 |
|
|
|
|
|
 |
 |
 |
| |
| |
 |
|
|
|
RUBBER BASED PRODUCTS
RUBBER MOULDED ARTICLES
INTRODUCTION
The project profiles envisages the manufacture of rubber moulded articles (both natural and synthetic rubber), mainly auto components, components of electrical and other machine parts which are having good demand in these days. As there is a good production of natural rubber in the country and to increase the demand of natural rubber, user industries are to be encouraged. With more or less some infrastructure a number of items could be manufactured with slight change of formula and moulds. Some of the items envisaged are:
MARKET POTENTIAL
Since automobile industry is in a boom, the requirement of auto components for new vehicles as well as for replacement is very high. There is a tremendous growth of two wheelers, three wheelers, LCVs, Heavy Vehicles and passenger cars, Considering this growth, the potential for auto components is very high.
Electrical and Electronic industry are also in the growing side. There are a lot of rubber components required in this line. So some of these items could also be manufactured using the same plant and machinery with die modifications.
BASIS AND PRESUMPTIONS
The unit will work for 300 days on two shift basis.
The unit will take 3 years to achieve its full capacity.
Salary and wages are based on local prevailing rates.
Interest on capital investment is taken as 17.5% per annum.
Margin money of 25% is to be raised by the propoters.
Cost of plant, machinery, building and materials are taken on current rates.
IMPLEMENTATION SCHEDULE
1. |
SSI Registration, Preparation of project report and applying for loan. |
3 months |
2. |
Loan sanctuin, building construction, order for machinery. |
6 months |
3. |
Machinery installation and electrification. |
3 months |
4. |
Trial Production |
3 months |
5. |
Commercial production and marketing after stabilizing |
3 months |
|
Total |
18 months |
PRODUCTION DETAILS & PROCESS TECHNIQUES
In the process of moulded rubber goods, the rubber is mixed with rubber chemicals, thoroughly is a mixing mill and thus the required compound is made. The properties of rubber products differ according to the different composition of rubber chemicals. The rubber compound is to be filled in the mould and then heated for a definite time at a definite temperature. Then the mould is opened and the finished product is taken out of the mould. Thus different moulded rubber goods can be manufactured.
The rubber composition varies depending upon the mature of the various items. The raw materials and chemicals used are as follows:
Natural rubber, Stearic acid, Oil softener, Zinc oxide Pigments, Accelerator, Anti-oxidant and sulphur.
The compounding of rubber is done in a rubber mixing mill. The machine consist of 2 rollers geared in such a way that one of the rollers, revolves slightly faster than the other roller. The rolls are heated to about 50 degree Celsius for starting the mixing operation. In the course of the mixing operation sufficient heat is generated and sometimes it is required to cool the roller by passing cold water through them. The raw rubber is first masticated and then the other ingredients are incorporated by sprinkling then on the sheets and the passing them through the rollers, the rubber passed and repassed through the rolls until the various ingredients are properly incorporated. Sulpher is added last and care is taken to see that the temperature of the roll does not exceed 45 degree Celsius
QUALITY AND STANDARDS
Goods are manufactured to suit different models of automobiles based on the specifications given by the company.
PROPOSED PRODUCTION TARGETS (Annual)
Quantity - 75 MTs/annum
Value - Rs. 48.75 lakhs
FINANCIAL ASPECTS
Land and Building
a) |
Land – 20 cents |
2.0 lakhs |
b) |
Building
Office, Store, Lab etc – 100 sq. mt.
