|
Stainless Steel Portable Water Filter
| Product Code |
: |
345411005 |
| Quality and Standards
|
: |
Buyer's/Manufacturer's
own specifications |
| Production Capacity
|
: |
Qty. : 54,000 Nos. (per
annum)
Value : Rs. 324.Lakhs |
| Uploaded
on |
: |
May
2007 |
Introduction
Portable Water Filters are very common
household utility item now-adays in all parts of our country.
Basically its function is to filter the microsuspended particles
from water supplied to our homes which contains such type
of particles and makes the water sluggish and mud coloured.
When water is filtered through a ceramic porous candle, the
suspended particles are tapped in the candle and filtered
water is collected in the bottom part of the vessel, where
a tap is fitted to drain water as and when required.
The quality of potable water whether supplied
from water supply agencies or through bored wells, is generally
not good enough to consume. This problem is more serious in
North Eastern part of our country where the main constituents
which make water contaminated are oil and iron. The use of
filters is the only cheapest way to solve this problem and
this product is thus very essential for each house.
Market Potential
The market potential is fairly good as
most of the filters available in the market are marketed by
Kolkata or Delhi based manufacturers. The market is rapidly
expanding to sub-urban areas and villages too, where till
date the only source of portable water is wells. But now with
the modern living standards, water supply system is incorporated
in buildings and to improve the quality, filters are essential.
Basis and Presumptions
1. The unit proposes to work in one shift
of 8 hours with 75% efficiency.
2. The full capacity utilisation can be achieved in one year.
3. Interest rate of loans is taken @ 12% for fixed capital
and working capital.
4. The promoter's contribution is 25%.
5. Payback period of the project is five years.
6. The labour wages are based on local market conditions and
observations.
Implementation Schedule
Datum : Submission of application for
the preparation of Project Report.
| Sl.No. |
Activity |
Period |
| 1. |
Preparation of Project
Report |
8 weeks |
| 2. |
Selection of site and
obtaining of provisional registration |
2 weeks |
| 3. |
Application for institutional
finance |
2 weeks |
| 4. |
Financial tie ups for
the implementation of the project |
3 weeks |
| 5. |
Marketing arrangements
|
8 weeks |
| 6. |
Placement of orders for
machinery and equipments |
2 weeks |
| 7. |
Delivery of machinery
and equipments |
2 weeks |
| 8. |
Trial and production
run |
4 weeks |
Technical Aspects
Process of Manufacture
Stainless steel portable water filter
is a unit which consists of two vessel made of steel. The
top vessel is used to store raw water. It has one/two ceramic
candles at the bottom which allow water to flow across it
and traps suspended particles. The filtered water is accumulated
in the lower vessel drop by drop, where a tap is fitted at
the bottom to drain water for use. The top vessel has a lid
on top.
The manufacturing of steel vessels involves
the following steps:
|
S.S. Blanks (Purchased/Blanked
on Circle Cutting Machine)
|
|
‡
|
|
Deep Drawing
|
|
‡
|
|
Trimming and Curling
|
|
‡
|
|
Punching of Holes
for Fittings
|
|
‡
|
|
Polishing
|
|
‡
|
|
Packaging
|
(Accessories e.g. tap, ceramic filter
candles and lid knobs are supplied along with, which are fitted
by the customers at home as per Instructions Manual.)
Quality Control and Standards
There is no ISI specification for the
product. However, the product is made to various sizes ranging
from 12 lit. to 30 lit. capacity out of stainless steel sheets
of 24 and 28 gauge.
Production Capacity (per year)
| Quantity |
: |
54000 Nos. |
| Value |
: |
324 Lakhs |
Financial Aspects
A Fixed Capitala
| (i) Land and Building
|
Amount
(In Rs.) |
| (i) Land 200 sq. mtr.
