|
Cement Mosaic Flooring Tiles
PRODUCT CODE : 94436 AND 29118
QUALITY AND STANDARDS : IS 1237
PRODUCTION CAPACITY : Quantity: 1500MT (8,00,000 nos.)
Value: Rs. 65,00,000
INTROCUCTION
Mosaic floor tiles are also known as terrazzo tiles. The main raw materials used for the manufacture are cement concrete and coloured stone chips. These tiles are made generally in the sizes of 200 x 200 x 20 mm, and 300 x 300 x 25 mm. these tiles can also be made in various other sizes, shapes according to market demand. The tiles are used for flooring of both residential and commercial buildings. The top surface of the tiles is decorated with marble stone chip[s of various colours with suitable addition of cement colour. These tiles are impermeable, easy to replace and long lasting.
MARKET POTENTIAL
Construction of floor by laying these tiles is time saving. It is also economical to repair the floor or do patch work by replacing the damaged tiles in course of use. Since the tiles are available in various decorative colours and sizes, the item is gaining popularity and the demand is increasing day-by-day. There is a great upsurge in the building construction activity due to increase in population. The requirement of residential houses hospitals and commercial buildings is increasing day by day, Government of India in its 10th Five Year Plan has given greater emphasis on housing activity. Socioeconomic changes in society, improved standards of living, renovation of old buildings and all-round development in the country, have increased building construction activity and the demand of Mosaic Flooring tiles.
Ceramic vitreous floor tiles, granite and marble stone tiles, red clay flooring tiles are some of the substitute mate. The demand for Mosaic tiles is estimated to be around 25% of the total requirement of flooring tiles. Taking the above factors into consideration the demand is expected to increase at the rate of 10% every year during the current plan period. Hence there is a good scope for setting up of new units for the manufacture of mosaic tiles.
BASIS AND PRESUMPTIONS
i. It has been taken into consideration that the unit will work on single shift basis for 300 days in a year.
ii. To achieve full plant capacity 1 to 2 months trial production is required.
iii. Labour and wages mentioned as per the prescribed minimum wages.
iv. Interest rate at 14% considered in the project profile both for recurring and non-recurring investment.
v. Margin money will vary from 10-25% depending upon the location and scheme adopted by the entrepreneurs.
vi. Operative period of the project is around 10 years considering technology obsolescence rate and period of repayment of loan.
vii. The costs of land, construction charges, machinery and equipment, raw materials and consumables, other Contingent expenses etc. indicated in the scheme are based on the prices prevailing at the time of project preparation. Therefore, these are subject to necessary changes from time to time based on the local conditions.
IMPLEMENTATION SCHEDULE
Sl.No. Activity Period
(in months)
1. Project report preparation, selection of site,
selection of machinery and registration as SSI etc. 6
2. Processing for financial assistance, procurement
of machinery and civil construction etc. 6
3. Trial run and marketing set up etc. 2
Total Time 14
TECHNICAL ASPECTS
Process of Manufacture
The basic raw materials used in the manufacture of mosaic floor tiles are cement (grey and white) stone/marble chips. Fine aggregates like sand, dolomite powder and colouring oxide ordinary Portland cement can be used for mosaic tiles of dull colours. For such applications where distinct designs and deep colour shades and marble boundries are desired white cement may be employed. Hard limestone, dolomite chips, crushed cuddappha stone of suitable sizes are to be used as course aggregate. Colours should not be added in quantities exceeding 10% of the cement used in tile mix, otherwise strength of tiles will be adversely affected.
The process for the manufacture of Mosaic tiles consists of three layers, the facing, the intermediate and backing layers. The raw materials (cement, marble chips, marble powder, colouring oxides, sand stone chips) are mixed according to the pre-determined proportions thoroughly and mixture is kept separately on the platform of hydraulic/mechanical press for ready use. The mixture for three layers is prepared in the following proportions.
1. Facing mixture Proportion
Grey cement 1.5
Marble chips 4
White cement 1
Marble powder 1
Colouring oxide 0.1.to 0.5%
2. Intermediate Mixture
Grey cement 1
Sand 1
3. Backing Mixture
Grey cement 1
Sand 3
Stone chips 1
Suitable iron moulds are fitted with the bottom plate of the press. The facing mixture is first fed into the mould to a thickness of about 6.5 mm and then intermediate and backing mixture is spread over to the thickness of about 9mm each. The mixture is pressed under the pressure of around 150kg/sq. cm. which varies according to the size of the tile. The tiles are taken out from the moulds and kept for 24 hours for air setting and then immersed in water for curing for a period of about 15 days. The cured tiles, are then taken from the curing tank and kept in shed for a period of about 4-5 days for drying. The tiles are then polished and ground on super (leveling machine. After polishing, the tiles are given final touch of finish by hand and then sent to store for dispatch.
Manually operated presses are also used for making the tiles for small batches of production. But the tiles made by this press do not have uniformity due to difference of pressure in each cycle with variation in pressure of the manually operated presses.
Quality Control and Standards
For maintaining uniformity in quality the following Indian standards specification may be considered:
IS 1237 : 1980 Cement concrete flooring tiles.
As per IS 1237:1980 the use of raw materials is divided into three forms viz. topping mixture, intermediate mixture and backing mixture.
Production Capacity (per annum)
It is envisaged that unit will produce about 8 lakhs pieces of assorted sizes valued at Rs. 65,00,000
Motive Power 20 HP
Pollution Control
There is no water pollution in manufacture of mosaic tiles, however, there would be some air pollution while handling dry raw materials like cement and marble powders. Simple methods to cover the discharging bins for mixing or connecting it with cyclonic dust collector would be sufficient to control the pollution. Alternatively, the operator should use dust mask.
