|
L.T. Insulators and Electrical Porcelain
| Product Code |
: |
94336 and 94339 |
| Quality and
Standards |
: |
IS 1445:1997
IS 1283:2976 |
| Uploaded
on |
: |
June 2007 |
Introduction
Electrical Porcelain and L.T. Insulators
are of semi vitreous body. These products are in a position
to withstand normal domestic voltage up to 440 volts. Glazed
products are made for use in exposed weather and unglazed
products are used in dry conditions. The main types of product(s)
are: LT insulators, shackle insulators, split insulators,
kit-kats, outlet boxes, switch boxes, connectors, plugs, sockets,
lamp holders, bushes, cleats, label racks, bobbins etc.
They are used in telephone and power supply
to houses and other electric applications like electric iron,
toasters, stabilisers, transmission and distribution of power
line at low voltage 220-440 volts in the telephone and telegraphic
lines.
Market Potential
Due to developmental projects of Govt.
of India and States for electrification of rural and urban
areas in the country, the demand of these items and products
is increasing day by day. The growth rate is anticipated to
be around 15% per annum. The porcelain insulators are used
in L.T. Electrical energy distribution systems and telegraphic
communication system wherein these items are consumed for
new erection and replacement by the State Electricity Boards,
P&T Department, Railways etc. and private sector companies.
The demand of various types of insulators
also exists due to upsurge in the building construction activities
by private enterprises, societies and builders. The use of
electrical appliances is also increasing. These factors contribute
to the increased demand of various types of ceramic insulating
material in the domestic market. The industry has successfully
tapped export market as well. Hence there is a good scope
to set up this industry in the SSI sector.
Basis and Presumptions
By considering that the unit will work
on single shift basis for 300 days in a year. However, the
firing will carry out continuously on three-shift basis till
particular firing cycle is completed in all aspects.
Margin money will vary from 10-25% depending
upon the location and scheme adopted by the entrepreneurs.
Labour and wages are taken as per the prescribed minimum wages
of Govt.
To achieve full plant capacity 1-2 months
of production trial is necessary.
The costs of land, construction charges,
machinery and equipment, raw materials and consumables, other
contingent expenses etc. is taken in the profile as per prices
prevailing in the market at the time of preparation.
Operative period of the project is around
10 years considering technology obsolescence rate and period
of replacement of loan.
Implementation Schedule
|
Sl. No.
|
Activity
|
Period
|
| Starting |
Completion |
Period
|
| 1. |
Survey for data collection
in respect of demand, raw material, power and fuel technology
and pollution control etc. |
0 To |
2nd month |
| 2. |
Arrangement of margin
money |
2nd To |
3rd month |
| 3. |
Preparation of project
document and registration |
2nd To |
3rd month |
| 4. |
Arrangement for financial
assistance |
4th To |
6th month |
| 5. |
Selection of site and
development of land |
4th To |
6th month |
| 6. |
Make shift office |
|
7th month |
| 7. |
Clearance for pollution
|
3rd To |
5th month |
| 8. |
Electricity, fuel and
water tie-up for availability |
4th To |
6th month |
| 9. |
Selection of machine,
placement order,
construction and installation etc. |
5th To |
10th month |
| 10. |
Selection of raw material,
placement of orders and receipt of raw materials |
9th To |
10th month |
| 11. |
Installation of laboratory
|
9th To |
10th month |
| 12. |
Trial production |
|
12th month |
Technical Aspects
Process of Manufacture
Main raw materials like china clay, ball
clay, quartz, felspar, plastic fire clay are used for the
preparation of body. Materials like whiting, barium carbonate,
zinc oxide etc. are used for the preparation of glazes. The
non-plastic raw materials are ground in ball mill to the fineness
of 100-120 number mesh and water is added in desired proportion.
China clay and other soft clays with 0- 40% water are blunged
in the blunger and sieved through 120 No. mesh and then passed
through electromagnet in order to remove the iron particles.
Both slurries are mixed proportionately
in the agitator tank. The slurry from the agitator tank is
passed through filter press for dewatering to make cakes.
L.T. Insulators like pin, shackles etc. are made by pressing
or throwing process followed by turning on leather hardening.
For making the electrical pressed porcelain
items, the cakes are dried and powdered in a disintegrator.
