54
i) Destruction of forest by forest fire, fir the jhuming cultivation which is prevalent in
Mizoram. This cannot be stopped without proper alternative as the jhum cultivation is
one of the major occupations of the people. By this project, the people will be given
not only an alternative but more profitable income, simultaneously safeguarding the
forest and its environment. Natural forest fire destroying wood and bamboo will be
voluntarily controlled by the people as the bamboo will be their valuable source of
income.
ii) Timbers and wood takes many years to attain its maturity, at the least 50 years,
whereas bamboo attains its maturity within a span of only 3 years. Besides, bamboo is
evergreen and easily grown. So, utilization of bamboo does not neither affect the forest
nor the environment.
iii) The supply of wood in the whole of India and Mizoram is deficient and India has to
import a lot of India from foreign countries at a huge cost affecting the economy of the
Nation. The use of wood in construction works, in miscellaneous works like toothpicks,
chopsticks, incense sticks, blinds etc. adds to the deficiency of wood and timber. This
result in use of sub-standard timber and wood products also. Substituting the use of
timber by the eco-friendly bamboo is a recommendable task.
iv) Majority of the people living in the rural areas of the state are solely depended on
agriculture. The present system of agriculture adopted by the people is shifting
cultivation. Year by year this system of cultivation had severely damaged the
environment. Since there is no other choices, majority of the cultivators had to stick to
this uneconomic, unprofitable system of cultivation till date. To tackle the present
system of occupation pattern the project will give awareness on handloom and
tailoring by implementing the business operation to the common people who are
engaged in shifting cultivation. It is estimated that implementation of the project may
have great impact on environment of the state by changing occupational pattern of
Page 55
environmental destructive cultivation of the rural people with bamboo and its related
productions which have wide range and scope.
Page 56
PROJECT METHODOLOGY
Even though the state has many bamboo resources explored or unexplored, the need of the
hour is to utilize these resources in the most fruitful way in order to uplift the economy of the
state. In this concern, Integrated Bamboo Industry, an integration of Bamboo Board Unit,
Round Agarbatti Stick Unit and Bamboo Charcoal Briquetting unit will be the answer to the
needful as it will utilize the bamboo resource without any wastage. Suppose, Bambusa Tulda
(Raw thing), Dendrocalamus Longispathus (Rawnal), Dendrocalamus Hamiltonii (Phul rua), thick
Melocanna Baccifera (Mau tak), etc. will be cut from the plantation or forest area, of which the
thicker portion (12 ft) will be processed for bamboo boards, the left portion (12 ft onward) will
be processed for round agarbatti sticks. Then, the leaves and the stems along with wastages
from the production of bamboo boards and round agarbatti sticks will be processed for
bamboo charcoal briquette.
In this approach, no wastage will be disposed and no bamboo will be cut for unreason. Bamboo
pole along with its leaves will be utilized for production of bamboo board, round agarbatti
sticks and charcoal briquette so as to attain the most economical utilization of bamboo
resources. Most of bamboo based industries in the state always disposed a large portion of
bamboo pole as wastages. In order to remove disposal of large portion of bamboo pole,
Integrated Bamboo Industry has to be set up to utilize bamboo from the cutting point towards
its very end along with its leaves.
The main intention of the project is the utilization of eco-friendly materials viz. Bamboo, which
is now in abundant supply and wastes annually by burning in jhum cultivation, destroying the
valuable green forest which needs numbers of years to attain its natural condition. This
utilization of bamboo will be benefitted at the foremost by the villagers who are now at below
the poverty line. It has got quite a promising potential of creating employment directly and
indirectly simultaneously enhancing the overall economy of the State, the Nations and its
beloved citizens.
Page 57
I. Bamboo Vertical Board

Bamboo is split, made rectangle, planned, sliced, treated, hot pressed using glue, surface
finished with polish and coating and carbonated, to produce bamboo board. The board thus
produce can be of certain length, varied cross section and surface finish. This can be used for
flooring, wall paneling and wall, structural elements, furniture, decorations etc. the main
utilization of this product is building components. Bamboo characteristics required for this are:-
Diameter - 75 mm (minimum)
Wall thickness - 10 mm (minimum)
Length - 1200 mm (minimum)
Age - 3 years
Suggested species - Dendrocalamus hamiltonii (phulrua), Dendrocalamus longispathus
(rawnal), Bambusa tulda (rawthing), thicker and bigger portion of Melocanna baccifera
(mautak) and Bambusa vugaris (vairua)
Apart from the usage mentioned above, bamboo board in semi-finished form has a very good
marketing prospect to the big furniture manufacturers all over the country. It is clear that
bamboo board in semi-finished form will attain much return to the project.
II. Round Agarbatti Stick
Bamboo is cut at required length, split, slice, transform into round stick, made smooth and
finished and the incense applied to produce bamboo incense sticks. It is used for a variety of
perfumes and air purifiers in India and other countries.
These kinds of incense are sometimes made of wood, but with depleting supply of wood,
substituting with plastic and plastic products becomes popular and economical but the touch of
nature is lost with plastic products. Hence, incense made of bamboo is natural, romantic and
appealing.
The main raw material for this production is bamboo. Required bamboo specifications for use in
this production are-
Page 58
Diameter - any size

Thickness - any size
Length - 300 mm
Age - 3 years (minimum)
To meet the above specifications, it is proposed to utilize Bambusa Tulda (Raw thing),
Dendrocalamus Longispathus (Rawnal), Dendrocalamus Hamiltonii (Phul rua), thick Melocanna
Baccifera (Mau tak), etc. There are enough reserves of forests in Mizoram to supply the
required amount of raw materials.
III. Bamboo Charcoal Briquette