Energy Conservation
It is not applicable as far as fuel energy is concerned. Simple precautions and knowledge of effective utilization of electrical power is necessary.
FINANCIAL ASPECTS
A. Fixed Capital
(i) Land and Building (Rs.)
i) Land 30,000 sq. mts. @ Rs. 200/m2 6,00,000
ii) Building
Office, Stores etc. 100 sq. mtrs. @ Rs. 2500/m2 2,50,000
Workshed 400 sq. mts. @ 1500/m2 6,00,000
Curring Tanks 1,50,000
Compound wall, sanitation civil work, Gate etc. 1,00,000
Total 17,00,000
(ii) Machinery and Equipments Nos. (Rs.)
Hydraulic press (Cap. 150 kg/sq.cm.) with
Pressure gauge 3 3,00,000
Hydraulic double piston pump with 5 HP
motor combined with safety valve, capable
of feeding 4 to 5 presses 1 1,00,000
Levelling (grinding) machine complete with all
attachments grinding capacity 4 tiles at a time (5 HP) 1,50,000
Colour mixing muller for mixing colour with
cement (3 HP) 1 50,000
Semi polishing machine with 2 HP motor for
sample polishing for testing 1 25,000
Total 6,25, ,000
Erection and installation charges for the
above machines @ 10% of the cost 62,500
Tipping borrows 4 cft/7 cft cap 12,500
Plain and checkered tile moulds complete
with frame, plate and plug 3 sizes, 10 sets. 50,000
Weighing machine, working table racks etc. 1,00,000
Testing equipments 50,000
Office equipments and furniture 1,50,000
Total cost of m/c and equipment is 10,50,000
(iii) Pre-Operative Expenses 50,000
Total Fixed Capital (Rs.)
Land and building 17,00,000
Plant and machinery 10,50,000
Pre-operative expenses 50,000
Total 28,00,000
B. Working Capital (Per Month)
(i) Staff and Labour No. Salary (Rs.)
(per month)
Manager 1 5,000 5,000
Supervisor 2 3,500 7,000
Accountant/Clerk 2 2,500 5,000
Skilled Worker 7 2,200 15,400
Un-skilled worker 14 1,800 25,200
Watchman/Peon 2 1,800 3,600
Total 61,200
Perquisites @ 15% 9,180
Total 70,380
(ii) Raw Material (per month)
Particulars Quantity Rate Amount
(Rs.)
Portland (Grey) cement 30 MT 3,000 90,000
White cement 29 MT 6,000 1,74,000
Sand 80 MT 150 12,000
Stone/Marble chips 24 MT 2,000 48,000
Mineral colours 1 MT 5,000 5,000
Total 3,29, ,000
(iii) Utilities (per month) (Rs.)
Power L.S. 10,000
Water Charges L.S. 1,000
Total 11,000
(iv) Other Contingent Expenses (Rs.)
Postage and Stationery 1,000
Telephone 1,000
Consumable Stores 1,500
Repair and Maintenance 2,000
Transport Charges 1,500
Insurance 2,000
Sales Expenses, advertisement and publicity 1, ,000
Total 10,000
Total Recurring Cost (per month)
Staff and Labour 70,380
Raw materials 3,29,000
Utilities 11,000
Other Contingent expenses 10,000
Total 4,20,380
Total working Capital (on 3 months basis) 12,61,140
C. Total Capital Investment
Fixed capital Rs. 28,00,000
Working capital Rs. 12,61,140
Total Rs. 40.61,140
MACHINERY UTILIZATION
Efficiency and working hrs. considered Efficiency 80% of the installed
For full capacity capacity of 8 hrs. and 300 days
in a year.
Time/period of achieving capacity 6 months from the date of commencement
Utilization of commercial production
FINANCIAL ANALYSIS
(1) Cost of Production (per year) (Rs.)
Total recurring cost (per year) 50,44,560
Depreciation on building @ 5% 55,000
Depreciation on machinery and equipment @ 10^ 62,500
Interest on Capital investment @ 14% 5,68,559
Depreciation on mould, racks, tools, testing
Equipments @ 25% 53,125
Depreciation on office equipment and furniture @20% 30,000
Total 58,13,744
(2)Total Turnover (per annum)
Particulars Quantity Rate (Rs.) Amount(Rs.)
Grey mosaic tiles 10’ x 10’ 3,00,000 8 tiles 24,00,000
Grey mosaic tiles 8’ x 8’ 3,00,000 7 tiles 21,00,000
Coloured tiles 2,00,000 10 tiles 20,00,000
Total 65,00,000
(3) Net Profit (per year)
= 65,00,000 – 58,13,744 = 6,86,256
(4) Net Profit Ratio
= Net profit per year x 100
Turnover per year
= 6,86,256 x 100
65,00,000
= 10.55%
(5) Rate of Return
= Net profit per year x 100
Total Investment
= 68,62.56 x 100
40,61,140
= 16.9%
(6) Break-even Point
Fixed Cost (Rs.)
Total Depreciation 2,00,625
Total interest 5,68,559
40% of Salary and wages 3,37,824
40% of other contingent expenses 38,400
Insurance 24,000
Total 11,69,408
Or Say 11,69,400
B.E.P.
= Fixed cost x 100
Fixed cost + profit
= 11,69,400 x 100
11,69,400 + 6,86,256
= 63% |