@ Rs. 6000 per sq. mtr including registration |
1200000 |
| ii) Cost of land development,
fencing, approach road, inside roads, land scaping, drainage
etc. @ Rs. 1000 per sq. mtr. |
200000 |
| (iii) Total built-up
area 150 sq. mtrs.@ Rs 5000/- sq Mtr |
750000 |
| Water System (including
Bore Well + over head tank etc) |
100000 |
| Total civil cost=
cost of land + building |
2250000 |
Machinery and Equipment
| Sl. No. |
Description |
Qty. |
Rate (Rs.) |
Amount
(In Rs.) |
| 1. |
Deep drawing double action
cam type power press, size
No.3 blank admitted 15", deep draw 4", No. of
strokes/ minute-15, alongwith 7.5 HP motor |
2 |
200000 |
400000
|
| 2. |
Beading machine with
complete accessories |
1 |
20000 |
20000
|
| 3. |
Stamping Machine |
1 |
10000 |
10000
|
| 4. |
Lathe Machine 2 HP Motor,
Centre height 12" length of bed 6 Ft. |
1 |
50000 |
50000
|
| 5. |
Electrically heated box
type chamber furnace. Heating chamber size 24" ×
24" × 18".20 kW with temperature control
device. |
1 |
150000 |
150000 |
| 6. |
Circle cutting machine
pedestal type 6" to 42"
with 1 HP motor |
1 |
20000 |
20000 |
| 7. |
Polishing machine
with 2 HP Motor |
4 |
20000 |
80000 |
| 8. |
Beam scale |
1 |
8000 |
8000 |
| 9. |
Arc Welding equipment
|
1 |
20000 |
20000 |
| 10. |
Double ended bench grinder
wheel size 10" × 1" with 1 HP motor |
1 |
16000 |
16000 |
| 11. |
Drilling machine 1"
cap. with 1 HP motor |
1 |
15000 |
15000 |
| 12. |
Punching Machine with
accessories, cap. 1/2" to 2" |
1 |
15000 |
15000 |
| 13 |
Hand tools like spanners,
files, chissels, drills, taps grease gun, and oiling equipment
|
L.S. |
10000 |
10000 |
| 14 |
Precision instruments
and measuring tools like vernier, caliper micrometer gouge
etc. |
L.S. |
10000 |
10000 |
| 15. |
Cost of dies for press
and fixtures for different items |
L.S. |
40000 |
40000 |
| 16. |
Cost of office equipment
including Typewtriter, Fax
Machine, etc. |
L.S. |
80000 |
80000 |
| |
Erection, Installation
and Electrification Charges @ 10% |
L.S. |
|
94400 |
|
Total
|
1038400 |
| (iii) Pre-operative Expenses
|
50000 |
| Total Fixed Capital (i+ii+iii)
|
3338400 |
B. Working Capital (per month)
(i) Salary and Wages
| Sl.No. |
Designation |
Nos. |
Salary (Rs.) |
Amount
(In Rs.) |
| 1 |
Manager-cum- Accountant
|
1 |
15000 |
15000 |
| 2 |
Clerk cum Typist |
1 |
7000 |
7000 |
| 3 |
Store Keeper |
1 |
5000 |
5000 |
| 4 |
Foreman cum diemaker
|
1 |
6000 |
6000 |
| 5 |
Pressman |
2 |
6000 |
12000 |
| 6 |
Polishers |
4 |
6000 |
24000 |
| 7 |
Circle blank cutter |
1 |
5000 |
5000 |
| 8 |
Peon-cum-watchman |
1 |
3000 |
3000 |
| 9 |
Skilled Workers |
6 |
4000 |
24000 |
| 10 |
Un-skilled Workers |
4 |
3000 |
12000 |
| Perquisites
@ 22% |
24860 |
|
Total
|
137860 |
(ii) Raw Material
| Sl.No |
Item |
Qty. |
Rate (Rs.) |
Amount (Rs.) |
| 1 |
Stainless steel circle
(24,26 gauge) MT including 2% wastage |
10 |
140000 |
1400000 |
| 2 |
Lusser mops, buffs, emery
paper, polishing
compound, lubricants, etc. |
|
LS |
20000 |
| 3 |
Ceramic Candles, lid
knobs, rubber
base ring and metallic taps |
4500 |
120 |
540000 |
|
Total
|
1960000 |
| (iii)
Utilities |
(In Rs.) |
| Electrical Power |
LS |
10000 |
|
Total
|
10000 |
| (iv) Other
Contingent Expenses |
(Rs.) |
| 1. |
Postage and Stationery
|
3000 |
| 2. |
Repairs and Maintenance
|
10000 |
| 3. |
Transport and Travelling
Expenses |
10000 |
| 4. |
Insurance |
3000 |
| 5. |
Packaging and Forwarding
|
20000 |
| 6. |
Telephone |
3000 |
| 7. |
Publicity and Advertising
|
20000 |
| 8 |
Other Misc. Expenses
|
10000 |
| |
Total
|
79000 |
| (v) Total Recurring
Expenditure (per month) |
(Rs.) |
| 1 Salary and Wages |
137860 |
| 2 Raw Materials |
1960000 |
| 3 Utilities |
10000 |
| 4 Other Contingent Expenses
|
79000 |
|
Total
|
2186860 |
| (vi) Working Capital
for 2 months |
4373720 |
C. Total Capital Investment
| (i) Fixed Capital |
3338400 |
| (ii) Working Capital
(for 2 months) |
4373720 |
|
Total
|
7712120 |
Machinery Utilization
75% of the capacity utilisation has been
taken into consideration.