Bamboo charcoal briquette – made up of bamboo particles and processing residues which was
broken, dried, formed into briquette, and then pyrolyzed. Bamboo charcoal is a desirable fuel
because it produces a hot, long lasting, virtually smokeless fire. When combined with other
materials and formed into uniform chunks this is called briquettes, it is popularly used for
industrial fuel to recreational cooking materials outdoor, etc.
Bamboo charcoal briquettes are made of two primary gradients (Comprising about 90% of the
final products.) and several minor ones. One of the primary gradients, known as char, is
basically the traditional charcoal, as described above. It is responsible for the briquette`s ability
to light easily to produce the desired flavor. Minor ingredients include a binding agent (typically
starch made from corn, milo, or wheat), an accelerant (Such as nitrate) and the ash-whitening
agent (such as lime) to let the briquette ready to use.
The major source of raw material for making bamboo charcoal briquette is wastages come from
production of bamboo board and round agarbatti sticks. Moreover, to utilize and develop
bamboo resources and to meet its growing industrial demand, programme should be made
through NLUP implemented bamboo base industries and other trade, to dump their wastes
(knot, dust, etc.) in proper pattern. The Implementing Agency will collect these wastes with
reasonable prices from different areas and utilize as raw material for making bamboo charcoal
briquette.
Page 59
Besides bamboo wastes the following wastes can be utilized as raw materials for charcoal
briquetting:
1. Saw dust (to be dried) from NLUP Carpentry Trade beneficiaries.

2. Wood shavings (twisted wood layers in furniture works)
3. Bamboo dry leaves (to be pulverized) from NLUP Agarbatti stick making trade beneficiaries.
4. Maize stalks (to be chopped and pulverized) from different farmer.
5. Rice husk – (directly) from villages
6. Paddy straw (shredded and pulverized) from different cultivators.
7. Soya husk from cultivators
8. Agro/Bio waste from different areas.
Production Center
The project will be implemented by establishing three sections in one Industrial Center, namely
Agarbatti section, Vertical glue board section and Charcoal Briquette section. The three sector
will be equipped with modern technologies. Buildings for each section will be constructed
separately with a distance to complimentary each other.
Outlet/Distribution Center
The proprietor will rented a building for outlet wherein various products made up of the three
sections. The outlet will also be functioned as Distribution Center for distributing the products
to the wholesalers as well as end-consumers.
Raw material Bank with Post Harvest Storage Unit

Raw material Bank will be constructed in the center by equipping it required machineries. All
the raw materials required for the three sections will stored in the raw material bank and
supply to the sections as per requirement.
Page 60
Pictorial Diagram of Operation of Handloom and Handicraft Center
PRODUCTION CENTER
AGARBATTI SECTION
Bamboo Farmers
RAW
MATER- BOARD SECTION OUTLET/DIST
IAL RIBUTION CONSUMERS
BANK CENTER
Communities
BRIQUETTE SECTION
Page 61
SWOT ANALYSIS OF THE PROJECT
STRENGTH
Market
 Location advantage.
 Strong presence in the domestic state market.
 Developing trust and relationship in the long run.
 Easy and cheap availability of work force.
 Existence of central and state government institutions for providing assistance at the
time of need.
 Utilization of local resources.
Technology:
 Most of the equipments used are available at reasonable price.
Raw material:
 Raw materials are available in sufficient quantity.
 Availability of other inputs at door step.
Finance:
 Availability of Banks in nearby locality.
 Low gestation period.
WEAKNESS
Market
 Absence of market intelligence in the cluster.
 Potential for export remains unexplored.
 Lack of exposure to different market segments.
 Lack of awareness and measure for quality assurance.
Technology
 Prevalence of traditional technology.
Page 62
 Lack of modern technology facility in nearby area.
Finance:
 Under utilization of financial assistances available from Bank/FI.
 Poor coordination with local banks and financial institutions.
 Inadequate Institutional credit flow leading to exploitative lending.
OPPORTUNITY
Market
 Vast opportunity of the products in the region in the country and also in
adjacent foreign country.
 Quality, design and productivity form the rule of the game.
 Increase in numbers of weavers in the state and increased in consumption of yarns
 Static in numbers of local suppliers.
 Changing business environment can produce opportunities for enterprising firms.
Technology:
 Creation of technological awareness on new product development.
 Tremendous enthusiasm on the part of the cluster actors.
 Possibility of establishing ties with R &D Institutions / Laboratories.
 Prospect of scaling down the raw materials consumption cost due to availability of
better technical inputs in the country.
Raw material:
 Bulk purchase of raw materials is going to bring down production cost resulting in
cheaper price of products by the weavers.
 Prospect of establishing a raw material godown/bank.
 Options to have a choice for good quality raw material.
Finance:
 Improved coordination among the cluster actors will assure increased f lo w of credit.
 Availability of finance through cluster development approach.
Page 63
 Increased awareness among the entrepreneurs.

 Ample scope of Govt. Support for entrepreneurs under various schemes.
4.4 THREAT
Market:
 Imitation by others.
 Changing business environment is always a problem for the less enterprising firms.
Technology:
 Technology can impose a major threat unless it is upgraded or modernized.
 Low level of technological development.
 Sophisticated modern technology becoming a costly factor.
Raw material:
 Difficulty in encountering competition unless raw materials are made cheaper.
Finance:
 Complicated documentation procedures of banks/FIs.
 Changing business environment.
Page 64
PROJECT MANAGEMENT
For efficient and proper implementation of the project and operational running to generate
regular revenue creating opportunity of both direct and indirect employment, monitoring and
supervision mechanism as well as management system will be evolved. Brief guidelines in this
aspect may be highlighted as below:
Quarterly Review:
An implementing agency will work out efficient mechanism for quarterly monitoring the
implementation of the project and commercial operation. Quarterly targets for achievement
will be worked out and cross checking will be done for evaluation of the achievement of the
project. The success rate of the project will be in accordance with the targets adopted and if it
is found deviation from the targets, the implementing agency will immediately correct the
activities and set a new operation strategy.
Day to day management:
The day to day works of execution of the project and management of the industry after
commercial operation will rest on the implementing agency for successful implementation of
the project and operation of the industry.
Daily attendance of the workers will be maintained and strict protocol will also be adopted for
better management of the industry.
In the Production Center, all the workers will be reported to and approval for activities will be
taken from Manager. The reporting office of the managers is proprietor’s office. Any rules and
regulations for administration of the industry will be formed and constituted by the proprietor.
Efficient management of the industry requires judicious manpower planning, selection of

