PROJECT PROFILE

Product Product

: :

Bangle Manufacturing NOCODE326

Quality Standard :

NIL

Month & Year

:

May 2010

Prepared By

:

Glass & Ceramic Division

MSME-DI 3rd CGO Complex sanjay place Agra

GLASS BANGLES
A. INTRODUCTION: Glass Bangles are products made out of block glass of different shades of colors or directly from batch material. These are sound in shape with pleasing colors and having designs over the surface. It is a customary for ladies to design wear bangles from their childhood for ornamental decoration and also as a symbol of sanctity. Glass bangles in also a sign of marital a status for ladies in India, especially in Northern and Eastern region. The trade names of the different size of the bangles are one Anna, Two four Anna, Tow – Six Anna, Two – Eight Anna and three Anna representing different diameters. The glass bangles are sold out with the above names for indication sizes.

B. MARKET : Glass bangles are the items of mass consumption throughout k the country. The demand for the glass bangles generally goes up during the festive seasons and special functions, marriage occasions etc. IN spite of competition from plastic and other bangles, the demand for glass bangles is even increasing in view of established characterized customary and auspicious status gained by it in the society. Having very much fragile in nature, the glass bangles have very good replacement demand. This type of industry is only concentrated are Firozabad manufacturing glass bangles using pot furnace. This type of industry may be set up in other pasts of the country also However, skilled labour, required for bangles coil of parison making may have to be brought from Firozabad. At these products have very good demand from ladies of lower and middle class families, there is good scope for setting up new kunits in this line of manufacture. C. BASIS AND PRESUMPTION: It has been taken into consideration that the unit will work one single shift basis for 300 day in a year. Only the furnace will run for

three shifts and accordingly 3 firemen have been arranged for operating the furnace consciously. The process of joining, liquid gold, silver and other types of decorations have not been incorporated in the profile as these can be got done from other cottage unit on piece rate basis. The industry involves the process of bangle coil making which require very high skilled worker and they work sometimes on hourly basis also. Hence, their wages have been kept very high as Rs. 8,000/- per month which is as per the Norms. It is presumed that in the first year the capacity utilization will be 65% increasing gradually in the subsequent years reaching to 85% in the 4th year kand expected to be maintained at this in the following years. Interest rate on fixed and working capital has been taken as 18% on an average. D. IMLEMENTATION SCHEDULE: 1. Survey for collection of data in respect of demand, raw material, available of skilled labour and technology etc. –o- 1st . 2. Preparation of project report -1- 2nd . 3. Provisional registration 2nd-3rd . 4. Selection of site 2nd – 3rd . 5. Arrangement of finance/loan. 6. Construction of Building & Workshad 3rd - 5th. 7. Construction of Furnace 5th – 7th. 8. Recruitment of staff & skill labour 7th – 8th. 9. Procurement of Raw material 8th – 9th. 10. Trial production 9th – 10th. 11. Actual production 11th onwards.

E. PROCESS OF MANUFACTURE: Process outline: The process of manufacture of glass bangles is highly skilled labour oriented one comprising of the following main operations: 1. Glass Melting 2. Parison Making 3. Bangle spiral / coil forming The glass batch materials like sand, soda ash, lime stone felsfar, borax etc with other additives and coloring materials in a suitable proportion are mixed thoroughly manually and fed into the pot places in pot

furnace. The raw material are melted in the furnace at a temperature of about 1300 – 1400 C to obtain molten glass. The molten glass is drawn from the pot of the furnace with the help of the iron pipe and formed into job to gather required quantity of glass for formation into parison on iron plates. The parison of different colors are joined together and reheated in an auxiliary furnace to obtain required designs. The reheated parison is then transferred to Belar furnace from which the glass is further drawn into spiral/coil of bangles on the spindle counted and rotated manually at uniform rate of revaluation synchronizing with the manually at the other end of the furnace. The formation of spiral/coil on the spindle from the softened glass parison required a highly specialized skill and that is why, these workers are highest paid staff in the bangle factory. The diameter of the bangle spiral mainly depends upon the diameter of the spindle used in the formation of spirals and the thickness lis controlled by exerting the requisite amount of full on the softened glass parison required highly specialized skill in the bangle why, these workers are highest paid staff in the bangle factory. The diameter of the bangle spiral mainly depends upon the diameter of the spindle used in the formation of the spirals and the thickness is controlled by exerting the requisite amount of full on the softened glass parison by spiral are maker (tarwalla) having highly skilled job. Spiral are then taken out from the spindle and cut with the help of a pencil cutter to separate out the single pieces of bangles from spiral. These cut or unjoined bangles are then sent for joining of end, finishing cutting & polishing, decoration etc. The finished products are then neatly packed or made into toras for sale. F. INSPECTION AND QUALITY CONTORL: There are standards/specification for glass bangles and hence these are to be made as per the consumer requirement and prevailing fashing. But it is very essential to take suitable measures to maintain the quality in selection and mixing of the raw material, batch composition, melting of glass uniformity in sizes and shapes of end products and there durability. The bangle should be free from the small sees, bubbles and minor defects which can be controlled by proper melting of glass. The durability of the glass is mainly dependent upon the composition of the batch and amount of seed & bubbles retained in the bangles. Power required:

As all the operation are manual, the requirement of power is only for the lighting purpose having load of 5 kw. Pollution control: For the pollution control, it is proposed to install a chimney of 60 ft height for the glass melting pot furnace. The auxiliary furnaces also should lane at least the hood types of arrangement on the top for exit of the gases. With installation of proper instrument like orsat apparatus, optical pyroments, letter combustion results k could be achieved and hence minimizing the pollution. Vacum cleaner and dust collectors are also proposed t minimize the dust pollution at the l place of batch preparation. Energy Conservation:The furnace should be constructed heat efficient as for as possible by selecting proper types of refractors of good quality. For measurement of temperature, optical pyrometer may be l used which will help in maintaining the k required degree of temp and not loosing the heat by keeping higher temp of the furnace which is possible k if it is maintained only j k with eye and experience. The better combustion of the fuel can be achieved if the requisite quantity of excess air is fed into the furnace which can be controlled with the help l of the results obtained from orsat apparatus. The percentage of Co 2, Co and 02 are the indication of complete or incomplete combustion. It also indicator whether the excess air quantity is more or less. More excess air also cools the furnace which in tur requiring more heat energy to maintain the same degree of temperatures. G. PRODUCTION CAPACITY PER ANNUM: Glass Bangles of various sizes 3,40,000 toras @ Rs. 46 per tora Rs. 1,56,40,000/-

F. FINANCIAL ASPECTS: 1. FIXED CAPITAL: (a) Land & Building: S.N. DESCRIPTION 01. Boundary Walls L.S. 02. Building 03. Lnad _ 40000 Sq. mets. @ Rs.100/- per Met 04. Workshed _ 500 Sq.m @ Rs.1200/- ` Total (b) Machinery and Equipment: S.N. DESCRIPTION 1. Auxiliary furnace for reheating 2. Belane furnaces 3. Direct cokal fixed pot furnace with 12 pots each having capacity of 400 With 60 ft height of chimney 4. Dust Collector 5. Office Furniture & Equipments 6. Optical pyrometer 7. Orasaat appratus 8. Vacume cleaner 9. Tools, Dies & Equipments 10. Installation & Electrification QTY RATE 2 25,000 5 15,000 1 5,00,000

Rs. AMOUNT 8 0,000 750,000 400,00 600,000 ========= 1,830,000 Rs. AMOUNT 50,000 75,000 5,00,000

1 1 1 1

40,000 40,000 20,000 20,000

Total WORKING CAPITAL PER MONTH: (a) Row material Per Month: S.N. DESCRIPTION QTY RATE 1. Borax 1 20,0000 2. Cullet (Broken Glass) 10 1,200 3. Fire Clay pots 4. Lime Stone 2.5 1000 5. Other minor Chemical 6. Packing Material 7 Potassium Nitrates 1.5 15,000 8 Silica Sand 40 500 9 Soda Ash 16 8,000 2.

40,000 40,000 20,000 20,000 8000 20,000 70,500 ======== 815,500 ========

AMOUNT 20,000 12,000 26,000 2,5000 14,450 14,300 22,500 20,000 128,000 =========

Total (b) Salaries & Wages Per Month: S.N. DESCRIPTION QTY RATE 1. Accountant 1 2,200 2. Clerks 2 1,500 3. Foreman 3 2,200 4. 5. 6. 7 8 9 10 11 Foreman Manager cum Glass Technologist Semi Skilled Workers Skilled Worker Special Skilled Workers Sweeper Unskilled Worker Watchman 1 1 40 20 5 1 40 3 2,500 5,000 1,500 2,000 8,000 1,000 1,000 1,200 Total Perquisites 15% Total (c). Utilities per Month: S.N. DESCRIPTION 1. Cost of Joining, Plannng and Stringing of bangles approximately roar of bangles 2. Electricity 750 KWH 3. Steam Coal 180 ton 4. Water

