|
Sanitary Ware
| Product Code |
: |
94333 |
| Quality
and Standards |
: |
IS 771:1963
IS 771:1979 series
IS 773 to 775
IS 2556 series
IS 2781:1964
IS 2781:1975 |
| Uploaded
on |
: |
July 2007 |
Introduction
Today sanitary wares are made from variety
of materials each of them having certain advantages over the
others. However, sanitary wares made of ceramic has many advantages
over those made of other materials and are economical also.
It has a wide acceptance in the society. The ceramic sanitary
wares are used for sanitation purposes and the product ranges
from washbasins, closets, urinals, sinks, baths to hoppers.
It has properties like very good resistance to weathering,
chemical erosion, mechanical strength and resistance to abrasion.
Its use in sanitation has preference over other materials.
In near future also the chance for replacing these items by
other materials looks very black. They are economical, easy-to-clean,
longer life and are available in pleasing colours.
Market Potential
The market for ceramic sanitary ware is
very bright since its demand is increasing at a good rate.
The reasons are not far to seek. The improved living standards
coupled with good economic situations along with supporting
Government policies for housing sector speak themselves for
the demand of these products. There is large renovation activities
taking place in the urban areas. All these factor ensure and
creates a positive demand for these items. It is an essential
and integral part of building construction in areas like housing,
educational and research institutions, hospitals, industries,
hotels and restaurants, cinemas and other public places.
The formation of Housing Development Finance
Corporation and lucrative financial scheme of Government and
private banks and asy availability of finance at low rates
of interest from banks has pushed the demand of building material
due to all-round growth in the building construction sector.
The role of the private sector, which accounts for the lion's
share of investment in housing and construction has increased
and it shall remain favourable.
The demand of ceramic sanitary wares is
increasing day by day in rural and urban areas due to increased
construction activities and changing sanitation habits. There
are around 120 small scale units with an annual capacity of
around 85,000 MT. The small scale industries are manufacturing
mostly white coloured opaque sanitary ware which has a large
demand in the rural areas. A number of units have also started
manufacturing coloured variety of sanitary ware which is in
great demand not only in the urban areas but has created a
good export market also. The States and Central Govt. have
launched a number of house building schemes and sanitation
programmes across the country, which promises a good scope
for the establishment of small-scale units.
Basis and Presumptions
i. It had been taken into consideration
that the unit will work on single shift basis for 300 days
in a year. The firing operations are, however, to be carried
out continuously on three shift basis till particular firing
cycle is complete in all respects
ii. To achieve full plant capacity 1-2 months trial production
is required
iii. Interest rate is a t 13%
iv. Margin money will vary from 20- 25% depending upon the
location and scheme adopted by the entrepreneurs i.e. self
employment or commercial scheme.
v. Operative period of the project is around 10 years considering
technology obsolescence rate and period of repayment of loan.
vi. The costs of land, construction charges, cost of machinery
and equipment, raw materials and consumables, salary and wages,
other expenses etc. indicated in the profile are based on
the prices prevailing at the time of preparation. Therefore,
there are subject to necessary changes from time to time based
on the local conditions.
Implementation Schedule
| Sl.No. |
Activity |
Period
|
| Starting |
Completion |
|
|
| 1. |
Survey for collection
of data in respect of demand Raw material, including power
and fuel availability of technology, pollution control
|
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. |
Finance 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 |
6th month |
| 8. |
Electricity, fuel and
water tie-up for availability |
4th to |
6th month |
| 9. |
Construction of building
|
7th to |
10th month |
| 10. |
Identification/selection
of machine |
|
5th month |
| 11. |
Placement of order (Machine)
|
|
6th month |
| 12. |
Transportation and installation
of machine and equipment |
10th to |
11th month |
| 13. |
Selection of raw material
and placement of orders |
|
9th month |
| 14. |
Receipt of raw material
|
10th to |
11th month |
| 15. |
Installation of laboratory
|
9th to |
11th month |
| 16. |
Trial production |
|
12 th month |
Technical Aspects
Process of Manufacture
Process of Manufacture The non-plastic
raw materials like quartz, felspar and some clays are crushed
and ground to required fineness. They are unloaded in an agitator
where more clay is added as per composition. The slip is screened,
magnetized and kept in an agitating tank with addition of
required flocculents. The wares are cast in plaster moulds.
The wares are dried and finished and are kept on open racks
for drying. The dried wares are tested for cracks and then
applied glaze by spraying. It is then loaded in the kilns
for firing at a temperature of about 1260OC. After firing
they are sorted out and packed for sale.