qualified and experienced personnel and appropriate organization structure clearly defining the
functions and responsibility of the Managerial and supervisor staff.
A preliminary estimate of manpower requirement allowing for leave, absenteeism,

sickness and holiday for smooth and efficient operation of different sections of the Industry
Page 65
including its administrative and commercial departments has been prepared purely on
technical and management ground primarily to indicate the order of manpower requirement,
to provide guidelines for indication action on requirement and make an estimate of the annual
salary and wage bill, which will reflect on the production cost estimate.
Page 66
MARKET ARRANGEMENT
The product samples are advertised in some commercial websites like Trade India etc and some
proprietors received frequent orders from potential buyers from all over the world. They also
received many products orders from some buyers who want to buy bulk quantity of fine round
agarbatti sticks and other bamboo products made by local artisans in the exhibitions of where
they attended.
By viewing the quantity of the products already sold in the market and products orders
received from various buyers, it can be said that bamboo products have a very good marketing
potential. If the proprietor can upgrade his products towards fine and elegant with modern
equipments and machineries, he can be extended the marketing opportunity and penetrated
wider market across the state boundary.
The promoter has ability to create straightforward marketing service which will be soon
become a well known to advertising agencies, broadcast and cable operators, and businesses in
Mizoram. Active marketing of his capabilities and products throughout the region will be
conducted to promote various handloom and handicraft products.
Branding
The promoter will make the products popular in the market by providing brand logo. Branding
is the process involved in creating a unique name and image for a product in the customer’s
mind through brand logo, mainly though advertising campaigns with a consistent theme.
Branding aims to establish a significant and differentiated presence in the market that attracts
and retains loyal customers.
The brand will be promoted to the customers and popularized with the best service in the
market to retain various events organizers. Branding will promote recognition, help to set apart
from competitors and provide motivation for employees.
Geographical Indicator
The products will have Geographical Indicator for consumers which will ensure that the
products are made out of Mizoram.
Page 67
Distribution/outlet
The proprietor will set up outlet for selling the products and made contact with potential
buyers in the state and outside the state for promoting the product.
Print Media Advertisement
The service will be promoted through various local newspapers in Mizoram frequently so as to
make inform the potential clients and consumers for the needful moments. Apart from the
print media advertisement, leaflet, brochure, booklet, etc. will be published for promotional
activities.
Video Advertisement
Promotional video clip will be published through the local television channel for distribution
and dissemination of various the service provisions towards the local people.
E-commerce website
When the industry can afford better marketing option and is financially sound, e-commerce
website will be made for making interconnection with potential consumers from all over the
world.
To carried out the marketing plan, the proprietor will be entrusted and make a schedule for
advertising the products to a large extent. Quarterly review will be conducted and check the
discrepancy of the actual activities with the plan activities. A yearly marketing plan will be
prepared as per requirement from year to year.
Page 68
PROSPECT OF THE PROJECT
The project has very good prospects in terms of raw materials, man-power, marketing, waste
management and skilled proprietorship.
Raw materials: Mizoram has abundant natural Bamboo resources. Around 57% of the
geographical area of Mizoram is under Bamboo cover found at heights ranging from 400m –
1500m above mean sea level. Bamboo forests are found mainly along the river banks and
abandoned jhumland as a dominant secondary vegetation. Both the clump forming and non-
clump forming bamboos are available in most part of Mizoram except in the higher altitudes of
the eastern parts of Mizoram. Almost one third of the total forest area of the state is covered
with different kinds of bamboo.
There are at least 20 identifiable species of bamboo indigenous to Mizoram. Around 30% of
bamboos grown in the state are still wild bamboo and unexploited. Even though the State
Government has been taken necessary actions to utilize bamboo more widely by setting up of
bamboo chipping units so as to increase revenue streams from bamboo resources, but
unfortunately the activities taken by the State Government has not gain much succession from
the beginning. Most of the bamboo forest are still wasted, cut down and burnt away by the
Jhuming Cultivation. In order to wipe out the prevailing problem, systematic manner of
utilization of bamboo resources has to be adopted. Though some bamboo based industries are
already set up in the state, but shortage of raw materials and heavy disposal of wastages make
the stronghold of these industries.
Man-power: The industry will engaged skilled and unskilled labours respectively for operation.
In this regard, uneducated youth labours and can undergo training on production of various
kind of bamboo products items and maintenance of machineries are abundantly available in
the village of where the project is proposed to be set up.
Marketing: The product samples are already advertised in some commercial websites like
Trade India etc and proprietors received frequent orders from potential buyers from all over
the world. Some artisans also received many products orders from some buyers who want to
buy bulk quantity of fine bamboo products in the exhibitions of where they attended. By
Page 69
viewing the quantity of the products already sold in the market and products orders received
from various buyers, it can be said that bamboo products items have a very good marketing
potential.
Skilled: The selected implementing agency has undergone various training programmes of
various bamboo products and handling of various bamboo related machineries and has a vast
experience in making bamboo products and knowledge about what problems can be aroused.
He has a very good skill in operating machines to maintain it properly.
Page 70
TOTAL PROJECT COST AND MEANS OF FINANCE
Sl.no Particulars Amount