259,750 ========= Rs. AMOUNT 2,200 3,000 6,600 2,500 5,000 60,000 40,000 40,000 1,000 40,000 3,600 ========= 203,900 30,585 ========= 234,485 ========= Rs. AMOUNT 150,000

QTY RATE 5 30.,000

2.5 2000

750 180

Total (d) Other expenses per Month: S.N. DESCRIPTION 1. Advertisement and publicity 2. Postage and Stationery 3. Repair and Maintenance 4. Replacement of pots 5 Telephone 6 Transport charges

1,875 360,000 1,500 ========= 513,375 ========= Rs. AMOUNT 2,000 15,000 1,500 5000 2,000 10,000 =========

35,500 ========= WORKING CAPITAL PER MONTH: 259,750 + 234,485 + 513,375 + 35,500 = Rs. 1,043,110 (e) WORKING CAPITAL FOR 3 MONTHS = 1,043,110 * 3 = 3, 129,330 (f) TOTAL CAPITAL INVESTMENT: FIXED CAPITAL WORKIING CAPITAL FOR 3 MONTSH TOTAL (g) Cost of Production per Annum: S.N. 1. 2. 3. 4. 5 DESCRIPTION Depreciation on Machinery and Equipment @10% Depreciation on office Furniture @ 20% Depreciation on Tools @ 25 % Recurring expenditure Interest on capital investment @ 18 % Total Rs. 2,645,500 3,129,330 ======== 5,774,830 ======== Rs. AMOUNT 70,500 4,000 5,000 12,517,320 1,039, 469 ========= 13,636,289 =========

Total

(h) SALES PER ANNUM : Glass Bangles of various sizes 3,40,000 toras @ Rs. 46 per tora Rs. 1,56,40,000 / (i) Profit Per annum: Rs. Sales per annum 15,640,000 Cost of Production per annum 13,636,289 ======== PROFIT 2,003,711 ======== (J) Profitability Analysis: (a) % of profit on sales profit /annum * 100 = ---------------------------Sales / annum 2,003,711 * 1000 --------------------------15,640,000

=

= (b) % of profit on investment

12.81 %

=

profit /annum * 100 -----------------------------Total Capital investment

=

2,003,711 * 1000 ---------------------5774830 34.7%

= (c) Break Even Point :

(1) Fixed cost per annum: Depreciation Interest on Investment 40% of salary and wages 40% of other expenses & Utilities Total

Rs. 79,500 1,039,469 1,125,528 2,634,600 =========== 4,879,097 ===========

(2) Profit per annum = Rs. 2003711

Break Even Point

=

Fixed Cost / annum * 100 ---------------------------------------Fixed cost/ annum + profit/ annum 4,879,097 * 100 --------------------------------4,879,097 + 2,003,711 70.89 %

=

=

(k) List of Supplier’s of Raw Materials : 01. M/s. Raj kamal Silica Works, P.O. Shankargarh, Dist. Allahabad (U.P.) 02. M/s Silica Minerals, 28, Bulleon Associations Bldg. Haldiya Rasta, Jaipur. 03. M/s Tata Chemicals Ltd. Mithapur,Gujrat. (1) List of Supplier’s of Machinery & Equipments: 01.M/s /Emhart India Ltd., 3-19, Gorwa Inddustrial Estatae, Vadodra (Gujrat). 02. M/s Blurn & co., No 12, Mission Road, Calcutta. 03. M/s Borax Morarji Ltd. Mahatma Gandhi Road, Ambernath Dist., Thane, Maharastra. 04.M/s Carborandum Universal Ltd., 11/12, North Beach Road, Madras. 05. M/s General Glass Machinery (p) Ltd., F-18, Shanti kunj, Sadhet Vasvani Road, Pune-I 06. M/s Glass Equipment (India) Ltd., Bkahadurgah (Haryana). 07. M/s. Sahlt Chemicals Works, Sahupuri, Varanasi (U.P.). 08. M/s Swahney Chemical Machines, 2nd Floor, Pratap House, Daryaganj, Delhi – 110 006. 09. M/s Silicon Traders, No. 115, Sobalia Bagh, Allahabad – 3. 10. M/s Toshniwal Bros. Pvt Ltd., 3E/8, Jhandealan Extn, New Delhi. 11. M/s Mohan Diralta & Associates, Belanganj, Agra.