Project Profile

EXPORT ORIENTED SMALL SCALE PROJECT OF MANUFACTURING OF DECORATIVE JUTE RIBBON

Decorative Jute ribbon is a wonderful high tech decoration with low cost Jute net cloth which is used in various decorative fields like Floral Decoration, Garden Decoration, Christmas Decoration, Birthday Party Decoration, Wedding Party Decoration, Christmas Tree Decoration, Temple Decoration, Church Decoration, Club, Hotel, Sports ground & for almost all decoration purposes. Demand for the Products: According to the Market survey report, it is observed that only 15 to 20% of the total demand is fulfilled by 4/5 manufacturers in the Globe. So, there is a very good opportunity to cater & catch the market very easily. Project Financials: Assumptions: 1. 1 Product to be manufactured : 25cms & 50cms wide Jute Mesh Cloth of Eye 1.8cms X 1.8cms 2. Quantity to be produced per year: 36, 00,000 mtrs. 3. No. of Working days per year : 300 4. No. of Shift to be working : 2

S.NO 1

Particulars Land & buildings 4000 sft Building on Rent Advance for building Rent Rs .16000-00 Per month Rs.80,000-00

Amount
( Rs.Lakhs)

2 3 Sl.N o. 1 2 3 4

Building development expense Plant & machinery Name of Machine Jute Loom Dryer Cone Winding M/c Cop Winding M/c Quantity 4 2 2 2 10% Total Rate Rs.1,10,000.00 Rs.11,00,000.00 Rs. 20,000.00 Rs. 35,000.00

1.00

Amount 4.40 22,00 0.40 0.70 2.75

Erection and commission charges

30.25 0.75

4. 5

Electrical fittings Electrical equipment a) Transformer b) Generator TOTAL

1.50 5.00 6.50

Office Furniture & equipment Lumsum 0.50

Deposits Electrical Building lease Total 35HP X Rs.2000-00 0.70 0.80 1.50 20.00 2.50

8 9

Preliminary expenses Preoperative expenses

Total capital Expenditure 1 2 3 4 5 6 7 8 9 Land & buildings Building development expenses Plant & machinery Electrical fittings Electrical equipment Office Furniture & equipment Deposits Preliminary expenses Preoperative expenses TOTAL Working capital per month 1 Sl.N o. 1 2 3 4 5 6 7 2Ply-9.5lbs Dyed Jute Yarn 2/10 Cotton Dyed Yarn TKP Adhesive PVA Adhesive Carton Box Polythene Tube Cello Tape TOTAL 2 Electrical charges 25Hp x 60% x10 Hours X0.754 X 25 days 2828x Rs.5.00 0.14 4,500.00 kgs 450.00 kgs 9,500.00 pcs 1,200 kgs 120 pcs 375 Kgs 37.50 792 100 10 Rs.22.00 Rs.100.00 Rs.38.00 Rs.95.00 Rs.40.00 0.09 0.04 0.30 0.10 0.01 6.36 7,200.00 kgs 600 Kgs Rs.115.00 0.69 Raw materials Material Quantity Per annum 81,000.00 kgs Per month 6750Kg Rs.76.00 5.13 Rate Amount Lease 1.00 30.25 0.75 6.50 0.50 1.50 20.00 2.50 63.00

3 Sl. No. 1 2 3 4 5 6 7

Salaries & WAGES Designation Quantity Rate/per month TOTAL

Supervisor Weaver Helper Cone Winder Cop Winder Clerk Security Total Add: Contingencies TOTAL

4 8 16 2 2 1 4

Rs.8,000.00 Rs.5,500 Rs.4,000-00 Rs.4,000-00 Rs.4,000-00 Rs.4,000-00 Rs.4,000-00

0.32 0.44 0.64 0.08 0.08 0.04 0.16 1.76

10%

0.18 1.94 0.03 0.16 0.25 8.88 8.88 x 2:17.76 18.00

4 5 6

Spares & Accessories Rent Admn.Expenses TOTAL WORKING CAPITAL PER MONTH For 2 months Total Project Investment Total Capital expenses Working capital TOTAL Project cost Total Capital expenses Working capital margin 25% TOTAL

63.00 18.00 81.00

63.00 5.00 68.00

Means of finance Proprietor investment Term loan Working capital loan TOTAL 38.00 30.00 13.00 81.00

Profitability of the Project A Annual sales 36,00,000 meters jute ribbon X Rs.5.00 Total B Annual expenses a) Production expenses b) Depreciation c) Interests Term loan Working capital loan Total d) Preliminary expenses write-off e) Preoperative expenses write-off Total annual expenses 30.00 13.00 43.00 X 13.75% 5.91 20.00 2.50 140.82 8.88 x12 39.00 X15% 106.56 5.85 180.00 180.00

Profit Annual sales Annual expenses Profit Note: From 2 nd year onwards there will be no preliminary and preoperative expenses. Hence the profit will be Rs.59.00 lakhs per year 180.00 140.82 39.18