(Rs. in
lakh)
1 Site Development 16.00
Buildings/Facility Centers Vertical Glue Board with Raw Material Bank 100.00
(Civil Construction Works) Round Agarbatti – Raw bati production 80.00
Briquette Charcoal 60.00
240.00
Plant & Machineries Vertical Glue Board 285.49
Round Agarbatti – Raw bati production 126.15
Briquette Charcoal 150.58
562.00
Electrification Internal electrification 15.00
Mahindra Powerol single running, three phase 40.69
250 KVA11/433V Transformer 5.04
60.73
Miscellaneous Fixed Asset 15.40
Preliminary Expenses 2.54
Contingencies 10.00
Working Capital 7.33

Grand Total 914.00
MEANS OF FINANCE
100% of the total project will be received from National Bamboo Mission
Page 71
TABLE I
COST OF LAND AND SITE DEVELOPMENT
Rs. In Lakh
Sl Particulars Amount
A Land and site development 16.00
Total 16.00
TABLE II
COST OF BUILDING & CIVIL WORKS
Rs. In Lakhs
1 Total Cost of Civil Work 240.00
Total 240.00
Page 72
TABLE III
A. COST OF PLANT & MACHINERY FOR ROUND AGARBATTI – RAW BATI ROLLING
Sl.no Particulars Nos Rate (Rs.) Total Cost

(in lakh)
1 Agarbati Masala mixing machine, 1.5 HP, full SS 5 60,000 3.00
chamber, Heavy model
2 Electronic weighing machine (2 ft x 2 ft platform, 5 18,000 0.90
weigh upto 300 kg)
3 Rolled bati drying machine , with 3 HP blower 30 72,000 21.60
4 Fully Automatic agarbatti rolling machine, Vietnam 20 90,000 18.00
Make, Best quality
5 Crosscut Machine, 1 HP, 14 inch carbide tipped cutter, 6 25,000 1.50
clamping arrangement, guage etc with Push button
station
6 Manual Splitter Grills 6, 7, 8, 9, 10, 12 blade, with 20 18,700 3.74
frame(in total two frames with three grills each)
7 Hydraulic Splitter, 3 ft, with control panel, Hydraulic 5 1,85,000 9.25
oil, power pack
8 External cum internal knot removal machine 5 39,600 1.98
9 Bamboo slicer Machine, 1.5 HP 5 62,000 3.10
10 Round Stick Making machine, 7 HP, 3 cutter machine, 10 2,24,000 22.40
Long Model
11 Stick Sizing Machine, 2 HP, with foot switch 10 40,000 4.00
12 Stick Polishing Machine, 1 HP 5 72,000 3.60
13 Saw Sharpening Machine, 1 HP, with fixtures and 10 42,500 4.25
wheel set
14 Burr removing machine 10 36,000 3.60
15 Round stick cutter set 10 11,000 1.10
16 PU Rollers 30 450 1.35
17 Other cutting tool spares(crosscut, sizing, plainning 5 25,000 1.25
cutter and other spare parts of agarbatti machines)
18 Maintenance items(measuring instruments, welding 15,000 0.15
machine, grinder, tong tester) and accessories(PU
Rollers, Round cutters, plainning cutter diamond
wheel etc)
Total 103.52
IGST@18% 18.63
Packing, Forwarding, transit insurance and 2.50
Transportation(approximately)
Installation and Training(one time, 4 days) 1.50
Grand Total 126.15
Page 73
B. COST OF PLANT AND MACHINERY FOR BAMBOO CHARCOAL BRIQUETTE
Amount
Unit cost (in (Rs. in
Sl No Name of the Machine Rs.) Qnty. lakh)
1 Pulverizing Machine 4,56,500 2 9.13
2 Saw dust Charcoal Briquette Machine 2,45,000 2 4.90
3 Fuel Briquetting Machine Screw Type 2,70,000 5 13.50
4 Fuel Briquetting Machine Ram Type 16,92,000 1 16.92
5 Flash Dryer 18,00,000 2 36.00
6 Chaff Cutter 1,89,000 10 18.90
7 Screw Conveyor 1,35,000 1 1.35
8 Carbonizing Furnace 4,54,500 5 22.725
Total Amount 123.43
IGST @18% 22.22
Forwarding and installation Charges @ 4% 4.93
Grand Total 150.58
Page 74
C. COST OF PLANT AND MACHINERY FOR VERTICAL GLUE BOARD
Sl.no Description Quantity Unit Price Amount (Rs.

(in Rs.) in lakh)
1 Big Type Round Bamboo Cross Cutting 2 60,000 1.20
Machine
2 Outside Bamboo Knot Removing Machine 2 2,66,000 5.32
3 Bamboo Splitting & Sizing Machine 2 1,82,770 3.66
4 Bamboo Strip 2-Side Removing Machine 2 8,26,000 16.52
5 4-Side Planning Machine 2 8,96,000 17.92
7 Gluing Machine 2 4,76,000 9.52
8 Bamboo Board Joining Machine 1 37,66,000 37.66
9 Straight Saw Machine 4 7,56,000 30.24
10 1-Side Planning Machine 1 2,00,200 2.01
11 4-Side Grinding Machine 1 27,16,000 27.16
12 Double End Cutting and Shaping Machine 2 11,06,000 22.12
13 Sander 2’ (Heavy Duty) 1 13,86,000 13.86
14 UV Curing Machine 2’ 2 13,06,000 26.12
15 Grinding Machine 3 4,34,000 13.02
16 Carbonate Boiler 2 7,56,000 15.12
Total 240.25
IGST 18% 43.24
Forwarding & Installation charge 2.00
Grand Total 285.49
Page 75
TABLE IV
COST OF MISCELLANEOUS FIXED ASSETS
Sl. Particulars Nos. Rate (Rs.) Amount (In

lakh)
General Furniture
Table 4 10,000 0.40
Chair 20 4,000 0.80
Cupboards 12 20,000 2.40
Steel Racks 3m (high) x 0.91m (wide) x 0.46m (deep) 10 15,000 1.50
Production Line Furniture as Follows
Working Tables 20 12,000 2.40
Stools (for workers) 30 3,000 0.90
Long Bench 4 7,500 0.30
Almirah 2 10,000 0.20
Furniture of Training Section 3.00
Other Electrical Fixtures/Fittings etc. 1.50
Computer, Printers, Projection System 2.00
Grand Total 15.40
Page 76
TABLE V
PRELIMINARY AND PRE-OPERATIVE EXPENSES
Rs. Lac
B Administrative Expenses including statutory fees 0.50
C Other Misc. expenses 0.40