Quality Control
and Standards
The Bureau of Indian Standards has formulated and published
the following specifications for maintaining the quality of
the product and testing.
| IS 771 |
: |
1963 |
| IS 771 |
: |
1979 Series |
| IS 773 |
to |
775 |
| IS 2556 |
|
Series |
| IS 2781 |
: |
1964 |
| IS 2789 |
: |
1975 |
Production Capacity (per annum)
| Quantity |
: 1,200 M.T. |
| Value |
: Rs. 25200000 |
Pollution Control
In this projects shuttle/tunnel kiln is
recommended which is fuel efficient and hence comparatively
non-polluting, however dust collecting equipment need be installed
on crushing machine and the furnace be fitted with retrofitting
for removal of obnoxious waste. The unit should obtain No
Objection Certificate from State Pollution Control Board.
Energy Conservation
This industry needs energy conservation
in fuel as well as in electricity. Ceramic fibre lined shuttle
kiln proposed in the project profile is fuel efficient and
the latest modern kiln which conserves fuel energy when compared
with conventional ceramic D.D. kilns. Simple precautions and
knowledge of effective utilization of electric power need
be practiced.
Financial Aspects
A Fixed Capital
| ( i ) Land and Building
|
(Rs.) |
| Land 2400 sq.mtrs. @
Rs.2000 per sq.mtr. |
4800000 |
| Building |
|
| Office, stores, laboratory
300 sq.mtr @ Rs.3500 per sq. mtr. |
1050000 |
| Working shed 900 sq.mtr
@ Rs.3000 per sq.mtr. |
2700000 |
|
Total
|
8550000 |
(ii) Machinery and Equipments Production
Unit
| Description |
Qty. Nos. |
Price (Rs.) |
| Ball mill size 6ftx6ft
complete with porcelain lining and grinding media with
1.0 HP motor |
2 |
400000 |
| Ball mill size 3ftx3ft
complete with porcelain lining grinding media with 5 HP
motor |
4 |
400000 |
| Agitator vat dia 10.5
ft and height 10.5 ft. Complete with 5 HP motor |
3 |
120000 |
| Slurry pump cap.1000
ltrs. Per hr. with 5 HP motor |
1 |
30000 |
| Magnetic seperator of
permanent type |
1 |
10000 |
| Spray booths complete
with complete with air compressor spray guns etc. |
4 |
60000 |
| Testing Laboratory equipments
and apparatus |
L.S. |
40000 |
| Ceramic fibre lined,
shuttle kilns, oil fired, capacity 5 tonnes complete with
firing system, loading cars and setters etc. with one
extra car each |
3 |
3600000 |
| Oil pipe fitting for
furnace |
L.S. |
80000 |
| Oil storage tank and
pre heating system |
L.S. |
60000 |
| Deepwell pump set with
over- head storage tank (2 HP) |
L.S. |
100000 |
| Installation and erection
charges |
L.S. |
80000 |
| Drying racks and working
table, slurry container etc. |
L.S. |
250000 |
| Office equipment and
furniture |
L.S. |
100000 |
| Total cost
of machinery and equipment |
5330000 |
| (iii) Pre-operative (project
deposits etc. and other unforeseen expenses) |
L.S. |
1,00,000
cost, non-refundable, |
| Total
fixed capital(i+ii+iii) |
13980000 |
B. Working Capital (Per Month)
(i) Personnel (per month)
| Designation
|
Nos. |
Salary
|
Total
(Rs.) |
| Manager(Ceramist) |
1 |
15000 |
15000 |
| Supervisor |
5 |
8000 |
40000 |
| Accountant |
1 |
8000 |
8000 |
| Store keeper |
1 |
6000 |
6000 |
| Clerk/Typist |
3 |
4000 |
12000 |
| Skilled workers |
8 |
5000 |
40000 |
| Semi skilled workers
|
10 |
4500 |
45000 |
| Un-skilled workers |
30 |
3000 |
90000 |
| Watchman/peon |
3 |
3000 |
9000 |
|
Total
|
265000 |
| 22% of salary
|
58300 |
|
Total
|
323300 |
(ii) Raw Materials Including Packing
Requirements (per month)
| Production |
Qty. (tons) |
Rate Rs (MT) |
Value (Rs.) |
| China clay |
13 |
2000 |
26000 |
| Ball clay/fire clay |
40 |
800 |
32000 |
| Felspar powder |
30 |
1400 |
42000 |
| Quartz powder |
25 |
1800 |
45000 |
| Plaster of paris |
8 |
2000 |
16000 |
| Other colours and chemicals
|
L.S. |
|
15000 |
| Packing material
|
L.S. |
|
16000 |
|
Total
|
192000 |
| (iii)
Utilities (per month) |
(Rs.) |
| Power 13166 kWH unit
@ Rs. 5.00 per uni |
|
65830 |
| Water |