Work shed – 200 sq. mt. |
4.0 lakhs
4.0 lakhs |
|
Total: |
10.0 lakhs |
MACHINERY AND EQUIPMENTS
1 |
Mixing Mill roller size 10 x 24 with 15 HP Motor |
3.0 lakhs |
2. |
Hand operated press with steam heating – 6 nos. |
1.5 lakhs |
3. |
Extruder with 5 HP Motor – 1 No |
1.0 lakhs |
4. |
Vulcaniser 3 ft x 4 ft with trolly – 1 No |
0.5 lakhs |
5. |
Boiler with 100.lb pressure oil – firec – 1 No |
1.5 lakhs |
6. |
Different moulds for various products – Q.S |
1.5 lakhs |
7. |
Testing Equipments |
0.5 lakhs |
8. |
Office Equipments & Furniture |
0.5 lakhs |
9. |
Installation & Electrification |
1.5 lakhs |
|
Total |
11.5 lakhs |
WORKING CAPITAL
|
Staff and Labour (Monthly) |
|
1. |
Manager - 1 No |
5,000 |
2. |
Foreman - 1 No |
3,000 |
3. |
Skilled Workers - 6 Nos |
12,000 |
4. |
Semi Skilled Workers – 10 Nos |
15,000 |
5. |
Store Keeper-cum-Clerk – 1 No |
1,500 |
6. |
Watchman – 2 Nos. |
2,000 |
|
|
38,500 |
|
Add: 15% perks |
6,500 |
|
|
45,000 |
|
Raw Materials (Monthly) |
Qty.Kgs |
Value (Rs) |
1. |
Natural Rubber |
1250 |
43,750 |
2. |
SBR |
750 |
30,000 |
3. |
Nitrile Rubber |
625 |
46,875 |
4. |
Roclaimed Rubber |
625 |
9,375 |
5. |
Carton Black |
800 |
32,000 |
6. |
Whiting, china clay |
2000 |
4,000 |
7. |
Process oil |
300 |
7,500 |
8. |
Zinc oxide |
150 |
15,000 |
9. |
Sulphur, Accelerators and anti-oxidents |
Q.S |
20,000 |
10. |
Packing Materials |
|
12,000 |
|
|
Total: |
2,21,000 |
|
Utilities (Monthly) |
|
1. |
Power 20 KW – 3500 units |
8,750 |
2. |
Furnace oil – 625 Ltrs |
5,000 |
3. |
Water – 350 KL |
1,250 |
4. |
Total |
15,000 |
|
Other Expenses |
|
1. |
Stationery and postage |
1,000 |
2. |
Repair and maintenance |
3,000 |
3. |
Transportation |
5,000 |
4. |
Advertisement & Publicity |
5,000 |
5. |
Insurance and taxes |
500 |
6. |
Miscellaneous |
1,500 |
|
Total |
15,000 |
Total Working expenses per month
A + b + c + d = 2,96,000
For three months = 8,88,000
Total Capital Investment
|
Fixed Capital |
|
1. |
Land and Building |
10,00 lakhs |
2. |
Plant and Machinery |
11,50 lakhs |
3. |
Working Capital |
8,88 lakhs |
|
Total |
30,38 lakhs |
COST OF PRODUCTION (Annual)
1. |
Recurring cost |
32.52 lakhs |
2. |
Depreciation on machinery |
1.15 lakhs |
3. |
Depreciation on building |
0.80 lakhs |
4. |
Interest on capital |
5.32 lakhs |
5. |
Total |
42.79 lakhs |
TOTAL SALES (Annual)
By sale of 75 MTs of moulded goods at an average price of 65/Kg |
48.75 lakhs |
PROFITABILITY (Annual)
Gross Profit 48.75 - 42.79 = 5.96 lakhs
% Profit on sales - 12.23%
% Return on Capital - 19.62%
Top |
SYNTHETIC ADHESIVE (RUBBER BASED)
MANUFACTURING PROCESS
The rubber and all the compounding ingredients are worked in a Rubber mixing mill. The mastication tile and order of mixing of the ingredients vary with the type of rubber used. It is very important to stadardise the mixing procedure and conditions to avoid gelling of whole adhesive mass. Extreme cleanliness should be observed in handling raw materials to avoid foreign particles. After mixing the rubber compound it is cut into small pieces and transferred to dough Mixer along with solvent mixture. Generally 2-3 hours are required for a batch of 150 kg. The dough (thick soln) thus formed can be diluted to desired viscosity Ford cap is ideal to determine viscocity. Tackifiers may be dissolved in the solvent and added to the dough of Rubber Compound.
QUALITY CONTROL & SPECIFICATION.
There are different specifications for rubber adhesives used by different Industries such as automobile, tyre and tubes, footwear etc. A good equipped testing laboratory is essential to maintain quality as per customer’s specification and also for the developmental work.
Proposed Production
1. |
Quantity |
60,000 litres |
2. |
Value |
40.8 lakhs |
INTRODUCTION
Rubber based adhesive find a variety of applications due to its versatile properties and ease of formulation. These adhesives find applications for bonding rubber to rubber, rubber to leather, rubber to plastic etc. Basically these adhesives are made of our elastomer which may be natural rubber or synthetic rubber such as Neoprene, Isobutylene, Acrylo Nitrate etc. the other components are tackfiers, fillers, plasticzers, curing agents etc.
MARKET
If good quality is maintained, there is good demand for adhesives in the foot-wear industry, furniture industry and a host of other fabrication industries. Since all the consuming industries are on the growth side, adhesives also find increased demand. There is export market also for the item.
Basis and Presumption
The unit will work for 300 days in a year on single shift basis.
Salary and wages are based on local prevailing ratio.
Interest on capital is taken on 17.5%
Cost of plant, machinery, building and raw materials are taken on current ratio.
Implementation Schedule
Registration, preparation of project report applying rot loan – 3 months.