D Establishment Expenses & Project Management Expenses 1.50
E Misc. Administrative Expenses 0.14
TOTAL 2.54
TABLE VI
CONTINGENCIES
Rs. lac
Sl Particulars Total Cost %age Provision
A Building & Civil Works 240.00 1.66% 4.00

B Plant & Machinery 562.00 1.06% 6.00
Total 802.00 10.00
Page 77
TABLE VII
Raw Material Requirement
The main raw material to be used in all the three section is bamboo. The following table
mentioned that the raw material requirement for the project as given below;
Capacity Value Total Amount

Raw materials Year Quantity
Utilization (Rs. in lakh) (Rs. in lakh)
Bamboo @ Rs. 2/- per kg 64,80,000 kgs 129.60 133.95
I 70%
Other Chemical 3.45
II 80%
Other Chemical 3.94
III 90%
Other Chemical 4.43
IV 90%
Other Chemical 4.43
V 90%
Other Chemical 4.43
VI 90%
Other Chemical 4.43
Page 78
TABLE VIII
COST OF ELECTRICITY
Rs. Lac
Sl Particulars Unit Amount
A Total Connected Load kW 20.00

B Load Factor 65.00%
C Operational Load AXB 13.00
D Annual Hours hours 2,400.00
E Annual units consumed CXD 31,200
F Rate per Unit 4.50
G Monthly Rental 11,700.00
G Annual Electric Cost at 100% 1.40
Rate
Capacity Units
Year Per Estimated Cost
Utilization Consumed
Unit*
0 100.00% 31,200 4.50 1.40
1 70.00% 21,840 5.04 1.10
2 80.00% 24,960 5.55 1.38
3 90.00% 28,000 5.83 1.63
4 90.00% 28,000 5.83 1.63
5 90.00% 28,000 5.83 1.63
6 90.00% 28,000 5.83 1.63
Page 79
TABLE IX
ESTABLISHMENT AND PRODUCTIVE LABOUR COST
An estimate of manpower requirement allowing for leave, absenteeism, sickness and holiday
for smooth and efficient operation of different sections of the Industry including its
administrative and commercial departments has been prepared purely on technical and
management ground primarily to indicate the order of manpower requirement, to provide
guidelines for indication action on requirement and make an estimate of the annual salary and
wage bill, which will reflect on the production cost estimate. The fringe benefit has been taken
@ 20% of the basic salary. The detailed break up of manpower and salary and wages has been
estimated as under.
Rs. in lakh
Monthly Year
At full
Particulars Salary
Capacity I II III IV V VI VII VIII IX X
(in Rs.)
Manager
Center In-Charge 16000 1.92 1.92 1.92 1.92 1.92 1.92 1.92 1.92 1.92 1.92 1.92
QA Inspector 10000 1.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Accounts, Stores In
charge cum 10000 1.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Purchase Assistant
Workers
Supervisor 8500 1.02 1.02 1.02 1.02 1.02 1.02 1.02 1.02 1.02 1.02 1.02
Operator/Mechanic/
7500 10.80 8.10 8.10 8.10 9.00 9.00 9.00 9.00 10.80 10.80 10.80
Skilled Workers
Maintenance DG &
7500 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90
Electrical In charge
General Helpers 6600 2.38 2.38 2.38 2.38 2.38 2.38 2.38 2.38 2.38 2.38 2.38
Contract Labors 6400 2.30 2.30 2.30 2.30 2.30 2.30 2.30 2.30 2.30 2.30 2.30
Security Guard 6600 0.79 0.79 0.79 0.79 0.79 0.79 0.79 0.79 0.79 0.79 0.79
Sub Total 22.51 17.41 17.41 17.41 18.31 18.31 19.21 19.21 20.11 20.11 20.11
Increment Factor 5% 1.00 1.00 1.05 1.10 1.16 1.22 1.28 1.34 1.41 1.48 1.55
Escalated Cost 22.51 17.41 18.28 19.15 21.24 22.34 24.59 25.74 28.36 29.77 31.17
Fringe benefits @
2.25 1.74 1.83 1.92 2.12 2.23 2.46 2.57 2.84 2.98 3.12
10%
Total Cost 24.76 19.15 20.11 21.07 23.36 24.57 27.05 28.31 31.20 32.75 34.29
Page 80
TABLE X
EXPENSES ON CONSUMABLES
Rs in lakh
At full Year
Particulars Capacity
I II III VI V VI
Capacity 100.00% 90.00% 90.00%

70.00% 80.00% 90.00% 90.00%
Utilization
General
A 120,000.00 0.84 0.96 1.08 1.08 1.08 1.08
Consumables
B Diesel 96,000.00 0.67 0.77 0.86 0.86 0.86 0.86
C 0.34 0.38 0.43 0.43 0.43 0.43