Dry broken green articles are also mixed with this body with
approx. 6% water and 3% oil is mixed to form consistent and
uniform granules. The prepared mass is again passed through
a sieve granulator, so that any lump formed during mixing
is broken to form granules.
The mass is then pressed into shapes in
a piller press/toggle press fitted with dies of desired shapes.
The articles are then dried and finished. The articles are
glazed, if required and then fired at the temperature of about
1280 oC in a shuttle kiln. The articles are taken out from
the kiln are sorted and packed for selling.
Quality Control
and Standards
The BIS has formulated and published IS 1445:1977 and IS 283:1976
for carrying out the various tests and specifications which
may be used as basis for quality control.
Production Capacity
|
Quantity
|
: 900 MT
|
|
Value
|
: Rs. 1,04,40,000.
|
Pollution Control
Cyclonic dust collector to be installed
to control the airborne dust during the crushing. The Kiln
should conform to the specification to ensure clean operation
as per the Pollution Control Act.
Energy Conservation
Industry needs energy conservation in
fuel as well as in power consumption. The use of ceramic fibre
in the shuttle kiln conserves 20-40% of fuel energy compared
to conventional type of D.D. Kiln.
Financial Aspects
A Fixed Capital
| ( i ) Land and Building
|
Rate (Rs.) |
Value (Rs.) |
| a) Land 2000 sq. metre
|
550 sq. meter |
11,00,000 |
| b) Building |
|
|
| i) Machinery shed-300
sq. metre |
1800 sq. meter |
5,40,000 |
| ii) Kiln shed- 150 sq.
metre |
1800 sq. meter |
2,70,000 |
| iii) Raw material shed-
100 sq. metre |
1200 sq. meter |
1,20,000 |
| c. Finished Goods
|
|
|
| i) Godown-100 sq. metre
|
1800 sq. meter |
1,80,000 |
| ii) Office-60 sq. metre
|
2200 sq. meter |
1,32,000 |
| iii) Boundary wall |
L.S. |
91,000 |
|
Total
|
24,33,000 |
(ii) Machinery and Equipments
| Particular/items |
Qty. |
Value (Rs.) |
| Ball Mills, size 1800
mm×1800mm with all accessories and 10 HP Motor |
2 |
1,40,000 |
Ball mill size 900 mm×900
mm with all accessories
with 7.5 HP Motor |
1 |
50,000 |
| Screw Blunger, capacity
5000 litre vat size 2.8 metre x 1.8 metre with 2 HP motor
including cemented tank |
1 |
60,000 |
| Vibrating screen size
900 mm x 600 mm with all accessories with 1 HP Motor |
2 |
25,000 |
| Electromagnetic separator
with rectifier 200 volts AC |
1 |
15,000 |
| Agitator size 2.4 mx18m
with 3 HP motor |
1 |
45,000 |
| Diaphram pump, stroke
225 mm, section 75mm with 7.5 HP motor |
1 |
60,000 |
| Filter press chamber
dia 300mm and 50plates. |
1 |
1,10,000 |
| De-airing pug mill with
all accessories and 10 HP, 1HP Motor each |
1 |
1,15,000 |
| Turning machine/lathe
machine with 2 HP motor each |
2 |
70,000 |
| Disintegrator size 550
CM with all accessories and 7.5HP motor |
1 |
55,000 |
| Granules making machine
with 2 HP motor |
1 |
25,000 |
| Toggle press, hand operated
|
7 |
1,69,000 |
| Jigger and Jolly for
shaping with 1 HP motor |
1 |
35,000 |
| Water pump set with 2
HP motor |
1 |
25,000 |
| Saggar press hand operated
|
1 |
28,000 |
Engineering workshop
lathe bench, drilling machine, Arc
welding other misc. tools etc. |
L.S. |
1,45,000 |
| Testing equipments |
L.S. |
90,000 |
| Electrification + installation
charges |
L.S. |
1,17,000 |
|
Total
|
13,79,000 |
| Misc. Tools, dies, trolleys,
weighing platform etc. |
|
90,000 |
| Cost of office furniture
and fixture |
L.S. |
64,000 |
|
Total
|
14,16,000 |
|
Shuttle Kiln
|
Qty.