LS |
2500 |
| Fuel furnace oil 35 kilo
ltr @ Rs.30'000/kt.ltr. |
|
1050000 |
| Kiln furniture |
LS |
20000 |
|
Total
|
1138330 |
| (iv) Other Contingent
Expenses (per month) |
(Rs.) |
| Postage and stationery
|
2000 |
| Telephone |
3000 |
| Consumable stores |
10000 |
| Repair and Maintenance
|
10000 |
| Advertisement and publicity
|
20000 |
| Insurance |
4000 |
| Misc. expenditure |
10000 |
|
Total
|
59000 |
| (v) Total Recurring Expenditure
(per month) |
1712630 |
| (vi) Total Working Capital
(2 months basis) |
3425260 |
C. Total Capital Investment
| Fixed capital |
13980000 |
| Working capital |
3425260 |
|
Total
|
17405260 |
Machinery Utilization
Ball mill 80% (on the basis of 24 hours
working in a day)
Agitator 100% (on the basis of 24 hours
working in a day)
| (1) Cost of Production
(per year) |
(Rs.) |
| Total recurring cost
|
20551560 |
| Depreciation on building
@ 5% |
427500 |
| Depreciation on machinery
and equipment @ 10% |
130000 |
| Depreciation on kilns
@ 20% |
720000 |
| Depreciation on drying
racks, hand tools Working tables etc. @ 25% |
62500 |
| Depreciation on office
equipment @ 20% |
20000 |
| Interest on total capital
investment @ 13% |
2262683.8 |
|
Total
|
24174243.8 |
(2) Turnover (per year)
| Items |
Qty |
Rate per ton |
Value (Rs.) |
| Sanitary ware I quality
|
600 MT |
28000 |
16800000 |
| Sanitary ware II quality
|
600 MT |
22000 |
13200000 |
|
Total
|
30000000 |
| (3) Net Profit (per
year) |
= |
Turnover (per year) –
Cost of production |
| |
= |
5825756.2 |
| |
|
|
| (4) Net Profit Ratio
|
= |
Net profit x 100
-------------------- |
| |
|
Turnover |
| |
|
|
| |
= |
5825756.2 x 100
--------------- |
| |
|
30000000 |
| |
|
|
| |
= |
19.42 |
| |
|
|
| (5) Rate of Return |
= |
Net profit x 100
---------------------- |
| |
|
Investment |
| |
|
|
| |
= |
5825756.2 x 100
---------------------- |
| |
|
17405260 |
| |
|
|
| |
= |
33.47 |
(6) Break-even Point
| Fixed
Cost |
(Rs.)
|
| Depreciation |
1360000 |
| Interest on total investment
|
2262683.8 |
| Insurance |
48000 |
| 40% of salary and wages
|
1551840 |
| 40% of other contingent
expenses excluding insurance |
264000 |
|
Total
|
5486523.8 |
| B.E.P |
= |
Fixed cost x 100
--------------------- |
| |
|
Fixed cost + Profit |
| |
|
|
| |
= |
5486523.8 x 100
----------------------- |
| |
|
5486523.8+ 5825756.2
|
| |
|
|
| |
= |
48.5% |
Additional Information
The scheme has been calculated with capital
of 4 M.T. production per day. Since it is economical to purchase
powdered quartz and felspar the same has been adopted.
Addresses of Machinery Suppliers
1. M/s. Amic Industries (P) Ltd.
85-D, Dr. Suresh Sicar Road,
Kolkata
2. M/s.Gidwaney Brothers
73, Netaji Subash Road,
P.B.No.2346,
Kolkata
3. M/s.Saboo Engg. Works
Kuchaman Road- 341509
(Rajasthan)
4. M/s. Perfect machine Tools Corporation
1, Smith Road, Chennai-1
5. M/s. St.Vincent Industries
Convent Road, Kolkata
6. M/s. Jaycee Traders
12, Gitanjali,
1st Floor, P.B. No.378,
Mumbai-5
7. M/s. Bengal Lion Ind. Furnace Ltd.
D-828, New Friends Colony,
New Delhi-110066
8. M/s.Sharma Kiln Technology (P) Ltd.
4, Gujarati House,
Opp. Victoria Garden,
Lal Darwaja,
Ahmedabad – 380001
9. M/s. Unifire
16-13 Shakespere Sarani
4th Floor, Kolkata 700071
Raw Material Suppliers
1. M/s. Wolkam(P) Ltd.
Mewar Ind. Estate, P.B. No.21,
Udaipur (Rajasthan)
2. M/s. Multani Minerals
Station Road,
Thangadi(Gujarat)
3. M/s.Tahla Ram and Sons,
Rathkhna,
Bikaner, (Rajasthan)
4. M/s. Oriental Prespating Co.
1880/2, Opp. Desai Pot,
Khadra, Ahmedabad
5. M/s. Ompura Parn Shankar and Sons
Thangadh, Dist. Surendranagar (Gujarat)
6. M/s. United Minerals Ltd.
Comm. Building
102-E, Netaji Subash Road,
Kolkata
7. M/s. Ferro Castings and Colours Ltd.
Post Joka 24, Paraganas
Kolkata
8. M/s. Udar Enterprises
1, Gandhi Road,
Salem - 676007
Contact for more information:
Information Manager
TIMEIS Project
E-mail: timeis@ficci.com
|