Misc Items 48,000.00
Total 264,000.00 1.85 2.11 2.37 2.37 2.37 2.37
Page 81
TABLE XI
REPAIRS & MAINTENANCE
Rs.in lakh
At full
Particulars Capacity I II III IV V VI
Capacity Utilization 100.00% 70.00% 80.00% 90.00% 90.00% 90.00% 90.00%
Building & Civil Works 2% 4.80 3.36 3.84 4.32 4.32 4.32 4.32
Plant & Machinery 3% 11.54 8.07 9.23 10.38 10.38 10.38 10.38
Misc. Fixed Assets 2% 0.31 0.22 0.24 0.28 0.28 0.28 0.28
Total Repairs & Maintenance 16.65 11.65 13.31 14.98 14.98 14.98 14.98
Page 82
TABLE XII
CALCULATION OF DEPRECIATION
Rs. in lakh
Rate of Year
SI Particulars Depreciation I II III IV V VI
A
Building & Civil Works
WDV 240.00 228.00 216.60 205.77 195.48 185.71
5.00% 12.00 11.40 10.83 10.29 9.77 9.28

Depreciation
B
Plant & Machinery
WDV 577.07 519.37 467.43 420.69 378.63 340.77
10.00% 57.70 51.94 46.74 42.06 37.86 34.07

Depreciation
Misc. Fixed Assets (Furniture &

Fixtures)
WDV 15.40 13.86 12.48 11.24 10.12 9.11

Depreciation
10.00% 1.54 1.38 1.24 1.12 1.01 0.91
Total Depreciation 71.24 64.72 58.81 53.47 48.64 44.26
Page 83
TABLE XIII
COMPUTATION OF WORKING CAPITAL REQUIREMENT
Rs. in Lakh
Year
Sl Particulars Requirement I @ II @ III @ IV @ V@ VI @
70% 80% 90% 90% 90% 90%
A Raw Materials 1 week 3.26 3.54 3.99 3.99 3.99 3.99
B Work-in-Progress 1 day 0.46 0.52 0.59 0.59 0.59 0.59
C Stock of Finished Goods 2 days 2.71 3.09 3.48 3.48 3.48 3.48
D Receivables 2 weeks 0.23 0.26 0.29 0.29 0.29 0.29
E Expenses
Utilities 1 month 0.09 0.11 0.13 0.14 0.15 0.16
Wages & Salaries 1 month 1.59 1.67 1.75 1.94 2.04 2.25
Repair & Maintenance 1 month 0.97 1.10 1.24 1.24 1.24 1.24
Overheads 1 month 0.15 0.17 0.19 0.19 0.19 0.19
D Sub-total (A + B + C + D + E) 9.46 10.46 11.66 11.86 11.97 12.19

E Sundry Creditors 2 weeks 2.13 2.43 2.73 2.73 2.73 2.73
F Working Capital (D – E) 7.33 8.03 8.93 9.13 9.24 9.46
Page 84
TABLE XIV
PROJECTED PROFITABILITY STATEMENT
Rs in Lakh
Sl.No. Particular I II III IV V VI

A ASSUMPTIONS
1 Installed capacity (in pieces) 4.00 4.00 4.00 4.00 4.00 4.00
2 Nos. of working days in a year 300 300 300 300 300 300
3 No. of shift in a day 1 1 1 1 1 1
4 Capacity of utilization (in %) 70% 80% 90% 90% 90% 90%
5 Sales Realization 80% 85% 90% 90% 90% 90%
B GROSS REVENUE 960.00 1,165.35 1,388.70 1,388.70 1,388.70 1,388.70
C COST OF PRODUCTION
1 Raw materials 133.95 152.06 171.05 171.05 171.05 171.05
2 Utilities 1.10 1.38 1.63 1.63 1.63 1.63
3 Salaries/Wages 19.15 20.11 21.07 23.36 24.57 27.05
4 Repair & Maintenance 11.65 13.31 14.98 14.98 14.98 14.98
5 Administrative overhead 1.85 2.11 2.37 2.37 2.37 2.37
D GROSS MARGIN 792.30 974.49 1,177.57 1,175.31 1,174.10 1,171.62
E FINANCIAL EXPENSES
1 Interest on borrowing 0.00 0.00 0.00 0.00 0.00 0.00
2 Depreciation 71.24 64.72 58.81 53.47 48.64 44.26
3 Preliminary Expenses 2.54 0.00 0.00 0.00 0.00 0.00
F OPERATING PROFITS 718.52 909.77 1,118.76 1,121.84 1,125.46 1,127.36
LESS GST 5% 35.92 45.48 55.93 56.09 56.27 56.36
G NET PROFIT 692.60 864.29 1,062.83 1,065.75 1,069.19 1,071.00
1 Depreciation 71.24 64.72 58.81 53.47 48.64 44.26
2 Preliminary Expenses 2.54 0.00 0.00 0.00 0.00 0.00
H NET CASH 766.38 929.01 1,121.64 1,012.28 1,117.83 1,115.26
ACCRUAL/AVALAIBLE
SURPLUS
Page 85
TABLE XV
PROJECTED CASH FLOW STATEMENT
Rs. in lakh
Pre-
Sl.no Particulars I II III IV V VI
operation
SOURCES OF FUND
A 1 Net cash accrual 766.38 929.01 1,121.64 1,012.28 1,117.83 1,115.26
2 Interest on Term Loan 0.00 0.00 0.00 0.00 0.00 0.00
3 Grant from GOI 914 0.00 0.00 0.00 0.00 0.00 0.00
4 Grand from State 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Government
5 Promoter 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Contribution
Total 914 766.38 929.01 1,121.64 1,012.28 1,117.83 1,115.26
B DISPOSITION OF
FUND
Increase of Capital 914 0.00 0.00 0.00 0.00 0.00 0.00
Expenditure
1 Decrease in term loan 0.00 0.00 0.00 0.00 0.00 0.00
2 Interest 0.00 0.00 0.00 0.00 0.00 0.00
3 Increase in current 22.45 18.43 12.30 10.30 10.30 10.30
assets
Total 914 22.45 18.43 12.30 10.30 10.30 10.30
C OPENING BALANCE 0.00 0 743.93 1,654.51 2,763.85 3,765.83 4,873.36