Financial Analysis
| (1) Cost of Production
(per year) |
(In Rs.) |
| Total recurring cost
|
26242320 |
| Depreciation on Building
@ 5 % |
112500 |
| Depreciation on machinery
and equipment @10% |
86400 |
| Depreciation on office
equipment @ 20% |
16000 |
| Total interest on capital
investment @ 12% |
925454 |
|
Total
|
27382674 |
(2) Turn-over (per annum)
| Sl. No. |
Items |
Amount. (In Rs.)
|
| 1. |
Total Production of
Water Filter will be 54000 pcs. (4500pcs.×12 months)
for sale of different sizes and the average sale price
is Rs. 600 per piece. |
32400000 |
(3) Net Profit (per year) (Before taxes)
| Total Sales - Cost of
Production |
|
5017326 |
| |
|
|
| (4) Net Profit Ratio
|
= |
Net Profit per year ×
100
-------------------- |
| |
|
Turnover per year |
| |
|
|
| |
= |
15.49 |
| |
|
|
| (5) Rate of Return |
= |
Net Profit per year ×
100
--------------------------- |
| |
|
Total Capital Investment
|
| |
|
|
| |
= |
65.06 |
(6) Break-even Point
| Fixed Cost |
(Rs.) |
| Depreciation on Building
@ 5 % |
112500 |
| Insurance |
36000 |
| Depreciation on machinery
and equipment |
86400 |
| Depreciation on office
equipment |
16000 |
| Total interest on capital
investment |
925454 |
| 40% of salaries |
661728 |
| 40% of other contingent
expenses |
379200 |
|
Total
|
2217282 |
| B.E.P |
= |
2217282 × 100
--------------------- |
| |
|
2217282 + 5017326 |
| |
|
|
| |
= |
30.65 |
Addresses of
Manufacturers and Machinery /Equipment Suppliers
1. M/s. Radha Enterprises
169, Gopal Nagar, Hapur Road,
Ghaziabad (UP)
2. M/s. Hindustan Metal and Engineering Works
Jeewali Bazar, Rewari
3. M/s. G. P. Iron and Metal Industries
Dera Nanak Road,
Batala
4. M/s. Midnapore Engineering Works
63, Kalbortya Para Lane,
Salkia, Howrah (WB)
5. M/s. Howrah Sheet Metal and Engg. Works
242/1/11, G.T. Road,
Ghusuri, Howrah-7
6. M/s. Rama Industries
Jajjar Road, Rewari
7. M/s. Prem Metal Products Ltd.
Adhyatmic Nagar,
Ghaziabad (UP)
8. M/s. Auto Test
B-5, DSIDC Indl. Complex,
Rohtak Road,
Delhi-110041
9. M/s. M.G. Electricals
Plot No. 97, Sector 24,
Faridabad
10. M/s. Simplicity Engineers (P) Ltd.
B-99, Mayapuri Indl. Area,
New Delhi-110064
11. M/s. Steel Plant (P) Ltd.
205, Dr. Annie Besant Road,
Worli, Mumbai-18
12. M/s. Standard Engg., Co. Ltd.
B-1-102, Himalaya House,
10th Floor, 23, Kasturba Gandhi Marg,
New Delhi-110001
13. M/s. United Electrical Co.
18, New Qutab Road,
Delhi-110006
14. M/s. Rajendra Electric Works
3559, Qutab Road,
Delhi-110006
15. M/s. Sham Ravinder and Co.
A-46, Indl. Area,
G.T. Karnal Road,
Delhi-110033
Contact for more information:
Information Manager
TIMEIS Project
E-mail: timeis@ficci.com
|
