2.0 Market Potential

The product has a wide application in automobile component industry such as gaskets, radiator cooling fins. Their application in pharmaceutical industry is for packaging. The foil has a great role mainly in packaging sector for food, pharmacy, catering services. Al. foils of thicker variety are used as PP caps and flip off caps for cans in breweries and distilleries. It also finds applications in electrical cable industry, caps for bulbs and tubes etc. Thus in general aluminum foils find varied applications in different fields. The nature of application determines the thickness of foil. The Indian packing sector to day stands out as most opportunistic industry. The spread and growth of packaging industry is interesting. It is spread over from cottage group to highly sophisticated one. They work in cohesion to meet the diversified demand. Packaging plays an important role; it helps extend the product shelf life by acting as a protective barrier. It is used to preserve natural untreated and unprocessed food so that they can meet customers' demands. Apart from containment and preservation communication between manufacturer/seller and consumer is a third equally important function of packaging. Besides this attractive packaging also performs the function of marketing the products.

Packaging material thus should be such that it fulfills the requirement and should be finally disposable in an environment friendly way. Aluminum foil is an ideal material for the purpose as it has the necessary qualities for recycling. The fact that recycling does not degrade aluminum means that new aluminum can be made from 100% recycled material. Thus aluminum foil has a major role in the packaging industry.

3.0 Basis and Presumption

a) The unit will operate for 300 days per annum on single shift basis
b) The unit will achieve optimum capacity utilization during third year.
c) The salary and wages have been taken at prevailing rates.
d) The interest rate on term loan has been taken @13%
e) The total demand for power is 500kw
f) The unit will be constructing its own buildings

4.0 Technical Aspects

4.1 Raw Material:

The raw material for the unit is aluminum sheet 3mm thick and 1000mm wide which is easily available in open market.the total requirement at optimumlevel of production will be 2400 MT.

4.2 Manufacturing Process:

The process is standard cold rolling method. The 3.5 mm thick sheet is passed through the cold rolling mill to gradually reduce the thickness to desired level. The material needs to pass through several times to achieve the desired result. During cold rolling process the material tends to become hard as such the product needs to be annealed before further rolling. During the rolling process the edges of the sheet are deformed and have to be trimmed. The in process lossin manufacturing is 5% which can be recycled.

5.0 Pollution control