|
Value (Rs.)
|
|
Ceramic lined shuttle kiln having
two ears control system, oil storage tank and two extra
ears.
|
1 No.
|
13,75,000
|
|
(iii) Pre-operative Expenses
|
L.S.
|
60,000
|
|
Total
|
29,68,000
|
| (+) Land and Building
|
24,33,000
|
| Total Fixed Capital |
54,01,000
|
B. Working Capital (Per Month)
(i) Salary and Wages (per month)
| Designation |
No. |
Salary month |
Total (Rs.) |
| Manager-cum ceramist
|
1 |
7,500 |
7,500 |
| Supervisor |
1 |
4,000 |
4,000 |
| Accountant |
1 |
3,500 |
3,500 |
| Clerk-cum typist |
1 |
3,000 |
3,000 |
| Skilled workers |
14 |
2,500 |
35,000 |
|
Semi-skilled workers
|
20
|
2,000
|
40,000
|
|
Peon
|
1
|
1,500
|
1,500
|
|
Watchmen
|
2
|
1,500
|
3,000
|
|
Total
|
97,500 |
| Perquisites @ 15% of
total |
14,625 |
|
Total
|
1,12,125 |
(ii) Raw Materials (per month)
| Particular items |
Qty. (MT) |
Rate (Rs./MT) |
Value
(Rs. lakhs) |
| Quartz/silica sand |
20 |
500 |
10,000 |
| Felspar |
25 |
600 |
15,000 |
| China clay |
20 |
1400 |
28,000 |
| Ball clay/Fire clay |
30 |
600 |
18,000 |
| Glazing materials |
2 |
7000 |
14,000 |
| L.D.O (Fuel) |
23 kL |
14000 kL |
3,22,000 |
| Kiln furniture |
LS |
|
5000 |
| Packing material |
LS |
|
10,000 |
|
Total
|
4,22,000 |
| (iii) Utilities (per
month) |
Value (Rs.)
|
| a) Power 60 kWH x Rs.3.00x
8hrs.x25 days |
36,000 |
| c) Water |
L.S. |
500 |
|
Total
|
36,500 |
|
(iv) Other Contingent Expenses
(per month)
|
(Rs.)
|
|
Postage and Stationery
|
1,000
|
|
Consumable stores
|
2,000
|
|
Repair and Maintenance
|
6,000
|
|
Advertisement
|
1,000
|
|
Insurance
|
2,000
|
|
Misc. Expenses
|
1,500
|
|
Transport
|
1,500
|
|
Total
|
15,000
|
|
(v) Total Recurring Expenditure
(per month)
|
(Rs.)
|
|
Salaries and wages
|
1,12,125
|
|
Raw materials
|
4,22,000
|
|
Utilities
|
36,500
|
|
Other Contingent expenses
|
15,000
|
|
Total
|
5,85,625
|
|
Total For 3 months
|
17,56,875
|
C. Total Capital Investment
|
Total fixed investment
|
Rs. 54,01,000
|
|
Total working capital
|
Rs. 17,56,875
|
|
Total
|
Rs. 71,57,875
|
Financial Analysis
| (1) Cost of Production
(per annum) |
Value (Rs. lakhs)
|
| Total recurring cost
|
70,27,500 |
| Depreciation on building
@ 5% |
66,650 |
| Depreciation on machinery
and equipment @ 10% |
1,37,900 |
| Depreciation on mould,
dies furniture and fixtures @ 20% |
30,800 |
| Depreciation on Kiln
@ 20% |
2,75,000 |
| Interest on total investment
@ 14% |
10,02,102 |
|
Total
|
85,39,952 |
(2) Turn-over (per year)
|
Particular items
|
Qty.
|
Rate (Rs.)
|
Value (Rs.)