D CURRENT 743.93 910.58 1,109.34 1,002.48 1,107.53 1,104.96
SURPLUS/LOSS
E CLOSING BALANCE 0.00 743.93 1,654.51 2,763.85 3,765.83 4,873.36 5,978.32
Page 86
TABLE XVI
BREAK EVEN ANALYSIS
Particulars At Year
full I II III IV V VI VII VIII IX X
capac
ity
A Capacity Utilization 100% 60% 65% 70% 75% 90% 85% 85% 85% 85% 85%
B Gross Revenue 84.43 50.66 57.63 64.42 72.19 79.03 85.40 91.87 99.75 109.09 116.26
C Expenses Considered Variable
Consumables 100% 2.64 1.59 1.76 1.96 2.16 2.38 2.61 2.68 2.77 2.86 2.93
Utilities 80% 1.12 1.02 1.12 1.23 1.35 1.48 1.54 1.60 1.67 1.74 1.82
Wages & Salaries 60% 14.86 11.49 12.07 12.64 14.02 14.74 16.23 16.99 18.72 19.65 20.57
Repairs & Maintenance 50% 1.44 0.87 0.94 1.01 1.08 1.16 1.23 1.23 1.23 1.23 1.23
Insurance 0% 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Adm. & Other Overheads 50% 3.10 2.40 2.52 2.64 2.92 3.07 3.38 3.54 3.90 4.10 4.29
Depreciation 80% 8.38 8.38 7.31 6.39 5.61 4.91 4.32 3.81 3.37 2.98 2.64
31.54 25.75 25.72 25.87 27.14 27.74 29.31 29.85 31.66 32.56 33.48
D Expenses Considered Fixed
Utilities 20% 0.28 0.25 0.28 0.31 0.34 0.37 0.38 0.40 0.42 0.44 0.45
Wages & Salaries 40% 9.90 7.66 8.04 8.43 9.34 9.83 10.82 11.32 12.48 13.10 13.72
Repairs & Maintenance 50% 1.44 0.87 0.94 1.01 1.08 1.16 1.23 1.23 1.23 1.23 1.23
Insurance 100% 1.90 1.90 1.90 1.90 1.90 1.90 1.90 1.90 1.90 1.90 1.90
Adm. & Other Overheads 50% 3.10 2.40 2.52 2.64 2.92 3.07 3.38 3.54 3.90 4.10 4.29
Depreciation 20% 2.09 2.09 1.83 1.60 1.40 1.23 1.08 0.95 0.84 0.74 0.66
Pre-Expenses 100% 1.08 1.08 1.08 1.08 1.08 1.08 0.00 0.00 0.00 0.00 0.00
19.79 16.25 16.59 16.97 18.06 18.64 18.79 19.34 20.77 21.51 22.25
E 37.42 65.23 51.99 44.02 40.09 36.34 33.50 31.18 30.50
BEP = D/(B-C) % % % % % % % % % 28.11% 26.88%
F BEP as a % age of Installed Capacity 37.42% 39.14% 33.79% 30.81% 30.07% 29.07% 28.47% 26.51% 25.93% 23.89% 22.85%
G Break Even Sales (B X G) 31.59 19.83 19.48 19.85 21.71 22.98 24.32 24.35 25.86 26.06 26.56
H Margin of Safety (B - H) 52.84 30.83 38.15 44.57 50.48 56.05 61.08 67.52 73.89 83.03 89.70
CASH BREAK EVEN

A Gross Revenue 84.43 50.66 57.63 64.42 72.19 79.03 85.40 91.87 99.75 109.09 116.26
B Cash Variable Expenses 23.16 17.37 18.41 19.48 21.53 22.83 24.99 26.04 28.29 29.58 30.84
C Cash Fixed Expenses 16.62 13.08 13.68 14.29 15.58 16.33 17.71 18.39 19.93 20.77 21.59
D Cash BEP = C / (A –B) 27.13% 39.29% 34.88% 31.80% 30.75% 29.06% 29.32% 27.94% 27.89% 26.12% 25.28%
Page 87
TABLE XVII
INTERNAL RATE OF RETURN, PAY BACK PERIOD % NET PRESENT VALUE
Year Cash Flow Cash Flow Cumulative Discount Factor Discounted Cash
After Tax Before Tax Cash Flow 10% flow
0 -129.08 -129.08 -129.08 1.0000 -129.08
1 18.05 20.22 -108.86 0.9091 16.41
2 21.73 25.56 -83.30 0.8264 17.96
3 25.26 30.66 -52.64 0.7513 18.98
4 28.33 35.08 -17.56 0.6830 19.35
5 31.71 39.88 22.33 0.6209 19.69
6 33.38 42.71 65.03 0.5645 18.84
7 36.77 47.44 112.48 0.5132 18.87
8 39.71 51.54 164.02 0.4665 18.52
9 45.00 58.76 222.78 0.4241 19.08
10 48.71 63.85 286.62 0.3855 18.78
17.93% 23.14% 57.40
Internal Rate of Return (IRR) After Tax 17.93%

