Unlimitedprojects: Tooth Paste Project

Introduction:

There is a huge demand of Terry Towels in the world. The project has been conceived as a 100% Export Oriented Project. The unit is proposed to have an installed capacity of 750 TPA of toweling material.

Since the unit would be primarily catering to the international markets, the unit would be utilizing of state of art plant and machines including air jet looms from world renowned suppliers. The width proposed is of 260 cms. This has been considered in order to give the unit a flexibility of manufacturing the complete rate of toweling fabrics, which includes besides towels, hand clubs, bath- robes etc.

Plant & Machinery:

The cost of imported plant & machinery is around Rs. 265.00 lacs and the balance of Rs. 140.00 lacs constitute cost of plant & machinery, which is proposed to be sources from indigenous machinery manufacturers. The plant has been envisaged to be eco-friendly and proposes to set up a 100% recycling effluent treatment plant, which has been incorporated as an integral part of the project.

Raw materials & consumables:

The unit would be sourcing its requirement of raw material in the form of cotton yarn of counts 14’s, 16’s, 12’s, 2/20’s, 2/24’s indigenously, which is readily available. The unit would be consuming a total of 825 tones of cotton yarn per annum at 100% capacity utilisation, this includes 10% of wastage. Varieties of consumables such ground warp, pile yarn, processing chemicals and packaging materials would be required.

Cost of the project:

Sl. No.	Description	Cost (Rs. in lacs)
1.	Land & Site Development	64.00
2.	Buildings	74.00
3.	Plant & Machinery
	Imported	265.00
	Indigenous	140.00
4.	Misc. Fixed Assets	24.00
5.	Preliminary & Pre-operative expenses	32.00
6.	Contingencies	44.00
7.	Margin money	104.00
	Total	747.00
	Say	750.00

Means of Finance:

Promoters	300.00 lacs
Central Financial Institutions (term loans)	450.00 lacs

Manpower:

The project would be employing a total of 145 persons including 30 factory staff and 100 factory workers in three shift working. The rest will be management staff.

Utilities:

The unit would require on installed load of 562 KVA. The total electricity requirement is planned to be approx. 96,000 units per month. 100% load generating sets are also proposed to be installed.

The unit would also be requiring a steam generation facility which would consist of 3 tons per hour fuel fired boiler.

The total water consumption by the unit is estimated to be 56,000 KL per annum which is proposed to be met by 2 tube wells of 6” dia each.

Production & sales:

With an installed capacity of 750 TPA of toweling fabric, the unit is estimated to achieve 70%, 80% & 90% capacity utilization in the 1^st, 2^nd & 3^rd year of operations. The unit is expected to achieve a total sales turnover of Rs.1298.00 lacs in the 1^st year.

The sophisticated looms should ensure minimum defects. The fresh grade is estimated to constitute 90% of the total production, second grade at 8% and the balance 2% of rejects. A selling price of Rs.255.00, Rs.191.00 and Rs.120.00 per kg., respectively has been assumed above.

(Note: Plants of other capacities are also possible. Please write to vpcs@unlimitedprojects.com for Project Report on this project)

Attn.:TOOTHPASTE MFRS

A Progressive, Health Care Products Co. is interested in getting its own branded Toothpaste manufactured on 3rd party arrangement. The quantum is going to be large, minimum 5 lacs tubes per month.

Interested parties may please forward their offer carrying essential details, like brief about Company, present production provisions, production capacity, capacity utilisation and products being manufactured.

Send offer by email at:

vpcs@unlimitedprojects.com

27th July, 2002