Land and Building
1. |
Land |
500 sq. mt. |
2. |
Value |
Office, store and solvent godown – 150 sq.mtrs
Working shed – 150 sq. mt |
|
Rented |
7,500/month |
Machinery and Equipments
1. |
Mixing Mill size 12” x 30” with reduction gear starter and 30 HP Motor |
Rs. 2,50,000 |
2. |
Sigma type blender with kneeder with electric Motor (S.S. lined Size 16” x 16” x 20” |
Rs. 75,000 |
3. |
Small Pulveriser with Motor (2 (HP) |
Rs. 15,000 |
4. |
Batch type ball Mill with porcelain pots (six pots with 5 HP Motor) |
Rs. 30,000 |
5. |
M.S. Mixing tanks, 2mm, thick 3’ dia, 3’ high – 3 nos |
Rs. 15,000 |
6. |
Storage Tanks (500 litre cap.) – 3 Nos |
Rs. 15,000 |
7. |
Trollys, fire extinguisher |
Rs. 5,000 |
8. |
Platform weighing scale (250 Kg. Cap.) |
Rs. 15,000 |
9. |
Ordinary balance |
Rs. 5,000 |
10. |
Laboratory equipments
Tensile testing machine
Ford cup
Chemical Balance
Miscellaneous |
Rs. 50,000 |
11. |
Installation / Electrifications |
Rs. 65,000 |
12. |
Furniture / Fixtures |
Rs. 10,000 |
|
Total: |
Rs. 5,50,000 |
A. Staff and Labour (Monthly)
1. |
Chemist-cum-Manager |
Rs. 5,000 |
2. |
Clerk-cum-Typist |
Rs. 2,000 |
3. |
Skilled Workers - 2 Nos |
Rs. 3,000 |
4. |
Unskilled Workers - 4 Nos |
Rs. 5,000 |
5. |
Watchman/Peon - 1 No |
Rs. 1,000 |
|
|
Rs. 16,000 |
|
Add: 15 % perks |
Rs. 2,400 |
|
|
Rs. 18,400 |
B. Raw Materials (Monthly)
|
Qty. |
Value |
1. |
Natural Rubber 300 Kgs. |
Rs. 9,000 |
2. |
Neoprene Rubber 200 Kgs. |
Rs.15, 000 |
3. |
Tackifier, 350 Kgs |
Rs. 21,000 |
4. |
Tolune 1750 Kgs |
Rs. 47,250 |
5. |
Ethyl Acetate 750 Kgs |
Rs. 33,750 |
6. |
Solvent Gasoline 2500 Kgs |
Rs. 71,250 |
7. |
Filter 325 Kgs |
Rs. 1,625 |
8. |
Rubber Chemicals 90 Kgs. |
Rs. 6,750 |
9. |
Packing Materials |
Rs. 30,000 |
|
|
Rs. 2,35,625 |
C. Utilities
1. |
Electricity 3750 KWH Units |
Rs. 7,500 |
2. |
Water – 250 KL |
Rs. 500 |
|
|
Rs. 8,000 |
Other Expenses (Monthly)
1. |
Rent |
Rs. 7,500 |
2. |
Telephone |
Rs. 1,000 |
3. |
Postage & Stationery |
Rs. 1,500 |
4. |
Repair & Maintenance |
Rs. 2,000 |
5. |
Transport |
Rs. 5,000 |
6. |
Advertisement & Publicity |
Rs. 5,000 |
7. |
Insurance / Tax |
Rs. 500 |
8. |
Miscellaneous |
Rs. 500 |
|
|
Rs. 23,000 |
|
Working Capital A + B + C + D |
Rs. 2,85,025 |
|
For 3 months |
Rs. 8,55,075 |
Total Capital Investment
|
Fixed Capital |
Rs. 5,50,000 |
|
Working Capital |
Rs. 8,55,075 |
|
Total |
Rs. 14,05,075 |
Cost of Production (Annual)
1. |
Recurring expenses/year |
Rs. 34,20,300 |
2. |
Depreciation |
Rs. 55,000 |
3. |
Interest on capital |
Rs. 2,45,888 |
|
Total |
Rs. 37,21,188 |
Total sales per year
a) |
24000 Ltrs. Of Neoprene Adhesive |
Rs. 19,20,000 |
b) |
36000 Ltrs. Of Natural Rubber Adhesive |
Rs. 21,60,000 |
|
Total |
Rs. 40,80,000 |
Profitability (Annual)
Gross Profit Rs. 40,80,000 – Rs. 37,21,188 = Rs. 3,58,812/-
Percentage Profit on sales = 8.8
Return on capital = 25.5%
Top |
|
|