Before
23.14%
Tax
Pay Back Period 4 Years 7 Months
Net Present Value (NPV) at a discount rate of 10% 57.40
Page 88
TABLE XVIII
SENSITIVITY ANALYSIS
Year
Particulars I II III IV V VI VII VIII IX X
Capacity 60.00 65.00 70.00 75.00 80.00 85.00 85.00 85.00 85.00 85.00
A
Utilization % % % % % % % % % %
Gross
B 50.66 57.63 64.42 72.19 79.03 85.40 91.87 99.75 109.09 116.26
Revenue
Variable
C 25.75 25.72 25.87 27.14 27.74 29.31 29.85 31.66 32.56 33.48
Expenses
Fixed
D 16.25 16.59 16.97 18.06 18.64 18.79 19.34 20.77 21.51 22.25
Expenses
Profit Before
E 8.66 15.32 21.58 26.99 32.65 37.30 42.68 47.32 55.02 60.53
Tax
Scenario I 20% Drop in Capacity Utilization
Reduced
48.00 52.00 56.00 60.00 64.00 68.00 68.00 68.00 68.00 68.00
A Capacity
% % % % % % % % % %
Utilization
Adjusted
B Gross 40.53 46.10 51.54 57.75 63.22 68.32 73.50 79.80 87.27 93.01
Revenue
C Variable Cost 20.60 20.58 20.70 21.71 22.19 23.45 23.88 25.33 26.05 26.78
D Fixed Cost 16.25 16.59 16.97 18.06 18.64 18.79 19.34 20.77 21.51 22.25
Profit
E 3.68 8.93 13.87 17.98 22.39 26.08 30.28 33.70 39.71 43.98
Before Tax
Scenario II 10% Drop in User Charges
Reduced
60.00 65.00 70.00 75.00 80.00 85.00 85.00 85.00 85.00 85.00
A Capacity
% % % % % % % % % %
Utilisation
Gross
B 45.59 51.87 57.98 64.97 71.13 76.86 82.68 89.78 98.18 104.63
Revenue
C Variable Cost 23.18 23.15 23.28 24.43 24.97 25.91 26.72 28.18 29.30 30.13
D Fixed Cost 16.25 16.59 16.97 18.06 18.64 18.79 19.34 20.77 21.51 22.25
Profit
E 6.16 12.13 17.73 22.48 27.52 32.16 36.62 40.83 47.37 52.25
Before Tax
Scenario III 10% Increase in Cost
Reduced
60.00 65.00 70.00 75.00 80.00 85.00 85.00 85.00 85.00 85.00
A Capacity
% % % % % % % % % %
Utilization
Gross
B 50.66 57.63 64.42 72.19 79.03 85.40 91.87 99.75 109.09 116.26
Revenue
C Variable Cost 26.32 26.29 26.44 27.74 28.35 29.50 30.51 32.29 33.20 34.07
D Fixed Cost 17.88 18.25 18.67 19.87 20.50 20.67 21.27 22.85 23.66 24.48
Profit
E 6.46 13.09 19.31 24.58 30.18 35.23 40.09 44.61 52.23 57.71
Before Tax
Page 89
TABLE XIX
RETURN ON CAPITAL EMPOLYED
Year Cash Flow After Cash Flow Before

Tax Tax
1 18.05 20.22
2 21.73 25.56
3 25.26 30.66
4 28.33 35.08
5 31.71 39.88
6 33.38 42.71
7 36.77 47.44
8 39.71 51.54
9 45.00 58.76
10 48.71 63.85
328.65 415.70
Average Cash Flow 32.87 41.57
Total Capital Employed 129.08 129.08
ROCE 25.46% 32.21%
Page 90

A Brief Glimses of Mizoram Location:: O O O O

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Setting up of Integrated Bamboo Industry.

A BRIEF GLIMSES OF MIZORAM

Per capita income:

At Constant (2004 – 2005)

2008-2009 38,582 31,921

2009-2010 42,715 34,699

2010-2011 (Q) 50,956 40,072

2011-2012 53,624 37,921

2012 – 2013 (P) 63,413 39,347

(Q = Quick estimated, P = Provision)

Absence of medium and heavy industry in the State:

BACKGROUND OF BAMBOO SECTOR IN MIZORAM

Estimated number of bamboo culms and equivalent green weight

Distribution of Bamboo in the World

Countries Area No. of Genera No. of Species

Bamboo distribution in India is as below:

Mizoram area covered by Bamboo:

Species of Bamboo in Mizoram:

Sl.no Scientific Name Local (Mizo) Name

1 Bambusa balcooa N/A

30 Schizostachyum pergracile Mau-dang

6.2 Characteristics of Bamboo

 Bamboo is the fastest growing plant on this planet.

Tribe Olyreae (herbaceous bamboos)

20 genera: Agnesia, Arberella, Cryptochloa, Diandrolyra, Ekmanochloa, Froesiochloa,

Tribe Bambuseae (tropical woody bamboos)

Tribe Arundinarieae (temperate woody bamboos)

Harvesting of bamboo is typically undertaken according to these cycles:

Maintenance of spreading runners

STATUS OF BAMBOO IN NORTH EASTERN REGION

6. Inadequate models of socio-economic organization and entrepreneurship: The socio-

BAMBOO VALUE ADDED PRODUCTS AND ITS APPLICATIONS

Raw Culms Flooring

Premium 2 Sheath & Handicrafts

Products Source: Zhu 2005

Value-added Products from Round bamboo

Value-added Forms of Splints

FINE MATS, BEDCOVERS, BLINDS

Value-added Products from Slivers

MATS PAPER PULP

MAT BOARDS, STRIP BOARDS, OTHER COMPOSITE BOARDS

GRIDS FOR ROADS

Property Structural Bamboo Bamboo Mat Plywood

Tensile 54 29.5 36.4 32.7

On the Bamboo Mat Board or Sliver board, if on both the

Machine made strips are used for making various bamboo

PROPERTIES OF FLOORING BOARD

1. Dehydrated compressibility Tangent<0.16;Radial<13;Volume<0.33

Bam boo Grid

Fig: Lateral section of a road

i) Moulded products: A new technology has been

BAMBOO WAFER BOARD

MOR(Mp) MOE(Mpa) IB(Mps) 24th TS(%) SHP(N)

iii) Bamboo Based Composites: Bamboo based

BAMBOO MARKET AND CONSUMPTION PATTERN

4.1 Size of Bamboo Market

‘Global’ Markets 57,000

9.2 Present Bamboo Market in India

(in million tonnes)

Current Consumption of Bamboo

Composition of industry in 2014 Legend Segment Amount

9.3 Utilization 7 Roads 714

as scaffolding, in fencing, for internal consumption in bamboo-growing