|
|
L.T. Insulator and Electrical porcelain
items
|
900MT
|
11600
|
1,04,40,000
|
| (3) Net Profit (per
year) |
= |
Sales – Cost of production
|
| |
= |
Rs. 1,04,40,000 – 85,39,952
|
| |
= |
Rs. 19,00,048 |
| |
|
|
| (4) Net Profit Ratio
|
= |
Net profit per year x
100
-------------------- |
| |
|
Total Sales |
| |
|
|
| |
= |
19,00,048 x 100
--------------- |
| |
|
1,04,40,000 |
| |
|
|
| |
= |
18.2% |
| |
|
|
| (5) Rate of Return |
= |
Net Profit per year x
100
------------------------------ |
| |
|
Total capital Investment
|
| |
|
|
| |
= |
19,00,048 x 100
---------------------- |
| |
|
71,57,875 |
| |
|
|
| |
= |
26.55% |
(6) Break-even Point
| Fixed Cost |
(Rs.) |
| Total Depreciation |
5,10,350 |
| Interest on total Investment
@ 14% |
10,02,102 |
| 40% of salary and wages
|
5,38,200 |
| 40% of other Contingent
expenses |
62,400 |
| Insurance |
24,000 |
|
Total
|
21,37,052 |
| B.E.P |
= |
21,37,052 x 100
----------------------- |
| |
|
21,37,052 + 19,00,048
|
| |
|
|
| |
= |
52.94% |
Addresses of Machinery Suppliers
1. M/s. Modern Engg. and Fabricating Works
Behind Kubeshwar Mahadev,
Saijpur (Ambavadi) Naroda Road,
Ahmedabad (Gujarat)
2. M/s. Perfect Machine Tools Corporation
1, Smith Road, Chennai-600001,
(Tamil Nadu)
3. M/s. St. Vincent Industries
Convent Road,
Calicut, (Kerala)
4. M/s. Jawa Traders
12, Getanjali, 1st Floor,
Fort Bay-378,
Mumbai-400 005
5. M/s. Sabarwal Metal Industries
9, Industrial Estate, Kalpi Road,
Kanpur-208012, (U.P.)
Tunnel Kiln/Shuttle Kiln
6. M/s. Bengal Lion (Industrial Furnace) Ltd.
27-B, Camal Street,
Kolkata-700016, (West Bengal)
7. M/s. Unifire Ltd.
16-18, Shakespere Sarai,
4th Floor, Kolkata-700071. (West Bengal)
8. M/s. Teksaga Bhagat Carakiln (P) Ltd.
D-828-M, New Friends Colony,
New Delhi-110065. N.C.T.
9. M/s. Sharma Kiln Technology (P) Ltd.
206, Hare Krishna Complex,
Ashram Road,
Ahmedabad-280006
For Ceramic Fibre
10. M/s. Orient Cerawool Ltd.
99, KM Stone,
Ahmedabad-Surendra Nagar
Highway, Lakhtar,
Distt. Surendranagar,
(Gujarat)
11. M/s. Murugappa Morganite Ceramic Fibres Ltd.
28, Rajaji Road,
Post Box No. 1570
Chennai-600001
(Tamil Nadu)
Raw Material Suppliers
1. M/s. Wolkan (P) Ltd.
Mewar Indl. Estate,
Post Box No.21,
Udaipur, (Rajasthan)
2. M/s. Multani Minerals
Station Road, Junagadh,
(Gujarat)
3. M/s. Udayar Enterprises
1, Gandhi Road,
Salurn-676007.
4. M/s. United Mineral Ltd.
Comm. Bldg.,
102-Netaji Subhash Road,
Kolkata-70001.
5. M/s Tohla Ram and Sons
Rathkhna, Bikaner,
(Rajasthan)
6. Locally available.
Borax
M/s. Borax Morarji Co. Ltd.
Mahatma Gandhi Road,
Ambernath, Distt. Thane
(Maharashtra).
Soda Ash
1. M/s. Tata Chemicals
Meethapur (Gujarat)
2. M/s. Sahn Chemicals Works
Sahanpur, Varanasi.
Refractories
1. M/s. Belpahar Refractories Ltd.
48, Chaurayee Road,
Kolkata.
2. M/s. Carborundum Universal Ltd.
11/12, North Bitch Road,
(Chennai)
3. M/s. Orissa Industries Ltd.
P.O. Narang Distt.
Cuttack (Orissa)
4. M/s. Kumar Dubhi Fire Clay and Silica
Works
P.O. Kumar Dubhi,
Distt. Dhanbad
Contact for more information:
Information Manager
TIMEIS Project
E-mail: timeis@ficci.com
|
